Third Quarter 2020 Earnings Presentation

October 29, 2020

© 2020 ATI. All rights reserved.

Forward Looking Statements

This presentation contains forward-looking statements. Actual results may differ materially from results anticipated in the forward-looking statements due to various known and unknown risks, many of which we are unable to predict or control. These and additional risk factors are described from time to time in the Company's filings with the Securities and Exchange Commission, including its Annual Report on Form 10-K for the year ended December 31, 2019.

© 2020 ATI. All rights reserved.

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Key Takeaways - Third Quarter 2020

Q3 Performance

Earnings and free cash flow1 generation

ahead of expectations

  • Consistently achieving targets
    • Q3 earnings above guidance
    • Proactive cost reductions
    • Enhanced free cash flow generation
  • Managing decisively; control what we can
    • Highly "variable-ized" cost structures
    • 25% decremental margins
    • $115M working capital release

Balance Sheet

Operating from a position of strength; deploy

capital for long-term growth

  • Liquidity remains very healthy
    • Total cash and available liquidity: ~$950M
    • ~$570M cash on hand
  • Proactively enhanced capital structure
    • Next significant debt maturity: Q3 2023

Outlook

Increasing commercial aerospace demand

stabilization; modest recovery in other markets

  • Financial performance stabilizing
    • Q4 EPS target in-line with Q3
    • Recovery signs on the horizon in 2H'21
  • Improved 2020 financial targets
    • Free cash flow guidance up ~15%
      • $135M - $150M
    • Cost reductions raised to $160M - $170M
    • Capex lowered to $125M - $135M

© 2020 ATI. All rights reserved.

1 See appendix for reconciliation of non-GAAP financial measures

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Leadership Priorities

PRESERVE CASH &

MAINTAIN LIQUIDITY

SUPPORT CUSTOMERS THROUGH CONTINUED STRONG EXECUTION

OPTIMIZE COST STRUCTURE

TO MATCH NEW DEMAND

EXPECTATIONS

KEEP

EMPLOYEES

SAFE

BE "RECOVERY READY,"

LEVERAGING SHARE

GAINS FOR GROWTH

Maintain a Solid Foundation to Ensure Long-Term Profitability and Growth

© 2020 ATI. All rights reserved.

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Allegheny Technologies Incorporated published this content on 29 October 2020 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 29 October 2020 13:39:04 UTC