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June 16, 2004

Alcoa Recognized by U.S. Department of Energy for Best Practices to Reduce Energy Consumption

PITTSBURGH--(BUSINESS WIRE)--June 16, 2004--Alcoa (NYSE:AA) announced today that the U.S. Department of Energy (DOE) has recognized the company for best practices to reduce energy consumption. The DOE has published a Corporate Energy Management Case Study highlighting Alcoa's achievements over the past five years, which include:

-- A reduction of 770 metric tons per year of nitrogen oxides

-- A reduction of 1,600 metric tons per year of sulfur oxides

-- A reduction of 420,000 metric tons per year of carbon dioxide

The Alcoa Energy Efficiency Network, formed in early 2002, has helped the company achieve these results, which are part of Alcoa's global environmental goals laid out in its 2020 strategic plan. In its first 18 months of operation, the Network reported:

-- A total of 35 Alcoa facilities received energy efficiency assessments.

-- Approximately 40 best practices were identified.

-- About $60 million in annual savings opportunities were identified at the 35 facilities where assessments were completed.

-- Alcoa plants so far have committed to pursue $40 million of these energy saving opportunities.

-- Operating costs have been reduced by more than $15 million annually.

Alcoa is the world's leading producer of primary aluminum, fabricated aluminum and alumina, and is active in all major aspects of the industry. Alcoa serves the aerospace, automotive, packaging, building and construction, commercial transportation and industrial markets, bringing design, engineering, production and other capabilities of Alcoa's businesses to customers. In addition to aluminum products and components, Alcoa also markets consumer brands including Reynolds Wrap(R) foils and plastic wraps, Alcoa(R) wheels, and Baco(R) household wraps. Among its other businesses are vinyl siding, closures, fastening systems, precision castings, and electrical distribution systems for cars and trucks. The company has 120,000 employees in 41 countries and has been a member of the Dow Jones Industrial Average for 45 years and the Dow Jones Sustainability Indexes since 2001. More information can be found at