Recommended Dividend and Date of AGM

Recommended Dividend and Date of Annual General Meeting ("AGM")

The Board of Directors of Severstal ("Severstal", "the Company") (LSE: SVST; MICEX-RTS: CHMF), one of the world's leading vertically integrated steel and steel-related mining companies, is recommending a dividend of 27.73 roubles per share for the twelve months ended 31 December 2016.

Approval of the dividend is expected at the Company's AGM which will take place on 9 June 2017 at Steel Matallurgists Palace, Stalevarov street 41, Cherepovets, Vologda Region, Russia. Registration for the AGM will start at 11.00 am (MT) with the meeting itself starting at 12.00 pm (MT). The agenda for the AGM will be approved by the Board and announced at a later date.

The record date for participation in the AGM is 15 May 2017.

If the dividend payment for the 12 months ended 31 December 2016 is approved at the AGM, the record date for this dividend payment will be 20 June 2017.

For further information please contact:

Investor Relations

Evgeny Belov

T: +7 (495) 926-77-66

evgenii.belov@severstal.com

Public Relations

Anastasia Mishanina

T: +7 (495) 926-77-66

anastasia.mishanina@severstal.com

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PАО Severstal is one of the world's leading vertically integrated steel and steel related mining companies, with assets in Russia, Ukraine, Latvia, Poland, Italy and Liberia. Severstal is listed on RTS and MICEX and the company's GDRs are traded on the LSE. Severstal reported revenue of $6,396 million and EBITDA of $2,096 million in 2015. Severstal's crude steel production in 2016 reached 11.6 million tonnes. www.severstal.com