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November 17, 2008

Aluminum Provides Sustainable Future for Automotive Market

Alcoa’s Dr. Rick Winter Addresses Conference on Sustainability of Aluminum in Automobiles

DETROIT--Thirty years of uninterrupted growth – largely at the expense of iron and steel – confirms that automotive aluminum is a cost-effective solution, especially when considering the value aluminum contributes through increased fuel economy, reduced emissions, high recyclability and improved safety.

Speaking at the Automotive News Green Car Conference today at the Rock Financial Showplace in Novi, Mich., Dr. Rick Winter, director of development, Alcoa Technology Center, said North American automotive aluminum content has more than tripled in the last three decades because of its environmental, safety and driving performance advantages. Current best-in-class Alcoa products, such as forged wheels, spaceframes, body sheet and Dura-Bright® surface treatment for wheels, are helping the auto industry meet its goals of improved fuel efficiency, performance and customer satisfaction.

“As the auto industry strives to meet increased CAFE between now and 2020, aluminum can help achieve a lighter vehicle without sacrifice to safety, power or performance,” Winter said. “Since 1990, increased use of aluminum in the world's vehicles has avoided burning 84 billion liters of gasoline and more than one billion metric tons of greenhouse gas emissions. In fact, it is projected that the growing use of aluminum in the transportation market will help make the aluminum industry greenhouse gas neutral by 2025.”

The use of aluminum for vehicle lightweighting can deliver a substantial reduction in CO2 and other emissions over the life of the car through fuel savings, even allowing for the CO2 generated by the initial production of aluminum. Each pound of aluminum that replaces 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’s support for the proposed CAFE standards is consistent with its leadership in addressing climate change. Since 1990, Alcoa has reduced its greenhouse gas emissions by 33 percent, while increasing production. The company also is a founding member of the United States Climate Action Partnership and the Global Roundtable on Climate Change.

About Alcoa

Alcoa (NYSE: AA) is the world leader in the production and management of primary aluminum, fabricated aluminum and alumina combined, through its active and growing participation 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, and building systems. The Company has 97,000 employees in 34 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 www.alcoa.com.