RNS Number:8907Z
Corus Group PLC
16 March 2006
Letter of Intent signed for the €826m (£570m) disposal of Corus' aluminium
rolled products and extrusions businesses to Aleris International Inc.

Corus Group plc (Corus) and Aleris International Inc. (Aleris) have today
announced that they have signed a Letter of Intent for the proposed acquisition
by Aleris of Corus' downstream aluminium rolled products and extrusions
businesses for a gross consideration of €826m (£570m).

Corus' equity stakes in its Canadian and Chinese joint ventures are also
included within the proposed transaction. Corus' smelting operations would
remain within Corus and would supply Aleris under a long-term agreement. Corus
and Aleris would also enter into an agreement related to research, development
and technology.

Internal consultation and advice processes related to the transaction have
commenced. It is intended that a Sale and Purchase Agreement would be entered
into once these processes are completed. The proposed transaction would be
subject to certain external regulatory clearances.

The net disposal proceeds, after deducting pension liabilities but excluding
minority interests and net debt, would be approximately €728m (£502m). These
proceeds would be used to further strengthen both the Group's balance sheet and
the development of the carbon steel business.

Philippe Varin, Chief Executive of Corus said, "The proposed sale of the
downstream aluminium operations to Aleris secures a strong future for these
businesses, represents good value for Corus and is an important step in the
Group's strategy."

Gerhard Buddenbaum, Divisional Director Aluminium said, " This is good news for
our employees and customers. The two businesses complement each other and share
the same strategic vision."
For further information, please call:

Corus Group plc
Emma Tovey, Investor Relations: Tel: +44(0) 20 7717 4514
Annanya Sarin, Corporate Relations: Tel: +44(0) 20 7717 4532

Notes
1. An exchange rate of €1.45 has been used in this announcement for
illustrative purposes.
2. ABN AMRO and Credit-Suisse are advising Corus on this transaction.

Corus Group Plc (LSE/AEX: CS; NYSE: CGA) is one of the world's largest metal
producers with annual turnover of over £10 billion and major operating
facilities in the U.K., the Netherlands, Germany, France, Norway and Belgium.
Corus' four divisions comprising Strip Products, Long Products, Distribution &
Building Systems and Aluminium provide innovative solutions to the construction, automotive, rail, general engineering and packaging markets worldwide. Corus has 47,300 employees in over 40 countries and sales offices and service centres worldwide. Combining international expertise with local customer service, the Corus brand represents quality and strength.

Aleris International Inc. is a major North American manufacturer of rolled
aluminium products and is a global leader in aluminium recycling and the
production of specification alloys. Aleris is also a leading manufacturer of
value-added zinc products that include zinc oxide, zinc dust and zinc metal.
Headquartered in Beachwood Ohio, a suburb of Cleveland, the Company operates 42
production facilities in the United States, Brazil, Germany, Mexico and Wales,
and employs approximately 4,200 employees. For more information about Aleris
please visit the website at www.aleris.com.