Moscow, Russia– March 29, 2012 – Mechel OAO (NYSE: MTL), one of the leading Russian mining and metals companies, announces that it commenced discussions with its lenders seeking waivers and amendments to certain of its credit facilities.

As a result of prevailing market conditions and a corresponding decline in market prices for its products, it expects to breach certain financial covenants in certain of its credit facilities for the year ended December 31, 2011.

Mechel has hired financial and other advisors and is currently in discussions with its lenders to seek relevant waivers and amendments of these credit facilities. Although Mechel is confident about the positive outcome of these discussions, no assurance can be given regarding whether, or on what terms, it will be able to secure such waivers and amendments.