Arconic launches as a standalone company
The separation of Alcoa into two standalone companies, Arconic Inc. and Alcoa Corporation, took effect November 1, 2016.
Alcoa has officially separated into two standalone companies. Arconic Inc. launched on November 1, 2016, specializing in multi-material innovation, precision engineering and advanced manufacturing.
Last year, the businesses that comprise Arconic recorded revenues of approximately $12.5 billion.
“Today we launch Arconic as a strong independent company,” said Arconic Chairman and CEO Klaus Kleinfeld. “Our multi-year transformation while part of Alcoa Inc. substantially improved our competitiveness and profitability. Today, we are very well positioned as a leader in attractive markets. Our culture combines driving innovation with a relentless focus on operational excellence and cost control; this positions Arconic to create significant value for our customers and profitable growth for our shareholders.”
The new company has positioned itself as a development partner in all sectors it serves.
Within aerospace, which accounts for approximately 40 per cent of total revenues, the company develops and manufactures high performance, engineered products and solutions for airframe structures and aeroengines.
The company can supply over 90 per cent of the components within the jet engine, and it is a leader in structural parts for both metallic and carbon fiber reinforced plastic (CFRP) aircraft.
In the North American automotive market, the company invented the bonding process to enable the mass-market shift from steel to aluminum, and it is today at the forefront of capturing growing demand for aluminum sheet as the industry shifts to light-weighting.
Across its North American automotive portfolio, the company expects revenues to grow six-fold, from $229 million in 2013 to $1.3 billion in 2018.
The separation of Alcoa Inc. into two standalone companies – Arconic Inc. and Alcoa Corporation – took effect through a pro rata distribution by Arconic Inc. of 80.1 per cent of the outstanding shares of the newly-formed Alcoa Corporation.