An improved aluminum lithium alloy comprising 0.1 to 2.5 wt. % Li, 2.5 to 5.5 wt. % Cu, 0.2 to 1.0 wt. % Mg, 0.2 to 0.8 wt. % Ag, 0.2 to 0.8 wt. % Mn, up to 0.4 wt. % Zr or other grain refiner such as chromium, titanium, hafnium, scandium or vanadium, the balance aluminum. The present alloy exhibits an improved combination of strength and fracture toughness, over any thickness range. The present invention is further directed to methods for preparing and using Al--Li alloys as well as to products comprising the same.