Kaiser Aluminum Posts Lower Profit

Kaiser Aluminum Corp., a Houston-based manufacturer that operates two Spokane factories, Tuesday reported lower earnings and sales for the second quarter because of soft market prices and problems at facilities outside Spokane.

Kaiser posted net income of $8.2 million, or 9 cents per common share, on sales of $567.6 million, for the quarter ended June 30.

That compares with net income of $23.3 million, or 31 cents per share, on sales of $583.4 million for the same period last year.

Officials blamed the results on lower shipments of alumina and operating problems at Kaiser alumina refineries in Jamaica and Louisiana.

Market prices for primary aluminum also were below last year’s levels, and customers reduced demand for can sheet and other fabricated aluminum products.

Kaiser employs 2,600 people at its Mead aluminum smelter and Trentwood flat-rolled products mill.

Kaiser’s parent company, Maxxam Inc. in Houston, posted earnings of $16.9 million on sales of $667.7 million for the second quarter, compared with net income of $25.4 million on sales of $673.3 million for the same quarter last year.

, DataTimes