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EXHIBIT NO. 99.1: PRESS RELEASE OF ALCAN ALUMINIUM LIMITED, DATED JUNE 1, 2000
MONTREAL, CANADA AND ZURICH, SWITZERLAND - JUNE 1, 2000 - Alcan Aluminium
Limited (NYSE, TSE: AL) and algroup (SWX: ALUN) announced today that they have
reached agreement on revised terms of the proposed merger of the two companies.
The new transaction will involve the exchange of 17.1 Alcan Common Shares for
every algroup share. In addition, there will be a repayment of capital of SFr.
90 and a special dividend of SFr. 135 for every share of algroup. The
combination of SFr. 225 in cash and 17.1 Alcan Shares has been designed to
ensure a sound mix of debt and equity for the combined balance sheet of the two
groups.
The capital repayment and the special dividend will require the approval of
algroup shareholders which will be sought in an Extraordinary Meeting to be
held in July 2000. The special dividend will be conditional on 67% of the
outstanding shares of algroup being tendered to the Alcan exchange offer. Given
the time requirements associated with capital repayments, the exchange offer is
expected to be launched in the third quarter.
The proposed combination would have had combined revenues of US$12.4 billion
(based on 1999 pro forma) in the aluminium and packaging industries. Expected
synergies will be at least US$150 million.
"I am confident that this merger will deliver significant shareholder value and
I look forward to merge algroup and Alcan operations into one new global and
stronger industry leader in the aluminium and specialty packaging businesses"
concluded Jacques Bougie, President and CEO of Alcan who will continue in this
capacity after the merger.
"This combination represents exceptional value to our shareholders" said Sergio
Marchionne, CEO of algroup. "The new company will be in an improved position to
serve its customers' needs on a global basis."
In connection with the revised merger terms, algroup and Alcan have secured the
support of BZ Group Holding Limited and affiliates who have committed, as
principal and on behalf of clients, to irrevocably tender approximately 34% of
the outstanding shares of algroup to the Alcan exchange offer.
Alcan is a multinational, market driven, low cost producer of aluminium
products. With operations in over 30 countries with some 30,000 employees,
Alcan is one of the most international aluminium companies in the world. It is
a leading producer of primary metal and a global producer and marketer of
rolled aluminium products.
Algroup is one of Switzerland's largest corporations with operations in 18
countries. Based in Zurich, it employs more than 23,000 people engaged in
aluminium and packaging activities. It has established clear leadership in the
automotive and mass transportation areas, and is a global packaging supplier to
the food, personal care and pharmaceutical markets.
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<TABLE>
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ALCAN
MEDIA RELATIONS INVESTOR RELATIONS
Marc Osborne Alan G. Brown
+1(514)848-1342 +1(514)848-8368
ALGROUP
Corporate Communications Investor Relations
Christine Menz Michel Gerber
+41-1-386-2595 +41-1-386-2314
</TABLE>
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