STELCO HOLDINGS INC. ANNOUNCES COMPLETION OF INVENTORY MONETIZATION TRANSACTION

Hamilton, ON, December 11, 2017 – Stelco Holdings Inc. (the “Company”) (TSX: STLC) announced today that Stelco Inc. (“Stelco”) has completed inventory monetization arrangement previously disclosed in its supplemented prep prospectus dated November 2, 2017.  Under the terms of the arrangement, Stelco has agreed to transfer certain of its raw material inventory, including coal and iron ore to a third party in consideration for net proceeds of approximately U.S $100 million. Under the terms of the arrangement, Stelco is required to post a cash collateral margin to its counterparty and has agreed to purchase the raw materials inventory from the counterparty, at an agreed upon pricing formula, as needed for its steel manufacturing processes and upon expiry of the term of the arrangement.

It is anticipated that the proceeds of the inventory monetization arrangement will be used to repay the outstanding advances drawn under Stelco’s asset-based credit facility and for general working capital purposes.

For further information:

Trevor Harris Vice-President, Corporate Affairs Stelco Inc. 905.577.4447 trevor.harris@stelco.com.

Forward Looking Statements

This press release contains certain forward-looking statements that are provided for the purpose of presenting information about management’s current expectations and plans. Readers are cautioned that such statements may not be appropriate for other purposes. Forward-looking statements include statements that are predictive in nature, depend upon or refer to future events or conditions, or include words such as “expects,” “anticipates,” “plans,” “predicts,” “believes,” “estimates,” “intends,” “targets,” “projects,” “forecasts” or negative versions thereof and other similar expressions or future or conditional verbs such as “may,” “will,” “should,” “would” and “could.” In particular, forward-looking statements contained herein include the anticipated use of proceeds of the inventory monetization arrangement.

These statements are based upon certain material factors or assumptions that were applied in developing the forward-looking statements. Although these forward-looking statements are based upon management’s current reasonable expectations and assumptions, they are subject to numerous risks and uncertainties. Some of the factors that could cause results or events to differ from current expectations include, but are not limited to, actual results could differ materially from those expressed in, or implied by, these forward-looking statements and, accordingly, no assurances can be given that any of the events anticipated by the forward-looking statements will transpire or occur.

The forward-looking statements contained in this release are based on assumptions that were considered reasonable on the date hereof. Other than as specifically required by law, the Company undertakes no obligation to update any forward-looking statements to reflect events or circumstances after such date or to reflect the occurrence of unanticipated events, whether as a result of new information, future events or results, or otherwise.