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October 25, 2004

Alcoa Invests 64 Million Euros in Environment and Technology in Spanish Smelters

GENEVA--(BUSINESS WIRE)--Oct. 25, 2004--Alcoa (NYSE:AA) announced today that it will invest 64 million euros in technology and environmental improvements for three of its smelters in northern Spain.

At its smelter in Aviles, Alcoa will invest 46 million euros in innovation and technology improvements that will allow the plant to achieve environmental standards set by the European Union to begin in 2007. The directives are to lower the total fluoride emissions, dust and benzoalfapyrene and must be completed by the end of 2006. The Aviles project is a result of Alcoa R&D efforts to introduce newly developed improvements to Soderberg pot technology.

Earlier this month, Alcoa signed a voluntary agreement with the regional government of Galicia impacting two of Alcoa's smelting facilities, one in San Ciprian, the other in La Coruna. The agreement includes specific actions and projects addressing emissions proposed by Alcoa to improve the local environment, which will include an 18 million euros investment by the company over the next five years. Alcoa's Alumina refinery in San Ciprian is also included in this agreement.

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