INTERMET Announces Plans to Close Machining Plant

Capacity rationalization and cost reduction identified as factors

TROY, Mich., Oct. 14 -- INTERMET Corporation (Pink Sheets: INMTQ) announced today that it intends to close its Columbus Machining Plant in Midland, Georgia, during the first quarter of 2005. The company said the closure is necessary to rationalize excess production capacity and reduce costs.

The facility currently employs 86 people, including hourly and salaried staff, and machines ductile-iron and light-metal castings for the automotive industry. INTERMET expects total sales of about $12.0 million from the Columbus Machining Plant in 2004.

"This is a necessary decision for the company to make at this time," said Chairman and CEO Gary F. Ruff. "The plant has been operating at a much- reduced capacity with very high overhead costs."

Ruff said that INTERMET's objective for the future is to consolidate machining and assembly operations into dedicated areas in its casting facilities, as is presently the case with the company's Light Metal Group. "This allows for better utilization of lean manufacturing and one-piece flow concepts. As such, it is our intention to move certain strategic Columbus Machining programs into other INTERMET facilities, such as the Columbus Foundry. However, some work will be outsourced. In either case, INTERMET will retain its Tier-1 position."

The closure of the Columbus Machining Plant is part of the restructuring plan being developed by INTERMET and its financial advisor Conway MacKenzie & Dunleavy in connection with the company's Chapter 11 reorganization.

About INTERMET

With headquarters in Troy, Michigan, INTERMET Corporation is a manufacturer of powertrain, chassis/suspension and structural components for the automotive industry. The company has approximately 6,000 employees worldwide. More information is available on the Internet at http://www.intermet.com/ .