Arconic Monetizes Majority of Stake in Alcoa Corporation

February 15, 2017

Arconic Inc. (NYSE:ARNC) today announced that it has monetized more than
60 percent of the 36,311,767 shares it retained in Alcoa Corporation.
The sale of 23,353,000 Alcoa Corporation shares will result in
approximately $890 million in proceeds.

The proceeds bolster the Company’s cash balance, which provides
financial flexibility to pay down debt and/or pursue share repurchases,
based on a relative-return assessment. The timing and structure of the
transaction considered minimizing risk and transaction costs.

Arconic has carryforward tax attributes in the U.S. that are available
to offset U.S. taxable income and will utilize existing tax attributes
to the extent possible.

At the separation of Alcoa Inc., Arconic chose to retain a 19.9 percent
stake in Alcoa Corporation. The Company indicated it would review
options for responsibly managing the stake, taking into account its
continued upside potential.

About Arconic

Arconic (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,
and YouTube.

Dissemination of Company Information

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

Forward-Looking Statements

This release 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, statements about Arconic’s strategies, outlook, business,
financial prospects, and expected use of proceeds. 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.

Arconic Inc.
Patricia Figueroa, 212-836-2758
Shona Sabnis, 212-836-2626