This is a summary of the fourth quarter fiscal 2006 earnings call conducted by Alcao, Inc. (AA: chart) on January 9, 2007

Management:

- Chairman, CEO: Alain Belda
- VP, CFO: Charles D. McLane
- Director, IR: Tony Thene

Key Investor Issues:

- Revenues increased 20% from a year ago to $7.8 billion.
-Net income was $359 million, or 41 cents a share, up 60% from $224 million, or 26 cents a share in the year ago quarter
-The firm repurchased 9.1 million shares at a cost of $290 million.

Full Year Highlights:

- Continuing operations generated income of $2.2 billion.
- Revenues were at an all-time record of $30.4 billion, up 19% percent from 2005.
- Cash from operations increased 53% to more than $2.5 billion.

Fourth Quarter Highlights:

Revenues increased 20% from $6.5 billion a year ago to $7.8 billion as COGS as a percent of revenue decreased 60 basis points from sequential quarter to 78.2%.

- Continuing operations generated income of $258 million, up 179% from year-ago quarter and 20% sequentially.
- Taxes were favorably impacted by the restructuring and impairment charges, one-time tax items totaling $69 million, or 8 cents a share.
- -Net income was $359 million, or 41 cents a share, up 60% from $224 million, or 26 cents a share in the year ago quarter on revenue growth.

Cash from operations was $1.3 billion, a 78% improvement over the third quarter and a 28% improvement over the 2005 fourth quarter level of $1 billion.

- Cash from operations was $1.3 billion, helping lower the company’s debt-to-capital ratio to 30.6%.
- Capital expenditures for the quarter were $1.1 billion.

Product Segment Highlights:

- Alumina: after-tax operating income (ATOI) was $259 million, down $12 million from the previous quarter.
- Production was down 3% sequentially with the continued Pinjarra ramp-up offset by a power outage in Pinjarra and reduction of production at Pt. Comfort.
- The firm experienced a negative impact from a stronger Australian dollar.

- Primary: ATOI was $480 million, 39% from the prior quarter and up 98% from the year-ago quarter, resulting from higher LME prices and volumes offset by Iceland smelter start-up costs and higher carbon and pitch costs.
- The company purchased approximately 100 kmt of primary metal for internal use as part of its strategy to sell value-added products.

- Flat-Rolled Products: ATOI for the segment was $62 million, up 29% from the prior quarter, the increase was primarily due to a favorable aerospace mix, recovery from the third quarter 2006 mill outages and tax benefits.

- Extruded and End Products: ATOI was $27 million, up 69% from the prior quarter, resulting from the mix in the hard alloy extrusion business and tax benefits.

- Engineered Solutions: ATOI of $73 million was a slight decline from the prior quarter, but with a 55% increase over the year-ago quarter.
- The negative impacts of the work stoppage at the Cleveland facility and the declining automotive market were offset by tax benefits.

- Packaging & Consumer: ATOI increased 30% over the year-ago quarter.
- Seasonal strength in the Consumer business was offset by the typical seasonal decline in the Closures business as well as higher metal costs in the packaging businesses.

Fiscal 2007 Outlook: