Alcan in Preliminary Discussions Over Potential Sale of its Steg, Switzerland Smelter

SIERRE, Switzerland, October 3 /PRNewswire/ --

- Company Working to Ensure Smelter's Sustainable Future

Alcan Inc. (NYSE: AL; TSX: AL) announced today that it has entered into preliminary discussions with a Valais-based consortium lead by Albert Bass over the potential sale of its Steg, Switzerland aluminum smelter.

"Alcan has informed government agencies, works councils and its Steg employees of its intentions," said Daniel Anliker, Site Director, Alcan Aluminium Valais SA in Sierre, Switzerland.

Subject to the successful completion of these preliminary discussions, a definitive timeframe for the sale will be determined. For the time being, no further information will be disclosed.

At the same time, the Company remains in the process of negotiating power contracts, as previously announced, in an effort to achieve competitive conditions. The Steg smelter has a capacity of 44kt per year.

Alcan is a multinational, market-driven company and a global leader in aluminum and packaging. With world-class operations in primary aluminum, fabricated aluminum as well as flexible and specialty packaging, aerospace applications, bauxite mining and alumina processing, today's Alcan is well positioned to meet and exceed its customers' needs for innovative solutions and service. Alcan employs almost 70,000 people and has operating facilities in 55 countries and regions.