Aleris tenders for 9%, 10 3/8% notes

New York, June 30 - Aleris International, Inc. announced a cash tender offer for all its 9% senior notes due 2014 and 10 3/8% senior secured notes due 2010.

The Beachwood, Ohio, aluminum company is also soliciting consents to amend the note indenture to eliminate or make less restrictive substantially all of the restrictive covenants and events of default and amend certain related provisions.

The offer is in connection with, and contingent on the completion of, the previously announced acquisition of the downstream aluminum business of Corus Group plc.

For each $1,000 principal amount of notes tendered by the consent deadline, Aleris will pay $1,134.96 for the 9% notes and $1,100.78 for the 10 3/8% notes.

The total includes a consent payment of $20 per $1,000.

Holders who tender after the consent deadline of 5 p.m. ET on July 14 will not receive the consent payment.

The tender ends at midnight ET on July 28.

Aleris will also pay accrued interest up to the settlement date.

Holders cannot tender without delivering consents or vice versa.

The offer is subject to conditions including the receipt of consents from holders of a majority of the notes, Aleris receiving necessary funding and the acquisition closing.

Deutsche Bank Securities Inc. is dealer manager and solicitation agent (call collect 212 250-6008). Mackenzie Partners, Inc. is the depositary and information agent (call collect 212 929-5500 or 800 322-2885).

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