BUSINESS BRIEFING / ALUMINUM
Times Wire Reports
For the first time in more than a quarter-century, Alcoa Inc. is slashing its quarterly dividend as part of a plan to lower costs and bulk up its cash cushion amid the recession.
In addition to the 82% dividend cut, the Pittsburgh aluminum maker said it expected to sell $1.1 billion worth of stock and debt and reduce annual costs by more than $2.4 billion by 2010.
The announcement, made after the stock market closed, follows news in January that Alcoa plans to lay off about 13% of its global workforce by the end of 2009, further cut production and spending, and sell four of its subsidiaries.
