December 16, 2003

To Our Valued Customers:

Earlier today, Nucor Corporation announced that beginning with shipments January 1, 2004 all Nucor Steel divisions will be instituting a $20/ ton raw material surcharge. Below are the details of that “News Release.”

The surcharge will apply to all customers and will be reflected as a single line item on each invoice. It will be reviewed by Nucor Corporation on the third Monday of each month to determine what the surcharge will be the following month. For example, on January 19, 2004, Nucor Corporation will determine what the surcharge will be beginning February 1, 2001.

We cannot predict when raw material cost will stop escalating but surcharges will be reduced or eliminated when market conditions warrant.

Nucor Announces Raw Materials Surcharge

CHARLOTTE, N.C., Dec. 16 /PRNewswire-FirstCall/ -- Nucor Corporation (NYSE: NUE) states that beginning with shipments on January 1, 2004, all Nucor Steel divisions are instituting a $20/ton raw materials surcharge on all steel mill products. The surcharge has become necessary due to rapid and unprecedented raw materials price increases. The rapid escalation of raw materials cost has outpaced our ability to appropriately react through normal price changes. The surcharge will be adjusted on the third Monday of each month, based on raw material cost changes from the previous month, and applied to shipments on the first day of the following month.

The unprecedented increase in the cost of raw materials used by the world's steel producers (scrap, coke, iron ore, freight, alloys and energy) can no longer be absorbed through normal price increases. "Nucor has and will continue to work to lower our operating costs to make steel products through the highly productive efforts of our people, the development and use of new technologies and the relentless pursuit of excellence. We regret the need to apply this raw materials surcharge and we will remove it as soon as conditions allow." said Dan DiMicco, Nucor's Vice Chairman, President and Chief Executive Officer.

Nucor is the largest steel producer in the United States and is the nation's largest recycler. Nucor and affiliates are manufacturers of steel products, with operating facilities in fourteen states. Products produced are: carbon and alloy steel -- in bars, beams, sheet and plate; steel joists and joist girders; steel deck; cold finished steel; steel fasteners; metal building systems; and light gauge steel framing.

SOURCE Nucor Corporation

If you have any questions regarding this raw material surcharge please feel free to contact your Outside Sales Representative or our office in Blytheville.

We appreciate your continued support.

Mark Petitgoue

Nucor-Yamato Steel Co. Proposed Rolling Schedule u December 17, 2003 u ISO 9001:2000 Registered