Alcoa posts $2.3 billion 4Q loss on write-downs
Source: AP-Excite
By DAVID KOENIG
DALLAS (AP) - Alcoa Inc. (AA) reported a $2.34 billion fourth-quarter loss on Thursday as low aluminum prices caused it to write down the value of acquisitions made more than a decade ago.
Without the huge charges, the company posted an adjusted profit that still fell short of Wall Street expectations. Its 5 percent revenue decline was less severe than analysts had forecast.
Shares slipped 4 percent to $10.26 in aftermarket trading. They fell 14 cents to end the regular session at $10.69.
Alcoa is struggling with a worldwide glut of aluminum that is creating stubbornly weak prices - in the quarter, the company received an average price that was 7 percent lower than it got a year earlier. The company has idled one-sixth of its smelting capacity and could make more cuts.
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Read more: http://apnews.excite.com/article/20140109/DAB7J7203.html
This is the Alcoa headquarters building in Pittsburgh, Thursday, Jan. 9, 2014. Alcoa Inc. was dragged to a $2.34 billion loss in the fourth quarter of 2013 on big write-downs for old acquisitions of smelting operations and other one-time items. Low aluminum prices also hurt. A year earlier, the company earned $242 million. (AP Photo/Gene J. Puskar)
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...through collusion between Goldman Sachs and JP Morgan. Who are now being sued for antitrust violations and investigated by the SEC (as if that meant anything) and have likely suspended their shenanigans for the duration. Thus, making aluminum prices crater.
- I'm sure The Robber Barons are making money from this as well......
K&R