Alcoa (NYSE: AA) has submitted a letter to the London Metal Exchange
(LME) to comment on proposed warehouse rule changes and to recommend
solutions to effectively address the business needs of aluminum
producers and consumers.

Commenting on the proposed changes, Alcoa Chairman and CEO Klaus
Kleinfeld said, “The proposed changes to the LME warehousing rules are
trying to solve a non-existent metal availability problem. Metal is
readily available and consumers are not waiting in queues. More
importantly, the LME’s proposed rules changes will only aggravate the
lack of transparency that has had a damaging impact on the aluminum
industry and will do nothing to help our customers manage their exposure
to aluminum pricing.”

“We are urging the LME to take actions that instead address the real
issues affecting aluminum producers and consumers: (1) to improve
transparency through clear reporting which will enhance market
efficiency and confidence in the LME as the price-setter for aluminum,
and (2) to establish regional premium contracts to enable market
participants to manage price risk by hedging premiums.”

Read Alcoa’s letter to the LME: www.alcoa.com/LME

Alcoa is the world’s leading producer of primary and fabricated
aluminum, as well as the world’s largest miner of bauxite and refiner of
alumina.

About Alcoa

Alcoa is the world’s leading producer of primary and fabricated
aluminum, as well as the world’s largest miner of bauxite and refiner of
alumina. In addition to inventing the modern-day aluminum industry,
Alcoa innovation has been behind major milestones in the aerospace,
automotive, packaging, building and construction, commercial
transportation, consumer electronics and industrial markets over the
past 125 years. Among the solutions Alcoa markets are flat-rolled
products, hard alloy extrusions, and forgings, as well as Alcoa® wheels,
fastening systems, precision and investment castings, and building
systems in addition to its expertise in other light metals such as
titanium and nickel-based super alloys. Sustainability is an integral
part of Alcoa’s operating practices and the product design and
engineering it provides to customers. Alcoa has been a member of the Dow
Jones Sustainability Index for 11 consecutive years and approximately 75
percent of all of the aluminum ever produced since 1888 is still in
active use today. Alcoa employs approximately 61,000 people in 30
countries across the world. For more information, visit www.alcoa.com
and follow @Alcoa on Twitter at twitter.com/Alcoa and follow Alcoa on
Facebook at www.facebook.com/Alcoa.

Alcoa
Investor Contact
Kelly Pasterick, 212-836-2674
or
Media Contact
Monica Orbe, 212-836-2632