The financial and operational information contained in this press release is based on Ternium S.A.'s consolidated financial statements prepared in accordance with International Financial Reporting Standards (IFRS) and presented in U.S. dollars and metric tons.

Summary of Second Quarter 2009 Results

                                 2Q 2009    1Q 2009          2Q 2008 Shipments (tons)               1,519,000  1,504,000    1%  2,063,000   -26% Net Sales (US$ million)          1,140.3    1,174.7   -3%    2,364.2   -52% Operating (Loss) Income (US$  million)                          (52.1)     (26.5)           606.2 EBITDA (US$ million)                43.4       95.0  -54%      708.1   -94% EBITDA Margin (% of net sales)         4%         8%              30% EBITDA per Ton, Flat & Long  Steel (US$)                          18         55  -67%        335   -95% Net Foreign Exchange Result  (US$ million)                     219.1     (160.5)            99.7 Discontinued Operations Result  (US$ million)                     428.0          -                - Net Income (Loss) (US$  million)                          584.7     (117.0)           495.7 Equity Holders' Net Income  (Loss) (US$ million)              562.8      (93.2)           415.6 Earnings (Loss) per ADS (US$)       2.81      (0.46)            2.07 

 --  EBITDA(1)of US$43.4 million in the second quarter 2009, down US$51.6     million quarter-over-quarter, mainly as a result of a US$34 decrease in     revenue per ton compared to the first quarter 2009, as shipments and     operating cost per ton remained relatively stable. --  Earnings per American Depositary Share (ADS)(2) of US$2.81 in the     second quarter 2009, which includes a US$2.31 gain as a result of the     transfer of the Sidor shares to Venezuela.  Additionally, the second     quarter 2009 includes a US$0.76 non-cash foreign exchange gain per ADS on     Ternium's Mexican subsidiary's US dollar denominated debt, compared to a     US$0.86 loss in the first quarter 2009. --  Positive free cash flow(3) of US$354.2 million in the second quarter     2009, mainly related to a reduction in working capital.  In addition,     Ternium collected an initial cash payment of US$400.0 million in connection     with the transfer of the Sidor shares to Venezuela. --  Net financial debt(4) of US$1.0 billion at the close of the second     quarter 2009, a decrease of US$759.8 million compared to the close of the     first quarter 2009.      

Ternium's operating result in the second quarter 2009 was a loss of US$52.1 million, compared to a loss of US$26.5 million in the first quarter 2009, mainly due to lower revenue per ton. Additionally, there was a US$34.1 million net charge in the second quarter 2009 related to personnel reductions, compared to US$8.3 million in the first quarter 2009. The operating result in the second quarter 2009 was US$658.3 million lower than that of the second quarter 2008, mainly due to a 26% decrease in shipments, a 35% decrease in revenue per ton and an 8% decrease in operating cost per ton.

Net income was US$584.7 million in the second quarter 2009, compared to a net loss of US$117.0 million in the first quarter 2009. The sequential improvement was mainly due to a US$482.3 million gain, including discontinued operations and after-tax interest income results, related to the transfer of the Sidor shares to Venezuela. Additionally, there was a US$379.6 million increase in the above mentioned net foreign exchange results, partially offset by a US$141.9 million change in income tax results and a US$25.6 million reduction in operating income. The second quarter 2009 net income was US$89.0 million higher than net income in the second quarter 2008. The year-over-year increase was mainly due to a US$658.3 million lower operating result, offset by a US$482.3 million gain in connection with the transfer of the Sidor shares to Venezuela, a US$162.8 million reduction in income tax expense and a US$119.4 million higher net foreign exchange result.

Summary of First Half 2009 Results

                                                1H 2009     1H 2008 Shipments (tons)                              3,023,000   4,151,000    -27% Net Sales (US$ million)                         2,315.0     4,306.9    -46% Operating (Loss) Income (US$ million)             (78.6)      965.6 EBITDA (US$ million)                              138.3     1,172.5    -88% EBITDA Margin (% of net sales)                        6%         27% EBITDA per Ton, Flat & Long Steel (US$)              45         273    -84% Net Foreign Exchange Result (US$ million)          58.5       139.9 Discontinued Operations Result (US$ million)      428.0       159.9 Net Income (US$ million)                          467.7       976.4    -52% Equity Holders' Net Income (Loss) (US$ million)   469.6       837.8    -44% Earnings per ADS (US$)                             2.34        4.18    -44% 

 --  EBITDA(5) of US$138.3 million in the first half 2009, down 88%     compared to the first half 2008, mainly due to lower shipments and revenue     per ton. --  Earnings per American Depositary Share (ADS)(6) of US$2.34 in the     first half 2009, which includes a US$2.31 per ADS gain as a result of the     transfer of the Sidor shares to Venezuela. --  Positive free cash flow(7) of US$695.2 million in the first half 2009,     as Ternium reduced its steel inventories by 530,000 tons and its capital     expenditures by 55% compared to the first half 2008.      

Ternium's operating result in the first half 2009 was a loss of US$78.6 million, compared to a gain of US$965.6 million in the first half 2008, as shipments decreased 1.1 million tons and revenue per ton decreased US$268, while operating cost per ton remained relatively stable.

Ternium had net income of US$467.7 million in the first half 2009, compared to net income of US$976.4 million in the first half 2008. The year-over-year decrease was mainly due to a US$1.0 billion reduction in operating income and a US$81.4 million decrease in net foreign exchange results, partially offset by a US$269.2 million change in income tax results, a US$268.1 million increase in discontinued operations gain and US$57.1 million interest income related to the Sidor financial asset.

Outlook

Ternium expects apparent demand in its main markets to gradually increase in the third quarter 2009, as the destocking process in the steel value chain is drawing to a close in most of the Americas. The company anticipates positive operating results during the third quarter 2009, as a result of lower operating cost per ton, higher shipments and relatively stable revenue per ton, and an average capacity utilization of approximately 70%.

Analysis of Second Quarter 2009 Results

Net income attributable to the Company's equity holders in the second quarter 2009 was US$562.8 million, compared to US$415.6 million in the second quarter 2008. Including minority interest, net income for the second quarter 2009 was US$584.7 million, compared to US$495.7 million in the second quarter 2008. Earnings per ADS(8) for the second quarter 2009 were US$2.81, compared to US$2.07 in the second quarter 2008.

Net sales in the second quarter 2009 were US$1.1 billion, 52% lower than net sales in the second quarter 2008. Shipments of flat and long products were 1.5 million tons during the second quarter 2009, a decrease of 26% compared to shipment levels in the second quarter 2008, mainly due to a decrease in demand in Ternium's main steel markets. Revenue per ton shipped was US$727 in the second quarter 2009, a decrease of 35% compared to the same quarter in 2008, mainly as a result of lower prices.

           Net Sales (million US$)     Shipments          Revenue / ton                                    (thousand tons)         (US$/ton)            2Q 2009 2Q 2008 Dif.  2Q 2009 2Q 2008 Dif.  2Q 2009 2Q 2008 Dif. South &  Central  America     368.9   719.9  -49%   424.2   690.9  -39%    870   1,042  -17% North  America     557.8 1,264.6  -56%   765.5 1,042.2  -27%    729   1,213  -40% Europe &  other        45.7    10.0          77.5    11.6          590     864            ------- ------- ----  ------- ------- ----  ------ ------- ---- Total flat  products    972.4 1,994.5  -51% 1,267.1 1,744.7  -27%    767   1,143  -33% South &  Central  America      13.4    62.1  -78%    31.5    67.9  -54%    425     913  -54% North  America     118.6   253.8  -53%   220.6   249.6  -12%    538   1,017  -47% Europe &  other         0.0     0.6           0.0     1.0          717     630            ------- ------- ----  ------- ------- ----  ------ ------- ---- Total long  products    132.0   316.4  -58%   252.2   318.5  -21%    524     993  -47% Total flat  and long  products  1,104.4 2,311.0  -52% 1,519.3 2,063.2  -26%    727   1,120  -35% Other  products     35.9    53.2  -33%            ------- ------- ---- Total Net  Sales     1,140.3 2,364.2  -52% (1) Primarily includes iron ore, pig iron and pre-engineered metal     buildings. 

Sales of flat products during the second quarter 2009 totaled US$972.4 million, a decrease of 51% compared with the same quarter in 2008. Net sales decreased as a result of lower shipments and revenue per ton. Shipments of flat products totaled 1.3 million tons in the second quarter 2009, a decrease of 27% compared with the same period in 2008, mainly due to a decrease in demand in Ternium's main steel markets. Revenue per ton shipped of flat products decreased 33% to US$767 in the second quarter 2009 compared with the same period in 2008, mainly due to lower steel prices, partially offset by a higher priced product mix.

Sales of long products were US$132.0 million in the second quarter 2009, a decrease of 58% compared to the same period in 2008 mainly due to lower volumes and prices. Shipments of long products totaled 252,000 tons in the second quarter 2009, a 21% decrease versus the same quarter in 2008, due to lower demand for long finished products and lower billet shipments. Revenue per ton shipped was US$524 in the second quarter 2009, a decrease of 47% compared to the second quarter 2008, mainly due to lower steel prices.

Sales of other products totaled US$35.9 million during the second quarter 2009, compared with US$53.2 million during the second quarter 2008. The decrease was mainly driven by lower revenue from pig iron and pre-engineered metal building systems.

Sales of flat and long products in the North America Region were US$676.4 million in the second quarter 2009, a decrease of 55% versus the same period in 2008, due to lower shipments and prices. Shipments in the region totaled 986,000 tons during the second quarter 2009, or 24% lower than in the same period in 2008, as a result of lower demand in the region's main markets. Revenue per ton shipped in the region decreased 42% to US$686 in the second quarter 2009 over the same quarter in 2008, mainly due to lower prices.

Flat and long product sales in the South & Central America Region were US$382.3 million during the second quarter 2009, a decrease of 51% versus the same period in 2008, due to lower shipments and prices. Shipments in the region totaled 456,000 tons during the second quarter 2009, or 40% lower than in the second quarter 2008, due to a lower overall steel demand in the region. Revenue per ton shipped was US$839 in the second quarter 2009, a decrease of 19% compared to the same quarter in 2008, mainly due to lower prices, partially offset by a higher priced product mix.

Cost of sales totaled US$1.0 billion in the second quarter 2009, compared to US$1.6 billion in the second quarter 2008. Cost of sales decreased mainly as a result of lower shipments and lower cost per ton. Cost per ton in the second quarter 2009 decreased year-over-year due to the effect in the second quarter 2009 of inventory write-downs performed in the previous quarters, the impact on costs of the Mexican Peso's and Argentine Peso's year-over-year devaluation versus the US dollar and lower energy costs, partially offset by increases in the cost of raw materials resulting from the consumption of higher cost inventories, the impact on fixed costs per ton resulting from lower production volumes in the second quarter 2009 and higher personnel reduction charges.

Selling, General and Administrative (SG&A) expenses in the second quarter 2009 were US$143.0 million, or 13% of net sales, compared with US$179.6 million, or 8% of net sales, in the second quarter 2008. The decrease in SG&A was mainly due to the impact on costs of the Mexican Peso's and Argentine Peso's devaluation versus the US Dollar, lower activity levels, and lower expenses as a result of the initiatives Ternium is carrying out to adjust to the current environment, partially offset by higher personnel reduction charges.

Operating results in the second quarter 2009 were a loss of US$52.1 million, compared with a gain of US$606.2 million, or 26% of net sales, in the second quarter 2008.

EBITDA(9) in the second quarter 2009 was US$43.4 million, or 4% of net sales, compared with US$708.1 million, or 30% of net sales, in the second quarter 2008.

Net financial results were a gain of US$254.0 million in the second quarter 2009, compared with a gain of US$97.2 million in the second quarter 2008. During the second quarter 2009, Ternium's net interest expenses totaled US$26.9 million, an increase of US$8.8 million compared to the second quarter 2008 due to lower interest rates on Ternium's cash position, partially offset by lower net indebtedness.

Net foreign exchange result was a gain of US$219.1 million in the second quarter 2009 compared to a gain of US$99.7 million in the same period in 2008. The second quarter 2009 gain was primarily due to the impact of the Mexican Peso's 8% revaluation on Ternium's Mexican subsidiary's US dollar denominated debt. This result is non-cash when measured in US dollars and is offset by changes in Ternium's net equity position in the currency translation adjustments line, as the value of Ternium Mexico's US dollar denominated debt is not altered by the Mexican Peso's fluctuation when stated in US dollars in Ternium's consolidated financial statements. In accordance with IFRS, Ternium Mexico prepares its financial statements in Mexican Pesos and registers foreign exchange results on its net non-Mexican Pesos positions when the Mexican Peso revaluates or devaluates relative to other currencies.

Interest income on the Sidor financial asset was US$57.1 million in the second quarter 2009. This result is attributable to the Sidor financial asset in connection with the transfer of Sidor shares on May 7, 2009.