AFL Automotive to Restructure Mexican Operations.Business Editors PITTSBURGH--(BUSINESS WIRE)--May 21, 2004 Alcoa today announced that its Alcoa Fujikura Ltd. (AFL AFL: see American Federation of Labor and Congress of Industrial Organizations. ) Automotive operations will reorganize its operations in Piedras Negras Piedras Negras, ancient city, Guatemala Piedras Negras (pyā`thräs nā`gräs) [Span.,=black stones], ruined city of the Classic era of the Maya, NW Petén, Guatemala, in the Usumacinta valley. and Torreon, Coahuila, Mexico. This adjustment is necessary to maintain the competitiveness in the markets in which the company operates as a result of reduced production. This restructuring will happen in June of this year, resulting in the permanent reduction of approximately 1,300 positions in Torreon and 1,050 positions in Piedras Negras. The operations of AFL Automotive in Mexico employ approximately 24,000 associates (4,464 in Piedras Negras and 4,139 in Torreon), and produce, and distribute electrical distribution systems and other products for the North American North American named after North America. North American blastomycosis see North American blastomycosis. North American cattle tick see boophilusannulatus. light and heavy vehicle markets. Jose Alvarado, AFL Automotive - Mexico Vice-President, said, "This difficult decision is the result of the competitive conditions of the global market, and the actions in Piedras Negras and Torreon are necessary to adjust AFL capacity to better match demand." AFL Automotive recognizes the impact that this workforce reduction will have on the lives of its employees, their families, and the community at large. Full severance, in addition to a combination of outplacement out·place·ment n. The process of facilitating a terminated employee's search for a new job by provision of professional services, such as counseling, paid for by the former employer. and transition support services support services Psychology Non-health care-related ancillary services–eg, transportation, financial aid, support groups, homemaker services, respite services, and other services , will be made available to all affected employees. Alcoa is the world's leading producer of primary aluminum, fabricated aluminum and alumina, 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 vinyl siding Wikipedia is not the place for advertisement or self-advertising. Vinyl siding, first introduced to the exterior cladding market in the late 1950s, is an alternative to aluminum siding, fiber cement siding, and timber siding. , closures, fastening systems, precision castings, and electrical distribution systems for cars and trucks. The company has 120,000 employees in 41 countries and has been a member of the Dow Jones Industrial Average Dow Jones Industrial Average The best known U.S. index of stocks. A price-weighted average of 30 actively traded blue-chip stocks, primarily industrials including stocks that trade on the New York Stock Exchange. for 45 years and the Dow Jones Dow Jones the best known of several U.S. indexes of movements in price on Wall Street. [Am. Hist.: Payton, 202] See : Finance Sustainability Indexes since 2001. More information can be found at www.alcoa.com Forward Looking Statement Certain statements in this release relate to future events and expectations and as such constitute forward-looking statements involving known and unknown risks and uncertainties that may cause actual results, performance or achievements of Alcoa to be different from those expressed or implied in the forward-looking statements. Important factors that could cause actual results to differ materially from those in the forward-looking statements include (a) the company's inability to complete or to complete in the anticipated timeframe pending divestitures, acquisitions or expansion projects or to realize the projected amount of proceeds from divestitures, (b) the company's inability to achieve the level of cost savings or productivity improvements anticipated by management, (c) unexpected changes in global economic, business, competitive, market and regulatory factors, and (d) the other risk factors summarized in Alcoa's 2003 Form 10-K Form 10-K A report required by the SEC from exchange-listed companies that provides for annual disclosure of certain financial information. Form 10-K See 10-K. Report and other SEC reports. |
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