Alcoa opens world’s largest aluminum-lithium aerospace plant in Indiana

Expansion to Capture Rapid Aluminum-Lithium Demand Growth

• $90 million advanced manufacturing facility is largest of Alcoa’s three aluminum-lithium expansions
• $100 million in revenues for 2017 already contracted
• Growing demand for advanced aluminum-lithium alloys for lighter, more fuel-efficient, lower-cost aircraft
• Alcoa holds the number one market position in aluminum-lithium extrusions and offers the broadest portfolio of aluminum-lithium products;
• Supplies aircraft such as A380, A350, 787 and G650
• 75 new jobs in Indiana where Alcoa employs more people than in any other state

NEW YORK & LAFAYETTE, Ind, a global leader in lightweight metals technology, engineering and manufacturing, today is officially opening the world’s largest aluminum-lithium plant in Lafayette, Indiana where it produces advanced, third-generation aluminum-lithium alloys for the aerospace industry. Aircraft manufacturers are increasingly turning to lighter and stronger aluminum-lithium alloys, which are less expensive than titanium and composites and enable better fuel efficiency and lower maintenance costs.

“The future of aviation is being built with aluminum-lithium, and Alcoa is making big moves to capture that demand,” said Klaus Kleinfeld, Alcoa Chairman and Chief Executive Officer. “This state-of-the-art facility positions Alcoa as the world’s premier aluminum-lithium supplier, offering the broadest portfolio of aluminum-lithium components for next generation aircraft.”

To keep pace with demand, the Company has expanded its aluminum-lithium capabilities at the Alcoa Technical Center outside Pittsburgh, at its Kitts Green facility in the United Kingdom, and in Lafayette. Already, Alcoa has contracted $100 million in aluminum-lithium revenues for 2017.

Alcoa’s Lafayette cast house, located next to its extrusion plant, can produce more than 20,000 metric tons (44 million pounds) of aluminum-lithium annually—making it the largest facility of its kind in the world. Alcoa’s materials scientists invented a majority of the alloys produced at the facility as well as the casting equipment and processing technology. The Company offers the most complete portfolio of aluminum-lithium products, including extruded, forged and rolled parts. It has the number one market position in aluminum-lithium extrusions and a significant position on the Airbus A380, Airbus A350, Boeing 787, and Gulfstream G650. Alcoa produces single-piece wing skins, including for wide-body airplanes, fuselage skins, wing stringers, floor beams, seat tracks and other components. The Company also is developing the first ever aluminum-lithium forging for a front fan blade for Pratt & Whitney’s PurePower engines.

Indiana Lieutenant Governor Sue Ellspermann, Lafayette Mayor Tony Roswarski, and other state and local dignitaries today are joining Alcoa executives, employees and community members to celebrate the plant opening which will create 75 new jobs, on the eve of Manufacturing Day 2014.

The Lafayette facility is uniquely capable of making the world’s largest aluminum-lithium ingots—approximately 50 percent larger than the nearest competitor, and big enough to make any single-piece component on today’s aircraft. Complementing that capability, Alcoa operates the world’s widest, 220” rolling mill at its facility in Davenport, Iowa, making it the only company capable of producing single-piece aluminum-lithium wing skins for the largest commercial airplanes. Single-piece parts make structures stronger, lighter and less expensive because they minimize the number of complex joints.