Alcoa to cut 6,700 jobs worldwide

Tuesday, November 21st 2006, 4:44 pm
By: News On 6

PITTSBURGH (AP) Alcoa Inc. plans to cut 6,700 jobs worldwide over the next year as part of a plan to help boost profits, the aluminum maker said Tuesday.

The company also said it will form a joint venture with the Sapa Group of Norway's Orkla ASA that would combine its soft alloy extrusion business with Sapa's Profiles extruded aluminum business.

Alcoa's soft alloy extrusion business has about 6,400 employees in 22 plants in eight countries. Three of those plants, in Warren, Ohio; Tifton, Georgia; and Plant City, Florida, won't be in the new joint venture and will instead be sold, Alcoa said.

``Through the first three quarters of 2006, we have generated more earnings than in any full year in our company's history, and in order to continue to move forward, we now need to take the difficult but necessary restructuring steps that will continue to maximize profitability across the company,'' Alcoa Chairman and CEO Alain Belda said in a statement.

Alcoa has 129,000 employees in 44 countries.