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Alcoa to close or curtail some smelting capacity : Report

Alcoa Inc. said it would close or curtail 164,000 metric tons of smelting capacity in Brazil and the U.S
The moves, which are part of a smelting-capacity review the world's largest aluminum producer announced in May, will be completed by the end of September, the company said
Alcoa will permanently close one potline--a crucial component of smelting operations--representing 40,000 metric tons at its Massena East plant in New York, and it will temporarily curtail 124,000 metric tons of capacity at facilities in Brazil
In general, the industry has been cutting back on production as it has struggled with a surfeit of supply and weak aluminum prices
"Aluminum prices, including premiums, have fallen to four-year lows and we continue to operate in an uncertain, volatile market," Bob Wilt, Alcoa's global primary products president, said
Alcoa in May placed 460,000 metric tons of smelting capacity under review, and, to date, 269,000 metric tons have been cut or curtailed, it said
With the New York and Brazil moves, the company will have 16%, or 646,800 metric tons of smelting capacity idle
Alcoa, which reported a wider second-quarter loss in July but still beat analyst expectations, said it expects total restructuring-related charges related to the New York and Brazil closure and curtailments to be between $5 million and $10 million after tax, or a penny a share, in the third quarter
In May, Alcoa said it was delaying the construction of a new potline at its Baie-Comeau smelter, now expecting it to launch in 2019, rather than 2016
At the same time, the company said it was shutting two of the plant's existing high-cost potlines
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