ALCOA CORP, 10-Q filed on 8/2/2024
Quarterly Report
v3.24.2.u1
Document and Entity Information - shares
 6 Months Ended
Jun. 30, 2024
Aug. 01, 2024
Document Information [Line Items]    
Document Type 10-Q  
Amendment Flag false  
Document Period End Date Jun. 30, 2024  
Document Fiscal Year Focus 2024  
Document Fiscal Period Focus Q2  
Trading Symbol AA  
Entity Registrant Name ALCOA CORP  
Entity Central Index Key 0001675149  
Entity File Number 1-37816  
Entity Incorporation, State or Country Code DE  
Entity Tax Identification Number 81-1789115  
Entity Address, Address Line One 201 Isabella Street  
Entity Address, Address Line Two Suite 500  
Entity Address, City or Town Pittsburgh  
Entity Address, State or Province PA  
Entity Address, Postal Zip Code 15212-5858  
City Area Code 412  
Local Phone Number 315-2900  
Current Fiscal Year End Date --12-31  
Entity Current Reporting Status Yes  
Entity Filer Category Large Accelerated Filer  
Entity Small Business false  
Entity Emerging Growth Company false  
Entity Shell Company false  
Entity Interactive Data Current Yes  
Title of 12(b) Security Common Stock, par value $0.01 per share  
Security Exchange Name NYSE  
Document Quarterly Report true  
Document Transition Report false  
Common Stock, Par Value $0.01 Per Share {Member]    
Document Information [Line Items]    
Entity Common Stock, Shares Outstanding   258,340,140
Series A Convertible Preferred Stock, Par Value $0.01 Per Share [Member]    
Document Information [Line Items]    
Entity Common Stock, Shares Outstanding   4,041,989
v3.24.2.u1
Statement of Consolidated Operations (unaudited) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2024
Jun. 30, 2023
Income Statement [Abstract]        
Sales (E) $ 2,906 $ 2,684 $ 5,505 $ 5,354
Cost of goods sold (exclusive of expenses below) 2,533 2,515 4,937 4,919
Selling, general administrative, and other expenses 69 52 129 106
Research and development expenses 13 6 24 16
Provision for depreciation, depletion, and amortization 163 153 324 306
Restructuring and other charges, net (D) 18 24 220 173
Interest expense 40 27 67 53
Other (income) expenses, net (P) (22) 6 37 60
Total costs and expenses 2,814 2,783 5,738 5,633
Consolidated income (loss) before income taxes 92 (99) (233) (279)
Provision for income taxes 61 22 43 74
Net income (loss) 31 (121) (276) (353)
Less: Net income (loss) attributable to noncontrolling interest 11 (19) (44) (20)
NET INCOME (LOSS) ATTRIBUTABLE TO ALCOA CORPORATION $ 20 $ (102) $ (232) $ (333)
EARNINGS PER SHARE ATTRIBUTABLE TO ALCOA CORPORATION COMMON SHAREHOLDERS (F):        
Basic $ 0.11 $ (0.57) $ (1.29) $ (1.87)
Diluted $ 0.11 $ (0.57) $ (1.29) $ (1.87)
v3.24.2.u1
Statement of Consolidated Comprehensive Income (unaudited) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2024
Jun. 30, 2023
Statement of Comprehensive Income [Abstract]        
NET INCOME (LOSS) ATTRIBUTABLE TO ALCOA CORPORATION $ 20 $ (102) $ (232) $ (333)
Net income (loss), Noncontrolling interest 11 (19) (44) (20)
Net income (loss) 31 (121) (276) (353)
Change in unrecognized net actuarial gain/loss and prior service cost/benefit related to pension and other postretirement benefits, Alcoa Corporation 13 10 22 14
Change in unrecognized net actuarial gain/loss and prior service cost/benefit related to pension and other postretirement benefits, Noncontrolling interest 5 (2) 6 (2)
Change in unrecognized net actuarial gain/loss and prior service cost/benefit related to pension and other postretirement benefits 18 8 28 12
Foreign currency translation adjustments, Alcoa Corporation (60) 25 (182) 27
Foreign currency translation adjustments, Noncontrolling interest (16) 11 (70) 26
Foreign currency translation adjustments (76) 36 (252) 53
Net change in unrecognized gains/losses on cash flow hedges, Alcoa Corporation (62) 226 68 104
Net change in unrecognized gains/losses on cash flow hedges, Noncontrolling interest (1) 0 (1) 0
Net change in unrecognized gains/losses on cash flow hedges (63) 226 67 104
Total Other comprehensive (loss) income, net of tax, Alcoa Corporation (109) 261 (92) 145
Total Other comprehensive (loss) income, net of tax, Noncontrolling interest (12) 9 (65) 24
Total Other comprehensive (loss) income, net of tax (121) 270 (157) 169
Comprehensive (loss) income , Alcoa Corporation (89) 159 (324) (188)
Comprehensive (loss) income , Noncontrolling interest (1) (10) (109) 4
Comprehensive (loss) income $ (90) $ 149 $ (433) $ (184)
v3.24.2.u1
Consolidated Balance Sheet (unaudited) - USD ($)
$ in Millions
Jun. 30, 2024
Dec. 31, 2023
Dec. 31, 2022
Current assets:      
Cash and cash equivalents (M) $ 1,396 $ 944  
Receivables from customers (I) 939 656  
Other receivables 135 152  
Inventories (J) 1,975 2,158  
Fair value of derivative instruments (M) 38 29  
Prepaid expenses and other current assets 420 466  
Total current assets 4,903 4,405  
Properties, plants, and equipment 19,999 20,381  
Less: accumulated depreciation, depletion, and amortization 13,496 13,596  
Properties, plants, and equipment, net 6,503 6,785  
Investments (H) 989 979  
Deferred income taxes 311 333  
Fair value of derivative instruments (M) 0 3  
Other noncurrent assets 1,601 1,650  
Total assets 14,307 14,155  
Current liabilities:      
Accounts payable, trade 1,619 1,714  
Accrued compensation and retirement costs 358 357  
Taxes, including income taxes 119 88  
Fair value of derivative instruments (M) 251 214  
Other current liabilities 740 578  
Long-term debt due within one year (K & M) 79 79  
Total current liabilities 3,166 3,030  
Long-term debt, less amount due within one year (K & M) 2,469 1,732  
Accrued pension benefits (L) 264 278  
Accrued other postretirement benefits (L) 427 443  
Asset retirement obligations 699 772  
Environmental remediation (O) 191 202  
Fair value of derivative instruments (M) 951 1,092  
Noncurrent income taxes 133 193  
Other noncurrent liabilities and deferred credits 591 568  
Total liabilities 8,891 8,310  
CONTINGENCIES AND COMMITMENTS (O)  
Alcoa Corporation shareholders’ equity:      
Common stock 2 2  
Additional capital 9,196 9,187  
Accumulated deficit (1,562) (1,293)  
Accumulated other comprehensive loss (G) (3,737) (3,645)  
Total Alcoa Corporation shareholders’ equity 3,899 4,251  
Noncontrolling interest 1,517 1,594  
Total equity 5,416 5,845 $ 6,589
Total liabilities and equity $ 14,307 $ 14,155  
v3.24.2.u1
Statement of Consolidated Cash Flows (unaudited) - USD ($)
$ in Millions
 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
CASH FROM OPERATIONS    
Net loss $ (276) $ (353)
Adjustments to reconcile net loss to cash from operations:    
Depreciation, depletion, and amortization 324 306
Deferred income taxes (75) (36)
Equity (income) loss, net of dividends (8) 123
Restructuring and other charges, net (D) 220 173
Net loss from investing activities - asset sales (P) 17 19
Net periodic pension benefit cost (L) 5 2
Stock-based compensation 22 21
(Gain) loss on mark-to-market derivative financial contracts (19) 4
Other 31 59
Changes in assets and liabilities, excluding effects of divestitures and foreign currency translation adjustments:    
(Increase) decrease in receivables (283) 71
Decrease in inventories 157 22
Decrease in prepaid expenses and other current assets 23 63
Decrease in accounts payable, trade (57) (277)
Decrease in accrued expenses (30) (48)
Increase (decrease) in taxes, including income taxes 70 (146)
Pension contributions (L) (10) (9)
Decrease (increase) in noncurrent assets 25 (66)
Decrease in noncurrent liabilities (72) (104)
CASH PROVIDED FROM (USED FOR) OPERATIONS 64 (176)
FINANCING ACTIVITIES    
Additions to debt 989 25
Payments on debt (266) (16)
Proceeds from the exercise of employee stock options 0 1
Dividends paid on Alcoa common stock (37) (36)
Payments related to tax withholding on stock-based compensation awards (15) (34)
Financial contributions for the divestiture of businesses (C) (12) (25)
Contributions from noncontrolling interest 65 122
Distributions to noncontrolling interest (32) (22)
Other (13) 1
CASH PROVIDED FROM FINANCING ACTIVITIES 679 16
INVESTING ACTIVITIES    
Capital expenditures (265) (198)
Proceeds from the sale of assets 2 2
Additions to investments (17) (36)
Other (1) 10
CASH USED FOR INVESTING ACTIVITIES (281) (222)
EFFECT OF EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS AND RESTRICTED CASH (16) 5
Net change in cash and cash equivalents and restricted cash 446 (377)
Cash and cash equivalents and restricted cash at beginning of year 1,047 1,474
CASH AND CASH EQUIVALENTS AND RESTRICTED CASH AT END OF PERIOD $ 1,493 $ 1,097
v3.24.2.u1
Statement of Changes in Consolidated Equity (unaudited) - USD ($)
$ in Millions
Total
Common Stock [Member]
Additional Capital [Member]
Accumulated Deficit [Member]
Accumulated other comprehensive (loss) income [Member]
Non-controlling Interest [Member]
Balance at Dec. 31, 2022 $ 6,589 $ 2 $ 9,183 $ (570) $ (3,539) $ 1,513
Net income (loss) (232)     (231)   (1)
Other comprehensive income (loss) (G) (101)       (116) 15
Stock-based compensation 10   10      
Net effect of tax withholding for compensation plans and exercise of stock options (33)   (33)      
Dividends paid on Alcoa common stock ($0.10 per share) (18)     (18)    
Contributions 86         86
Distributions (6)         (6)
Other 1   2     (1)
Balance at Mar. 31, 2023 6,296 2 9,162 (819) (3,655) 1,606
Balance at Dec. 31, 2022 6,589 2 9,183 (570) (3,539) 1,513
Net income (loss) (353)          
Other comprehensive income (loss) (G) 169          
Balance at Jun. 30, 2023 6,458 2 9,173 (939) (3,394) 1,616
Balance at Mar. 31, 2023 6,296 2 9,162 (819) (3,655) 1,606
Net income (loss) (121)     (102)   (19)
Other comprehensive income (loss) (G) 270       261 9
Stock-based compensation 11   11      
Dividends paid on Alcoa common stock ($0.10 per share) (18)     (18)    
Contributions 36         36
Distributions (16)         (16)
Balance at Jun. 30, 2023 6,458 2 9,173 (939) (3,394) 1,616
Balance at Dec. 31, 2023 5,845 2 9,187 (1,293) (3,645) 1,594
Net income (loss) (307)     (252)   (55)
Other comprehensive income (loss) (G) (36)       17 (53)
Stock-based compensation 10   10      
Net effect of tax withholding for compensation plans and exercise of stock options (15)   (15)      
Dividends paid on Alcoa common stock ($0.10 per share) (19)     (19)    
Contributions 61         61
Distributions (6)         (6)
Other 1   2     (1)
Balance at Mar. 31, 2024 5,534 2 9,184 (1,564) (3,628) 1,540
Balance at Dec. 31, 2023 5,845 2 9,187 (1,293) (3,645) 1,594
Net income (loss) (276)          
Other comprehensive income (loss) (G) (157)          
Balance at Jun. 30, 2024 5,416 2 9,196 (1,562) (3,737) 1,517
Balance at Mar. 31, 2024 5,534 2 9,184 (1,564) (3,628) 1,540
Net income (loss) 31     20   11
Other comprehensive income (loss) (G) (121)       (109) (12)
Stock-based compensation 12   12      
Dividends paid on Alcoa common stock ($0.10 per share) (18)     (18)    
Contributions 4         4
Distributions (26)         (26)
Balance at Jun. 30, 2024 $ 5,416 $ 2 $ 9,196 $ (1,562) $ (3,737) $ 1,517
v3.24.2.u1
Statement of Changes in Consolidated Equity (unaudited) (Parenthetical) - $ / shares
 3 Months Ended
Jun. 30, 2024
Mar. 31, 2024
Jun. 30, 2023
Mar. 31, 2023
Statement of Stockholders' Equity [Abstract]        
Common stock dividends per share $ 0.1 $ 0.1 $ 0.1 $ 0.1
v3.24.2.u1
Pay vs Performance Disclosure - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2024
Jun. 30, 2023
Pay vs Performance Disclosure        
Net Income (Loss) $ 20 $ (102) $ (232) $ (333)
v3.24.2.u1
Insider Trading Arrangements
 3 Months Ended
Jun. 30, 2024
Trading Arrangements, by Individual  
Rule 10b5-1 Arrangement Adopted false
Non-Rule 10b5-1 Arrangement Adopted false
Rule 10b5-1 Arrangement Terminated false
Non-Rule 10b5-1 Arrangement Terminated false
v3.24.2.u1
Basis of Presentation
 6 Months Ended
Jun. 30, 2024
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Basis of Presentation

A. Basis of Presentation – The interim Consolidated Financial Statements of Alcoa Corporation and its subsidiaries (Alcoa Corporation, Alcoa, or the Company) are unaudited. These Consolidated Financial Statements include all adjustments, consisting only of normal recurring adjustments, considered necessary by management to fairly state the Company’s results of operations, financial position, and cash flows. The results reported in these Consolidated Financial Statements are not necessarily indicative of the results that may be expected for the entire year. The 2023 year-end balance sheet data was derived from audited financial statements but does not include all disclosures required by accounting principles generally accepted in the United States of America (GAAP). This Quarterly Report on Form 10-Q should be read in conjunction with the Company’s Annual Report on Form 10-K for the year ended December 31, 2023, which includes disclosures required by GAAP.

In accordance with GAAP, certain situations require management to make estimates based on judgments and assumptions, which may affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements. They also may affect the reported amounts of revenues and expenses during the reporting periods. Management uses historical experience and all available information to make these estimates. Management regularly evaluates the judgments and assumptions used in its estimates, and results could differ from those estimates upon future events and their effects or new information.

Principles of Consolidation. The Consolidated Financial Statements of Alcoa Corporation include the accounts of Alcoa Corporation and companies in which Alcoa Corporation has a controlling interest, including those that comprise the Alcoa World Alumina & Chemicals (AWAC) joint venture (see below). Intercompany transactions have been eliminated. The equity method of accounting is used for investments in affiliates and other joint ventures over which Alcoa Corporation has significant influence but does not have effective control. Investments in affiliates in which Alcoa Corporation cannot exercise significant influence are accounted for at cost less any impairment, a measurement alternative in accordance with GAAP.

AWAC is an unincorporated global joint venture between Alcoa Corporation and Alumina Limited and consists of several affiliated operating entities, which own, have an interest in, or operate the bauxite mines and alumina refineries within Alcoa Corporation’s Alumina segment (except for the Poços de Caldas mine and refinery and portions of the São Luís refinery, all in Brazil) and a portion (55%) of the Portland smelter (Australia) within Alcoa Corporation’s Aluminum segment. Alcoa Corporation owns 60% and Alumina Limited owns 40% of these individual entities, which are consolidated by the Company for financial reporting purposes and include Alcoa of Australia Limited (AofA), Alcoa World Alumina LLC (AWA), Alcoa World Alumina Brasil Ltda. (AWAB), and Alúmina Española, S.A. (Española). Alumina Limited’s interest in the equity of such entities is reflected as Noncontrolling interest on the accompanying Consolidated Balance Sheet. On August 1, 2024, the Company completed the acquisition of Alumina Limited (see Note C).
v3.24.2.u1
Recently Adopted and Recently Issued Accounting Guidance
 6 Months Ended
Jun. 30, 2024
Accounting Standards Update and Change in Accounting Principle [Abstract]  
Recently Adopted and Recently Issued Accounting Guidance

B. Recently Adopted and Recently Issued Accounting Guidance

In December 2023, the Financial Accounting Standards Board (FASB) issued Accounting Standard Update (ASU) No. 2023-09 which includes changes to income tax disclosures, including greater disaggregation of information in the rate reconciliation and disclosure of taxes paid by jurisdiction. The guidance is effective for annual periods beginning after December 15, 2024. Early adoption is permitted. The adoption of this guidance will provide enhanced disclosures regarding income taxes and will not have a material impact on the Company’s financial statements.

In November 2023, the FASB issued ASU 2023-07 which requires disclosure of significant segment expenses regularly provided to the chief operating decision maker (CODM), other segment items (not included in significant segment expenses for each reportable segment), the title and position of the CODM, and an explanation of how the CODM uses the reported measure of segment profit or loss to assess segment performance and allocate resources. The adoption of this guidance will not have a material impact on the Company’s financial statements and will provide enhanced disclosures regarding reportable segments beginning in the Company’s Annual Report on Form 10-K for the year ended December 31, 2024.
v3.24.2.u1
Acquisitions and Divestitures
 6 Months Ended
Jun. 30, 2024
Business Combinations [Abstract]  
Acquisition and Divestitures

C. Acquisitions and Divestitures

Alumina Limited Acquisition

On August 1, 2024, Alcoa completed the acquisition of all of the ordinary shares of Alumina Limited (Alumina Shares) through a wholly owned subsidiary, AAC Investments Australia 2 Pty Ltd. Alumina Limited holds a 40% ownership interest in the AWAC joint venture. The acquisition is intended to enhance Alcoa’s position as a leading pure play, upstream aluminum company globally, while simplifying the Company’s corporate structure and governance, resulting in greater operational flexibility and strategic optionality.

Under the Scheme Implementation Deed (the Agreement) entered into in March 2024, as amended in May 2024, holders of Alumina Shares received 0.02854 Alcoa CHESS Depositary Interests (CDIs) for each Alumina Share (the Agreed Ratio), except that i) holders of Alumina Shares represented by American Depositary Shares, each of which represented 4 Alumina Shares, received 0.02854 shares of Alcoa common stock and ii) a certain shareholder received, for certain of their Alumina Shares, 0.02854 shares of Alcoa non-voting convertible preferred stock. The Alcoa CDIs are quoted on the Australian Stock Exchange.

At closing, Alumina Shares outstanding of 2,760,056,014 and 141,625,403 were exchanged for 78,772,422 and 4,041,989 shares of Alcoa common stock and Alcoa preferred stock, respectively. Based on Alcoa’s closing share price as of July 26, 2024, the Agreed Ratio implies a value of A$1.45 per Alumina Share and aggregate purchase consideration of approximately $2,800 for Alumina Limited.

The transaction consisted in substance of the acquisition of Alumina Limited’s noncontrolling interest in AWAC, the assumption of Alumina Limited’s indebtedness (approximately $385 as of August 1, 2024, see Note K), and the recognition of deferred tax assets (approximately $100, see Note N) related to Alumina Limited’s prior net operating losses. The increase in ownership in AWAC from 60% to 100%, as well as the assumption of Alumina Limited’s assets and liabilities, will be accounted for as an equity transaction under ASC 810, Consolidation, with the difference in purchase consideration and the net assets acquired recognized as an increase in total Alcoa Corporation shareholders’ equity. The accounting for the transaction is not yet complete and the final value of assets and liabilities acquired is subject to change. Additionally, as of June 30, 2024, the Company recognized transaction costs of $9 in Prepaid expenses and other current assets, which will be reclassified to Additional capital as of August 1, 2024.

Under the terms of the Agreement, Alcoa agreed to provide a shareholder loan to AWAC in place of required capital contributions by Alumina Limited if Alumina Limited’s net debt position exceeded $420 prior to the acquisition closing. Alcoa was not required to and did not provide any shareholder loans to AWAC under this provision.

Warrick Rolling Mill Divestiture

In conjunction with the sale of its rolling mill located at Warrick Operations (Warrick Rolling Mill) in March 2021, the Company recorded estimated liabilities for site separation commitments.

The Company recorded charges of $4 and $15 in the second quarter and the six-month period of 2024, respectively, in Other (income) expenses, net on the accompanying Statement of Consolidated Operations related to these commitments. During the second quarter and the six-month period of 2024, the Company spent $5 and $12 against the reserve, respectively.

In the six-month period of 2023, the Company recorded a charge of $17 in Other (income) expenses, net on the accompanying Statement of Consolidated Operations related to these commitments. During the second quarter and six-month period of 2023, the Company spent $11 and $25 against the reserve, respectively.

The remaining balance of $14 at June 30, 2024 is expected to be spent in 2024.
v3.24.2.u1
Restructuring and Other Charges, Net
 6 Months Ended
Jun. 30, 2024
Restructuring and Related Activities [Abstract]  
Restructuring and Other Charges, Net

D. Restructuring and Other Charges, Net

 

In the second quarter and the six-month period of 2024, Alcoa Corporation recorded Restructuring and other charges, net, of $18 and $220, respectively, which were primarily comprised of:

•
A charge of $8 and $205, respectively, for the curtailment of the Kwinana (Australia) refinery; and,
•
A charge of $8 and $12, respectively, for take-or-pay contract costs at the closed Wenatchee (Washington) smelter.

 

In June 2024, Alcoa completed the full curtailment of the Kwinana refinery, as planned, which was announced in January 2024. As of March 2024, the refinery had approximately 780 employees and this number will be reduced to approximately 250 in the third quarter of 2024 to manage certain processes that will continue until about the third quarter of 2025. At that time, the employee number will be further reduced to approximately 50. In addition to the employees separating as a result of the curtailment, approximately 150 employees will either terminate through the productivity program announced in the third quarter of 2023 or redeploy to other Alcoa operations. Charges related to the curtailment totaled $205 in the six-month period of 2024 and included charges of $129 for water management costs, $41 for severance and employee termination costs for the separation of approximately 580 employees, $15 for asset retirement obligations, $13 for take-or-pay contracts, $5 for asset impairments and $2 for contract terminations. Related cash outlays of approximately $225 (which includes existing employee related liabilities and asset retirement obligations) are expected through 2025, with approximately $145 to be spent in 2024. The Company spent $22 and $24 against the reserve in the second quarter and six-month period of 2024, respectively.

In the second quarter and the six-month period of 2023, Alcoa Corporation recorded Restructuring and other charges, net, of $24 and $173, respectively, which were primarily comprised of:

•
A charge of $101 (six-month period only) for asset impairments and to establish reserves for environmental, demolition and employee severance costs related to the permanent closure of the Intalco (Washington) aluminum smelter;
•
A charge of $47 (six-month period only) for increased reserves for certain employee obligations related to the updated agreement for the San Ciprián (Spain) aluminum smelter; and,
•
A charge of $21 (both periods) related to the settlement of certain pension benefits.

In March 2023, Alcoa Corporation announced the closure of the Intalco aluminum smelter, which had been fully curtailed since 2020. The Company recorded charges of $117 related to the closure, including a charge of $16 in Cost of goods sold on the Statement of Consolidated Operations to write-down remaining inventories to net realizable value and a charge of $101 in Restructuring and other charges, net on the Statement of Consolidated Operations. The restructuring charges were comprised of asset impairments of $50, environmental and demolition obligation reserves of $50, and severance and employee termination costs of $1 for the separation of approximately 12 employees. Cash outlays related to the permanent closure of the site are expected to be $85 over the next three years with approximately $45 to be spent in 2024. The Company spent $9 and $13 against the reserve in the second quarter and six-month period of 2024, respectively.

In February 2023, the Company reached an updated viability agreement with the workers’ representatives of the San Ciprián smelter to commence the restart process in phases beginning in January 2024. The smelter was curtailed in January 2022 as a result of an agreement reached with the workers’ representatives in December 2021. Under the terms of the updated viability agreement, the Company is responsible for certain employee obligations during 2023 through 2025 and made additional commitments for capital improvements of $78. The Company recorded charges of $47 in Restructuring and other charges, net on the Statement of Consolidated Operations to establish the related reserve for employee obligations in the six month period of 2023. Cash outlays related to employee obligations are expected to be $47 through 2025, with approximately $36 to be spent in 2024. The Company spent $9 and $18 against the reserve in the second quarter and six-month period of 2024, respectively. At June 30, 2024, the Company had restricted cash of $86 to be made available for remaining capital improvement commitments at the site of $111 and smelter restart costs of $32 for both the agreement reached with the worker’s representatives in December 2021 and the updated viability agreement in February 2023. Restricted cash is included in Prepaid expenses and other current assets and Other noncurrent assets on the Consolidated Balance Sheet (see Note P).

Alcoa Corporation does not include Restructuring and other charges, net in the results of its reportable segments. The impact of allocating such charges to segment results would have been as follows:

 

 

 

Second quarter ended
June 30,

 

 

Six months ended
June 30,

 

 

 

2024

 

 

2023

 

 

2024

 

 

2023

 

Alumina

 

$

8

 

 

$

1

 

 

$

205

 

 

$

2

 

Aluminum

 

 

—

 

 

 

19

 

 

 

—

 

 

 

165

 

Segment total

 

 

8

 

 

 

20

 

 

 

205

 

 

 

167

 

Corporate

 

 

10

 

 

 

4

 

 

 

15

 

 

 

6

 

Total Restructuring and other charges, net

 

$

18

 

 

$

24

 

 

$

220

 

 

$

173

 

 

Activity and reserve balances for restructuring charges were as follows:

 

 

 

Severance
and
employee
termination
costs

 

 

Other
costs

 

 

Total

 

Balance at December 31, 2022

 

$

1

 

 

$

116

 

 

$

117

 

Restructuring and other charges, net

 

 

11

 

 

 

55

 

 

 

66

 

Cash payments

 

 

(6

)

 

 

(118

)

 

 

(124

)

Reversals and other

 

 

—

 

 

 

4

 

 

 

4

 

Balance at December 31, 2023

 

 

6

 

 

 

57

 

 

 

63

 

Restructuring and other charges, net

 

 

43

 

 

 

156

 

 

 

199

 

Cash payments

 

 

(1

)

 

 

(55

)

 

 

(56

)

Reversals and other

 

 

1

 

 

 

3

 

 

 

4

 

Balance at June 30, 2024

 

$

49

 

 

$

161

 

 

$

210

 

The activity and reserve balances include only Restructuring and other charges, net that impacted the reserves for Severance and employee termination costs and Other costs. Restructuring and other charges, net that affected other liability accounts such as Accrued pension benefits (see Note L), Asset retirement obligations, and Environmental remediation (see Note O) are excluded from the above activity and balances. Reversals and other includes reversals of previously recorded liabilities and foreign currency translation impacts.

The noncurrent portion of the reserve was $22 and $15 at June 30, 2024 and December 31, 2023, respectively.
v3.24.2.u1
Segment Information
 6 Months Ended
Jun. 30, 2024
Segment Reporting [Abstract]  
Segment Information

E. Segment Information – Alcoa Corporation is a producer of bauxite, alumina, and aluminum products. The Company has two operating and reportable segments: (i) Alumina and (ii) Aluminum. Segment performance under Alcoa Corporation’s management reporting system is evaluated based on a number of factors; however, the primary measure of performance is the Adjusted EBITDA (Earnings before interest, taxes, depreciation, and amortization) for each segment. The Company calculates Segment Adjusted EBITDA as Total sales (third-party and intersegment) minus the following items: Cost of goods sold; Selling, general administrative, and other expenses; and Research and development expenses. Alcoa Corporation’s Segment Adjusted EBITDA may not be comparable to similarly titled measures of other companies. The CODM function regularly reviews the financial information, including Adjusted EBITDA, of these two operating segments to assess performance and allocate resources.

The operating results of Alcoa Corporation’s reportable segments were as follows (differences between segment totals and consolidated amounts are in Corporate):

 

 

 

 

Alumina

 

 

Aluminum

 

 

Total

 

Second quarter ended June 30, 2024

 

 

 

 

 

 

 

 

 

 

Sales:

 

 

 

 

 

 

 

 

 

 

Third-party sales

 

 

$

1,010

 

 

$

1,895

 

 

$

2,905

 

Intersegment sales

 

 

 

457

 

 

 

3

 

 

 

460

 

Total sales

 

 

$

1,467

 

 

$

1,898

 

 

$

3,365

 

Segment Adjusted EBITDA

 

 

$

186

 

 

$

233

 

 

$

419

 

Supplemental information:

 

 

 

 

 

 

 

 

 

 

Depreciation, depletion, and amortization

 

 

$

90

 

 

$

68

 

 

$

158

 

Equity income

 

 

$

2

 

 

$

21

 

 

$

23

 

Second quarter ended June 30, 2023

 

 

 

 

 

 

 

 

 

 

Sales:

 

 

 

 

 

 

 

 

 

 

Third-party sales

 

 

$

894

 

 

$

1,788

 

 

$

2,682

 

Intersegment sales

 

 

 

397

 

 

 

4

 

 

 

401

 

Total sales

 

 

$

1,291

 

 

$

1,792

 

 

$

3,083

 

Segment Adjusted EBITDA

 

 

$

33

 

 

$

110

 

 

$

143

 

Supplemental information:

 

 

 

 

 

 

 

 

 

 

Depreciation, depletion, and amortization

 

 

$

80

 

 

$

68

 

 

$

148

 

Equity loss

 

 

$

(11

)

 

$

(16

)

 

$

(27

)

 

 

 

 

Alumina

 

 

Aluminum

 

 

Total

 

Six months ended June 30, 2024

 

 

 

 

 

 

 

 

 

 

Sales:

 

 

 

 

 

 

 

 

 

 

Third-party sales

 

 

$

1,971

 

 

$

3,533

 

 

$

5,504

 

Intersegment sales

 

 

 

852

 

 

 

7

 

 

 

859

 

Total sales

 

 

$

2,823

 

 

$

3,540

 

 

$

6,363

 

Segment Adjusted EBITDA

 

 

$

325

 

 

$

283

 

 

$

608

 

Supplemental information:

 

 

 

 

 

 

 

 

 

 

Depreciation, depletion, and amortization

 

 

$

177

 

 

$

136

 

 

$

313

 

Equity (loss) income

 

 

$

(9

)

 

$

23

 

 

$

14

 

Six months ended June 30, 2023

 

 

 

 

 

 

 

 

 

 

Sales:

 

 

 

 

 

 

 

 

 

 

Third-party sales

 

 

$

1,751

 

 

$

3,598

 

 

$

5,349

 

Intersegment sales

 

 

 

818

 

 

 

7

 

 

 

825

 

Total sales

 

 

$

2,569

 

 

$

3,605

 

 

$

6,174

 

Segment Adjusted EBITDA

 

 

$

136

 

 

$

294

 

 

$

430

 

Supplemental information:

 

 

 

 

 

 

 

 

 

 

Depreciation, depletion, and amortization

 

 

$

157

 

 

$

138

 

 

$

295

 

Equity loss

 

 

$

(28

)

 

$

(73

)

 

$

(101

)

The following table reconciles Total Segment Adjusted EBITDA to Consolidated net income (loss) attributable to Alcoa Corporation:

 

 

Second quarter ended
June 30,

 

 

Six months ended
June 30,

 

 

 

2024

 

 

2023

 

 

2024

 

 

2023

 

Total Segment Adjusted EBITDA

 

$

419

 

 

$

143

 

 

$

608

 

 

$

430

 

Unallocated amounts:

 

 

 

 

 

 

 

 

 

 

 

 

Transformation(1)

 

 

(16

)

 

 

(17

)

 

 

(30

)

 

 

(25

)

Intersegment eliminations

 

 

(29

)

 

 

31

 

 

 

(37

)

 

 

23

 

Corporate expenses(2)

 

 

(41

)

 

 

(24

)

 

 

(75

)

 

 

(54

)

Provision for depreciation, depletion, and amortization

 

 

(163

)

 

 

(153

)

 

 

(324

)

 

 

(306

)

Restructuring and other charges, net (D)

 

 

(18

)

 

 

(24

)

 

 

(220

)

 

 

(173

)

Interest expense

 

 

(40

)

 

 

(27

)

 

 

(67

)

 

 

(53

)

Other income (expenses), net (P)

 

 

22

 

 

 

(6

)

 

 

(37

)

 

 

(60

)

Other(3)

 

 

(42

)

 

 

(22

)

 

 

(51

)

 

 

(61

)

Consolidated income (loss) before income taxes

 

 

92

 

 

 

(99

)

 

 

(233

)

 

 

(279

)

Provision for income taxes

 

 

(61

)

 

 

(22

)

 

 

(43

)

 

 

(74

)

Net (income) loss attributable to noncontrolling interest

 

 

(11

)

 

 

19

 

 

 

44

 

 

 

20

 

Consolidated net income (loss) attributable to Alcoa Corporation

 

$

20

 

 

$

(102

)

 

$

(232

)

 

$

(333

)

 

(1)
Transformation includes, among other items, the Adjusted EBITDA of previously closed operations.
(2)
Corporate expenses are composed of general administrative and other expenses of operating the corporate headquarters and other global administrative facilities, as well as research and development expenses of the corporate technical center.
(3)
Other includes certain items that are not included in the Adjusted EBITDA of the reportable segments.

The following table details Alcoa Corporation’s Sales by product division:

 

 

 

Second quarter ended
June 30,

 

 

Six months ended
June 30,

 

 

 

2024

 

 

2023

 

 

2024

 

 

2023

 

Aluminum

 

$

1,934

 

 

$

1,824

 

 

$

3,595

 

 

$

3,670

 

Alumina

 

 

904

 

 

 

774

 

 

 

1,794

 

 

 

1,488

 

Energy

 

 

29

 

 

 

26

 

 

 

62

 

 

 

54

 

Bauxite

 

 

96

 

 

 

109

 

 

 

157

 

 

 

236

 

Other(1)

 

 

(57

)

 

 

(49

)

 

 

(103

)

 

 

(94

)

 

$

2,906

 

 

$

2,684

 

 

$

5,505

 

 

$

5,354

 

 

 

 

 

 

 

 

 

 

 

 

 

 
(1)
Other includes realized gains and losses related to embedded derivative instruments designated as cash flow hedges of forward sales of aluminum.
v3.24.2.u1
Earnings Per Share
 6 Months Ended
Jun. 30, 2024
Earnings Per Share [Abstract]  
Earnings Per Share

F. Earnings Per Share – Basic earnings per share (EPS) amounts are computed by dividing earnings by the average number of common shares outstanding. Diluted EPS amounts assume the issuance of common stock for all potentially dilutive share equivalents outstanding.

The share information used to compute basic and diluted EPS attributable to Alcoa Corporation common shareholders was as follows (shares in millions):

 

 

 

Second quarter ended
June 30,

 

 

Six months ended
June 30,

 

 

 

2024

 

 

2023

 

 

2024

 

 

2023

 

Net income (loss) attributable to Alcoa Corporation

 

$

20

 

 

$

(102

)

 

$

(232

)

 

$

(333

)

Average shares outstanding – basic

 

 

180

 

 

 

178

 

 

 

179

 

 

 

178

 

Effect of dilutive securities:

 

 

 

 

 

 

 

 

 

 

 

 

Stock options

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Stock units

 

 

1

 

 

 

—

 

 

 

—

 

 

 

—

 

Average shares outstanding – diluted

 

 

181

 

 

 

178

 

 

 

179

 

 

 

178

 

In the six-month period of 2024, basic average shares outstanding and diluted average shares outstanding were the same because the effect of potential shares of common stock was anti-dilutive. Had Alcoa generated net income in the six-month period of 2024, two million common share equivalents related to three million outstanding stock units and stock options combined would have been included in diluted average shares outstanding for the period.

In the second quarter and six-month period of 2023, basic average shares outstanding and diluted average shares outstanding were the same because the effect of potential shares of common stock was anti-dilutive. Had Alcoa generated net income in the second quarter or six-month period of 2023, two million and three million common share equivalents, respectively, related to three million outstanding stock units and stock options combined would have been included in diluted average shares outstanding for the periods.
v3.24.2.u1
Accumulated Other Comprehensive Loss
 6 Months Ended
Jun. 30, 2024
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract]  
Accumulated Other Comprehensive Loss

G. Accumulated Other Comprehensive Loss

The following table details the activity of the three components that comprise Accumulated other comprehensive loss for both Alcoa Corporation’s shareholders and Noncontrolling interest:

 

 

 

Alcoa Corporation

 

 

Noncontrolling interest

 

 

 

Second quarter ended
June 30,

 

 

Second quarter ended
June 30,

 

 

 

2024

 

 

2023

 

 

2024

 

 

2023

 

Pension and other postretirement benefits (L)

 

 

 

 

 

 

 

 

 

 

 

 

Balance at beginning of period

 

$

9

 

 

$

66

 

 

$

(14

)

 

$

(5

)

Other comprehensive income (loss):

 

 

 

 

 

 

 

 

 

 

 

 

Unrecognized net actuarial gain/loss and
   prior service cost/benefit

 

 

10

 

 

 

(18

)

 

 

7

 

 

 

(2

)

Tax (expense) benefit(2)

 

 

(2

)

 

 

8

 

 

 

(2

)

 

 

—

 

Total Other comprehensive income (loss)
   before reclassifications, net of tax

 

 

8

 

 

 

(10

)

 

 

5

 

 

 

(2

)

Amortization of net actuarial gain/loss and
   prior service cost/benefit(1)

 

 

5

 

 

 

26

 

 

 

—

 

 

 

—

 

Tax expense(2)

 

 

—

 

 

 

(6

)

 

 

—

 

 

 

—

 

Total amount reclassified from Accumulated
   other comprehensive loss, net of tax(7)

 

 

5

 

 

 

20

 

 

 

—

 

 

 

—

 

Total Other comprehensive income (loss)

 

 

13

 

 

 

10

 

 

 

5

 

 

 

(2

)

Balance at end of period

 

$

22

 

 

$

76

 

 

$

(9

)

 

$

(7

)

 

 

 

 

 

 

 

 

 

 

 

 

 

Foreign currency translation

 

 

 

 

 

 

 

 

 

 

 

 

Balance at beginning of period

 

$

(2,715

)

 

$

(2,683

)

 

$

(1,037

)

 

$

(1,025

)

Other comprehensive (loss) income

 

 

(60

)

 

 

25

 

 

 

(16

)

 

 

11

 

Balance at end of period

 

$

(2,775

)

 

$

(2,658

)

 

$

(1,053

)

 

$

(1,014

)

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash flow hedges (M)

 

 

 

 

 

 

 

 

 

 

 

 

Balance at beginning of period

 

$

(922

)

 

$

(1,038

)

 

$

—

 

 

$

1

 

Other comprehensive (loss) income:

 

 

 

 

 

 

 

 

 

 

 

 

Net change from periodic revaluations

 

 

(153

)

 

 

241

 

 

 

—

 

 

 

—

 

Tax benefit (expense)(2)

 

 

31

 

 

 

(38

)

 

 

—

 

 

 

—

 

Total Other comprehensive (loss) income
   before reclassifications, net of tax

 

 

(122

)

 

 

203

 

 

 

—

 

 

 

—

 

Net amount reclassified to earnings:

 

 

 

 

 

 

 

 

 

 

 

 

Aluminum contracts(3)

 

 

75

 

 

 

33

 

 

 

—

 

 

 

—

 

Financial contracts(4)

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Interest rate contracts(5)

 

 

(1

)

 

 

(3

)

 

 

(1

)

 

 

—

 

Foreign exchange contracts(6)

 

 

—

 

 

 

(3

)

 

 

—

 

 

 

—

 

Sub-total

 

 

74

 

 

 

27

 

 

 

(1

)

 

 

—

 

Tax expense(2)

 

 

(14

)

 

 

(4

)

 

 

—

 

 

 

—

 

Total amount reclassified from Accumulated
   other comprehensive loss, net of tax(7)

 

 

60

 

 

 

23

 

 

 

(1

)

 

 

—

 

Total Other comprehensive (loss) income

 

 

(62

)

 

 

226

 

 

 

(1

)

 

 

—

 

Balance at end of period

 

$

(984

)

 

$

(812

)

 

$

(1

)

 

$

1

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total Accumulated other comprehensive loss

 

$

(3,737

)

 

$

(3,394

)

 

$

(1,063

)

 

$

(1,020

)

 

 

 

 

Alcoa Corporation

 

 

Noncontrolling interest

 

 

 

Six months ended
June 30,

 

 

Six months ended
June 30,

 

 

 

2024

 

 

2023

 

 

2024

 

 

2023

 

Pension and other postretirement benefits (L)

 

 

 

 

 

 

 

 

 

 

 

 

Balance at beginning of period

 

$

—

 

 

$

62

 

 

$

(15

)

 

$

(5

)

Other comprehensive income (loss):

 

 

 

 

 

 

 

 

 

 

 

 

Unrecognized net actuarial gain/loss and
   prior service cost/benefit

 

 

14

 

 

 

(18

)

 

 

7

 

 

 

(2

)

Tax (expense) benefit(2)

 

 

(3

)

 

 

8

 

 

 

(2

)

 

 

—

 

Total Other comprehensive income (loss)
   before reclassifications, net of tax

 

 

11

 

 

 

(10

)

 

 

5

 

 

 

(2

)

Amortization of net actuarial gain/loss and
   prior service cost/benefit(1)

 

 

11

 

 

 

30

 

 

 

1

 

 

 

—

 

Tax expense(2)

 

 

—

 

 

 

(6

)

 

 

—

 

 

 

—

 

Total amount reclassified from Accumulated
   other comprehensive loss, net of tax(7)

 

 

11

 

 

 

24

 

 

 

1

 

 

 

—

 

Total Other comprehensive income (loss)

 

 

22

 

 

 

14

 

 

 

6

 

 

 

(2

)

Balance at end of period

 

$

22

 

 

$

76

 

 

$

(9

)

 

$

(7

)

 

 

 

 

 

 

 

 

 

 

 

 

 

Foreign currency translation

 

 

 

 

 

 

 

 

 

 

 

 

Balance at beginning of period

 

$

(2,593

)

 

$

(2,685

)

 

$

(983

)

 

$

(1,040

)

Other comprehensive (loss) income

 

 

(182

)

 

 

27

 

 

 

(70

)

 

 

26

 

Balance at end of period

 

$

(2,775

)

 

$

(2,658

)

 

$

(1,053

)

 

$

(1,014

)

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash flow hedges (M)

 

 

 

 

 

 

 

 

 

 

 

 

Balance at beginning of period

 

$

(1,052

)

 

$

(916

)

 

$

—

 

 

$

1

 

Other comprehensive (loss) income:

 

 

 

 

 

 

 

 

 

 

 

 

Net change from periodic revaluations

 

 

(36

)

 

 

54

 

 

 

—

 

 

 

—

 

Total Other comprehensive (loss) income
   before reclassifications, net of tax

 

 

(36

)

 

 

54

 

 

 

—

 

 

 

—

 

Net amount reclassified to earnings:

 

 

 

 

 

 

 

 

 

 

 

 

Aluminum contracts(3)

 

 

132

 

 

 

94

 

 

 

—

 

 

 

—

 

Financial contracts(4)

 

 

—

 

 

 

(20

)

 

 

—

 

 

 

—

 

Interest rate contracts(5)

 

 

(1

)

 

 

(2

)

 

 

(1

)

 

 

—

 

Foreign exchange contracts(6)

 

 

(4

)

 

 

(8

)

 

 

—

 

 

 

—

 

Sub-total

 

 

127

 

 

 

64

 

 

 

(1

)

 

 

—

 

Tax expense(2)

 

 

(23

)

 

 

(14

)

 

 

—

 

 

 

—

 

Total amount reclassified from Accumulated
   other comprehensive loss, net of tax(7)

 

 

104

 

 

 

50

 

 

 

(1

)

 

 

—

 

Total Other comprehensive income (loss)

 

 

68

 

 

 

104

 

 

 

(1

)

 

 

—

 

Balance at end of period

 

$

(984

)

 

$

(812

)

 

$

(1

)

 

$

1

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total Accumulated other comprehensive loss

 

$

(3,737

)

 

$

(3,394

)

 

$

(1,063

)

 

$

(1,020

)

 

(1)
These amounts were included in the computation of net periodic benefit cost for pension and other postretirement benefits (see Note L).
(2)
These amounts were reported in Provision for income taxes on the accompanying Statement of Consolidated Operations.
(3)
These amounts were reported in Sales on the accompanying Statement of Consolidated Operations.
(4)
These amounts were reported in Cost of goods sold on the accompanying Statement of Consolidated Operations.
(5)
These amounts were reported in Other (income) expenses, net on the accompanying Statement of Consolidated Operations.
(6)
For the second quarter and six-month period of 2024, these amounts were reported in Sales (both periods) on the accompanying Statement of Consolidated Operations. For the second quarter and six-month period of 2023, $4 was reported in Cost of goods sold (both periods) and $(7) and $(12) were reported in Sales, respectively, on the accompanying Statement of Consolidated Operations.
(7)
A positive amount indicates a corresponding charge to earnings and a negative amount indicates a corresponding benefit to earnings.
v3.24.2.u1
Investments
 6 Months Ended
Jun. 30, 2024
Equity Method Investments and Joint Ventures [Abstract]  
Investments

H. Investments – A summary of unaudited financial information for Alcoa Corporation’s equity investments is as follows (amounts represent 100% of investee financial information):

 

Second quarter ended June 30, 2024

 

Saudi Arabia
Joint Venture

 

 

Mining

 

 

Energy

 

 

Other

 

Sales

 

$

804

 

 

$

158

 

 

$

59

 

 

$

114

 

Cost of goods sold

 

 

613

 

 

 

104

 

 

 

25

 

 

 

104

 

Net income (loss)

 

 

102

 

 

 

14

 

 

 

29

 

 

 

(20

)

Equity in net income (loss) of affiliated companies,
   before reconciling adjustments

 

 

26

 

 

 

6

 

 

 

11

 

 

 

(9

)

Other

 

 

(4

)

 

 

—

 

 

 

—

 

 

 

12

 

Alcoa Corporation’s equity in net income of
   affiliated companies

 

 

22

 

 

 

6

 

 

 

11

 

 

 

3

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Second quarter ended June 30, 2023

 

 

 

 

 

 

 

 

 

 

 

 

Sales

 

$

700

 

 

$

172

 

 

$

59

 

 

$

116

 

Cost of goods sold

 

 

620

 

 

 

101

 

 

 

32

 

 

 

106

 

Net (loss) income

 

 

(99

)

 

 

14

 

 

 

22

 

 

 

(33

)

Equity in net (loss) income of affiliated companies,
   before reconciling adjustments

 

 

(25

)

 

 

6

 

 

 

9

 

 

 

(15

)

Other

 

 

(3

)

 

 

1

 

 

 

1

 

 

 

7

 

Alcoa Corporation’s equity in net (loss) income of
   affiliated companies

 

 

(28

)

 

 

7

 

 

 

10

 

 

 

(8

)

 

 

 

 

 

 

 

 

 

 

 

 

 

Six months ended June 30, 2024

 

 

 

 

 

 

 

 

 

 

 

 

Sales

 

$

1,515

 

 

$

273

 

 

$

122

 

 

$

229

 

Cost of goods sold

 

 

1,212

 

 

 

207

 

 

 

50

 

 

 

209

 

Net income (loss)

 

 

94

 

 

 

9

 

 

 

60

 

 

 

(36

)

Equity in net income (loss) of affiliated companies,
   before reconciling adjustments

 

 

24

 

 

 

4

 

 

 

23

 

 

 

(17

)

Other

 

 

(12

)

 

 

—

 

 

 

(1

)

 

 

7

 

Alcoa Corporation’s equity in net income (loss) of
   affiliated companies

 

 

12

 

 

 

4

 

 

 

22

 

 

 

(10

)

 

 

 

 

 

 

 

 

 

 

 

 

 

Six months ended June 30, 2023

 

 

 

 

 

 

 

 

 

 

 

 

Sales

 

$

1,300

 

 

$

359

 

 

$

117

 

 

$

237

 

Cost of goods sold

 

 

1,302

 

 

 

204

 

 

 

59

 

 

 

219

 

Net (loss) income

 

 

(351

)

 

 

38

 

 

 

46

 

 

 

(49

)

Equity in net (loss) income of affiliated companies,
   before reconciling adjustments

 

 

(88

)

 

 

17

 

 

 

18

 

 

 

(23

)

Other

 

 

(15

)

 

 

1

 

 

 

1

 

 

 

—

 

Alcoa Corporation’s equity in net (loss) income of
   affiliated companies

 

 

(103

)

 

 

18

 

 

 

19

 

 

 

(23

)

 

The Company’s basis in the ELYSISTM Limited Partnership (ELYSIS) as of June 30, 2024 and 2023, included in Other in the table above, has been reduced to zero for its share of losses incurred to date. As a result, the Company has $66 in unrecognized losses as of June 30, 2024 that will be recognized upon additional contributions into the partnership.

The results for the Saudi Arabia joint venture for the six-month period of 2023 include an adjustment to the estimate for the settlement of a dispute with an industrial utility for periods in 2021 and 2022. Alcoa’s share of this adjustment is $41 which is included in Other (income) expenses, net on the Statement of Consolidated Operations for the six-month period of 2023. Alcoa’s total share of this dispute of $62 includes $21 that was recorded in the fourth quarter of 2022.

v3.24.2.u1
Receivables
 6 Months Ended
Jun. 30, 2024
Receivables [Abstract]  
Receivables

I. Receivables

In 2023, a wholly-owned special purpose entity (SPE) of the Company entered into and subsequently amended an agreement with a financial institution to sell up to $130 of certain customer receivables without recourse on a revolving basis. The termination date of the agreement is November 14, 2024. Company subsidiaries sell customer receivables to the SPE, which then transfers the receivables to the financial institution. The Company does not maintain effective control over the transferred receivables, and therefore accounts for the transfers as sales of receivables.

Alcoa Corporation guarantees the performance obligations of the Company subsidiaries, and unsold customer receivables are pledged as collateral to the financial institution to secure the sold receivables. The SPE held unsold customer receivables of $239 and $104 pledged as collateral against the sold receivables as of June 30, 2024 and December 31, 2023, respectively.

The Company continues to service the customer receivables that were transferred to the financial institution. As Alcoa collects customer payments, the SPE transfers additional receivables to the financial institution rather than remitting cash.

In the second quarter of 2024, the Company sold gross customer receivables of $293 and reinvested collections of $293 from previously sold receivables, resulting in no net cash remittance to the financial institution. In the six-month period of 2024, the Company sold gross customer receivables of $600 and reinvested collections of $584 from previously sold receivables, resulting in net cash proceeds from the financial institution of $16.

In the second quarter of 2023, the Company sold gross customer receivables of $98 and reinvested collections of $104 from previously sold receivables, resulting in a net cash remittance to the financial institution of $6. In the six-month period of 2023, the Company sold gross customer receivables of $174 and reinvested collections of $127 from previously sold receivables, resulting in net cash proceeds from the financial institution of $47.

Cash collections from previously sold receivables yet to be reinvested of $89 and $99 were included in Accounts payable, trade on the accompanying Consolidated Balance Sheet as of June 30, 2024 and December 31, 2023, respectively. Cash received from sold receivables under the agreement are presented within operating activities in the Statement of Consolidated Cash Flows.
v3.24.2.u1
Inventories
 6 Months Ended
Jun. 30, 2024
Inventory Disclosure [Abstract]  
Inventories

J. Inventories

 

 

 

June 30, 2024

 

 

December 31, 2023

 

Finished goods

 

$

320

 

 

$

355

 

Work-in-process

 

 

268

 

 

 

287

 

Bauxite and alumina

 

 

530

 

 

 

586

 

Purchased raw materials

 

 

612

 

 

 

700

 

Operating supplies

 

 

245

 

 

 

230

 

 

 

$

1,975

 

 

$

2,158

 
v3.24.2.u1
Debt
 6 Months Ended
Jun. 30, 2024
Debt Disclosure [Abstract]  
Debt

K. Debt

Short-term Borrowings

Inventory Repurchase Agreements

The Company has entered into inventory repurchase agreements whereby the Company sold aluminum to a third party and agreed to subsequently repurchase substantially similar inventory. The Company did not record sales upon each shipment of inventory and the net cash received of $31 and $56 related to these agreements was recorded in Short-term borrowings within Other current liabilities on the Consolidated Balance Sheet as of June 30, 2024 and December 31, 2023, respectively. The associated inventory sold was reflected in Prepaid expenses and other current assets on the Consolidated Balance Sheet as of June 30, 2024 and December 31, 2023, respectively.

During the second quarter and six-month period of 2024, the Company recorded borrowings of $24 and $45, respectively, and repurchased $45 and $70, respectively, of inventory related to these agreements. During the second quarter and six-month period of 2023, the Company recorded borrowings of $25 (six-month period only) and repurchased $15 (both periods) of inventory related to these agreements.

The cash received and subsequently paid under the inventory repurchase agreements is included in Cash provided from financing activities on the Statement of Consolidated Cash Flows.

144A Debt

2031 Notes

In March 2024, Alcoa Nederland Holding B.V. (ANHBV), a wholly-owned subsidiary of Alcoa Corporation, completed a Rule 144A (U.S. Securities Act of 1933, as amended) debt issuance for $750 aggregate principal amount of 7.125% Senior Notes due 2031 (the 2031 Notes), which carry a green bond designation. The net proceeds of this issuance were $737, reflecting a discount to the initial purchasers of the 2031 Notes as well as issuance costs. The Company is utilizing the net proceeds to finance and/or refinance, in whole or in part, new and/or existing qualifying projects on a two-year look back and three-year look forward that meet certain eligibility criteria within its Green Finance Framework. The net proceeds also support the Company’s cash position and ongoing cash needs, including with respect to its previously announced portfolio actions.

The discount to the initial purchasers, as well as costs to complete the financing, were deferred and are being amortized to interest expense over the term of the 2031 Notes. Interest on the 2031 Notes is paid semi-annually in March and September, and interest payments will commence September 15, 2024. The indenture contains customary affirmative and negative covenants that are similar to those included in the indenture that governs ANHBV’s 4.125% Senior Notes due 2029 issued in March 2021, such as limitations on liens, limitations on sale and leaseback transactions, a prohibition on a reduction in the ownership of AWAC entities below an agreed level, and the calculation of certain financial ratios.

ANHBV has the option to redeem the 2031 Notes on at least 10 days, but not more than 60 days, notice to the holders of the 2031 Notes under multiple scenarios, including, in whole or in part, at any time or from time to time on and after March 15, 2027, at the applicable redemption price specified in the indenture (up to 103.563% of the principal amount plus any accrued and unpaid interest in each case). Also, the 2031 Notes are subject to repurchase upon the occurrence of a change in control repurchase event (as defined in the indenture) at a repurchase price in cash equal to 101% of the aggregate principal amount of the 2031 Notes repurchased, plus any accrued and unpaid interest on the 2031 Notes repurchased.

The 2031 Notes are guaranteed on a senior unsecured basis by the Company and its subsidiaries that are party to the indenture. The 2031 Notes rank equally in right of payment with all of ANHBV’s existing and future senior unsecured indebtedness, including the ANHBV’s senior notes with maturities in 2027, 2028 and 2029; rank senior in right of payment to any future subordinated obligations of ANHBV; and are effectively subordinated to ANHBV’s existing and future secured indebtedness, including under the Revolving Credit Agreement, to the extent of the value of property and assets securing such indebtedness. See Part II Item 8 of Alcoa Corporation’s Annual Report on Form 10-K in Note M to the Consolidated Financial Statements for the year ended December 31, 2023 for more information related to ANHBV’s existing debt and related covenants.

Credit Facilities

Revolving Credit Facility

The Company has a $1,250 revolving credit and letter of credit facility in place for working capital and/or other general corporate purposes (the Revolving Credit Facility). The Revolving Credit Facility, established in September 2016, amended and restated in June 2022 and amended in January 2024, is scheduled to mature in June 2027. Subject to the terms and conditions under the Revolving Credit Facility, the Company or ANHBV, a wholly-owned subsidiary of Alcoa Corporation, may borrow funds or issue letters of credit. Under the terms of the January 2024 amendment, the Company agreed to provide collateral for its obligations under the Revolving Credit Facility. See Part II Item 8 of Alcoa Corporation’s Annual Report on Form 10-K in Note M to the Consolidated Financial Statements for the year ended December 31, 2023 for more information on the Revolving Credit Facility.

As of June 30, 2024, the Company was in compliance with all financial covenants. The Company may access the entire amount of commitments under the Revolving Credit Facility. There were no borrowings outstanding at June 30, 2024 and December 31, 2023, and no amounts were borrowed during the second quarter and six-month periods of 2024 and 2023 under the Revolving Credit Facility.

Japanese Yen Revolving Credit Facility

The Company entered into a $250 revolving credit facility available to be drawn in Japanese yen (the Japanese Yen Revolving Credit Facility) in April 2023. The Japanese Revolving Credit Facility was amended in January 2024 and in April 2024 (see below) and is scheduled to mature in April 2025. Subject to the terms and conditions under the facility, the Company or ANHBV may borrow funds. The facility includes covenants that are substantially the same as those included in the Revolving Credit Facility. Under the current terms of the January 2024 amendment, the Company agreed to provide collateral for its obligations under the Japanese Yen Revolving Credit Facility. See Part II Item 8 of Alcoa Corporation’s Annual Report on Form 10-K in Note M to the Consolidated Financial Statements for the year ended December 31, 2023 for more information on the Japanese Yen Revolving Credit Facility.

As of June 30, 2024, the Company was in compliance with all financial covenants. The Company may access the entire amount of commitments under the Japanese Revolving Credit Facility. There were no borrowings outstanding at June 30, 2024 and December 31, 2023. During the second quarter of 2024, no amounts were borrowed. During the six-month period of 2024, $201 (29,686 JPY) was borrowed and $196 (29,686 JPY) was repaid. No amounts were borrowed during the second quarter and six-month period of 2023 under the Japanese Yen Revolving Credit Facility.

On April 26, 2024, the Company entered into an amendment extending the maturity of the Japanese Yen Revolving Credit Facility to April 2025.

 

Alumina Limited Revolving Credit Facility

In connection with the acquisition of Alumina Limited, the Company assumed approximately $385 of indebtedness as of August 1, 2024, representing the amount drawn on Alumina Limited’s revolving credit facility.

Alumina Limited has a $500 revolving credit facility with tranches maturing in October 2025 ($100), January 2026 ($150), July 2026 ($150), and June 2027 ($100). Alumina Limited’s facility contains a financial covenant limiting the incurrence of indebtedness. As of June 30, 2024, Alumina Limited was in compliance with such covenant and could access the remaining commitments under the facility.

Alumina Limited’s revolving credit facility also contains a clause that allows a majority of lenders, upon a change of control, to issue a notice to Alumina Limited requiring repayment within 90 business days of issuing the notice (the 90-day Notice). Alcoa has engaged with the facility lenders and the lenders have indicated their intention to delay issuing the 90-day Notice until at least December 1, 2024, providing additional time for Alcoa to consider potential repayment or refinancing options subsequent to the acquisition of Alumina Limited.
v3.24.2.u1
Pension and Other Postretirement Benefits
 6 Months Ended
Jun. 30, 2024
Retirement Benefits [Abstract]  
Pension and Other Postretirement Benefits

L. Pension and Other Postretirement Benefits

The components of net periodic benefit cost were as follows:

 

 

Second quarter ended
June 30,

 

 

Six months ended
June 30,

 

Pension benefits

 

2024

 

 

2023

 

 

2024

 

 

2023

 

Service cost

 

$

3

 

 

$

3

 

 

$

5

 

 

$

5

 

Interest cost(1)

 

 

27

 

 

 

29

 

 

 

54

 

 

 

60

 

Expected return on plan assets(1)

 

 

(35

)

 

 

(37

)

 

 

(70

)

 

 

(76

)

Recognized net actuarial loss(1)

 

 

8

 

 

 

7

 

 

 

16

 

 

 

14

 

Curtailments(2)

 

 

—

 

 

 

—

 

 

 

1

 

 

 

—

 

Settlements(2)

 

 

(1

)

 

 

21

 

 

 

(1

)

 

 

21

 

Net periodic benefit cost

 

$

2

 

 

$

23

 

 

$

5

 

 

$

24

 

 

 

 

Second quarter ended
June 30,

 

 

Six months ended
June 30,

 

Other postretirement benefits

 

2024

 

 

2023

 

 

2024

 

 

2023

 

Service cost

 

$

—

 

 

$

1

 

 

$

1

 

 

$

2

 

Interest cost(1)

 

 

6

 

 

 

7

 

 

 

12

 

 

 

13

 

Recognized net actuarial loss(1)

 

 

2

 

 

 

1

 

 

 

3

 

 

 

2

 

Amortization of prior service benefit(1)

 

 

(4

)

 

 

(4

)

 

 

(7

)

 

 

(7

)

Net periodic benefit cost

 

$

4

 

 

$

5

 

 

$

9

 

 

$

10

 

 

(1)
These amounts were reported in Other (income) expenses, net on the accompanying Statement of Consolidated Operations (see Note P).
(2)
These amounts were reported in Restructuring and other charges, net on the accompanying Statement of Consolidated Operations and Cash Flows.

Plan Actions. In 2024, management initiated the following actions to a certain pension plan:

Action #1 – On January 8, 2024, Alcoa announced the full curtailment of the Kwinana refinery. As a result, curtailment accounting was triggered within Alcoa’s Australian pension plan. The Company recorded a $1 decrease to Other noncurrent assets and recognized a curtailment loss of $1 ($0 after-tax) in Restructuring and other charges, net on the accompanying Statement of Consolidated Operations.

Action #2 – In the second quarter of 2024, settlement accounting and a related plan remeasurement was triggered within Alcoa’s Australian pension plan as a result of participants electing lump sum payments. Alcoa recorded a $19 increase to Other noncurrent assets and recognized a settlement gain of $1 ($0 after-tax) in Restructuring and other charges, net on the Statement of Consolidated Operations.

 

Action #

 

Number of
affected
plan
participants

 

Weighted
average
discount rate
as of prior plan remeasurement
date

 

Plan
remeasurement
date

 

Weighted
average
discount rate
as of plan
remeasurement
date

 

Increase (decrease) to
other noncurrent assets

 

 

Curtailment
loss(1)

 

 

Settlement gain(2)

 

1

 

~110

 

N/A

 

N/A

 

N/A

 

$

(1

)

 

$

1

 

 

$

—

 

2

 

~10

 

4.81%

 

June 30, 2024

 

5.23%

 

 

19

 

 

 

—

 

 

 

(1

)

 

 

~120

 

 

 

 

 

 

 

$

18

 

 

$

1

 

 

$

(1

)
(1)
This amount represents the net actuarial loss arising from the curtailment and was recognized immediately in Restructuring and other charges, net on the accompanying Statement of Consolidated Operations.
(2)
This amount represents the net actuarial gain and was reclassified from Accumulated other comprehensive loss to Restructuring and other charges, net on the accompanying Statement of Consolidated Operations.

Funding and Cash Flows. It is Alcoa’s policy to fund amounts for defined benefit pension plans sufficient to meet the minimum requirements set forth in each applicable country’s benefits laws and tax laws, including the Employee Retirement Income Security Act of 1974 (ERISA) for U.S. plans. From time to time, the Company contributes additional amounts as deemed appropriate.

Under ERISA regulations, a plan sponsor that establishes a pre-funding balance by making discretionary contributions to a U.S. defined benefit pension plan may elect to apply all or a portion of this balance toward its minimum required contribution obligations to the related plan in future years.

In the first and second quarters of 2024, management made such elections related to the Company’s U.S. plans and intends to do so for the remainder of 2024. As a result, Alcoa’s minimum required contribution to defined benefit pension plans in 2024 is estimated to be approximately $18, of which approximately $4 was contributed to non-U.S. plans during the second quarter of 2024. In the six-month period of 2024, $10 was contributed to non-U.S. plans.

In the second quarter of 2023, $5 was contributed to non-U.S. plans. In six-month period of 2023, $9 was contributed to non-U.S. plans.
v3.24.2.u1
Derivatives and Other Financial Instruments
 6 Months Ended
Jun. 30, 2024
Fair Value Disclosures [Abstract]  
Derivatives and Other Financial Instruments

M. Derivatives and Other Financial Instruments

Fair Value

Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The fair value hierarchy distinguishes between (i) market participant assumptions developed based on market data obtained from independent sources (observable inputs) and (ii) an entity’s own assumptions about market participant assumptions developed based on the best information available in the circumstances (unobservable inputs). The fair value hierarchy consists of three broad levels, which gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1) and the lowest priority to unobservable inputs (Level 3). The three levels of the fair value hierarchy are described below:

•
Level 1 - Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities.
•
Level 2 - Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly, including quoted prices for similar assets or liabilities in active markets; quoted prices for identical or similar assets or liabilities in markets that are not active; inputs other than quoted prices that are observable for the asset or liability (e.g., interest rates); and inputs that are derived principally from or corroborated by observable market data by correlation or other means.
•
Level 3 - Inputs that are both significant to the fair value measurement and unobservable.

Derivatives

Alcoa Corporation is exposed to certain risks relating to its ongoing business operations, including the risks of changing commodity prices, foreign currency exchange rates, and interest rates. Alcoa Corporation’s commodity and derivative activities include aluminum, energy, foreign exchange, and interest rate contracts which are held for purposes other than trading. They are used to mitigate uncertainty and volatility, and to cover underlying exposures. While Alcoa does not generally enter into derivative contracts to mitigate the risk associated with changes in aluminum price, the Company may do so in isolated cases to address discrete commercial or operational conditions. Alcoa is not involved in trading activities for energy, weather derivatives, or other nonexchange commodity trading activities.

Alcoa Corporation’s aluminum and foreign exchange contracts are predominantly classified as Level 1 under the fair value hierarchy. All of the Level 1 contracts are designated as either fair value or cash flow hedging instruments. Alcoa Corporation also has several derivative instruments classified as Level 3 under the fair value hierarchy, which are either designated as cash flow hedges or undesignated. Alcoa includes the changes in its equity method investee’s Level 2 derivatives in Accumulated other comprehensive loss in the accompanying Consolidated Balance Sheet.

The following tables present the detail for Level 1 and 3 derivatives (see additional Level 3 information in further tables below):

 

 

 

June 30, 2024

 

 

December 31, 2023

 

 

 

Assets

 

 

Liabilities

 

 

Assets

 

 

Liabilities

 

Level 1 derivative instruments

 

$

4

 

 

$

11

 

 

$

16

 

 

$

9

 

Level 3 derivative instruments

 

 

34

 

 

 

1,191

 

 

 

16

 

 

 

1,297

 

Total

 

$

38

 

 

$

1,202

 

 

$

32

 

 

$

1,306

 

Less: Current

 

 

38

 

 

 

251

 

 

 

29

 

 

 

214

 

Noncurrent

 

$

—

 

 

$

951

 

 

$

3

 

 

$

1,092

 

 

 

 

2024

 

 

2023

 

Second quarter ended June 30,

 

Unrealized loss recognized in Other comprehensive loss

 

 

Realized gain (loss) reclassed from Other comprehensive loss to earnings

 

 

Unrealized gain recognized in Other comprehensive loss

 

 

Realized gain (loss) reclassed from Other comprehensive loss to earnings

 

Level 1 derivative instruments

 

$

(7

)

 

$

—

 

 

$

42

 

 

$

28

 

Level 3 derivative instruments

 

 

(146

)

 

 

(75

)

 

 

197

 

 

 

(58

)

Noncontrolling and equity interest (Level 2)

 

 

—

 

 

 

1

 

 

 

2

 

 

 

3

 

Total

 

$

(153

)

 

$

(74

)

 

$

241

 

 

$

(27

)

For the second quarter of 2024, the realized gains and losses on Level 1 cash flow hedges were immaterial. For the second quarter of 2023, the realized gain of $28 on Level 1 cash flow hedges was comprised of a $32 gain recognized in Sales and a $4 loss recognized in Cost of goods sold.

 

 

2024

 

 

2023

 

Six months ended June 30,

 

Unrealized loss recognized in Other comprehensive loss

 

 

Realized gain (loss) reclassed from Other comprehensive loss to earnings

 

 

Unrealized gain recognized in Other comprehensive loss

 

 

Realized gain (loss) reclassed from Other comprehensive loss to earnings

 

Level 1 derivative instruments

 

$

(10

)

 

$

4

 

 

$

31

 

 

$

44

 

Level 3 derivative instruments

 

 

(26

)

 

 

(132

)

 

 

23

 

 

 

(110

)

Noncontrolling and equity interest (Level 2)

 

 

—

 

 

 

1

 

 

 

—

 

 

 

2

 

Total

 

$

(36

)

 

$

(127

)

 

$

54

 

 

$

(64

)

For the six-month period of 2024, the realized gain of $4 on Level 1 cash flow hedges was recognized in Sales. For the six-month period of 2023, the realized gain of $44 on Level 1 cash flow hedges was comprised of a $48 gain recognized in Sales and a $4 loss recognized in Cost of goods sold.

The following table presents the outstanding quantities of derivative instruments classified as Level 1:

 

 

Classification

 

June 30, 2024

 

 

June 30, 2023

 

Aluminum (in kmt)

Commodity buy forwards

 

 

133

 

 

 

187

 

Aluminum (in kmt)

Commodity sell forwards

 

 

80

 

 

 

206

 

Foreign currency (in millions of euro)

Foreign exchange buy forwards

 

 

61

 

 

 

86

 

Foreign currency (in millions of euro)

Foreign exchange sell forwards

 

 

16

 

 

 

18

 

Foreign currency (in millions of Norwegian krone)

Foreign exchange buy forwards

 

 

85

 

 

 

232

 

Foreign currency (in millions of Brazilian real)

Foreign exchange buy forwards

 

 

351

 

 

 

1,010

 

Foreign currency (in millions of Canadian dollar)

Foreign exchange buy forwards

 

 

22

 

 

 

—

 

Alcoa Corporation routinely uses Level 1 aluminum derivative instruments to manage exposures to changes in the fair value of firm commitments for the purchases or sales of aluminum. Additionally, Alcoa uses Level 1 aluminum derivative instruments to manage LME exposures at certain locations with profitability improvement actions (expires December 2024), and the Alumar (Brazil) smelter restart (expired December 2023).

Alcoa Corporation uses Level 1 foreign exchange forward contracts to mitigate the risk of foreign exchange exposure related to euro power purchases in Norway (expires December 2026), U.S. dollar aluminum sales in Norway (expires June 2025), U.S. dollar alumina and aluminum sales in Brazil (expires August 2025), and U.S. dollar aluminum sales in Canada (expires March 2025).

Additional Level 3 Disclosures

The following table presents quantitative information related to the significant unobservable inputs described above for Level 3 derivative instruments (megawatt hours in MWh):

 

 

 

June 30, 2024

 

 

Unobservable Input

 

Unobservable Input Range

Asset Derivatives

 

 

 

 

 

 

 

 

Financial contract (undesignated)

 

$

34

 

 

Interrelationship of forward energy price, LME forward price, and the Consumer Price Index

 

Electricity
(per MWh)

2024: $93.52
2024: $40.54

 

 

 

 

 

 

 

LME (per mt)

2024: $2,491

 

 

 

 

 

 

 

 

2024: $2,562

Total Asset Derivatives

 

$

34

 

 

 

 

 

 

Liability Derivatives

 

 

 

 

 

 

 

 

Power contract

 

$

180

 

 

MWh of energy needed to produce the forecasted mt of aluminum

 

LME (per mt)

2024: $2,491
2027: $2,742

 

 

 

 

 

 

 

Electricity

Rate of 4 million MWh per year

Power contracts

 

 

1,008

 

 

MWh of energy needed to produce the forecasted mt of aluminum

 

LME (per mt)

2024: $2,491
2029: $2,734
2036: $2,934

 

 

 

 

 

 

 

Midwest premium
(per pound)

2024: $0.1999
2029: $0.2365
2036: $0.2365

 

 

 

 

 

 

 

Electricity

Rate of 18 million MWh per year

Power contract

 

 

2

 

 

MWh of energy needed to produce the forecasted mt of aluminum

 

LME (per mt)

2024: $2,491
2024: $2,524

 

 

 

 

 

 

 

Midwest premium
(per pound)

2024: $0.1999
2024: $0.2240

 

 

 

 

 

 

 

Electricity

Rate of 2 million MWh per year

Power contract (undesignated)

 

 

1

 

 

Estimated spread between the 30-year debt yield of Alcoa and the counterparty

 

Credit spread

1.71%: 30-year debt yield spread
6.98%: Alcoa (estimated)
5.27%: counterparty

Total Liability Derivatives

 

$

1,191

 

 

 

 

 

 

 

The fair values of Level 3 derivative instruments recorded in the accompanying Consolidated Balance Sheet were as follows:

 

Asset Derivatives

 

June 30, 2024

 

 

December 31, 2023

 

Derivatives not designated as hedging instruments:

 

 

 

 

 

 

Current—financial contract

 

$

34

 

 

$

16

 

Total derivatives not designated as hedging instruments

 

$

34

 

 

$

16

 

Total Asset Derivatives

 

$

34

 

 

$

16

 

Liability Derivatives

 

 

 

 

 

 

Derivatives designated as hedging instruments:

 

 

 

 

 

 

Current—power contracts

 

$

245

 

 

$

210

 

Noncurrent—power contracts

 

 

945

 

 

 

1,087

 

Total derivatives designated as hedging instruments

 

$

1,190

 

 

$

1,297

 

Derivatives not designated as hedging instruments:

 

 

 

 

 

 

Noncurrent—embedded credit derivative

 

 

1

 

 

 

—

 

Total derivatives not designated as hedging instruments

 

$

1

 

 

$

—

 

Total Liability Derivatives

 

$

1,191

 

 

$

1,297

 

Assuming market rates remain constant with the rates at June 30, 2024, a realized loss of $245 related to power contracts is expected to be recognized in Sales over the next 12 months.

At June 30, 2024 and December 31, 2023, the power contracts with embedded derivatives designated as cash flow hedges include hedges of forecasted aluminum sales of 1,344 kmt and 1,456 kmt, respectively.

The following tables present the reconciliation of activity for Level 3 derivative instruments:

 

 

Assets

 

Second quarter ended June 30, 2024

 

Financial contracts

 

April 1, 2024

 

$

12

 

Total gains or losses included in:

 

 

 

Other income, net (unrealized/realized)

 

 

55

 

Settlements and other

 

 

(33

)

June 30, 2024

 

$

34

 

Change in unrealized gains or losses included in earnings
   for derivative instruments held at June 30, 2024:

 

 

 

Other income, net

 

$

55

 

 

 

 

Liabilities

 

Second quarter ended June 30, 2024

 

Power contracts

 

Embedded
credit
derivative

 

April 1, 2024

 

$

1,120

 

$

—

 

Total gains or losses included in:

 

 

 

 

 

Sales (realized)

 

 

(76

)

 

—

 

Other expenses, net (unrealized/realized)

 

 

—

 

 

1

 

Other comprehensive income (unrealized)

 

 

146

 

 

—

 

June 30, 2024

 

$

1,190

 

$

1

 

Change in unrealized gains or losses included in earnings
   for derivative instruments held at June 30, 2024:

 

 

 

 

 

Other expenses, net

 

$

—

 

$

1

 

 

 

 

Assets

 

Six months ended June 30, 2024

 

Financial contracts

 

January 1, 2024

 

$

16

 

Total gains or losses included in:

 

 

 

Other income, net (unrealized/realized)

 

 

50

 

Settlements and other

 

 

(32

)

June 30, 2024

 

$

34

 

Change in unrealized gains or losses included in earnings
   for derivative instruments held at June 30, 2024:

 

 

 

Other income, net

 

$

50

 

 

 

 

Liabilities

 

Six months ended June 30, 2024

 

Power contracts

 

Embedded
credit
derivative

 

January 1, 2024

 

$

1,297

 

$

—

 

Total gains or losses included in:

 

 

 

 

 

Sales (realized)

 

 

(133

)

 

—

 

Other expenses, net (unrealized/realized)

 

 

—

 

 

1

 

Other comprehensive income (unrealized)

 

 

26

 

 

—

 

June 30, 2024

 

$

1,190

 

$

1

 

Change in unrealized gains or losses included in earnings
   for derivative instruments held at June 30, 2024:

 

 

 

 

 

Other expenses, net

 

$

—

 

$

1

 

There were no purchases, sales, or settlements of Level 3 derivative instruments in the periods presented.

 

Other Financial Instruments

The carrying values and fair values of Alcoa Corporation’s other financial instruments were as follows:

 

 

 

June 30, 2024

 

 

December 31, 2023

 

 

 

Carrying value

 

 

Fair value

 

 

Carrying value

 

 

Fair value

 

Cash and cash equivalents

 

$

1,396

 

 

$

1,396

 

 

$

944

 

 

$

944

 

Restricted cash

 

 

97

 

 

 

97

 

 

 

103

 

 

 

103

 

Short-term borrowings

 

 

31

 

 

 

31

 

 

 

56

 

 

 

56

 

Long-term debt due within one year

 

 

79

 

 

 

79

 

 

 

79

 

 

 

79

 

Long-term debt, less amount due within one year

 

 

2,469

 

 

 

2,477

 

 

 

1,732

 

 

 

1,702

 

The following methods were used to estimate the fair values of other financial instruments:

Cash and cash equivalents and Restricted cash. The carrying amounts approximate fair value because of the short maturity of the instruments. The fair value amounts for Cash and cash equivalents and Restricted cash were classified in Level 1 of the fair value hierarchy.

Short-term borrowings and Long-term debt, including amounts due within one year. The fair value of Long-term debt, less amounts due within one year was based on quoted market prices for public debt and on interest rates that are currently available to Alcoa Corporation for issuance of debt with similar terms and maturities for non-public debt. The fair value amounts for all Short-term borrowings and Long-term debt were classified in Level 2 of the fair value hierarchy.
v3.24.2.u1
Income Taxes
 6 Months Ended
Jun. 30, 2024
Income Tax Disclosure [Abstract]  
Income Taxes

N. Income Taxes – Alcoa Corporation’s estimated annualized effective tax rate (AETR) for 2024 as of June 30, 2024 differs from the U.S. federal statutory rate of 21% primarily due to losses in certain jurisdictions with full valuation allowances resulting in no tax benefit. In addition, income in foreign jurisdictions with higher statutory tax rates contribute to the variance from 21%.

 

 

 

Six months ended June 30,

 

 

2024

 

 

 

2023

 

 

Loss before income taxes

 

$

(233

)

 

 

$

(279

)

 

Estimated annualized effective tax rate

 

 

105.1

 

%

 

 

(29.3

)

%

Income tax (benefit) expense

 

$

(245

)

 

 

$

82

 

 

Unfavorable (favorable) tax impact related to losses in jurisdictions with no tax benefit

 

 

288

 

 

 

 

(11

)

 

Discrete tax expense

 

 

—

 

 

 

 

3

 

 

Provision for income taxes

 

$

43

 

 

 

$

74

 

 

Alcoa Australia Holdings Pty Ltd (AAH), a wholly-owned indirect subsidiary of Alcoa, made an election prior to July 31, 2024 that results in Alcoa’s other wholly-owned Australian subsidiaries joining AAH’s tax consolidated group (the AAH Tax Consolidated Group). As a result of the acquisition of Alumina Limited, Alumina Limited and all of its Australian subsidiaries, as well as AofA and all of its subsidiaries, joined the AAH Tax Consolidated Group on August 1, 2024. Alcoa will recognize a deferred tax asset of approximately $100 related to the portion of Alumina Limited’s Australian net operating loss carryforwards that the Company has determined are more likely than not to be realized as a result of the consolidated return election.

The Inflation Reduction Act of 2022 (IRA) contains a number of tax credits and other incentives for investments in renewable energy production, carbon capture, and other climate-related actions, as well as the production of critical minerals. In December 2023, the U.S. Treasury issued guidance on Section 45X of the Advanced Manufacturing Tax Credit. The Notice of Proposed Rulemaking (the Notice) clarifies that commercial grade aluminum can qualify for the credit, which was designed to incentivize domestic production of critical materials important for the global transition to renewable energy. In the second quarter and six-month period of 2024, the Company recorded benefits of $10 and $20 in Cost of goods sold, respectively, related to its Massena West smelter (New York) and its Warrick smelter (Indiana). As of June 30, 2024, benefits of $36 were included in Other receivables and $20 were included in Other noncurrent assets on the Consolidated Balance Sheet. As of December 31, 2023, benefits of $36 were included in Other receivables on the Consolidated Balance Sheet.
v3.24.2.u1
Contingencies
 6 Months Ended
Jun. 30, 2024
Commitments and Contingencies Disclosure [Abstract]  
Contingencies

O. Contingencies

Environmental Matters

Alcoa Corporation participates in environmental assessments and cleanups at several locations. These include currently or previously owned or operated facilities and adjoining properties, and waste sites, including Superfund (Comprehensive Environmental Response, Compensation and Liability Act (CERCLA)) sites.

Alcoa Corporation’s environmental remediation reserve balance reflects the most probable costs to remediate identified environmental conditions for which costs can be reasonably estimated. The following table details the changes in the carrying value of recorded environmental remediation reserves:

 

Balance at December 31, 2022

 

$

284

 

Liabilities incurred

 

 

39

 

Cash payments

 

 

(55

)

Reversals of previously recorded liabilities

 

 

(1

)

Foreign currency translation and other

 

 

1

 

Balance at December 31, 2023

 

 

268

 

Liabilities incurred

 

 

1

 

Cash payments

 

 

(16

)

Foreign currency translation and other

 

 

(1

)

Balance at June 30, 2024

 

$

252

 

 

At June 30, 2024 and December 31, 2023, the current portion of the environmental remediation reserve balance was $61 and $66, respectively.

Payments related to remediation expenses applied against the reserve were $10 and $16 in the second quarter and six-month period of 2024, respectively. These amounts include mandated expenditures as well as those not required by any regulatory authority or third party.

During the second quarter and six-month period of 2023, the Company incurred liabilities of $4 and $18, respectively. The Company incurred liabilities of $14 for the six-month period of 2023 primarily related to the closure of the previously curtailed Intalco aluminum smelter, which was recorded in Restructuring and other charges, net (see Note D) on the Statement of Consolidated Operations, and incurred liabilities of $4 for the second quarter of 2023 for ongoing remediation work at various other sites, which was recorded in Cost of goods sold on the accompanying Statement of Consolidated Operations. Payments related to remediation expenses applied against the reserve were $16 and $23 in the second quarter and six-month period of 2023, respectively. These amounts include mandated expenditures as well as those not required by any regulatory authority or third party. Further, the Company recorded a reversal of a reserve of $1 during the six-month period of 2023 due to the determination that certain remaining site remediation is no longer required.

The estimated timing of cash outflows from the environmental remediation reserve at June 30, 2024 was as follows:

2024 (excluding the six months ended June 30, 2024)

$

48

 

2025 – 2029

 

119

 

Thereafter

 

85

 

Total

$

252

 

Reserve balances at June 30, 2024 and December 31, 2023, associated with significant sites with active remediation underway or for future remediation were $199 and $211, respectively. In management’s judgment, the Company’s reserves are sufficient to satisfy the provisions of the respective action plans. Upon changes in facts or circumstances, a change to the reserve may be required. The Company’s significant sites include:

Suriname—The reserve associated with the 2017 closure of the Suralco refinery and bauxite mine is for treatment and disposal of refinery waste and soil remediation. The work began in 2017 and is expected to be completed at the end of 2029.

Hurricane Creek, Arkansas—The reserve associated with the 1990 closure of two mining areas and refineries near Hurricane Creek, Arkansas is for ongoing monitoring and maintenance for water quality surrounding the mine areas and residue disposal areas.

Massena, New York—The reserve associated with the 2015 closure of the Massena East smelter by the Company’s subsidiary, Reynolds Metals Company, is for subsurface soil remediation to be performed after demolition of the structures. Remediation work commenced in 2021 and will take four to eight years to complete.

Point Comfort, Texas—The reserve associated with the 2019 closure of the Point Comfort alumina refinery is for disposal of industrial wastes contained at the site, subsurface remediation, and post-closure monitoring and maintenance. The final remediation plan is currently being developed, which may result in a change to the existing reserve.

Sherwin, Texas—In connection with the 2018 settlement of a dispute related to the previously-owned Sherwin alumina refinery, the Company’s subsidiary, Copano Enterprises LLC, accepted responsibility for the final closure of four bauxite residue waste disposal areas (known as the Copano facility). Work commenced on the first residue disposal area in 2018 and is expected to be completed no later than May 2028. Other than ongoing maintenance and repair activities, work on the next three areas has not commenced but is expected to be completed by 2048, depending on its potential re-use.

Longview, Washington—In connection with a 2018 Consent Decree and Cleanup Action Plan with the State of Washington Department of Ecology, the Company’s subsidiary, Northwest Alloys as landowner, accepted certain responsibilities for future remediation of contaminated soil and sediments at the site located near Longview, Washington. In December 2020, the lessee of the land, who was a partner in the remediation of the site, filed for bankruptcy and exited the site in January 2021. The full site remediation project design, including long-term and post-closure monitoring and maintenance at the site, was approved in March 2023. In the third quarter of 2023, changes in scope and cost increases for remediation resulted in an increase to the reserve. The project is planned to be completed by the end of 2026.

Addy, Washington—The reserve associated with the 2022 closure of the Addy magnesium smelter facility is for site-wide remediation and investigation and post-closure monitoring and maintenance. Remediation work is not expected to begin until 2026 and will take three to five years to complete. The final remediation plan is currently being developed, which may result in a change to the existing reserve.

Ferndale, Washington—The reserve associated with the 2023 closure of the Intalco aluminum smelter in Ferndale, Washington is for below grade site remediation and five years of post-closure maintenance and monitoring. The final remediation plan is under review.

Other Sites—The Company is in the process of decommissioning various other plants and remediating sites in several countries for potential redevelopment or to return the land to a natural state. In aggregate, there are remediation projects at 32 other sites that are planned or underway. These activities will be completed at various times in the next three to five years, after which ongoing monitoring and other activities may be required. At June 30, 2024 and December 31, 2023, the reserve balance associated with these activities was $53 and $57, respectively.

Tax

Brazil (AWAB)—Under Brazilian law, taxpayers who generate non-cumulative federal value added tax credits related to exempt exports may either request a refund in cash (monetization) or offset them against other federal taxes owed. In 2012, AWAB requested monetization of $136 (R$273) from the Brazilian Federal Revenue Office (RFB) and received $68 (R$136) that year. In March 2013, AWAB was notified by the RFB that approximately $110 (R$220) of value added tax credits previously claimed were being disallowed and a penalty of 50% was assessed. $41 (R$82) of the cash received in 2012 related to the disallowed amount. The value added tax credits were claimed by AWAB for both fixed assets and export sales related to the Juruti bauxite mine and Alumar refinery expansion for tax years 2009 through 2011. The RFB has disallowed credits they allege belong to the consortium in which AWAB owns an interest and should not have been claimed by AWAB. Credits have also been disallowed as a result of challenges to apportionment methods used, questions about the use of the credits, and an alleged lack of documented proof. AWAB presented defense of its claim to the RFB on April 8, 2013.

In February 2022, the RFB notified AWAB that it had inspected the value added tax credits claimed for 2012 and disallowed $4 (R$19). In its decision, the RFB allowed credits of $14 (R$65) that were similar to those previously disallowed for 2009 through 2011. In July 2022, the RFB notified AWAB that it had inspected the value added tax credits claimed for 2013 and disallowed $13 (R$66). In its decision, the RFB allowed credits of $10 (R$53) that were similar to those previously disallowed for 2009 through 2011. AWAB received the 2012 allowed credits with interest of $9 (R$44) in March 2022 and the 2013 allowed credits with interest of $6 (R$31) in August 2022. The decisions on the 2012 and 2013 credits provide positive evidence to support management’s opinion that there is no basis for these credits to be disallowed. AWAB will continue to dispute the credits that were disallowed for 2012 and 2013. If AWAB is successful in this administrative process, the RFB would have no further recourse. If unsuccessful in this process, AWAB has the option to litigate at a judicial level. Separately from AWAB’s administrative appeal, in June 2015, a new tax law was enacted repealing the provisions in the tax code that were the basis for the RFB assessing a 50% penalty in this matter. As such, the estimated range of reasonably possible loss for these matters is $0 to $55 (R$305). It is management’s opinion that the allegations have no basis; however, at this time, the Company is unable to reasonably predict an outcome for this matter.

 

Australia (AofA)—In December 2019, AofA received a statement of audit position (SOAP) from the Australian Taxation Office (ATO) related to the pricing of certain historic third-party alumina sales. The SOAP proposed adjustments that would result in additional income tax payable by AofA. During 2020, the SOAP was the subject of an independent review process within the ATO. At the conclusion of this process, the ATO determined to continue with the proposed adjustments and issued Notices of Assessment (the Notices) that were received by AofA on July 7, 2020. The Notices asserted claims for income tax payable by AofA of approximately $143 (A$214). The Notices also included claims for compounded interest on the tax amount totaling approximately $474 (A$707).

On September 17, 2020, the ATO issued a position paper with its preliminary view on the imposition of administrative penalties related to the tax assessment issued to AofA. This paper proposed penalties of approximately $86 (A$128).

AofA disagreed with the Notices and with the ATO’s proposed position on penalties. During 2020, AofA lodged formal objections to the Notices, provided a submission on the ATO’s imposition of interest and submitted a response to the ATO’s position paper on penalties. After the ATO completes its review of AofA’s response to the penalties position paper, the ATO could issue a penalty assessment.

To date, AofA has not received a response to its submission on the ATO’s imposition of interest or its response to the ATO’s position paper on penalties.

Through February 1, 2022, AofA did not receive a response from the ATO on AofA’s formal objections to the Notices and, on that date, AofA submitted statutory notices to the ATO requiring the ATO to make decisions on AofA’s objections within a 60-day period. On April 1, 2022, the ATO issued its decision disallowing the Company’s objections related to the income tax assessment, while the position on penalties and interest remains outstanding.

On April 29, 2022, AofA filed proceedings in the Australian Administrative Appeals Tribunal (AAT) against the ATO to contest the Notices. The AAT held the first directions hearing on July 25, 2022 ordering AofA to file its evidence and related materials by November 4, 2022, ATO to file its materials by April 14, 2023 and AofA to file reply materials by May 26, 2023. AofA filed its evidence and related materials on November 4, 2022. The ATO did not file its materials by April 14, 2023. At a directions hearing on May 17, 2023, the ATO was granted an extension to file its materials by August 18, 2023. At a directions hearing on September 26, 2023, the ATO was granted an additional extension to file its materials by November 3, 2023. The ATO filed its materials on November 13, 2023. At a directions hearing on November 22, 2023, AofA was ordered to file any reply materials by March 15, 2024. AofA filed its reply materials on March 15, 2024. The substantive hearing was completed in June 2024, and AofA is awaiting the AAT’s decision.

The Company maintains that the sales subject to the ATO’s review, which were ultimately sold to Aluminium Bahrain B.S.C., were the result of arm’s length transactions by AofA over two decades and were made at arm’s length prices consistent with the prices paid by other third-party alumina customers.

In accordance with the ATO’s dispute resolution practices, AofA paid 50% of the assessed income tax amount exclusive of interest and any penalties, or approximately $74 (A$107), during the third quarter 2020, and the ATO is not expected to seek further payment prior to final resolution of the matter. If AofA is ultimately successful, any amounts paid to the ATO as part of the 50% payment would be refunded. AofA funded the payment with cash on hand and recorded the payment within Other noncurrent assets as a noncurrent prepaid tax asset; at June 30, 2024 the related balance was $72 (A$107).

Further interest on the unpaid tax will continue to accrue during the dispute. The initial interest assessment and the additional interest accrued are deductible against taxable income by AofA but would be taxable as income in the year the dispute is resolved if AofA is ultimately successful. AofA applied this deduction beginning in the third quarter of 2020, reducing cash tax payments. At June 30, 2024 and December 31, 2023, total reductions in cash tax payments were $209 (A$312) and $199 (A$293), respectively, and are reflected within Other noncurrent liabilities and deferred credits as a noncurrent accrued tax liability.

The Company continues to believe it is more likely than not that AofA’s tax position will be sustained and therefore is not recognizing any tax expense in relation to this matter. However, because the ultimate resolution of this matter is uncertain at this time, the Company cannot predict the potential loss or range of loss associated with the outcome, which may materially affect its results of operations and financial condition. References to any assessed U.S. dollar amounts presented in connection with this matter have been converted into U.S. dollars from Australian dollars based on the exchange rate in the respective period.

 

Legal Proceedings

St. Croix Proceedings—Prior to 2012, Alcoa Inc., the Company’s former parent company, was served with two multi-plaintiff actions alleging personal injury or property damage from Hurricane Georges or winds blowing material from the Company’s former St. Croix alumina facility. These actions were subsequently consolidated into the Red Dust Claims docket in 2017.

In March 2022, the Superior Court of the Virgin Islands issued an amended case management order dividing complaints filed in the Red Dust docket into groups of 50 complaints, designated Groups A through I. The parties selected 10 complaints from Group A to proceed to trial as the Group A lead cases. In May 2024, the Court issued an amended case management order with regard to the Group A lead cases scheduling trials to begin in November 2024. Trials with regard to the Group A lead cases will continue through July 2025. The Court further ordered the parties to participate in mediation on or before August 31, 2024. After completing its case analysis in the second quarter of 2024, the Company recorded a reserve for its estimate of probable loss and a related receivable for insurance proceeds with no material impact to the results of operations.

General

In addition to the matters discussed above, various other lawsuits, claims, and proceedings have been or may be instituted or asserted against Alcoa Corporation, including those pertaining to environmental, safety and health, commercial, tax, product liability, intellectual property infringement, governance, employment, and employee and retiree benefit matters, and other actions and claims arising out of the normal course of business. While the amounts claimed in these other matters may be substantial, the ultimate liability is not readily determinable because of the considerable uncertainties that exist. Accordingly, it is possible that the Company’s liquidity or results of operations in a particular period could be materially affected by one or more of these other matters. However, based on facts currently available, management believes that the disposition of these other matters that are pending or asserted will not have a material adverse effect, individually or in the aggregate, on the financial position of the Company.
v3.24.2.u1
Other Financial Information
 6 Months Ended
Jun. 30, 2024
Other Financial Information [Abstract]  
Other Financial Information

P. Other Financial Information

Other (Income) Expenses, Net

 

 

Second quarter ended
June 30,

 

 

Six months ended
June 30,

 

 

 

2024

 

 

2023

 

 

2024

 

 

2023

 

Equity (gain) loss

 

$

(22

)

 

$

44

 

 

$

5

 

 

$

139

 

Foreign currency losses (gains), net

 

 

57

 

 

 

(39

)

 

 

81

 

 

 

(55

)

Net loss from asset sales

 

 

6

 

 

 

1

 

 

 

17

 

 

 

15

 

Net (gain) loss on mark-to-market derivative instruments

 

 

(54

)

 

 

9

 

 

 

(49

)

 

 

(17

)

Non-service costs – pension and other postretirement benefits

 

 

4

 

 

 

3

 

 

 

8

 

 

 

6

 

Other, net

 

 

(13

)

 

 

(12

)

 

 

(25

)

 

 

(28

)

 

$

(22

)

 

$

6

 

 

$

37

 

 

$

60

 

Other Noncurrent Assets

 

 

June 30, 2024

 

 

December 31, 2023

 

Prepaid gas transmission contract

 

$

296

 

 

$

297

 

Value added tax credits

 

 

287

 

 

 

336

 

Gas supply prepayment

 

 

261

 

 

 

283

 

Deferred mining costs, net

 

 

186

 

 

 

187

 

Prepaid pension benefit

 

 

153

 

 

 

125

 

Goodwill

 

 

144

 

 

 

146

 

Noncurrent prepaid tax asset

 

 

72

 

 

 

73

 

Noncurrent restricted cash

 

 

53

 

 

 

71

 

Intangibles, net

 

 

35

 

 

 

37

 

Other

 

 

114

 

 

 

95

 

 

$

1,601

 

 

$

1,650

 

 

Cash and Cash Equivalents and Restricted Cash

 

 

June 30, 2024

 

 

December 31, 2023

 

Cash and cash equivalents

 

$

1,396

 

 

$

944

 

Current restricted cash

 

 

44

 

 

 

32

 

Noncurrent restricted cash

 

 

53

 

 

 

71

 

 

$

1,493

 

 

$

1,047

 
v3.24.2.u1
Supplier Finance Programs
 6 Months Ended
Jun. 30, 2024
Supplier Finance Programs [Abstract]  
Supplier Finance Programs

Q. Supplier Finance Programs

The Company has various supplier finance programs with third-party financial institutions that are made available to suppliers to facilitate payment term negotiations. Under the terms of these agreements, participating suppliers receive payment in advance of the payment date from third-party financial institutions for qualifying invoices. Alcoa’s obligations to its suppliers, including amounts due and payment terms, are not impacted by its suppliers’ participation in these programs. The Company does not pledge any assets as security or provide any guarantees beyond payment of outstanding invoices at maturity under these arrangements. The Company does not pay fees to the financial institutions under these arrangements. At June 30, 2024 and December 31, 2023, qualifying supplier invoices outstanding under these programs were $123 and $104, respectively, and have payment terms ranging from 50 to 110 days. These obligations are included in Accounts payable, trade on the accompanying Consolidated Balance Sheet.
v3.24.2.u1
Subsequent Events
 6 Months Ended
Jun. 30, 2024
Subsequent Events [Abstract]  
Subsequent Events

R. Subsequent Events

On August 1, 2024, the Company completed the acquisition of Alumina Limited (see Note C).

On July 31, 2024, the Board of Directors declared a quarterly cash dividend of $0.10 per share of the Company’s common stock and Series A convertible preferred stock, to be paid on August 29, 2024 to stockholders of record as of the close of business on August 12, 2024. Dividends on Alcoa’s common and preferred shares are paid in U.S. dollars. Dividends on CDIs paid in a currency other than U.S. dollar will be determined using foreign currency exchange rates as of August 22, 2024.

In May 2022, the Company received a Notice of Violation (NOV) from the U.S. Environmental Protection Agency (the EPA). The NOV alleges violations under the Clean Air Act at the Company’s Intalco smelter from when the smelter was operational. The EPA referred the matter to the U.S. Department of Justice, Environment and Natural Resources Division (the DOJ) in May 2022. The DOJ and the Company agreed to a stipulated settlement, which was filed with the United States District Court for the Western District of Washington at Seattle on July 18, 2024, requiring the Company to pay a civil fine of $5. An accrual for this matter was included within Other current liabilities on the Consolidated Balance Sheet as of June 30, 2024.
v3.24.2.u1
Basis of Presentation (Policies)
 6 Months Ended
Jun. 30, 2024
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Basis of Presentation

A. Basis of Presentation – The interim Consolidated Financial Statements of Alcoa Corporation and its subsidiaries (Alcoa Corporation, Alcoa, or the Company) are unaudited. These Consolidated Financial Statements include all adjustments, consisting only of normal recurring adjustments, considered necessary by management to fairly state the Company’s results of operations, financial position, and cash flows. The results reported in these Consolidated Financial Statements are not necessarily indicative of the results that may be expected for the entire year. The 2023 year-end balance sheet data was derived from audited financial statements but does not include all disclosures required by accounting principles generally accepted in the United States of America (GAAP). This Quarterly Report on Form 10-Q should be read in conjunction with the Company’s Annual Report on Form 10-K for the year ended December 31, 2023, which includes disclosures required by GAAP.

In accordance with GAAP, certain situations require management to make estimates based on judgments and assumptions, which may affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements. They also may affect the reported amounts of revenues and expenses during the reporting periods. Management uses historical experience and all available information to make these estimates. Management regularly evaluates the judgments and assumptions used in its estimates, and results could differ from those estimates upon future events and their effects or new information.

Principles of Consolidation

Principles of Consolidation. The Consolidated Financial Statements of Alcoa Corporation include the accounts of Alcoa Corporation and companies in which Alcoa Corporation has a controlling interest, including those that comprise the Alcoa World Alumina & Chemicals (AWAC) joint venture (see below). Intercompany transactions have been eliminated. The equity method of accounting is used for investments in affiliates and other joint ventures over which Alcoa Corporation has significant influence but does not have effective control. Investments in affiliates in which Alcoa Corporation cannot exercise significant influence are accounted for at cost less any impairment, a measurement alternative in accordance with GAAP.

AWAC is an unincorporated global joint venture between Alcoa Corporation and Alumina Limited and consists of several affiliated operating entities, which own, have an interest in, or operate the bauxite mines and alumina refineries within Alcoa Corporation’s Alumina segment (except for the Poços de Caldas mine and refinery and portions of the São Luís refinery, all in Brazil) and a portion (55%) of the Portland smelter (Australia) within Alcoa Corporation’s Aluminum segment. Alcoa Corporation owns 60% and Alumina Limited owns 40% of these individual entities, which are consolidated by the Company for financial reporting purposes and include Alcoa of Australia Limited (AofA), Alcoa World Alumina LLC (AWA), Alcoa World Alumina Brasil Ltda. (AWAB), and Alúmina Española, S.A. (Española). Alumina Limited’s interest in the equity of such entities is reflected as Noncontrolling interest on the accompanying Consolidated Balance Sheet. On August 1, 2024, the Company completed the acquisition of Alumina Limited (see Note C).
v3.24.2.u1
Restructuring and Other Charges, Net (Tables)
 6 Months Ended
Jun. 30, 2024
Restructuring and Related Activities [Abstract]  
Schedule of Restructuring and Other Charges, Net by Reportable Segments, Pretax

Alcoa Corporation does not include Restructuring and other charges, net in the results of its reportable segments. The impact of allocating such charges to segment results would have been as follows:

 

 

 

Second quarter ended
June 30,

 

 

Six months ended
June 30,

 

 

 

2024

 

 

2023

 

 

2024

 

 

2023

 

Alumina

 

$

8

 

 

$

1

 

 

$

205

 

 

$

2

 

Aluminum

 

 

—

 

 

 

19

 

 

 

—

 

 

 

165

 

Segment total

 

 

8

 

 

 

20

 

 

 

205

 

 

 

167

 

Corporate

 

 

10

 

 

 

4

 

 

 

15

 

 

 

6

 

Total Restructuring and other charges, net

 

$

18

 

 

$

24

 

 

$

220

 

 

$

173

 

 
Activity and Reserve Balances for Restructuring Charges

Activity and reserve balances for restructuring charges were as follows:

 

 

 

Severance
and
employee
termination
costs

 

 

Other
costs

 

 

Total

 

Balance at December 31, 2022

 

$

1

 

 

$

116

 

 

$

117

 

Restructuring and other charges, net

 

 

11

 

 

 

55

 

 

 

66

 

Cash payments

 

 

(6

)

 

 

(118

)

 

 

(124

)

Reversals and other

 

 

—

 

 

 

4

 

 

 

4

 

Balance at December 31, 2023

 

 

6

 

 

 

57

 

 

 

63

 

Restructuring and other charges, net

 

 

43

 

 

 

156

 

 

 

199

 

Cash payments

 

 

(1

)

 

 

(55

)

 

 

(56

)

Reversals and other

 

 

1

 

 

 

3

 

 

 

4

 

Balance at June 30, 2024

 

$

49

 

 

$

161

 

 

$

210

 
v3.24.2.u1
Segment Information (Tables)
 6 Months Ended
Jun. 30, 2024
Segment Reporting [Abstract]  
Schedule of Operating Results of Alcoa's Reportable Segments

The operating results of Alcoa Corporation’s reportable segments were as follows (differences between segment totals and consolidated amounts are in Corporate):

 

 

 

 

Alumina

 

 

Aluminum

 

 

Total

 

Second quarter ended June 30, 2024

 

 

 

 

 

 

 

 

 

 

Sales:

 

 

 

 

 

 

 

 

 

 

Third-party sales

 

 

$

1,010

 

 

$

1,895

 

 

$

2,905

 

Intersegment sales

 

 

 

457

 

 

 

3

 

 

 

460

 

Total sales

 

 

$

1,467

 

 

$

1,898

 

 

$

3,365

 

Segment Adjusted EBITDA

 

 

$

186

 

 

$

233

 

 

$

419

 

Supplemental information:

 

 

 

 

 

 

 

 

 

 

Depreciation, depletion, and amortization

 

 

$

90

 

 

$

68

 

 

$

158

 

Equity income

 

 

$

2

 

 

$

21

 

 

$

23

 

Second quarter ended June 30, 2023

 

 

 

 

 

 

 

 

 

 

Sales:

 

 

 

 

 

 

 

 

 

 

Third-party sales

 

 

$

894

 

 

$

1,788

 

 

$

2,682

 

Intersegment sales

 

 

 

397

 

 

 

4

 

 

 

401

 

Total sales

 

 

$

1,291

 

 

$

1,792

 

 

$

3,083

 

Segment Adjusted EBITDA

 

 

$

33

 

 

$

110

 

 

$

143

 

Supplemental information:

 

 

 

 

 

 

 

 

 

 

Depreciation, depletion, and amortization

 

 

$

80

 

 

$

68

 

 

$

148

 

Equity loss

 

 

$

(11

)

 

$

(16

)

 

$

(27

)

 

 

 

 

Alumina

 

 

Aluminum

 

 

Total

 

Six months ended June 30, 2024

 

 

 

 

 

 

 

 

 

 

Sales:

 

 

 

 

 

 

 

 

 

 

Third-party sales

 

 

$

1,971

 

 

$

3,533

 

 

$

5,504

 

Intersegment sales

 

 

 

852

 

 

 

7

 

 

 

859

 

Total sales

 

 

$

2,823

 

 

$

3,540

 

 

$

6,363

 

Segment Adjusted EBITDA

 

 

$

325

 

 

$

283

 

 

$

608

 

Supplemental information:

 

 

 

 

 

 

 

 

 

 

Depreciation, depletion, and amortization

 

 

$

177

 

 

$

136

 

 

$

313

 

Equity (loss) income

 

 

$

(9

)

 

$

23

 

 

$

14

 

Six months ended June 30, 2023

 

 

 

 

 

 

 

 

 

 

Sales:

 

 

 

 

 

 

 

 

 

 

Third-party sales

 

 

$

1,751

 

 

$

3,598

 

 

$

5,349

 

Intersegment sales

 

 

 

818

 

 

 

7

 

 

 

825

 

Total sales

 

 

$

2,569

 

 

$

3,605

 

 

$

6,174

 

Segment Adjusted EBITDA

 

 

$

136

 

 

$

294

 

 

$

430

 

Supplemental information:

 

 

 

 

 

 

 

 

 

 

Depreciation, depletion, and amortization

 

 

$

157

 

 

$

138

 

 

$

295

 

Equity loss

 

 

$

(28

)

 

$

(73

)

 

$

(101

)
Schedule of Segment Adjusted EBITDA to Consolidated Net Income (Loss) Attributable to Alcoa Corporation

The following table reconciles Total Segment Adjusted EBITDA to Consolidated net income (loss) attributable to Alcoa Corporation:

 

 

Second quarter ended
June 30,

 

 

Six months ended
June 30,

 

 

 

2024

 

 

2023

 

 

2024

 

 

2023

 

Total Segment Adjusted EBITDA

 

$

419

 

 

$

143

 

 

$

608

 

 

$

430

 

Unallocated amounts:

 

 

 

 

 

 

 

 

 

 

 

 

Transformation(1)

 

 

(16

)

 

 

(17

)

 

 

(30

)

 

 

(25

)

Intersegment eliminations

 

 

(29

)

 

 

31

 

 

 

(37

)

 

 

23

 

Corporate expenses(2)

 

 

(41

)

 

 

(24

)

 

 

(75

)

 

 

(54

)

Provision for depreciation, depletion, and amortization

 

 

(163

)

 

 

(153

)

 

 

(324

)

 

 

(306

)

Restructuring and other charges, net (D)

 

 

(18

)

 

 

(24

)

 

 

(220

)

 

 

(173

)

Interest expense

 

 

(40

)

 

 

(27

)

 

 

(67

)

 

 

(53

)

Other income (expenses), net (P)

 

 

22

 

 

 

(6

)

 

 

(37

)

 

 

(60

)

Other(3)

 

 

(42

)

 

 

(22

)

 

 

(51

)

 

 

(61

)

Consolidated income (loss) before income taxes

 

 

92

 

 

 

(99

)

 

 

(233

)

 

 

(279

)

Provision for income taxes

 

 

(61

)

 

 

(22

)

 

 

(43

)

 

 

(74

)

Net (income) loss attributable to noncontrolling interest

 

 

(11

)

 

 

19

 

 

 

44

 

 

 

20

 

Consolidated net income (loss) attributable to Alcoa Corporation

 

$

20

 

 

$

(102

)

 

$

(232

)

 

$

(333

)

 

(1)
Transformation includes, among other items, the Adjusted EBITDA of previously closed operations.
(2)
Corporate expenses are composed of general administrative and other expenses of operating the corporate headquarters and other global administrative facilities, as well as research and development expenses of the corporate technical center.
(3)
Other includes certain items that are not included in the Adjusted EBITDA of the reportable segments.
Schedule of Sales by Product Division

The following table details Alcoa Corporation’s Sales by product division:

 

 

 

Second quarter ended
June 30,

 

 

Six months ended
June 30,

 

 

 

2024

 

 

2023

 

 

2024

 

 

2023

 

Aluminum

 

$

1,934

 

 

$

1,824

 

 

$

3,595

 

 

$

3,670

 

Alumina

 

 

904

 

 

 

774

 

 

 

1,794

 

 

 

1,488

 

Energy

 

 

29

 

 

 

26

 

 

 

62

 

 

 

54

 

Bauxite

 

 

96

 

 

 

109

 

 

 

157

 

 

 

236

 

Other(1)

 

 

(57

)

 

 

(49

)

 

 

(103

)

 

 

(94

)

 

$

2,906

 

 

$

2,684

 

 

$

5,505

 

 

$

5,354

 

 

 

 

 

 

 

 

 

 

 

 

 

 
(1)
Other includes realized gains and losses related to embedded derivative instruments designated as cash flow hedges of forward sales of aluminum.
v3.24.2.u1
Earnings Per Share (Tables)
 6 Months Ended
Jun. 30, 2024
Earnings Per Share [Abstract]  
Schedule of Computation of Basic and Diluted EPS Attributable to Alcoa Corporation Common Shareholders

The share information used to compute basic and diluted EPS attributable to Alcoa Corporation common shareholders was as follows (shares in millions):

 

 

 

Second quarter ended
June 30,

 

 

Six months ended
June 30,

 

 

 

2024

 

 

2023

 

 

2024

 

 

2023

 

Net income (loss) attributable to Alcoa Corporation

 

$

20

 

 

$

(102

)

 

$

(232

)

 

$

(333

)

Average shares outstanding – basic

 

 

180

 

 

 

178

 

 

 

179

 

 

 

178

 

Effect of dilutive securities:

 

 

 

 

 

 

 

 

 

 

 

 

Stock options

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Stock units

 

 

1

 

 

 

—

 

 

 

—

 

 

 

—

 

Average shares outstanding – diluted

 

 

181

 

 

 

178

 

 

 

179

 

 

 

178

 
v3.24.2.u1
Accumulated Other Comprehensive Loss (Tables)
 6 Months Ended
Jun. 30, 2024
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract]  
Summary of Changes in Accumulated Other Comprehensive (Loss) Income by Component

The following table details the activity of the three components that comprise Accumulated other comprehensive loss for both Alcoa Corporation’s shareholders and Noncontrolling interest:

 

 

 

Alcoa Corporation

 

 

Noncontrolling interest

 

 

 

Second quarter ended
June 30,

 

 

Second quarter ended
June 30,

 

 

 

2024

 

 

2023

 

 

2024

 

 

2023

 

Pension and other postretirement benefits (L)

 

 

 

 

 

 

 

 

 

 

 

 

Balance at beginning of period

 

$

9

 

 

$

66

 

 

$

(14

)

 

$

(5

)

Other comprehensive income (loss):

 

 

 

 

 

 

 

 

 

 

 

 

Unrecognized net actuarial gain/loss and
   prior service cost/benefit

 

 

10

 

 

 

(18

)

 

 

7

 

 

 

(2

)

Tax (expense) benefit(2)

 

 

(2

)

 

 

8

 

 

 

(2

)

 

 

—

 

Total Other comprehensive income (loss)
   before reclassifications, net of tax

 

 

8

 

 

 

(10

)

 

 

5

 

 

 

(2

)

Amortization of net actuarial gain/loss and
   prior service cost/benefit(1)

 

 

5

 

 

 

26

 

 

 

—

 

 

 

—

 

Tax expense(2)

 

 

—

 

 

 

(6

)

 

 

—

 

 

 

—

 

Total amount reclassified from Accumulated
   other comprehensive loss, net of tax(7)

 

 

5

 

 

 

20

 

 

 

—

 

 

 

—

 

Total Other comprehensive income (loss)

 

 

13

 

 

 

10

 

 

 

5

 

 

 

(2

)

Balance at end of period

 

$

22

 

 

$

76

 

 

$

(9

)

 

$

(7

)

 

 

 

 

 

 

 

 

 

 

 

 

 

Foreign currency translation

 

 

 

 

 

 

 

 

 

 

 

 

Balance at beginning of period

 

$

(2,715

)

 

$

(2,683

)

 

$

(1,037

)

 

$

(1,025

)

Other comprehensive (loss) income

 

 

(60

)

 

 

25

 

 

 

(16

)

 

 

11

 

Balance at end of period

 

$

(2,775

)

 

$

(2,658

)

 

$

(1,053

)

 

$

(1,014

)

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash flow hedges (M)

 

 

 

 

 

 

 

 

 

 

 

 

Balance at beginning of period

 

$

(922

)

 

$

(1,038

)

 

$

—

 

 

$

1

 

Other comprehensive (loss) income:

 

 

 

 

 

 

 

 

 

 

 

 

Net change from periodic revaluations

 

 

(153

)

 

 

241

 

 

 

—

 

 

 

—

 

Tax benefit (expense)(2)

 

 

31

 

 

 

(38

)

 

 

—

 

 

 

—

 

Total Other comprehensive (loss) income
   before reclassifications, net of tax

 

 

(122

)

 

 

203

 

 

 

—

 

 

 

—

 

Net amount reclassified to earnings:

 

 

 

 

 

 

 

 

 

 

 

 

Aluminum contracts(3)

 

 

75

 

 

 

33

 

 

 

—

 

 

 

—

 

Financial contracts(4)

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Interest rate contracts(5)

 

 

(1

)

 

 

(3

)

 

 

(1

)

 

 

—

 

Foreign exchange contracts(6)

 

 

—

 

 

 

(3

)

 

 

—

 

 

 

—

 

Sub-total

 

 

74

 

 

 

27

 

 

 

(1

)

 

 

—

 

Tax expense(2)

 

 

(14

)

 

 

(4

)

 

 

—

 

 

 

—

 

Total amount reclassified from Accumulated
   other comprehensive loss, net of tax(7)

 

 

60

 

 

 

23

 

 

 

(1

)

 

 

—

 

Total Other comprehensive (loss) income

 

 

(62

)

 

 

226

 

 

 

(1

)

 

 

—

 

Balance at end of period

 

$

(984

)

 

$

(812

)

 

$

(1

)

 

$

1

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total Accumulated other comprehensive loss

 

$

(3,737

)

 

$

(3,394

)

 

$

(1,063

)

 

$

(1,020

)

 

 

 

 

Alcoa Corporation

 

 

Noncontrolling interest

 

 

 

Six months ended
June 30,

 

 

Six months ended
June 30,

 

 

 

2024

 

 

2023

 

 

2024

 

 

2023

 

Pension and other postretirement benefits (L)

 

 

 

 

 

 

 

 

 

 

 

 

Balance at beginning of period

 

$

—

 

 

$

62

 

 

$

(15

)

 

$

(5

)

Other comprehensive income (loss):

 

 

 

 

 

 

 

 

 

 

 

 

Unrecognized net actuarial gain/loss and
   prior service cost/benefit

 

 

14

 

 

 

(18

)

 

 

7

 

 

 

(2

)

Tax (expense) benefit(2)

 

 

(3

)

 

 

8

 

 

 

(2

)

 

 

—

 

Total Other comprehensive income (loss)
   before reclassifications, net of tax

 

 

11

 

 

 

(10

)

 

 

5

 

 

 

(2

)

Amortization of net actuarial gain/loss and
   prior service cost/benefit(1)

 

 

11

 

 

 

30

 

 

 

1

 

 

 

—

 

Tax expense(2)

 

 

—

 

 

 

(6

)

 

 

—

 

 

 

—

 

Total amount reclassified from Accumulated
   other comprehensive loss, net of tax(7)

 

 

11

 

 

 

24

 

 

 

1

 

 

 

—

 

Total Other comprehensive income (loss)

 

 

22

 

 

 

14

 

 

 

6

 

 

 

(2

)

Balance at end of period

 

$

22

 

 

$

76

 

 

$

(9

)

 

$

(7

)

 

 

 

 

 

 

 

 

 

 

 

 

 

Foreign currency translation

 

 

 

 

 

 

 

 

 

 

 

 

Balance at beginning of period

 

$

(2,593

)

 

$

(2,685

)

 

$

(983

)

 

$

(1,040

)

Other comprehensive (loss) income

 

 

(182

)

 

 

27

 

 

 

(70

)

 

 

26

 

Balance at end of period

 

$

(2,775

)

 

$

(2,658

)

 

$

(1,053

)

 

$

(1,014

)

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash flow hedges (M)

 

 

 

 

 

 

 

 

 

 

 

 

Balance at beginning of period

 

$

(1,052

)

 

$

(916

)

 

$

—

 

 

$

1

 

Other comprehensive (loss) income:

 

 

 

 

 

 

 

 

 

 

 

 

Net change from periodic revaluations

 

 

(36

)

 

 

54

 

 

 

—

 

 

 

—

 

Total Other comprehensive (loss) income
   before reclassifications, net of tax

 

 

(36

)

 

 

54

 

 

 

—

 

 

 

—

 

Net amount reclassified to earnings:

 

 

 

 

 

 

 

 

 

 

 

 

Aluminum contracts(3)

 

 

132

 

 

 

94

 

 

 

—

 

 

 

—

 

Financial contracts(4)

 

 

—

 

 

 

(20

)

 

 

—

 

 

 

—

 

Interest rate contracts(5)

 

 

(1

)

 

 

(2

)

 

 

(1

)

 

 

—

 

Foreign exchange contracts(6)

 

 

(4

)

 

 

(8

)

 

 

—

 

 

 

—

 

Sub-total

 

 

127

 

 

 

64

 

 

 

(1

)

 

 

—

 

Tax expense(2)

 

 

(23

)

 

 

(14

)

 

 

—

 

 

 

—

 

Total amount reclassified from Accumulated
   other comprehensive loss, net of tax(7)

 

 

104

 

 

 

50

 

 

 

(1

)

 

 

—

 

Total Other comprehensive income (loss)

 

 

68

 

 

 

104

 

 

 

(1

)

 

 

—

 

Balance at end of period

 

$

(984

)

 

$

(812

)

 

$

(1

)

 

$

1

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total Accumulated other comprehensive loss

 

$

(3,737

)

 

$

(3,394

)

 

$

(1,063

)

 

$

(1,020

)

 

(1)
These amounts were included in the computation of net periodic benefit cost for pension and other postretirement benefits (see Note L).
(2)
These amounts were reported in Provision for income taxes on the accompanying Statement of Consolidated Operations.
(3)
These amounts were reported in Sales on the accompanying Statement of Consolidated Operations.
(4)
These amounts were reported in Cost of goods sold on the accompanying Statement of Consolidated Operations.
(5)
These amounts were reported in Other (income) expenses, net on the accompanying Statement of Consolidated Operations.
(6)
For the second quarter and six-month period of 2024, these amounts were reported in Sales (both periods) on the accompanying Statement of Consolidated Operations. For the second quarter and six-month period of 2023, $4 was reported in Cost of goods sold (both periods) and $(7) and $(12) were reported in Sales, respectively, on the accompanying Statement of Consolidated Operations.
(7)
A positive amount indicates a corresponding charge to earnings and a negative amount indicates a corresponding benefit to earnings.
v3.24.2.u1
Investments (Tables)
 6 Months Ended
Jun. 30, 2024
Equity Method Investments and Joint Ventures [Abstract]  
Summary of Unaudited Financial Information for Alcoa Corporation's Equity Investments A summary of unaudited financial information for Alcoa Corporation’s equity investments is as follows (amounts represent 100% of investee financial information):

 

Second quarter ended June 30, 2024

 

Saudi Arabia
Joint Venture

 

 

Mining

 

 

Energy

 

 

Other

 

Sales

 

$

804

 

 

$

158

 

 

$

59

 

 

$

114

 

Cost of goods sold

 

 

613

 

 

 

104

 

 

 

25

 

 

 

104

 

Net income (loss)

 

 

102

 

 

 

14

 

 

 

29

 

 

 

(20

)

Equity in net income (loss) of affiliated companies,
   before reconciling adjustments

 

 

26

 

 

 

6

 

 

 

11

 

 

 

(9

)

Other

 

 

(4

)

 

 

—

 

 

 

—

 

 

 

12

 

Alcoa Corporation’s equity in net income of
   affiliated companies

 

 

22

 

 

 

6

 

 

 

11

 

 

 

3

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Second quarter ended June 30, 2023

 

 

 

 

 

 

 

 

 

 

 

 

Sales

 

$

700

 

 

$

172

 

 

$

59

 

 

$

116

 

Cost of goods sold

 

 

620

 

 

 

101

 

 

 

32

 

 

 

106

 

Net (loss) income

 

 

(99

)

 

 

14

 

 

 

22

 

 

 

(33

)

Equity in net (loss) income of affiliated companies,
   before reconciling adjustments

 

 

(25

)

 

 

6

 

 

 

9

 

 

 

(15

)

Other

 

 

(3

)

 

 

1

 

 

 

1

 

 

 

7

 

Alcoa Corporation’s equity in net (loss) income of
   affiliated companies

 

 

(28

)

 

 

7

 

 

 

10

 

 

 

(8

)

 

 

 

 

 

 

 

 

 

 

 

 

 

Six months ended June 30, 2024

 

 

 

 

 

 

 

 

 

 

 

 

Sales

 

$

1,515

 

 

$

273

 

 

$

122

 

 

$

229

 

Cost of goods sold

 

 

1,212

 

 

 

207

 

 

 

50

 

 

 

209

 

Net income (loss)

 

 

94

 

 

 

9

 

 

 

60

 

 

 

(36

)

Equity in net income (loss) of affiliated companies,
   before reconciling adjustments

 

 

24

 

 

 

4

 

 

 

23

 

 

 

(17

)

Other

 

 

(12

)

 

 

—

 

 

 

(1

)

 

 

7

 

Alcoa Corporation’s equity in net income (loss) of
   affiliated companies

 

 

12

 

 

 

4

 

 

 

22

 

 

 

(10

)

 

 

 

 

 

 

 

 

 

 

 

 

 

Six months ended June 30, 2023

 

 

 

 

 

 

 

 

 

 

 

 

Sales

 

$

1,300

 

 

$

359

 

 

$

117

 

 

$

237

 

Cost of goods sold

 

 

1,302

 

 

 

204

 

 

 

59

 

 

 

219

 

Net (loss) income

 

 

(351

)

 

 

38

 

 

 

46

 

 

 

(49

)

Equity in net (loss) income of affiliated companies,
   before reconciling adjustments

 

 

(88

)

 

 

17

 

 

 

18

 

 

 

(23

)

Other

 

 

(15

)

 

 

1

 

 

 

1

 

 

 

—

 

Alcoa Corporation’s equity in net (loss) income of
   affiliated companies

 

 

(103

)

 

 

18

 

 

 

19

 

 

 

(23

)

 
v3.24.2.u1
Inventories (Tables)
 6 Months Ended
Jun. 30, 2024
Inventory Disclosure [Abstract]  
Schedule of Inventory Components

 

 

June 30, 2024

 

 

December 31, 2023

 

Finished goods

 

$

320

 

 

$

355

 

Work-in-process

 

 

268

 

 

 

287

 

Bauxite and alumina

 

 

530

 

 

 

586

 

Purchased raw materials

 

 

612

 

 

 

700

 

Operating supplies

 

 

245

 

 

 

230

 

 

 

$

1,975

 

 

$

2,158

 
v3.24.2.u1
Pension and Other Postretirement Benefits (Tables)
 6 Months Ended
Jun. 30, 2024
Retirement Benefits [Abstract]  
Components of Net Periodic Benefit Cost

The components of net periodic benefit cost were as follows:

 

 

Second quarter ended
June 30,

 

 

Six months ended
June 30,

 

Pension benefits

 

2024

 

 

2023

 

 

2024

 

 

2023

 

Service cost

 

$

3

 

 

$

3

 

 

$

5

 

 

$

5

 

Interest cost(1)

 

 

27

 

 

 

29

 

 

 

54

 

 

 

60

 

Expected return on plan assets(1)

 

 

(35

)

 

 

(37

)

 

 

(70

)

 

 

(76

)

Recognized net actuarial loss(1)

 

 

8

 

 

 

7

 

 

 

16

 

 

 

14

 

Curtailments(2)

 

 

—

 

 

 

—

 

 

 

1

 

 

 

—

 

Settlements(2)

 

 

(1

)

 

 

21

 

 

 

(1

)

 

 

21

 

Net periodic benefit cost

 

$

2

 

 

$

23

 

 

$

5

 

 

$

24

 

 

 

 

Second quarter ended
June 30,

 

 

Six months ended
June 30,

 

Other postretirement benefits

 

2024

 

 

2023

 

 

2024

 

 

2023

 

Service cost

 

$

—

 

 

$

1

 

 

$

1

 

 

$

2

 

Interest cost(1)

 

 

6

 

 

 

7

 

 

 

12

 

 

 

13

 

Recognized net actuarial loss(1)

 

 

2

 

 

 

1

 

 

 

3

 

 

 

2

 

Amortization of prior service benefit(1)

 

 

(4

)

 

 

(4

)

 

 

(7

)

 

 

(7

)

Net periodic benefit cost

 

$

4

 

 

$

5

 

 

$

9

 

 

$

10

 

 

(1)
These amounts were reported in Other (income) expenses, net on the accompanying Statement of Consolidated Operations (see Note P).
(2)
These amounts were reported in Restructuring and other charges, net on the accompanying Statement of Consolidated Operations and Cash Flows.
Summary of Information in Curtailment or Settlement of Benefits Requiring Remeasurement, Update to Discount Rates Used to Determine Benefit Obligations of Affected Plans

Action #

 

Number of
affected
plan
participants

 

Weighted
average
discount rate
as of prior plan remeasurement
date

 

Plan
remeasurement
date

 

Weighted
average
discount rate
as of plan
remeasurement
date

 

Increase (decrease) to
other noncurrent assets

 

 

Curtailment
loss(1)

 

 

Settlement gain(2)

 

1

 

~110

 

N/A

 

N/A

 

N/A

 

$

(1

)

 

$

1

 

 

$

—

 

2

 

~10

 

4.81%

 

June 30, 2024

 

5.23%

 

 

19

 

 

 

—

 

 

 

(1

)

 

 

~120

 

 

 

 

 

 

 

$

18

 

 

$

1

 

 

$

(1

)
(1)
This amount represents the net actuarial loss arising from the curtailment and was recognized immediately in Restructuring and other charges, net on the accompanying Statement of Consolidated Operations.
(2)
This amount represents the net actuarial gain and was reclassified from Accumulated other comprehensive loss to Restructuring and other charges, net on the accompanying Statement of Consolidated Operations.
v3.24.2.u1
Derivatives and Other Financial Instruments (Tables)
 6 Months Ended
Jun. 30, 2024
Fair Value Disclosures [Abstract]  
Schedule of Detail for Level 1 and 3 Derivatives

The following tables present the detail for Level 1 and 3 derivatives (see additional Level 3 information in further tables below):

 

 

 

June 30, 2024

 

 

December 31, 2023

 

 

 

Assets

 

 

Liabilities

 

 

Assets

 

 

Liabilities

 

Level 1 derivative instruments

 

$

4

 

 

$

11

 

 

$

16

 

 

$

9

 

Level 3 derivative instruments

 

 

34

 

 

 

1,191

 

 

 

16

 

 

 

1,297

 

Total

 

$

38

 

 

$

1,202

 

 

$

32

 

 

$

1,306

 

Less: Current

 

 

38

 

 

 

251

 

 

 

29

 

 

 

214

 

Noncurrent

 

$

—

 

 

$

951

 

 

$

3

 

 

$

1,092

 

 

 

 

2024

 

 

2023

 

Second quarter ended June 30,

 

Unrealized loss recognized in Other comprehensive loss

 

 

Realized gain (loss) reclassed from Other comprehensive loss to earnings

 

 

Unrealized gain recognized in Other comprehensive loss

 

 

Realized gain (loss) reclassed from Other comprehensive loss to earnings

 

Level 1 derivative instruments

 

$

(7

)

 

$

—

 

 

$

42

 

 

$

28

 

Level 3 derivative instruments

 

 

(146

)

 

 

(75

)

 

 

197

 

 

 

(58

)

Noncontrolling and equity interest (Level 2)

 

 

—

 

 

 

1

 

 

 

2

 

 

 

3

 

Total

 

$

(153

)

 

$

(74

)

 

$

241

 

 

$

(27

)

For the second quarter of 2024, the realized gains and losses on Level 1 cash flow hedges were immaterial. For the second quarter of 2023, the realized gain of $28 on Level 1 cash flow hedges was comprised of a $32 gain recognized in Sales and a $4 loss recognized in Cost of goods sold.

 

 

2024

 

 

2023

 

Six months ended June 30,

 

Unrealized loss recognized in Other comprehensive loss

 

 

Realized gain (loss) reclassed from Other comprehensive loss to earnings

 

 

Unrealized gain recognized in Other comprehensive loss

 

 

Realized gain (loss) reclassed from Other comprehensive loss to earnings

 

Level 1 derivative instruments

 

$

(10

)

 

$

4

 

 

$

31

 

 

$

44

 

Level 3 derivative instruments

 

 

(26

)

 

 

(132

)

 

 

23

 

 

 

(110

)

Noncontrolling and equity interest (Level 2)

 

 

—

 

 

 

1

 

 

 

—

 

 

 

2

 

Total

 

$

(36

)

 

$

(127

)

 

$

54

 

 

$

(64

)
Schedule of Outstanding Quantities of Derivative Instruments

The following table presents the outstanding quantities of derivative instruments classified as Level 1:

 

 

Classification

 

June 30, 2024

 

 

June 30, 2023

 

Aluminum (in kmt)

Commodity buy forwards

 

 

133

 

 

 

187

 

Aluminum (in kmt)

Commodity sell forwards

 

 

80

 

 

 

206

 

Foreign currency (in millions of euro)

Foreign exchange buy forwards

 

 

61

 

 

 

86

 

Foreign currency (in millions of euro)

Foreign exchange sell forwards

 

 

16

 

 

 

18

 

Foreign currency (in millions of Norwegian krone)

Foreign exchange buy forwards

 

 

85

 

 

 

232

 

Foreign currency (in millions of Brazilian real)

Foreign exchange buy forwards

 

 

351

 

 

 

1,010

 

Foreign currency (in millions of Canadian dollar)

Foreign exchange buy forwards

 

 

22

 

 

 

—

 
Schedule of Quantitative Information for Level 3 Derivative Contracts

The following table presents quantitative information related to the significant unobservable inputs described above for Level 3 derivative instruments (megawatt hours in MWh):

 

 

 

June 30, 2024

 

 

Unobservable Input

 

Unobservable Input Range

Asset Derivatives

 

 

 

 

 

 

 

 

Financial contract (undesignated)

 

$

34

 

 

Interrelationship of forward energy price, LME forward price, and the Consumer Price Index

 

Electricity
(per MWh)

2024: $93.52
2024: $40.54

 

 

 

 

 

 

 

LME (per mt)

2024: $2,491

 

 

 

 

 

 

 

 

2024: $2,562

Total Asset Derivatives

 

$

34

 

 

 

 

 

 

Liability Derivatives

 

 

 

 

 

 

 

 

Power contract

 

$

180

 

 

MWh of energy needed to produce the forecasted mt of aluminum

 

LME (per mt)

2024: $2,491
2027: $2,742

 

 

 

 

 

 

 

Electricity

Rate of 4 million MWh per year

Power contracts

 

 

1,008

 

 

MWh of energy needed to produce the forecasted mt of aluminum

 

LME (per mt)

2024: $2,491
2029: $2,734
2036: $2,934

 

 

 

 

 

 

 

Midwest premium
(per pound)

2024: $0.1999
2029: $0.2365
2036: $0.2365

 

 

 

 

 

 

 

Electricity

Rate of 18 million MWh per year

Power contract

 

 

2

 

 

MWh of energy needed to produce the forecasted mt of aluminum

 

LME (per mt)

2024: $2,491
2024: $2,524

 

 

 

 

 

 

 

Midwest premium
(per pound)

2024: $0.1999
2024: $0.2240

 

 

 

 

 

 

 

Electricity

Rate of 2 million MWh per year

Power contract (undesignated)

 

 

1

 

 

Estimated spread between the 30-year debt yield of Alcoa and the counterparty

 

Credit spread

1.71%: 30-year debt yield spread
6.98%: Alcoa (estimated)
5.27%: counterparty

Total Liability Derivatives

 

$

1,191

 

 

 

 

 

 
Schedule of Fair Values of Level 3 Derivative Instruments Recorded as Assets and Liabilities

The fair values of Level 3 derivative instruments recorded in the accompanying Consolidated Balance Sheet were as follows:

 

Asset Derivatives

 

June 30, 2024

 

 

December 31, 2023

 

Derivatives not designated as hedging instruments:

 

 

 

 

 

 

Current—financial contract

 

$

34

 

 

$

16

 

Total derivatives not designated as hedging instruments

 

$

34

 

 

$

16

 

Total Asset Derivatives

 

$

34

 

 

$

16

 

Liability Derivatives

 

 

 

 

 

 

Derivatives designated as hedging instruments:

 

 

 

 

 

 

Current—power contracts

 

$

245

 

 

$

210

 

Noncurrent—power contracts

 

 

945

 

 

 

1,087

 

Total derivatives designated as hedging instruments

 

$

1,190

 

 

$

1,297

 

Derivatives not designated as hedging instruments:

 

 

 

 

 

 

Noncurrent—embedded credit derivative

 

 

1

 

 

 

—

 

Total derivatives not designated as hedging instruments

 

$

1

 

 

$

—

 

Total Liability Derivatives

 

$

1,191

 

 

$

1,297

 
Schedule of Reconciliation of Activity for Derivative Contracts

The following tables present the reconciliation of activity for Level 3 derivative instruments:

 

 

Assets

 

Second quarter ended June 30, 2024

 

Financial contracts

 

April 1, 2024

 

$

12

 

Total gains or losses included in:

 

 

 

Other income, net (unrealized/realized)

 

 

55

 

Settlements and other

 

 

(33

)

June 30, 2024

 

$

34

 

Change in unrealized gains or losses included in earnings
   for derivative instruments held at June 30, 2024:

 

 

 

Other income, net

 

$

55

 

 

 

 

Liabilities

 

Second quarter ended June 30, 2024

 

Power contracts

 

Embedded
credit
derivative

 

April 1, 2024

 

$

1,120

 

$

—

 

Total gains or losses included in:

 

 

 

 

 

Sales (realized)

 

 

(76

)

 

—

 

Other expenses, net (unrealized/realized)

 

 

—

 

 

1

 

Other comprehensive income (unrealized)

 

 

146

 

 

—

 

June 30, 2024

 

$

1,190

 

$

1

 

Change in unrealized gains or losses included in earnings
   for derivative instruments held at June 30, 2024:

 

 

 

 

 

Other expenses, net

 

$

—

 

$

1

 

 

 

 

Assets

 

Six months ended June 30, 2024

 

Financial contracts

 

January 1, 2024

 

$

16

 

Total gains or losses included in:

 

 

 

Other income, net (unrealized/realized)

 

 

50

 

Settlements and other

 

 

(32

)

June 30, 2024

 

$

34

 

Change in unrealized gains or losses included in earnings
   for derivative instruments held at June 30, 2024:

 

 

 

Other income, net

 

$

50

 

 

 

 

Liabilities

 

Six months ended June 30, 2024

 

Power contracts

 

Embedded
credit
derivative

 

January 1, 2024

 

$

1,297

 

$

—

 

Total gains or losses included in:

 

 

 

 

 

Sales (realized)

 

 

(133

)

 

—

 

Other expenses, net (unrealized/realized)

 

 

—

 

 

1

 

Other comprehensive income (unrealized)

 

 

26

 

 

—

 

June 30, 2024

 

$

1,190

 

$

1

 

Change in unrealized gains or losses included in earnings
   for derivative instruments held at June 30, 2024:

 

 

 

 

 

Other expenses, net

 

$

—

 

$

1

 
Schedule of Carrying Values and Fair Values of Other Financial Instruments

The carrying values and fair values of Alcoa Corporation’s other financial instruments were as follows:

 

 

 

June 30, 2024

 

 

December 31, 2023

 

 

 

Carrying value

 

 

Fair value

 

 

Carrying value

 

 

Fair value

 

Cash and cash equivalents

 

$

1,396

 

 

$

1,396

 

 

$

944

 

 

$

944

 

Restricted cash

 

 

97

 

 

 

97

 

 

 

103

 

 

 

103

 

Short-term borrowings

 

 

31

 

 

 

31

 

 

 

56

 

 

 

56

 

Long-term debt due within one year

 

 

79

 

 

 

79

 

 

 

79

 

 

 

79

 

Long-term debt, less amount due within one year

 

 

2,469

 

 

 

2,477

 

 

 

1,732

 

 

 

1,702

 
v3.24.2.u1
Income Taxes (Tables)
 6 Months Ended
Jun. 30, 2024
Income Tax Disclosure [Abstract]  
Schedule of Income Taxes

 

 

 

Six months ended June 30,

 

 

2024

 

 

 

2023

 

 

Loss before income taxes

 

$

(233

)

 

 

$

(279

)

 

Estimated annualized effective tax rate

 

 

105.1

 

%

 

 

(29.3

)

%

Income tax (benefit) expense

 

$

(245

)

 

 

$

82

 

 

Unfavorable (favorable) tax impact related to losses in jurisdictions with no tax benefit

 

 

288

 

 

 

 

(11

)

 

Discrete tax expense

 

 

—

 

 

 

 

3

 

 

Provision for income taxes

 

$

43

 

 

 

$

74

 

 
v3.24.2.u1
Contingencies (Tables)
 6 Months Ended
Jun. 30, 2024
Commitments and Contingencies Disclosure [Abstract]  
Schedule of Changes in Carrying Value of Recorded Environmental Remediation Reserves The following table details the changes in the carrying value of recorded environmental remediation reserves:

Balance at December 31, 2022

 

$

284

 

Liabilities incurred

 

 

39

 

Cash payments

 

 

(55

)

Reversals of previously recorded liabilities

 

 

(1

)

Foreign currency translation and other

 

 

1

 

Balance at December 31, 2023

 

 

268

 

Liabilities incurred

 

 

1

 

Cash payments

 

 

(16

)

Foreign currency translation and other

 

 

(1

)

Balance at June 30, 2024

 

$

252

 
Schedule of Estimate Timing of Cash Outflows on Environmental Reserves

The estimated timing of cash outflows from the environmental remediation reserve at June 30, 2024 was as follows:

2024 (excluding the six months ended June 30, 2024)

$

48

 

2025 – 2029

 

119

 

Thereafter

 

85

 

Total

$

252

 
v3.24.2.u1
Other Financial Information (Tables)
 6 Months Ended
Jun. 30, 2024
Other Financial Information [Abstract]  
Schedule of Other (Income) Expenses, Net

Other (Income) Expenses, Net

 

 

Second quarter ended
June 30,

 

 

Six months ended
June 30,

 

 

 

2024

 

 

2023

 

 

2024

 

 

2023

 

Equity (gain) loss

 

$

(22

)

 

$

44

 

 

$

5

 

 

$

139

 

Foreign currency losses (gains), net

 

 

57

 

 

 

(39

)

 

 

81

 

 

 

(55

)

Net loss from asset sales

 

 

6

 

 

 

1

 

 

 

17

 

 

 

15

 

Net (gain) loss on mark-to-market derivative instruments

 

 

(54

)

 

 

9

 

 

 

(49

)

 

 

(17

)

Non-service costs – pension and other postretirement benefits

 

 

4

 

 

 

3

 

 

 

8

 

 

 

6

 

Other, net

 

 

(13

)

 

 

(12

)

 

 

(25

)

 

 

(28

)

 

$

(22

)

 

$

6

 

 

$

37

 

 

$

60

 
Schedule of Other Noncurrent Assets

Other Noncurrent Assets

 

 

June 30, 2024

 

 

December 31, 2023

 

Prepaid gas transmission contract

 

$

296

 

 

$

297

 

Value added tax credits

 

 

287

 

 

 

336

 

Gas supply prepayment

 

 

261

 

 

 

283

 

Deferred mining costs, net

 

 

186

 

 

 

187

 

Prepaid pension benefit

 

 

153

 

 

 

125

 

Goodwill

 

 

144

 

 

 

146

 

Noncurrent prepaid tax asset

 

 

72

 

 

 

73

 

Noncurrent restricted cash

 

 

53

 

 

 

71

 

Intangibles, net

 

 

35

 

 

 

37

 

Other

 

 

114

 

 

 

95

 

 

$

1,601

 

 

$

1,650

 

 
Schedule of Cash and Cash Equivalents and Restricted Cash

Cash and Cash Equivalents and Restricted Cash

 

 

June 30, 2024

 

 

December 31, 2023

 

Cash and cash equivalents

 

$

1,396

 

 

$

944

 

Current restricted cash

 

 

44

 

 

 

32

 

Noncurrent restricted cash

 

 

53

 

 

 

71

 

 

$

1,493

 

 

$

1,047

 
v3.24.2.u1
Basis of Presentation - Additional Information (Detail)
 6 Months Ended
Jun. 30, 2024
Aluminum Segment [Member]  
Basis Of Presentation [Line Items]  
Ownership interest in joint venture 55.00%
AWAC [Member] | Alumina Limited [Member]  
Basis Of Presentation [Line Items]  
Non-controlling interest, ownership percentage 40.00%
AWAC [Member] | Alcoa Corporation [Member]  
Basis Of Presentation [Line Items]  
Ownership interest percentage 60.00%
v3.24.2.u1
Acquisitions and Divestitures - Additional Information (Detail)
$ in Millions
 3 Months Ended 6 Months Ended
Aug. 01, 2024
USD ($)
shares
Jun. 30, 2024
USD ($)
Jun. 30, 2023
USD ($)
Jun. 30, 2024
USD ($)
Jun. 30, 2023
USD ($)
Jul. 26, 2024
$ / shares
Warrick Rolling Mill [Member] | Disposal Group, Held-for-Sale, Not Discontinued Operations [Member]            
Business Disposition [Line Items]            
Estimated liabilities for future site separation commitment charge | $   $ 4   $ 15 $ 17  
Payments against the reserve | $   5 $ 11 12 $ 25  
Remaining reserve | $   $ 14   $ 14    
Alumina Limited [Member] | Subsequent Event [Member]            
Business Disposition [Line Items]            
Agreed ratio value per share | $ / shares           $ 1.45
Aggregate purchase consideration | $ $ 2,800          
AWAC [Member] | Alumina Limited [Member] | Subsequent Event [Member]            
Business Disposition [Line Items]            
Non-controlling interest, ownership percentage 40.00%          
AWAC [Member] | Alcoa Corporation [Member]            
Business Disposition [Line Items]            
Ownership interest percentage   60.00%   60.00%    
Scheme Implementation Deed [Member] | Alumina Limited [Member] | Subsequent Event [Member]            
Business Disposition [Line Items]            
Business acquisition, shares outstanding | shares 2,760,056,014          
Business acquision, number of shares | shares 4          
Debt position exceeds | $ $ 420          
Assumption of indebtedness | $ 385          
Deferred tax assets | $ $ 100          
Scheme Implementation Deed [Member] | New Alcoa Preferred Stock [Member] | Alumina Limited [Member] | Subsequent Event [Member]            
Business Disposition [Line Items]            
Business acquisition, shares outstanding | shares 141,625,403          
Business acquisition, shares exchanged | shares 4,041,989          
Scheme Implementation Deed [Member] | New Alcoa Preferred Stock [Member] | Alumina Limited [Member] | Subsequent Event [Member]            
Business Disposition [Line Items]            
Business acquisition, shares issued | shares 0.02854          
Scheme Implementation Deed [Member] | Alcoa Common Stock [Member] | Alumina Limited [Member] | Subsequent Event [Member]            
Business Disposition [Line Items]            
Business acquisition, shares issued | shares 0.02854          
Business acquisition, shares exchanged | shares 78,772,422          
Scheme Implementation Deed [Member] | Prepaid Expenses and Other Current Assets [Member] | Alumina Limited [Member] | Subsequent Event [Member]            
Business Disposition [Line Items]            
Recognized transaction costs | $ $ 9          
Scheme Implementation Deed [Member] | AWAC [Member] | Alumina Limited [Member] | Subsequent Event [Member] | Maximum [Member]            
Business Disposition [Line Items]            
Ownership interest percentage 100.00%          
Scheme Implementation Deed [Member] | AWAC [Member] | Alumina Limited [Member] | Subsequent Event [Member] | Minimum [Member]            
Business Disposition [Line Items]            
Ownership interest percentage 60.00%          
Scheme Implementation Deed [Member] | CHESS Depositary Interests [Member] | Alumina Limited [Member] | Subsequent Event [Member]            
Business Disposition [Line Items]            
Business acquisition, shares issued | shares 0.02854          
v3.24.2.u1
Restructuring and Other Charges, Net - Additional Information (Detail)
$ in Millions
 1 Months Ended 3 Months Ended 6 Months Ended
Mar. 31, 2023
USD ($)
Employees
Jun. 30, 2024
USD ($)
Sep. 30, 2023
Employees
Jun. 30, 2023
USD ($)
Jun. 30, 2024
USD ($)
Employees
Jun. 30, 2023
USD ($)
Sep. 30, 2025
Employee
Sep. 30, 2024
Employee
Mar. 31, 2024
Employee
Dec. 31, 2023
USD ($)
Restructuring Cost and Reserve [Line Items]                    
Restructuring And Other Charges   $ 18   $ 24 $ 220 $ 173        
Restructuring and other charges, net   18   24 220 173        
Kwinana Refinery [Member]                    
Restructuring Cost and Reserve [Line Items]                    
Restructuring And Other Charges   8     205          
Severance costs         $ 41          
Number of employees | Employee                 780  
Number of employees associated with employee termination and severance costs | Employees     150   580          
Asset impairments         $ 5          
Contract termination cost         2          
Cash outlays includes existing employee related liabilities and asset retirement obligations expected through 2025         225          
Cash outlays to be spent in 2024         145          
Cash outlays   22     24          
Kwinana Refinery [Member] | Forecast [Member]                    
Restructuring Cost and Reserve [Line Items]                    
Number of employees | Employee             50 250    
Pension Benefits [Member]                    
Restructuring Cost and Reserve [Line Items]                    
Settlement of certain other postretirement benefits [1]   (1)   $ 21 (1) 21        
Alcoa Corporation [Member]                    
Restructuring Cost and Reserve [Line Items]                    
Noncurrent portion of the reserve   22     22         $ 15
Intalco [Member]                    
Restructuring Cost and Reserve [Line Items]                    
Restructuring And Other Charges $ 101         101        
Severance costs $ 1                  
Number of employees associated with employee termination and severance costs | Employees 12                  
Asset impairments $ 50                  
Cash outlays   9     13          
San Ciprian Facility [Member]                    
Restructuring Cost and Reserve [Line Items]                    
Cash outlays includes existing employee related liabilities and asset retirement obligations expected through 2025         47          
Cash outlays to be spent in 2024         36          
Cash outlays   9     18          
Restart costs         32          
Commitments For Capital Improvement Costs         78          
Restricted cash   86     86          
Capital improvement costs         111          
Wenatchee (Washington) [Member]                    
Restructuring Cost and Reserve [Line Items]                    
Restructuring And Other Charges   8     12          
Cost of Goods Sold [Member] | Intalco [Member]                    
Restructuring Cost and Reserve [Line Items]                    
Other costs 16                  
Restructuring and Other Charges [Member] | San Ciprian Facility [Member]                    
Restructuring Cost and Reserve [Line Items]                    
Restructuring and other charges, net           47        
2023 Restructuring Plans Action [Member]                    
Restructuring Cost and Reserve [Line Items]                    
Restructuring and other charges, net           173        
2024 Restructuring Plans Action [Member]                    
Restructuring Cost and Reserve [Line Items]                    
Restructuring and other charges, net   $ 18     220          
Closure Cost [Member] | Intalco [Member]                    
Restructuring Cost and Reserve [Line Items]                    
Restructuring And Other Charges 117                  
Cash outlays to be spent in 2024         45          
Cash outlays expected over next three years         85          
Certain Employee Obligations [Member] | San Ciprian Aluminum Smelter [Member]                    
Restructuring Cost and Reserve [Line Items]                    
Restructuring And Other Charges           $ 47        
Environmental and Demolition Obligation [Member] | Intalco [Member]                    
Restructuring Cost and Reserve [Line Items]                    
Restructuring And Other Charges $ 50                  
Water Management Costs [Member] | Kwinana Refinery [Member]                    
Restructuring Cost and Reserve [Line Items]                    
Restructuring And Other Charges         129          
Asset Retirement Obligations [Member] | Kwinana Refinery [Member]                    
Restructuring Cost and Reserve [Line Items]                    
Restructuring And Other Charges         15          
Take Or-Pay Contracts [Member] | Kwinana Refinery [Member]                    
Restructuring Cost and Reserve [Line Items]                    
Restructuring And Other Charges         $ 13          
[1] These amounts were reported in Restructuring and other charges, net on the accompanying Statement of Consolidated Operations and Cash Flows.
v3.24.2.u1
Restructuring and Other Charges, Net - Schedule of Restructuring and Other Charges, Net by Reportable Segments, Pretax (Detail) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2024
Jun. 30, 2023
Restructuring Cost and Reserve [Line Items]        
Restructuring and other charges, net $ 18 $ 24 $ 220 $ 173
Operating Segments [Member]        
Restructuring Cost and Reserve [Line Items]        
Restructuring and other charges, net 8 20 205 167
Corporate [Member]        
Restructuring Cost and Reserve [Line Items]        
Restructuring and other charges, net 10 4 15 6
Alumina [Member] | Operating Segments [Member]        
Restructuring Cost and Reserve [Line Items]        
Restructuring and other charges, net $ 8 1 $ 205 2
Aluminum Segment [Member] | Operating Segments [Member]        
Restructuring Cost and Reserve [Line Items]        
Restructuring and other charges, net   $ 19   $ 165
v3.24.2.u1
Restructuring and Other Charges, Net - Activity and Reserve Balances for Restructuring Charges (Detail) - USD ($)
$ in Millions
 6 Months Ended 12 Months Ended
Jun. 30, 2024
Dec. 31, 2023
Restructuring Cost and Reserve [Line Items]    
Restructuring reserve beginning balance $ 63 $ 117
Restructuring and other charges, net 199 66
Cash payments (56) (124)
Reversals and other 4 4
Restructuring reserve ending balance 210 63
Severance and Employee Termination Costs [Member]    
Restructuring Cost and Reserve [Line Items]    
Restructuring reserve beginning balance 6 1
Restructuring and other charges, net 43 11
Cash payments (1) (6)
Reversals and other 1  
Restructuring reserve ending balance 49 6
Other Costs [Member]    
Restructuring Cost and Reserve [Line Items]    
Restructuring reserve beginning balance 57 116
Restructuring and other charges, net 156 55
Cash payments (55) (118)
Reversals and other 3 4
Restructuring reserve ending balance $ 161 $ 57
v3.24.2.u1
Segment Information - Schedule of Operating Results of Alcoa's Reportable Segments (Detail) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2024
Jun. 30, 2023
Segment Reporting Information [Line Items]        
Segment Adjusted EBITDA $ 419 $ 143 $ 608 $ 430
Depreciation, depletion, and amortization 158 148 313 295
Equity (loss) income 23 (27) 14 (101)
Operating Segments [Member]        
Segment Reporting Information [Line Items]        
Total sales 3,365 3,083 6,363 6,174
Intersegment Eliminations [Member]        
Segment Reporting Information [Line Items]        
Intersegment sales 460 401 859 825
Third-Party Sales [Member] | Operating Segments [Member]        
Segment Reporting Information [Line Items]        
Third-party sales 2,905 2,682 5,504 5,349
Alumina [Member]        
Segment Reporting Information [Line Items]        
Segment Adjusted EBITDA 186 33 325 136
Depreciation, depletion, and amortization 90 80 177 157
Equity (loss) income 2 (11) (9) (28)
Alumina [Member] | Operating Segments [Member]        
Segment Reporting Information [Line Items]        
Total sales 1,467 1,291 2,823 2,569
Alumina [Member] | Intersegment Eliminations [Member]        
Segment Reporting Information [Line Items]        
Intersegment sales 457 397 852 818
Alumina [Member] | Third-Party Sales [Member] | Operating Segments [Member]        
Segment Reporting Information [Line Items]        
Third-party sales 1,010 894 1,971 1,751
Aluminum [Member]        
Segment Reporting Information [Line Items]        
Segment Adjusted EBITDA 233 110 283 294
Depreciation, depletion, and amortization 68 68 136 138
Equity (loss) income 21 (16) 23 (73)
Aluminum [Member] | Operating Segments [Member]        
Segment Reporting Information [Line Items]        
Total sales 1,898 1,792 3,540 3,605
Aluminum [Member] | Intersegment Eliminations [Member]        
Segment Reporting Information [Line Items]        
Intersegment sales 3 4 7 7
Aluminum [Member] | Third-Party Sales [Member] | Operating Segments [Member]        
Segment Reporting Information [Line Items]        
Third-party sales $ 1,895 $ 1,788 $ 3,533 $ 3,598
v3.24.2.u1
Segment Information - Schedule of Segment Adjusted EBITDA to Consolidated Net Income (Loss) Attributable to Alcoa Corporation (Detail) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2024
Jun. 30, 2023
Segment Reporting Information [Line Items]        
Total Segment Adjusted EBITDA $ 419 $ 143 $ 608 $ 430
Transformation (16) (17) (30) (25)
Intersegment eliminations (29) 31 (37) 23
Corporate expenses (41) (24) (75) (54)
Provision for depreciation, depletion, and amortization (163) (153) (324) (306)
Restructuring and other charges, net (D) (18) (24) (220) (173)
Interest expense (40) (27) (67) (53)
Other income (expenses), net (P) 22 (6) (37) (60)
Other (42) (22) (51) (61)
Consolidated income (loss) before income taxes 92 (99) (233) (279)
Provision for income taxes (61) (22) (43) (74)
Net (income) loss attributable to noncontrolling interest (11) 19 44 20
NET INCOME (LOSS) ATTRIBUTABLE TO ALCOA CORPORATION $ 20 $ (102) $ (232) $ (333)
v3.24.2.u1
Segment Information - Schedule of Sales by Product Division (Detail) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2024
Jun. 30, 2023
Disaggregation Of Revenue [Line Items]        
Sales $ 2,906 $ 2,684 $ 5,505 $ 5,354
Aluminum [Member]        
Disaggregation Of Revenue [Line Items]        
Sales 1,934 1,824 3,595 3,670
Alumina [Member]        
Disaggregation Of Revenue [Line Items]        
Sales 904 774 1,794 1,488
Energy [Member]        
Disaggregation Of Revenue [Line Items]        
Sales 29 26 62 54
Bauxite [Member]        
Disaggregation Of Revenue [Line Items]        
Sales 96 109 157 236
Other [Member]        
Disaggregation Of Revenue [Line Items]        
Sales $ (57) $ (49) $ (103) $ (94)
v3.24.2.u1
Earnings Per Share - Schedule of Computation of Basic and Diluted EPS Attributable to Alcoa Corporation Common Shareholders (Detail) - USD ($)
shares in Millions, $ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2024
Jun. 30, 2023
Earnings Per Share [Abstract]        
Net Income (Loss) $ 20 $ (102) $ (232) $ (333)
Average shares outstanding – basic 180 178 179 178
Effect of dilutive securities:        
Stock units 1      
Average shares outstanding – diluted 181 178 179 178
v3.24.2.u1
Earnings Per Share - Additional Information (Detail) - Stock Awards and Stock Options [Member] - shares
shares in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2023
Jun. 30, 2024
Jun. 30, 2023
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]      
Common shares equivalents that would have been included in diluted average shares outstanding 2 2 3
Number of anti-dilutive securities 3 3 3
v3.24.2.u1
Accumulated Other Comprehensive Loss - Summary of Changes in Accumulated Other Comprehensive (Loss) Income by Component (Detail) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2024
Jun. 30, 2023
Dec. 31, 2023
Pension and other postretirement benefits (L)          
Total Other comprehensive income (loss) $ (18) $ (8) $ (28) $ (12)  
Foreign currency translation          
Other comprehensive (loss) income (76) 36 (252) 53  
Cash flow hedges (M)          
Net change from periodic revaluations (153) 241 (36) 54  
Net amount reclassified to earnings 74 27 127 64  
Total Accumulated other comprehensive loss (3,737)   (3,737)   $ (3,645)
Alcoa Corporation [Member]          
Pension and other postretirement benefits (L)          
Balance at beginning of period 9 66   62  
Unrecognized net actuarial gain/loss and prior service cost/benefit 10 (18) 14 (18)  
Tax benefit (expense) (2) 8 (3) 8  
Total Other comprehensive income (loss) before reclassifications, net of tax 8 (10) 11 (10)  
Amortization of net actuarial gain/loss and prior service cost/benefit 5 26 11 30  
Tax benefit (expense)   (6)   (6)  
Total amount reclassified from Accumulated other comprehensive loss, net of tax 5 20 11 24  
Total Other comprehensive income (loss) 13 10 22 14  
Balance at end of period 22 76 22 76  
Foreign currency translation          
Balance at beginning of period (2,715) (2,683) (2,593) (2,685)  
Other comprehensive (loss) income (60) 25 (182) 27  
Balance at end of period (2,775) (2,658) (2,775) (2,658)  
Cash flow hedges (M)          
Balance at beginning of period (922) (1,038) (1,052) (916)  
Net change from periodic revaluations (153) 241 (36) 54  
Tax (expense) benefit 31 (38)      
Total Other comprehensive income (loss) before reclassifications, net of tax (122) 203 (36) 54  
Net amount reclassified to earnings 74 27 127 64  
Tax expense (14) (4) (23) (14)  
Total amount reclassified from Accumulated other comprehensive loss, net of tax 60 23 104 50  
Total Other comprehensive income (loss) (62) 226 68 104  
Balance at end of period (984) (812) (984) (812)  
Total Accumulated other comprehensive loss (3,737) (3,394) (3,737) (3,394)  
Alcoa Corporation [Member] | Aluminum Contracts [Member]          
Cash flow hedges (M)          
Net amount reclassified to earnings 75 33 132 94  
Alcoa Corporation [Member] | Financial Contracts [Member]          
Cash flow hedges (M)          
Net amount reclassified to earnings       (20)  
Alcoa Corporation [Member] | Interest Rate Contracts [Member]          
Cash flow hedges (M)          
Net amount reclassified to earnings (1) (3) (1) (2)  
Alcoa Corporation [Member] | Foreign Exchange Contract [Member]          
Cash flow hedges (M)          
Net amount reclassified to earnings   (3) (4) (8)  
Non-controlling Interest [Member]          
Pension and other postretirement benefits (L)          
Balance at beginning of period (14) (5) (15) (5)  
Unrecognized net actuarial gain/loss and prior service cost/benefit 7 (2) 7 (2)  
Tax benefit (expense) (2)   (2)    
Total Other comprehensive income (loss) before reclassifications, net of tax 5 (2) 5 (2)  
Amortization of net actuarial gain/loss and prior service cost/benefit     1    
Total amount reclassified from Accumulated other comprehensive loss, net of tax     1    
Total Other comprehensive income (loss) 5 (2) 6 (2)  
Balance at end of period (9) (7) (9) (7)  
Foreign currency translation          
Balance at beginning of period (1,037) (1,025) (983) (1,040)  
Other comprehensive (loss) income (16) 11 (70) 26  
Balance at end of period (1,053) (1,014) (1,053) (1,014)  
Cash flow hedges (M)          
Balance at beginning of period   1   1  
Net amount reclassified to earnings (1)   (1)    
Total amount reclassified from Accumulated other comprehensive loss, net of tax (1)   (1)    
Total Other comprehensive income (loss) (1)   (1)    
Balance at end of period (1) 1 (1) 1  
Total Accumulated other comprehensive loss (1,063) $ (1,020) (1,063) $ (1,020)  
Non-controlling Interest [Member] | Interest Rate Contracts [Member]          
Cash flow hedges (M)          
Net amount reclassified to earnings $ (1)   $ (1)    
v3.24.2.u1
Accumulated Other Comprehensive Loss - Summary of Changes in Accumulated Other Comprehensive (Loss) Income by Component (Parenthetical) (Detail) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2024
Jun. 30, 2023
Accumulated Other Comprehensive Income (Loss) [Line Items]        
Net amount reclassified to earnings $ 74 $ 27 $ 127 $ 64
Cost of Goods Sold [Member]        
Accumulated Other Comprehensive Income (Loss) [Line Items]        
Net amount reclassified to earnings   4   4
Sales [Member]        
Accumulated Other Comprehensive Income (Loss) [Line Items]        
Net amount reclassified to earnings   $ 7   $ 12
v3.24.2.u1
Investments - Summary of Unaudited Financial Information for Alcoa Corporation's Equity Investments (Detail) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2024
Mar. 31, 2024
Jun. 30, 2023
Mar. 31, 2023
Jun. 30, 2024
Jun. 30, 2023
Schedule Of Equity Method Investments [Line Items]            
Net income (loss) $ 31 $ (307) $ (121) $ (232) $ (276) $ (353)
Ma'aden Joint Venture [Member] | Equity Method Investment, Nonconsolidated Investee or Group of Investees [Member]            
Schedule Of Equity Method Investments [Line Items]            
Sales 804   700   1,515 1,300
Cost of goods sold 613   620   1,212 1,302
Net income (loss) 102   (99)   94 (351)
Equity in net income (loss) of affiliated companies, before reconciling adjustments 26   (25)   24 (88)
Other (4)   (3)   (12) (15)
Alcoa Corporation [Member] | Ma'aden Joint Venture [Member]            
Schedule Of Equity Method Investments [Line Items]            
Alcoa Corporations equity in net income (loss) of affiliated companies 22   (28)   12 (103)
Mining [Member] | Equity Method Investment, Nonconsolidated Investee or Group of Investees [Member]            
Schedule Of Equity Method Investments [Line Items]            
Sales 158   172   273 359
Cost of goods sold 104   101   207 204
Net income (loss) 14   14   9 38
Equity in net income (loss) of affiliated companies, before reconciling adjustments 6   6   4 17
Other 0   1   0 1
Mining [Member] | Alcoa Corporation [Member]            
Schedule Of Equity Method Investments [Line Items]            
Alcoa Corporations equity in net income (loss) of affiliated companies 6   7   4 18
Energy [Member] | Equity Method Investment, Nonconsolidated Investee or Group of Investees [Member]            
Schedule Of Equity Method Investments [Line Items]            
Sales 59   59   122 117
Cost of goods sold 25   32   50 59
Net income (loss) 29   22   60 46
Equity in net income (loss) of affiliated companies, before reconciling adjustments 11   9   23 18
Other 0   1   (1) 1
Energy [Member] | Alcoa Corporation [Member]            
Schedule Of Equity Method Investments [Line Items]            
Alcoa Corporations equity in net income (loss) of affiliated companies 11   10   22 19
Other [Member] | Equity Method Investment, Nonconsolidated Investee or Group of Investees [Member]            
Schedule Of Equity Method Investments [Line Items]            
Sales 114   116   229 237
Cost of goods sold 104   106   209 219
Net income (loss) (20)   (33)   (36) (49)
Equity in net income (loss) of affiliated companies, before reconciling adjustments (9)   (15)   (17) (23)
Other 12   7   7 0
Other [Member] | Alcoa Corporation [Member]            
Schedule Of Equity Method Investments [Line Items]            
Alcoa Corporations equity in net income (loss) of affiliated companies $ 3   $ (8)   $ (10) $ (23)
v3.24.2.u1
Investments - Additional Information (Detail) - USD ($)
 3 Months Ended 6 Months Ended
Dec. 31, 2022
Jun. 30, 2024
Mar. 31, 2013
Alcoa Corporation [Member]      
Schedule Of Equity Method Investments [Line Items]      
Charges recorded $ 21,000,000 $ 62,000,000  
Alcoa Corporation [Member] | Other Nonoperating Income Expense [Member]      
Schedule Of Equity Method Investments [Line Items]      
Adjustment recorded   41,000,000  
ELYSIS TM Limited Partnership [Member]      
Schedule Of Equity Method Investments [Line Items]      
Basis in investment, due to share of losses   0 $ 0
Unrecognized losses   $ 66,000,000  
v3.24.2.u1
Receivables - Additional Information (Detail) - Receivables Purchase Agreement Member - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended 12 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2024
Jun. 30, 2023
Dec. 31, 2023
Accounts, Notes, Loans and Financing Receivable [Line Items]          
Sale of gross customer receivables $ 293 $ 98 $ 600 $ 174  
Reinvested collections from previously sold receivables 293 104 584 127  
Cash proceeds from financial institution 0 $ 6 16 $ 47  
Unsold customer receivables as collateral sold receivables     239   $ 104
Accounts Payable [Member]          
Accounts, Notes, Loans and Financing Receivable [Line Items]          
Cash collections from previously sold receivables yet to be reinvested $ 89   $ 89   99
Maximum [Member]          
Accounts, Notes, Loans and Financing Receivable [Line Items]          
Receivables previously secured by credit facility         $ 130
v3.24.2.u1
Inventories - Schedule of Inventory Components (Detail) - USD ($)
$ in Millions
Jun. 30, 2024
Dec. 31, 2023
Inventory Disclosure [Abstract]    
Finished goods $ 320 $ 355
Work-in-process 268 287
Bauxite and alumina 530 586
Purchased raw materials 612 700
Operating supplies 245 230
Inventories, total $ 1,975 $ 2,158
v3.24.2.u1
Goodwill - Summary of Goodwill which is Included in Other Noncurrent Assets (Detail) - USD ($)
$ in Millions
Jun. 30, 2024
Dec. 31, 2023
Goodwill [Line Items]    
Goodwill $ 144 $ 146
v3.24.2.u1
Goodwill - Summary of Goodwill which is Included in Other Noncurrent Assets (Parenthetical) (Detail) - USD ($)
$ in Millions
Jun. 30, 2024
Dec. 31, 2023
Goodwill [Line Items]    
Goodwill $ 144 $ 146
v3.24.2.u1
Debt - Additional Information (Detail)
¥ in Millions
 1 Months Ended 3 Months Ended 6 Months Ended
Aug. 01, 2024
USD ($)
Apr. 26, 2024
Mar. 31, 2024
USD ($)
Jun. 30, 2024
USD ($)
Jun. 30, 2023
USD ($)
Jun. 30, 2024
USD ($)
Jun. 30, 2024
JPY (¥)
Jun. 30, 2023
USD ($)
Dec. 31, 2023
USD ($)
Apr. 30, 2023
USD ($)
Debt Instrument [Line Items]                    
Short-term borrowings       $ 31,000,000   $ 31,000,000     $ 56,000,000  
Borrowings of inventory related to agreement       24,000,000   45,000,000   $ 25,000,000    
Repurchase of inventory related to agreement       $ 45,000,000 $ 15,000,000 $ 70,000,000   15,000,000    
Alcoa Nederland Holding BV [Member] | 7.125% Notes, due 2031 [Member]                    
Debt Instrument [Line Items]                    
Letters of credit     $ 750,000,000              
Proceeds from issuance of public debt offering     $ 737,000,000              
Senior notes, interest percentage     7.125%              
Debt instrument, frequency of periodic payment           semi-annually semi-annually      
Debt instrument, date of first required payment     Sep. 15, 2024              
Alcoa Nederland Holding BV [Member] | 7.125% Notes, due 2031 [Member] | After March 15, 2027 [Member] | Minimum [Member]                    
Debt Instrument [Line Items]                    
Debt instrument redemption period           10 days 10 days      
Alcoa Nederland Holding BV [Member] | 7.125% Notes, due 2031 [Member] | After March 15, 2027 [Member] | Maximum [Member]                    
Debt Instrument [Line Items]                    
Debt instrument redemption period           60 days 60 days      
Debt instrument redemption price percentage           103.563% 103.563%      
Alcoa Nederland Holding BV [Member] | 7.125% Notes, due 2031 [Member] | Change in Control [Member] | Maximum [Member]                    
Debt Instrument [Line Items]                    
Debt instrument redemption price percentage           101.00% 101.00%      
Alcoa Nederland Holding BV [Member] | 4.125% Notes, due 2029 [Member]                    
Debt Instrument [Line Items]                    
Senior notes, interest percentage       4.125%   4.125%        
Revolving Credit Facility [Member]                    
Debt Instrument [Line Items]                    
Letters of credit       $ 0   $ 0     0  
Amounts borrowed under the credit facility       0 0 0   0    
Line of credit facility, outstanding borrowings       1,250,000,000   1,250,000,000        
$250 Japanese Yen Revolving Credit Facility [Member]                    
Debt Instrument [Line Items]                    
Letters of credit       0   0     $ 0  
Amounts borrowed under the credit facility       $ 0 $ 0 201,000,000 ¥ 29,686 $ 0    
Amounts repaid under the credit facility           $ 196,000,000 ¥ 29,686      
Unsecured revolving credit facility                   $ 250,000,000
Credit facility expiration date           Apr. 30, 2025 Apr. 30, 2025      
Extended maturity date of credit facility   2025-04                
Alumina Limited Revolving Credit Facility [Member] | Subsequent Event [Member]                    
Debt Instrument [Line Items]                    
Unsecured revolving credit facility $ 500,000,000                  
Line of credit assumed 385,000,000                  
Alumina Limited Revolving Credit Facility [Member] | Subsequent Event [Member] | Due in October 2025 [Member]                    
Debt Instrument [Line Items]                    
Unsecured revolving credit facility $ 100,000,000                  
Extended maturity date of credit facility 2025-10                  
Alumina Limited Revolving Credit Facility [Member] | Subsequent Event [Member] | Due in January 2026 [Member]                    
Debt Instrument [Line Items]                    
Unsecured revolving credit facility $ 150,000,000                  
Extended maturity date of credit facility 2026-01                  
Alumina Limited Revolving Credit Facility [Member] | Subsequent Event [Member] | Due in July 2026 [Member]                    
Debt Instrument [Line Items]                    
Unsecured revolving credit facility $ 150,000,000                  
Extended maturity date of credit facility 2026-07                  
Alumina Limited Revolving Credit Facility [Member] | Subsequent Event [Member] | Due in June 2027 [Member]                    
Debt Instrument [Line Items]                    
Unsecured revolving credit facility $ 100,000,000                  
Extended maturity date of credit facility 2027-06                  
v3.24.2.u1
Pension and Other Postretirement Benefits - Components of Net Periodic Benefit Cost (Detail) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2024
Jun. 30, 2023
Pension Benefits [Member]        
Defined Benefit Plan Disclosure [Line Items]        
Service cost $ 3 $ 3 $ 5 $ 5
Interest cost [1] 27 29 54 60
Expected return on plan assets [1] (35) (37) (70) (76)
Recognized net actuarial loss [1] 8 7 16 14
Curtailments [2]     1  
Settlements [2] (1) 21 (1) 21
Net periodic benefit cost 2 23 5 24
Other Postretirement Benefits [Member]        
Defined Benefit Plan Disclosure [Line Items]        
Service cost   1 1 2
Interest cost [1] 6 7 12 13
Recognized net actuarial loss [1] 2 1 3 2
Amortization of prior service benefit [1] (4) (4) (7) (7)
Net periodic benefit cost $ 4 $ 5 $ 9 $ 10
[1] These amounts were reported in Other (income) expenses, net on the accompanying Statement of Consolidated Operations (see Note P).
[2] These amounts were reported in Restructuring and other charges, net on the accompanying Statement of Consolidated Operations and Cash Flows.
v3.24.2.u1
Pension and Other Postretirement Benefits - Additional Information (Detail) - USD ($)
 3 Months Ended 6 Months Ended
Jan. 08, 2024
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2024
Jun. 30, 2023
Defined Benefit Plan Disclosure [Line Items]          
Increase (decrease) to other noncurrent assets       $ (25,000,000) $ 66,000,000
Action# 1 [Member]          
Defined Benefit Plan Disclosure [Line Items]          
Increase (decrease) to other noncurrent assets $ (1,000,000)     (1,000,000)  
Curtailment loss (1,000,000)     (1,000,000)  
Curtailment loss after tax $ 0        
Action #2 [Member]          
Defined Benefit Plan Disclosure [Line Items]          
Increase (decrease) to other noncurrent assets   $ 19,000,000   19,000,000  
Settlement gain   1,000,000   (1,000,000)  
Settlement gain after tax   0      
United States [Member]          
Defined Benefit Plan Disclosure [Line Items]          
Minimum required cash contribution to pension plans   18,000,000      
Non-U.S. [Member]          
Defined Benefit Plan Disclosure [Line Items]          
Minimum required cash contribution to pension plans   $ 4,000,000 $ 5,000,000 $ 10,000,000 $ 9,000,000
v3.24.2.u1
Pension and Other Postretirement Benefits - Summary of Information in Curtailment or Settlement of Benefits Requiring Remeasurement, Update to Discount Rates Used to Determine Benefit Obligations of Affected Plans (Detail)
$ in Millions
 3 Months Ended 6 Months Ended
Jan. 08, 2024
USD ($)
Jun. 30, 2024
USD ($)
Employees
Jun. 30, 2024
USD ($)
Employees
Jun. 30, 2023
USD ($)
Dec. 31, 2023
Defined Benefit Plan Disclosure [Line Items]          
Increase (decrease) to other noncurrent assets     $ (25) $ 66  
Action# 1 [Member]          
Defined Benefit Plan Disclosure [Line Items]          
Number of affected plan participants | Employees   110 110    
Increase (decrease) to other noncurrent assets $ (1)   $ (1)    
Curtailments $ 1   $ 1    
Action #2 [Member]          
Defined Benefit Plan Disclosure [Line Items]          
Number of affected plan participants | Employees   10 10    
Weighted average discount rate   5.23% 5.23%   4.81%
Plan remeasurement date     Jun. 30, 2024    
Increase (decrease) to other noncurrent assets   $ 19 $ 19    
Settlement gain   $ 1 $ (1)    
2024 Plan Actions [Member]          
Defined Benefit Plan Disclosure [Line Items]          
Number of affected plan participants | Employees   120 120    
Increase (decrease) to other noncurrent assets     $ 18    
Curtailments     1    
Settlement gain     $ (1)    
v3.24.2.u1
Derivatives and Other Financial Instruments - Additional Information (Detail)
kt in Thousands, $ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2024
USD ($)
kt
Jun. 30, 2023
USD ($)
Jun. 30, 2024
USD ($)
kt
Jun. 30, 2023
USD ($)
Dec. 31, 2023
USD ($)
kt
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]          
Realized gain (loss) reclassed from Other comprehensive loss to earnings $ (74) $ (27) $ (127) $ (64)  
Unrealized gain (loss) in accumulated other comprehensive loss $ (3,737)   (3,737)   $ (3,645)
Level 1 Derivative Instruments [Member]          
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]          
Realized gain (loss) reclassed from Other comprehensive loss to earnings   28 $ 4 44  
Foreign Exchange Forward | Norway [Member] | Euro Power Purchases [Member]          
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]          
Derivative instruments, expiration month and year     2026-12    
Foreign Exchange Forward | Norway [Member] | Krone Capital Expenditures [Member]          
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]          
Derivative instruments, expiration month and year     2025-06    
Foreign Exchange Forward | Brazil [Member]          
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]          
Derivative instruments, expiration month and year     2025-08    
Foreign Exchange Forward | Canada [Member]          
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]          
Derivative instruments, expiration month and year     2025-03    
Sales [Member]          
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]          
Realized gain (loss) reclassed from Other comprehensive loss to earnings   (7)   (12)  
Cost of Goods Sold [Member]          
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]          
Realized gain (loss) reclassed from Other comprehensive loss to earnings   (4)   (4)  
Derivatives Designated as Hedging Instruments [Member] | Level 1 Derivative Instruments [Member]          
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]          
Realized gain (loss) reclassed from Other comprehensive loss to earnings   28 $ 4 44  
Derivatives Designated as Hedging Instruments [Member] | Power Contract [Member]          
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]          
Aluminum forecast sales | kt 1,344   1,344   1,456
Derivatives Designated as Hedging Instruments [Member] | Power Contract [Member] | Cash Flow Hedging [Member]          
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]          
Amount of (loss) gain expected to be recognized into earnings over the next 12 months     $ (245)    
Derivatives Designated as Hedging Instruments [Member] | Sales [Member] | Level 1 Derivative Instruments [Member]          
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]          
Realized gain (loss) reclassed from Other comprehensive loss to earnings   32   48  
Derivatives Designated as Hedging Instruments [Member] | Cost of Goods Sold [Member] | Level 1 Derivative Instruments [Member]          
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]          
Realized gain (loss) reclassed from Other comprehensive loss to earnings   $ (4)   $ 4  
v3.24.2.u1
Derivatives and Other Financial Instruments - Schedule of Detail for Level 1 and 3 Derivatives (Detail) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2024
Jun. 30, 2023
Dec. 31, 2023
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]          
Derivative Assets Current $ 38   $ 38   $ 29
Derivative Liabilities Current 251   251   214
Derivative Assets Noncurrent 0   0   3
Derivative Liabilities Noncurrent 951   951   1,092
Unrealized gain (loss) recognized in Other comprehensive loss (153) $ 241 (36) $ 54  
Realized gain (loss) reclassed from Other comprehensive loss to earnings (74) (27) (127) (64)  
Level 1 Derivative Instruments [Member]          
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]          
Derivative Assets 4   4   16
Derivative Liabilities 11   11   9
Unrealized gain (loss) recognized in Other comprehensive loss (7) 42 (10) 31  
Realized gain (loss) reclassed from Other comprehensive loss to earnings   28 4 44  
Level 3 Derivative Instruments [Member]          
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]          
Derivative Assets 34   34   16
Derivative Liabilities 1,191   1,191   1,297
Unrealized gain (loss) recognized in Other comprehensive loss (146) 197 (26) 23  
Realized gain (loss) reclassed from Other comprehensive loss to earnings (75) (58) (132) (110)  
Level 1 and 3 Derivative Instruments [Member]          
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]          
Derivative Assets 38   38   32
Derivative Liabilities 1,202   1,202   1,306
Derivative Assets Current 38   38   29
Derivative Liabilities Current 251   251   214
Derivative Assets Noncurrent         3
Derivative Liabilities Noncurrent 951   951   $ 1,092
Level 2 Derivative Instruments [Member] | Non-controlling and Equity Interest [Member]          
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]          
Unrealized gain (loss) recognized in Other comprehensive loss   2      
Realized gain (loss) reclassed from Other comprehensive loss to earnings $ 1 $ 3 $ 1 $ 2  
v3.24.2.u1
Derivatives and Other Financial Instruments - Schedule of Outstanding Quantities of Derivative Instruments (Detail) - Level 1 [Member]
kt in Thousands, € in Millions, kr in Millions, R$ in Millions, $ in Millions
Jun. 30, 2024
EUR (€)
kt
Jun. 30, 2024
NOK (kr)
kt
Jun. 30, 2024
BRL (R$)
kt
Jun. 30, 2024
CAD ($)
kt
Jun. 30, 2023
EUR (€)
kt
Jun. 30, 2023
NOK (kr)
kt
Jun. 30, 2023
BRL (R$)
kt
Foreign Exchange Buy Forwards [Member]              
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]              
Derivative Liabilities € 61 kr 85 R$ 351 $ 22 € 86 kr 232 R$ 1,010
Foreign Exchange Sell Forwards [Member]              
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]              
Derivative Liabilities | € € 16       € 18    
Commodity Sell Forwards [Member]              
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]              
Outstanding quantities of derivative instruments 80 80 80 80 206 206 206
Commodity Buy Forwards [Member]              
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]              
Outstanding quantities of derivative instruments 133 133 133 133 187 187 187
v3.24.2.u1
Derivatives and Other Financial Instruments - Schedule of Quantitative Information for Level 3 Derivative Contracts (Detail) - Energy Contracts [Member] - Level 3 [Member]
MWh in Millions
 6 Months Ended
Jun. 30, 2024
USD ($)
MWh
$ / MW
$ / lb
Fair Value Net Derivative Asset Liability Measured On Recurring Basis Unobservable Input Reconciliation [Line Items]  
Derivative Assets, Fair value $ 34,000,000
Derivative Liabilities, Fair value 1,191,000,000
Financial Contracts [Member] | Interrelationship of Forward Energy Price, LME Forward Price and Consumer Price Index [Member]  
Fair Value Net Derivative Asset Liability Measured On Recurring Basis Unobservable Input Reconciliation [Line Items]  
Derivative Assets, Fair value $ 34,000,000
Financial Contracts [Member] | Interrelationship of Forward Energy Price, LME Forward Price and Consumer Price Index [Member] | Minimum [Member] | 2024 [Member]  
Fair Value Net Derivative Asset Liability Measured On Recurring Basis Unobservable Input Reconciliation [Line Items]  
Derivative forward energy price | $ / MW 93.52
LME forward price $ 2,491
Financial Contracts [Member] | Interrelationship of Forward Energy Price, LME Forward Price and Consumer Price Index [Member] | Maximum [Member] | 2024 [Member]  
Fair Value Net Derivative Asset Liability Measured On Recurring Basis Unobservable Input Reconciliation [Line Items]  
Derivative forward energy price | $ / MW 40.54
LME forward price $ 2,562
Power Contract [Member] | MWh of Energy Needed to Produce Forecasted Mt of Aluminum at Rate of 2 Million MWh Per Year [Member]  
Fair Value Net Derivative Asset Liability Measured On Recurring Basis Unobservable Input Reconciliation [Line Items]  
Derivative Assets, Fair value $ 2,000,000
Derivative forward energy volume | MWh 2
Power Contract [Member] | MWh of Energy Needed to Produce Forecasted Mt of Aluminum at Rate of 2 Million MWh Per Year [Member] | Minimum [Member] | 2024 [Member]  
Fair Value Net Derivative Asset Liability Measured On Recurring Basis Unobservable Input Reconciliation [Line Items]  
LME forward price $ 2,491
Midwest aluminum premium | $ / lb 0.1999
Power Contract [Member] | MWh of Energy Needed to Produce Forecasted Mt of Aluminum at Rate of 2 Million MWh Per Year [Member] | Maximum [Member] | 2024 [Member]  
Fair Value Net Derivative Asset Liability Measured On Recurring Basis Unobservable Input Reconciliation [Line Items]  
LME forward price $ 2,524
Midwest aluminum premium | $ / lb 0.224
Power Contract [Member] | MWh of Energy Needed to Produce Forecasted Mt of Aluminum at Rate of 4 Million MWh Per Year [Member]  
Fair Value Net Derivative Asset Liability Measured On Recurring Basis Unobservable Input Reconciliation [Line Items]  
Derivative Liabilities, Fair value $ 180,000,000
Derivative forward energy volume | MWh 4
Power Contract [Member] | MWh of Energy Needed to Produce Forecasted Mt of Aluminum at Rate of 4 Million MWh Per Year [Member] | 2024 [Member]  
Fair Value Net Derivative Asset Liability Measured On Recurring Basis Unobservable Input Reconciliation [Line Items]  
LME forward price $ 2,491
Power Contract [Member] | MWh of Energy Needed to Produce Forecasted Mt of Aluminum at Rate of 4 Million MWh Per Year [Member] | 2027 [Member]  
Fair Value Net Derivative Asset Liability Measured On Recurring Basis Unobservable Input Reconciliation [Line Items]  
LME forward price 2,742
Power Contract [Member] | MWh of Energy Needed to Produce Forecasted Mt of Aluminum at Rate of 18 Million MWh Per Year [Member]  
Fair Value Net Derivative Asset Liability Measured On Recurring Basis Unobservable Input Reconciliation [Line Items]  
Derivative Liabilities, Fair value $ 1,008,000,000
Derivative forward energy volume | MWh 18
Power Contract [Member] | MWh of Energy Needed to Produce Forecasted Mt of Aluminum at Rate of 18 Million MWh Per Year [Member] | 2024 [Member]  
Fair Value Net Derivative Asset Liability Measured On Recurring Basis Unobservable Input Reconciliation [Line Items]  
LME forward price $ 2,491
Midwest aluminum premium | $ / lb 0.1999
Power Contract [Member] | MWh of Energy Needed to Produce Forecasted Mt of Aluminum at Rate of 18 Million MWh Per Year [Member] | 2029 [Member]  
Fair Value Net Derivative Asset Liability Measured On Recurring Basis Unobservable Input Reconciliation [Line Items]  
LME forward price $ 2,734
Midwest aluminum premium | $ / lb 0.2365
Power Contract [Member] | MWh of Energy Needed to Produce Forecasted Mt of Aluminum at Rate of 18 Million MWh Per Year [Member] | 2036 [Member]  
Fair Value Net Derivative Asset Liability Measured On Recurring Basis Unobservable Input Reconciliation [Line Items]  
LME forward price $ 2,934
Midwest aluminum premium | $ / lb 0.2365
Power Contract [Member] | Estimated Spread Between The Respective 30-Year Debt Yield Of Alcoa Corporation And The Counterparty [Member]  
Fair Value Net Derivative Asset Liability Measured On Recurring Basis Unobservable Input Reconciliation [Line Items]  
Derivative Liabilities, Fair value $ 1,000,000
Percentage of debt yield credit spread 1.71%
Power Contract [Member] | Estimated Spread Between The Respective 30-Year Debt Yield Of Alcoa Corporation And The Counterparty [Member] | Counterparty [Member]  
Fair Value Net Derivative Asset Liability Measured On Recurring Basis Unobservable Input Reconciliation [Line Items]  
Percentage of debt yield credit spread 5.27%
Power Contract [Member] | Estimated Spread Between The Respective 30-Year Debt Yield Of Alcoa Corporation And The Counterparty [Member] | Alcoa Corporation [Member]  
Fair Value Net Derivative Asset Liability Measured On Recurring Basis Unobservable Input Reconciliation [Line Items]  
Percentage of debt yield credit spread 6.98%
v3.24.2.u1
Derivatives and Other Financial Instruments - Schedule of Fair Values of Level 3 Derivative Instruments Recorded as Assets and Liabilities (Detail) - USD ($)
$ in Millions
Jun. 30, 2024
Dec. 31, 2023
Derivative Instruments Gain Loss [Line Items]    
Total asset derivatives $ 38 $ 29
Total liability derivatives 251 214
Total liability derivatives 951 1,092
Level 3 [Member] | Energy Contracts [Member]    
Derivative Instruments Gain Loss [Line Items]    
Total asset derivatives 34 16
Total liability derivatives 1,191 1,297
Level 3 [Member] | Derivatives Not Designated as Hedging Instruments [Member] | Energy Contracts [Member]    
Derivative Instruments Gain Loss [Line Items]    
Total asset derivatives 34 16
Total liability derivatives 1 0
Level 3 [Member] | Derivatives Not Designated as Hedging Instruments [Member] | Embedded Credit Derivative [Member] | Energy Contracts [Member]    
Derivative Instruments Gain Loss [Line Items]    
Total liability derivatives 1 0
Level 3 [Member] | Derivatives Not Designated as Hedging Instruments [Member] | Financial Contracts [Member] | Energy Contracts [Member]    
Derivative Instruments Gain Loss [Line Items]    
Total asset derivatives 34 16
Level 3 [Member] | Derivatives Designated as Hedging Instruments [Member] | Energy Contracts [Member]    
Derivative Instruments Gain Loss [Line Items]    
Total liability derivatives 1,190 1,297
Level 3 [Member] | Derivatives Designated as Hedging Instruments [Member] | Power Contract [Member] | Energy Contracts [Member]    
Derivative Instruments Gain Loss [Line Items]    
Total liability derivatives 245 210
Total liability derivatives $ 945 $ 1,087
v3.24.2.u1
Derivatives and Other Financial Instruments - Schedule of Reconciliation of Activity for Derivative Contracts (Detail) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2024
Jun. 30, 2024
Financial Contracts [Member]    
Fair Value Assets Measured On Recurring Basis Unobservable Input Reconciliation [Line Items]    
Fair value measurement, Assets, Beginning balance $ 12 $ 16
Settlements and other (33) (32)
Fair value measurement, Assets, Ending balance 34 34
Financial Contracts [Member] | Other Expenses, Net [Member]    
Fair Value Assets Measured On Recurring Basis Unobservable Input Reconciliation [Line Items]    
Fair value measurement, Assets 55 50
Financial Contracts [Member] | Other Expenses, Net [Member]    
Fair Value Assets Measured On Recurring Basis Unobservable Input Reconciliation [Line Items]    
Fair value measurement, Assets 55 (50)
Power Contract [Member]    
Fair Value Assets Measured On Recurring Basis Unobservable Input Reconciliation [Line Items]    
Fair value measurement, Liabilities, Beginning balance 1,120 1,297
Fair value measurement, Liabilities $ 0 $ 0
Revenue from Contract with Customer, Product and Service [Extensible Enumeration] Revenue from Contract with Customer, Excluding Assessed Tax Revenue from Contract with Customer, Excluding Assessed Tax
Other comprehensive income (unrealized) $ 146 $ 26
Fair Value, Liability, Recurring Basis, Unobservable Input Reconciliation, Liability, Gain (Loss), Statement of Other Comprehensive Income or Comprehensive Income [Extensible Enumeration] Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), after Reclassification and Tax Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), after Reclassification and Tax
Fair value measurement, Liabilities, Ending balance $ 1,190 $ 1,190
Power Contract [Member] | Sales [Member]    
Fair Value Assets Measured On Recurring Basis Unobservable Input Reconciliation [Line Items]    
Fair value measurement, Liabilities (76) (133)
Power Contract [Member] | Other Expenses, Net [Member]    
Fair Value Assets Measured On Recurring Basis Unobservable Input Reconciliation [Line Items]    
Fair value measurement, Liabilities 0 0
Embedded Credit Derivative [Member]    
Fair Value Assets Measured On Recurring Basis Unobservable Input Reconciliation [Line Items]    
Fair value measurement, Liabilities, Beginning balance 0 0
Fair value measurement, Liabilities $ 1 $ 1
Revenue from Contract with Customer, Product and Service [Extensible Enumeration] Revenue from Contract with Customer, Excluding Assessed Tax Revenue from Contract with Customer, Excluding Assessed Tax
Other comprehensive income (unrealized) $ 0 $ 0
Fair Value, Liability, Recurring Basis, Unobservable Input Reconciliation, Liability, Gain (Loss), Statement of Other Comprehensive Income or Comprehensive Income [Extensible Enumeration] Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), after Reclassification and Tax Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), after Reclassification and Tax
Fair value measurement, Liabilities, Ending balance $ 1 $ 1
Embedded Credit Derivative [Member] | Sales [Member]    
Fair Value Assets Measured On Recurring Basis Unobservable Input Reconciliation [Line Items]    
Fair value measurement, Liabilities 0 0
Embedded Credit Derivative [Member] | Other Expenses, Net [Member]    
Fair Value Assets Measured On Recurring Basis Unobservable Input Reconciliation [Line Items]    
Fair value measurement, Liabilities $ 1 $ 1
v3.24.2.u1
Derivatives and Other Financial Instruments - Schedule of Carrying Values and Fair Values of Other Financial Instruments (Detail) - USD ($)
$ in Millions
Jun. 30, 2024
Dec. 31, 2023
Derivative [Line Items]    
Short-term borrowings $ 31 $ 56
Carrying Value [Member]    
Derivative [Line Items]    
Cash and cash equivalents 1,396 944
Restricted cash 97 103
Short-term borrowings 31 56
Long-term debt due within one year 79 79
Long-term debt, less amount due within one year 2,469 1,732
Fair Value [Member]    
Derivative [Line Items]    
Cash and cash equivalents 1,396 944
Restricted cash 97 103
Short-term borrowings 31 56
Long-term debt due within one year 79 79
Long-term debt, less amount due within one year $ 2,477 $ 1,702
v3.24.2.u1
Income Taxes - Additional Information (Detail) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2024
Jun. 30, 2024
Aug. 01, 2024
Dec. 31, 2023
Income Taxes [Line Items]        
Effective federal statutory tax rate   21.00%    
Effective foreign statutory tax rate   21.00%    
Subsequent Event [Member]        
Income Taxes [Line Items]        
Deferred tax asset     $ 100  
Cost of Goods Sold [Member]        
Income Taxes [Line Items]        
Income tax benefits recorded in Cost of goods sold $ 10 $ 20    
Other Receivables [Member]        
Income Taxes [Line Items]        
Income tax benefits due to inflation reduction act tax credits 36 36   $ 36
Other Noncurrent Assets [Member]        
Income Taxes [Line Items]        
Income tax benefits due to inflation reduction act tax credits $ 20 $ 20    
v3.24.2.u1
Income Taxes - Schedule of Income Taxes (Detail) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2024
Jun. 30, 2023
Income Tax Disclosure [Abstract]        
Loss before income taxes $ 92 $ (99) $ (233) $ (279)
Estimated annualized effective tax rate     105.10% (29.30%)
Income tax (benefit) expense     $ (245) $ 82
Unfavorable (favorable) tax impact related to losses in jurisdictions with no tax benefit     288 (11)
Discrete tax expense       3
Provision for income taxes $ 61 $ 22 $ 43 $ 74
v3.24.2.u1
Contingencies - Additional Information (Detail)
$ in Millions
 3 Months Ended 6 Months Ended 12 Months Ended
Jun. 30, 2024
USD ($)
Jun. 30, 2023
USD ($)
Jun. 30, 2024
USD ($)
Project
Jun. 30, 2023
USD ($)
Dec. 31, 2023
USD ($)
Dec. 31, 2022
USD ($)
Loss Contingencies [Line Items]            
Liabilities incurred   $ 4 $ 1 $ 18 $ 39  
Payments against the reserve $ 10 16 16 23 55  
Reversals of previously recorded liabilities       (1) 1  
Environmental remediation reserve balance, current $ 61   $ 61   $ 66  
Environmental Loss Contingency, Current, Statement of Financial Position [Extensible Enumeration] Other Liabilities, Current   Other Liabilities, Current   Other Liabilities, Current  
Active or future remediation for significant sites $ 199   $ 199   $ 211  
Accrued environmental reserves 252   $ 252   268 $ 284
Ongoing Remediation Work [Member]            
Loss Contingencies [Line Items]            
Liabilities incurred   $ 4        
Intalco Aluminum Smelter [Member]            
Loss Contingencies [Line Items]            
Liabilities incurred       $ 14    
Massena, New York [Member] | Minimum [Member]            
Loss Contingencies [Line Items]            
Environmental remediation work completion period     4 years      
Massena, New York [Member] | Maximum [Member]            
Loss Contingencies [Line Items]            
Environmental remediation work completion period     8 years      
Addy, Washington [Member] | Minimum [Member]            
Loss Contingencies [Line Items]            
Environmental remediation work completion period     3 years      
Addy, Washington [Member] | Maximum [Member]            
Loss Contingencies [Line Items]            
Environmental remediation work completion period     5 years      
Ferndale, Washington [Member]            
Loss Contingencies [Line Items]            
Post-closure maintenance and monitoring period     5 years      
Other Sites [Member]            
Loss Contingencies [Line Items]            
Number of remediation projects | Project     32      
Accrued environmental reserves $ 53   $ 53   $ 57  
v3.24.2.u1
Contingencies - Additional Information - 1 (Detail)
R$ in Millions, $ in Millions, $ in Millions
 1 Months Ended 3 Months Ended 6 Months Ended 12 Months Ended
Sep. 17, 2020
USD ($)
Sep. 17, 2020
AUD ($)
Aug. 31, 2022
USD ($)
Aug. 31, 2022
BRL (R$)
Jul. 31, 2022
USD ($)
Jul. 31, 2022
BRL (R$)
Mar. 31, 2022
USD ($)
Mar. 31, 2022
BRL (R$)
Feb. 28, 2022
USD ($)
Feb. 28, 2022
BRL (R$)
Mar. 31, 2013
USD ($)
May 31, 2012
USD ($)
May 31, 2012
BRL (R$)
Sep. 30, 2020
USD ($)
Jun. 30, 2024
USD ($)
Jun. 30, 2024
BRL (R$)
Dec. 31, 2012
USD ($)
Dec. 31, 2012
BRL (R$)
Jun. 30, 2024
AUD ($)
Dec. 31, 2023
USD ($)
Dec. 31, 2023
AUD ($)
Jul. 31, 2022
BRL (R$)
Feb. 28, 2022
BRL (R$)
Sep. 30, 2020
AUD ($)
Jul. 07, 2020
USD ($)
Jul. 07, 2020
AUD ($)
Mar. 31, 2013
BRL (R$)
Dec. 31, 2012
BRL (R$)
Loss Contingencies [Line Items]                                                        
Other noncurrent liabilities and deferred credits                             $ 591         $ 568                
AWAC [Member] | Alumina Limited [Member]                                                        
Loss Contingencies [Line Items]                                                        
Non-controlling interest, ownership percentage                             40.00%       40.00%                  
Australian Taxation Office [Member] | Foreign Jurisdiction [Member] | AofA [Member]                                                        
Loss Contingencies [Line Items]                                                        
Additional income tax payable, exclusive of interest and penalties                                                 $ 143 $ 214    
Notices include claims for compounded interest on the tax amount                                                 $ 474 $ 707    
Proposed administrative penalties $ 86 $ 128                                                    
Payment of dispute resolution practices income tax percentage                           50.00%                            
Assessed income tax amount exclusive of interest and penalties                           $ 74                   $ 107        
Payment amount refund percentage                           50.00%                            
Other noncurrent liabilities and deferred credits                             $ 209       $ 312 $ 199 $ 293              
Tax assessment deposit                             $ 72       $ 107                  
Alcoa World Alumina Brasil [Member] | Brazilian Federal Revenue Office [Member]                                                        
Loss Contingencies [Line Items]                                                        
Disallowed tax credits         $ 13       $ 4   $ 110                     R$ 66 R$ 19       R$ 220  
Percentage of penalty of the gross disallowed amount                     50.00%                                  
Value added tax receivable     $ 6 R$ 31 $ 10 R$ 53 $ 9 R$ 44 $ 14 R$ 65   $ 41 R$ 82                              
Federal value added tax credits                                 $ 136                     R$ 273
Value added tax refund received                                 $ 68 R$ 136                    
Alcoa Corporation [Member] | AWAC [Member]                                                        
Loss Contingencies [Line Items]                                                        
Ownership interest percentage                             60.00%       60.00%                  
Minimum [Member] | Alcoa World Alumina Brasil [Member] | Brazilian Federal Revenue Office [Member]                                                        
Loss Contingencies [Line Items]                                                        
Charge recorded in provision for income taxes to establish liability for estimated loss                             $ 0                          
Maximum [Member] | Alcoa World Alumina Brasil [Member] | Brazilian Federal Revenue Office [Member]                                                        
Loss Contingencies [Line Items]                                                        
Charge recorded in provision for income taxes to establish liability for estimated loss                             $ 55 R$ 305                        
v3.24.2.u1
Contingencies - Changes in Carrying Value of Recorded Environmental Remediation Reserves (Detail) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended 12 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2024
Jun. 30, 2023
Dec. 31, 2023
Commitments and Contingencies Disclosure [Abstract]          
Beginning balance     $ 268 $ 284 $ 284
Environmental Loss Contingency, Statement of Financial Position [Extensible Enumeration]         Environmental remediation (O)
Liabilities incurred   $ 4 1 18 $ 39
Cash payments $ (10) $ (16) (16) (23) (55)
Reversals of previously recorded liabilities       $ 1 (1)
Foreign currency translation and other     (1)   1
Ending balance $ 252   $ 252   $ 268
v3.24.2.u1
Contingencies - Estimate Timing of Cash Outflows on Environmental Reserves (Detail) - USD ($)
$ in Millions
Jun. 30, 2024
Dec. 31, 2023
Dec. 31, 2022
Commitments and Contingencies Disclosure [Abstract]      
2024 (excluding the six months ended June 30, 2024) $ 48    
2025 - 2029 119    
Thereafter 85    
Total $ 252 $ 268 $ 284
v3.24.2.u1
Other Financial Information - Schedule of Other (Income) Expenses, Net (Detail) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2024
Jun. 30, 2023
Other Income and Expenses [Abstract]        
Equity (gain) loss $ (22) $ 44 $ 5 $ 139
Foreign currency losses (gains), net 57 (39) 81 (55)
Net loss from asset sales 6 1 17 15
Net (gain) loss on mark-to-market derivative instruments (54) 9 (49) (17)
Non-service costs - pension and other postretirement benefits 4 3 8 6
Other, net (13) (12) (25) (28)
Other expenses, net $ (22) $ 6 $ 37 $ 60
v3.24.2.u1
Other Financial Information - Schedule of Other Noncurrent Assets (Detail) - USD ($)
$ in Millions
Jun. 30, 2024
Dec. 31, 2023
Other Financial Information [Abstract]    
Prepaid gas transmission contract $ 296 $ 297
Value added tax credits 287 336
Gas Supply Prepayment 261 283
Deferred mining costs, net 186 187
Prepaid pension benefit 153 125
Goodwill 144 146
Noncurrent prepaid tax asset 72 73
Noncurrent restricted cash 53 71
Intangibles, net 35 37
Other 114 95
Other assets, noncurrent, total $ 1,601 $ 1,650
v3.24.2.u1
Other Financial Information - Schedule of Cash and Cash Equivalents and Restricted Cash (Detail) - USD ($)
$ in Millions
Jun. 30, 2024
Dec. 31, 2023
Jun. 30, 2023
Dec. 31, 2022
Other Financial Information [Abstract]        
Cash and cash equivalents (M) $ 1,396 $ 944    
Current restricted cash 44 32    
Noncurrent restricted cash 53 71    
Cash and cash equivalents and restricted cash, total $ 1,493 $ 1,047 $ 1,097 $ 1,474
v3.24.2.u1
Supplier Finance Programs - Additional Information (Detail) - USD ($)
$ in Millions
 6 Months Ended
Jun. 30, 2024
Dec. 31, 2023
Supplier invoices outstanding $ 123 $ 104
Minimum [Member]    
Payment terms 50 days  
Maximum [Member]    
Payment terms 110 days  
v3.24.2.u1
Subsequent Events - Additional Information (Details) - Subsequent Event [Member] - USD ($)
$ / shares in Units, $ in Millions
Jul. 31, 2024
Jul. 18, 2024
Subsequent Event [Line Items]    
Dividend, declared date Jul. 31, 2024  
Quarterly cash dividend declared per share $ 0.1  
Dividend, payable date Aug. 29, 2024  
Dividend, date of record Aug. 12, 2024  
Other Current Liabilities [Member]    
Subsequent Event [Line Items]    
Payment for civil fine   $ 5