Alcoa streamlines business

The aluminum firm Alcoa Corp., New York City, has announced plans to consolidate its business units to reduce complexity and streamline operations. Effective immediately, Alcoa says its aluminum smelting, cast products and rolled products businesses, along with the majority of its energy segment assets, will be combined into a new Alcoa Aluminum business unit. With the consolidation, Alcoa will operate with three business units: Alcoa Bauxite, Alcoa Alumina and Alcoa Aluminum.

“Our strategic goals include reducing complexity, driving returns to create stockholder value and strengthening the balance sheet,” says Roy Harvey, Alcoa CEO. “Streamlining our number of business units is aligned with those goals, and will increase our operational agility, lower costs and promote more efficient internal coordination. We will continue to review our company structure and processes to ensure that Alcoa remains resilient through all market cycles.”

Tim Reyes, president of Alcoa Cast Products, which produces differentiated aluminum products, has been named president of the new Alcoa Aluminum business unit.

“Tim has a strong track record of commercial, operational and strategic success that makes him ideally suited to head the new Aluminum business unit,” says Harvey. “At Cast Products, he has enhanced its financial performance, improved safety, productivity, operational costs and employee engagement. He also led the innovation of differentiated products for end market customers, including a new line of sustainable aluminum products. That customer focus, combined with his operational and commercial background, will be invaluable in his new role.”

With the restructuring, Martin Briere, president of Aluminum since 2014 and with Alcoa Inc. from 2007, will leave the company.