Alcoa won’t seek more funding

Company News

Alcoa Inc (ASX:AAI) says it will not request any more government funding for its loss-making Point Henry aluminium smelter in Victoria, raising the prospect of closure this year, according to media reports.
 
The company’s national communications manager Nichola Holgate told media Alcoa is not seeking any additional assistance.
 
Alcoa received $40 million in aid in 2012, with the Gillard government’s cash coming on the proviso the smelter remained open until at least June 2014.
 
An internal review of the plant currently underway, with a decision on its future is expected in March. 
 
Analysts say the closure of the operation is almost certain, impacting more than 500 workers.
 
Alcoa delivered a net profit of $23.7 million in the third quarter of fiscal 2013.