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February 12, 2009

Alcoa Forms Strategic Cooperation Agreement with Henan Province in China on Aluminum Projects

NEW YORK--Alcoa (NYSE:AA) announced today that it has formed a strategic cooperation agreement with the People’s Government of Henan Province in China to jointly establish world class projects for the fabricated and primary aluminum industry. The agreement was signed yesterday at Alcoa’s New York headquarters by Alcoa President and CEO Klaus Kleinfeld and Governor Guo Gengmao of Henan. Henan is located in central China and is the country’s largest producer of non ferrous metals.

Under the agreement, Alcoa will work with Henan as a strategic ally on identifying value adding projects for alumina, primary aluminum and aluminum fabrication facilities in the province. The Henan government will provide the necessary support for resource allocation, energy supply, development plans and policies needed to make Henan a globally competitive base for aluminum production.

“By combining the strengths of Henan Province, an area with abundant energy and natural resources, and Alcoa’s technology and market leadership, we are aiming to establish a globally competitive base for aluminum production in China,” said Alcoa CEO Klaus Kleinfeld.

The Henan Province has abundant mineral resources with 107 varieties discovered. Its bauxite reserves, which total 960 million metric tons, are the second largest across the country. It is the home to 14 primary aluminum smelters, with a total capacity of 1.3 million mtpy, and seven alumina refineries with production capacity totaling over 2 million mtpy.

Sustainable Development

As part of the agreement, Alcoa and Henan will cooperate on the sustainable development of the aluminum industry, deploying energy-saving and emissions reducing technologies, bauxite residue disposal, and aluminum recycling, to achieve an integrated and sustainable growth in the region.

“The goals that Henan Province has for developing a modern metals industry: integration, efficiency, energy management, and sustainability – these are challenges that Alcoa has faced and met over the years, in partnerships with communities across the world,” said Kleinfeld. “We’re looking forward to a long and successful partnership based on mutual understanding and prosperity -- and to working together for a stronger future in China.”

About Alcoa

Alcoa 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 been named one of the top most sustainable corporations in the world at the World Economic Forum in Davos, Switzerland and has been a member of the Dow Jones Sustainability Index for seven consecutive years. More information can be found at