Noranda Aluminum files for bankruptcy
ST. LOUIS (AP) — One of North America's biggest makers of aluminum foil is seeking bankruptcy protection, saying it plans to halt production at a southeastern Missouri smelter within weeks.
Noranda Aluminum Holding Corp. made the Chapter 11 filing Monday in St. Louis.
The company based in Franklin, Tennessee, refines aluminum and mines bauxite. It said it planned to sell its flat-rolled products business and next month halt the last remaining, 400-worker production line at a smelter in New Madrid, Missouri.
Noranda said falling aluminum prices, incidents at the New Madrid plant, high electricity prices, unsuccessful arbitration with the Jamaican government and a below-market contract with a key customer prompted the bankruptcy filing.
Noranda President and CEO Kip Smith said the court-supervised process "will provide us with time and financial flexibility to evaluate options."