Strategic Acquisition: OmniSource Corporation - Steel Dynamics, Inc.

Strategic Acquisition:
OmniSource Corporation
Investor Presentation
October 2, 2007

Forward-Looking Statements
This presentation contains predictive statements about future events, including statements related to
conditions in the steel marketplace and the future growth of Steel Dynamics’ and OmniSource’s
revenues and profitability.
These statements are intended to be made as “forward-looking” within the safe harbor protections of
the Private Securities Litigation Reform Act of 1995. Such predictive statements are not guarantees of
future performance, and actual results could differ materially from our current expectations.
We refer you to our detailed explanation of the many factors and risks that may cause such predictive
statements to turn out differently, as set forth in the most recent Steel Dynamics’ Annual Report on
Form 10-K and in other reports which we from time to time file with the Securities and Exchange
Commission, available publicly on the SEC’s web site at www.sec.gov and on our Web site at
www.steeldynamics.com.
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October 2, 2007

Management Participants
Keith Busse
Chairman and CEO
Steel Dynamics, Inc.
Danny Rifkin
President and CEO
OmniSource Corporation
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October 2, 2007

Transaction Overview
Steel Dynamics (“SDI”) acquires OmniSource for approximately $1 billion in a 50/50
cash/stock transaction
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$425 million of cash
9.3 million SDI shares valued at $425 million
400,000 SDI shares valued at $18 million reflecting the shared benefits of a favorable
tax structure with an estimated present value of $106 million to SDI
Assumption of approx. $210 million of OmniSource net debt expected at closing
Financed with cash on hand and debt
OmniSource President and CEO, Danny Rifkin, will continue to lead OmniSource and will
also re-join SDI’s Board of Directors
_
As an EVP of SDI, Danny Rifkin will lead all of the company’s ferrous and non-ferrous
processing and brokerage activities
Potential annual run-rate pretax synergies of $15 million
Acquisition expected to be accretive to 2008 excluding synergies
Closing expected early in fourth quarter 2007
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October 2, 2007

Strategic Rationale
Tremendous platform for future growth
_ Scrap industry fundamentals are very strong and are expected to remain strong for
the foreseeable future
_ OmniSource’s size and acquisition track record provide SDI a strong platform to
make further acquisitions within the highly fragmented North American scrap
industry
Unites pre-eminent steel producer with pre-eminent scrap processor
Vertical integration – uniquely enables SDI to capture value on every step of the value
chain and provides unencumbered access to scrap
_ In conjunction with SDI’s Mesabi Nugget investment, helps insulate SDI from
extreme scrap and iron ore pricing volatility
Low risk transaction – OmniSource is the ideal partner for SDI
_ Complementary geographic footprint – provides for significant potential
transportation synergies
_ Opportunity for significant working capital savings
_ Long and rich history – OmniSource was instrumental in helping launch SDI and is
one of SDI’s largest scrap suppliers
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October 2, 2007

Ferrous Scrap Market Overview
Highly fragmented industry with many family-owned businesses
Over the last several years, scrap values have increased significantly, driven by:
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The rise in global steel production
Consolidation among scrap processors
_ Reduced availability of prime industrial scrap resources due to reduced domestic
manufacturing activity and improved industrial and automotive efficiencies
Although scrap prices will continue to be volatile, they are expected to remain strong for
the foreseeable future
_ Scrap is a semi-finite resource with limited availability
_ The number of scrap vendors available to scrap buyers has been reduced
_ Continued exports of scrap from the U.S. to overseas steel producers
_ De-linking of finished steel prices and scrap prices
As a result, scrap industry fundamentals are expected to remain strong
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October 2, 2007

OmniSource Overview
Founded in 1943 by Irving Rifkin and headquartered in Fort Wayne, Indiana
One of the largest processors and distributors of scrap and secondary metals in North
America
Engages in scrap metal processing, transportation, marketing, brokerage, management
and consulting in North America
Strategic relationships with industrial scrap generators and consumers
Relationships include automotive OEMs and suppliers, steel processors, steel mills,
foundries, wire and cable producers, utilities and telephone networks
Designed, installed and managed customized programs for industrial manufacturing
companies as part of scrap management and consulting practice
Employs 2,000 people in 42 facilities located in the eastern U.S. and Canada
In fiscal 2006 (1) , processed 5.7 million tons of ferrous and 800 million lbs. of non-ferrous
metals, generating sales of $2.3Bn and EBITDA of $159MM
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(1) Based on OmniSource fiscal year 2006 ending September 30, 2006; pro forma for acquisitions completed in FY2006; includes joint venture
income and excludes non-recurring items
October 2, 2007

OmniSource Products and Services
Ferrous Products – produces an array of ferrous
scrap products for foundry and steel mill
applications
Non-Ferrous Products – produces an array of nonferrous
scrap products (e.g., aluminum, brass,
copper, stainless steel etc.) for use in foundry, mill,
refining and smelting applications
Superior Aluminum – produces specification
aluminum alloys in the form of ingots, sows and
molten metal
Scrap Management – develops and manages
custom-designed facilities for scrap handling,
disposal and/or procurement for scrap generators
and consumers
Brokerage and Trading – includes ferrous and nonferrous
scrap, scrap alternatives, secondary and
primary metals
Transportation – coordinates all freight and logistics
by truck, rail or river barge
Non-
Ferrous
2006 Sales By Scrap Type
Stainless
32%
6%
62%
Ferrous
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October 2, 2007

OmniSource Acquisitions and Joint Ventures: 1998 – Present
OmniSource has an excellent track record of identifying, executing and
integrating value-accretive acquisitions and joint ventures
OmniSource represents a strong growth platform for SDI
10/98
Acquisition of
Jackson Fibers
1/98
Acquisition of
Jackson Iron &
Metal
3/99
Acquisition of Midstates
Steel Handling
4/01
Acquisition of Dobrow
Industries
6/04
Acquisition of Admetco
Acquired 50% interest in
Carolinas Recycling Group
4/03
Acquisition of Abe
Sposeep & Sons
3/06
Acquisition of K&F
Industries + 1/3 MKO
Interest
1998 1999 2000 2001 2002 2003 2004 2005 2006 2007
2008 &
Beyond
3/98
Acquisition of
A. Edelstein
1/99
Acquisition of
Industrial Scrap
5/99
Acquisition of Scrap
Assets from Midwest
Pipe & Steel
10/02
Acquisition of Loef
Metal Cos.
3/04
Acquisition of
H. Hirschfield & Sons
8/04
Acquisition of L.
Surath & Sons
12/06
Acquisition of
Kokomo and Tipton +
1/3 MKO Interest
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October 2, 2007

Complementary Strategic Facility Locations
OmniSource’s facility
locations are highly
complementary to SDI’s
manufacturing facilities
Toledo
Provides significant potential
for transportation synergies
Key to symbols
St. Louis
Indianapolis
OmniSource Facilities
OmniSource Affiliate (1)
Recycled South (2)
SDI Steel Processing Facilities
SDI Steel Mills
SDI Scrap Facilities
Atlanta
Jacksonville
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(1) Represents Cumberland Recycling Group facilities
(2) Recycled South LLC (CRG/ASAP/OmniSource facilities
October 2, 2007

SDI and OmniSource History
SDI and OmniSource have a long and rich history
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OmniSource’s Rifkin family was among the original investors and helped launch
SDI in 1993
OmniSource initially served as SDI’s exclusive scrap agent and has continued to
be a supplier to SDI since 1993
OmniSource is currently one of SDI’s largest scrap suppliers
Leonard Rifkin, current OmniSource Chairman, was one of the original SDI
Board members, serving as a Director from 1994 to 2002
Danny Rifkin will rejoin SDI’s Board of Directors after previously serving as a
Director from 2002 to 2003
SDI and OmniSource have discussed a strategic combination for many years
The historic relationship between SDI and OmniSource helps mitigate the risk of the
transaction
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October 2, 2007

Fiscal 2006 (1) Financial Summary
($ and Tonnage in millions)
Tons Shipped / Processed
Steel Dynamics
4.7
OmniSource
5.3 (2)
Revenue
$3,239
$2,255
EBITDA (3) $777
$159
EBIT (3) $662
$134
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(1) Steel Dynamics fiscal year ending December 31, 2006. OmniSource fiscal year ending September 30, 2006.
(2) OmniSource tonnage represents ferrous processed; in fiscal 2006 OmniSource also processed 774 million lbs. of non-ferrous metals
(3) Pro forma for acquisitions completed in FY2006; includes joint venture income and excludes non-recurring items
October 2, 2007

Pro Forma Steel Dynamics
SDI’s s History of Acquisitions
Pro Forma 2006 Revenue Mix
Steel Fabrication
5%
Resources 39%
56%
Steel Production
Pro Forma 2006 Shipments Mix
Steel Fabrication
2%
• October 2007 – Announced
OmniSource acquisition
• July 2007 – Acquired The Techs
• April 2007 – Purchased two Tennessee
scrap yards
• April 2006 – Acquired Roanoke Electric
Steel Corporation
• March 2003 – Acquired Jeffersonville,
Indiana, galvanizing plant
• September 2002 – Acquired Pittsboro,
Indiana, SBQ mill
Resources
43%
55%
Steel Production
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October 2, 2007

Transaction Summary
Provides strong platform for future growth in both steel production and scrap
processing
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SDI and OmniSource expect to continue to grow their respective relationships
with other scrap suppliers and steel mills
Continued opportunity for growth both on greenfield and M&A basis
Enables SDI to capture value on every step of the value chain
In conjunction with SDI’s recent Mesabi Nugget investment, insulates SDI from
extreme scrap and iron ore pricing volatility
Low risk transaction – ideal partners
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Complementary geographic footprints
Long and rich history
Financially attractive acquisition
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Accretive to 2008E earnings excluding synergies
Potential annual run-rate pretax synergies of $15MM
Maintains financial flexibility post-transaction
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October 2, 2007

Fiscal 2006 EBITDA Reconciliation (1)
($ in millions)
Steel Dynamics OmniSource
Income Before Income Taxes
$631.6
$116.3
Interest Expense, Net
31.0
11.1
EBIT (2) 662.5
134.1
Adjustments
--
6.7
(1)
Depreciation & Amortization
114.8
25.0
EBITDA (2) 777.3
159.1
Adjustments:
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Gain on Sale of Assets
Excess Compensation and Severance
Unrealized Gain on Hedging Activities
Reversal of Allowances
Expensed Capital and Related Party Lease Expense
Other Expenses
Annualized Acquisitions, Joint Ventures and Divestitures
Total Adjustments
(1) Steel Dynamics’ fiscal year end is December 31, 2006; OmniSource’s fiscal year end is September 30, 2006
(2) Numbers may not add up due to rounding
(11.3)
5.9
(7.1)
1.2
5.5
3.9
8.6
6.7
October 2, 2007