TK Aluminum Ltd. Announces Sale of French and German Subsidiaries

HAMILTON, Bermuda, August 31 /PRNewswire/ --     TK Aluminum Ltd., the indirect parent of Teksid Aluminum
Luxembourg S.à r.l., S.C.A. ("Teksid Luxembourg"), announced today that on
August 20, 2007 Teksid Luxembourg entered into a purchase agreement (the
"Purchase Agreement") to sell its equity interests in TK Aluminum France
S.A.S. and Teksid Deutschland GmbH to Bavariaring 0906 GmbH ("Bavariaring"),
an affiliate of BAVARIA Industriekapital AG ("Bavaria AG"). TK Aluminum
France S.A.S. is the parent of Teksid France S.A.S., Fonderie du Poitou
Aluminium S.A.S., Fonderie Aluminium Cleon S.A.S. and Metaltemple S.A.S. and
as a result of the transactions contemplated by the Purchase Agreement, such
subsidiaries would be indirectly sold to Bavariaring.

The parties have not disclosed the financial terms of the
Purchase Agreement at this time. Pursuant to the Purchase Agreement and
subject to certain conditions, Bavariaring will share operational control of
the acquired companies in the period prior to the closing of the transactions
contemplated by the Purchase Agreement.

The Purchase Agreement is subject to termination by Teksid
Luxembourg in the event the Supervisory Board of Bavaria AG does not
authorize and approve certain aspects of the transactions contemplated by the
Purchase Agreement on or before September 15, 2007. The Purchase Agreement is
also subject to certain conditions to closing, including receipt by Teksid
Luxembourg of consent of at least a majority in principal amount of Teksid
Luxembourg's 11 3/8 Senior Notes and may be terminated by Teksid Luxembourg
in the event such consent is not received.

There can be no assurance that the Bavaria AG Supervisory
Board will authorize and approve certain aspects of the transactions
contemplated by the Purchase Agreement on or before September 15, 2007, that
Teksid Luxembourg will not terminate the Purchase Agreement in the event that
the Bavaria AG Supervisory Board does not authorize and approve such aspects
of the transactions on or before September 15, 2007, that the conditions to
the Purchase Agreement will be satisfied or that the sale of the acquired
companies contemplated thereby will be consummated.