Carpenter Technology Announces Columbium Surcharge

Carpenter Technology Corporation (NYSE:CRS) today announced it will implement a columbium (Cb / Nb) surcharge effective with shipments beginning March 1, 2011.

The columbium element of the surcharge will be based on the monthly mean value for Ferro Columbium (Niobium) found on metalprices.com, using a base price of $8.00/lb. March’s surcharge will be based on February’s mean value. The company said that the surcharge is necessary to offset the rapid and unpredictable changes in columbium prices, which is used in the manufacture of some of its specialty alloy products.

About Carpenter Technology

Carpenter Technology produces and distributes conventional and powder metal specialty alloys, including stainless steels, titanium alloys, tool steels and superalloys. Information about Carpenter can be found at www.cartech.com.

Forward-Looking Statements

Except for historical information, all other information in this news release consists of forward-looking statements within the meaning of the Private Securities Litigation Act of 1995. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ from those projected, anticipated or implied. The most significant of these uncertainties are described in Carpenter's filings with the Securities and Exchange Commission including its annual report on Form 10-K for the year ended June 30, 2010 and the quarterly report on Form 10-Q for the quarter ended September 30, 2010 and the exhibits attached to those filings. They include but are not limited to: the cyclical nature of the specialty materials business and certain end-use markets, including aerospace, industrial, automotive, consumer, medical, and energy, or other influences on Carpenter's business such as new competitors, the consolidation of competitors, customers, and suppliers or the transfer of manufacturing capacity from the United States to foreign countries; the ability of Carpenter to achieve cost savings, productivity improvements or process changes; the ability to recoup increases in the cost of energy, raw materials, freight or other factors; domestic and foreign excess manufacturing capacity for certain metals; fluctuations in currency exchange rates; the degree of success of government trade actions; the valuation of the assets and liabilities in Carpenter's pension trusts and the accounting for pension plans; possible labor disputes or work stoppages; the potential that our customers may substitute alternate materials or adopt different manufacturing practices that replace or limit the suitability of our products; the availability of credit facilities to Carpenter, its customers or other members of the supply chain; the ability to obtain energy or raw materials; our manufacturing processes are dependent upon highly specialized equipment located primarily in one facility in Reading, Pennsylvania for which there may be limited alternatives if there are significant equipment failures or catastrophic event; our future success depends on the continued service and availability of key personnel, including members of our executive management team, management, metallurgists and other skilled personnel and the loss of these key personnel could affect our ability to perform until suitable replacements are found; the ability to successfully integrate the Amega West Services, LLC acquisition; the ability to achieve additional opportunities for selling specialty alloys into the oil & gas market; and the ability to expand Amega West’s manufacturing capacity, rental fleet and service centers. Any of these factors could have an adverse and/or fluctuating effect on Carpenter's results of operations. The forward-looking statements in this document are intended to be subject to the safe harbor protection provided by Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Carpenter undertakes no obligation to update or revise any forward-looking statements.

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