================================================================================

                                  UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                             WASHINGTON, D.C. 20549

                                   ----------

                                    FORM 10-Q

              [X] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d)
                     OF THE SECURITIES EXCHANGE ACT OF 1934

                  For the Quarterly Period Ended March 31, 2005

                                       or

              [ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d)
                     OF THE SECURITIES EXCHANGE ACT OF 1934

           For the Transition Period from __________ to ______________

                         Commission file number 1-31926

                           MITTAL STEEL USA ISG INC.*
             (Exact Name of Registrant as Specified in Its Charter)

                   DELAWARE                                     71-0871875
       ---------------------------------                  ----------------------
         (State or Other Jurisdiction                        (I.R.S. Employer
       of Incorporation or Organization)                  Identification Number)

      4020 Kinross Lakes Parkway, Richfield, Ohio               44286-9000
-----------------------------------------------------           -----------
(Address of Registrant's Principal Executive Offices)           (Zip Code)

                                 (330) 659-9100
               ---------------------------------------------------
               (Registrant's Telephone Number Including Area Code)

                         INTERNATIONAL STEEL GROUP, INC.
                 ----------------------------------------------
                 (Former Name, Former Address and Former Fiscal
                       Year, if changed since Last Report)

    The Registrant meets the conditions set forth in General Instruction H of
      Form 10-Q and is therefore filing this Form in the reduced disclosure
                     format as set forth in that instruction

Indicate by check mark whether the registrant: (1) has filed all reports
required to be filed by Section 13 or 15(d) of the Securities Exchange Act of
1934 during the preceding 12 months (or for such shorter period that the
registrant was required to file such reports), and (2) has been subject to such
filing requirements for the past 90 days. Yes [X] No [ ]

Indicate by check mark whether the registrant is an accelerated filer (as
defined in Rule 12b-2 of the Exchange Act). Yes [X] No [ ]

As of May 10, 2005, the Registrant had 100 shares of common stock, par value
$0.01 per share, all of which is ultimately owned by Mittal Steel Company N.V.,
a company organized under the laws of The Netherlands ("Mittal Steel").

        * On April 15, 2005, Mittal Steel USA ISG Inc. (formerly known as
        International Steel Group Inc.), a Delaware corporation (the "Company"
        or "Mittal Steel USA ISG"), merged with Park Acquisition Corp., a
        Delaware corporation and a wholly owned subsidiary of Mittal Steel, with
        Mittal Steel USA ISG surviving the merger as a wholly owned subsidiary
        of Mittal Steel (the "Merger"). In connection with the Merger,
        International Steel Group Inc. was renamed "Mittal Steel USA ISG Inc."
        Pursuant to the Merger, Mittal Steel USA ISG Inc. no longer has a class
        of equity securities registered under the Securities Exchange Act of
        1934 (the "Exchange Act"). However, pursuant to the terms of the
        Indenture, dated as of April 14, 2004, by and between the Company and
        The Bank of New York, the Company is obligated to continue filing
        periodic and other reports with the SEC.

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<PAGE>

                                TABLE OF CONTENTS

PART I - FINANCIAL INFORMATION
     ITEM 1. FINANCIAL STATEMENTS..........................................    3
     ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL
             CONDITION AND RESULTS OF OPERATIONS...........................   11
     ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK....   14
     ITEM 4. CONTROLS AND PROCEDURES.......................................   15
PART II - OTHER INFORMATION
     ITEM 1. LEGAL PROCEEDINGS.............................................   17
     ITEM 6. EXHIBITS......................................................   20
SIGNATURE..................................................................   21

                                        2
<PAGE>

PART I
ITEM 1. FINANCIAL STATEMENTS

                            MITTAL STEEL USA ISG INC.
                      CONSOLIDATED STATEMENTS OF OPERATIONS
                                   (Unaudited)
                  (Dollars in millions, except per share data)

<TABLE>
<CAPTION>
                                                      THREE MONTHS ENDED MARCH 31,
                                                     -----------------------------
                                                          2005            2004
                                                     -------------   -------------
<S>                                                  <C>             <C>
Net sales ........................................   $     2,659.6   $     1,770.3
Costs and expenses:
  Cost of sales ..................................         2,255.3         1,606.3
  Marketing, administrative, and other expenses ..            72.6            48.7
  Depreciation and amortization ..................            41.3            28.8
                                                     -------------   -------------
Total costs and expenses .........................         2,369.2         1,683.8

Income from operations ...........................           290.4            86.5

Gain on sale of assets ...........................            (9.6)             --
Interest and other financing expense, net ........            10.8            10.4
                                                     -------------   -------------
Income before income taxes .......................           289.2            76.1
Provision for income taxes (Note 6) ..............           107.6             5.2
                                                     -------------   -------------
Net income .......................................   $       181.6   $        70.9
                                                     =============   =============
Income per common share:
    Basic ........................................   $        1.82   $        0.73
    Diluted ......................................   $        1.76   $        0.68
</TABLE>

See accompanying notes to consolidated financial statements.

                                        3
<PAGE>

                            MITTAL STEEL USA ISG INC.
                           CONSOLIDATED BALANCE SHEETS
                      MARCH 31, 2005 AND DECEMBER 31, 2004
                    (Dollars in millions, except share data)

<TABLE>
<CAPTION>
                                                                   MARCH 31,      DECEMBER 31,
                                                                     2005             2004
                                                                -------------    -------------
                                                                 (Unaudited)
<S>                                                             <C>              <C>
                   ASSETS

Current assets:
  Cash and cash equivalents .................................   $       629.1    $       606.7
  Receivables, less allowances of $57.6 and $50.1 ...........           966.4            830.7
  Inventories ...............................................         1,483.5          1,320.4
  Assets held for sale ......................................            36.0             39.6
  Deferred income taxes                                                  76.9             75.1
  Prepaid and other current assets ..........................            54.9             57.8
                                                                -------------    -------------
    Total current assets ....................................         3,246.8          2,930.3

Property, plant and equipment, at cost ......................         1,376.5          1,314.9
Less: Accumulated depreciation and amortization .............           249.7            210.0
                                                                -------------    -------------
  Property, plant and equipment, net ........................         1,126.8          1,104.9
Deferred income taxes .......................................           349.3            354.8
Investments in joint ventures ...............................            27.7             27.9
Other assets ................................................            70.0             70.7
                                                                -------------    -------------
    Total assets ............................................   $     4,820.6    $     4,488.6
                                                                =============    =============

         LIABILITIES AND STOCKHOLDERS' EQUITY

Current liabilities:
  Current portion of long-term debt and capital leases ......   $        56.1    $        57.6
  Accounts payable ..........................................           819.7            758.9
  Accrued compensation and benefits .........................           317.5            289.4
  Accrued taxes .............................................           216.7            156.2
  Other current liabilities .................................           110.6            118.9
                                                                -------------    -------------
    Total current liabilities ...............................         1,520.6          1,381.0

Long term liabilities:
  Debt ......................................................           634.7            637.2
  Capital leases ............................................           167.7            169.6
  Environmental liabilities .................................           162.4            164.3
  Pensions and other retiree benefits .......................           131.1            123.0
  Other obligations .........................................             7.6              9.4
                                                                -------------    -------------
    Total liabilities .......................................         2,624.1          2,484.5

Stockholders' equity:
  Preferred Stock, $0.01 par value per share,
   authorized 5,000 shares, none issued .....................              --               --
  Common Stock, $0.01 par value per share, authorized
   108,600,000 shares, and 100,035,950 issued and outstanding             1.0              1.0
  Additional paid-in capital ................................         1,023.8          1,023.3
  Retained earnings .........................................         1,179.9            998.4
  Accumulated other comprehensive income ....................            11.4              1.0
  Treasury Stock, 641,089 shares at cost ....................           (19.6)           (19.6)
                                                                -------------    -------------
    Total stockholders' equity ..............................         2,196.5          2,004.1
                                                                -------------    -------------

Total liabilities and stockholders' equity ..................   $     4,820.6    $     4,488.6
                                                                =============    =============
</TABLE>

See accompanying notes to consolidated financial statements.

                                        4
<PAGE>

                            MITTAL STEEL USA ISG INC.
                      CONSOLIDATED STATEMENTS OF CASH FLOWS
                                   (Unaudited)
                              (Dollars in millions)

<TABLE>
<CAPTION>
                                                                 THREE MONTHS ENDED MARCH 31,
                                                                ------------------------------
                                                                     2005             2004
                                                                -------------    -------------
<S>                                                             <C>              <C>
Cash flows from operating activities:
  Net income ................................................   $       181.6    $        70.9
  Adjustments for items not affecting cash from operating
   activities:
    Depreciation and amortization ...........................            41.3             28.8
    Other ...................................................            (6.0)             1.9
  Changes in working capital and other items:
    Receivables .............................................          (134.8)          (130.6)
    Inventories .............................................          (163.1)            78.5
    Prepaids and other assets ...............................            11.4            (65.6)
    Accounts payable ........................................            60.8             83.4
    Income taxes ............................................            57.3              8.3
    Accrued compensation and benefits .......................            36.1            (18.7)
    Other ...................................................            (3.6)           (10.1)
                                                                -------------    -------------
      Net cash provided by operating activities .............            81.0             46.8
                                                                -------------    -------------
Cash flows from investing activities:
  Capital expenditures and investments ......................           (61.8)           (27.5)
  Proceeds from sales of assets .............................            13.0              5.8
                                                                -------------    -------------
      Net cash used in investing activities .................           (48.8)           (21.7)
                                                                -------------    -------------
Cash flows from financing activities:
  Payments on long-term debt ................................            (3.8)           (11.3)
  Payments on capital leases ................................            (6.0)            (7.5)
  Issuance of common stock, net .............................              --              1.1
                                                                -------------    -------------
      Net cash used in financing activities .................            (9.8)           (17.7)
                                                                -------------    -------------
      Increase in cash and cash equivalents .................            22.4              7.4
Cash and cash equivalents - beginning of period .............           606.7            193.6
                                                                -------------    -------------
Cash and cash equivalents - end of period ...................   $       629.1    $       201.0
                                                                =============    =============
Other information:
  Interest paid .............................................   $         8.0    $         9.1
  Income taxes (received) paid, net .........................            45.8             (3.1)
  Capital lease obligation incurred .........................              --              3.9
</TABLE>

See accompanying notes to consolidated financial statements.

                                        5
<PAGE>

                            MITTAL STEEL USA ISG INC.
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                                   (Unaudited)
             (Dollars and shares in millions, except per share data)

(1)  BASIS OF PRESENTATION

     In connection with the merger (Merger) of International Steel Group Inc.
     with a wholly owned subsidiary of Mittal Steel Company N.V. (Mittal Steel),
     ISG was renamed "Mittal Steel USA ISG Inc." Mittal Steel USA ISG Inc.
     (formerly known as International Steel Group Inc.) is referred to herein as
     the "Company."

     These interim financial statements are unaudited and include only selected
     notes. They do not contain all information required for annual statements
     under United States generally accepted accounting principles and should be
     read together with the audited financial statements in the Company's Annual
     Report on Form 10-K for the year ended December 31, 2004 and all other
     reports on file with the Securities and Exchange Commission during the year
     2005. In the opinion of management, these interim financial statements
     reflect all adjustments that are necessary to fairly present the results
     for the interim periods presented. Certain prior period amounts have been
     reclassified to conform to the current presentation.

     The preparation of financial statements in conformity with United States
     generally accepted accounting principles requires that management make
     estimates and assumptions that affect the amounts reported in the financial
     statements and accompanying notes. The results of operations for the
     interim periods, shown in this report are not necessarily indicative of the
     results to be expected for a full year.

(2)  RECENTLY ISSUED ACCOUNTING STANDARDS

     In March 2005, the Financial Accounting Standards Board (FASB) issued FASB
     Interpretation No. 47, "Accounting for Conditional Asset Retirement
     Obligations." This statement requires companies to recognize a liability
     for the fair value of a legal obligation to perform asset retirement
     activities that are conditional on a future event if the amount can be
     reasonably estimated. This statement is effective for the year end December
     31, 2005. We are currently evaluating the impact of this statement on the
     Company.

(3)  RECENTLY COMPLETED MERGER

     In October 2004, Mittal Steel, Park Acquisition Corp., a wholly owned
     subsidiary of Mittal Steel, and the Company entered into a merger agreement
     pursuant to which the Company would merge with Park Acquisition and become
     a wholly owned subsidiary of Mittal Steel. The Merger was approved by the
     shareholders of the Company and Mittal Steel on April 12, 2005 and was
     completed on April 15, 2005. In connection with the Merger, the Company's
     former stockholders received in the aggregate approximately $2,100 and
     approximately 60,892 Mittal Steel Class A common shares. In addition, in
     connection with the Merger, payments of $163 were made to former officers
     of the Company for stock options, severance and bonuses as well as $26 to
     investment bankers for transaction success fees. These payments were not
     included in the first quarter 2005 results. The entire executive officer
     team of the Company, excluding the general counsel, is no longer with the
     Company as a result of the Merger.

     On April 20, 2005, the Company entered into definitive agreements as
     borrower with respect to a new $1.0 billion term loan facility and a new
     $700 million term loan facility. In addition, on April 20, 2005, the
     Company entered into a promissory note in the amount of $425 million with
     Mittal Steel Holdings N.V. On April 27, 2005, the Company repaid $325
     million of the promissory note with the balance due on May 20, 2005.

     All three of these intercompany borrowings were entered into as part of the
     financing arrangements previously announced by Mittal Steel to pay for the
     cash portion of the merger consideration paid to former stockholders of the
     Company in conjunction with the recently completed merger. The two term
     loan facilities represent an intercompany loan to the Company that another
     subsidiary of Mittal Steel borrowed under a credit agreement, dated as of
     April 7, 2005, among Mittal Steel and certain subsidiaries of Mittal Steel
     as original borrowers, the ABN AMRO Bank N.V., Citigroup Global Markets
     Limited, Credit Suisse First Boston International, Deutsche Bank AG London,
     HSBC Bank Plc and UBS Limited, as lead arrangers, certain other lenders
     signatory to the Credit Agreement and HSBC Bank Plc, as facility agent. The
     borrowing evidenced by the promissory note was extended to the Company to
     provide the remainder of the cash portion of the merger consideration by
     another subsidiary of Mittal Steel. Therefore, neither the term loan
     facilities nor the promissory note represent the incurrence of additional
     indebtedness from external creditors outside Mittal Steel and its
     subsidiaries.

                                        6
<PAGE>

                            MITTAL STEEL USA ISG INC.
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                                   (Unaudited)
             (Dollars and shares in millions, except per share data)

     Mittal Steel US Finance LLC is the lender under each of the term loan
     facilities. Both Mittal Steel US Finance LLC and the Company are wholly
     owned subsidiaries of Mittal Steel and thus are affiliates of each other.
     Other than the term loan facilities and their relationship as affiliates,
     there are no other direct commercial relationships between Mittal Steel US
     Finance LLC and the Company. Mittal Steel Holdings N.V., is the lender
     under the promissory note. Both the Company and Mittal Steel Holdings N.V.
     are wholly owned subsidiaries of Mittal Steel. Other than the promissory
     note and their relationship as affiliates, there are no other direct
     commercial relationships between Mittal Steel Holdings N.V. and the
     Company.

     The Company drew down on each of the term loan facilities the principal
     amounts of $1.0 billion and $700 million respectively on April 21, 2005.
     Each of the term loan facilities will mature on April 21, 2010. Each term
     loan facility contains customary covenants requiring all of the Company's
     transactions with affiliates to be conducted on an arms length basis and
     limiting its ability to incur additional indebtedness, consummate certain
     extraordinary business transactions such as mergers and create liens on its
     properties.

     The Company is required to pay interest on each of the term loan facilities
     at an annual rate for each applicable Interest period equal to the sum of
     (i) a margin, initially set at 0.475% and then subject to adjustment based
     on Mittal Steel's unsubordinated unsecured debt rating, plus 0.125%, (ii)
     the London Interbank Offering Rate for the applicable interest period and
     (iii) a facility maintenance fee. The initial interest period for each of
     the term loan facilities is six months and then shall be agreed between
     borrower and lender for subsequent periods not to exceed six months.

(4)  ACQUISITIONS

     The Company acquired substantially all the assets and assumed certain
     liabilities of a hot briquetted iron (HBI) facility located in Point Lisas,
     Trinidad and Tobago in July 2004, of Georgetown Steel Company (Georgetown)
     in June 2004, and Weirton Steel Corporation (Weirton) in May 2004. The
     results of each of their respective operations have been included in our
     consolidated financial statements since the dates of acquisition.

     The unaudited pro forma data for the first quarter of 2004 includes the
     results of operations of the Weirton acquisition as if it had been
     consummated on January 1, 2004, including the effects of the new labor
     agreement. The HBI and Georgetown facilities were not operating at the time
     we acquired them and are not included. This pro forma data is based on
     historical information and does not necessarily reflect the actual results
     that would have occurred, nor is it indicative of future results of
     operations. Pro forma data includes the following; net sales of $2,066.9;
     net income of $78.8; income per share-basic of $0.81; and income per
     share-diluted of $0.76.

(5)  INVENTORIES

     Inventories are stated at the lower of cost or market, using the LIFO cost
     method. Consistent with our policy adopted for inventories in previous
     acquisitions, on January 1, 2005, we applied the LIFO cost method of
     accounting for inventories acquired as part of our Weirton and Georgetown
     acquisitions. The components of inventories follow:

<TABLE>
<CAPTION>
                                                      March 31,      December 31,
                                                        2005             2004
                                                   -------------    -------------
        <S>                                        <C>              <C>
        FIFO or average cost:
          Raw materials ........................   $       621.1    $       562.2
          Finished and semi-finished goods .....         1,276.5          1,156.8
                                                   -------------    -------------
                                                         1,897.6          1,719.0
        LIFO reserve ...........................          (414.1)          (398.6)
                                                   -------------    -------------
            Total...............................   $     1,483.5    $     1,320.4
                                                   =============    =============
</TABLE>

                                        7
<PAGE>

                            MITTAL STEEL USA ISG INC.
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                                   (Unaudited)
             (Dollars and shares in millions, except per share data)

(6)  INCOME TAXES

     SFAS No. 109, Accounting for Income Taxes, requires that we record a
     valuation allowance for a deferred tax asset when it is "more likely than
     not" (a likelihood of more than 50%) that some portion or all of the
     deferred tax asset will not be realized based on available "positive and
     negative evidence." The realization of deferred tax assets is ultimately
     dependent upon the Company's generation of sufficient future taxable income
     during periods in which those net temporary differences become deductible
     and before the expiration of the NOL carryforwards. Based on the Company's
     2004 financial results, the significant improvement in the global steel
     industry, assumptions about expected future taxable income and all
     available and prudent tax planning strategies, the Company concluded that
     there is sufficient positive evidence to determine that it is "more likely
     than not" (a likelihood of greater than 50%) that a portion of the
     Company's deferred tax asset will be realized. Accordingly, the Company
     recorded an adjustment to the valuation allowance of about $390 in the
     fourth quarter of 2004. The valuation allowance at the end of 2004 was
     $417.

     In the first quarter of 2004 based on pretax income and the forecasted
     pretax income for the year 2004, we expected to pay federal income taxes
     for the year. Generally accepted accounting principles require that we
     recognize in 2004 those temporary differences, principally depreciation,
     that were expected to be available in 2005 and 2006 to carryback against
     the current income tax provision for 2004. The net effect was an effective
     income tax rate in the first quarter of 2004 of 6.9%

     Taxes recorded in the quarter ended March 31, 2005, have been calculated
     based on year to date income and forecasted results for the remainder of
     the year. The actual annual effective tax rate for the full year 2005 will
     depend on actual results and any increase or decrease to the valuation
     allowance. In the first quarter of 2005, the Company has not recorded an
     adjustment to the valuation allowance. The Company will continue to
     evaluate all available positive and negative evidence on a regular basis
     and record an increase or decrease to the valuation allowance as
     appropriate. The effective income tax rate in the first quarter of 2005 was
     37.2%.

(7)  INCOME PER SHARE

     The following table presents calculations of income per share of common
     stock for the first quarter:

<TABLE>
<CAPTION>
                                                                                   2005       2004
                                                                                 --------   --------
     <S>                                                                         <C>        <C>
     Net income applicable to common stock - Basic ...........................   $  181.6   $   70.9
     Interest expense on convertible note-net of tax .........................         .3         .5
                                                                                 --------   --------
     Net income applicable to common stock - Diluted .........................   $  181.9   $   71.4
                                                                                 ========   ========
     Weighted average number of shares of common stock outstanding - Basic ...      100.0       97.8
     Incremental shares issuable upon assumed conversion and exercise of stock
      options ................................................................        2.3        5.5
     Incremental shares issuable upon assumed conversion of convertible note .        1.0        1.0
                                                                                 --------   --------
         Total shares - Diluted ..............................................      103.3      104.3
                                                                                 ========   ========
     Income per share:
       Basic .................................................................   $   1.82   $    .73
                                                                                 ========   ========
       Diluted ...............................................................   $   1.76   $    .68
                                                                                 ========   ========
</TABLE>

                                        8
<PAGE>

                            MITTAL STEEL USA ISG INC.
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                                   (Unaudited)
             (Dollars and shares in millions, except per share data)

(8)  COMPREHENSIVE INCOME

     The following table presents the components of comprehensive income for the
     first quarter:

<TABLE>
<CAPTION>
                                                                                   2005       2004
                                                                                 --------   --------
     <S>                                                                         <C>        <C>
     Other comprehensive income - derivative financial instruments:
         Change in value during the period ...................................   $    8.6   $   (3.7)
         Recognized in net income ............................................        1.8       (1.3)
                                                                                 --------   --------
         Net gain (loss) * ...................................................       10.4       (5.0)
                                                                                 --------   --------
     Net income ..............................................................      181.6       70.9
                                                                                 --------   --------
     Total comprehensive income ..............................................   $  192.0   $   65.9
                                                                                 ========   ========
</TABLE>

     * A valuation allowance is recorded on certain temporary differences,
     resulting in no provision for income taxes on these items.

(9)  PENSION AND OTHER POSTRETIREMENT BENEFIT PLANS

     The Company has defined benefit retiree medical and death benefit plans
     covering USWA employees who are eligible to retire under the current labor
     agreements. We do not intend to provide similar retiree medical benefits
     for employees who retire after the current labor agreement expires. The
     Company is not required to pre-fund any benefits and expects any benefits
     to be paid in 2005 to be minimal.

     The Company owns a 62.3% interest in Hibbing Taconite Company (Hibbing), an
     iron ore mining joint venture that is pro rata consolidated in the
     Company's consolidated financial statements. Hibbing maintains a
     noncontributory defined benefit pension plan for hourly and salary
     employees with benefits based on years of service and compensation. Hibbing
     funds the pension plans within statutory guidelines. Hibbing is considering
     various funding options, but the Company's share of the minimum funding
     requirement in 2005 is $1.6. Hibbing also provides retiree medical and
     death benefits to most full-time employees, hired before January 1, 1993,
     with 30 years of service or employees who are 60 years of age with 15 years
     of service. A new labor agreement in 2004 capped the company's share of
     healthcare costs at 2008 levels for the years 2009 and beyond. The
     Company's prorated required contribution to the plan for other benefits
     based on net tons produced in 2004 and expected benefit payments will be
     $6.7 in 2005. The amounts included below for the Hibbing plan reflect the
     effects of the Medicare Prescription Drug Improvement and Modernization Act
     of 2003 (the Act). Hibbing applied the retroactive transition method under
     FASB Staff Position No. 106-2 during 2004. The effect was not material to
     the Company.

     The amounts presented below for the Company's USWA employees do not reflect
     the effects of the Act. We have not yet determined if the plan meets the
     actuarial equivalent requirement of the Act or if we will modify the plan.
     However, because the plan requires that the plan beneficiaries pay premiums
     beginning in 2011 to cover any cost per capita increases after 2008, the
     Act is not likely to have any significant effect on our accumulated
     postretirement benefit obligation nor our future net periodic benefit
     costs. In 2005, the Company expects to contribute $1.4 to the plan based on
     forecasted benefit payments.

     The following table presents the components of net periodic pension and
     other post employment benefits costs for the first quarter:

<TABLE>
<CAPTION>
                                                              Pension             Other Benefits
                                                        --------------------    -------------------
                                                          2005        2004        2005       2004
                                                        --------    --------    --------   --------
     <S>                                                <C>         <C>         <C>        <C>
     Service cost ...................................   $     .7    $     .6    $    1.9   $    1.0
     Interest cost ..................................        1.4         1.2         1.3        2.1
     Expected return on plan assets .................       (1.4)       (1.2)        3.2        (.2)
     Amortization of unrecognized prior service costs         --          .3          .4        3.4
                                                        --------    --------    --------   --------
     Total cost .....................................   $     .7    $     .9    $    6.8   $    6.3
                                                        ========    ========    ========   ========
</TABLE>

                                        9
<PAGE>

                            MITTAL STEEL USA ISG INC.
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                                   (Unaudited)
             (Dollars and shares in millions, except per share data)

(10) CONTINGENCIES

     The Company is subject to various legal actions and contingencies in the
     normal course of conducting business. The Company accrues liabilities for
     such matters when a loss is likely and the amount can be reasonably
     estimated. The effect of the ultimate outcome of these matters on future
     results of operations and liquidity cannot be predicted with any certainty.
     While the resolution of these matters may have a material effect on the
     results of operations of a particular future quarter or year, we believe
     that the ultimate resolution of such matters in excess of liabilities
     recorded will not have a material adverse effect on our competitive
     position or financial position.

     The Company is subject to changing and increasingly stringent environmental
     laws and regulations concerning air emissions, water discharges and waste
     disposal, as well as certain remediation activities that involve the clean
     up of environmental media such as soils and groundwater. If, in the future,
     the Company is required to investigate and remediate any currently unknown
     contamination and wastes at plant sites, the Company could be required to
     record additional liabilities.

     The following table presents the changes in the amounts recorded for
     environmental liabilities discounted at 8%:

<TABLE>
<CAPTION>
                                                                            First Quarter           Year
                                                                       ----------------------    ---------
                                                                          2005        2004          2004
                                                                       ---------    ---------    ---------
     <S>                                                               <C>          <C>          <C>
     Balance - beginning of period .................................   $   205.3    $   208.4    $   208.4
       Liabilities recognized at acquisition * .....................          --         (6.9)        12.1
       Accretion and changes in estimates and timing of spending ...         2.1          3.9         15.1
       Liabilities related to properties sold ......................         (.2)          --        (13.2)
       Liabilities related to properties purchased .................          .8           --           --
       Spending for remediation ....................................        (4.4)        (2.8)       (17.1)
                                                                       ---------    ---------    ---------
         Total** ...................................................       203.6        202.6        205.3
       Amount included in other current liabilities - end of period        (41.2)       (45.7)       (41.0)
                                                                       ---------    ---------    ---------
       Long term balance - end of period ...........................   $   162.4    $   156.9    $   164.3
                                                                       =========    =========    =========
</TABLE>

     * Includes a $6.9 reduction in the first quarter of 2004 to amounts
       previously recorded in the Bethlehem acquisition as a result of
       additional information and analysis obtained during the period.
     ** The aggregate undiscounted amount of the environmental liabilities at
     March 31, 2005 is expected to be $364.4

(11) CERTAIN LONG-TERM DEBT OF SUBSIDIARY GUARANTORS

     On April 14, 2004, the Company issued $600 of senior, unsecured debt
     securities due 2014 in a private placement to a limited number of qualified
     institutional buyers as defined under the Securities Act. The debt
     securities bear interest at a rate of 6.5% and were sold at an original
     issue discount of $5.4, which is amortized as interest expense over the
     life of the issue. These debt securities have a principal at maturity of
     $600 and an effective annual cost of 6.625%. In October 2004, the Company
     exchanged the original debt securities with the terms of the new debt
     securities (the Notes) being substantially identical in all respects to the
     terms of the securities for which they were exchanged except that the Notes
     were registered under the Securities Act of 1933.

     Certain of the Company's domestic wholly owned subsidiaries guarantee the
     Notes on a full, unconditional and joint and several basis. The parent
     company has no independent assets or operations and non-guarantor
     subsidiaries are minor

                                       10
<PAGE>

     ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND
     RESULTS OF OPERATIONS

FORWARD-LOOKING STATEMENTS

     The Company and its representatives may from time to time make
forward-looking statements in reports filed with the Securities and Exchange
Commission, reports to stockholders, press releases, other written documents and
oral presentations. These forward-looking statements may be identified by the
use of predictive, future-tense or forward-looking terminology, such as
"believes," "anticipates," "expects," "estimates," "intends," "may," "will" or
similar terms. These statements speak only as of the date of such statements and
the Company will undertake no ongoing obligation, other than that imposed by
law, to update these statements. These statements appear in a number of places
in this report and include statements regarding the Company's intent, belief or
current expectations of its directors, officers or advisors with respect to,
among other things:

     .    trends affecting the Company's financial condition, results of
          operations or future prospects;

     .    business and growth strategies;

     .    operating culture and philosophy; and

     .    financing plans and forecasts.

     Any such forward-looking statements are not guarantees of future
performance and involve significant risks and uncertainties, and actual results
may differ materially from those contained in the forward-looking statements as
a result of various factors, some of which are unknown. The factors that could
adversely affect the Company's actual results and performance include, without
limitation:

     .    negative overall economic conditions or conditions in the markets
          served;

     .    competition within the steel industry;

     .    legislation or regulatory changes including changes in U.S. or foreign
          trade policy affecting steel imports or exports;

     .    changes in foreign currencies affecting the strength of the U.S.
          dollar;

     .    actions by domestic and foreign competitors;

     .    the inability to achieve our anticipated growth objectives;

     .    changes in availability or cost of raw materials, energy or other
          supplies;

     .    labor issues affecting the Company's workforce or the steel industry
          generally; and

     .    the extent to which the management of Mittal Steel and the Company is
          successful integrating and managing the operations of the Company with
          the rest of Mittal Steel.

RECENT DEVELOPMENTS

On April 15, 2005, the Company merged with a wholly owned subsidiary of Mittal
Steel, with the Company surviving the Merger as a wholly owned subsidiary of
Mittal Steel. In connection with the Merger, the Company was renamed from
International Steel Group Inc. to "Mittal Steel USA ISG Inc." Pursuant to the
Merger, the Company no longer has a class of equity securities registered under
the Securities Exchange Act of 1934

     On April 20, 2005, the Company entered into definitive agreements as
borrower with respect to a new $1.0 billion term loan facility and a new $700
million term loan facility. In addition, on April 20, 2005, the Company entered
into a Promissory Note in the amount of $425 million. On April 27, 2005, the
Company repaid $325 million of the Promissory Note with the balance due on May
20, 2005.

                                       11
<PAGE>

CONSOLIDATED RESULTS OF OPERATIONS FOR THE FIRST QUARTER ENDED MARCH 2005 AND
2004

     The discussion below relates to the results of the Company for the first
quarter 2005 and 2004. In May 2004, we acquired substantially all the assets of
the Weirton Steel Corporation; in June 2004, all the assets of Georgetown Steel
Company; and in July 2004, all the assets of a hot briquetted iron (HBI)
facility in Trinidad and Tobago. Accordingly, our financial results for the
first quarter 2005 are not directly comparable to our results for the similar
period in 2004.

     The table below shows shipments by product and certain other data for the
periods shown.

                                                      First Quarter
                                                ------------------------
                                                   2005          2004
                                                ----------    ----------
     Hot Rolled .............................           41%           42%
     Cold Rolled ............................           16            20
     Coated .................................           21            22
     Plate ..................................           10            10
     Tin Plate ..............................            6             3
     Rail and other .........................            6             3
                                                ----------    ----------
                                                       100%          100%
                                                ==========    ==========

     Net sales (dollars in millions) ........   $  2,659.6    $  1,770.3
     Average net sales per ton shipped ......   $      681    $      458
     Shipments (tons in thousands) ..........        3,906         3,862
     Raw steel production (tons in thousands)        4,751         4,056
     Net income (dollars in millions) .......   $    181.6    $     70.9
     Diluted income per common share ........   $     1.76    $     0.68

     For the first quarter 2005, we reported net income of $181.6 million on net
sales of $2,659.6 million and shipments of 3,906,000 net tons, compared to net
income of $70.9 million on net sales of $1,770.3 million and shipments of
3,862,000 net tons in the first quarter 2004. The first quarter of 2005 also
included a $9.6 million pre-tax gain on the sale of assets largely from idle
property at our Cleveland facility. Shipments were higher due to the Weirton and
Georgetown acquisitions, but their inclusion was largely offset by lower
shipments at other facilities due to weaker market demand precipitated by high
inventory levels in the service center sector. Our average net sales per ton
shipped was $681 for the first quarter 2005 compared to $458 in the first
quarter 2004. Realized prices were significantly higher as a result of contract
and spot price increases, including surcharges to offset higher raw material
costs. Realized prices were also higher with the improvement in product mix due
to the increase in tin shipments.

     Cost of sales for the first quarter 2005 was higher than the comparable
2004 period reflecting the additional costs of operating three acquired
facilities, lower operating rates over all facilities, higher raw material
(primarily coke, coal and iron ore), natural gas, and labor costs as well as a
higher cost mix due to an increase in tin shipments. Labor costs were higher due
to variable compensation costs including hourly profit sharing and required
contributions to the United Steelworkers of America (USWA) and Independent
Steelworkers Union (ISU) VEBA welfare benefit trust.

     The LIFO provision for the first quarter 2005 was $15.5 million driven
principally by higher costs of both internally produced and purchased furnace
coke as well as higher costs of purchased iron ore.

     Marketing, administrative and other costs are higher due to acquisitions
and variable compensation costs including salaried profit sharing and bonuses.
In addition, depreciation costs were also higher due to 2004 capital spending
and acquisitions.

     Net financing expense for the first quarter 2005 increased from the
comparable period in 2004 because of higher average debt outstanding including
the $600 million 6.5% Senior Notes due 2014 issued in April 2004, which was
largely offset by higher interest income.

                                       12
<PAGE>

     In the first quarter of 2004 based on pretax income and the forecasted
pretax income for the year 2004, we expected to pay federal income taxes for the
year. Generally accepted accounting principles require that we recognize in 2004
those temporary differences, principally depreciation, that are expected to be
available in 2005 and 2006 to carryback against the current income tax provision
for 2004. The net effect was an effective income tax rate in the first quarter
of 2004 of 6.9%

     In the first quarter of 2005, income taxes have been calculated based on
year to date income and forecasted results for the remainder of the year. The
actual annual effective tax rate for the full year 2005 will depend on actual
results and any increase or decrease to the valuation allowance. In the first
quarter of 2005, the Company has not recorded an adjustment to the valuation
allowance. The Company will continue to evaluate all available positive and
negative evidence on a regular basis and record an increase or decrease to the
valuation allowance as appropriate. The effective income tax rate in the first
quarter of 2005 is 37.2%.

     LIQUIDITY AND CASH FLOW

     We define liquidity as our cash position and remaining availability under
our revolving credit facility. At March 31, 2005, we had liquidity of $870.5
million consisting of cash of $629.1 million and available borrowing capacity of
$241.4 million under our revolving credit facility. As of December 31, 2004, we
had liquidity of $848.1 million. . In conjunction with the completion of the
merger of the Company and Mittal on April 15, 2005, the revolving credit
facility was terminated.

     Cash provided by operating activities for the first quarter 2005 was $81.0
million. Receivables increased as a result of higher sales in the current
period. Inventory also increased due to unanticipated weaker demand.

     We made capital expenditures and other investments of $61.8 million in the
first quarter 2005. Proceeds from asset sales were $13.0 million in the first
quarter 2005 which resulted in a gain of $9.6 million.

     SUBSEQUENT EVENTS

     In October 2004, Mittal Steel, Park Acquisition Corp., a wholly owned
subsidiary of Mittal Steel, and the Company entered into a merger agreement
pursuant to which the Company would merge with Park Acquisition and become a
wholly owned subsidiary of Mittal Steel. The Merger was approved by the
shareholders of the Company and Mittal Steel on April 12, 2005 and was completed
on April 15, 2005. In connection with the Merger, the Company's former
stockholders received in the aggregate approximately $2.1 billion and 60,891,883
Mittal Steel Class A common shares. In addition, in connection with the Merger,
payments of $163 million were made to former officers of the Company for stock
options, severance and bonuses as well as $26 million to investment bankers for
transaction success fees. These payments were not reflected in the first quarter
2005 results. The entire executive officer team of the Company, excluding the
general counsel, is no longer with the Company as a result of the Merger.

     On April 20, 2005, the Company entered into definitive agreements as
borrower with respect to a new $1.0 billion term loan facility and a new $700
million term loan facility. In addition, on April 20, 2005, the Company entered
into a promissory note in the amount of $425 million with Mittal Steel Holdings
N.V. On April 27, 2005, the Company repaid $325 million of the promissory note
with the balance due on May 20, 2005.

     All three of these intercompany borrowings were entered into as part of the
financing arrangements previously announced by Mittal Steel to pay for the cash
portion of the merger consideration paid to former stockholders of the Company
in conjunction with the recently completed merger. The two term loan facilities
represent an intercompany loan to the Company that another subsidiary of Mittal
Steel borrowed under a credit agreement, dated as of April 7, 2005, among Mittal
Steel and certain subsidiaries of Mittal Steel as original borrowers, the ABN
AMRO Bank N.V., Citigroup Global Markets Limited, Credit Suisse First Boston
International, Deutsche Bank AG London, HSBC Bank Plc and UBS Limited, as lead
arrangers, certain other lenders signatory thereto and HSBC Bank Plc, as
facility agent (the "Credit Agreement"). The borrowing evidenced by the
promissory note was extended to the Company to provide the remainder of the cash
portion of the merger consideration by another subsidiary of Mittal Steel.
Therefore, neither the term loan facilities nor the promissory note represent
the incurrence of additional indebtedness from external creditors outside Mittal
Steel and its subsidiaries.

                                       13
<PAGE>

     Mittal Steel US Finance LLC is the lender under each of the term loan
facilities. Both Mittal Steel US Finance LLC and the Company are wholly owned
subsidiaries of Mittal Steel and thus are affiliates of each other. Other than
the term loan facilities and their relationship as affiliates, there are no
other direct commercial relationships between Mittal Steel US Finance LLC and
the Company. Mittal Steel Holdings N.V., is the lender under the promissory
note. Both the Company and Mittal Steel Holdings N.V. are wholly owned
subsidiaries of Mittal Steel. Other than the Promissory Note and their
relationship as affiliates, there are no other direct commercial relationships
between Mittal Steel Holdings and the Company.

     The Company drew down on each of the term loan facilities the principal
amounts of $1.0 billion and $700 million respectively on April 21, 2005. Each of
the term loan facilities will mature on April 21, 2010. Each term loan facility
contains customary covenants requiring all of the Company's transactions with
affiliates to be conducted on an arms length basis and limiting its ability to
incur additional indebtedness, consummate certain extraordinary business
transactions such as mergers and create liens on its properties.

     The Company is required to pay interest on each of the term loan facilities
at an annual rate for each applicable interest period equal to the sum of (i) a
margin, initially set at 0.475% and then subject to adjustment based on Mittal
Steel's unsubordinated unsecured debt rating, plus 0.125%, (ii) the London
Interbank Offering Rate for the applicable interest period and (iii) a facility
maintenance fee. The initial interest period for each of the term loan
facilities is six months and then shall be agreed between borrower and lender
for subsequent periods not to exceed six months.

     ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURE ABOUT MARKET RISK

     We are exposed to certain risks associated with the fluctuation in interest
rates and prices of consumable commodities, including natural gas, heating oil,
coal, coke, steel scrap and certain non-ferrous metals. We seek to minimize the
potential adverse impact of those market risks through the use of appropriate
management techniques that could include derivative financial instruments. At
March 31, 2005, we held cash flow hedges with respect to natural gas, zinc,
aluminum and tin with the effective portion of such instruments reflected in
accumulated other comprehensive income. We conduct the majority of our business
in the United States and substantially all of our revenues and expenses are
transacted in U.S. dollars. As a result, our results of operations are not
directly materially affected by fluctuations in the foreign currencies. We
currently have no financial instruments in place for managing the exposure for
foreign currency exchange rates. Therefore, a hypothetical change in the
exchange rate of the U.S. dollar versus other major currencies would impact our
future earnings, fair values or cash flows, only to the extent it affects
domestic imports of, demand for and price of raw materials and steel products.

     Energy costs expose us to cost volatility particularly on natural gas
requirements. Based on combined pro forma 2004 production, a $1 per MMBTU change
in natural gas prices would have changed production costs by approximately $7.6
million per month. In an effort to manage the risks associated with price
fluctuations on natural gas and other commodities, from time to time, we use a
variety of hedging instruments including forward contracts, futures, swaps and
options. At any point in time, we may utilize some or all of these hedging
instruments in our portfolio. On March 31, 2005, all of the Company's
outstanding debt was at fixed interest rates. There were no borrowings under the
revolving credit facility in 2004 or in the first quarter of 2005.

     In 2004, the Company consumed about 5.9 million dry net tons of coke and
expects to consume about 6.1 million dry net tons of coke in 2005. We expect to
source about 35% of our coke requirements from internal sources, about 50% from
various existing multi-year contracts and 15% from the international spot market
depending on operating conditions. Within certain limits, we have the ability to
optimize fuel costs at our blast furnaces by switching among the fuels of coke,
natural gas, oil and, at the Burns Harbor and Sparrows Point facilities,
pulverized coal depending on their relative costs. However, adequate supplies of
coke may not be available to us in the future, or prices of these supplies may
increase significantly. If we are unable to obtain an adequate supply of coke in
the future we may have to use more costly alternative sources of energy or
reduce production, both of which actions would have a negative impact on our
earnings and cash flow from operations.

                                       14
<PAGE>

     The Company consumed 4.0 million net tons of purchased scrap during 2004
and expects to consume about 4.1 million net tons of purchased scrap in 2005.
Scrap prices surged in late 2003 and, while volatile have remained high. There
are no long-term scrap purchase contracts available and all purchases are in the
short-term open market. We expect scrap to be in sufficient supply, although at
higher prices than in recent history.

     In 2004, the Company consumed approximately 16.5 million net tons of iron
ore pellets and 4.1 million net tons of iron ore fines and other iron ore
materials. In 2005, the Company expects to consume about 18.9 million net tons
of pellets and about 4.2 million net tons of iron ore fines. Substantially all
of our 2005 ore requirements are under contract or supplied by entities in which
the Company maintains an ownership interest.

     ITEM 4. CONTROLS AND PROCEDURES

     In our Annual Report on Form 10-K, we had identified the following three
material weaknesses in internal control over financial reporting.

..    Deficiencies in policies and procedures relating to the inadequate review
     of information associated with the accumulation of various costs incurred
     for raw material, semi-finished and finished inventories, including the
     accounting for inter-company profit and inclusion of all appropriate costs
     in ending inventory balances. These deficiencies could result in material
     errors in the Company's accounting for inventories and cost of sales.

..    Deficiencies in policies and procedures associated with a lack of access
     controls and security of certain computer systems, including electronic
     spreadsheets used in the compilation and presentation of the Company's
     financial information, which could result in material errors in a
     significant number of account balances and disclosures due to a lack of
     integrity of the data used in preparing the Company's consolidated
     financial statements.

..    Deficiencies in policies and procedures associated with the Company's fraud
     risk prevention controls related to adequate segregation of duties in the
     recording of revenue and the related accounts receivable, including
     verification of customer invoice pricing and approval of credit memos,
     which could result in material errors in the Company's accounting for
     revenue transactions and related accounts receivable.

     As a result of the aforementioned material weaknesses, the Company
concluded that the Company's system of internal control over financial reporting
was not effective as of December 31, 2004.

     During the first quarter 2005, we implemented a new general
ledger/consolidation system to produce financial statements for external
reporting and management reporting. We also continued to improve documentation
of our accounting policies and procedures. During the second quarter, in
connection with the completion of the Merger, the entire former executive
officer team of the Company, excluding the General Counsel, left the Company.
There were no other changes in our internal controls over financial reporting
that occurred during the first quarter 2005 that have materially affected or are
reasonably likely to materially affect our internal controls over financial
reporting.

     Because of its inherent limitations, a system of internal control over
financial reporting can provide only reasonable assurance and may not prevent or
detect misstatements. Further, because of changes in conditions, effectiveness
of internal controls over financial reporting may vary over time.

     Under the supervision and with the participation of our management,
including our chief executive officer and chief financial officer, we conducted
an evaluation of the effectiveness of the design and operation of our disclosure
controls and procedures, as defined in Rules 13a-15(e) and 15d-15(e) under the
Securities Exchange Act of 1934 (Exchange Act) as of March 31, 2005 (Evaluation
Date).

     In preparing our Exchange Act filings, we utilized processes and procedures
to provide reasonable assurance that information relating to the Company that
was required to be disclosed in such filings was recorded, processed, summarized
and reported within the time periods specified by applicable SEC rules and was
accumulated and communicated to the Company's management as appropriate to allow
timely decisions regarding required disclosure. These processes and procedures
are designed to, among other things; mitigate the effect of the aforementioned
material weaknesses in our internal control over financial reporting on
information relating to the Company that is required to be disclosed in our
Exchange Act filings. We have expended substantial financial resources, and our
management and accounting staff has devoted significant time and attention, in
support of these efforts.

                                       15
<PAGE>

     Some of the specific steps that we took to mitigate the effect on our
disclosure controls of each material weakness disclosed above that could have
potentially affected our Exchange Act filings include, for example: we issued
instructions to all of our locations that they should consistently use in 2005
the methods used to determine the audited costs for inventory at December 31,
2004, and reviewed in detail our cost accounting and related valuation of our
inventories at all of our locations as part of our LIFO accounting procedures;
undertook substantial additional review and verification of account balances to
detect any potential misstatements that may have resulted from lack of adequate
controls over end user computing; and undertook substantial additional reviews
at to detect any potential misstatements that may have resulted from inadequate
segregation of duties over revenue and the related accounts receivable
activities.

     We believe that these extraordinary processes and procedures, which are
encompassed in our current disclosure controls, mitigated the potential effect
of the identified material weaknesses in internal control over financial
reporting on the disclosure that was ultimately included in our Exchange Act
filings. As a result of these rigorous disclosure controls, we believe, and our
chief executive officer and chief financial officer have certified to their
knowledge that, this quarterly report on form 10-Q does not contain any untrue
statements of material fact or omit to state any material fact necessary to make
the statements made, in light of the circumstances under which such statements
were made, not misleading with respect to the period covered in this report.

     There may be deemed to be an inconsistency between our conclusion as to
material weaknesses in our internal control over reporting and our view as to
our disclosure controls. However, as explained below, based on their evaluation
of our disclosure controls and procedures, our chief executive officer and chief
financial officer concluded as of the Evaluation Date that our disclosure
controls and procedures were effective such that the information relating to the
Company and its consolidated subsidiaries required to be disclosed in Exchange
Act filings is recorded, processed, summarized and reported within the time
periods specified in SEC rules and forms, and is accumulated and communicated to
the Company's management, including our chief executive officer and chief
financial officer, as appropriate to allow timely decisions regarding this
disclosure. Our chief executive officer and chief financial officer reached this
conclusion notwithstanding the existence of material weaknesses in the Company's
internal control over financial reporting, because they believe that the
extraordinary processes and procedures described above mitigated the potential
effect of the identified material weaknesses in internal control over financial
reporting on the Company's disclosure controls and procedures. We note that the
scope of, and interrelation between, disclosure controls and internal control
over financial reporting is not yet well defined by law, regulation or
interpretation. We believe, however, that there are significant differences
between disclosure controls and procedures and internal control over financial
reporting. If, on the other hand, disclosure controls and procedures and
internal control over financial reporting are ultimately determined to effect
substantially the same standard under these circumstances, then in such case,
the Company's disclosure controls and procedures also would have been
ineffective as of the Evaluation Date for precisely the same reasons that we
have concluded that the Company's system of internal control over financial
reporting was not effective as of the Evaluation Date.

                                       16
<PAGE>

                                     PART II

ITEM 1. LEGAL PROCEEDINGS

ENVIRONMENTAL MATTERS

     The Company's operations are subject to a broad range of laws and
regulations relating to the protection of human health and the environment. The
prior owners of the Company's facilities expended in the past, and the Company
expects to expend in the future, substantial amounts to achieve or maintain
ongoing compliance with U.S. federal, state, and local laws and regulations,
including the Resource Conservation and Recovery Act (RCRA), the Clean Air Act,
and the Clean Water Act. These environmental expenditures are not projected to
have a material adverse effect on the Company's consolidated financial position
or on the Company's competitive position with respect to other similarly
situated U.S. steelmakers subject to the same environmental requirements.

RCRA

     Under RCRA and similar U.S. state programs, the owners of certain
facilities that manage hazardous wastes are required to investigate and, if
appropriate, remediate historic environmental contamination found at such
facilities. All of the Company's major operating and inactive facilities are or
may be subject to a corrective action program or other laws and regulations
relating to environmental remediation, including projects relating to the
reclamation of industrial properties, also known as brownfield projects.

     At the Company's properties in Lackawanna, New York, a RCRA Facility
Investigation (RFI) is complete. A report was submitted to the U.S.
Environmental Protection Agency (EPA), and the New York State Department of
Environmental Conservation (NYDEC), for approval on December 17, 2004. NYDEC and
the Company executed an order on consent to perform interim corrective measures
at the former benzol storage tank area. This order was executed on November 26,
2004. The Company and NYDEC will be discussing additional corrective measures
following the agency's review of the site RFI. The Company has estimated that
the undiscounted future cost of performing anticipated remediation and post
remediation activities will be about $66 million and will be completed over a
period of 15 years or more. The estimate is based on the extent of soil and
groundwater contamination identified by the RFI and likely remedial alternative;
including excavation and consolidation of containments in an on-site landfill
and continuation of a benzol groundwater pump and treat system.

     Bethlehem, the U.S. EPA and the Maryland Department of the Environment
agreed to a phased RFI as part of a comprehensive multimedia pollution consent
decree with respect to the Company's Sparrows Point, Maryland facility, which
was entered by the U.S. District Court for Maryland on October 8, 1997. The
Company has assumed Bethlehem's ongoing obligations under the consent decree.
The consent decree requires the Company to address compliance, closure and
post-closure care matters and implement corrective measures associated with two
onsite landfills (Gray's Landfill and Coke Point Landfill), perform a site-wide
investigation required by Section 3008(h) of RCRA, continue the operation and
maintenance of a remediation system at an idle rod and wire mill, and address
several pollution prevention items, such as, reducing the generation of iron
kish, and recycling blast furnace water treatment slurry and an onsite
wastewater treatment plant sludge. The potential costs, as well as the time
frame for the complete implementation of possible remediation activities at
Sparrows Point, cannot be reasonably estimated until more of the investigations
required by the decree have been completed and the data analyzed.
Notwithstanding the above, it is probable, based on currently available data,
that remediation will be required at the former coke plant. In addition,
pursuant to the order of the U.S. District Court for Maryland, the Company also
must implement corrective measures at the Gray's Landfill and Coke Point
Landfill and post-closure care at the former Rod and Wire Mill Area. The total
undiscounted cost of these related matters is estimated to be approximately $43
million.

     The Company is required to prevent acid mine drainage from discharging to
surface waters at closed mining operations in southwestern Pennsylvania. The
Company entered into a Consent Order and Agreement with the Pennsylvania
Department of Environmental Protection (PaDEP) in May 2003 addressing the
transfer of required permits from Bethlehem to the Company and financial
assurance for long-term operation and maintenance of the wastewater treatment
facilities associated with these mines. As required by this Consent Order and
Agreement, the Company submitted an Operational Improvement Plan to improve
treatment facility operations and lower long-term wastewater treatment costs.
The Consent Order and Agreement also required the Company to propose a long-term
financial assurance mechanism. PaDEP approved the Company's cost reduction plan.
On May 9, 2004, the Company entered into a revised Consent Order and Agreement
outlining a schedule for implementation of capital

                                       17
<PAGE>

improvements and requiring the establishment of a treatment trust that the PaDEP
has estimated to be the net present value of all future treatment cost. The
Company expects to fund the treatment trust over a period of up to 10 years at a
current target value of approximately $20 million. Until the improvements are
made and the treatment trust is fully funded, the Company expects to spend about
$1 to $2 million per year for the operation of treatment plants for acid mine
drainage from these closed mines. After the treatment trust is fully funded, the
treatment trust will then be utilized to fund the cost of treatment of acid mine
drainage. Although remote, the Company could be required to make up any
deficiency in the treatment trust in the future.

     The Company owns a large former integrated steelmaking site in Johnstown,
Pennsylvania. The site has been razed and there are a number of historic waste
disposal units, including solid and hazardous waste landfills located at the
site that are subject to closure and other regulation by PaDEP. There are also
historic steel and coke-making operating locations at the Johnstown site that
may have caused groundwater contamination. Although potentially subject to RCRA
corrective action or similar state authority, no comprehensive environmental
investigations have been performed at this site to date. The Company estimates
that the undiscounted costs associated with future landfill closure, site
investigations and probable remediation at this facility that presently can be
estimated to be approximately $21 million.

     The Company's facility at Indiana Harbor, Indiana is subject to a U.S. EPA
3013 Administrative Order investigation plan to assess soil and groundwater
conditions associated with 14 solid waste management units approved on January
12, 2005. Although localized remediation activities have been conducted at this
facility, additional remediation may be required after the investigation of
these solid waste management units has been completed. It is not possible to
estimate the cost of required remediation or monitoring, if any, that may result
from this investigation at this time. An area of subsurface fuel oil
contamination exists and is currently the subject of remediation actions. The
U.S. EPA and the Company are discussing a draft administrative order with
respect to the oil issue. In addition, a solid waste landfill at Indiana Harbor
will require closure via an engineered capping system and post-closure care
including groundwater monitoring. The total estimated undiscounted cost related
to these matters that can presently be estimated is approximately $16 million.

     At the Company's Burns Harbor, Indiana facility, an RFI was completed in
accordance with a U.S. EPA approved work plan. Based on the results of the
investigation, the Company does not believe there will be any substantial
remediation required to complete the corrective action process at the facility;
however, it is likely that the Company will incur future costs primarily related
to long term post-closure care including groundwater monitoring. In addition,
Bethlehem managed approximately one million net tons of air pollution control
dusts and sludges in piles on the ground at the Burns Harbor site. While an
alternative means of handling this material continues to be evaluated, it is
probable that the Company will incur future costs to manage this material. The
Company also has a continuing obligation pursuant to a consent order issued by
the U.S. District Court in Indiana to operate a collection and treatment system
to control contaminated groundwater seeps from the face of a dock wall at the
site. The total undiscounted costs related to these matters are estimated to be
approximately $22 million.

     The Company's Cleveland, Ohio facilities may be subject to RCRA corrective
action or remediation under other environmental statutes. An integrated steel
facility has operated on the property since the early part of the 20th century.
As a result, soil and groundwater contamination may exist that might require
remediation pursuant to the RCRA corrective action program or similar state
programs. No RCRA corrective action has been demanded at any of the Cleveland
facilities by either U.S. federal or state authorities and no comprehensive
investigation of any of the facilities has been performed. However, certain
limited and localized remediation activities have been or will be conducted at
these sites. These remediation activities include a large permitted solid waste
landfill at the site that will require installation of an engineered capping
system for closure and post-closure care including groundwater monitoring in the
future. The undiscounted cost of closure and post-closure care for this landfill
is estimated to be approximately $13 million.

     The Company's recently acquired Weirton, West Virginia facility has been
subject to a RCRA corrective action related consent decree since 1996. The Order
requires the facility to conduct investigative activities to determine the
nature and extent of hazardous substances that may be located on the facility's
property and to evaluate and propose corrective measures needed to abate
unacceptable risks. Areas within the facility's property have been prioritized.
Investigation of the two highest priority areas has been completed.
Investigation of the remaining areas is underway. In addition, the Company is
required to excavate and dispose off-site contaminates as closure of a surface
impoundment pursuant to the RCRA corrective action and a 1996 consent decree.
The Company is in communication with the U.S. EPA and West Virginia Department
of Environmental Protection regarding other potential RCRA concerns at the site.
The undiscounted cost of investigative and closure activities at the site are
estimated to be about $12 million.

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<PAGE>

     At a site of the former steelmaking facilities in Bethlehem, Pennsylvania,
in lieu of a RCRA corrective action program, a remedial investigation is being
performed pursuant to the Pennsylvania Land Recycling (Brownfield) Program in
conjunction with comprehensive redevelopment plans. These investigations are
continuing to be performed with input and oversight from both the PaDEP, and the
EPA Region III corrective action staff to ensure that the actions taken are
acceptable to both state and federal regulatory authorities. The majority of the
site was sold by the Company during 2004. Under the sales agreement, the buyers
assumed financial responsibility for environmental obligations associated with
the acquired property and purchased an insurance policy sufficient to cover the
estimated cost of reclamation with the Company as a beneficiary. The
undiscounted cost associated with anticipated environmental remediation actions
on property the Company continues to own is estimated to be about $4 million.

     The Company's facility at Riverdale, Illinois may be subject to RCRA
corrective action or remediation under other environmental statutes. The
facility has produced steel since the early part of the 20th century. As a
result, soil and groundwater contamination may exist that might require
remediation under the RCRA corrective action program or similar state programs.
Certain localized remediation activities have been conducted at this facility;
however, there is no present U.S. federal or state demand for a RCRA corrective
action program at the facility. No comprehensive environmental investigation of
the facility has been performed.

CLEAN AIR ACT

     The Company's facilities are subject to a variety of permitting
requirements under the Clean Air Act that restricts the type and amount of air
pollutants that may be emitted from regulated emission sources. On February 28,
2003, the U.S. EPA issued a final rule to reduce hazardous air pollutant (HAP)
emissions from integrated iron and steel manufacturing facilities. The final
rule will require affected facilities to meet standards reflecting the
application of maximum achievable control technology (MACT), standards. Many of
the Company's facilities are subject to the new MACT standards, and compliance
with such standards will be required by May 20, 2006. The Company anticipates
installing controls at facilities to comply with the new MACT standards with
capital expenditures of about $120 million through 2007.

     Other Clean Air Act requirements, such as revisions to national ambient air
quality standards for ozone and particulate matter, may have significant impacts
on the Company in the future, although whether and how it will be affected will
not be determined for many years. The Company also may be affected if the U.S.
federal government or the states in which it operates begin to regulate
emissions of greenhouse gases such as carbon dioxide. However, because the
Company cannot predict what requirements will be imposed on it or the timing of
such requirements, it is unable to evaluate the ultimate future cost of
compliance with respect to these potential developments.

CLEAN WATER ACT

     The Company's facilities also are subject to a variety of permitting
requirements under the Clean Water Act, which restricts the type and amount of
pollutants that may be discharged from regulatory sources into receiving bodies
of waters, such as rivers, lakes and oceans. On October 17, 2002, the U.S. EPA
issued regulations that require existing wastewater dischargers to comply with
new effluent limitations. Several of the Company's facilities are subject to the
new regulations, and compliance with such regulations will be required as new
discharge permits are issued for continued operation.

     The Company's Weirton facility will be subject to stipulated penalties for
national pollution discharge elimination system permit excursions under a 1996
Multimedia Consent Decree. At March 31, 2005, the Company has accrued $364,000
for probable penalties related to such excursions in 2004 since the facility was
acquired. However it is possible that additional penalties may be sought but
such penalties are not expected to be material.

OTHER

     The Company anticipates spending approximately $50 million over the next 40
years, including $11 million during the next twelve months, to address the
removal and disposal of PCB equipment and asbestos material encountered during
the operation of our facilities.

                                       19
<PAGE>

     There are a number of other facilities and properties, which the Company
owns across the United States, which may present incidental environmental
liabilities. The majority of these sites were formed pipe coating operations
which may have impacted soils or groundwater. The estimated cost of future
investigations and probable remediation at these sites is estimated to be about
$13 million.

     In addition to the above matters, the Company receives notices of violation
relating to minor environmental matters from time to time in the ordinary course
of business. The Company does not expect any material unrecorded reclamation
requirements, fines or penalties to arise from these items and none of these
involve potential individual monetary sanctions in excess of $100,000.

ITEM 6.   EXHIBITS

Exhibit
Number    Description of Document
--------  -----------------------------------------------------------------
  31.1    Certification by the Chief Executive Officer pursuant to Rules
          13a-14(a)/15d-14(a) of the Securities Exchange Act of 1934.

  31.2    Certification by the Chief Financial Officer pursuant to Rules
          13a-14(a)/15d-14(a) of the Securities Exchange Act of 1934.

  32.1    Certifications pursuant to 18 U.S.C. Section 1350, as adopted
          pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.

                                       20
<PAGE>

                                    SIGNATURE

     Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned, thereunto duly authorized.

                                        MITTAL STEEL USA ISG INC.

Date:   May 16, 2005


                                             -----------------------------------
                                        By:  Bhikam C. Agarwal
                                             Chief Financial Officer
                                             Mittal Steel USA ISG Inc.

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