Alcoa Awarded $360 Million Contract by Lockheed Martin to Provide Aluminum Forgings on F-35 Joint Strike Fighter Program.

CLEVELAND -- Alcoa (NYSE:AA) today announced that its Alcoa Power and Propulsion business has been awarded a 10-year $360 million contract by Lockheed Martin to supply advanced patented 7085 alloy aluminum die forgings for the F-35 Joint Strike Fighter (JSF) program.

Contract work will be performed by Alcoa Forged and Cast Products Cleveland operations and involves the design and manufacture of all the large aluminum structural die forgings for more than 1,200 aircraft. The forgings include 15 large bulkheads [?] the primary structural support for the wing and engine that can weigh from 1,800 to 6,000 pounds and range from 10 to 23 feet in length [?] and six wing box parts which serve as an important component of the skeletal structure to the wing.

"Our partnership with Lockheed Martin is based on the value of Alcoa's proprietary and advanced alloys, our technical and engineering expertise, and our collaborative design capabilities that support such large and complex forgings," said Raymond B. Mitchell, president, Alcoa Power and Propulsion. "These attributes are key in meeting the demanding requirements of this critical defense program."

Alcoa's partnership with Lockheed Martin began in 2004, when Lockheed Martin's need for weight reduction on the F-35 coincided with both Alcoa's new alloy technology and innovative manufacturing approach. Parts were redesigned to take advantage of the entire Alcoa offering.

"Today, we look forward to playing a vital role in making this futuristic aircraft a reality," said Joseph E. Haniford, vice president and general manager, Alcoa Forged and Cast Products. "Our engineers, operations managers, and designers have worked collaboratively to offer complex die forgings that will meet weight reduction requirements and extremely tight time frames that will allow our customer to stay on schedule."

In addition to the aluminum forgings described above, other Alcoa aerospace units will provide critical F-35 components and solutions to the program. Among those are highly-engineered joining devices from Alcoa Fastening Systems, specialty alloy plate from Alcoa North American Mill Products, and high-pressure turbine blades for F-35 JSF engines and structural aluminum castings from Alcoa Power and Propulsion.

As part of the JSF contract, Alcoa plans to invest $24 million in Cleveland Works primarily for new machinery, equipment and infrastructure improvements.

Alcoa Forged and Cast Products is being supported by the State of Ohio with a $400,000 Rapid Outreach Grant and up to $450,000 for employee training.

About the F-35 Lightning II 

The F-35 Lightning II is a supersonic, multi-role, 5th generation stealth fighter designed to replace a wide range of existing aircraft, including AV-8B Harriers, A-10s, F-16s, F/A-18 Hornets and United Kingdom Harrier GR.7s and Sea Harriers. It is projected that more than 4,000 Lightning IIs will be ordered by the United States and international forces.

About Alcoa and Propulsion

Alcoa Forged and Cast Products is a division of Alcoa Power and Propulsion. Alcoa Power and Propulsion, a major business unit of Alcoa, is a global leader in airfoil and structural investment castings, forged structural parts, and forged aircraft wheels. Serving the aerospace, defense, energy and industrial markets, its products are primarily used in jet engines and industrial gas turbines. Additional value-added products and services include hot isostatic pressing, specialty coatings, research and development, supply chain management, specialty tools, molds, and machinery. With 29 production facilities, Alcoa Power and Propulsion employs more than 11,000 people worldwide.

About Alcoa

Alcoa (NYSE:AA) is the world's leading producer and manager of primary aluminum, fabricated aluminum and alumina facilities, and is active in all major aspects of the industry. 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, Alcoa also markets Alcoa[R] wheels, fastening systems, and precision castings. The company has 116,000 employees in 44 countries and has been named one of the top most sustainable corporations in the world at the World Economic Forum in Davos, Switzerland. More information can be found at www.alcoa.com.