Novelis again extends consent solicitation for 7 ¼% senior notes

By Laura Lutz

Des Moines, July 11 - Novelis Inc. extended the consent solicitation for its 7¼% senior notes for the second time in order to give holders additional time to deliver their consents.

The deadline was moved to 5 p.m. ET July 19 from 5 p.m. ET July 12.

As previously reported, Novelis is soliciting consents to amendments to the note indenture, including extension of financial filing deadlines to Dec. 31, 2006, and a waiver of its defaults.

Novelis needs consent from a majority of noteholders.

An ad hoc committee of holders of the 7¼% senior notes has announced that it believes that Novelis is in default because it has not kept current in its financial filings as required in the indenture to the notes.

Those who give consent will receive a consent fee between $15 and $30 for each $1,000 in principal amount of notes, depending on how many noteholders deliver their consents.

If Novelis has not filed its 10-K for the year ended Dec. 31 by 5:30 p.m. ET on Sept. 30, the company will pay an additional $5.00 for each $1,000.00 in principal amount of notes.

The consent solicitation was announced June 21.

Citigroup Corporate and Investment Banking is the solicitation agent (800 558-3745 or call collect 212 723-6106). Global Bondholder Services Corp. is the information agent (866 794-2200 or call collect 212 430-3774).

Novelis is a producer of aluminum rolled products based in Atlanta.

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