8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, DC 20549

FORM 8-K

CURRENT REPORT
Pursuant to Section 13 or 15(d) of The Securities Exchange Act of 1934

Date of report (Date of earliest event reported): March 27, 2015

ALERIS CORPORATION

(EXACT NAME OF REGISTRANT AS SPECIFIED IN ITS CHARTER)

Delaware 
(State or other jurisdiction
of incorporation) 333-185443
(Commission File Number) 27-1539594 
(IRS Employer
Identification No.)

25825 Science Park Drive, Suite 400, Cleveland, Ohio 44122
(Address of Principal Executive Offices, including Zip Code)

(216) 910-3400
(Registrant’s Telephone Number, Including Area Code)

Not Applicable
(Former Name or Former Address, if Changed Since Last Report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

o Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

o Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

o Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

o Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Item 2.02     Results of Operations and Financial Condition.

On March 27, 2015, we issued a press release announcing our financial results for the three months and year ended December 31, 2014. A copy of the press release is furnished hereto as Exhibit 99.1.

The information contained in Item 2.02 of this Current Report and the attached exhibits shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended (the “Securities Act”), or the Exchange Act, except as shall be expressly set forth by specific reference in such filing.

A copy of management’s presentation materials for the March 27, 2015 earnings conference call is furnished hereto as Exhibit 99.2.

The information contained in Item 7.01 of this Current Report and the attached exhibits shall not be deemed “filed” for purposes of Section 18 of the Exchange Act or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act, or the Exchange Act, except as shall be expressly set forth by specific reference in such filing.

Item 9.01 Financial Statements and Exhibits.

(d) Exhibits.

99.1 Press release dated March 27, 2015.

99.2 March 27, 2015 Management Presentation Materials.

SIGNATURES

According to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

	ALERIS CORPORATION
Date: March 27, 2015
	/s/ I. Timothy Trombetta
	By: I. Timothy Trombetta
	Its: Vice President and Controller

EXHIBIT INDEX

Exhibit No.	Description
99.1	Press release dated March 27, 2015.
99.2	March 27, 2015 Management Presentation Materials.

EX-99.1

     For Immediate Release

March 27, 2015

Aleris Reports Fourth Quarter and Full Year 2014 Results

CLEVELAND, Ohio – March 27, 2015 – Aleris Corporation today reported results for the three months and year ended December 31, 2014. Except as otherwise indicated, all amounts reflect the divestitures of the recycling and extrusions businesses as discontinued operations.

Fourth Quarter Summary

▪ Divestitures of recycling and extrusions, as well as auto body sheet investment transforming Aleris

▪ Adjusted EBITDA of $39 million, up $32 million compared to fourth quarter of 2013

▪ Income from continuing operations of $92 million, up $132 million compared to fourth quarter 2013

▪ Automotive body sheet volumes up 21 percent versus last year

▪ Improved North America performance driven by higher volumes and increased scrap spreads

▪ Stronger U.S. dollar and lower raw material costs positively impacted Europe results

▪ Nichols acquisition integration highly successful; raising synergy capture target to $20 million

▪ Zhenjiang rolling mill obtained numerous high value plate qualifications, including Bombardier

▪Income from continuing operations includes $127 million of income tax benefits

▪ Divestitures generated approximately $530 millionof cash proceeds in the first quarter of 2015

▪ Liquidity of $306 million as of year end; $574 million after divestitures

First Quarter Outlook

▪ Automotive volumes expected to exceed first quarter of 2014

▪ Zhenjiang rolling mill aerospace qualifications obtained from Airbus and Boeing

▪ North America building and construction and transportation volumes expected to exceed prior year

▪ Koblenz aerospace volumes stabilizing, while margins expected to benefit from a stronger U.S. dollar

▪ Business Improvement Process expected to drive increased productivity

▪ Asia Pacific operations exiting start-up phase

“I am very pleased that our major strategic investments, which were successfully completed over the last few years, contributed to the significant profit growth experienced in the fourth quarter. We also experienced demand growth across several of our end use industries, which led to stronger overall volumes in the second half of the year, particularly in automotive,” Steve Demetriou, Aleris chairman and CEO said. “We believe this volume momentum will continue into 2015 particularly in global automotive, U.S. building and construction and Asia Pacific high value added aerospace and commercial plate.”

“With the divestitures of our recycling and extrusions businesses now complete, we look forward to continuing to enhance our capabilities as we complete our evolution into a pure play aluminum rolled products company with manufacturing operations in North America, Europe and Asia Pacific,” Demetriou added.

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	For the three months ended					For the year ended
	December 31,					December 31,
	2014		2013			2014		2013
(Dollars in millions, metric tons in thousands)	(unaudited)
Metric tons shipped	193		159			795		687
Revenue	$	733	$	581		$	2,882	$	2,521
Commercial margin	$	294	$	241		$	1,167	$	1,052
Segment income	$	56	$	21		$	242	$	214
Income (loss) from continuing operations	$	92	$	(40	)	$	54	$	(63	)
Adjusted EBITDA	$	39	$	7		$	176	$	157
Adjusted EBITDA including discontinued operations	$	59	$	26		$	266	$	236

Fourth Quarter2014 Results

Adjusted EBITDA totaled $39 million for the fourth quarter of 2014 compared to $7 million for the fourth quarter of 2013. Fourth quarter results were impacted by the following:

▪ higher shipment volumes of 21 percent, due primarily to our acquisition of Nichols and 21 percent higher automotive volumes, as well as higher North America production levels, led to an increase of approximately $12 million of Adjusted EBITDA;

▪ improved scrap spreads and a favorable supply contract in North America, as well as lower raw material prices in Europe, increased Adjusted EBITDA by approximately $13 million;

▪ a stronger U.S. dollar contributed to higher margins and currency exchange gains in Europe, which increased Adjusted EBITDA by approximately $6 million; and

▪ pricing pressures due to competitive imports and overcapacity in plate production reduced rolling margins and decreased Adjusted EBITDA by approximately $2 million.

Income from continuing operations attributable to Aleris Corporation for the fourth quarter of 2014 was $92 million compared to a net loss of $40 million for the fourth quarter of 2013. In addition to the impact of higher Adjusted EBITDA, the $132 million increase in income from continuing operations resulted from the following:

▪ a $117 million higher benefit from income taxes, primarily due to the reversal of foreign and domestic valuation allowances against deferred tax assets. These non-cash reversals resulted from the gain to be recorded on the sale of the recycling business, as well as the past and expected future profitability of our operations in Duffel, Belgium; and

▪ a $3 million favorable variation in metal price lag (metal price lag represents the difference between the price of primary aluminum included in our revenues and the price of aluminum impacting our cost of sales); and

▪ a $6 million favorable variation in currency exchange gains on intercompany indebtedness due to a strengthening U.S. dollar.

Partially offsetting these favorable items were:

▪ an $11 million increase in business development costs related to the divestitures of the recycling and extrusions businesses;

▪ an $8 million increase in depreciation expense related to the acquisition of Nichols and the completion of our recent capital investments;

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▪ a $3 million increase in cost of sales associated with adjusting acquired Nichols inventory to fair value;

▪ a $2 million increase in restructuring expenses, primarily related to exit costs associated with closed sites; and

▪ a $2 million decrease in unrealized gains on derivative financial instruments as a result of LME price movements and derivative settlements.

In the fourth quarter of 2014, $38 million was spent on capital expenditures for our continuing operations.

Aleris had $306 million of liquidity as of December 31, 2014, which consisted of approximately $277 million of availability under the ABL Facility plus approximately $29 million of cash on hand. Subsequent to the divestitures, as of March 2, 2015, liquidity was $574 million. The divestitures together generated $530 million of cash proceeds prior to fees, taxes and working capital and other adjustments. We expect the working capital adjustments to deliver additional cash to the Company.

North America

Our North America segment income increased to $19 million in the fourth quarter of 2014 from $4 million in the fourth quarter of 2013. Segment Adjusted EBITDA increased to $19 million in the fourth quarter of 2014 from $2 million in the fourth quarter of 2013. Performance drivers included:

▪ a 43 percent overall volume increase, as well as higher production levels, increased segment Adjusted EBITDA by $14 million. The volume increase was mainly due to the Nichols acquisition and improved demand from the building and construction and transportation industries, partially offset by weaker distribution demand;

▪ improved scrap spreads, resulting from higher aluminum prices and metal related synergies due to the Nichols acquisition, as well as a favorable supply contract, increased segment Adjusted EBITDA by $7 million; and

▪ competitive import pressure on the distribution end use caused by the high U.S. Midwest Premium reduced rolling margins, resulting in a $2 million decrease to segment Adjusted EBITDA.

The increase in segment income was driven by the factors that impacted segment Adjusted EBITDA, as well as the impact of recording the acquired inventory of Nichols at fair value, which increased cost of sales by $3 million.

Europe

Our Europe segment income was $37 million in the fourth quarter of 2014 compared to $17 million in the fourth quarter of 2013. Segment Adjusted EBITDA increased to $31 million in the fourth quarter of 2014 from $14 million in the fourth quarter of 2013. Performance drivers included:

▪ an overall volume decline of 6 percent, partially offset by a stronger mix of products sold, decreased segment Adjusted EBITDA by $1 million. Demand for auto body sheet continued to significantly outpace the prior year, increasing 21 percent compared to the fourth quarter of 2013. Aerospace shipments increased 1 percent, indicating that the prolonged inventory overhang impacting aircraft manufacturers over the past several quarters may be easing. Regional plate and sheet volume declined 10 percent due to economic weakness in Europe;

▪ a stronger U.S. dollar had a favorable impact on margins and translation of U.S. dollar denominated working capital balances, resulting in a $7 million increase in segment Adjusted EBITDA;

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▪ favorable developments in raw material prices, including alloying agents and rolling slab, as well as improved recoveries, resulted in an increase to segment Adjusted EBITDA of $6 million; and

▪ one time benefits, including electricity tax and carbon dioxideemission credits, contributed $4 million to segment Adjusted EBITDA.

The increase in segment income was driven by the factors that drove the increase in segment Adjusted EBITDA as well as a $3 millionfavorable variance in metal price lag.

Asia Pacific

Asia Pacific continued to ramp-up production and shipped approximately 3,900 tons of plate, generating revenue of $16 million during the fourth quarter of 2014. Losses in excess of revenue are considered start-up expenses and, as a result, are not included in Asia Pacific segment Adjusted EBITDA or segment income.

Full Year Results

Key financial highlights of our continuing operations for the year ended December 31, 2014 include:

▪ Revenues of approximately $2.9 billion compared to approximately $2.5 billion for the prior year period. The increase of 14 percent was attributable to the Nichols acquisition, higher aluminum prices, including significant increases in regional premiums, a 32 percent increase in demand for auto body sheet in Europe, a 21 percent increase in North America transportation demand and an increase in Asia Pacific segment revenues. These increases were partly offset by weaker aerospace and regional plate and sheet demand in Europe.

▪ Adjusted EBITDA increased to $176 million from $157 million during the prior year as a result of higher volumes due to the Nichols acquisition, favorable scrap spreads resulting from higher aluminum prices, a favorable metal supply contract and currency benefits from a stronger U.S. dollar. Partially offsetting these items were lower pricing due to pressure from foreign imports and a weaker mix of products sold due to aerospace inventory destocking and operational issues.

▪ Income from continuing operations was approximately $54 million compared to a loss from continuing operations of approximately $63 million for the prior year. The increase was driven by the factors that drove the increase in Adjusted EBITDA as well as a higher benefit from income taxes and currency exchange gains on intercompany indebtedness. These items were partially offset by increased depreciation and interest expense, as well as costs associated with acquisition and divestitures.

▪ Capital expenditures of continuing operations decreased to $121 million from $188 million during the prior year period as many of our recent major capital investments were completed in 2013.

Outlook

We estimate first quarter 2015 segment income and Adjusted EBITDA will be sequentially higher than the fourth quarter of 2014 and higher than the first quarter of 2014. Factors influencing anticipated first quarter 2015 performance include:

▪ continued growth in demand for auto body sheet in Europe;

▪ continued improvement in building and construction and transportation demand, as well as improved rolling margins into those end uses;

▪ continued strength of the U.S. dollar expected to improve aerospace margins;

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▪ stable scrap spreads due to strong U.S. dollar and industry dynamics;

▪ lower coil and sheet volumes due to continued weakness in Europe’s economy;

▪ losses from Asia Pacific as we have exited the start-up phase and we continue to ramp up production; and

▪ recently launched Business Improvement Process and AOS initiatives expected to drive increased productivity benefits.

Capital expenditures during the first quarter of 2015 are expected to be higher than the first quarter of 2014 primarily related to our auto body sheet project in Lewisport, Kentucky. We expect capital spending of $325 million in 2015.

Conference Call and Webcast Information

Aleris will hold a conference call and webcast on March 27, 2015 at 9:00 a.m. Eastern Time. Steven J. Demetriou, chairman and chief executive officer, and Eric M. Rychel, executive vice president, chief financial officer, and treasurer will host the call to discuss results.

The webcast can be accessed through the Company’s website, www.aleris.com. The conference call can be accessed by dialing 1-877-870-4263 or 1-412-317-0790 (for international callers) and ask for the “Aleris call”. A replay of the call will be posted on the Company’s website in the Investor Relations section.

Forward-Looking Statements

Certain statements contained in this press release are “forward-looking statements” within the meaning of the federal securities laws. Statements under headings with “Outlook” in the title and statements about our beliefs and expectations and statements containing the words “may,” “could,” “would,” “should,” “will,” “believe,” “expect,” “anticipate,” “plan,” “estimate,” “target,” “project,” “look forward to,” “intend” and similar expressions intended to connote future events and circumstances constitute forward-looking statements. Forward-looking statements include statements about, among other things, future costs and prices of commodities, production volumes, industry trends, anticipated cost savings, anticipated benefits from new products, facilities, acquisitions or divestitures, projected results of operations, achievement of production efficiencies, capacity expansions, future prices and demand for our products and estimated cash flows and sufficiency of cash flows to fund capital expenditures. Forward-looking statements involve known and unknown risks and uncertainties, which could cause actual results to differ materially from those contained in or implied by any forward-looking statement. Some of the important factors that could cause actual results to differ materially from those expressed or implied by forward-looking statements include, but are not limited to, the following: (1) our ability to successfully implement our business strategy; (2) the success of past and future acquisitions and divestitures; (3) the cyclical nature of the aluminum industry, material adverse changes in the aluminum industry or our end-use segments, such as global and regional supply and demand conditions for aluminum and aluminum products, and changes in our customers’ industries; (4) our ability to enter into effective metal, natural gas and other commodity derivatives or arrangements with customers to manage effectively our exposure to commodity price fluctuations and changes in the pricing of metals, especially London Metal Exchange-based aluminum prices; (5) increases in the cost of raw materials and energy; (6) our ability to generate sufficient cash flows to fund our capital expenditure requirements and to meet our debt service obligations; (7) our ability to fulfill our substantial capital investment requirements; (8) our ability to retain the services of certain members of our management; (9) our internal controls over financial reporting and our disclosure controls and procedures may not prevent all possible errors that could occur; (10) the loss of order volumes from any of our largest customers; (11) our ability to retain customers, a substantial number

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of whom do not have long-term contractual arrangements with us; (12) competitor pricing activity, competition of aluminum with alternative materials and the general impact of competition in the industry segments we serve; (13) risks of investing in and conducting operations on a global basis, including political, social, economic, currency and regulatory factors; (14) variability in general economic conditions on a global or regional basis; (15) current environmental liabilities and the cost of compliance with and liabilities under health and safety laws; (16) labor relations (i.e., disruptions, strikes or work stoppages) and labor costs; (17) our levels of indebtedness and debt service obligations, including changes in our credit ratings, material increases in our cost of borrowing or the failure of financial institutions to fulfill their commitments to us under committed credit facilities; (18) our ability to access the credit and capital markets; (19) the possibility that we may incur additional indebtedness in the future; (20) limitations on operating our business as a result of covenant restrictions under our indebtedness, and our ability to pay amounts due under the Senior Notes; and (21) other factors discussed in our filings with the Securities and Exchange Commission, including the sections entitled “Risk Factors” contained therein. Investors, potential investors and other readers are urged to consider these factors carefully in evaluating the forward-looking statements and are cautioned not to place undue reliance on such forward-looking statements. We undertake no obligation to publicly update or revise any forward-looking statements, whether in response to new information, futures events or otherwise, except as otherwise required by law.

Non-GAAP Financial Measures

In addition to the results reported in accordance with GAAP, this press release includes information regarding certain non-GAAP financial measures. Management uses EBITDA, Adjusted EBITDA, segment Adjusted EBITDA, commercial margin and segment commercial margin as performance metrics and believes these measures provide additional information commonly used by the holders of the Senior Notes and parties to our ABL Facility with respect to the ongoing performance of our underlying business activities, as well as our ability to meet our future debt service, capital expenditures and working capital needs. In addition, EBITDA with certain adjustments is a component of certain covenants under the indentures governing Aleris International’s senior notes. Adjusted EBITDA, including the impacts of metal price lag, is a component of certain financial covenants under the credit agreement governing the ABL Facility. Management also uses commercial margin, including segment commercial margin, as a performance metric and believes that it provides useful information regarding the performance of our segments because it measures the price at which we sell our aluminum products above the hedged cost of the metal and the effects of metal price lag, thereby reflecting the value-added components of our commercial activities independent of aluminum prices which we cannot control.

Our EBITDA calculations represent net income and loss attributable to Aleris Corporation before interest income and expense, provision for and benefit from income taxes, depreciation and amortization, and income from discontinued operations, net of tax. Adjusted EBITDA is defined as EBITDA excluding metal price lag, unrealized gains and losses on derivative financial instruments, restructuring charges, the impact of recording assets at fair value through fresh-start and purchase accounting, currency exchange gains and losses on debt, stock-based compensation expense, start-up expenses and certain other gains and losses. Segment Adjusted EBITDA represents Adjusted EBITDA on a per segment basis. EBITDA as defined in the indentures governing Aleris International’s senior notes also limits the amount of adjustments for cost savings, operational improvement and synergies for the purpose of determining our compliance with such covenants. Adjusted EBITDA as defined under the ABL Facility also limits the amount of adjustments for restructuring charges incurred after June 1, 2010 and requires additional adjustments be made if certain annual pension funding levels are exceeded. Commercial margin represents revenues less the hedged cost of metal and the effects of metal price lag. Segment commercial margin represents commercial margin on a per segment basis.

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EBITDA, Adjusted EBITDA, segment Adjusted EBITDA, commercial margin and segment commercial margin, as we use them, may not be comparable to similarly titled measures used by other companies. We calculate EBITDA, Adjusted EBITDA and segment Adjusted EBITDA by eliminating the impact of a number of items we do not consider indicative of our ongoing operating performance. You are encouraged to evaluate each adjustment and the reasons we consider it appropriate for supplemental analysis. However, EBITDA, Adjusted EBITDA, segment Adjusted EBITDA, commercial margin and segment commercial margin are not financial measurements recognized under GAAP, and when analyzing our operating performance, investors should use EBITDA, Adjusted EBITDA, segment Adjusted EBITDA, commercial margin and segment commercial margin in addition to, and not as an alternative for, net income and loss attributable to Aleris Corporation, operating income and loss, or any other performance measure derived in accordance with GAAP, or in addition to, and not as an alternative for, cash flow from operating activities as a measure of our liquidity. EBITDA, Adjusted EBITDA, segment Adjusted EBITDA, commercial margin and segment commercial margin have limitations as analytical tools, and they should not be considered in isolation, or as a substitute for, or superior to, our measures of financial performance prepared in accordance with GAAP.

About Aleris

Aleris is a privately held, global leader in aluminum rolled products production. Headquartered in Cleveland, Ohio, Aleris operates 13 production facilities in North America, Europe and Asia. For more information, visit www.aleris.com.

……………………………………………………………………………………………………………

The information disclosed in this press release is believed by Aleris to be accurate as of the date hereof. Aleris expressly disclaims any duty to update the information contained in this press release. Persons engaging in any transactions with Aleris or in Aleris’s securities are cautioned that there may exist other material information regarding Aleris that is not publicly available.

Investor Contact:Eric M. Rychel

Phone: 216-910-3229

Media Contact:Shannon Bennett

Phone: 216-910-3664

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Aleris Corporation

Consolidated Statements of Operations

(unaudited)

(in millions)

	For the three months ended						For the year ended
	December 31,						December 31,
	2014			2013			2014			2013
Revenues	$	733.0		$	581.3		$	2,882.4		$	2,520.8
Cost of sales	681.1			560.1			2,634.9			2,337.3
Gross profit	51.9			21.2			247.5			183.5
Selling, general and administrative expenses	66.0			48.9			221.9			184.1
Restructuring charges (gains)	1.3			(0.3		)	2.8			5.0
(Gains) losses on derivative financial instruments	(0.8		)	(6.3		)	10.9			(31.5		)
Other operating expense (income), net	0.1			0.3			0.2			(0.3		)
Operating (loss) income	(14.7		)	(21.4		)	11.7			26.2
Interest expense, net	27.1			26.0			107.4			97.4
Other (income) expense, net	(7.0		)	3.0			(20.0		)	6.0
Loss from continuing operations before income taxes	(34.8		)	(50.4		)	(75.7		)	(77.2		)
Benefit from income taxes	(126.9		)	(10.0		)	(129.5		)	(14.2		)
Income (loss) from continuing operations	92.1			(40.4		)	53.8			(63.0		)
Income from discontinued operations, net of tax	3.7			11.6			34.2			26.9
Net income (loss)	95.8			(28.8		)	88.0			(36.1		)
Net income from discontinued operations attributable to noncontrolling interests	0.1			0.2			0.9			1.0
Net income (loss) attributable to Aleris Corporation	$	95.7		$	(29.0	)	$	87.1		$	(37.1	)

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Aleris Corporation

Operating and Segment Information

(unaudited)

(in millions)

	For the three months ended						For the year ended
	December 31,						December 31,
	2014			2013			2014			2013
Segment income (loss):
North America	$	18.9		$	4.2		$	94.6		$	81.8
Europe	37.0			17.1			147.6			132.1
Asia Pacific	—			—			—			(0.2		)
Total segment income	55.9			21.3			242.2			213.7
Depreciation and amortization	(35.3		)	(27.5		)	(123.2		)	(98.8		)
Corporate general and administrative expenses, excluding depreciation, amortization, start-up expenses and other expenses	(28.1		)	(14.6		)	(77.8		)	(50.4		)
Restructuring charges	(1.3		)	0.3			(2.8		)	(5.0		)
Interest expense, net	(27.1		)	(26.0		)	(107.4		)	(97.4		)
Unallocated gains on derivative financial instruments	1.4			3.2			5.4			2.1
Unallocated currency exchange gains (losses)	4.9			(1.6		)	12.6			(3.8		)
Start-up expenses	(5.3		)	(4.9		)	(24.5		)	(35.6		)
Other income (expense), net	0.1			(0.6		)	(0.2		)	(2.0		)
Loss from continuing operations before income taxes	$	(34.8	)	$	(50.4	)	$	(75.7	)	$	(77.2	)

9

Aleris Corporation

Operating and Segment Information

(unaudited)

(Dollars in millions, except per ton measures, metric tons in thousands)

	For the three months ended						For the year ended
	December 31,						December 31,
	2014			2013			2014			2013
Shipped metric tons:
North America	121.0			84.7			482.0			372.3
Europe	75.2			79.6			334.9			345.4
Asia Pacific	3.9			1.6			12.8			4.8
Intersegment shipments	(0.1		)	(0.9		)	(3.7		)	(7.5		)
	200.0			165.0			826.0			715.0
Shipments to discontinued operations	(6.5		)	(6.1		)	(31.3		)	(28.1		)
Total shipped metric tons	193.5			158.9			794.7			686.9
Revenues:
North America	$	413.4		$	263.8		$	1,561.8		$	1,194.8
Europe	333.1			339.1			1,402.4			1,443.2
Asia Pacific	15.8			7.0			52.7			20.7
Intersegment revenues	(2.4		)	(3.2		)	(18.0		)	(29.2		)
	759.9			606.7			2,998.9			2,629.5
Shipments to discontinued operations	(26.9		)	(25.4		)	(116.5		)	(108.7		)
Total revenues	$	733.0		$	581.3		$	2,882.4		$	2,520.8
Segment commercial margin:
North America	$	149.3		$	95.7		$	569.0		$	447.2
Europe	144.4			145.2			597.6			605.2
Asia Pacific	—			—			—			(0.3		)
Total segment commercial margin	$	293.7		$	240.9		$	1,166.6		$	1,052.1
Segment commercial margin per metric ton:
North America	$	1,234.5		$	1,130.1		$	1,180.4		$	1,201.3
Europe	1,920.6			1,823.2			1,784.6			1,752.2
Asia Pacific	*			*			*			*
Segment Adjusted EBITDA:
North America	$	19.0		$	1.8		$	96.0		$	76.2
Europe	30.5			14.0			120.7			115.3
Asia Pacific	—			—			—			(0.2		)
Corporate	(11.0		)	(9.1		)	(40.2		)	(34.4		)
Total Adjusted EBITDA	38.5			6.7			176.5			156.9
Discontinued operations	20.3			19.4			89.0			79.3
Total Adjusted EBITDA including discontinued operations	$	58.8		$	26.1		$	265.5		$	236.2
Segment Adjusted EBITDA per metric ton:
North America	$	157.4		$	21.0		$	199.1		$	204.6
Europe	406.0			176.3			360.5			333.9
Asia Pacific	*			*			*			*
Aleris Corporation	193.0			40.0			214.0			220.0
* Result is not meaningful.

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Aleris Corporation

Operating and Segment Information

(unaudited)

(Dollars in millions, except per ton measures, metric tons in thousands)

	2014												2013
	Q1			Q2			Q3			Q4			Q1			Q2			Q3			Q4
Shipped metric tons:
North America	86.3			133.1			141.6			121.0			94.8			100.7			92.0			84.7
Europe	86.6			86.2			86.9			75.2			89.9			90.0			85.8			79.6
Asia Pacific	2.3			2.8			3.8			3.9			0.1			1.1			1.9			1.6
Intersegment shipments	(1.3		)	(1.1		)	(1.3		)	—			(3.9		)	(1.9		)	(1.7		)	(1.0		)
	174.0			221.0			231.0			200.0			181.0			190.0			178.0			165.0
Shipments to discontinued operations	(8.6		)	(8.4		)	(7.8		)	(6.5		)	(7.5		)	(7.0		)	(6.4		)	(6.1		)
Total shipped metric tons	165.4			212.6			223.2			193.5			173.5			183.0			171.6			158.9
Revenues:
North America	$	261.3		$	419.1		$	468.0		$	413.4		$	314.3		$	323.2		$	293.6		$	263.8
Europe	354.8			352.2			362.3			333.1			369.2			378.6			356.2			339.1
Asia Pacific	10.0			11.3			15.6			15.8			0.7			5.0			7.9			7.0
Intersegment revenues	(6.5		)	(3.0		)	(6.1		)	(2.4		)	(12.9		)	(8.6		)	(4.3		)	(3.2		)
	619.6			779.6			839.8			759.9			671.3			698.2			653.4			606.7
Shipments to discontinued operations	(28.6		)	(30.2		)	(30.8		)	(26.9		)	(29.9		)	(26.5		)	(27.1		)	(25.4		)
Total revenues	$	591.0		$	749.4		$	809.0		$	733.0		$	641.4		$	671.7		$	626.3		$	581.3

Segment commercial margin:
North America	$	106.0		$	149.0		$	164.6		$	149.3		$	116.5		$	123.5		$	111.5		$	95.7
Europe	151.1			150.7			151.5			144.4			149.1			161.0			150.0			145.2
Asia Pacific	—			—			—			—			—			—			—			—
Total segment commercial margin	$	257.1		$	299.7		$	316.1		$	293.7		$	265.6		$	284.5		$	261.5		$	240.9
Segment commercial margin per metric ton:
North America	$	1,228.4		$	1,119.2		$	1,162.5		$	1,234.5		$	1,228.7		$	1,226.1		$	1,211.4		$	1,130.1
Europe	1,744.4			1,747.9			1,743.5			1,920.6			1,657.9			1,787.8			1,747.8			1,823.2
Asia Pacific	*			*			*			*			*			*			*			*
Segment Adjusted EBITDA:
North America	$	23.2		$	22.6		$	31.0		$	19.0		$	23.4		$	30.7		$	20.4		$	1.8
Europe	30.3			25.8			34.2			30.5			33.6			34.5			33.1			14.0
Asia Pacific	—			—			—			—			(0.3		)	—			—			—
Corporate	(10.2		)	(8.9		)	(10.1		)	(11.0		)	(8.3		)	(7.2		)	(9.6		)	(9.1		)
Total Adjusted EBITDA	43.3			39.5			55.1			38.5			48.4			58.0			43.9			6.7
Discontinued operations	15.9			25.3			27.6			20.3			16.1			20.0			23.7			19.4
Total Adjusted EBITDA including discontinued operations	$	59.2		$	64.8		$	82.7		$	58.8		$	64.5		$	78.0		$	67.6		$	26.1
Segment Adjusted EBITDA per metric ton:
North America	$	269.3		$	170.1		$	219.1		$	157.4		$	246.3		$	304.6		$	221.3		$	21.0
Europe	349.3			299.2			393.1			406.0			374.1			383.6			386.0			176.3
Asia Pacific	*			*			*			*			*			*			*			*
Aleris Corporation	249.0			178.3			238.8			193.0			267.2			305.2			245.8			40.0
* Result is not meaningful.

11

Aleris Corporation

Consolidated Balance Sheet

(unaudited)

(in millions, except share and per share data)

ASSETS	December 31, 2014			December 31, 2013
Current Assets
Cash and cash equivalents	$	28.6		$	51.3
Accounts receivable (net of allowances of $6.5 and $6.2 at December 31, 2014 and December 31, 2013, respectively)	271.0			208.5
Inventories	627.9			494.2
Deferred income taxes	28.1			5.9
Prepaid expenses and other current assets	44.9			23.3
Assets of discontinued operations - current	385.6			375.8
Total Current Assets	1,386.1			1,159.0
Property, plant and equipment, net	942.9			904.5
Intangible assets, net	44.0			43.5
Deferred income taxes	146.7			28.3
Other long-term assets	72.4			66.4
Assets of discontinued operations - long-term	269.8			271.2
Total Assets	$	2,861.9		$	2,472.9
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current Liabilities
Accounts payable	$	268.2		$	165.7
Accrued liabilities	183.3			143.9
Deferred income taxes	6.2			3.2
Current portion of long-term debt	3.3			2.5
Liabilities of discontinued operations - current	195.9			201.0
Total Current Liabilities	656.9			516.3
Long-term debt	1,474.9			1,226.8
Deferred income taxes	0.4			1.7
Accrued pension benefits	178.7			131.2
Accrued postretirement benefits	46.4			40.9
Other long-term liabilities	49.2			45.3
Liabilities of discontinued operations - long-term	156.4			136.3
Total Long-Term Liabilities	1,906.0			1,582.2
Redeemable noncontrolling interest	5.7			5.7
Stockholders’ Equity
Common stock; par value $.01; 45,000,000 shares authorized and 31,281,513 and 31,229,064 shares issued and outstanding at December 31, 2014 and December 31, 2013, respectively	0.3			0.3
Preferred stock; par value $.01; 1,000,000 shares authorized; none issued	—			—
Additional paid-in capital	414.1			401.9
Retained earnings (deficit)	39.1			(47.6		)
Accumulated other comprehensive income	(160.9		)	13.8
Total Aleris Corporation Equity	292.6			368.4
Noncontrolling interest	0.7			0.3
Total Equity	293.3			368.7
Total Liabilities and Equity	$	2,861.9		$	2,472.9

12

Aleris Corporation

Consolidated Statements of Cash Flows

(unaudited)

(in millions)

	For the three months ended						For the year ended
	December 31,						December 31,
	2014			2013			2014			2013
Operating activities
Net income (loss)	$	95.8		$	(28.8	)	$	88.0		$	(36.1	)
Adjustments to reconcile net income (loss) to net cash provided by operating activities:
Depreciation and amortization	45.4			36.2			157.6			129.5
Benefit from deferred income taxes	(127.8		)	(14.8		)	(132.0		)	(13.7		)
Loss on classification as held for sale	11.2			—			11.2			—
Stock-based compensation expense	2.9			3.1			13.8			14.3
Unrealized losses (gains) on derivative financial instruments	0.9			(3.6		)	(6.5		)	(0.7		)
Currency exchange (gains) losses on debt	(4.3		)	1.5			(11.5		)	3.9
Amortization of debt issuance costs	1.6			1.9			7.4			7.7
Other	(0.6		)	0.9			2.0			(2.4		)
Changes in operating assets and liabilities:
Change in accounts receivable	114.8			84.1			(34.1		)	16.0
Change in inventories	(62.0		)	47.5			(171.5		)	15.7
Change in other assets	(11.4		)	(7.5		)	(14.2		)	(20.5		)
Change in accounts payable	(30.6		)	(59.6		)	78.6			(31.3		)
Change in accrued liabilities	0.8			(11.7		)	11.2			(50.5		)
Net cash provided by operating activities	36.7			49.2			—			31.9
Investing activities
Payments for property, plant and equipment	(55.8		)	(55.5		)	(164.8		)	(238.3		)
Purchase of a business	—			—			(107.4		)	—
Proceeds from the sale of property, plant and equipment	0.2			1.5			2.8			2.9
Other	(1.4		)	0.1			4.1			—
Net cash used by investing activities	(57.0		)	(53.9		)	(265.3		)	(235.4		)
Financing activities
Proceeds from the ABL facility	97.0			10.0			434.0			30.3
Payments on the ABL facility	(81.0		)	(10.0		)	(210.0		)	(30.3		)
Proceeds from the Zhenjiang term loans	—			—			—			0.2
Proceeds from the Zhenjiang revolver	4.6			—			24.4			4.1
Payments on the Zhenjiang revolver	—			(4.1		)	—			(4.1		)
Net payments on other long-term debt	(0.6		)	(2.5		)	(0.3		)	(5.2		)
Redemption of noncontrolling interest	—			—			—			(8.9		)
Dividends paid	—			—			—			(313.0		)
Other	(0.3		)	(0.7		)	(2.0		)	(4.7		)
Net cash provided (used) by financing activities	19.7			(7.3		)	246.1			(331.6		)
Effect of exchange rate differences on cash and cash equivalents	(1.2		)	0.8			(4.9		)	2.3
Net decrease in cash and cash equivalents	(1.8		)	(11.2		)	(24.1		)	(532.8		)
Cash and cash equivalents at beginning of period	37.8			71.3			60.1			592.9
Cash and cash equivalents at end of period	36.0			60.1			36.0			60.1
Cash and cash equivalents included within assets of discontinued operations - current	(7.4		)	(8.8		)	(7.4		)	(8.8		)
Cash and cash equivalents of continuing operations	$	28.6		$	51.3		$	28.6		$	51.3

13

Aleris Corporation

Reconciliation of Adjusted EBITDA to

Net Income (Loss) Attributable to Aleris Corporation and

Cash Flows Provided (Used) by Operating Activities

(unaudited)

(in millions)

	For the three months ended						For the year ended
	December 31,						December 31,
	2014			2013			2014			2013
Adjusted EBITDA including discontinued operations	$	58.8		$	26.1		$	265.5		$	236.2
Less: Adjusted EBITDA from discontinued operations	20.3			19.4			89.0			79.3
Adjusted EBITDA from continuing operations	38.5			6.7			176.5			156.9
Unrealized gains on derivative financial instruments	1.4			3.2			5.4			2.2
Impact of recording inventory at fair value through purchase accounting	(2.5		)	—			(8.1		)	0.1
Restructuring (charges) gains	(1.3		)	0.3			(2.8		)	(5.0		)
Unallocated currency exchange gains (losses) on debt	4.7			(1.3		)	12.0			(2.1		)
Stock-based compensation expense	(2.9		)	(3.1		)	(13.8		)	(14.3		)
Start-up expenses	(5.3		)	(4.9		)	(24.5		)	(35.6		)
Favorable metal price lag	8.8			5.5			33.7			22.3
Other	(13.9		)	(3.5		)	(24.4		)	(6.5		)
EBITDA from continuing operations	27.5			2.9			154.0			118.0
Interest expense, net	(27.1		)	(26.0		)	(107.4		)	(97.4		)
Benefit from income taxes	126.9			10.0			129.5			14.2
Depreciation and amortization from continuing operations	(35.3		)	(27.5		)	(123.2		)	(98.8		)
Income from discontinued operations, net of tax	3.7			11.6			34.2			26.9
Net income (loss) attributable to Aleris Corporation	95.7			(29.0		)	87.1			(37.1		)
Net income from discontinued operations attributable to noncontrolling interests	0.1			0.2			0.9			1.0
Net income (loss)	95.8			(28.8		)	88.0			(36.1		)
Depreciation and amortization	45.4			36.2			157.6			129.5
Benefit from deferred income taxes	(127.8		)	(14.8		)	(132.0		)	(13.7		)
Loss on classification as held for sale	11.2			—			11.2			—
Stock-based compensation expense	2.9			3.1			13.8			14.3
Unrealized losses (gains) on derivative financial instruments	0.9			(3.6		)	(6.5		)	(0.7		)
Currency exchange (gains) losses on debt	(4.3		)	1.5			(11.5		)	3.9
Amortization of debt issuance costs	1.6			1.9			7.4			7.7
Other	(0.6		)	0.9			2.0			(2.4		)
Change in operating assets and liabilities:
Change in accounts receivable	114.8			84.1			(34.1		)	16.0
Change in inventories	(62.0		)	47.5			(171.5		)	15.7
Change in other assets	(11.4		)	(7.5		)	(14.2		)	(20.5		)
Change in accounts payable	(30.6		)	(59.6		)	78.6			(31.3		)
Change in accrued liabilities	0.8			(11.7		)	11.2			(50.5		)
Net cash provided by operating activities	$	36.7		$	49.2		$	—		$	31.9

14

Aleris Corporation

Reconciliation of Segment Income (Loss) to

Segment Adjusted EBITDA

(unaudited)

(in millions)

	For the three months ended						For the year ended
	December 31,						December 31,
	2014			2013			2014			2013
North America
Segment income	$	18.9		$	4.2		$	94.6		$	81.8
Impact of recording inventory at fair value through purchase accounting	2.5			—			8.1			—
Favorable metal price lag	(2.4		)	(2.4		)	(6.8		)	(5.6		)
Segment Adjusted EBITDA(1)	$	19.0		$	1.8		$	96.0		$	76.2
Europe
Segment income	$	37.0		$	17.1		$	147.6		$	132.1
Impact of recording inventory at fair value through purchase accounting	—			—			—			(0.1		)
Favorable metal price lag	(6.4		)	(3.1		)	(26.9		)	(16.6		)
Segment Adjusted EBITDA(1)	$	30.5		$	14.0		$	120.7		$	115.3
Asia Pacific
Segment loss	$	—		$	—		$	—		$	(0.2	)
Segment Adjusted EBITDA (2)	—			—			—			(0.2		)

(1) Amounts may not foot as they represent the calculated totals based on actual amounts and not the rounded amounts presented in this table.

(2) There was no difference between segment income and segment Adjusted EBITDA for this segment.

15

Aleris Corporation

Reconciliation of Segment Income (Loss) to

Segment Adjusted EBITDA

(unaudited)

(in millions)

	2014												2013
	Q1			Q2			Q3			Q4			Q1			Q2			Q3			Q4
North America
Segment income	$	26.9		$	22.4		$	26.4		$	18.9		$	23.5		$	32.7		$	21.5		$	4.2
Impact of recording inventory at fair value through purchase accounting	—			3.0			2.5			2.5			—			—			—			—
(Favorable) unfavorable metal price lag	(3.7		)	(2.8		)	2.1			(2.4		)	(0.1		)	(2.0		)	(1.2		)	(2.4		)
Segment Adjusted EBITDA (1)	$	23.2		$	22.6		$	31.0		$	19.0		$	23.4		$	30.7		$	20.4		$	1.8
Europe
Segment income	$	38.1		$	34.4		$	38.1		$	37.0		$	38.5		$	39.4		$	37.1		$	17.1
Favorable metal price lag	(7.9		)	(8.6		)	(4.0		)	(6.4		)	(4.8		)	(4.8		)	(4.0		)	(3.1		)
Segment Adjusted EBITDA (1)	$	30.3		$	25.8		$	34.2		$	30.5		$	33.6		$	34.5		$	33.1		$	14.0
Asia Pacific
Segment loss	$	—		$	—		$	—		$	—		$	(0.3	)	$	—		$	—		$	—
Segment Adjusted EBITDA (2)	—			—			—			—			(0.3		)	—			—			—
(1) Amounts may not foot as they represent the calculated totals based on actual amounts and not the rounded amounts presented in this table. (2) There was no difference between segment loss and segment Adjusted EBITDA for this segment.

16

Aleris Corporation

Reconciliation of Segment Revenues to

Segment Commercial Margin

(unaudited)

(in millions)

	For the three months ended						For the year ended
	December 31,						December 31,
	2014			2013			2014			2013
North America
Segment revenues	$	413.4		$	263.8		$	1,561.8		$	1,194.8
Hedged cost of metal	(261.7		)	(165.7		)	(986.0		)	(742.0		)
Favorable metal price lag	(2.4		)	(2.4		)	(6.8		)	(5.6		)
Segment commercial margin	$	149.3		$	95.7		$	569.0		$	447.2
Europe
Segment revenues	$	333.1		$	339.1		$	1,402.4		$	1,443.2
Hedged cost of metal	(182.3		)	(190.8		)	(777.9		)	(821.4		)
Favorable metal price lag	(6.4		)	(3.1		)	(26.9		)	(16.6		)
Segment commercial margin	$	144.4		$	145.2		$	597.6		$	605.2
Asia Pacific
Segment revenues	$	15.8		$	7.0		$	52.7		$	20.7
Hedged cost of metal	(15.8		)	(7.0		)	(52.7		)	(21.0		)
Segment commercial margin	$	—		$	—		$	—		$	(0.3	)

17

Aleris Corporation

Reconciliation of Segment Revenues to

Segment Commercial Margin

(unaudited)

(in millions)

	2014												2013
	Q1			Q2			Q3			Q4			Q1			Q2			Q3			Q4
North America
Segment revenues	$	261.3		$	419.1		$	468.0		$	413.4		$	314.3		$	323.2		$	293.6		$	263.8
Hedged cost of metal	(151.6		)	(267.3		)	(305.5		)	(261.7		)	(197.7		)	(197.7		)	(180.9		)	(165.7		)
Favorable metal price lag	(3.7		)	(2.8		)	2.1			(2.4		)	(0.1		)	(2.0		)	(1.2		)	(2.4		)
Segment commercial margin	$	106.0		$	149.0		$	164.6		$	149.3		$	116.5		$	123.5		$	111.5		$	95.7
Europe
Segment revenues	$	354.8		$	352.2		$	362.3		$	333.1		$	369.2		$	378.6		$	356.2		$	339.1
Hedged cost of metal	(195.8		)	(192.9		)	(206.8		)	(182.3		)	(215.3		)	(212.8		)	(202.2		)	(190.8		)
Favorable metal price lag	(7.9		)	(8.6		)	(4.0		)	(6.4		)	(4.8		)	(4.8		)	(4.0		)	(3.1		)
Segment commercial margin	$	151.1		$	150.7		$	151.5		$	144.4		$	149.1		$	161.0		$	150.0		$	145.2
Asia Pacific
Segment revenues	$	10.0		$	11.3		$	15.6		$	15.8		$	0.7		$	5.0		$	7.9		$	7.0
Hedged cost of metal	(10.0		)	(11.3		)	(15.6		)	(15.8		)	(1.0		)	(5.0		)	(7.9		)	(7.0		)
Segment commercial margin	$	—		$	—		$	—		$	—		$	(0.3	)	$	—		$	—		$	—

18

EX-99.2

Fourth Quarter & Full Year 2014 Earnings Presentation March 27, 2015

2 FORWARD-LOOKING AND OTHER INFORMATION IMPORTANT INFORMATION This information is current only as of its date and may have changed. We undertake no obligation to update this information in light of new information, future events or otherwise. This information contains certain financial projections and forecasts and other forward looking information concerning our business, prospects, financial condition and results of operations, and we are not making any representation or warranty that this information is accurate or complete. See “Forward-Looking Information” below. BASIS OF PRESENTATION We have recently completed the sale of our recycling and specification alloys and extrusions businesses. We have reported these businesses as discontinued operations for all periods presented, and reclassified the results of operations of these businesses as discontinued operations. Except as otherwise indicated, the discussion of the Company’s business and financial information throughout this presentation refers to the Company’s continuing operations and the financial position and results of operations of its continuing operations. FORWARD-LOOKING INFORMATION Certain statements contained in this press release are “forward-looking statements” within the meaning of the federal securities laws. Statements under headings with “Outlook” in the title and statements about our beliefs and expectations and statements containing the words “may,” “could,” “would,” “should,” “will,” “believe,” “expect,” “anticipate,” “plan,” “estimate,” “target,” “project,” “look forward to,” “intend” and similar expressions intended to connote future events and circumstances constitute forward-looking statements. Forward-looking statements include statements about, among other things, future costs and prices of commodities, production volumes, industry trends, anticipated cost savings, anticipated benefits from new products, facilities, acquisitions or divestitures, projected results of operations, achievement of production efficiencies, capacity expansions, future prices and demand for our products, and estimated cash flows and sufficiency of cash flows to fund capital expenditures. Forward-looking statements involve known and unknown risks and uncertainties, which could cause actual results to differ materially from those contained in or implied by any forward-looking statement. Some of the important factors that could cause actual results to differ materially from those expressed or implied by forward-looking statements include, but are not limited to, the following: (1) our ability to successfully implement our business strategy; (2) the success of past and future acquisitions and divestitures; (3) the cyclical nature of the aluminum industry, material adverse changes in the aluminum industry or our end-use segments, such as global and regional supply and demand conditions for aluminum and aluminum products, and changes in our customers’ industries; (4) our ability to enter into effective metal, natural gas and other commodity derivatives or arrangements with customers to manage effectively our exposure to commodity price fluctuations and changes in the pricing of metals, especially London Metal Exchange- based aluminum prices; (5) increases in the cost of raw materials and energy; (6) our ability to generate sufficient cash flows to fund our capital expenditure requirements and to meet our debt service obligations; (7) our ability to fulfill our substantial capital investment requirements; (8) our ability to retain the services of certain members of our management; (9) our internal controls over financial reporting and our disclosure controls and procedures may not prevent all possible errors that could occur; (10) the loss of order volumes from any of our largest customers; (11) our ability to retain customers, a substantial number of whom do not have long-term contractual arrangements with us; (12) competitor pricing activity, competition of aluminum with alternative materials and the general impact of competition in the industry segments we serve; (13) risks of investing in and conducting operations on a global basis, including political, social, economic, currency and regulatory factors; (14) variability in general economic conditions on a global or regional basis; (15) current environmental liabilities and the cost of compliance with and liabilities under health and safety laws; (16) labor relations (i.e., disruptions, strikes or work stoppages) and labor costs; (17) our levels of indebtedness and debt service obligations, including changes in our credit ratings, material increases in our cost of borrowing or the failure of financial institutions to fulfill their commitments to us under committed credit facilities; (18) our ability to access the credit and capital markets; (19) the possibility that we may incur additional indebtedness in the future; (20) limitations on operating our business as a result of covenant restrictions under our indebtedness, and our ability to pay amounts due under the Senior Notes; and (21) other factors discussed in our filings with the Securities and Exchange Commission, including the sections entitled “Risk Factors” contained therein. Investors, potential investors and other readers are urged to consider these factors carefully in evaluating the forward-looking statements and are cautioned not to place undue reliance on such forward-looking statements. We undertake no obligation to publicly update or revise any forward-looking statements, whether in response to new information, futures events or otherwise, except as otherwise required by law. NON-GAAP INFORMATION The non-GAAP financial measures contained in this presentation (including, without limitation, EBITDA, Adjusted EBITDA, commercial margin, and variations thereof) are not measures of financial performance calculated in accordance with U.S. GAAP and should not be considered as alternatives to net income and loss attributable to Aleris Corporation or any other performance measure derived in accordance with GAAP or as alternatives to cash flows from operating activities as a measure of our liquidity. Non-GAAP measures have limitations as analytical tools and should be considered in addition to, not in isolation or as a substitute for, or as superior to, our measures of financial performance prepared in accordance with GAAP. Management believes that certain non-GAAP performance measures may provide investors with additional meaningful comparisons between current results and results in prior periods. Management uses non-GAAP financial measures as performance metrics and believes these measures provide additional information commonly used by the holders of our senior debt securities and parties to the ABL Facility with respect to the ongoing performance of our underlying business activities, as well as our ability to meet our future debt service, capital expenditures and working capital needs. These adjustments are based on currently available information and certain adjustments that we believe are reasonable and are presented as an aid in understanding our operating results. They are not necessarily indicative of future results of operations that may be obtained by the Company. INDUSTRY INFORMATION Information regarding market and industry statistics contained in this presentation is based on information from third party sources as well as estimates prepared by us using certain assumptions and our knowledge of these industries. Our estimates, in particular as they relate to our general expectations concerning the aluminum industry, involve risks and uncertainties and are subject to changes based on various factors, including those discussed under “Risk Factors” in our filings with the Securities and Exchange Commission.

3 FOURTH QUARTER OVERVIEW  4Q14 Adjusted EBITDA of $39M; income from continuing operations of $92M  Nichols integration progressing; raising synergy target to $20M  Auto body sheet volumes up 21%  Improved N.A. scrap spreads  Strong USD benefiting Europe results 4Q Historical Adjusted EBITDA ($M)1 $39 $7 $50 $40 $30 $20 $10 $0 2013 2014 Momentum returns in 2H14 Adjusted EBITDA 1Continuing operations only Adjusted EBITDA1 ($M): 1H v 2H $106 $51 $83 $94 $120 $0 $20 $100 $80 $60 $40 $140 2H 1H -22% +85% 2013 2014

4 ALERIS TRANSFORMATION  Duffel automotive ramp-up underway  Nichols acquisition completed; integration exceeding expectations  Zhenjiang qualifications obtained; first aerospace deliveries  Lewisport expansion on schedule  Improved operations performance  Recycling & extrusions divestitures – closed 1Q15 Acquisitions, divestitures, and strategic investments reshaping Aleris 2014 Revenue by Segment1 2014 Revenue by End Use2 1See appendix for revenue detail 2Continuing operations only 23% 18% 19% 11% 21% 8% Distribution NA B&C Automotive Truck Trailer Other Aerospace 38% 29% 32% North America Discontinued Ops. Europe Asia Pacific

5 RECYCLING AND EXTRUSIONS DIVESTITURES  Enhance liquidity ‒ Opportunity to pay down debt ‒ Fund strategic capital growth ‒ Improve cash position  Strengthens balance sheet Completed sales of Recycling and Extrusions businesses, generated $496 million1 and €30 million1 of cash proceeds, respectively. Transaction Highlights 2014 Adjusted EBITDA per ton ($/t) Singularly focused on rolled products Including Discontinued Operations $130 Continuing Operations $214 1Before working capital adjustments, fees, taxes, and other closing costs

6 NICHOLS ACQUISITION  Purchase price of ~$110M proving to be very attractive  Well timed acquisition with B&C recovery underway  Initiated Decatur plant closure – Optimize network and improve flow between plants  Initial synergy target of $10M raised for second time to $20M Transaction Update Nichols acquisition very beneficial to North America business

7 ZHENJIANG ROLLING MILL  Nadcap accreditation; AS9100 certification  Attained key qualifications – Bombardier – COMAC – Airbus (January 2015) – Boeing (March 2015)  Shipped first aerospace plate  Growth opportunities in high value commercial plate end uses – Aerospace, LNG, High Speed Rail, Semiconductor, Tool / Mold 2014 Highlights Shipments by quarter (tons) 1142 1852 1649 2324 2809 3806 3872 3Q13 1Q13 1Q14 4Q13 132 2Q13 3Q14 4Q14 2Q14 First mill in China with western aerospace OEM qualifications

8 NORTH AMERICA AUTO BODY SHEET UPDATE  Broke ground on $350M ABS investment  Deployed $56M of capital to date  Positions Aleris to meet benefit from transformational lightweight aluminum growth in automotive sectior  On target on all key milestones  Working with key auto OEM’s  Establishing strategic innovation center in the Detroit area $160 $140 $20 2014 2016F 2015F Estimated Lewisport ABS CapEx ($M) Lewisport ABS Update

9 4Q YoY Growth1 2014 YoY Growth1 NORTH AMERICA 1Includes Nichols volume in 2013 and 1Q14 2Act Research Company, 2014 Volume Drivers  Housing recovery / momentum  Steady remodeling activity Building & Construction 14% 3%  High Midwest premium  Highly elevated import levels Distribution (7%) (7%)  15% YoY growth in trailer builds2  Highest dry van backlog since 20102 Transportation 16% 14%  Automotive volumes ramping up to support domestic OEMs & distributors All Other 0% 0%

10 EUROPE 1IHS Global Insights, 2014  Customer destocking abated in 4Q  Industry backlog continues to reach record levels Aerospace 1% (8%)  Rebound from cycle lows  3% increase in Europe Auto builds1 Heat Exchanger 10% 10%  Sluggish European economy  Overcapacity; highly competitive Regional Commercial Plate & Sheet (21%) (10%)  Aluminum content increasing  EU premium builds up 6%1 Automotive 21% 32% Volume Drivers 4Q YoY Growth 2014 YoY Growth

11 NORTH AMERICA SCRAP SPREADS $1.20 $1.10 $0.70 $1.00 $0.90 $0.80 $0.30 $0.25 $0.20 $0.15 $0.10 MLC Diff. to P1020 P1020 (right axis) Ptd. Siding Diff. to P1020  Spreads improved due to LME rise and scrap availability  Scrap availability enhanced due to strong dollar & low demand in China  Metal blending best practices shared across Aleris and legacy Nichols network December 2012 December 2013 December 2014 1Platts, Aleris Internal Reports, Dec 2014

12 ADJUSTED EBITDA BRIDGE 4Q14 vs. 4Q13 ($M) 2014 vs. 2013 $12 $13 $3 $3 $9 $39 $40 35 30 25 20 15 10 5 4Q14 Currency & Other Productivity Inflation Scrap Spreads Price $2 Volume/Mix 4Q13 $7 $157 $17 $22 $18 $176 $180 160 80 140 120 100 60 40 Scrap Spreads Price $10 Volume/Mix $8 2013 Inflation 2014 Currency & Other $8 Productivity 20

13 NORTH AMERICA  Continued strength in B&C and transportation  Volume increase from Nichols acquisition  Improved scrap spreads due to higher LME  Pricing pressures caused by high MWP and competitive imports  Inflation costs partially offset by productivity Volume (kT) Segment Adjusted EBITDA ($M) 4Q14 Performance 4Q Adjusted EBITDA Bridge ($M) 371 396 372 482 85 121 43% 4Q14 4Q13 2014 2013 2012 2011 30% $105 $111 $76 $96 $19 4Q14 4Q13 $2 2014 2013 2012 2011 Adj. EBITDA / ton $283 $282 $205 $199 $21 $157 $14 $2 $7 $3 $19 $20 5 10 15 20 25 30 4Q14 Price Volume / Mix Productivity $1 Inflation Spreads 4Q13

14 EUROPE  Strong volume growth in Auto and HEX  Aerospace stabilizing  Favorable hardener and slab prices  Higher margins due to stronger USD  Electricity tax refund and carbon dioxide emission credits contributed to strong quarter  Challenging plate pricing Volume (kT)1 Segment Adjusted EBITDA ($M) 4Q14 Performance 4Q Adjusted EBITDA Bridge ($M) 314 281 299 303 71 69 (3%) 4Q14 4Q13 2014 2013 2012 2011 1% $6 $2 $3 $11 $31 $14 0 5 10 15 20 25 30 35 4Q14 Currency &Translation / Other Productivity Inflation Margin Volume/Mix $1 4Q13 $137 $115 $121 $31 $14 $152 4Q14 4Q13 2014 2013 2012 2011 Adj. EBITDA / ton $482 $457 $334 $360 $176 $406 1Excludes Voerde in all periods

15 CASH FLOW AND LTM WORKING CAPITAL Net Cash Flow1 Total Working Capital Days2 4Q13 4Q14 2014 Cash From Operating Activities $49 $37 $0 Capital Expenditures (55) (56) (165) Other / Nichols Acquisition 2 (1) (99) Net Cash Before Financing ($4) ($20) ($265) ABL / Other (7) 20 246 Net Cash Flow After Financing ($11) $0 ($19) 67 67 75 74 72 21% 18%18% 20% 20% 50 55 60 65 70 75 80 11 12 13 14 15 16 17 18 19 20 21 22 23 2015E 2014 2013 2012 2011 1Reflects cash flows of continuing and discontinued operations as permitted by US GAAP 2Nichols sales and working capital included in all periods; See appendix for more detail  Operational improvements allowing for focus on working capital optimization  Provides opportunity for substantial cash flow improvement Driving to greater than one day reduction in LTM working capital days

16 12/31/2014 3/2/2015 Cash $29 $199 Availability under ABL facility 277 375 Liquidity $306 $574 CAPITAL & LIQUIDITY OVERVIEW Divestitures significantly improve liquidity and credit metrics Capital Structure ($M) Liquidity Summary ($M) $64 $91 $82 $90 $115 $78 $225 $107 $190 $20 2015E $325 2014 $121 2013 $188 2012 $315 2011 $142 Maintenance Lewisport ABS Project & Other Upgrades Other Growth Capital Expenditures Summary ($M)1 1Excludes discontinued operations CapEx of $63M, $75M, $50M and $43M in 2011-2014 2Includes discontinued operations 3On a pro forma basis, to reflect the sales of our recycling and specification alloys and extrusions businesses 4Amounts exclude applicable discounts 5Excludes Non-Recourse China Loan Facilities 12/31/20132 12/31/20142 12/31/2014 PF3 Cash 60 $36 $320 ABL 0 224 0 Notes4 1,000 1,000 1,000 Non-Recourse China Loan Facilities4 1 2 217 217 Other4 59 63 50 Net Debt $1,19 $1,468 $947 2014 Adjusted EBITDA $236 $265 $176 Net Debt / Adj.EBITDA 5.0x 5.5x 5.4x Net Recourse Debt5 / Adj. EBITDA 4.2x 4.7x 4.1x

17 1Q15 OUTLOOK  Automotive demand expected to exceed prior year  Continued improvement in B&C and transportation volume / margins  Continued strength of USD expected to improve aerospace margins  Stable scrap spreads  Lower coil and sheet volumes due to weakness in Europe economy  Zhenjiang operations exit start-up phase; expect limited losses in 1Q  Recently launched Business Improvement Process and AOS initiatives expected to drive productivity benefits  Estimate first quarter Adjusted EBITDA will be sequentially higher than 4Q14 and also up versus 1Q14

18 2015 OUTLOOK 15E 11.9 14 12.1 13 10.6 12 9.0 11 7.9 10 6.6 09 6.4 08 6.8 07 6.3 06 4.6 2005 3.7 Airbus Boeing 2010 587 2015E 1100 2014 1050 2013 925 2012 781 2011 608 Single family Multi-family 100 200 300 400 500 600 +47% 2025E 2020E 2015E 2010 2005 2000 Pounds per Vehicle 13.1 15.4 16.2 16.9 17.4 13.6 12.5 12.7 13.0 13.5 2014 2013 2012 2011 2015E Western Europe North America Aluminum Content per Light Vehicle2 Airplane Order Backlog (thousands)1 US Housing Starts (thousands)4 Auto Builds (millions)3 1Airbus and Boeing reports as of 2/28/2015 2Ducker Worldwide and the Aluminum Association, 2015 3IHS Global Insights, 2015 41Sources: National Association of Home Builders; Wells Fargo; Freddie Mac; Fannie Mae; LCM; John Burns, 2015

19 APPENDIX

20 4Q YoY Growth1 2014 YoY Growth1 NORTH AMERICA VOLUME GROWTH INCLUDING NICHOLS SINCE DATE OF ACQUISITION 1Does not include Pro Forma Nichols volumes in 2013 and 1Q14 Building & Construction 96% 62% Distribution 6% 3% Transportation 20% 21% All Other 16% 13%

21 4Q & FULL YEAR ADJUSTED EBITDA RECONCILIATION 2014 2013 2014 2013 Adjusted EBITDA including discontinued operations 58.8$ 26.1$ 265.5$ 236.2$ Less: Adjusted EBITDA from discontinued operations 20.3 19.4 89.0 79.3 Adjusted EBITDA from continuing operations 38.5 6.7 176.5 156.9 Unrealized gains on derivative financial instruments 1.4 3.2 5.4 2.2 Impact of recording inventory at fair value through purchase accounting (2.5) — (8.1) 0.1 Restructuring (charges) gains (1.3) 0.3 (2.8) (5.0) Unallocated currency exchange gains (losses) on debt 4.7 (1.3) 12.0 (2.1) Stock-based compensation expense (2.9) (3.1) (13.8) (14.3) Start-up expenses (5.3) (4.9) (24.5) (35.6) Favorable metal price lag 8.8 5.5 33.7 22.3 Other (13.9) (3.5) (24.5) (6.5) EBITDA from continuing operations 27.5 2.9 153.9 118.0 Interest expense, net (27.1) (26.0) (107.4) (97.4) Benefit from income taxes 126.9 10.0 129.6 14.2 Depreciation and amortization from continuing operations (35.3) (27.5) (123.2) (98.8) Income from discontinued operations, net of tax 3.7 11.6 34.2 26.9 Net income (loss) attributable to Aleris Corporation 95.7 (29.0) 87.1 (37.1) Net income from discontinued operations attributable to noncontrolling interests 0.1 0.2 0.9 1.0 Net income (loss) 95.8 (28.8) 88.0 (36.1) Depreciation and amortization 45.4 36.2 157.6 129.5 Benefit from deferred income taxes (127.8) (14.8) (132.0) (13.7) Loss on classification as held for sale 11.2 — 11.2 — Stock-based compensation expense 2.9 3.1 13.8 14.3 Unrealized losses (gains) on derivative financial instruments 0.9 (3.6) (6.5) (0.7) Currency exchange (gains) losses on debt (4.3) 1.5 (11.5) 3.9 Amortization of debt issuance costs 1.6 1.9 7.4 7.7 Other (0.6) 0.9 2.0 (2.4) Change in operating assets and liabilities: Change in accounts receivable 114.8 84.1 (34.1) 16.0 Change in inventories (62.0) 47.5 (171.5) 15.7 Change in other assets (11.4) (7.5) (14.2) (20.5) Change in accounts payable (30.6) (59.6) 78.6 (31.3) Change in accrued liabilities 0.8 (11.7) 11.2 (50.5) Net cash provided by operating activities 36.7 49.2 - 31.9 Net cash provided by operating activities of discontinued operations 14.7 27.8 61.3 67.7 Net cash provided (used) by operating activities of continuing operations 22.0$ 21.4$ (61.3)$ (35.8)$ For the year endedFor the three months ended December 31, December 31,

22 1H & 2H 2014 ADJUSTED EBITDA RECONCILIATION 2014 2014 2013 2013 1H 2H 1H 2H Adjusted EBITDA including discontinued operations 124.0$ 141.5$ 142.5$ 93.7$ Less: Adjusted EBITDA from discontinued operations 41.1 47.9 36.1 43.2 Adjusted EBITDA from continuing operations 82.9 93.6 106.4 50.5 Unrealized (losses) gains on derivative financial instruments (9.7) 15.1 2.9 (0.7) Impact of recording assets at fair value through purchase accounting (3.0) (5.1) - 0.1 Restructuring and impairment charges (0.9) (1.9) (4.7) (0.3) Unallocated currency exchange gains (losses) on debt 0.3 11.7 0.4 (2.5) Stock-based compensation expense (8.2) (5.6) (5.4) (8.9) Start-up expenses (15.4) (9.1) (23.1) (12.5) Favorable metal price lag 22.9 10.8 11.7 10.6 Other (8.2) (16.2) (1.6) (4.9) EBITDA from continuing operations 60.7 93.3 86.6 31.4 Interest expense, net (53.1) (54.3) (45.4) (52.0) (Provision for) benefit from income taxes1 (11.6) 141.1 (9.9) 24.1 Depreciation and amortization from continuing operations (54.3) (68.9) (47.0) (51.8) Income from discontinued operations, net of tax1 23.2 11.0 14.9 12.0 Net (loss) income attributable to Aleris Corporation (35.1) 122.2 (0.8) (36.3) Net income from discontinued operations attributable to noncontrolling interests 0.6 0.3 0.6 0.4 Net (loss) income (34.5)$ 122.5$ (0.2)$ (35.9)$ 1Forthe f irst half of 2014 and 2013, income taxes have not been allocated to discontinued operations. For these periods, tax amounts included in "Income from discontinued operations, net of tax" represent the provisions for income taxes related only to divested entities that are not part of a consolidated income tax provision. The allocation of income taxes to discontinued operations for the full year of 2014 and 2013 have been reflected in the second half "(Provision for) benefit from income taxes" and "Income from discontinued operations, net of tax." For the six months ended June 30 and December 31,

23 4Q14 & 4Q13 ADJUSTED EBITDA RECONCILIATION BY SEGMENT 2014 2013 North America Segment income 18.9$ 4.2$ Impact of recording inventory at fair value through purchase accounting 2.5 - Favorable metal price lag (2.4) (2.4) Segment Adjusted EBITDA1 19.0$ 1.8$ Europe Segment income 37.0$ 17.1$ Impact of recording inventory at fair value through purchase accounting - - Favorable metal price lag (6.4) (3.1) Segment Adjusted EBITDA1 30.5$ 14.0$ Asia Pacific Segment loss -$ -$ Segment Adjusted EBITDA2 - - For the three months ended December 31, 1 Amounts may not foot as they represent the calculated totals based on actual amounts and not the rounded amounts presented in this table. 2 There was no difference betwe n segment income and segment Adjusted EBITDA for this segment.

24 2014 ADJUSTED EBITDA RECONCILIATION BY SEGMENT 2014 2013 North America Segment income 94.6$ 81.8$ Impact of recording inventory at fair value through purchase accounting 8.1 - Favorable metal price lag (6.8) (5.6) Segment Adjusted EBITDA1 96.0$ 76.2$ Europe Segment income 147.6$ 132.1$ Impact of recording inventory at fair value through purchase accounting - (0.1) Favorable metal price lag (26.9) (16.6) Segment Adjusted EBITDA1 120.7$ 115.3$ Asia Pacific Segment loss -$ (0.2)$ Segment Adjusted EBITDA2 - (0.2) For the year ended December 31, 1 Amounts may not foot as they represent the calculated totals based on actual amounts and not the rounded amounts presented in this table. 2 There was no difference betwe n segment income and segment Adjusted EBITDA for this segment.

25 WORKING CAPITAL & REVENUE RECONCILIATION For the year ended December 31, 2014 Revenues: North America 1,561.8 Europe 1,402.4 Asia Pacific 52.7 Discontinued operations 1,833.5 70 70 81 75 20% 22% 19%19% 50 55 60 65 70 75 80 85 11 12 13 14 15 16 17 18 19 20 21 22 23 24 2014 2013 2012 2011 Total Working Capital Days1 Revenue by Segment ($M) 1Excludes Nichols working capital and sales prior to acquisition