OREANDA-NEWS. On June 19, 2007 ОАО Magnitogorsk Iron and Steel Works, one of the leading integrated metallurgical companies,  announced consolidated financial statements for the 1st Quarter of 2007, reported in accordance with generally accepted accounting rinciples in US ( US GAAP), reported the press-centre of  MMK.

The MMK Group's financial position is characterized by the following:

High liquidity level: The amount of current assets has decreased by 3,7% (mainly due to lower cash and short-term deposits), while current liabilities have grown by 3,3% (due to increased other short-term debt). Current liquidity ratio has lowered from 2,6 as at the end of 2006 to 2,4 as at the end of Q1 2007. The Group's cash and cash equivalents as at the end of Q1 2007 was USD 270 m . MMK's free cash funds are invested in highly liquid financial instruments, such as bank deposits or securities for resale and receiving additional income.

Low degree of dependence on external borrowing:   Financial leverage calculated as the ratio of total debt to equity was 0,42 as at the end of Q1 2007. The ratios of debt under credits and loans to equity and to EBITDA for the entire year were 0.24 and 0.48, respectively. The Group's net debt was USD 521 m.

The results of consolidated financial report for Q1 2007 prepared according to US GAAP can be found here: http://www.mmk.ru/eng/financial/2007/index.wbp