TK Aluminum Ltd. Announces Completion of the Sale of its Remaining EquityInterest in Nanjing Teksid Aluminum Foundry Co., Ltd. to Tenedora Nemak, S.A. de C.V.



    CARMAGNOLA, Italy,, June 28 /CNW/ - TK Aluminum Ltd. (the "Company"), the
indirect parent of Teksid Aluminum Luxembourg S.A R.L., S.C.A. ("Teksid
Luxembourg"), announced today that on June 27, 2007 its subsidiary Teksid
Aluminum S.r.l. ("Teksid Italy") completed the sale of its remaining 40%
equity interest in Nanjing Teksid Aluminum Foundry Co., Ltd. ("Nanjing
Teksid") to Tenedora Nemak, S.A. de C.V. ("Nemak"), a subsidiary of ALFA,
S.A.B. de C.V. ("ALFA"). Teksid Luxembourg indirectly sold an additional 30%
stake in Nanjing Teksid to Nemak on March 15, 2007. With the completion of the
sale of this remaining interest in Nanjing Teksid, the Company has consummated
the sales contemplated by the previously disclosed revised terms of the Nemak
transaction.
    Pursuant to the revised terms of the Nemak transaction, the aggregate
purchase price allocated to the sale of the Company's entire 70% interest in
Nanjing Teksid and receivables related thereto was approximately
US$15.3 million in cash consideration plus the issuance of an additional 0.21%
of synthetic equity interest in the Nemak business (bringing the Company's
total synthetic equity interest in the Nemak business to 6.68%). At the
closing of the sale of the Company's 40% equity interest in Nanjing Teksid,
the Company's subsidiaries received aggregate net cash proceeds of
approximately US$14.8 million for the Company's entire 70% indirect interest
in Nanjing Teksid and certain related receivables, which aggregate net
proceeds included a payment of approximately US$1.9 million for Teksid
Luxembourg's 30% interest in Nanjing Teksid indirectly transferred to Nemak as
part of the initial closing on March 15, 2007 and approximately US$1.4 million
related to the purchase of a loan receivable from Teksid Luxembourg. In
addition, at the June 27th closing, Teksid Italy received an additional
approximately US$1.7 million in cash related to the purchase of certain
equipment used by Nanjing Teksid from Teksid Italy, and Teksid Luxembourg
received an additional approximately US$1 million in cash as the result of the
issuance of a loan by ALFA. The aggregate cash proceeds were based on the
purchase price allocation and estimated withholding taxes as contemplated by
the revised terms of the Nemak transaction.

    About Teksid Aluminum

    Information about Teksid Aluminum is available on our website at
www.teksidaluminum.com.




For further information:

For further information: Investor Relations at (248) 304-4004 or email
investorinfo@teksidaluminum.net

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TEKSID ALUMINUM S A R L S C A

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