The 12 Independent Directors of Arconic – Three of Whom Were Nominated by Elliott – Support Arconic Management and Klaus Kleinfeld as Chairman and CEO

January 31, 2017

Arconic Inc. (NYSE:ARNC) (the “Company”) today confirmed that its Board
of Directors unanimously supports Klaus Kleinfeld as the Company’s
Chairman and Chief Executive Officer. In response to the press release
issued by Elliott Management (“Elliott”), the Company’s Board of
Directors issued the following statement:

  • The Arconic Board of Directors is unanimous in its support of Mr.
    Kleinfeld as Chairman and Chief Executive Officer of the Company.
  • In addition to Mr. Kleinfeld, the Board consists of 12 directors, all
    of whom are independent.
  • The Board has been substantially reconstituted with new directors who
    have independent perspectives. Six of the Board’s 12 independent
    directors joined the Board within the last year: 3 were nominated by
    Elliott and joined the Board on February 5, 2016, and 3 were appointed
    to the Board on November 1, 2016 in connection with the Company’s
    separation from Alcoa Corporation.
  • All of the directors are executives or former executives with a broad
    range of knowledge, experience and skills at the highest levels of
    both public and private companies.
  • The Board has conducted an intensive and extensive review of Elliott’s
    allegations and has concluded that many of them are misleading or not
  • The Board welcomes shareholder input and has an open dialogue with its
  • The Board has endeavored to work constructively with Elliott and
    believes that the continued effort by Elliott is disruptive and
    contrary to the best interests of all shareholders.
  • The Board is fully engaged and focused on overseeing the execution of
    the Company’s strategic plan under Mr. Kleinfeld’s leadership.

“Klaus and the management team are 100% focused on continuing to improve
operating results, expand margins, improve return on net assets and
deliver sustained shareholder value,” said Pat Russo, Arconic’s lead
director. “The Board supports Klaus and the management team as they
execute on our stated strategy.”

The Board will present its recommended slate of director nominees in
Arconic’s definitive proxy statement and other materials, including the
Company’s WHITE proxy card, to be filed with the U.S. Securities and
Exchange Commission and mailed to all shareholders eligible to vote at
the 2017 Annual Meeting, which has yet to be scheduled.

About Arconic

Arconic Inc. (NYSE: ARNC) creates breakthrough products that shape
industries. Working in close partnership with our customers, we solve
complex engineering challenges to transform the way we fly, drive, build
and power. Through the ingenuity of our people and cutting-edge advanced
manufacturing techniques, we deliver these products at a quality and
efficiency that ensure customer success and shareholder value. For more
Follow @arconic: Twitter, Instagram, Facebook, LinkedIn and YouTube.

Dissemination of Company Information

Arconic intends to make future announcements regarding Company
developments and financial performance through its website at

Forward–Looking Statements

This communication contains statements that relate to future events and
expectations and as such constitute forward-looking statements within
the meaning of the Private Securities Litigation Reform Act of 1995.
Forward-looking statements include those containing such words as
“anticipates,” “believes,” “could,” “estimates,” “expects,” “forecasts,”
“guidance,” “goal,” “intends,” “may,” “outlook,” “plans,” “projects,”
“seeks,” “sees,” “should,” “targets,” “will,” “would,” or other words of
similar meaning. All statements that reflect Arconic’s expectations,
assumptions or projections about the future, other than statements of
historical fact, are forward-looking statements, including, without
limitation, forecasts relating to the growth of the aerospace,
automotive, commercial transportation and other end markets; statements
and guidance regarding future financial results or operating
performance; statements about Arconic’s strategies, outlook, business
and financial prospects; and statements regarding potential share gains.
Forward-looking statements are not guarantees of future performance and
are subject to risks, uncertainties, and changes in circumstances that
are difficult to predict. Although Arconic believes that the
expectations reflected in any forward-looking statements are based on
reasonable assumptions, it can give no assurance that these expectations
will be attained and it is possible that actual results may differ
materially from those indicated by these forward-looking statements due
to a variety of risks and uncertainties. Such risks and uncertainties
include, but are not limited to: (a) deterioration in global economic
and financial market conditions generally; (b) unfavorable changes in
the markets served by Arconic; (c) the inability to achieve the level of
revenue growth, cash generation, cost savings, improvement in
profitability and margins, fiscal discipline, or strengthening of
competitiveness and operations anticipated from restructuring programs
and productivity improvement, cash sustainability, technology
advancements, and other initiatives; (d) changes in discount rates or
investment returns on pension assets; (e) Arconic’s inability to realize
expected benefits, in each case as planned and by targeted completion
dates, from acquisitions, divestitures, facility closures, curtailments,
expansions, or joint ventures; (f) the impact of cyber attacks and
potential information technology or data security breaches; (g)
political, economic, and regulatory risks in the countries in which
Arconic operates or sells products; (h) the impact of the separation on
the businesses of Arconic; (i) material adverse changes in aluminum
industry conditions, including fluctuations in London Metal
Exchange-based aluminum prices; (j) the impact of changes in foreign
currency exchange rates on costs and results; (k) the outcome of
contingencies, including legal proceedings, government or regulatory
investigations, and environmental remediation; and (l) the other risk
factors discussed in Arconic’s Form 10-K for the year ended December 31,
2015, and other reports filed with the U.S. Securities and Exchange
Commission (SEC). Arconic disclaims any obligation to update publicly
any forward-looking statements, whether in response to new information,
future events or otherwise, except as required by applicable law. Market
projections are subject to the risks discussed above and other risks in
the market.

Important Additional Information

Arconic Inc. (“Arconic”) intends to file a proxy statement with the
Securities and Exchange Commission (the “SEC”) in connection with the
solicitation of proxies for Arconic’s 2017 Annual Meeting (the “Proxy
Statement”). Arconic, its directors and certain of its executive
officers will be participants in the solicitation of proxies from
shareholders in respect of the 2017 Annual Meeting. Information
regarding the names of Arconic’s directors and executive officers and
their respective interests in Arconic by security holdings or otherwise
is set forth in the Annual Report on Form 10-K of Alcoa Inc., which was
Arconic’s former name (“Alcoa”), for the fiscal year ended December 31,
2015, filed with the SEC on February 19, 2016, and Alcoa’s proxy
statement for the 2016 Annual Meeting, filed with the SEC on March 24,
2016. To the extent holdings of such participants in Arconic’s
securities are not reported, or have changed since the amounts
described, in the 2016 proxy statement, such changes have been reflected
on Initial Statements of Beneficial Ownership on Form 3 or Statements of
Change in Ownership on Form 4 filed with the SEC. Details concerning the
nominees of Arconic’s Board of Directors for election at the 2017 Annual
Meeting will be included in the Proxy Statement. BEFORE MAKING ANY
shareholders will be able to obtain a copy of the definitive proxy
statement and other documents filed by Arconic free of charge from the
SEC’s website,
Arconic’s shareholders will also be able to obtain, without charge, a
copy of the definitive Proxy Statement and other relevant filed
documents by directing a request by mail to Arconic, Corporate
Secretary’s Office, 390 Park Avenue, New York, New York 10022-4608, by
calling Arconic’s proxy solicitor, Innisfree M&A Incorporated, toll-free
at 1-877-750-5836, or from Arconic’s website at

Arconic Inc.
Investor Contact:
Patricia Figueroa, (212) 836-2758
Media Contact:
Shona Sabnis, (212) 836-2626