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FACTBOX: Alcoa actions to counter economic downturn
NEW YORK (Reuters) - Following are the actions announced by Alcoa Inc on Tuesday to address the economic downturn:
* Primary aluminum smelting cuts to reduce output by more than 750,000 tonnes per year, or 18 percent of annualized output.
* Alumina production to be cut to a total of 1.5 million tonnes per year.
* Total headcount cut by more than 13,500, or 13 percent of Alcoa's worldwide workforce, by the end of 2009.
* An additional 1,700 contractor positions will be eliminated.
* A global salary and hiring freeze.
* Procurement action to lower costs for energy, coke, caustic soda and aluminum fluoride.
* Initiatives to secure raw materials from alternate suppliers.
* Divesting four non-core downstream businesses: Electrical and Electronic Systems; Global Foil; Cast Auto Wheels; and Transportation Products Europe.
* Cutting capital expenditures in 2009 by half to $1.8 billion.
* Cost reductions in global primary metals and alumina operations, affecting approximately 2,600 employee and contractor positions.
* Restructuring and downsizing of Mill Products businesses in Europe and North America resulting in reduction of 900 positions.
* Elimination of 235 positions in the U.S. and Europe in Alcoa's global hard alloy extrusion production operations.
* Realignment of Russian operations affecting 18 percent of workforce. (No number given)
* Planned sale of Electrical and Electronic Systems will reduce positions across North America and Europe by 6,500.
* Exiting the auto cast wheel business and consolidation of the Beloit, Wisconsin facility employing 265 by June 1, 2009.
* Alignment of Power and Propulsion business has resulted in the layoff of 1,100 people.
* Elimination of 260 corporate staff and contractor positions.
(Editing by Andre Grenon)
