Birmingham Steel Corporation Announces Commencement of Start-up Operations at Cartersville Facility.

BIRMINGHAM, Ala.--(BUSINESS WIRE)--March 3, 1999--Birmingham Southeast, LLC, an affiliate of Birmingham Steel Corporation (NYSE:BIR), today announced that its new medium section rolling mill in Cartersville, Georgia, has commenced start-up operations. The rolling mill phase follows the January start-up of a new billet/bloom/beam blank caster at the Cartersville facility.

The Company stated that the expected annual capacity of the new Cartersville mill will be 800,000 tons. The mill is expected to produce a variety of medium section structural steel products (ranging in widths from 3 to 12 inches) including flats, angles, channels and standard and wide flange beams.

Robert A. Garvey, Chairman and Chief Executive Officer of Birmingham Steel, commented, "We are pleased to announce the official start-up of the Cartersville mill, which represents the final stage of an aggressive $600 million capital expansion program begun by the Company four years ago. The products manufactured on the new Cartersville mill will open new markets for Birmingham Steel and complement the product offerings of our other locations."

Garvey continued, "Upon completion of start-up operations at Cartersville, Birmingham Steel's customers will be able to source from one supplier a wide range of steel products -- from one-half inch round bars up through 12-inch channels and beams. In addition, customers will be able to source products from any of our locations nationwide by communicating directly with a sales team assigned to support each customer."

Birmingham Steel operates in the mini-mill sector of the steel industry and conducts operations at facilities located across the United States. The Company produces steel reinforcing bar, merchant products and SBQ (special bar quality) bar, rod and wire. The common stock of Birmingham Steel Corporation is traded on the New York Stock Exchange under the symbol "BIR." Birmingham Southeast, LLC, is a joint venture owned 85% by Birmingham Steel Corporation and 15% by IVACO, Inc.

Notice: except for historical information, the matters described in this document are forward-looking statements within the meaning of the safe-harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that may cause actual results to differ materially, including economic conditions, market demand factors, equipment breakdowns or failures, as well as other risks described from time to time in the Corporations' periodic and special filings with Securities and Exchange Commission. Any forward-looking statements contained in this document speak only as of the date hereof, and the Corporation disclaims any intent or obligation to update such forward-looking statements. Comparison of results for current and prior periods are not necessarily indicative of future performance and should not be relied upon for any purpose other than as historical data.