The Board Recommends Dividend Payment for the first three months of the Financial Year ended 31 March 2016

The Board of Directors of Severstal (“Severstal”, “the Company”) (LSE: SVST; MICEX-RTS: CHMF), one of the world’s leading vertically integrated steel and steel-related mining companies, is recommending a dividend of 8.25 roubles per share for the first three months ended 31 March 2016.

Approval of the dividend is expected at the Company’s AGM which will take place on 24 June 2016 at Steel Matallurgists Palace, Stalevarov street 41, Cherepovets, Vologda Region, Russia. Registration for the AGM will start at 11.00am (MT) with the meeting itself starting at 12.00pm (MT).

The record date for participation in the AGM is 10 May 2016.

If the dividend payment for the first three months ended 31 March 2016 is approved at the AGM, the record date for this dividend payment will be 5 July 2016.