10.30.2006 - 09:34am ET

(CSRwire) HAWTHORNE, Calif. & HAZLETON, Pa.--Alcoa KAMA, the sheet extrusion division of Reynolds Food Packaging, an Alcoa business (NYSE:AA), and Cereplast™, Inc., (OTCBB:CERP), a producer of proprietary bio-based resins, today announced that Alcoa KAMA plans to produce plastic sheet for thermoforming and other markets using Cereplast's starch-based, bio-degradable resins. The extruded sheet in rollstock form will have wide applications for food service packaging and other uses.

The deal comes at a time of increasing sensitivity on the part of municipalities, food service businesses and consumers to the environmental effects of non-biodegradable plastics. Cities such as Santa Monica, Oakland and Baltimore have moved to ban polystyrene products, and food service suppliers have been looking for alternative packaging to meet increasing consumer demand.

Alcoa KAMA will make extruded plastic sheet available to select converters followed by a roll-out to major brand clients. The Biodegradable Products Institute (BPI) has granted Alcoa KAMA and Cereplast use of the BPI logo on the new product. Products bearing the BPI logo meet ASTM D6400 and are designed to biodegrade quickly, completely and safely, without leaving any plastic residue in commercial and municipal composting facilities.

Cereplast resins are formulated from a patented and proprietary manufacturing process that incorporates starch and other biodegradable components, including PLA from NatureWorks, Llc. Cereplast resins are 100 percent compostable and can be substituted for petroleum-based resins in a wide variety of processes, including injection molding, extrusion and thermoforming.

"We are proud to partner with Alcoa KAMA, a consistent global leader in sustainability and recognized world-wide for their green practices and products. Their new thermoformable sheets made from Cereplast resins will now offer the food service industry and their customers the opportunity to reduce our collective environmental footprint, and our reliance on fossil fuels," said Frederic Scheer, president and CEO of Cereplast.

Added Juan Lopez, vice president of sales and marketing, Alcoa KAMA, "Cereplast's resins were the natural, dependable and economical choice for our company. Working together, we have created an environmental solution for disposable plastics that is part of the leading edge and competitive edge of sustainable plastics."

About Alcoa KAMA

Alcoa KAMA, the sheet extrusion division of Reynolds Food Packaging, an Alcoa company (NYSE:AA), and a global leader in the extrusion business for nearly 30 years is the world's largest producer of light gauge material for the thermoforming industry. Alcoa KAMA's complete family of high-performance packaging materials provide solutions for food packaging, envelope window film, graphic arts and specialty uses, consumer packaging, bakery and deli packaging, medical packaging, and industrial and agricultural packaging. Alcoa operates in more than 350 locations in 43 countries. For more information, please visit www.alcoa.com/kama or www.alcoa.com

About Alcoa

Alcoa 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 consumer brands including Reynolds Wrap® foils and plastic wraps, Alcoa® wheels, and Baco® household wraps. Among its other businesses are closures, fastening systems, precision castings, and electrical distribution systems for cars and trucks. The company has 129,000 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

About Cereplast, Inc.

Cereplast, Inc. (OTCBB:CERP) designs and manufactures proprietary starch-based, renewable plastics Cereplast resins are not fossil-fuel based, offering price stability and competitive costs compared to traditional resins. Cereplast's uniquely formulated resins are certified biodegradable and compostable by BPI (Biodegradable Products Institute). This means that these plastics return to nature quickly and safely, a clear preference point for environmentally responsible consumers. Cereplast resins can be used in all major converting process such as injection molding, thermoforming, blow molding and extrusions. Cereplast is publicly traded on the NASD's Over-the-Counter Bulletin Board market under the symbol CERP. Learn more at www.cereplast.com.