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Court Vacates Civil Penalty
in Allegheny Ludlum Clean Water Case

April 30, 2004 — Allegheny Technologies Inc. announced that the Third Circuit Court of Appeals has vacated the $8.2 million civil penalty assessed against ATI's wholly owned subsidiary, Allegheny Ludlum. The 1995 civil case was brought by the U.S. Government against Allegheny Ludlum under the Clean Water Act in the United States District Court for the Western District of Pennsylvania. The Third Circuit remanded the case for reconsideration by the District Court.

"We are pleased with the Circuit Court's opinion," said Jon D. Walton, Executive Vice President, Chief Legal and Compliance Officer of Allegheny Technologies. "We welcome the opportunity to fully present our case to the District Court in accordance with the Circuit Court's opinion."

Allegheny Technologies Inc. is one of the largest and most diversified specialty materials producers in the world with revenues of approximately $1.9 billion in 2003. High-value products include nickel-based and cobalt-based alloys and superalloys, titanium and titanium alloys, specialty steels, super stainless steel, exotic alloys, which include zirconium, hafnium and niobium, tungsten materials, and highly engineered strip and Precision Rolled Strip(R) products. Commodity specialty materials include stainless steel sheet and plate, silicon and tool steels, and forgings and castings.

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