Army Appoints Alcoa Defense to Fuel-Efficient Ground Vehicle Demonstrator (FED) Project

February 25, 2010

WASHINGTON–Alcoa (NYSE:AA) announced today that it has been appointed by the U.S.
Army Tank Automotive Research, Development and Engineering Center
(TARDEC) to collaborate on the Army’s Fuel-Efficient Ground Vehicle
Demonstrator (FED) project. In partnership with Ricardo Inc., Alcoa
Defense will produce a tactical wheeled vehicle structure that
significantly improves fuel efficiency while also maintaining
survivability, performance and payload capability.

“We are honored to be selected by TARDEC for our specialized expertise
in structures engineering that maximizes the use of light alloys, such
as aluminum and titanium,” said Dave Dobson, president, Alcoa Defense.
“This is a great opportunity to showcase the many ways that we can make
military vehicles lighter, faster and stronger when we partner with
defense original equipment manufacturers (OEMs).”

TARDEC is embarking on the FED project to help achieve the Army’s
long-term goal of reducing fuel consumption on the battlefield, which
will also reduce U.S. dependence on foreign oil. The innovative
solutions featured in the FED vehicle may become widely adopted by
industry to enhance fuel efficiency in the next generation of tactical
wheeled vehicles.

Alcoa Defense will design and build the vehicle’s chassis and cab
structures. The finished prototype is expected to debut in the Alcoa
Defense booth at the October 2010 Association of the United States Army
(AUSA) show in Washington, D.C.

About Alcoa Defense
Alcoa Defense partners with industry
leaders to design systems and materials that increase the speed, reach,
agility and survivability of today’s and tomorrow’s strategic platforms.
Through an unmatched combination of defense and commercial engineering,
Alcoa delivers multi-product, lightweight and cost-effective solutions
for programs ranging from the F35 Joint Strike Fighter to the M777
Howitzer to armored tactical and fighting vehicles. More information can
be found at www.alcoadefense.com.

About Alcoa
Alcoa is the world leader in the production and
management of primary aluminum, fabricated aluminum and alumina, and is
active in all major aspects of the industry, including a leading
position in recycling (73 percent of all the aluminum ever produced
since 1888 is still in use today). 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 is a leader in sustainability and has been
a member of the Dow Jones Sustainability Index for eight consecutive
years. Alcoa employs approximately 59,000 people in 31 countries across
the world. More information can be found at www.alcoa.com.