Alcan To Invest US$27.5 Million In Shelbyville, KY Pharmaceutical Packaging Center

Alcan will invest US$27.5 million for an expansion project in its Pharma Center in Shelbyville, Kentucky, U.S.A. Alcan Packaging Shelbyville is a leading supplier and the only North American facility in the packaging industry dedicated to pharmaceutical flexible packaging materials. The expansion is expected to be operational by February 2008.

"This investment demonstrates Alcan's ongoing effort to anticipate its customers' expanding needs and to deliver the highest value added products and services," said Michael Rubenstein, President, Alcan Global Pharmaceutical Packaging. "This expansion will provide additional capacity that will meet the projected growth in the North American pharmaceutical packaging industry over the coming years," added Mr. Rubenstein.

The expansion will include the installation of a laminator, eight color gravure printing press, slitter, clean room, finishing/packing complex, warehouse facility and cure room. The project will create 40-50 new positions in Alcan Packaging Shelbyville's facility when completed. The site presently employs approximately 150 people.

With a total of 4,500 employees, Alcan Global Pharmaceutical Packaging operates 37 facilities in 14 countries and regions and recorded revenues of US$900 million in 2005. During the last three years, more than US$135 million was invested in upgrading and purchasing new equipment, infrastructure, and optimizing facilities to create centres of excellence for the Pharmaceutical industry.

Alcan Inc. (NYSE, TSX: AL) is a leading global materials company, delivering high quality products and services worldwide. With world-class technology and operations in bauxite mining, alumina processing, primary metal smelting, power generation, aluminum fabrication, engineered solutions as well as flexible and specialty packaging, today's Alcan is well positioned to meet and exceed its customers' needs. Alcan is represented by 65,000 employees in 61 countries and regions, and posted revenues of US$20.3 billion in 2005. The Company has featured on the Dow Jones Sustainability World Index consecutively since 2003. For more information, please visit: www.alcan.com.

Source: Alcan Inc.