4/13/2010
NEWS BRIEFS
Alcoa Fastener Segment Achieves Strong ATOI Despite Slower Sales

Strong productivity gains and modest end-market improvement helped Alcoa’s Engineered Products segment, including fasteners, achieve a 42% sequential ATOI increase to $81 million despite lower sales during the opening quarter of 2010. Segment revenue dropped 15% to $1.07 billion, while third party shipments grew 12% to 46 kmt.

Overall results at Alcoa included a $194 million loss from continuing operations, despite an 18% jump in sales to $4.9 billion, strengthened by aluminum and alumina prices hikes of 8% and 13%. Q1 net loss was $201 million.

“Our markets are gradually improving and both policy trends and consumer sentiment bode well for aluminum demand,” said CEO Klaus Kleinfeld. “Just a few days ago, the U.S. finalized new rules that require increased fuel efficiency and for the first time set greenhouse gas emissions standards for cars and light trucks. In addition, a growing number of customers are requesting sustainable products. Factors like these play to aluminum’s superior advantages as a light, strong, versatile and infinitely recyclable material.” ©2010 GlobalFastenerNews.com

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Related Links:

• Alcoa