Looking to the Future:  Taking Action Today

Looking to the Future: Taking Action Today

August 19, 2006

This periodic newsletter offers a roundup of recent highlights from Alcoa’s operations worldwide. Taken individually, these summaries provide insight into Alcoa’s performance in the economic, environmental, and social realms. Taken together, they reveal the breadth of activity that ultimately delivers a sustainable outcome.

More detail about Alcoa can be found on our website, www.alcoa.com.

Alcoa Recognized with National Quality Award of Chile

Alcoa Closure Systems International in Chile received the country’s prestigious 2005 National Quality Award in the medium-sized companies category for quality management in production and service.

Alcoa Iceland Projects Earns Bechtel Award

At the annual Bechtel Environmental Safety and Health Conference in June, the Alcoa Fjarðaál Project in Iceland was presented with the ES&H Team of the Year award.

Alcoa Establishes Aluminum Wheel Products Office in South Africa

Alcoa established a new entity in Johannesburg, South Africa, for the sale and distribution of aluminum forged truck wheels for the commercial transportation market in South Africa and Sub-Saharan Africa. This marks the 44th country in which Alcoa has a presence.

Reynolds Wrap® Aluminum Foil Ranked #1 in Overall Brand Equity

Reynolds Wrap® Aluminum Foil brand ranked first for the third year in a row in overall brand equity in the Spring 2006 EquiTrend® Brand Study of consumers across the U.S.

Alcoa Secures Five-Year Power Supply for Intalco Smelter

Alcoa has secured power in the open market to operate one potline at its Intalco Works aluminum smelter in Ferndale, Washington, USA, with the intention of operating the plant for five years by using benefits provided in a recent agreement.

Alcoa Foundation Supports Use of Biodiesel in Washington

Alcoa Foundation is partnering with Northwest Chinook Recovery, the Washington Department of Agriculture, and Washington State University to host a series of seminars throughout the state that will promote the benefits of producing and using biodiesel within the agricultural community.

Stakeholders Reach Agreement in Principle on Yadkin Project

Federal and state agencies, local governments, the Catawba Indian Nation, environmental organizations, and homeowner groups support an agreement that will protect more than 6,000 acres in North Carolina (USA), expand recreational opportunities, and improve water quality.

Boiler Technology Increases Energy Efficiency

An energy efficiency project to improve the largest boiler at Alcoa Fastening Systems’ Hildesheim, Germany, location exceeded its goals, reducing energy consumption by 45.78%.

Plastic Packaging Replaces Oil with Corn

Plastic packaging derived from a corn-based polymer is helping Alcoa’s Reynolds Food Packaging business meet both a growing customer demand for sustainable packaging and Alcoa’s long-term goal to eliminate waste.

Smelter Effort Reduces Emissions, Costs with No Capital Investment

An effort to reduce potroom emissions and chemical exposures at Alcoa’s San Ciprián, Spain, smelter has resulted in significant reductions and annual energy consumption and maintenance savings of more than US$1 million annually–all achieved without any capital investment.

We welcome your comments or questions on Alcoa’s sustainability efforts. We won’t necessarily reply to every e-mail we receive, but we do read and consider them all.