ALLEGHENY TECHNOLOGIES INCORPORATED 11-K
Table of Contents

 
 

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 11-K

ANNUAL REPORT PURSUANT TO SECTION 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

         
 
  þ   ANNUAL REPORT PURSUANT TO SECTION 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 [NO FEE REQUIRED]
 
       
    FOR THE FISCAL YEAR ENDED DECEMBER 31, 2006
 
       
 
  o   TRANSITION REPORT PURSUANT TO SECTION 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 [NO FEE REQUIRED]
 
       
    FOR THE TRANSITION PERIOD FROM                      TO                     
 
       
    COMMISSION FILE NUMBER 1-12001

THE 401(K) PLAN
(Title of Plan)

ALLEGHENY TECHNOLOGIES INCORPORATED

(Name of Issuer of securities held pursuant to the Plan)

1000 Six PPG Place, Pittsburgh, Pennsylvania 15222-5479
(Address of Plan and principal executive offices of Issuer)

 
 

 


Table of Contents

Audited Financial Statements and Supplemental Schedule
The 401(k) Plan
Years Ended December 31, 2006 and 2005
With Report of Independent Registered Public Accounting Firm

 


 

The 401(k) Plan
Audited Financial Statements
and Supplemental Schedule
Years Ended December 31, 2006 and 2005
Contents
         
    1  
 
       
Audited Financial Statements
       
 
       
    2  
    3  
    4  
 
       
Supplemental Schedule
       
 
       
    13  
 EX-23.1

 


Table of Contents

Report of Independent Registered Public Accounting Firm
Allegheny Technologies Incorporated
We have audited the accompanying statements of net assets available for benefits of The 401(k) Plan as of December 31, 2006 and 2005, and the related statements of changes in net assets available for benefits for the years then ended. These financial statements are the responsibility of the Plan’s management. Our responsibility is to express an opinion on these financial statements based on our audits.
We conducted our audits in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. We were not engaged to perform an audit of the Plan’s internal control over financial reporting. Our audits included consideration of internal control over financial reporting as a basis for designing audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Plan’s internal control over financial reporting. Accordingly, we express no such opinion. An audit also includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion.
In our opinion, the financial statements referred to above present fairly, in all material respects, the net assets available for benefits of the Plan at December 31, 2006 and 2005, and the changes in its net assets available for benefits for the years then ended, in conformity with U.S. generally accepted accounting principles
Our audits were performed for the purpose of forming an opinion on the financial statements taken as a whole. The accompanying supplemental schedule of assets (held at end of year) as of December 31, 2006, is presented for purposes of additional analysis and is not a required part of the financial statements but is supplementary information required by the Department of Labor’s Rules and Regulations for Reporting and Disclosure under the Employee Retirement Income Security Act of 1974. This supplemental schedule is the responsibility of the Plan’s management. The supplemental schedule has been subjected to the auditing procedures applied in our audits of the financial statements and, in our opinion, is fairly stated in all material respects in relation to the financial statements taken as a whole.
/s/ Ernst & Young LLP
June 22, 2007
Pittsburgh, Pennsylvania

1


Table of Contents

The 401(k) Plan
Statements of Net Assets Available for Benefits
                 
    December 31
    2006   2005
     
Investments at fair value:
               
 
               
Interest in registered investment companies
  $ 88,959,173     $ 75,272,581  
Interest in Allegheny Master Trust
    83,711,594       70,206,046  
Corporate common stocks
    38,265,185       17,750,365  
Participant loans
    8,937,587       7,198,343  
Interest in common collective trusts
    276,934       39,548  
Interest-bearing cash
    6,770        
Overdraft
    (2,764 )      
     
Total investments fair value
    220,154,479       170,466,883  
 
               
Contribution receivable
          13,145  
Other payables, net
    (180,621 )     (20,183 )
     
Net assets available for benefits at fair value
    219,973,858       170,459,845  
Adjustment from fair value to contract value for fully benefit responsive investment contracts
    572,611       366,865  
     
Net assets available for benefits
  $ 220,546,469     $ 170,826,710  
     
See accompanying notes.

2


Table of Contents

The 401(k) Plan
Statements of Changes in Net Assets Available for Benefits
                 
    Years Ended December 31
    2006   2005
     
Contributions:
               
Employer
  $ 5,712,993     $ 4,565,593  
Employee
    14,493,408       11,692,024  
     
Total contributions
    20,206,401       16,257,617  
 
               
Investment income:
               
Net unrealized/realized gain on corporate common stocks
    27,241,550       7,757,778  
Net gain from interest in registered investment companies
    7,937,943       6,194,765  
Net gain from interest in Allegheny Master Trust
    7,197,627       3,225,966  
Interest income
    550,565       384,179  
Dividend income
    208,311       145,966  
Net gain from interest in common collective trusts
    16,432       3,397  
Other (expense) income
    877       (28,726 )
     
Total investment income
    43,153,305       17,683,325  
     
 
    63,359,706       33,940,942  
 
               
Distributions to participants
    (13,591,061 )     (11,689,339 )
Plan transfers, net
          516,717  
Administrative expenses and other, net
    (48,886 )     (39,830 )
     
 
    (13,639,947 )     (11,212,452 )
     
 
               
Net increase in net assets available for benefits
    49,719,759       22,728,490  
Net assets available for benefits at beginning of year
    170,826,710       148,098,220  
     
Net assets available for benefits at end of year
  $ 220,546,469     $ 170,826,710  
     
See accompanying notes.

3


Table of Contents

The 401(k) Plan
Notes to Financial Statements
December 31, 2006
1. Significant Accounting Policies
Use of Estimates and Basis of Accounting
The preparation of financial statements in conformity with U.S. generally accepted accounting principles requires management to make estimates that affect the amounts reported in the financial statements and accompanying notes. Actual results could differ from those estimates.
The financial statements are prepared under the accrual basis of accounting.
New Accounting Pronouncement
In December 2005, the Financial Accounting Standards Board (FASB) issued FASB Staff Position AAG INV-1 and SOP 94-4-1, Reporting of Fully Benefit-Responsive Investment Contracts Held by Certain Investment Companies Subject to the AICPA Investment Company Guide and Defined-Contribution Health and Welfare and Pension Plans (the FSP). The FSP defines the circumstances in which an investment contract is considered fully benefit responsive and provides certain reporting and disclosure requirements for fully benefit responsive investment contracts in defined contribution health and welfare and pension plans. The financial statement presentation and disclosure provisions of the FSP are effective for financial statements issued for annual periods ending after December 15, 2006 and are required to be applied retroactively to all prior periods presented for comparative purposes. The Plan has adopted the provisions of the FSP at December 31, 2006.
As required by the FSP, investments in the accompanying Statements of Net Assets Available for Benefits include fully benefit responsive investment contracts recognized at fair value. AICPA Statement of Position 94-4-1, Reporting of Investment Contracts Held by Health and Welfare Benefit Plans and Defined Contribution Pension Plans, as amended, requires fully benefit responsive investment contracts to be reported at fair value in the Plan’s Statement of Net Assets Available for Benefits with a corresponding adjustment to reflect these investments at contract value. The requirements of the FSP have been applied retroactively to the Statement of Net Assets Available for Benefits as of December 31, 2005 presented for comparative purposes. Adoption of the FSP had no effect on the Statement of Changes in Net Assets Available for Benefits or the total of net assets available for benefits for any period presented.
Investment Valuation and Income recognition
The Plan’s investments are stated at fair value except for its benefit-responsive investment contracts, which are valued at contract value (see Note 3). Quoted market prices are used to value investments. Share of mutual funds are valued at the net asset value of shares held by the Plan at year end. Participant loans are valued at their outstanding balances, which approximate fair value.

4


Table of Contents

The 401(k) Plan
Notes to Financial Statements (continued)
1. Significant Accounting Policies (continued)
Investments in bank and insurance company guaranteed investment contracts (“GICs”) and in synthetic investment contracts (“SICs”) are stated at contract value which is equal to principal balance plus accrued interest, because they are fully benefit-responsive. As provided in the FSP, an investment contract is generally permitted to be valued at contract value, rather than fair value, to the extent it is fully benefit-responsive. Fair value of the GICs was estimated by discounting the weighted average cash flows at the then-current interest crediting rate for a comparable maturity investment contract. Fair value of the SICs was estimated based on the fair value of each contract’s supporting assets at December 31, 2006 and 2005. Participants may ordinarily direct the withdrawal or transfer of all or a portion of their investment at contract value. There are no reserves against contract value for credit risk of the contract issuer or otherwise.
Although it is management’s intention to hold the investment contracts in the Standish Mellon Fixed Income Fund until maturity, certain investment contracts provide for adjustments to contract value for withdrawals made prior to maturity.
2. Description of the Plan
The 401(k) Plan (the Plan) is a defined contribution plan and is subject to the provisions of the Employee Retirement Income Security Act of 1974 (ERISA).
The purpose of the Plan is to provide retirement benefits to eligible employees through company contributions and to encourage employee thrift by permitting eligible employees to defer a part of their compensation and contribute such deferral to the Plan. The Plan allows employees to contribute a portion of eligible wages each pay period through payroll deductions subject to Internal Revenue Code limitations. Qualifying employee contributions are partially matched by the respective employing companies which are affiliates of Allegheny Technologies Incorporated (ATI, the Plan Sponsor), up to the lesser of a maximum of $1,000 annually for each participant, or 50% of participants’ deferrals up to a maximum of 3.5% of total eligible wages (except for Allvac and Wah Chang). For the Allvac and Wah Chang operations, in 2002, the $1,000 maximum limit on matching contributions was removed. For hourly employees of the Casting Service operation, starting with the first hour worked after December 26, 2004, the employing company matches 100% of the employee contributions up to 3.5% of total eligible wages. In addition, for certain Metalworking Products union employees annual flat dollar contributions will be paid into the Plan at the end of each year provided the following criteria are met: the employee must have contributed a minimum of 2% of their total earnings for the year into the Plan; the employee must have completed a minimum of 1,000 hours during the calendar year; and the employee must be an active, nonunion employee as of December 31st of that year. The exceptions to this rule for certain Metalworking Products union employees are that 1.) employees who retire during the calendar year will remain eligible for this contribution, so long as they meet the 1,000-hour rule; such retirees will receive a prorated contribution, based on the number of months they worked in the year; however, an employee who terminates (not retires) prior to December 31st

5


Table of Contents

The 401(k) Plan
Notes to Financial Statements (continued)
2. Description of the Plan (continued)
will not be eligible for this flat dollar contribution, regardless of the number of hours worked, and 2.) hourly bargained employees at the Casting Service operation receive the annual flat dollar contributions notwithstanding the above conditions. For certain union employees of Portland Forge, the matching rate is at 100% but is limited to a maximum matching contribution of $1,000 and the Company will also make contributions of $0.25 per hour worked effective July 1, 2005.
The flat dollar contribution amounts are based on the employee’s years of service, as follows:
         
Years   Amount of Contribution
 
0 to 4
  $ 100  
5 to 9
    500  
10 to 14
    600  
15 to 19
    700  
20 to 24
    800  
25 to 29
    1,000  
30 to 34
    1,500  
35 or more
    2,000  
The Plan allows participants to direct their contributions, and contributions made on their behalf, to any of the investment alternatives. Unless otherwise specified by the participant, employer contributions are made to the Standish Mellon Fixed Income Fund. Separate accounts are maintained by the Plan Sponsor for each participating employee. Trustee fees and asset management fees charged by the Plan’s trustee, Mellon Bank, N.A., for the administration of all funds are charged against net assets available for benefits of the respective fund. Certain other expenses of administering the Plan are paid by the Plan Sponsor.
Participants may make “in-service” and hardship withdrawals as outlined in the plan document. Participants are fully vested in their entire participant account balance.
Active employees can borrow up to 50% of their vested account balances minus any outstanding loans. The loan amounts are further limited to a minimum of $1,000 and a maximum of $50,000, and an employee can obtain no more than three loans at one time. Interest rates are determined based on commercially accepted criteria, and payment schedules vary based on the type of the loan. General-purpose loans are repaid over 6 to 60 months, and primary residence loans are repaid over periods up to 180 months. Payments are made by payroll deductions.
Further information about the Plan, including eligibility, vesting, contributions, and withdrawals, is contained in the plan document, summary plan description, and related contracts. These documents are available from the Plan Sponsor.

6


Table of Contents

The 401(k) Plan
Notes to Financial Statements (continued)
3. Investments
The following presents investments that represent 5% or more of the Plan’s net assets as of December 31, 2006 and 2005:
                 
    December 31
    2006   2005
     
T. Rowe Price Structured Research Common Trust Fund (contract value)
  $ 41,540,492     $ 37,721,202  
Standish Mellon Fixed Income Fund (contract value)
    40,802,429       31,104,087  
Allegheny Technologies Incorporated common stock
    38,265,185       17,750,365  
Oakmark Balanced Fund
    27,551,951       24,566,855  
Prudential Jennison Growth Fund, Class A Shares
    10,838,836 *     11,184,018  
 
*   Presented for comparison purposes only; does not represent investment that is 5% or more of the Plan’s net assets.
Certain of the Plan’s investments are in the Allegheny Master Trust, which has three separately managed institutional investment accounts; the T. Rowe Price Structured Research Common Trust Fund (formerly the ATI Disciplined Stock Fund), the Alliance Capital Growth Pool, and the Standish Mellon Fixed Income Fund, which were valued on a unitized basis (collectively, the “Allegheny Master Trust”). In May, 2005, Dreyfus was terminated as the manager of the ATI Disciplined Stock Fund and T. Rowe Price Associates, Inc. (“T. Rowe Price”) was appointed. At that time all holdings in the institutional investment account managed by Dreyfus were moved to the institutional investment account managed by T. Rowe Price. T. Rowe Price administered the transition of the holdings by transferring securities in kind to the T. Rowe Price Structured Research Common Trust Fund. Trust investments formerly in the ATI Disciplined Stock Fund are reported as T. Rowe Price Structured Research Common Trust Fund investments for all periods presented.
The Allegheny Master Trust was established for the investment of assets of the Plan, and several other ATI sponsored retirement plans. Each participating retirement plan has an undivided interest in the Allegheny Master Trust. At December 31, 2006 and 2005, the Plan’s interest in the net assets of the Alliance Capital Growth Pool, the Standish Mellon Fixed Income Fund, and the T. Rowe Price Structured Research Common Trust Fund was as follows:
                 
    2006   2005
     
T. Rowe Price Structured Research Common Trust Fund
    57.55 %     56.92 %
Standish Mellon Fixed Income Fund
    17.24       14.62  
Alliance Capital Growth Pool
    5.66       4.39  
Investment income and expenses are allocated to the Plan based upon its pro rata share in the net assets of the Allegheny Master Trust.

7


Table of Contents

The 401(k) Plan
Notes to Financial Statements (continued)
3. Investments (continued)
The composition of the net assets of the Standish Mellon Fixed Income Fund at December 31, 2006 and 2005 was as follows:
                 
    2006   2005
     
Guaranteed investment contracts:
               
GE Life and Annuity
  $     $ 5,453,333  
Hartford Life Insurance Company
          3,978,336  
John Hancock Life Insurance Company
          3,022,363  
Monumental Life Insurance Company
          1,020,997  
New York Life Insurance Company
    895,330       4,703,449  
Ohio National Life
          2,005,322  
Principal Life
    1,368,618       1,307,756  
Pruco Pace Credit Enhanced
          3,716,096  
Security Life of Denver
          1,517,224  
United of Omaha
          1,422,965  
     
 
    2,263,948       28,147,841  
 
               
Synthetic guaranteed investment contracts:
               
Bank of America
    28,662,260       33,323,362  
IXIS Financial Products, Inc.
    4,030,074        
MDA Monumental BGI Wrap
          43,967,438  
Monumental Life
    60,286,128        
Rabobank
    53,011,207       41,435,067  
State Street Bank
    21,292,911       15,290,983  
Union Bank of Switzerland
    39,206,620       35,642,109  
     
 
    206,489,200       169,658,959  
 
               
Interest in common collective trusts
    24,622,702       12,443,974  
     
Total net assets at fair value
    233,375,850       210,250,774  
Wrap contracts at fair value
    (49,959 )     (22,731 )
Adjustment from fair value to contract value for fully benefit responsive investment contracts
    3,381,661       2,543,062  
     
Total net assets
  $ 236,707,552     $ 212,771,105  
     
The Standish Mellon Fixed Income Fund (the Fund) invests in guaranteed investment contracts (GICs) and actively managed structured or synthetic investment contracts (SICs). The GICs are promises by a bank or insurance company to repay principal plus a fixed rate of return through contract maturity. SICs differ from GICs in that there are specific assets supporting the SICs, and these assets are owned by the Allegheny Master Trust. The bank or insurance company issues a wrapper contract that allows participant-directed transactions to be made at contract value. The assets supporting the SICs are comprised of government agency bonds, corporate bonds, asset-backed securities (ABOs), and collateralized mortgage obligations (CMOs).

8


Table of Contents

The 401(k) Plan
Notes to Financial Statements (continued)
3. Investments (continued)
Interest crediting rates on the GICs in the Fund are determined at the time of purchase. Interest crediting rates on the SICs are either: (1) set at the time of purchase for a fixed term and crediting rate, (2) set at the time of purchase for a fixed term and variable crediting rate, or (3) set at the time of purchase and reset monthly within a “constant duration.” A constant duration contract may specify a duration of 2.5 years and the crediting rate is adjusted monthly based upon quarterly rebalancing of eligible 2.5 year duration investment instruments at the time of each resetting; in effect the contract never matures. At December 31, 2006 and 2005, the interest crediting rates for GICs and Fixed Maturity SICs ranged from 4.30% to 5.34% and 4.15% to 7.08%, respectively.
Average yields for all fully-benefit responsive investment contracts for the years ended December 31, 2006 and 2005 were as follows:
                 
    Year ended December 31
    2006   2005
     
Average yields:
               
Based on actual earnings
    4.75 %     4.56 %
Based on interest rate credited to participants
    4.64 %     4.44 %
The composition of net assets of the Alliance Capital Growth Pool at December 31, 2006 and 2005 was as follows:
                 
    2006   2005
     
Investment in pooled separate accounts:
               
Alliance Equity Fund S.A. #4
  $ 34,335,972     $ 39,779,750  
Operating payables
    (10,572 )     (11,734 )
     
Total net assets
  $ 34,325,400     $ 39,768,016  
     
The composition of net assets of the T. Rowe Price Structured Research Common Trust Fund at December 31, 2006 and 2005 was as follows:
                 
    2006   2005
     
Interest in common collective trusts
  $ 72,210,981     $ 66,391,950  
Payables
    (34,228 )     (126,421 )
     
Total net assets
  $ 72,176,753     $ 66,265,529  
     

9


Table of Contents

The 401(k) Plan
Notes to Financial Statements (continued)
3. Investments (continued)
The composition of the changes in net assets of the Allegheny Master Trust is as follows:
                                                                                         
    Standish Mellon                   T. Rowe Price Structured Research
    Fixed Income Fund   Alliance Capital Growth Pool   Common Trust Fund
    Years Ended December 31
    2006   2005   2006   2005          2006   2005
     
Investment income (loss):
                                               
Interest income
  $ 9,196,721     $ 9,077,315     $     $     $       $  
Net realized/unrealized gain (loss) on corporate common stocks
    6,246       (543 )           (1 )     11,900       (1,585,846 )
Dividends
                                  427,913  
Net loss, registered investment companies
          (7,739 )                        
Net gain (loss), pooled separate accounts
                (283,791 )     4,438,949              
Net gain, common collective trusts
    851,445       443,616                   10,226,870       4,781,495  
Administrative expenses
    (242,636 )     (254,334 )     (98,140 )     (129,310 )     (403,225 )     (461,975 )
Transfers
    14,124,671       4,681,472       (5,060,685 )     (2,665,712 )     (3,924,321 )     (10,910,725 )
     
Net increase (decrease)
    23,936,447       13,939,787       (5,442,616 )     1,643,926       5,911,224       (7,749,138 )
Total net assets at beginning of year
    212,771,105       198,831,318       39,768,016       38,124,090       66,265,529       74,014,667  
     
Total net assets at end of year
  $ 236,707,552     $ 212,771,105     $ 34,325,400     $ 39,768,016     $ 72,176,753     $ 66,265,529  
     
Interest, realized and unrealized gains and losses, and management fees from the Allegheny Master Trust are included in the net gain from interest in Allegheny Master Trust on the statements of changes in net assets available for benefits.
4. Income Tax Status
The Plan has received a determination letter from the Internal Revenue Service dated July 12, 2003, stating that the Plan is qualified under Section 401(a) of the Internal Revenue Code (the Code) and, therefore, the related trust is exempt from taxation. Subsequent to this issuance of the determination letter, the Plan was amended. Once qualified, the Plan is required to operate in conformity with the Code to maintain its qualification. The plan administrator believes the Plan is being operated in compliance with the applicable requirements of the Code and, therefore, believes the Plan, as amended, is qualified and the related trust is tax-exempt.

10


Table of Contents

The 401(k) Plan
Notes to Financial Statements (continued)
5. Parties-in-Interest
Dreyfus Corporation is the manager of the Dreyfus Mutual Funds that are offered as investment options under this Plan. Dreyfus Service Corporation is the funds’ distributor. The Boston Company is the manager of the Short Term Investment Fund. Dreyfus Corporation, Dreyfus Service Corporation and the Boston Company are wholly owned subsidiaries of Mellon Financial Corporation. Mellon Financial Corporation also owns Mellon Bank, N.A., the trustee for this Plan. T. Rowe Price Associates, Inc. is the manager of the T. Rowe Price Structured Research Common Trust Fund. Therefore, transactions with these entities qualify as party-in-interest transactions.
6. Plan Termination
Although it has not expressed any intent to do so, the employing companies have the right under the Plan to discontinue their contributions at any time and to terminate their respective participation in the Plan subject to the provisions of ERISA. However, no such action may deprive any participant or beneficiary under the Plan of any vested right.
7. Risks and Uncertainties
The Plan invests in various investment securities. Investment securities are exposed to various risk such as interest rate, market, and credit risks. Due to the level of risk associated with certain investment securities, it is at least reasonably possible that changes in the values of investment securities will occur in the near term and that such changes could materially affect participants’ account balances and the amounts reported in the statements of net assets available for benefits.
8. Reconciliation of Financial Statements to Form 5500
The following is a reconciliation of net assets available for benefits per the financial statements to the Form 5500:
                 
    December 31
    2006   2005
     
Net assets available for benefits per the financial statements
  $ 220,546,469     $ 170,826,710  
Deemed distribution of benefits to participants
    (33,234 )     (30,869 )
     
Net assets available for benefits per the Form 5500
  $ 220,513,235     $ 170,795,841  
     

11


Table of Contents

The 401(k) Plan
Notes to Financial Statements (continued)
8. Reconciliation of Financial Statements to Form 5500 (continued)
The following is a reconciliation of benefits paid to participants per the financial statements to the Form 5500 for the year ended December 31, 2006:
         
Benefits paid to participants per the financial statements
  $ 13,591,061  
Add: Amounts allocated on Form 5500 to deemed distributions for the year ended December 31, 2006
    33,234  
Less: 2005 deemed distributions per Form 5500 recorded in financial statements as a distribution in 2006
    (30,869 )
 
     
Benefits paid to participants per the Form 5500
  $ 13,593,426  
 
     

12


Table of Contents

The 401(k) Plan
EIN: 25-1792394 Plan: 098
Schedule H, Line 4i-Schedule of Assets (Held at End of Year)
December 31, 2006
                 
                    Description   Units/Shares     Current Value  
Registered Investment Companies:
               
Dreyfus Bond Market Index Fund*
    775,392.9360       7,746,175  
Prudential Jennison Growth Fund, Class A Shares
    659,296.6120       10,838,836  
Dreyfus Emerging Leaders Fund*
    105,337.7750       3,658,381  
Allianz NFJ Funds
    149,326.7000       4,666,459  
Morgan Stanley Small Co Growth Funds
    212,541.7270       2,829,143  
MFS Value Fund
    117,071.3810       3,134,001  
Artisan Funds
    175,506.9680       5,345,942  
Dreyfus Appreciation Fund*
    32,292.4540       1,414,087  
Dreyfus Premier International Fund*
    515,512.5020       10,083,425  
Hartford Midcap Fund
    200,016.0060       5,398,432  
Lord, Abbett Midcap Fund
    203,858.5470       4,566,431  
Oakmark Balanced Fund
    1,064,603.9940       27,551,951  
 
             
 
            87,233,263  
 
               
Self-directed accounts:
               
CGM Tr Realty Fund
    969.9320       26,247  
Dreyfus Premier Emerging Mkts Fd – C1.A*
    183.7880       3,876  
Dreyfus 100% US Treasury MM Funds*
    83,560.7800       83,561  
Dreyfus Midcap Value Fund*
    51.9110       1,665  
Dreyfus Technology Growth Fund
    110.1310       2,728  
Fidelity Concord Str Spartan Intl Index Fund
    686.5090       30,303  
Oakmark International Fund
    83.2280       2,118  
Longleaf Partners Fubd – International Fund
    690.9200       13,065  
Longleaf Partners Fund
    1,132.7360       39,487  
PIMCO Funds Pacific Inv Mgmt. Total Return
    127,197.9550       1,320,315  
T. Rowe Price Health Sciences Fund
    896.2620       23,419  
T. Rowe Price Intl Funds
    1,133.2340       16,103  
Profunds Energy Ultrasector Profund
    271.7640       11,311  
Profunds Precious Metals Ultra Sector Profund
    357.1280       14,575  
Profunds Pharmaceutical Ultrasector Profunds
    979.6440       10,061  
Profunds Biotechnology Ultrasector Profund
    179.3720       9,631  
Ryder Ser Tr Dynamic Velocity 100 Fd
    8.1900       189  
Vanguard Specialized Portfolio – Health Care
    292.6820       42,615  
Vanguard Primecap Fund
    622.9630       42,953  
Vanguard Windsor II Portfolio Fund
    260.0680       9,037  
Third Ave formerly Third Avenue Real Estate Fd
    635.7310       22,022  
Wells Fargo Advantage Specialized Technology Fund
    109.2440       629  
 
             
Total self-directed accounts
            1,725,910  
 
             
Total registered investment companies
          $ 88,959,173  
 
             
 
               
Corporate Common Stocks:
               
Allegheny Technologies Incorporated common stock*
    421,980.4310     $ 38,265,185  
 
             
 
               
Participant loans* (8.25% to 9.25%, with maturities through 2022)
    8,937,587.4600     $ 8,937,587  
 
             
 
               
Common Collective Trusts:
               
The Boston Company Short Term Investment Fund*
    276,934.2300     $ 276,934  
 
             
 
               
Interest bearing cash
          $ 6,770  
 
             
 
*   Party-in-interest

13


Table of Contents

SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the administrators of the Plan have duly caused this annual report to be signed on its behalf by the undersigned hereunto duly authorized.
         
    ALLEGHENY TECHNOLOGIES INCORPORATED
    THE 401(K) PLAN
 
       
 
  By:   /s/ Richard J. Harshman
 
       
Date: June 22, 2007
      Richard J. Harshman
 
      Executive Vice President-Finance and
 
      Chief Financial Officer
 
      (Principal Financial Officer and Duly
 
      Authorized Officer)