Alcan takeover offer from Alcoa

Alcoa Inc. and Alcoa Holdco Canada ULC, a wholly owned subsidiary of Alcoa, have made an offer dated May 7, 2007, to purchase all of the issued and outstanding common shares of Alcan Inc. at a price of $58.60 (U.S.) per Alcan share in cash plus 0.4108 of a share of common stock of Alcoa. The offer will expire at 5 p.m., Eastern Daylight Saving Time, on July 10, 2007, unless extended or withdrawn by the offerors.

The offerors reserves the right to withdraw, extend, vary or change the offer at any time prior to the expiry time, unless each of the conditions of the offer has been, in the offerors' reasonable judgment, satisfied or has been waived by the offerors at or immediately prior to the expiry time, including there shall have been properly deposited under the offer and not withdrawn that number of Alcan shares that, when added to the Alcan shares then owned by Alcoa or any of its subsidiaries, constitutes at least 66-2/3 per cent of the Alcan shares outstanding (calculated on a fully diluted basis) at the time Alcan shares are taken up under the offer. Reference should be made to the offer for full details of the conditions of the offer.