ALCAN TO EXPAND AUTOMOTIVE BUSINESS IN NORTH AMERICA

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ALCAN TO EXPAND AUTOMOTIVE BUSINESS IN NORTH AMERICA
16 September 2003 - Alcan Automotive

Alcan Inc. today announced a CAN$25-million investment for the construction of a new manufacturing facility for the production of aluminum structural assemblies for the automotive industry in the Saguenay region of Quebec. The facility will create 35 new jobs with a potential of reaching close to 50 employees with the expected growth of the business.

This venture is part of a strategic expansion of Alcan’s North American automotive supply business, which includes the establishment of a new structural products group to engineer and market lightweight structural sub-assemblies and crash-management systems.

“The new plant expands on the significant expertise Alcan has developed in Europe in the application of aluminum for automotive structural and crash-management systems and we are confident these products will find a receptive market in North America,” said Travis Engen, President of Alcan Inc. “It demonstrates our commitment to Quebec , to developing value-creating products and to promoting economic diversification in the regions where we operate.”

Construction will begin in fall 2003 with production scheduled to start in the fourth quarter of 2004. Initially, the Saguenay facility, together with a similar plant in Novi, Michigan, will manufacture aluminum bumper beams as part of the Alcan Automotive Structures business within the Alcan Engineered Products group.

At the start of production, the new facility is expected to produce 600,000 aluminum bumpers per year, but Alcan’s future plans are to expand the product range to include side-impact beams, instrument panel supports, and other weight-saving structural sub-systems.

“Our objective is to build on our leading position in the supply of lightweight solutions for automotive customers in North America by expanding our product range,” said Mr. Kurt Wolfensberger, President of Alcan Engineered Products and Alcan Automotive. “The new manufacturing plant in the Saguenay will become a key element of Alcan’s strategy in North America, which is to put in place, in partnership with the regions, the basis for a centre of excellence in the manufacturing of advanced automotive aluminum structural assemblies.”

http://www.alcanautomotive.com

About: Alcan Automotive
Alcan is a multinational company in aluminium and packaging, as well as aluminium recycling, with operations in primary aluminium, fabricated aluminium as well as flexible and specialty packaging, aerospace applications, bauxite mining and alumina processing. Alcan employs 88,000 people and has operating facilities in 58 countries and regions.

The merger of Alcan Inc. with Alusuisse Group Ltd. has created a materials company that offers global market coverage and advanced technology solutions in aluminium and other lightweight materials. Alcan has become a leader in the significant growth taking place for aluminium in the automotive sector as manufacturers strive to produce safer, lighter, affordable vehicles.

The organisation currently represents a US$13 billion global enterprise with strong anticipated growth in our automotive businesses, operating under the banner of Alcan Automotive.

A global R&D network, with technology centres located in key markets around the world, combined with an extensive network of aluminium smelters and manufacturing facilities, provides the automobile industry with complete solutions, from materials delivery to design and manufacture of quality vehicle components and modules.

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