Alcan Inc has signed a definitive agreement with Norsk Hydro to purchase VAW Packaging (FlexPac). This follows the announcement made on November 22, 2002. The definitive agreement follows the completion of Hydro's Workers Council consultations. Alcan will now officially submit its application to the regulatory authorities, the Company expects to gain approvals in the first half of 2003.

The addition of FlexPac, which includes 14 high-quality flexible packaging plants in 8 countries and 5,400 employees, enhances Alcan's global position in packaging and will be an excellent platform for profitable growth.

Alcan is a multinational, market-driven company and a global leader in aluminum and specialty packaging with 2001 revenues of US$12.6 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 48,000 people and has operating facilities in 38 countries.