The Executive Board of ThyssenKrupp AG has decided not to submit a higher offer to purchase the Canadian steel manufacturer Dofasco Inc. ThyssenKrupp is thus waiving its "right to match". The time limit for this ended yesterday, January 23, 2006, midnight EST/today, 6 a.m. CET. ThyssenKrupp's offer to buy Dofasco's shares at C$68 per share expires January 26, 2006. Then, if the transaction fails to come about, ThyssenKrupp will receive a break fee of C$215 million.

"We said from the start that despite the strategic attractiveness of Dofasco we would not take part in a value-destroying bidding contest. We believe that an offer of more than C$68 goes beyond the point of profitability. Another increase in our offer would therefore not be economically justifiable," explained Dr. Ekkehard Schulz, Executive Board Chairman of ThyssenKrupp AG.

ThyssenKrupp will systematically implement the global growth strategy of its Steel segment. The first step is the resolved construction of a 4.4 million metric ton capacity slab plant at the low-cost coastal location of Sepetiba in Brazil. When presenting the plans to build a slab plant in Brazil, ThyssenKrupp announced that part of the capacity would be used as starting material for realizing its strategy in North America. Besides the acquisition of Dofasco, the alternative planning scenarios are a "new mill" or "alliances". After giving up the Dofasco option, ThyssenKrupp will now further pursue these alternatives. The Group already has more than 26,000 employees in the USA generating sales of EUR8.1 billion, around 18 percent of total Group sales.

Forward-looking statements

This press release contains "forward-looking statements" that are subject to a number of risks and uncertainties, many of which are beyond ThyssenKrupp's control, that could cause actual results to differ materially from those set forth in, or implied by, such forward-looking statements. All statements other than statements of historical facts included in this press release are forward-looking statements. All forward-looking statements speak only as of the date of this press release. ThyssenKrupp does not undertake any obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

About ThyssenKrupp

Focusing on the key areas of Steel, Capital Goods and Services, the capabilities of ThyssenKrupp are organized in six segments - Steel, Stainless, Automotive, Technologies, Elevator and Services. With sales of EUR42.1 billion in 2004/2005 and nearly 184,000 employees, the Group occupies mainly top-three positions with its activities worldwide.

ThyssenKrupp Steel concentrates on flat-rolled steel with high value added, tailored to customers' requirements. With sales of around EUR9.7 billion in fiscal year 2004/2005, approximately 31,500 employees and customers in more than 80 countries, the segment is one of the world's foremost steel producers. In carbon steel flat products it is number 2 in Europe. Products from ThyssenKrupp Steel are used in a wide range of everyday applications, such as car bodies, facades and domestic appliances.