Sale of Ormet Corporation to Smelter Acquisition, LLC Approved by Bankruptcy Court; Operations to Continue Without Interruption

On June 3, the United States Bankruptcy Court for the District of Delaware approved the sale of substantially all of the assets of Ormet Corporation, a leading producer of primary aluminum, and certain of its affiliates to Smelter Acquisition, LLC, a portfolio company owned by private investment funds managed by Wayzata Investment Partners LLC (“Wayzata”). Ormet Corporation and certain of its affiliates filed for bankruptcy protection in the United States Bankruptcy Court for the District of Delaware in late February to effectuate a financial restructuring of the Company. In connection with its restructuring, the Company received aggregate commitments of $90 million of DIP Financing, consisting of $30 million in Term DIP financing from Wayzata and a $60 million DIP facility from Wells Fargo, which replaced its $60 million pre-petition revolver with Ormet. The DIP financings provided the Company with sufficient liquidity to meet ongoing obligations and ensure the uninterrupted continuation of operations during the restructuring.

After giving effect to the transaction with Smelter Acquisition, the business will shed substantially all of its legacy liabilities and emerge with a much stronger balance sheet and sole equity sponsor in Wayzata. The Company does not anticipate that the acquisition will impact Ormet’s ordinary course operations.

“Ormet made a major step forward today in finalizing our purchase agreement with Smelter Acquisition, LLC. The remaining gating issue for Ormet to exit from bankruptcy is approval of a suitable amendment to the current power arrangement authorized by the Public Utilities Commission of Ohio (PUCO). Ormet will be submitting a requested amendment to the PUCO shortly. I want to thank the Governor, the State of Ohio, JobsOhio, our legislators, our employees, the USW and our community for the support that they have given us to reach this point,” said Mike Tanchuk President and CEO.

The Asset Purchase Agreement is subject to typical closing conditions, as well as satisfactory relief from the PUCO relating to the Company’s power arrangements.

A copy of the Sale Order will be available on the Company’s website at www.ormet.com. Information about the Chapter 11 case, including access to court filings, can be obtained at http://www.kccllc.net/ormet or through a link to this service on the Company’s website.

Cautionary Statement

This Statement contains forward-looking statements that can be identified by use of words such as “anticipates,” “believes,” “estimates,” “expects,” “hopes,” “targets,” “should,” “forecast,” “outlook,” “projects” or other words of similar meaning. All statements that address the Company’s expectations or projections about the future, including statements about the Company’s strategy for growth, cost reduction goals, expenditures, financial results, liquidity and capital needs, are forward-looking statements. Forward-looking statements are based on the Company’s estimates, assumptions and expectations of future events and are subject to a number of risks and uncertainties and may or may not be realized. The Company cannot guarantee its future performance or results of operations. All forward-looking statements in this press release are based on information available to the Company on the date hereof. The Company disclaims any intention or obligation to update or revise any forward-looking statements, except as may be required by law. The Company’s business is subject to a number of significant risks and uncertainties, including the potential adverse impact of its Chapter 11 cases on the Company’s operations and relationships with customers and suppliers and its ability to close an asset purchase agreement with Smelter Acquisition, LLC. Reference is made to the risk factors and other disclosures contained in the Company’s Information and Disclosure Statements for year ended December 31, 2011, which is available on the Company’s website at www.ormet.com. Given the significant uncertainties and risks to which the Company is subject (a) the reader should not place undue reliance on forward-looking statements contained in this press release and (b) the Company’s future results could differ materially from the Company’s current results and from those anticipated in the Company’s forward-looking statements.

Headquartered in Hannibal, Ohio, Ormet Corporation is a major U.S. producer of aluminum. Ormet employs approximately 1,250 people. For more information, visit the Company’s website at www.ormet.com.