Carpenter Technology’s Amega West Expands Machining Capabilities in Canada

Carpenter Technology Corporation (NYSE: CRS) announced today that it has agreed to acquire the assets of ARwin Machining Plus, Ltd. for approximately $1.4 million dollars, with an expected closing by December 15, 2011. The assets will become integrated into the Canadian division of Amega West Services, a subsidiary of Carpenter Technology that specializes in directional drilling manufacturing. Both companies are located in Nisku, Alberta.

Reddy Godula, President of Amega West said, “We see tremendous growth opportunities for Amega in the energy market in Canada, specifically for oil and gas applications. This acquisition enhances our machining capabilities through added expertise and positions us to be even more responsive to our customers and develop new directional drilling applications.”

“The energy market is one of the key industries our global strategy has targeted for growth. As opportunities arise, we will continue to enhance our capabilities in order to provide value-added solutions to our customers,” said William A. Wulfsohn, President and Chief Executive Officer of Carpenter Technology.

Carpenter acquired Amega West in December 2010, and acquired Oilfield Alloys as a geographic complement in June 2011. Amega West Services is based in Texas, with locations in Louisiana, Oklahoma, Pennsylvania, Wyoming, Canada, Dubai, and Singapore.

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, 2011 and the exhibits attached to that filing. They include but are not limited to: (1) the parties' expectations with respect to the synergies, costs and other anticipated financial impacts of the transaction could differ from actual synergies realized, costs incurred and financial impacts experienced as a result of the transaction; (2) the possibility that the transaction is delayed or does not close, including, without limitation, due to the failure to receive any required regulatory approvals or the failure to satisfy any closing condition, (3) the taking of governmental action (including the passage of legislation) to block the transaction; (4) 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;5) the ability of Carpenter to achieve cost savings, productivity improvements or process changes; 6) the ability to recoup increases in the cost of energy, raw materials, freight or other factors; 7) domestic and foreign excess manufacturing capacity for certain metals; 8) fluctuations in currency exchange rates; 9) the degree of success of government trade actions; 10) the valuation of the assets and liabilities in Carpenter's pension trusts and the accounting for pension plans; 11) possible labor disputes or work stoppages; 12) the potential that our customers may substitute alternate materials or adopt different manufacturing practices that replace or limit the suitability of our products; 13) the ability to successfully acquire and integrate acquisitions; 14) the availability of credit facilities to Carpenter, its customers or other members of the supply chain; 15) the ability to obtain energy or raw materials, especially from suppliers located in countries that may be subject to unstable political or economic conditions; 16) 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; and 17) 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. 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.