Montreal, Canada - December 29, 2004 - Alcan Inc. (NYSE, TSX: AL) announced today that it has entered into a binding agreement for the sale of its controlling interest in Aluminium de Grece S.A. (ADG) to Mytilineos Holdings S.A. of Greece for ?6.95 per share. Both parties have also agreed that Alcan will continue to provide a broad range of technical assistance and industrial services to ADG.

This transaction is the best value-creating alternative for Alcan and it will also contribute to the long-term stability of ADG,' said Cynthia Carroll, President and Chief Executive Officer of Alcan Primary Metal Group.

Alcan owns approximately 12.9 million shares in ADG, representing a 60.2% equity interest. Under the terms of the agreement, Mytilineos Holdings and certain affiliated companies will be acquiring from Alcan a 53% equity position in ADG. The acquisition of this 53% interest is not expected to trigger a mandatory tender offer by Mytilineos Holdings for the outstanding shares of ADG under relevant securities regulations.

The balance of Alcan's interest in ADG, some 7.2%, may be sold by Alcan to Mytilineos Holdings one year after closing pursuant to a three-month put option. After that, Mytilineos Holdings will have a call option for six months to purchase the remaining interest.

'The acquisition of ADG, a leading industrial company in Greece, with a dynamic and committed workforce, marks a significant step in the development of our group,? said Evangelos Mytilineos, Chairman of the Board of Mytilineos Holdings S.A. ?We will immediately get to work with ADG's management to advance planned investments, of which the most urgent and important is the co-generation energy unit, which will cover all of ADG?s future needs in electrical and thermal energy,' he added.

The sale of shares and completion of the transaction is subject to approval from the competition authorities as well as the Greek Ministry of Development. It is expected to close during the first quarter of 2005.

Today's Alcan is a multinational, market-driven company and a global leader in aluminum and packaging, as well as aluminum recycling. With world-class operations in primary aluminum, fabricated aluminum as well as flexible and specialty packaging, aerospace applications, bauxite mining and alumina processing, Alcan is well positioned to meet and exceed its customers' needs for innovative solutions and service. Alcan employs 88,000 people and has operating facilities in 58 countries and regions.

Mytilineos Holdings S.A. is a leading industrial group involved in, metallurgy, energy and defense. Mytilineos Group is active internationally and has, through the creation of strategic alliances throughout the greater Southeast European region, taken a lead in many of these sectors in the Balkans and beyond. As a result of these strategic actions, Mytilineos Holdings S.A. has steadily expanded in all three areas of activity through acquisitions and internal investments. ADG is expected to significantly be nefit from the synergies that these activities will find in ADG's operations. With the above acquisition the Mytilineos Group employs in Greece and abroad 4,500 people.

Statements made which describe the Company?s intentions, expectations or predictions may be 'forward-looking statements' within the meaning of securities laws. By their nature, forward-looking statements involve risk and uncertainty; the Company?s actual results could differ materially from those expressed or implied in such forward-looking statements.