Years ended December 31, 2010, 2009 and 2008
(Amounts expressed in thousands of US dollars)

	Attributable to the shareholders of OAO Severstal							Non-controlling interests	Total
	Share capital	Treasury shares	Additional capital	Foreign exchange differences	Retained earnings	Other reserves	Total
Balances at December 31, 2007	3,311,288	-	1,165,530	1,145,499	3,951,116	-	9,573,433	500,353	10,073,786
Profit for the period	-	-	-	-	2,028,972	-	2,028,972	32,954	2,061,926
Foreign exchange difference	-	-	-	(1,060,512)	-	-	(1,060,512)	(36,853)	(1,097,365)
Changes in fair value of cash flow hedges	-	-	-	-	-	(8,864)	(8,864)	(4,564)	(13,428)
Deferred tax on changes in fair value of cash flow hedges	-	-	-	-	-	1,786	1,786	1,905	3,691
Changes in fair value of available-for-sale investments	-	-	-	-	-	3,010	3,010	1,854	4,864
Deferred tax on changes in fair value of available-for-sale investments	-	-	-	-	-	(1,351)	(1,351)	(1,160)	(2,511)
Fair value adjustment upon acquisition of subsidiary to previously held interest	-	-	-	-	-	33,020	33,020	-	33,020
Total comprehensive income for the period	-	-	-	(1,060,512)	2,028,972	27,601	996,061	(5,864)	990,197
Dividends	-	-	-	-	(1,378,510)	-	(1,378,510)	(8,126)	(1,386,636)
Dividend to the Majority Shareholder paid by acquired entity under common control	-	-	-	-	(34,036)	-	(34,036)	-	(34,036)
Repurchase of issued shares	-	(26,303)	-	-	-	-	(26,303)	-	(26,303)
Effect of acquisitions and disposals without a change in control	-	-	-	-	(79,146)	-	(79,146)	(138,067)	(217,213)
Effect of acquisitions and disposals with a change in control	-	-	-	-	-	-	-	152,821	152,821
Balances at December 31, 2008	3,311,288	(26,303)	1,165,530	84,987	4,488,396	27,601	9,051,499	501,117	9,552,616
Loss for the period	-	-	-	-	(1,037,240)	-	(1,037,240)	(81,855)	(1,119,095)
Foreign exchange difference	-	-	-	(137,465)	-	-	(137,465)	22,751	(114,714)
Changes in fair value of cash flow hedges	-	-	-	-	-	(2,283)	(2,283)	(577)	(2,860)
Deferred tax on changes in fair value of cash flow hedges	-	-	-	-	-	646	646	163	809
Changes in fair value of available-for-sale investments	-	-	-	-	-	19,840	19,840	20,626	40,466
Deferred tax on changes in fair value of available-for-sale investments	-	-	-	-	-	(2,204)	(2,204)	(2,194)	(4,398)
Total comprehensive loss for the period	-	-	-	(137,465)	(1,037,240)	15,999	(1,158,706)	(41,086)	(1,199,792)
Dividends	-	-	-	-	-	-	-	(3,501)	(3,501)
Effect of acquisitions and disposals without a change in control	-	-	-	-	(14,886)	-	(14,886)	41,902	27,016
Balances at December 31, 2009	3,311,288	(26,303)	1,165,530	(52,478)	3,436,270	43,600	7,877,907	498,432	8,376,339
Loss for the period	-	-	-	-	(576,994)	-	(576,994)	61,980	(515,014)
Foreign exchange difference	-	-	-	(244,741)	-	-	(244,741)	1,909	(242,832)
Changes in fair value of available-for-sale investments	-	-	-	-	-	37,242	37,242	13,634	50,876
Deferred tax on changes in fair value of available-for-sale investments	-	-	-	-	-	(4,431)	(4,431)	(3,195)	(7,626)
Total comprehensive loss for the period	-	-	-	(244,741)	(576,994)	32,811	(788,924)	74,328	(714,596)
Dividends	-	-	-	-	(140,963)	-	(140,963)	-	(140,963)
Effect of acquisitions and disposals without a change in control	-	-	-	-	61,877	-	61,877	(512,945)	(451,068)
Effect of acquisitions and disposals with a change in control	-	-	-	-	-	-	-	250,059	250,059
Balances at December 31, 2010	3,311,288	(26,303)	1,165,530	(297,219)	2,780,190	76,411	7,009,897	309,874	7,319,771

The accompanying notes form an integral part of these consolidated financial statements.