MONCLOVA, Mexico--(BUSINESS WIRE)--Altos Hornos de México, S.A.B. de C.V. and Subsidiaries (“AHMSA” or “the Company”) (BMV: AHMSA) announces the resolutions adopted at the Annual General Ordinary Shareholders’ Meeting held on April 26, 2018 to be the following:
ORDINARY SHAREHOLDERS’ MEETING RESOLUTIONS
1. APPROVAL of all and each of the sections of the report submitted by the Board of Directors regarding the results of the Company’s businesses and operations for the fiscal year from January 1 to December 31, 2017.
2. APPROVAL of the Company’s audited financial statements, including the balance sheet, income statement, cash flow and the entries under shareholders’ equity, for the fiscal year from January 1 to December 31, 2017 taking into consideration the Chief Executive Officer’s report, the Board of Directors’ comments regarding the Chief Executive Officer’s report and the reports from the various presidents of the Auditing and Corporate Practices Committees.
3. APPROVAL of the external auditor’s report regarding the Company’s compliance with tax obligations.
4. APPROVAL and ratification, without reservation or limitation of any kind, all resolutions and/or agreements and/or activities of all members of the Board of Directors, either individually or in their joint actions as a collegial body, during the fiscal year from January 1 to December 31, 2017, and until the date of this meeting, granting them full legal authority over the decisions of the Company, in a manner that is irrevocable, unconditional and absolute.
5. APPROVAL and ratification of the Company’s Board members and officers in their positions as follows:
BOARD OF DIRECTORS
|Proprietary Members||Alternate Members|
|Alonso Ancira Elizondo – Chairman||Not applicable|
|Xavier Desiderio Autrey Maza – Vice Chairman||Not applicable|
|Manuel Arturo Ancira Elizondo||José Eduardo Ancira Elizondo|
|Jorge Alberto Ancira Elizondo||Jorge Ezequiel Ordoñez Cortés|
|José Manuel González Sordo||Not applicable|
|James Pignatelli||Not applicable|
|Juan Rafael Elvira Quesada||Not applicable|
|Alfonso Lebrija Guiot||Luis Guillermo Zazueta Domínguez|
|Carlos Césarman Kolteniuk||Not applicable|
|Juan Carlos Quintana Serur||Secretary of the Board of Directors (not a member) and Secretary of the Company|
|Francisco José Pérez Ortega||Alternate Secretary of the Board of Directors (not a member) and Alternate Secretary of the Company|
6. APPROVAL and ratification of the Committee members in their positions as follows:
Alfonso Lebrija Guiot – President
James Pignatelli – Member
José Manuel González Sordo – Member
CORPORATE PRACTICES COMMITTEE
José Manuel González Sordo – President
James Pignatelli – Member
Alonso Ancira Elizondo – Member
Xavier D. Autrey Maza – Member
Secretary of both Committees: Juan Carlos Quintana Serur.
7. APPROVAL in accordance with Article 26 of the Mexican Securities Market Law, that this meeting gives its positive qualification regarding the independence of the following directors who will be considered independent directors of the Company: i) José Manuel González Sordo; II) Juan Rafael Elvira Quesada; III) Alfonso Lebrija Guiot; IV) Carlos Césarman Kolteniuk; (v) Jorge Ezequiel Ordoñez Cortés; and VI) Luis Guillermo Zazueta Domínguez.
8. APPROVAL and ratification of the compensation paid to the members of the Company’s Board of Directors from April 19, 2017 and until the date of this meeting to the proprietary members, alternates, secretary (not a member) and alternate secretary (not a member).
9. APPROVAL that the financial statements reported a net loss of Ps. 1,859,000,000.00 (one billion, eight hundred and fifty-nine million pesos and 00/100 M.N.) which will be recorded as accumulated losses.
AHMSA is the largest steel producer in Mexico with the largest plant located in Northern Mexico. AHMSA was founded in 1942 and began operations in 1944. In December 1991, the company was privatized and Grupo Acerero del Norte, S.A. de C.V. (GAN) assumed control. In December 1995, GAN incorporated into AHMSA the iron ore and coal mines to convert AHMSA into an integrated steel producer in Mexico with a nominal capacity of 3.8 million MT of liquid steel per year. Since 2007, it has managed the Fénix Project, the most ambitious investment program in the Company’s history aimed at increasing installed capacity by at least 40% and enabling AHMSA to surpass 5 million MT of liquid steel per year following the incorporation of its new electric arc furnace. With this new equipment, AHMSA also expanded its ranges of steel and increased specifications, which allows the Company to enter new market niches.
In 2016, AHMSA held 14% share of the domestic steel market, 23% of the domestic market for flat products and 18% of exports from Mexico of finished steel products. The corporate headquarters and steel mills have an area of approximately 1,200 hectares and are located in Monclova, Coahuila de Zaragoza, 248 km from the U.S. border.