Gränges is changing its name to Sapa

Gränges is changing its name to Sapa The Board of Directors of Gränges AB today decided to propose that a Special General Meeting of shareholders approve to change the name of the Group from Gränges to Sapa. The name change will support and clarify the values and the core operations on which the Group focuses today. The name already exists within the Gränges family. Sapa is one of Sweden's most successful entrepreneurial companies. The company, which was founded in 1963, is one of Europe's leading suppliers of value-added extruded aluminium profiles. Why is the name being changed? * Gränges has undergone major changes and has streamlined its operations in recent years. This streamlining reflects a strong ambition to grow, mainly in the international markets. This growth will take place primarily within aluminium extrusions, i.e. the current Sapa operation. To be able to expand successfully in the international market, it is important to be perceived as a strong company. A common image is a key element in creating this perception. * The Group's various operations are conducted under names other than the listed company. By approaching the market under a common name we emphasise that we are a unified group and that we are perceived as the strong supplier that we are. * The Group consists of a number of strong, independent companies. We will continue to operate in a decentralised manner. This requires that we as a group are bound together by common values and that the Group unity is clear to our customers. We believe that there are substantial advantages in showing that we are the strong, broadly based Group that our customers can rely on. * Surveys show that people associate the Gränges name with operations that are no longer part of the Group. Today's Gränges does not have much in common with the "old" one. Today we are a group of companies working with value-added products based on aluminium and plastics. The name change is one way to emphasise this. Why Sapa? Sapa accounts for 60 percent of the Group's net sales. The Group's core values of today are values that have their origin in Sapa. The extrusion business is, and will continue to be, the backbone of the Group's operations. Sapa is also a well-known brand name among our industrial customers. The change to Sapa is thereby natural. * By giving the Group greater clarity, internally as well as externally, we have greater possibilities to create new customer solutions based on the light materials aluminium and plastics, says Staffan Bohman, Gränges' Chief Executive Officer. In today's competitive world it is important to make our customers increasingly aware of our presence. What will happen to the Gränges name? The Gränges name will not be used commercially in the future. However, during a transitional phase it will be used in special cases -- for strip operations in China, for example. What happens now? A Special General Meeting of Gränges AB will be held on January 20, 2000. The shareholders will vote on the Board's proposal at that time. More information will be available following the shareholders' decision. For additional information, please contact: Staffan Bohman, Chief Executive Officer, tel: +46 8-459 5910, Claes-R, Simonson, Executive Vice President, Gränges, tel: +46 8-459 5914, or Cecilia Lager, IR & Communication, tel: + 46 8-459 5941. Gränges is an international industrial group focused on value-added products based on the light materials aluminium and plastics. The products range from extrusions, heat transfer material to components and systems in plastics to the transport industry. The group is one of Europe leading companies within its field serving the customer segments engineering, telecom, transportation and construction. Gränges is quoted on the OM Stockholm Exchange "A-list". Visit Gränges web site on the Internet: www.graenges.se ------------------------------------------------------------ Please visit http://www.bit.se for further information The following files are available for download: http://www.bit.se/bitonline/1999/12/14/19991214BIT00360/bit0001.doc http://www.bit.se/bitonline/1999/12/14/19991214BIT00360/bit0002.pdf