Following the decision of the Annual General Shareholders Meeting, Mechel OAO will begin to pay a dividend for the 2006 fiscal year on August 20, 2007 to shareholders of record at the close of business on May 29, 2007. The dividend amount is RUR 19.7 per ordinary registered book-entry share (about USD 2.27 per one ADR) based on the company’s operational results for 2006. The total dividend amount of RUR 8.2 billion (approximately $316.0 million) complies with Mechel’s previously announced intention to allocate not less than 50% of its net income under US GAAP to pay dividends.