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CFO Celso Goncalves detailed minimal cash charges (~$15M) but a significant non-cash impairment charge (~$300M) in Q2 related to the idlings. CEO Lourenco Goncalves confirmed they will continue relining furnaces as needed, with the next major reline at Burns Harbor now scheduled for 2027, a delay from 2026.

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Executive Ned Coletta explained that it is too early in the year to adjust guidance, though he noted performance is trending toward the mid-to-high end of ranges. CEO John Casella added there is a 'wait and see' approach regarding roll-off and landfill volumes. On the M&A front, John Casella stated that they have not seen a significant impact from economic uncertainty on the M&A environment or seller sentiment, describing it as 'steady as you go.'

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Executive Ned Coletta explained that it is too early in the year to adjust guidance, though results are trending toward the mid-to-high end of their ranges. CEO John Casella added that they are in a 'wait and see' period for more visibility on roll-off and landfill trends. Regarding M&A, Casella stated they have not seen a significant impact from economic uncertainty on seller sentiment, describing the current environment as 'steady as you go.'

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CFO Bradford Helgeson confirmed the ~$1 billion in liquidity comprises ~$300 million in cash and a $700 million undrawn revolver, which can easily fund smaller deals. CEO John Casella stated the election would not change their M&A strategy, though tax policy changes could affect seller behavior. President Ned Coletta added that the step-down in bonus depreciation is a tangible factor in M&A valuations that could be influenced by election outcomes.

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Kim Fields, President and CEO, noted that pivoting to higher-margin A&D was the core of their successful transformation. Donald Newman, EVP and CFO, added that while they continuously optimize asset utilization, significant new investment wouldn't be needed for further pivoting. He also mentioned that industrial demand can 'spring back very quickly' and that the current guidance assumes flatness, not a rebound, suggesting readiness for a potential recovery.

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President and CEO Kimberly Fields confirmed that the Q3 melt shop issues are resolved and other repairs are on track for completion in Q2, supported by ongoing investments in reliability and AI-driven predictive maintenance. Regarding Europe, she stated ATI is well-positioned to handle potential tariffs due to dual-sourcing and contractual pass-through mechanisms, while also monitoring the Russia relationship.

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EVP and CFO Don Newman acknowledged that industrial demand has been weaker than expected, with sales down sequentially in Q3, and a significant rebound is not anticipated in Q4. President and CEO Kim Fields addressed the Boeing concern, explaining that contracts were renegotiated during the pandemic to be share-based with min/max levels, and ATI's diversified customer base across all major airframe and engine programs mitigates risk from any single customer.

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Chair and CEO Ward Nye clarified that the buyback was not a commentary on M&A, as the pipeline remains attractive. Instead, the $450 million repurchase of 911,000 shares was 'opportunistic' because management believed it was a 'great place to go in and buy.' He noted that the company still has plenty of runway on its 2015 authorization, having bought back about half of the 20 million shares authorized. He emphasized that the balance sheet remains strong, with the debt-to-EBITDA ratio well within the company's target range.

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CEO C. Nye cited specific, large-scale data center projects in key states driven by AI and noted the associated energy infrastructure will be highly aggregates-intensive. Regarding the IIJA, he explained that since 2024 was the first significant year of funding and only about 20% of funds have been spent, the flow of projects will irrefutably build into 2025 and 2026, layered on top of already strong state budgets.

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CEO James Hill stated that the direct impact of tariffs on Vulcan is limited due to its business model, but the company is monitoring the potential cost impact on private construction. He noted that M&A activity typically slows during volatile periods, which is currently the case, but he views it as a temporary pause. CFO Mary Andrews Carlisle added that Vulcan's strong balance sheet positions it well to act on M&A opportunities as they arise.

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CEO Tom Hill described the M&A pipeline as 'very healthy' and expects continued success with acquisitions in 2025. Regarding Mexico, he reported no significant news, stating the company is still awaiting a decision from the tribunal, which is anticipated sometime in 2025. He reiterated his confidence in winning the case.

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SVP and CFO Mary Andrews Carlisle emphasized that growth opportunities remain the top priority, highlighting the active M&A pipeline and the balance sheet capacity to fund them, including the Wake Stone acquisition. She also noted the company is planning for a debt maturity in April 2025. Chairman and CEO James Hill added that the M&A pipeline has other opportunities they hope to finalize in coming quarters.

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CFO Stephen Laxton confirmed the math for a strong Q2 improvement was directionally correct but deferred specific quantitative guidance to the mid-quarter update. CEO Leon Topalian stated that tariff exposure on equipment for the West Virginia mill is minimal and that the broader benefit of a healthy domestic steel market from trade policies far outweighs any minor negative impacts. EVP Allen Behr added that Nucor's diversified raw material strategy and global relationships allow it to mitigate risks effectively.

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CEO Leon Topalian affirmed that shareholder returns are a top priority and the company will not become over-levered, noting over 60% of earnings were returned in the last five years. CFO Steve Laxton added that the 40% payout ratio is a minimum and 2024's high rate was due to excess cash. On trade, Topalian anticipates broad tariffs under an 'America-first' agenda to level the playing field against commodity-grade imports.

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CEO Leon Topalian acknowledged that while the CHIPS Act is driving construction of over 20 semiconductor facilities, the benefits from the IIJA and IRA have been slower to materialize and are below initial tonnage estimates. He affirmed that Nucor's investment strategy is long-term and not dictated by short-term market cycles, positioning new capacity to serve underrepresented regions and meet specific customer demands, ultimately supporting the company's through-cycle earnings goals.

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Raul Jacob (executive) clarified that the Mexican projects like Angangueo and Chalchihuites are not imminent. He acknowledged that some contracts are priced on COMEX and stated that if a U.S. tariff were imposed, the company would mitigate the impact by reassigning production to other markets. He added that the U.S. government has so far made a 'wise decision' not to apply tariffs, given the country's copper deficit.

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Executive Raul Jacob described the Mexican projects as being in early, 'not that imminent' stages. He acknowledged COMEX-based contracts are being managed commercially and stated that if tariffs were imposed, the company would redirect sales to other markets. He noted the U.S. has wisely avoided copper tariffs so far, given its domestic deficit.

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Executive Raul Jacob explained that 2025 copper production is forecast to be stable at a higher level achieved in 2024 due to operational recoveries. He corrected that the zinc forecast is actually much higher for 2025. Regarding 2026, he noted that current mine plans suggest slightly lower production, but they are working to revise plans and it is too far out to provide a solid forecast.

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Executive Raul Jacob reported that Buenavista's water needs are being met via truck fleet, as they have permits for the wells but not yet for the pipeline. On guidance, he explained the copper forecast is conservative, the main issue for molybdenum is lower prices rather than volume, and the higher silver forecast is driven by improved recovery and contributions from the new zinc concentrator.

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Freeport is well-positioned to expand U.S. production through its integrated operations, especially its leach production which doesn't require a smelter. They are exploring expanding leach capacity, potentially expanding the Miami smelter, and processing scrap. While copper has been named a critical mineral, legislation is still needed to make it eligible for the 45X production tax credit, which the company is advocating for.

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The 45X tax credit would be an incremental benefit. Cost reductions are focused on operational basics like improving asset efficiency and uptime, rationalizing contractors, and automation. The labor situation has stabilized, and the company's internal cost reduction goal is significantly more than the 10% offered by the tax credit.

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President and CEO Kathleen Quirk stated that the 45X credit would be an incremental benefit, but the company's internal cost reduction goals are much larger. She detailed that cost initiatives focus on improving asset efficiency, reducing unplanned downtime, and leveraging automation. She also noted that the labor situation has stabilized, which aids productivity.

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EVP & CFO Theresa Wagler explained that Sinton's profitability was driven by its greater exposure to spot pricing, which allowed it to capture the March price appreciation more quickly than other mills. President & COO Barry Schneider added that maturing operations and higher utilization rates were also key contributors. Regarding exposed automotive steel, Schneider noted that while it's not being advertised yet, the team is developing excellent practices and has not ruled it out for the future.

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COO Barry Schneider attributed the lag in profitability to extraordinary costs for improving machine reliability and the ongoing process of enhancing yields and prime rates. CEO Mark Millett highlighted recent exponential performance gains and projected profitability for Sinton in Q2. CFO Theresa Wagler later affirmed comfort with the capital structure and confirmed plans for a continued active share repurchase program, funded by cash flow from new projects.

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COO Barry Schneider reported the lines are operating at 65-75% utilization, with quality being very good. CFO Theresa Wagler clarified that their earnings impact has not been significant yet but will become a key contributor in 2025. CEO Mark Millett added that the Sinton lines' throughput is directly linked to the hot side's ongoing ramp-up.

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Executive Tom Ferguson and Executive Jason Crawford clarified that earlier concerns about project delays did not materialize, with weather being the primary Q4 headwind. While major inputs like zinc and paint are unaffected, they acknowledged some secondary supplies (e.g., chemicals, wire) have seen tariff-related cost increases, which are being managed through pricing and negotiations. Executive David Nark highlighted a potential benefit, stating that tariffs on prepainted imports could shift volume to domestic suppliers like AZZ.

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CEO Thomas Ferguson characterized the competitive environment as normal, with new galvanizing and paint line capacity additions aligning with expected demand growth. He noted that if tariffs reduce painted steel imports, this new domestic capacity would be necessary to meet demand. Executive David Nark added that an increase in exports would be a positive for both the galvanizing and Precoat segments.

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Executive Thomas Ferguson assessed that AZZ is in the mid-to-later innings for productivity gains in galvanizing but still has a few years of opportunity, particularly in bringing lower-quartile plants up to fleet average. For Precoat, he sees earlier-to-mid-inning opportunities. Regarding capital allocation, Ferguson prioritized debt paydown to reach a ~2x leverage target, followed by high-return acquisitions. He stated that a dividend increase is a possibility but not a focus for the current year, preferring to deploy capital for M&A growth.

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EVP and CFO Molly Beerman explained the $100 million annual figure is a net impact, accounting for higher Midwest premium benefits against the gross tariff cost, while the $105 million is a quarterly gross cost baseline. She noted the premium's slow response is due to market uncertainty and inventory stockpiling. President and CEO William Oplinger added that the company would not restart capacity based on a volatile tariff that could easily change.

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President and CEO William Oplinger stated that any restart decision first requires clarity on tariffs. He also noted that the current high price of alumina creates a significant opportunity cost for using it internally versus selling it on the spot market. Regarding technology, he reported a delay at ELYSIS but anticipates a key cell start in 2025, alongside progress in other R&D areas. EVP and CFO Molly Beerman added that technology-related CapEx is not significant.

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CEO William Oplinger explained that the announcement marks the start of discussions with stakeholders to secure cooperation on key issues like CO2 compensation and permitting, which is a prerequisite for the partnership with IGNIS. Regarding capital allocation, CFO Molly Beerman and CEO William Oplinger both stated that while they will evaluate all options, deleveraging the balance sheet is the primary focus for early 2025 to create shareholder value.

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President and CEO William Oplinger stated there were no new updates on 45X but reiterated its importance. On San Ciprián, he explained the ongoing dual-track process of improving competitiveness and pursuing a sale. He noted that if both fail, cash would run out by year-end, forcing 'hard decisions,' but could not provide a specific range for potential exit costs.

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Executive Paul Lawrence expressed confidence in recouping North American EBITDA per ton in Q3, citing improved metal margins, lower costs, and the non-recurrence of a one-time charge. Executive Peter Matt attributed strong volumes to sustainable demand and some pull-forward, and noted Europe's outlook is improving due to trade measures, Polish infrastructure projects, and potential German stimulus, which he sees as a 2026 benefit.

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Executive Peter Matt acknowledged that the Arizona 2 ramp-up has faced challenges but reiterated confidence in reaching the full 500,000-ton annual run rate. Regarding Europe, he emphasized the business's historical profitability and strategic value, stating that CMC remains committed to the unit. He noted the European team is working towards breakeven and that a German economic recovery is anticipated in late 2025 or 2026.

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President and CEO Jesse Gary stated the Hawesville process is proceeding well with strong interest and that any offers will be weighed against a restart scenario. He confirmed the company's Midwest premium outlook does not assume any additional tariffs on Canada. He also clarified that the Jamalco expansion and a Mt. Holly restart are not directly linked, as alumina can be sourced from the open market. EVP and CFO Gerald Bialek provided the 2025 investment CapEx range for Jamalco.

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Keith Harvey (executive) and Neal West (executive) responded. Keith Harvey stated that their business model allows for immediate pass-through of metal costs, insulating them from premium volatility. He explained the potential change from LIFO accounting is being assessed to provide more clarity and avoid the recurring need to explain LIFO-specific impacts. He also confirmed the 2025 EBITDA forecast assumes a 40/60 split between the first and second halves. He projected 2025 CapEx at approximately $125 million. Neal West added that the company's NOLs have been fully utilized and projected 2025 cash taxes to be in the $5 million to $7 million range.

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CEO Keith Harvey responded that the company had already factored in some aerospace inventory channel softness into its outlook. He noted that the diversity of their aerospace and high-strength products, including defense and space, provides a buffer. Harvey also stated that most of the year's declared orders from large airframers have already been shipped, minimizing their exposure to a prolonged outage. Regarding tariffs, he expressed a belief that stronger North American manufacturing, supported by tariffs, would be a net positive for the company.

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Executive Carlos Medeiros stated that Q1 operational performance was expected to be similar to the prior year, despite heavier rainfall. Executive Marcelo Bacci attributed cost improvements to enhanced production stability, lower-cost output from new projects, and an ongoing supplier relationship optimization program, noting the C1 cost trend should continue downward on a moving average basis.

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CEO Jean-Marc Germain explained that on scrap, the company can use other scrap types and high prices could attract imports, capping further increases. For EU auto weakness, he stated the company will not invest growth capital in auto and can pivot flexible assets to produce more can sheet. Regarding material substitution, he argued that aluminum's cost is a small part of the final product and switching involves significant infrastructure challenges for customers, making it unlikely.

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CEO Jean-Marc Germain stated there are no clear signs of recovery yet, characterizing the aerospace issue as a temporary demand shift due to OEM production delays, which affects mix but not fundamental long-term margins. He explained that contracts are requirement-based but provide protection through mechanisms like compensation claims in automotive. CFO Jack Guo added that A&T margins remain historically attractive excluding the Valais flood impact and clarified that any potential French tax increase would have a modest, temporary cash impact in 2025 and 2026, not 2024.

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CEO Maximo Vedoya expressed optimism that Mexico and Brazil would strengthen trade defenses against unfair Chinese imports, while noting Argentina is further behind but likely to act later. Regarding U.S.-Mexico trade, he highlighted Ternium's minimal direct exports to the U.S. (4% of flat rolled products) and the large U.S. steel trade surplus with Mexico, expressing confidence that a reasonable agreement would be reached to address third-country imports rather than penalize regional trade.

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CEO Aditya Mittal clarified that the new U.S. facility is focused solely on non-grain-oriented steel for the premium automotive market. Regarding China, he noted that exports are at record levels, similar to 2015-2016. He stated the company's base case is that increasing trade actions from the U.S., Europe, Brazil, and India will level the playing field and potentially spur a reduction in Chinese exports or overcapacity.

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Co-CEO Michael Battles explained there is a natural 6-to-8-week lag in adjusting the collection pricing model due to the time it takes for oil to move through the system. Co-CEO Eric Gerstenberg stated there are no additional costs to idling the California facility; it is a cost-saving measure. He expects it to remain idle for the next six months to a year, with the site remaining active for other distribution purposes.

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CEO Jonathan Price stated that updates on the projects would be provided at the November Investor Day. He then provided a positive outlook for zinc, citing a chronic structural deficit in the concentrate market due to underinvestment and disruptions, which is leading to record-low treatment charges and supporting prices.

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The company is confident in its mid-single-digit cement price growth, supported by historically resilient pricing and favorable long-term supply-demand dynamics in the U.S. market. They stated they are not heavily exposed to imports, and in Houston, the primary issue affecting pricing has been weather, not import pressure.

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