Noranda Obtains Court Approval to Sell Downstream Assets to Gränges AB, Enters Into Agreement in Principle with Lenders and Unsecured Creditors Committee to Facilitate Restructuring Process Resolution

Franklin, Tennessee - August 17, 2016 - Noranda Aluminum Holding Corporation NORNQ ("Noranda" or the "Company") today announced that it has obtained Court approval for the sale of its Downstream Business to Gränges AB ("Gränges") for an enterprise value of $324.2 million (USD) on a cash and debt-free basis. The Company expects to close the transaction on or about August 22, 2016, subject to certain closing conditions. Until the transaction closes, the Downstream Business will continue to operate in the ordinary course, independent of Gränges, as it has throughout Noranda's chapter 11 case.

In connection with the Court approval of the sale of the Downstream Business, Noranda has reached an agreement in principle with certain of its existing secured lenders and the Unsecured Creditors Committee. The agreement includes a proposed settlement between the parties that will facilitate resolution of the Company's Chapter 11 case and provide the requisite funding necessary to complete the sale process for the Upstream Business, subject to certain milestones.  

Noranda Alumina has continued to operate at full production as it serves its growing customer base, supplied in full by Noranda Bauxite. Both entities, along with the temporarily idled smelter in New Madrid, are included in the sale process for the Upstream Business, for which the Company has received multiple expressions of interest.

On July 20, 2016, the Court entered a motion approving Bidding Procedures to conduct an orderly and efficient sales process for the Upstream Business. Pursuant to the Bidding Procedures, the deadline to submit qualified bids is September 15, 2016 and, if multiple bids are submitted, an auction will take place on September 22, 2016. A hearing to approve a sale is scheduled for September 27, 2016.

Additional Information

Additional information is available on the restructuring page of the Company's website, www.norandaaluminum.com/restructuring. Court filings and other information related to the court-supervised proceedings are available at a website administered by the Company's claims agent, Prime Clerk, at http://cases.primeclerk.com/noranda. The Company has also established a Restructuring Hotline at 855-410-7360 (U.S.), or 646-795-6965 (international), as well as a Customer Hotline at 855-252-2156 (U.S.), or 917-651-0441 (international).

About Noranda

Noranda is an integrated producer of primary aluminum and high-quality rolled aluminum coils. The Company has two businesses: an Upstream Business and a Downstream Business. The Upstream Business is one of the largest non-metallurgical or chemical grade alumina producers in North America. The Downstream, or Flat-Rolled Products Business, is one of the largest aluminum foil producers in North America, and consists of four rolling mill facilities.

About Gränges

Gränges is a leading global supplier of rolled products for brazed aluminium heat exchangers. The company develops, produces and markets advanced materials that enhance efficiency in the customer manufacturing process and the performance of the final products; brazed heat exchangers. The company's geographical markets are Europe, Asia and the Americas. Its production facilities are located in Finspång, Sweden, and Shanghai, China, and have a combined annual capacity of 220,000 metric tonnes. Gränges has some 950 employees and net sales in 2015 totalled SEK 5,494 million. Its shares have been listed on Nasdaq Stockholm since October 2014. More information on Gränges is available at granges.com.

Forward-Looking Statements

For this press release, statements that are not purely historical are "forward looking statements" within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Forward-looking statements may be identified by the words "believe," "expect," "anticipate," "plan," "intend," "will" and other similar expressions. All forward-looking statements made by Noranda reflect the Company's expectations and not guarantees of future performance and are subject to various risks, uncertainties and factors relating to Noranda's operations and business environment, and the progress of its Chapter 11 Case, all of which are difficult to predict and many of which are beyond Noranda's control, which could cause Noranda's actual results to differ materially from those matters expressed in or implied by these forward-looking statements. Such factors include, but are not limited to: those described under the "Risk Factors" section and elsewhere in Noranda's Annual Report on Form 10-K for the fiscal year ended December 31, 2015 which is available on Noranda's website www.norandaaluminum.com and on the Securities and Exchange Commission's website at www.sec.gov; unfavorable economic, financial and business conditions; and risks and uncertainties relating to the Chapter 11 Case.

Forward-looking statements made by Noranda in this press release, or elsewhere, speak only as of the date on which the statements were made. New risks and uncertainties arise from time to time, and it is impossible for Noranda to predict these events or how they may affect it or its anticipated results. Noranda assumes no obligations to update any forward-looking statements made in this press release to reflect subsequent events or circumstances or actual outcomes.

Media Inquiries

John A. Parker
Vice President of Communication and Investor Relations
(615) 771-5734
john.parker@noralinc.com

Michael Freitag / Aaron Palash / Dan Moore
Joele Frank, Wilkinson Brimmer Katcher
(212) 355-4449

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