Alcoa posts quarterly loss

By Steve James

NEW YORK (Reuters) - Aluminium producer Alcoa (AA.N) reported a second consecutive quarterly loss on Tuesday, as metal prices and the autos industry slumped and global demand fell in the economic downturn.

In response to the tough times, Alcoa -- the first member of the Dow Jones Industrial Average .DJI to report its quarterly results -- has cut thousands of jobs, slashed its dividend, trimmed spending and raised $1.3 billion (882 million pounds) to help it through the slowdown.

"There's no doubt in my mind that we are in for a really nasty earnings season," said Keith Wirtz, president and chief investment officer of Fifth Third Asset Management. "Alcoa's second consecutive quarterly loss is testament to that. We are in the worse phase of this recession right now."

The first-quarter net loss was $497 million, or 61 cents per share, compared with a profit of $303 million, or 37 cents, in the same quarter of 2008, the Pittsburgh-based company said. The loss from continuing operations was 59 cents per share.

Revenue fell 36 percent to $4.1 billion from $6.5 billion a year earlier after excluding divested businesses.

According to Reuters Estimates, the company actually lost 60 cents per share, excluding a write-off and gain from two transactions in the quarter. That missed analysts' estimate for a loss of 55 cents, Reuters Estimates said.

Alcoa shares were down slightly in after-hours trading.

TRIMMING THEIR SAILS