Bluescope Steel - Health, Safety, Environment and Community

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Annual Report 2004

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Health, Safety, Environment and Community

SAFETY - TOWARDS ZERO HARM

Tragically, a fatality occurred in our business on 29 June 2004 with the death of a contractor at our Brisbane Logistics Terminal in Australia.

Our goal of Zero Harm remains firm. As shown by the charts above, we have continued to make strong overall progress, with many businesses reporting noteworthy results.

In the 2003/04 financial year, we achieved further reductions in our two key safety indicators: Lost Time Injury Frequency Rate (LTIFR) and Medical Treatment Injury Frequency Rate (MTIFR). LTIFR was reduced by 28 per cent, and MTIFR was reduced by 26 per cent compared to 2002/03. 93 per cent of our employees were involved in conducting monthly safety audits.

ENVIRONMENT - CONTINUING PROGRESS

The 2003/04 financial year has seen us make further progress in improving the environmental performance of the Company's plants and operations.

BlueScope Steel products feature prominently in state-of-the-art sustainable housing developments such as Melbourne's GreenSmart display village.

A range of water-saving measures are being implemented at sites such as Port Kembla Steelworks and Western Port. Our Springhill operation is adopting a water conservation strategy that will save over 500,000 litres a day.

As a significant emitter of greenhouse gases, BlueScope Steel is working to achieve improvements in the carbon intensity of our operations and is continually taking steps to improve our energy management.

We have also continued to focus on ensuring our environmental management systems are robust.

COMMUNITY - OUR HOMES

The importance we place on our responsibilities as a corporate citizen is evidenced in Our Bond, which states: 'Our communities are our homes.' Our Bond links our success as a company to our success as a community member. Consequently, we conduct hundreds of projects and programs each year aimed at making a positive impact on people's lives.

Each year, BlueScope Steel supports a range of community programs around the world. We collaborate with community groups and support youth, the disadvantaged, the environment, the arts and cultural diversity. Some programs are also direct responses to emergency situations, such as earthquakes and floods. We are proud of the fact that many people continue to benefit from our programs. Over the 2003/04 financial year, we have continued our efforts to be a valued member of every community in which we operate.

Lost time injury frequency rate decreasing over the past ten years to 1.3 in 2004

Medical treatment injury frequency rate decreasing over the past seven years to 6.7 in 2004

HEALTH SAFETY ENVIRONMENT AND COMMUNITY REPORT // BlueScope Steel's credentials and progress in these areas will be reported in detail in the Company's 2003/04 Health Safety Environment and Community Report. This will be available in December 2004. Shareholders wishing to register and receive a copy of the Report can do so by visiting our website www.bluescopesteel.com or contacting BlueScope Steel Direct in Australia on 1800 675 230.