Montreal, Canada — Mr. Travis Engen, President and Chief Executive Officer of Alcan Inc. highlighted the importance of maximizing value for the Company as he presided over his first Annual General Meeting of shareholders today as head of the Company.
"While the difference between creating and maximizing value may seem subtle, it is a very profound difference that will drive a much broader examination of alternatives and help us prioritize our actions," explained Mr. Engen. "By maximizing the economic opportunities we have in our Company, we grow our resources thereby maximizing value not just for shareholders, but for our customers, employees and other stakeholders."
At the meeting, Mr. Engen touched on some of the highlights of the past year and the first quarter of fiscal 2001, which included a 34% increase in the Company's net income full business potential improvements of $580 million and the accelerated timeline for the start-up of the Alma Smelter.
The most important achievement in the last year for the Company was the successful completion of Alcan's merger with the Alusuisse Group Ltd. The merger goes beyond creating a larger company in terms of employees, revenues and operations; the new Alcan creates a platform with a greater diversification in products and materials as well as increased opportunities.
"The new Alcan is a very different company from that of just one year ago. Naturally, our strategy going forward will evolve to reflect those differences. The very fact that Alcan has a new profile — a larger footprint — means we have a wider range of options and alternatives to be factored into the strategic mix," noted Mr. Engen.
As a result of the merger, Alcan established a new organizational structure that reflects the Company's core business priorities: Primary Metal; Aluminum Fabrication, Americas and Asia; Aluminum Fabrication, Europe; and Alcan Packaging. The Company also changed its name to Alcan Inc. in February 2001 to emphasize the broader interests of the Company while retaining a familiar look.
Mr. Engen expanded on the merger by providing shareholders with an update on the integration of Alcan and algroup. Cash costs were lower than anticipated and totaled $100 million. In addition, synergies are expected to be greater than the originally projected amount of $200 million. Alcan expects to have realized $70 million of the total synergies on an annualized basis by the end of 2001 and the remainder by the end of 2002.
"The merger integration is proceeding very well in large measure because Alcan and the former algroup employees share very similar values, rooted in integrity, accountability, trust and teamwork," Mr. Engen stated.
Alcan is a multinational, market-driven company and a global leader in aluminum and specialty packaging with annual revenues of approximately US$13 billion. 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 53,000 people and has operating facilities in 39 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:
Marc Osborne
+1 (514) 848-1342
Investor Contact:
Michael Hanley
+1 (514) 848-8368
Français
© 2008 Alcan Inc. Legal Disclaimer | Privacy Statement 