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December 19, 2007

Alcoa Lauds New Vehicle Fuel Efficiency Standards

NEW YORK--Alcoa (NYSE:AA) announced today that it commends the U.S. Congress and the White House for approving new vehicle fuel efficiency standards incorporated in the energy bill. The new law requires 35 miles per gallon fuel average for new domestic vehicles, including SUVs, by 2020 – a 40 percent increase from current corporate average fuel-economy (CAFE) standards.

“We are confident that the automotive industry will be able to meet or exceed these goals through the increased use of lightweight materials,” said Kevin Kramer, president, Alcoa Wheel Products, who oversees Alcoa’s Automotive Market Sector Team. “For more than a century, aluminum has repeatedly proven its ability to reduce vehicle weight and increase gas mileage while enhancing passenger safety.”

Since 1990, the increased use of automotive aluminum has avoided burning more than 22.2 billion gallons of fuel. Additionally, each pound of aluminum replacing two pounds of iron or steel in a car can save a net 20 pounds of CO2 emissions over the typical lifetime of a vehicle.

“Alcoa looks forward to collaborating with automobile manufacturers on a new generation of aluminum solutions to further reduce greenhouse gasses,” said Kramer.

Alcoa has long championed the reduction of greenhouse gas emissions. The company is a founding member of the U.S. Climate Action Partnership and the Global Roundtable on Climate Change. Alcoa also has reduced its own greenhouse gas emissions by more than 25 percent since 1990.

About Alcoa

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