100th AGM of Alcan Inc.

RNS Number:1272V
Alcan Inc
25 April 2002

Press Release

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For immediate release

 ALCAN AIMS TO DOUBLE VALUE EVERY FIVE YEARS SHAREHOLDERS TOLD AT 100th ANNUAL
                                    MEETING

Montreal, Canada - April 25, 2002 - With Maximizing Value as its governing
objective, Alcan Inc. has set ambitious goals to deliver a level of financial
performance and growth that will exceed investors' expectations and effectively
double the value of the Company every five years.

Achieving that goal "will place us in the top 25 per cent of industrial
companies in the world," Travis Engen, President and Chief Executive Officer,
told shareholders attending the Company's 100th annual general meeting. "From a
strategic perspective... we will be able to look back and point to 2001 as a
pivotal period when Maximizing Value clearly took hold and began driving our
decisions throughout Alcan," he added. "Managing for value means that we are
focusing on strategies and outcomes, making sure that our projects take us where
we need to be."

Mr. Engen cited Alcan's recent acquisition of a 20 per cent interest in
Aluminerie Alouette as one of the latest examples of the Company pursuing its
value-based agenda. Aluminerie Alouette operates a modern 243,000-tonne aluminum
smelter in Sept-Iles, Quebec that is slated to undergo a major expansion. "We
see Alouette as an excellent opportunity to enhance Alcan's asset base in
primary metal."

Reviewing the activities of the past year, Mr. Engen also noted that Alcan had
acted quickly to ensure its continued competitiveness in light of difficult
business and market conditions. "With all this change occurring in our markets
we recognized the need to change as well, or be left behind," he told
shareholders. "The restructuring initiated last October is expected to generate
incremental pre-tax earnings of $200 million - and this is on top of the $200
million improvement expected from merger synergies." In addition, Alcan has
exercised rigid financial discipline through expense control and good management
of working capital, preserving a strong balance sheet and safeguarding its
earnings. "So, economic circumstances notwithstanding, we continue to lay the
foundations for future growth."

Priorities for 2002

Looking ahead to the balance of fiscal 2002, Mr. Engen said that, while markets
appear to be improving, "we also believe it is prudent to recognize that
business conditions remain challenging." Priorities identified for 2002 include:

  • completing the capture of the synergies from the Alcan-algroup merger; and
    restructuring improvements.

  • continuing to make progress on Maximizing Value;
  • seeking out additional profitable growth opportunities;

  • developing detailed plans, business by business, for doubling the value of
    Alcan every five years; and

  • maintaining financial discipline - controlling expenditures and
    capital-equipment outlays.

Building on a proud legacy

Referring to the Company's milestone 100th annual meeting - along with the
centennial of the Canadian aluminum industry, which was celebrated in October
2001 - Mr. Engen said it is clear that Alcan people still share the sort of
grand vision that motivated pioneers of the industry. "We still are driven to
achieve great things, building on a long and proud legacy!"

Alcan is a multinational, market-driven company and a global leader in aluminum
and specialty packaging with annual revenues of US$12.6 billion in 2001. With
world-class operations in primary aluminum, fabricated aluminum as well as
flexible and specialty packaging, Alcan is well positioned to meet and exceed
its customers' needs for innovative solutions and service. Alcan employs
approximately 48,000 people and has operating facilities in 38 countries.

Statements made in this press release which describe the Company's intentions,
expectations or predictions may be forward-looking statements within the meaning
of securities laws. The Company cautions that, by their nature, forward-looking
statements involve risk and uncertainty and that the Company's results could
differ materially from those expressed or implied in such statements. Reference
should be made to the most recent Form 10-Q for a summary of major risk factors.

                                      -30-
Media Contact:                                     Investment Community Contact:

Marc Osborne                                       Serge Michaud

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