Review of performance.

Hoeganaes’ Gallatin plant, USA

As reported with the first half results in August 2011, the Hoeganaes Gallatin plant in the US was temporarily closed on 27 May 2011, following an explosion which resulted in fatalities. Production was gradually brought back during the third quarter. In total, £34 million of incremental shipping, purchasing and plant closure and remedial works costs were recorded. £15 million has subsequently been recovered from external insurance claims. Further details are given in note 2 to the financial statements.