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August 16, 2004

Alcoa's Regional Sustainability Reports Underscore Commitment

PITTSBURGH--(BUSINESS WIRE)--Aug. 16, 2004--Alcoa (NYSE:AA) today announced the simultaneous release of five regional sustainability reports for Australia, Jamaica, Suriname, Brazil and Primary Metals Canada.

In announcing the reports, Chairman and CEO Alain Belda said that each country's Sustainability Report represents a chapter that extends the depth and breadth of Alcoa's global Sustainability Report, which can also be found online at www.alcoa.com.

"We are building a family of reports capable of explaining the regional significance of the economic, social and environmental contribution Alcoa makes in the major areas of our operations," Belda said. "We are integrating these reports into our website so that they can be read in the full context of Alcoa's economic, social, and environmental activities worldwide."

Below are some highlights from the five regions reports:

Australia

-- By the end of 2003, the on-site GHG emission intensity of Alcoa's two Victorian smelters was at an all-time low - more than 9% below 2000 and more than 61% below 1990. In a year of record production, total direct emissions in 2003 were more than 58% below 1990 while indirect emissions associated with electricity used increased 4.3% - about half the 8% increase in production.

-- In 2003, Alcoa contributed more than $5 million in Australia to a wide range of partnerships, sponsorships, community projects and events, with nearly $1 million of those funds coming from Alcoa Foundation. Alcoa has been a part of the Australian community for 40 years and has formed real and lasting partnerships that support and strengthen local communities and the community as a whole.

-- In 2003, Alcoa of Australia received the prestigious Society for Ecological Restoration International (SER) Model Project Award for successfully returning the botanical richness of the jarrah forest in restored bauxite mines in Western Australia.

Jamaica

-- Jamalco employees have worked for almost five consecutive years without a single lost workday and eight years without a fatality. They are helping prove that Jamalco's and Alcoa's goal of zero work-related injuries or illnesses is indeed achievable.

-- In 2003, Jamalco earned seven awards or recognitions from the Ministry of Mining including the Ministry's Shield for the best safety improvement in mining operations and the Minister's Cup for the best safety record in mining operations.

-- Jamalco made significant progress in 2003 on a number of health fronts including 100% completion of required annual medical evaluations and the elimination of 60% of the top 10 ergonomic risks. The company continued its efforts to reduce the magnitude of the top 10 noise sources and chemical hazards that exceed Alcoa standards. The company's wellness program continued to assist employees with chronic diseases like diabetes, hypertension, and obesity, and the program was extended into the community.

Suriname

-- The International Aluminium Institute recognized Suralco in 2003 for being the safest refinery and one of the five safest mining operations in the world.

-- Suralco reduced total waste to an onsite landfill by 70% in the last four years, and the amount of process water usage was reduced by 34.8% since 2000.

-- Suralco's operations contributed roughly 70% of Suriname's foreign currency earnings and provided direct employment for 1,125 people in 2003. Suralco also spent more than US$157 million in local payroll, taxes, and purchases. In addition, Suralco produced an average of 75-megawatt hours of hydropower for the Suriname government -- roughly 75% of the electricity needs of the country, which replaces fossil fuel power and thus significantly reduces air emissions.

Primary Metals Canada

-- Total greenhouse gas emissions dropped 6.1% from 2001, despite the fact that 3.6% more aluminum was produced.

-- The frequency of recordable accidents decreased by 30% in one year. At the end of 2003, the Becancour Rod Plant and the Deschambault smelter had achieved respectively, six and five years without lost workday accidents.

-- The Baie-Comeau smelter received an award from the Quebec Ministry of Public Security for its efforts in developing a major training program for first responders to major emergencies in the Regional County Municipality.

Brazil

-- The Itajuba facility achieved more than 11 million hours worked without a lost workday injury.

-- Voluntary support: the percentage of Alcoa Aluminio employees engaged in volunteer activities has increased from 10% of all Aluminio employees in 2001 to 40% in 2003. Outstanding in this respect is the Pocos de Caldas facility, which has achieved a 67% level of involvement. The total number of employees engaging in voluntary action has been growing over the last few years, increasing from 1,190 in 2001 to 1,434 the following year and reaching 2,671 in 2003.

-- Alcoa Aluminio joined with Brazilian companies Tetra Pak, Klabin and TSL to develop a new plant for recycling Tetra Pak's long-life packaging, a sterilized type of packaging used to protect and extend the shelf life of food and drinks. Alcoa Aluminio will acquire 100% of the recycled aluminum. Alcoa's involvement in the project is in line with its focus on the customer and long-term strategy of eliminating waste and increasing aluminum recycling rates.

Alcoa is the world's leading producer and manager of primary aluminum, fabricated aluminum and alumina facilities, 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 42 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 www.alcoa.com