Idiot Inc.

Ruthless coverage of bad business news

about | subscribe | contact
idiot inc. executives planning dumb business moves

Latest bad news

  • Idiot Links: November 19, 2008
  • Estée Lauder cancels holiday party
  • Boeing bombs 800 jobs in Kansas
  • CEO/Chairman of Applied Biosystems dumps stock before merger
  • MPC files for bankruptcy
  • TiVo lays off secret number of employees

Idiot Index view full list  >>

American Airlines Boeing Chrysler Circuit City Citigroup eBay Ford Gannett General Growth Properties GGP GlaxoSmithKline GM Lehman Brothers Microsoft Pilgrims Pride Starbucks Time Warner Wachovia WaMu Yahoo!

Links

  • Business Pundit
  • Dealbreaker
  • Drudge Report
  • Finviz
  • Firefox
  • INO
  • My Finance Times
  • Wall Street Fighter

Categories

  • Bankruptcies
  • Brainy Ideas
  • Busted
  • Company Memos
  • Downfalls
  • Idiot Links
  • Layoffs
  • Look at Me!
  • Power Struggles
  • Stock Market
  • Videos
  • Whoops!

Layoffs, Look at Me!

Alcoa blames power company for 660 layoffs; power company hits back

September 30, 2008

AlcoaAluminum smelter Alcoa has announced that it will be firing 660 at its Rockdale plant. Company flack Kevin Lower blamed the problem on Luminant, Alcoa’s power company:

“When you’re running an aluminum smelter, power needs to be online for 24 hours a day, 7 days a week, 365 days a year, for 50 years… But it would be offline, then online, then offline, then online. It was like a yo-yo.”

Luminant accepted a small amount of responsibility, but also blasted Alcoa’s claim to pieces in this prepared statement:

“We had some outages, but we made several alternative arrangements to get them reasonably priced power, and they didn’t take advantage of that… We believe Alcoa has a history of using layoffs like this as a vehicle for managing costs and driving the company’s profitability. Alcoa should acknowledge its independent decisions instead of blaming power supply issues and unspecified ‘market conditions”

Find out more: Houston Chronicle

More on this topic (What's this?)
How to Profit In Volatile Earnings Season (Contrarian Profits, 10/9/08)
Alcoa’s Bloodbath (Hard Assets Investor, 10/9/08)
Trading Earnings: After AA reports, Investors Might Need a Drink. (TheCorrectCall, 10/3/08)
Read more on Alcoa at Wikinvest
Posted in Layoffs, Look at Me! by Jacopo Kane
Say something mean >

Starring: Alcoa, Luminant
Participate:
  • Discuss this
  • Submit a tip
  • RSS subscribe
Related stories:
  • Alcoa earnings drop 50% — who will they blame this time?
  • Explosion rocks The Planet datacenter
  • Secretive Blackwater lays off undisclosed number of employees
  • Dell sued by former HR ladies
  • Layoffs could be in the cards for struggling eBay

Discussion

  1. Alcoa earnings drop 50% — who will they blame this time? | Idiot Inc. wrote:
    8. October 2008 at 8:55 am :

    [...] — the aluminum smelter that blamed the power company for layoffs — has just seen its 3rd quarter profits drop by 52%. The company has suspended its stock [...]

•

Leave a comment

Basic HTML allowed/

“This is an act of mercy....truly” - Francis Urquhart
About    |    © Copyrights are for the paranoid    |    RSS    |    Contact    |    Sitemap