Alcoa Corp CHESS Depositary Receipt (AAI)

Overview

Alcoa Corporation, incorporated as Alcoa Upstream Corporation before rebranding in October 2016, is a global leader in the production and sale of bauxite, alumina, and aluminum products. With a rich history dating back to 1886, Alcoa has established a formidable presence in the metals sector, boasting operations across the United States, Spain, Australia, Iceland, Norway, Brazil, Canada, and other international markets. The company operates through two primary segments, Alumina and Aluminum, encompassing a comprehensive range of operations from bauxite mining to alumina processing, and aluminum smelting to casting. Headquartered in Pittsburgh, Pennsylvania, Alcoa Corporation leverages its extensive network and diversified operations to cater to a broad spectrum of industrial, transportation, building, construction, and packaging markets globally.

Products and Services

• Bauxite and Alumina: These are the foundational materials for aluminum production. Alcoa engages in bauxite mining operations and converts bauxite into alumina, which it then sells to customers. These customers further process the alumina into industrial chemical products. This vertical integration allows Alcoa to control the quality of the raw materials and offer a steady supply to the market.
• Primary Aluminum: Alcoa produces primary aluminum in the form of alloy ingot or value-add ingot. This product is primarily supplied to manufacturers that produce consumer and industrial goods for the transportation, building and construction, packaging, wire, and other industrial markets. The versatility of aluminum makes it essential across various applications, underpinning the demand for Alcoa’s primary aluminum products.
• Flat-Rolled Aluminum: This product includes aluminum sheeting sold primarily to manufacturers of beverage and food cans. The flat-rolled aluminum segment underscores Alcoa’s capacity to cater to the packaging industry, emphasizing sustainability and recycling benefits that aluminum offers over other packaging materials.
• Hydropower: Beyond bauxite, alumina, and aluminum, Alcoa Corporation owns and operates hydro power plants, leveraging renewable resources to generate and sell electricity. This electricity is sold in the wholesale market to a variety of customers, including traders, large industrial consumers, distribution companies, and other generation companies. This not only diversifies Alcoa's offerings but also highlights its commitment to sustainable energy practices.