The present study deals with a new design of aluminum alloy based composites reinforced with Nb2Al particles and Glass Bubbles (GB) through powder metallurgy. The matrix for these composites was chosen as 1050 pure aluminum alloy powder. The composites were produced under solid state-liquid state sintering conditions to improve the interface between Nb2Al and the aluminum matrix. Processing parameters were optimized and products were analyzed as a function of the content of reinforcing particles in the matrix, as their interfaces with matrix, etc. Mechanical properties were evaluated by means of compression tests. General results show the feasibility of producing composites by the proposed route economically. Products with good mechanical properties could be obtained. The process gives a new opportunity for the production of a novel material from recycled wastes. Microstructural evaluations were made by Optical and Scanning Electron Microscopes.7 131139