Alcan Announces Share Repurchase Program

(Oct 5,2006)Alcan today announced that its Board of Directors has authorized a share repurchase program of up to 5 percent of the Company’s 376 million total common shares outstanding. This initiative follows Alcan’s 33 percent quarterly dividend increase from $0.15 to $0.20 per share announced on August 2, 2006.

''Today’s announcement reflects Alcan’s positive cash-flow outlook, disciplined approach to capital allocation and our commitment to shareholder value," said Dick Evans, President and Chief Executive Officer. "We believe that a stock repurchase program represents an excellent investment for our shareholders. Given our strong financial performance and balance sheet strength, we plan to take advantage of this opportunity while at the same time continuing to pursue attractive growth options," he added.

Under the program, which is subject to stock exchange approval, Alcan may repurchase shares for cash on the open market from time to time at management’s discretion. The timing of such purchases will depend on price, market conditions and applicable regulatory requirements. The repurchase program is intended to commence on or after November 1, 2006 following the release of Alcan’s third quarter earnings on October 31, and may involve purchases on both the New York Stock Exchange (NYSE) and the Toronto Stock Exchange (TSX). The program does not require the Company to repurchase any specific number of shares and may be modified, suspended or terminated at any time without prior notice.