) announced that the company is using a very cost effective and
natural way of reforestation at its Juruti bauxite mine in Brazil.
The method is based on the theory of nucleation, where
reforestation is done using small dense nuclei of plants and
animals, which facilitate the arrival of other species.
At the Juruti mine, a modern nucleation method is applied, where
birds and other elements of nature help recover the soil rather
than the conventional method of reforestation. The nucleation
method uses lesser number of machineries leading to lesser usage of
diesel oil and low emissions.
The mine is pursuing a natural process, where artificial
shelters are provided for animals and conditions are such that
there is a natural regeneration of species, which attracts animals
and creates a food chain in the restoration process. The process is
quite eco friendly and saves costs. The Juruti mine is amongst the
first places in Brazil to use the nucleation method to conserve the
Alcoa released its first-quarter 2012 results in April. The
company reported earnings of 9 cents per share in the quarter in
contrast to a loss of 18 cents in the fourth quarter of 2011.
However, it came below the earnings of 27 cents a share recorded in
the first quarter of 2011.
Excluding restructuring charges and other items, Alcoa's profit
came in at 10 cents per share, beating the Zacks Consensus Estimate
of a loss of 4 cents per share. Higher production and volumes as
well as improved market conditions drove Alcoa's results.
Quarterly revenues inched up 0.3% sequentially to $6,006 million
and edged up 0.8% over the prior-year quarter, surpassing the Zacks
Consensus Estimate of $5,735 million. The increase in revenues was
driven by strong results in Global Rolled Products and Engineered
Products and Solutions.
For 2012, Alcoa expects global aerospace market to grow by 3
percentage points on a year-over-year basis to 13% to 14%. The
company also expects global growth for the automotive sector to be
in the range of 3%-7%, commercial transportation in the range of
1%-5%, packaging in the range of 2%-3%, building and construction
in the range of 2.5%-3.5%, and industrial gas turbine in the band
The company believes that there will be a deficit in global
aluminum supply in 2012. Besides, Alcoa reiterated its expectation
that aluminum demand will grow by 7% globally in the year.
Pennsylvania-based Alcoa Inc. is among the world's leading
producers of primary and fabricated aluminum and alumina. It
Aluminum Corporation Of China Limited
Currently, the stock maintains a Zacks #3 Rank, which translates
into a short-term (1 to 3 months) "Hold" rating. We have a
long-term "Neutral" recommendation on the shares of the
ALCOA INC (AA): Free Stock Analysis Report
ALUMINUM CP-ADR (ACH): Free Stock Analysis
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