PENNSYLVANIA - On July 12, Pittsburgh-based global aluminum maker ALCOA INC. withdrew its offer for the Montreal-based global aluminum maker ALCAN INC., several hours after London, U.K.-based RIO TINTO PLC had announced its all-cash offer for Alcan.
Rios offer for Alcan strongly reinforces our view of the underlying value in the aluminum industry and its bright prospects for the future, said Alcoa chairman and CEO Alain Belda. However, at this price level, we have more attractive options for delivering additional value to shareholders.
Alcoa is reinstituting its share repurchase program, which had been suspended while the offer for Alcan was open. In January 2007, Alcoas board of directors authorized the repurchase of up to 10% of the companys outstanding common stock, or approximately 87 million shares.
More information can be found at www.alcoa.com, www.alcan.com or www.riotinto.com.