Jaguar Chooses Novelis As Aluminum Supplier For New XK

ATLANTA, Oct 14, 2005 /PRNewswire-FirstCall via COMTEX News Network/ -- Novelis Inc. (NYSE: NVL) (TSX: NVL) announced today that it has been selected by Jaguar Cars Limited as the sole supplier of aluminum sheet for the new Jaguar XK sports car to be launched in early 2006. The all-new XK features an advanced aluminum body structure constructed with the aid of technology from Novelis.

Each Jaguar XK will contain some 330 lbs (150 kg) of Novelis aluminum sheet, helping to deliver a vehicle with excellent stiffness and rigidity while minimizing weight. The new XK provides significant improvements in performance, dynamics, safety and fuel economy. The power-to-weight ratio of the new car is superior to its predecessor despite the addition of advanced electronics and other luxury features.

The XK program continues the close cooperation between Novelis and Jaguar, which began with development of the aluminum-bodied Jaguar XJ sedan, launched in 2002.

"We were delighted when Jaguar announced that aluminum would be part of its lightweight materials technology strategy, which will be a hallmark of Jaguar's performance cars in the future," said Brian Sturgell, president and CEO of Novelis. "We are proud to support the lightweighting strategy and to supply all of the aluminum sheet for both the XJ and now the XK."

Novelis automotive specialists worked alongside Jaguar engineers and designers to provide expertise in materials technology from initial design of the new XK, through prototype development, right up to vehicle manufacturing. High-strength aluminum sheet from Novelis will be used for the outer skin of the new car as well as complex structural parts. The company's Aluminum Vehicle Technology (AVT) will also be a feature of the production of the new XK, as it is for the XJ. The major innovation of the system is the adhesive bonding of sheet panels in combination with self-piercing rivets.

Novelis is the world's leading supplier of aluminum automotive sheet. Material for Jaguar is produced through the company's European rolling system. Hot-rolled coils from the Norf rolling complex at Neuss, Germany, and the Novelis facility in Sierre, Switzerland, are further processed at the company's specially-equipped operations in Sierre and Nachterstedt, Germany. As part of Novelis' double-sourcing strategy, the material can be processed at either of these plants, given a special heat and surface treatment and cut to the customer's required shape - be it the traditional rectangular and curved sheet or more complex laser-cut shapes. The Nachterstedt plant features a euro 15 million (US$18 million) laser blanking centre and Novelis intends to expand the Sierre plant with a similar centre by mid 2006.

Novelis also provides closed-loop recycling for Jaguar and will take the aluminum off-cuts from XK production back to its Warrington (UK) recycling centre, as it does currently for the XJ. As part of a shared drive towards sustainability by Jaguar and Novelis, the metal is recycled directly into new automotive sheet, thus saving resources and up to 95% of energy that would be required to produce primary aluminum.

Novelis, which was spun-off by Alcan on January 6, 2005, is the global leader in aluminum rolled products and aluminum can recycling. The Company has 36 operating facilities in 11 countries and more than 13,000 dedicated employees. Novelis has the unparalleled capability to provide its customers with a regional supply of high-end rolled aluminum products throughout Asia, Europe, North America, and South America. Through its advanced production capabilities, the Company supplies aluminum sheet and foil to the automotive and transportation, beverage and food packaging, construction and industrial, and printing markets. For more information on Novelis, visit www.novelis.com.

For more information on the new Jaguar XK, please visit http://media.jaguar.com

SOURCE Novelis Inc.

Europe, John Gardner, + 41 44 386 2287, or
john.gardner@novelis.com, or
Corporate, Charles Belbin, +1-404-814-4260, or
charles.belbin@novelis.com,
both of Novelis Inc.

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Released October 14, 2005