Alcoa Master Contract Agreement Ratified By USW
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PITTSBURGH--(BUSINESS WIRE)--June 23, 2006--Alcoa (NYSE:AA) today announced a new 4-year labor agreement, covering approximately 9,000 employees at 15 locations, has been ratified by members of the United Steelworkers (USW).
"This new agreement improves the competitiveness of these locations, and is a good outcome for our employees, the company, the communities in which we operate, and for our customers," said Alain Belda, Alcoa Chairman and CEO. "Both sides put a great deal of work into this agreement, which includes creative solutions to the issues we faced entering negotiations.
"With these successful negotiations behind both of us, we will re-new our focus to improve operational performance with the tools of the Alcoa Business System as our guide," said Belda.
Alcoa will incur second quarter 2006 charges of approximately $0.04 per share associated with the ratification of the contract and costs related to the preparation for a potential work stoppage at the 15 master agreement plants.
Alcoa is the world's leading producer and manager of primary aluminum, fabricated aluminum and alumina facilities, and is active in all major aspects of the industry. Alcoa serves the aerospace, automotive, packaging, building and construction, commercial transportation and industrial markets, bringing design, engineering, production and other capabilities of Alcoa's businesses to customers. In addition to aluminum products and components, Alcoa also markets consumer brands including Reynolds Wrap(R) foils and plastic wraps, Alcoa(R) wheels, and Baco(R) household wraps. Among its other businesses are closures, fastening systems, precision castings, and electrical distribution systems for cars and trucks. The company has 129,000 employees in 43 countries and has been named one of the top most sustainable corporations in the world at the World Economic Forum in Davos, Switzerland. More information can be found at www.alcoa.com
