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Aleris Signs Multi-Year Contract With Airbus


News provided by

Aleris

23 Jun, 2011, 06:00 GMT

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BEACHWOOD, Ohio, June 23, 2011 /PRNewswire/ --

Aleris announced that it has signed a five-year contract to provide aluminum plate and sheet in a range of alloys to Airbus for its global programs. The agreement covers supply for the years 2012 through 2016, and reconfirms Aleris's longstanding position as a major supplier and strategic partner to Airbus.

The agreement also includes the development of a recycling program, where Aleris will recycle scrap for Airbus.  Aleris is a leader in merchant aluminum recycling.

"Aleris and Airbus have enjoyed a productive and beneficial 15-year partnership," said Steven J. Demetriou, Aleris chairman and chief executive officer. "This contract strengthens our position as a key global supplier to Airbus, and as a leading supplier of aluminum in the aerospace industry.  Airbus will benefit from the advanced manufacturing capabilities and research and development investments that enable us to provide increasingly sophisticated aluminum solutions for customer needs."

Product will be produced by Aleris at its state-of-the-art plant in Koblenz, Germany and at its Duffel, Belgium operations, which support the company's advanced production capability for aircraft sheet.  Aleris also will supply plate to Airbus from its new plate mill in China when construction of that plant is completed in late 2012.  "We believe that our $300 million investment in the China plant uniquely positions Aleris to supply plate from Asia to customers in a variety of industries," said Demetriou.

Demetriou and Roeland Baan, Aleris executive vice president and chief executive officer, Europe and Asia, attended the signing ceremony at the Paris Air Show.  Attending for Airbus were Klaus Richter, executive vice president, Procurement, and Eric Zanin, senior vice president and head of Material and Parts Procurement.

About Aleris

Aleris is a privately-held, global leader in aluminum rolled products and extrusions, aluminum recycling and specification alloy production.  Headquartered in Beachwood, Ohio, the company operates more than 40 production facilities in North America, Europe and Asia.  For more information, visit http://www.aleris.com

Forward-Looking Statements

Certain statements in this press release are "forward-looking statements" within the meaning of the federal securities laws. Statements about our beliefs and expectations and statements containing the words "may", "could", "would", "should", "will", "believe", "expect", "anticipate", "plan", "estimate", "target", "project", "look forward to",  "intend" and similar expressions intended to connote future events and circumstances constitute forward-looking statements. Forward-looking statements include statements about future costs and prices of commodities, production volumes, industry trends, demand for our products and services, anticipated cost savings, anticipated benefits from new products or facilities, and projected results of operations.  Forward-looking statements involve known and unknown risks and uncertainties, which could cause actual results to differ materially from those contained in or implied by any forward-looking statement.  Important factors that could cause actual results to differ materially from those expressed or implied by forward-looking statements  include, but are not limited to, the following: (1) our ability to successfully implement our business strategy; (2) the cyclical nature of the aluminum industry, our end-use segments and our customers' industries; (3) our ability to fulfill substantial capital investment requirements; (4) variability in general economic conditions on a global or regional basis; (5) our ability to enter into effective aluminum, natural gas and other commodity derivatives or arrangements with customers to effectively manage our exposure to commodity price fluctuations and changes in the pricing of metals; (6) increases in the cost of raw materials and energy; (7) the loss of order volumes from or the retention of our major customers; (8) our ability to generate sufficient cash flows to fund capital expenditure requirements and debt service obligations; (9) competitor pricing activity, competition of aluminum with alternative materials and the general impact of competition in our industry segments; (10) risks of investing in and conducting operations on a global basis, including political, social, economic, currency and regulatory factors; (11) liabilities under and costs of compliance with environmental, labor, health and safety laws; and (12) other factors discussed in our filings with the Securities and Exchange Commission, including the sections entitled "Risk Factors" contained therein.  Investors, potential investors and other readers are urged to consider these factors carefully in evaluating the forward-looking statements and are cautioned not to place undue reliance on such forward-looking statements. We undertake no obligation to publicly update or revise any forward-looking statements, whether in response to new information, futures events or otherwise, except as otherwise required by law.  

(Logo:  http://photos.prnewswire.com/prnh/20110616/CL21386LOGO )

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