Merger-Related Synergies
After Alcan and algroup merged in October 2000, the new Alcan emerged as a global leader in both aluminum and packaging. In March 2001, the Company's name was changed from Alcan Aluminium Limited to Alcan Inc. to better reflect the increasingly diverse nature of our activities, particularly in the packaging sphere.

From the outset, the assets of the two companies were complementary and both were highly regarded for their customer relationships, customer service, best-in-class skills, technologies and their capabilities for innovation and value-added solutions. Alcan Inc. has enhanced competitive positions in bauxite, alumina and specialty chemicals, primary aluminum, rolled and engineered products (including a leadership position in automotive solutions), and a significant new base for growth in packaging.

Our one-time costs related to the merger integration are forecasted at $90 million, less than our original estimate of $100 million. By the end of 2002, the savings from expected synergies are anticipated to be at or above our target run rate of $200 million.