Timminco Limited

Timminco Limited

April 02, 2007 17:00 ET

Timminco Limited Announces Aluminum Wheel Supply Contract

TORONTO, ONTARIO--(CCNMatthews - April 2, 2007) - Timminco Limited (TSX:TIM), a leading producer of specialty and light metals, today announced that its 47% owned investee, Fundo Wheels AS has entered a three year supply agreement with a leading European automobile manufacturer to supply 600,000 aluminum wheels over the life of the agreement with deliveries beginning in the second half of 2007. This volume represents approximately US $50 million in revenue over the term of the contract.

"We are extremely pleased to announce this supply agreement with one of the world's leading luxury car companies as it signals the confidence we have earned through the determined efforts of our employees to build quality products to meet the most exacting standards in the industry," said Thorstein Abrahamsen, Managing Director, Fundo Wheels, AS.

"Fundo Wheels has had to overcome significant operational challenges over the past year that negatively impacted both the volume and cost structure of the business. This contract provides external substantiation of the progress Thorstein and his team have made in addressing those issues and positioning Fundo Wheels for more stable operating results in future quarters," added John Walsh, President and CEO of Timminco Limited.


This news release contains forward-looking statements concerning the Company's business and operations. The Company cautions that, by their nature, forward-looking statements involve risk and uncertainty and the Company's actual results could differ materially from those expressed or implied in such statements. Such statements include comments regarding the volume and value of sales contracts of its businesses, its ability to deliver under such contracts and the future pricing of its products.

There are financial and operational risks inherent in the business, which include, but are not limited to: commodity prices, currency exchange, interest rate, capital, credit, regulatory, political, operational and environmental risks. The Company takes specific measures to manage these risks, and any forward-looking statements in this news release were based on the assumption of no significant changes or trends with respect such risk factors. Although the Company maintains insurance against risks that are typical in its industry, such insurance may not provide adequate coverage under all circumstances. Reference should be made to the most recent Management Discussions and Analyses for a description of the major risk factors. The Company disclaims any duty to update forward-looking statements other than through relevant future Management Discussions and Analyses.


TIMMINCO LIMITED is an international company, a world leader in the production and marketing of alloy magnesium, silicon metal and specialty ferrosilicon, calcium and strontium alloys. The Company's products are used in a broad range of specialized industrial applications and industries such as engineered extruded products, chemical, pharmaceutical, electronics and automotive and metallurgical. The Company participates in the supply of aluminium wheels to high end European automobile manufacturers through its 47% equity interest in Fundo Wheels AS. The Company's common shares are traded on the Toronto Stock Exchange under the symbol TIM.

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Contact Information

  • Timminco Limited
    Robert Dietrich
    Executive Vice President and CFO
    (416) 364-5171
    (416) 364-3451 (FAX)
    Email: rdietrich@timminco.com