24 May 2006 [GRAPHIC OMITTED]
Share Purchase Agreement signed for the (euro)826m
((pound)570m) sale of Corus' aluminium rolled products and
extrusions businesses to Aleris International Inc.
On 16 March 2006, Corus Group plc (Corus) and Aleris International Inc. (Aleris)
announced that they had signed a Letter of Intent for the proposed acquisition
by Aleris of Corus' downstream aluminium rolled products and extrusions
businesses for a gross consideration of (euro)826m ((pound)570m).
Following the completion of internal consultation and advice processes related
to the transaction, Corus and Aleris are now pleased to confirm that they have
entered into a definitive Share Purchase Agreement. The transaction remains
subject to certain external regulatory clearances. Completion is anticipated in
the third quarter of 2006.
The net cash proceeds, after deducting pension liabilities but excluding
minority interests and net debt, would be approximately (euro)728m
((pound)502m). These proceeds will be used to further strengthen both the
Group's balance sheet and develop the carbon steel business. The transaction is
not expected to have a material effect on the Group's net assets.
In 2005, Corus' downstream aluminium rolled products and extrusions businesses
generated a profit before taxation of (euro)47m ((pound)32m). Gross assets
related to these businesses, as at 1 January 2006, were (euro)1,120m
((pound)772m). The management teams of these businesses are expected to transfer
to Aleris.
For further information, please call:
Corus Group plc
Xxxx Xxxxx, Investor Relations: Tel: x00(0) 00 0000 0000
Xxxxxxx Xxxxx, Corporate Relations: Tel: x00(0) 00 0000 0000
Notes
1. An exchange rate of (euro)1.45 has been used in this announcement for
illustrative purposes.
Corus Group Plc (LSE/AEX: CS; NYSE: CGA) is one of the world's largest metal
producers with annual turnover of over (pound)10 billion and major operating
facilities in the U.K., the Netherlands, Germany, France, Norway and Belgium.
Corus' four divisions comprising Strip Products, Long Products, Distribution &
Building Systems and Aluminium provide innovative solutions to the construction,
automotive, rail, general engineering and packaging markets worldwide. Corus has
47,300 employees in over 40 countries and sales offices and service centres
worldwide. Combining international expertise with local customer service, the
Corus brand represents quality and strength.
Aleris International Inc. is a major North American manufacturer of rolled
aluminium products and is a global leader in aluminium recycling and the
production of specification alloys. Aleris is also a leading manufacturer of
value-added zinc products that include zinc oxide, zinc dust and zinc metal.
Headquartered in Beachwood Ohio, a suburb of Cleveland, the Company operates 41
production facilities in the United States, Brazil, Germany, Mexico and Wales,
and employs approximately 4,000 employees. For more information about Aleris
please visit the website at xxx.xxxxxx.xxx.
