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TransAlta Marks 20-Year Sustainability Reporting Milestone

CALGARY, ALBERTA -- (Marketwired) -- 06/24/14 -- TransAlta Corporation (TSX: TA) (NYSE: TAC) released its annual 2013 Report on Sustainability marking the 20th year the company has reported on balancing the growing demand for electric power with environmental, social and economic interests. The full report can be found at TransAlta's website at: www.transalta.com/sustainability/report-sustainability.

"It takes committed and capable people with strong values to build sustainable companies. TransAlta was built by people like this. We take pride in our 103-year history and our record of providing reliable, competitive electricity that powers industry, commercial business, hospitals, schools, communities and homes," said TransAlta President and CEO Dawn Farrell.

Report highlights include:

--  Performance update on TransAlta's 23 sustainability targets

--  New targets set for 2014 and beyond, including a long-term greenhouse
    gas emission reduction

--  Review of the extensive biomonitoring program at Alberta Coal

--  New subsidiary formed, TransAlta Renewables, including 29 wind and hydro
    assets

--  Contract extension in Western Australia and for TransAlta's Ontario gas
    facility

--  Reclamation completed at the Whitewood mine site, approximately 1,900
    hectares of land transformed including 277,600 trees planted

--  Sundance Units 1 and 2 efficiently and safely repaired and re-
    commissioned, which included more than 1.3 million person hours and
    approximately $200 million

--  The 2013 Alberta flood: TransAlta rises to the occasion

--  Record setting United Way campaign with a total donation of $1.8 million

In the 2013 report, TransAlta reports its progress on the 23 sustainability targets, which include environmental, social and economic metrics that have been integrated with TransAlta's operational goals. Most targets were achieved in 2013, and TransAlta remains committed to achieving the remaining targets in the long-term. Further details on the 23 targets can be found on pages 6 to 9 of the full report.

"Articulating sustainability targets is a healthy exercise and has helped promote broader engagement about sustainability across our company. It's also a journey, and we continue to refine our sustainability targets to make them better, sharper and more sustainable," said Don Wharton, Vice-President of Policy and Sustainability for TransAlta.

TransAlta's Contributions to Delivering Responsible Electricity:

TransAlta Renewables - A new subsidiary formed by TransAlta in mid-2013. TransAlta Renewables was designed to create stable, consistent returns for investors through the ownership of contracted power generation assets including 29 of TransAlta's wind and hydro assets.

Growth and new business opportunities - TransAlta continues to explore opportunities for value creation with Sundance 7, an 800 MW combined-cycle natural gas generation facility. The company is also venturing into infrastructure that supports electricity generation, such as pipelines and transmission.

Contributing to public policy - In 2013, TransAlta focused on discussions with the Alberta Government in aligning air pollution regulations for coal-fired power generation.

Rising to the occasion: the 2013 Alberta flood - Southern Alberta was hit with a flood that was unprecedented and devastating in June 2013. Because of its magnitude, the report has a special section, devoted to the flood starting on page 47 in the full report.

Strong organizational values - TransAlta employees continue to demonstrate a high level of community participation and support. In 2013, TransAlta had a record setting year with its United Way campaign in addition to its President and CEO, Dawn Farrell, serving as co-chair for Calgary's 2013 United Way Campaign.

TransAlta's Approach to Sustainability Reporting:

For 20 years, TransAlta has been reporting on its sustainability performance with the purpose of providing clear and comprehensive coverage about its sustainability practices, progress and performance. TransAlta has been recognized for its sustainability leadership for seven consecutive years by the FTSE4Good Index and for five consecutive years has been listed on the Sustainalytics-Maclean's Top 50 Socially Responsible Corporations.

TransAlta's Sustainability Report follows the intent of the Global Reporting Initiative (GRI) G3 Guidelines. The GRI is an independent, multi-national and multi-stakeholder organization representing business, the environment, labour and human rights issues.

TransAlta voluntarily has its Report on Sustainability data assured by a third party. It has done so for seven consecutive years. Details of the scope and conclusions of the assurance engagement can be found in the Independent Limited Assurance Statement on page 55 of the report.

About TransAlta:

TransAlta is a power generation and wholesale marketing company focused on creating long-term shareholder value. TransAlta maintains a low-to-moderate risk profile by operating a highly contracted portfolio of assets in Canada, the United States and Australia. TransAlta's focus is to efficiently operate geothermal, wind, hydro, natural gas and coal facilities in order to provide customers with a reliable, low-cost source of power. For over 100 years, TransAlta has been a responsible operator and a proud contributor to the communities in which it works and lives. TransAlta has been selected by Sustainalytics as one of Canada's Top 50 Socially Responsible Companies since 2009 and is recognized globally for its leadership on sustainability and corporate responsibility standards by FTSE4Good.

Contacts:
Media Inquiries:
Stacey Hatcher
Senior Corporate Relations Advisor
Cell: 587-216-2242 or Toll-free media number: 1-855-255-9184
Alternate local number: 403-267-2540
[email protected]

Investor inquiries:
Brent Ward
Director, Corporate Finance and Investor Relations
1-800-387-3598 in Canada and U.S.
[email protected]

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