Algoma Central Corp. completes deal

NEWS RELEASE

ALGOMA CENTRAL CORPORATION

****************************** Algoma Central Corporation completes acquisition of Upper Lakes Group interests in Seaway Marine Transport

TORONTO - Algoma Central Corporation (Algoma) (TSX:ALC) announced today that it has completed the previously announced acquisition from Upper Lakes Group Inc. (ULG) of its partnership interest in Seaway Marine Transport and related entities (collectively, SMT) along with the vessels and assets owned by ULG and its affiliates and used by SMT in its Great Lakes - St. Lawrence Waterway dry-bulk freight business.

Under the terms of the transaction, Algoma has acquired 11 vessels outright and has acquired ULG's interest in four jointly owned vessels.

In addition, Algoma acquired ULG's interest in a fifth vessel that is currently under construction in China.

This vessel, which is expected to arrive in Canada in July, 2011, will be named the Algoma Mariner.

"This is an historic day for Algoma Central Corporation", said Greg Wight, president and CEO of Algoma. "With this acquisition we will enhance our focus on our domestic dry-bulk marine transportation segment and the very important task of fleet renewal based on the recently announced acquisition of new Equinox Class vessels. We welcome the shipboard personnel of the vessels acquired from Upper Lakes and the SMT personnel to Algoma as we look to the future with great excitement."

About Algoma Central Corporation

Algoma Central Corporation owns and operates the largest Canadian flag fleet of dry and liquid bulk carriers operating on the Great Lakes - St. Lawrence Waterway.

With this transaction completed Algoma's Canadian flag fleet consists of twenty-one self-unloading dry-bulk carriers, including the new self-unloader presently under construction, twelve gearless dry bulk carriers and seven product tankers. 

Algoma has recently announced a significant investment in state of the art new Equinox Class vessels for domestic dry-bulk service. 

The Equinox Class will provide much needed improvements in operating efficiency and environmental performance. 

Algoma also has interests in ocean dry-bulk and product tanker vessels operating in international markets.

Algoma owns a diversified ship repair and steel fabricating facility active in the Great Lakes and St. Lawrence regions of Canada.

In addition, Algoma owns and manages commercial real estate properties in Sault Ste. Marie, St. Catharines and Waterloo, Ontario.

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