The ratings on Luxembourg-registered steel group ArcelorMittal reflect Standard&Poor's Ratings Services' view of the group's satisfactory business risk and intermediate financial risk profiles. Supportive factors include the group's leading global market positions, partial supply of own raw materials, and good supply discipline. Constraints include industry cyclicality; volatile input costs, profitability, and cash flow; and substantial adjusted debt. In the three months to March 31, 2011, ArcelorMittal's operating performance improved versus the previous quarter. The reported EBITDA margin widened 25% on the back of higher steel prices and capacity utilization, and also thanks to the company's partial vertical integration in raw materials. The mining segment contributed about 23% of reported EBITDA. In our credit scenario, we factor in further
