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September 10, 2007

Alcoa Updates Impact of Hurricane Dean on Jamalco Operations in Jamaica

PITTSBURGH--Alcoa (NYSE:AA) today announced it has completed its damage and impact assessment at its Alcoa World Alumina and Chemicals (AWAC) alumina refinery and port which were affected by Hurricane Dean in August.

As previously announced, the refinery operations were halted on August 18th in advance of the hurricane. The refinery remained curtailed until power could be restored and production has begun.

The majority of the impact for Jamalco occurred at the port in Rocky Point, Clarendon, which will require significant repairs and temporary logistical support for shipping alumina while repair work is completed. This work includes preparing storage for alumina which is currently limiting production to 50 percent of capacity, with full operation anticipated by early November. Taking into consideration insurance coverage, the total Alcoa impact from the hurricane – including lost production, business interruption and repairs – is estimated to be $10 million after-tax, the majority being in the 3rd quarter.

Jamalco is 55 percent owned by Alcoa World Alumina and Chemicals and 45 percent owned by the Government of Jamaica. Alcoa World Alumina and Chemicals is a global alliance between Alcoa and Alumina Ltd., with Alcoa holding 60 percent.

As previously announced, the Company continues to make good progress addressing outages and curtailment costs at its Alcoa, TN and Rockdale, TX smelters which are expected to be consistent with those in the second quarter of 2007.

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 including flat-rolled products, hard alloy extrusions, and forgings, Alcoa also markets Alcoa® wheels, fastening systems, precision and investment castings, structures and building systems. The company has 116,000 employees in 44 countries and has been named one of the top most sustainable corporations in the world at the World Economic Forum in Davos, Switzerland. More information can be found at