CHICAGO Alcoa Inc. plans to permanently shut the two
operating potlines at its Massena East, N.Y., smelter.
We are taking decisive action to close the remaining
potlines, given they are no longer competitive, Bob Wilt,
president of Alcoas global primary products division,
said in a statement Jan. 15.
The Pittsburgh-based aluminum company said the shutdown,
expected to be completed in the first quarter, would slash its
smelting capacity by 84,000 tonnes.
One of three potlines at the Massena East operations was
shuttered in August (
amm.com, Aug. 14
). Alcoa declined to reveal
whether shutting the other two potlines would result in the
permanent shutdown of the Massena East plant. All we are
announcing is the permanent closure of the remaining two
potlines, a company spokeswoman told AMM in an e-mail
The company also declined to disclose how workers would be
affected by the shutdown.
We will work with the local unions to minimize the impact
on jobs, the spokeswoman said.
The shutdown is expected to cost $60 million to $70 million in
restructuring charges in the first quarter, the company said.
Alcoa said it will continue to run its Massena West facilities.
The West plant produces 800,000 pounds of molten aluminum
daily, according to the companys website.
Alcoa, which last year said it aimed to cut up to 460,000
tonnes of smelter capacity in response to swooning aluminum
amm.com, May 1
), has announced capacity closures
or curtailments of 361,000 tonnes since May.
Once the potlines are shutdown at Massena East, Alcoa will have
operating smelting capacity of nearly 4 million tonnes, with
655,000 tonnes of capacity idle, the company said.
Alcoa broke ground on work to upgrade its operations in
Massena, including the planned construction of a new potline at
the Massena East facility in July (
amm.com, July 2
There are no changes to the overall modernization project
schedule at Massena East, the spokeswoman said. "We will
conduct a financial review at the end of 2015 and move forward
subject to board approval.