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New Alcan CEO slashes production, jobs
ANDY HOFFMAN
From Wednesday's Globe and Mail
January 20, 2009 at 8:34 PM EST
She hasn't even officially started her new job yet, but Jacynthe Côté is already wielding the axe at Rio Tinto Alcan, cutting production and Canadian jobs as the aluminum giant faces a crash in metal prices.
Set to take over as chief executive officer on Feb. 1, Ms. Côté had the unpleasant task Tuesday of announcing 1,100 layoffs, including 300 in her native Quebec. About 220 of the job losses will come from the company's aging Beauharnois smelter, which is closing permanently.
The Montreal-based company's new leader is well acquainted with Beauharnois; she managed the smelter for three years in the 1990s.
“It's challenging. When I was offered the [CEO] role I knew which market conditions we were in. So I have taken that decision with my eyes absolutely wide open,” Ms. Côté said in an interview.
“I am a strong believer that the planet will recover, our industry will recover and so will we,” she said.
Right now, however, the aluminum industry is on the verge of collapse. The global economic slowdown and a recession in the United States have devastated demand, particularly from China.
theglobeandmail.com |
