Document_and_Entity_Informatio
Document and Entity Information (USD $) | 12 Months Ended | ||
In Billions, except Share data, unless otherwise specified | Dec. 31, 2013 | Feb. 07, 2014 | Jun. 30, 2013 |
Document And Entity Information [Abstract] | ' | ' | ' |
Document Type | '10-K | ' | ' |
Amendment Flag | 'false | ' | ' |
Document Period End Date | 31-Dec-13 | ' | ' |
Document Fiscal Year Focus | '2013 | ' | ' |
Document Fiscal Period Focus | 'FY | ' | ' |
Entity Registrant Name | 'ALCOA INC | ' | ' |
Entity Central Index Key | '0000004281 | ' | ' |
Current Fiscal Year End Date | '--12-31 | ' | ' |
Entity Well-known Seasoned Issuer | 'No | ' | ' |
Entity Current Reporting Status | 'Yes | ' | ' |
Entity Voluntary Filers | 'No | ' | ' |
Entity Filer Category | 'Large Accelerated Filer | ' | ' |
Entity Common Stock, Shares Outstanding | ' | 1,077,685,695 | ' |
Entity Public Float | ' | ' | $8 |
Statement_of_Consolidated_Oper
Statement of Consolidated Operations (USD $) | 12 Months Ended | ||
In Millions, except Per Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Income Statement [Abstract] | ' | ' | ' |
Sales (Q) | $23,032 | $23,700 | $24,951 |
Cost of goods sold (exclusive of expenses below) | 19,286 | 20,401 | 20,480 |
Selling, general administrative, and other expenses | 1,008 | 997 | 1,027 |
Research and development expenses | 192 | 197 | 184 |
Provision for depreciation, depletion, and amortization | 1,421 | 1,460 | 1,479 |
Impairment of goodwill (A & E) | 1,731 | ' | ' |
Restructuring and other charges (D) | 782 | 172 | 281 |
Interest expense (V) | 453 | 490 | 524 |
Other income, net (O) | -25 | -341 | -87 |
Total costs and expenses | 24,848 | 23,376 | 23,888 |
(Loss) income from continuing operations before income taxes | -1,816 | 324 | 1,063 |
Provision for income taxes (T) | 428 | 162 | 255 |
(Loss) income from continuing operations | -2,244 | 162 | 808 |
Loss from discontinued operations | ' | ' | -3 |
Net (loss) income | -2,244 | 162 | 805 |
Less: Net income (loss) attributable to noncontrolling interests | 41 | -29 | 194 |
Net (Loss) Income Attributable to Alcoa | -2,285 | 191 | 611 |
Amounts Attributable to Alcoa Common Shareholders: | ' | ' | ' |
(Loss) income from continuing operations | -2,285 | 191 | 614 |
Loss from discontinued operations | ' | ' | -3 |
Net (Loss) Income Attributable to Alcoa | ($2,285) | $191 | $611 |
Basic: | ' | ' | ' |
(Loss) income from continuing operations | ($2.14) | $0.18 | $0.58 |
Loss from discontinued operations | ' | ' | ($0.01) |
Net (loss) income | ($2.14) | $0.18 | $0.57 |
Diluted: | ' | ' | ' |
(Loss) income from continuing operations | ($2.14) | $0.18 | $0.55 |
Loss from discontinued operations | ' | ' | ' |
Net (loss) income | ($2.14) | $0.18 | $0.55 |
Statement_of_Consolidated_Comp
Statement of Consolidated Comprehensive Loss (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Net (loss) income | ($2,244) | $162 | $805 |
Other comprehensive loss, net of tax (B): | ' | ' | ' |
Change in unrecognized net actuarial loss and prior service cost/benefit related to pension and other postretirement benefits | 557 | -507 | -652 |
Foreign currency translation adjustments | -1,335 | -296 | -708 |
Net change in unrealized gains on available-for-sale securities | -1 | 2 | ' |
Net change in unrecognized losses on derivatives | 184 | -47 | 179 |
Total Other comprehensive loss, net of tax | -595 | -848 | -1,181 |
Comprehensive loss | -2,839 | -686 | -376 |
Alcoa [Member] | ' | ' | ' |
Net (loss) income | -2,285 | 191 | 611 |
Other comprehensive loss, net of tax (B): | ' | ' | ' |
Change in unrecognized net actuarial loss and prior service cost/benefit related to pension and other postretirement benefits | 531 | -529 | -593 |
Foreign currency translation adjustments | -968 | -202 | -543 |
Net change in unrealized gains on available-for-sale securities | -1 | 2 | ' |
Net change in unrecognized losses on derivatives | 181 | -46 | 184 |
Total Other comprehensive loss, net of tax | -257 | -775 | -952 |
Comprehensive loss | -2,542 | -584 | -341 |
Noncontrolling Interests [Member] | ' | ' | ' |
Net (loss) income | 41 | -29 | 194 |
Other comprehensive loss, net of tax (B): | ' | ' | ' |
Change in unrecognized net actuarial loss and prior service cost/benefit related to pension and other postretirement benefits | 26 | 22 | -59 |
Foreign currency translation adjustments | -367 | -94 | -165 |
Net change in unrecognized losses on derivatives | 3 | -1 | -5 |
Total Other comprehensive loss, net of tax | -338 | -73 | -229 |
Comprehensive loss | ($297) | ($102) | ($35) |
Consolidated_Balance_Sheet
Consolidated Balance Sheet (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Current assets: | ' | ' |
Cash and cash equivalents (X) | $1,437 | $1,861 |
Receivables from customers, less allowances of $20 in 2013 and $39 in 2012 (U) | 1,221 | 1,399 |
Other receivables (U) | 597 | 340 |
Inventories (G) | 2,705 | 2,825 |
Prepaid expenses and other current assets | 1,009 | 1,275 |
Total current assets | 6,969 | 7,700 |
Properties, plants, and equipment, net (H) | 17,639 | 18,947 |
Goodwill (A & E) | 3,415 | 5,170 |
Investments (I) | 1,907 | 1,860 |
Deferred income taxes (T) | 3,184 | 3,790 |
Other noncurrent assets (J) | 2,628 | 2,712 |
Total Assets | 35,742 | 40,179 |
Current liabilities: | ' | ' |
Short-term borrowings (K & X) | 57 | 53 |
Accounts payable, trade | 2,960 | 2,702 |
Accrued compensation and retirement costs | 1,013 | 1,058 |
Taxes, including income taxes | 376 | 366 |
Other current liabilities | 1,044 | 1,298 |
Long-term debt due within one year (K & X) | 655 | 465 |
Total current liabilities | 6,105 | 5,942 |
Long-term debt, less amount due within one year (K & X) | 7,607 | 8,311 |
Accrued pension benefits (W) | 3,183 | 3,722 |
Accrued other postretirement benefits (W) | 2,354 | 2,603 |
Other noncurrent liabilities and deferred credits (L) | 2,971 | 3,078 |
Total liabilities | 22,220 | 23,656 |
Contingencies and commitments (N) | ' | ' |
Alcoa shareholders' equity: | ' | ' |
Preferred stock (R) | 55 | 55 |
Common stock (R) | 1,178 | 1,178 |
Additional capital | 7,509 | 7,560 |
Retained earnings | 9,272 | 11,689 |
Treasury stock, at cost | -3,762 | -3,881 |
Accumulated other comprehensive loss (B) | -3,659 | -3,402 |
Total Alcoa shareholders' equity | 10,593 | 13,199 |
Noncontrolling interests (M) | 2,929 | 3,324 |
Total equity | 13,522 | 16,523 |
Total Liabilities and Equity | $35,742 | $40,179 |
Consolidated_Balance_Sheet_Par
Consolidated Balance Sheet (Parenthetical) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Statement Of Financial Position [Abstract] | ' | ' |
Receivables from customers, allowance | $20 | $39 |
Statement_of_Consolidated_Cash
Statement of Consolidated Cash Flows (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Cash from Operations | ' | ' | ' |
Net (loss) income | ($2,244) | $162 | $805 |
Adjustments to reconcile net (loss) income to cash from operations: | ' | ' | ' |
Depreciation, depletion, and amortization | 1,422 | 1,462 | 1,481 |
Deferred income taxes (T) | 178 | -99 | -181 |
Equity income, net of dividends | 77 | 2 | -26 |
Impairment of goodwill (A & E) | 1,731 | ' | ' |
Restructuring and other charges (D) | 782 | 172 | 281 |
Net gain from investing activities-asset sales (O) | -10 | -321 | -41 |
Loss from discontinued operations | ' | ' | 3 |
Stock-based compensation (R) | 71 | 67 | 83 |
Excess tax benefits from stock-based payment arrangements | ' | -1 | -6 |
Other | 4 | 63 | 53 |
Changes in assets and liabilities, excluding effects of acquisitions, divestitures, and foreign currency translation adjustments: | ' | ' | ' |
(Increase) decrease in receivables | -141 | 104 | -115 |
Decrease (increase) in inventories | 25 | 96 | -339 |
(Increase) decrease in prepaid expenses and other current assets | -9 | -62 | 77 |
Increase (decrease) in accounts payable, trade | 326 | -12 | 394 |
(Decrease) in accrued expenses | -418 | -166 | -16 |
(Decrease) increase in taxes, including income taxes | -43 | 15 | 115 |
Pension contributions (W) | -462 | -561 | -336 |
(Increase) decrease in noncurrent assets | -153 | 9 | -154 |
Increase in noncurrent liabilities | 442 | 570 | 125 |
Cash provided from continuing operations | 1,578 | 1,500 | 2,203 |
Cash used for discontinued operations | ' | -3 | -10 |
Cash provided from operations | 1,578 | 1,497 | 2,193 |
Financing Activities | ' | ' | ' |
Net change in short-term borrowings (original maturities of three months or less) (K) | 5 | -10 | -31 |
Net change in commercial paper (K) | ' | -224 | 224 |
Additions to debt (original maturities greater than three months) (K) | 1,852 | 972 | 1,256 |
Debt issuance costs | -3 | -5 | -17 |
Payments on debt (original maturities greater than three months) (K) | -2,317 | -1,489 | -1,194 |
Proceeds from exercise of employee stock options (R) | 13 | 12 | 37 |
Excess tax benefits from stock-based payment arrangements | ' | 1 | 6 |
Dividends paid to shareholders | -132 | -131 | -131 |
Distributions to noncontrolling interests | -109 | -95 | -257 |
Contributions from noncontrolling interests (M) | 12 | 171 | 169 |
Cash (used for) provided from financing activities | -679 | -798 | 62 |
Investing Activities | ' | ' | ' |
Capital expenditures | -1,193 | -1,261 | -1,287 |
Acquisitions, net of cash acquired (F & P) | ' | ' | -240 |
Proceeds from the sale of assets and businesses (F) | 13 | 615 | 38 |
Additions to investments (I & N) | -293 | -300 | -374 |
Sales of investments (I) | ' | 31 | 54 |
Net change in restricted cash (P) | 170 | 87 | -4 |
Other | 13 | 69 | -39 |
Cash used for investing activities | -1,290 | -759 | -1,852 |
Effect of exchange rate changes on cash and cash equivalents | -33 | -18 | -7 |
Net change in cash and cash equivalents | -424 | -78 | 396 |
Cash and cash equivalents at beginning of year | 1,861 | 1,939 | 1,543 |
Cash and cash equivalents at end of year | $1,437 | $1,861 | $1,939 |
Statement_of_Changes_in_Consol
Statement of Changes in Consolidated Equity (USD $) | Total | Preferred Stock [Member] | Common Stock [Member] | Additional Capital [Member] | Retained Earnings [Member] | Treasury Stock [Member] | Accumulated Other Comprehensive Loss [Member] | Noncontrolling Interests [Member] |
In Millions, unless otherwise specified | ||||||||
Balance at Dec. 31, 2010 | $17,086 | $55 | $1,141 | $7,087 | $11,149 | ($4,146) | ($1,675) | $3,475 |
Net income (loss) | 805 | ' | ' | ' | 611 | ' | ' | 194 |
Other comprehensive loss | -1,181 | ' | ' | ' | ' | ' | -952 | -229 |
Cash dividends declared: | ' | ' | ' | ' | ' | ' | ' | ' |
Preferred @ $3.75 per share | -2 | ' | ' | ' | -2 | ' | ' | ' |
Common @ $0.12 per share | -129 | ' | ' | ' | -129 | ' | ' | ' |
Stock-based compensation (R) | 83 | ' | ' | 83 | ' | ' | ' | ' |
Common stock issued: compensation plans (R) | 22 | ' | ' | -172 | ' | 194 | ' | ' |
Issuance of common stock (R) | 600 | ' | 37 | 563 | ' | ' | ' | ' |
Distributions | -257 | ' | ' | ' | ' | ' | ' | -257 |
Contributions (M) | 169 | ' | ' | ' | ' | ' | ' | 169 |
Other | -1 | ' | ' | ' | ' | ' | ' | -1 |
Balance at Dec. 31, 2011 | 17,195 | 55 | 1,178 | 7,561 | 11,629 | -3,952 | -2,627 | 3,351 |
Net income (loss) | 162 | ' | ' | ' | 191 | ' | ' | -29 |
Other comprehensive loss | -848 | ' | ' | ' | ' | ' | -775 | -73 |
Cash dividends declared: | ' | ' | ' | ' | ' | ' | ' | ' |
Preferred @ $3.75 per share | -2 | ' | ' | ' | -2 | ' | ' | ' |
Common @ $0.12 per share | -129 | ' | ' | ' | -129 | ' | ' | ' |
Stock-based compensation (R) | 67 | ' | ' | 67 | ' | ' | ' | ' |
Common stock issued: compensation plans (R) | 3 | ' | ' | -68 | ' | 71 | ' | ' |
Distributions | -95 | ' | ' | ' | ' | ' | ' | -95 |
Contributions (M) | 171 | ' | ' | ' | ' | ' | ' | 171 |
Other | -1 | ' | ' | ' | ' | ' | ' | -1 |
Balance at Dec. 31, 2012 | 16,523 | 55 | 1,178 | 7,560 | 11,689 | -3,881 | -3,402 | 3,324 |
Net income (loss) | -2,244 | ' | ' | ' | -2,285 | ' | ' | 41 |
Other comprehensive loss | -595 | ' | ' | ' | ' | ' | -257 | -338 |
Cash dividends declared: | ' | ' | ' | ' | ' | ' | ' | ' |
Preferred @ $3.75 per share | -2 | ' | ' | ' | -2 | ' | ' | ' |
Common @ $0.12 per share | -130 | ' | ' | ' | -130 | ' | ' | ' |
Stock-based compensation (R) | 71 | ' | ' | 71 | ' | ' | ' | ' |
Common stock issued: compensation plans (R) | -3 | ' | ' | -122 | ' | 119 | ' | ' |
Distributions | -109 | ' | ' | ' | ' | ' | ' | -109 |
Contributions (M) | 12 | ' | ' | ' | ' | ' | ' | 12 |
Other | -1 | ' | ' | ' | ' | ' | ' | -1 |
Balance at Dec. 31, 2013 | $13,522 | $55 | $1,178 | $7,509 | $9,272 | ($3,762) | ($3,659) | $2,929 |
Statement_of_Changes_in_Consol1
Statement of Changes in Consolidated Equity (Parenthetical) (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Preferred stock, dividends per share | $3.75 | $3.75 | $3.75 |
Common stock, dividends per share | $0.12 | $0.12 | $0.12 |
Retained Earnings [Member] | ' | ' | ' |
Preferred stock, dividends per share | $3.75 | $3.75 | $3.75 |
Common stock, dividends per share | $0.12 | $0.12 | $0.12 |
Summary_of_Significant_Account
Summary of Significant Accounting Policies | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Accounting Policies [Abstract] | ' | ||||||||
Summary of Significant Accounting Policies | ' | ||||||||
A. Summary of Significant Accounting Policies | |||||||||
Basis of Presentation. The Consolidated Financial Statements of Alcoa Inc. and subsidiaries (“Alcoa” or the “Company”) are prepared in conformity with accounting principles generally accepted in the United States of America (GAAP) and require management to make certain judgments, estimates, and assumptions. These 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 period. Actual results could differ from those estimates upon subsequent resolution of identified matters. Certain amounts in previously issued financial statements were reclassified to conform to the 2013 presentation. | |||||||||
Principles of Consolidation. The Consolidated Financial Statements include the accounts of Alcoa and companies in which Alcoa has a controlling interest. Intercompany transactions have been eliminated. The equity method of accounting is used for investments in affiliates and other joint ventures over which Alcoa has significant influence but does not have effective control. Investments in affiliates in which Alcoa cannot exercise significant influence are accounted for on the cost method. | |||||||||
Management also evaluates whether an Alcoa entity or interest is a variable interest entity and whether Alcoa is the primary beneficiary. Consolidation is required if both of these criteria are met. Alcoa does not have any variable interest entities requiring consolidation. | |||||||||
Related Party Transactions. Alcoa buys products from and sells products to various related companies, consisting of entities in which Alcoa retains a 50% or less equity interest, at negotiated arms-length prices between the two parties. These transactions were not material to the financial position or results of operations of Alcoa for all periods presented. | |||||||||
Cash Equivalents. Cash equivalents are highly liquid investments purchased with an original maturity of three months or less. | |||||||||
Inventory Valuation. Inventories are carried at the lower of cost or market, with cost for a substantial portion of U.S. and Canadian inventories determined under the last-in, first-out (LIFO) method. The cost of other inventories is principally determined under the average-cost method. | |||||||||
Properties, Plants, and Equipment. Properties, plants, and equipment are recorded at cost. Depreciation is recorded principally on the straight-line method at rates based on the estimated useful lives of the assets. For greenfield assets, which refer to the construction of new assets on undeveloped land, the units of production method is used to record depreciation. These assets require a significant period (generally greater than one-year) to ramp-up to full production capacity. As a result, the units of production method is deemed a more systematic and rational method for recognizing depreciation on these assets. Depreciation is recorded on temporarily idled facilities until such time management approves a permanent shutdown. The following table details the weighted-average useful lives of structures and machinery and equipment by reporting segment (numbers in years): | |||||||||
Segment | Structures | Machinery and equipment | |||||||
Alumina: | |||||||||
Alumina refining | 30 | 26 | |||||||
Bauxite mining | 31 | 17 | |||||||
Primary Metals: | |||||||||
Aluminum smelting | 35 | 21 | |||||||
Power generation | 30 | 21 | |||||||
Global Rolled Products | 32 | 21 | |||||||
Engineered Products and Solutions | 29 | 18 | |||||||
Gains or losses from the sale of assets are generally recorded in other income or expenses (see policy below for assets classified as held for sale and discontinued operations). Repairs and maintenance are charged to expense as incurred. Interest related to the construction of qualifying assets is capitalized as part of the construction costs. | |||||||||
Properties, plants, and equipment are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of such assets (asset group) may not be recoverable. Recoverability of assets is determined by comparing the estimated undiscounted net cash flows of the operations related to the assets (asset group) to their carrying amount. An impairment loss would be recognized when the carrying amount of the assets (asset group) exceeds the estimated undiscounted net cash flows. The amount of the impairment loss to be recorded is calculated as the excess of the carrying value of the assets (asset group) over their fair value, with fair value determined using the best information available, which generally is a discounted cash flow (DCF) model. The determination of what constitutes an asset group, the associated estimated undiscounted net cash flows, and the estimated useful lives of assets also require significant judgments. | |||||||||
Mineral Rights. Alcoa recognizes mineral rights upon specific acquisitions of land that include such underlying rights, primarily in Jamaica. This land is purchased for the sole purpose of mining bauxite. The underlying bauxite reserves are known at the time of acquisition based on associated drilling and analysis and are considered to be proven reserves. The acquisition cost of the land and mineral rights are amortized as the bauxite is produced based on the level of minable tons determined at the time of purchase. Mineral rights are included in Properties, plants, and equipment on the accompanying Consolidated Balance Sheet. | |||||||||
Deferred Mining Costs. Alcoa recognizes deferred mining costs during the development stage of a mine life cycle. Such costs include the construction of access and haul roads, detailed drilling and geological analysis to further define the grade and quality of the known bauxite, and overburden removal costs. These costs relate to sections of the related mines where Alcoa is either currently extracting bauxite or is preparing for production in the near term. These sections are outlined and planned incrementally and generally are mined over periods ranging from one to five years, depending on mine specifics. The amount of geological drilling and testing necessary to determine the economic viability of the bauxite deposit being mined is such that the reserves are considered to be proven, and the mining costs are amortized based on this level of reserves. Deferred mining costs are included in Other noncurrent assets on the accompanying Consolidated Balance Sheet. | |||||||||
Goodwill and Other Intangible Assets. Goodwill is not amortized; instead, it is reviewed for impairment annually (in the fourth quarter) or more frequently if indicators of impairment exist or if a decision is made to sell or exit a business. A significant amount of judgment is involved in determining if an indicator of impairment has occurred. Such indicators may include deterioration in general economic conditions, negative developments in equity and credit markets, adverse changes in the markets in which an entity operates, increases in input costs that have a negative effect on earnings and cash flows, or a trend of negative or declining cash flows over multiple periods, among others. The fair value that could be realized in an actual transaction may differ from that used to evaluate the impairment of goodwill. | |||||||||
Goodwill is allocated among and evaluated for impairment at the reporting unit level, which is defined as an operating segment or one level below an operating segment. Alcoa has nine reporting units, of which five are included in the Engineered Products and Solutions segment. The remaining four reporting units are the Alumina segment, the Primary Metals segment, the Global Rolled Products segment, and the soft alloy extrusions business in Brazil, which is included in Corporate. More than 80% of Alcoa’s total goodwill is allocated to two reporting units as follows: Alcoa Fastening Systems (AFS) ($1,166) and Alcoa Power and Propulsion (APP) ($1,617) businesses, both of which are included in the Engineered Products and Solutions segment. These amounts include an allocation of Corporate’s goodwill. | |||||||||
In reviewing goodwill for impairment, an entity has the option to first assess qualitative factors to determine whether the existence of events or circumstances leads to a determination that it is more likely than not (greater than 50%) that the estimated fair value of a reporting unit is less than its carrying amount. If an entity elects to perform a qualitative assessment and determines that an impairment is more likely than not, the entity is then required to perform the existing two-step quantitative impairment test (described below), otherwise no further analysis is required. An entity also may elect not to perform the qualitative assessment and, instead, proceed directly to the two-step quantitative impairment test. The ultimate outcome of the goodwill impairment review for a reporting unit should be the same whether an entity chooses to perform the qualitative assessment or proceeds directly to the two-step quantitative impairment test. | |||||||||
Alcoa’s policy for its annual review of goodwill is to perform the qualitative assessment for all reporting units not subjected directly to the two-step quantitative impairment test. Management will proceed directly to the two-step quantitative impairment test for a minimum of three reporting units (based on facts and circumstances) during each annual review of goodwill. This policy will result in each of the nine reporting units being subjected to the two-step quantitative impairment test at least once during every three-year period. | |||||||||
Under the qualitative assessment, various events and circumstances (or factors) that would affect the estimated fair value of a reporting unit are identified (similar to impairment indicators above). These factors are then classified by the type of impact they would have on the estimated fair value using positive, neutral, and adverse categories based on current business conditions. Additionally, an assessment of the level of impact that a particular factor would have on the estimated fair value is determined using high, medium, and low weighting. Furthermore, management considers the results of the most recent two-step quantitative impairment test completed for a reporting unit and compares the weighted average cost of capital (WACC) between the current and prior years for each reporting unit. | |||||||||
During the 2013 annual review of goodwill, management performed the qualitative assessment for two reporting units, the Global Rolled Products segment and one of the five reporting units in the Engineered Products and Solutions segment. Management concluded that it was not more likely than not that the estimated fair values of the two reporting units were less than their carrying values. As such, no further analysis was required. | |||||||||
Under the two-step quantitative impairment test, the evaluation of impairment involves comparing the current fair value of each reporting unit to its carrying value, including goodwill. Alcoa uses a DCF model to estimate the current fair value of its reporting units when testing for impairment, as management believes forecasted cash flows are the best indicator of such fair value. A number of significant assumptions and estimates are involved in the application of the DCF model to forecast operating cash flows, including markets and market share, sales volumes and prices, production costs, tax rates, capital spending, discount rate, and working capital changes. Most of these assumptions vary significantly among the reporting units. Cash flow forecasts are generally based on approved business unit operating plans for the early years and historical relationships in later years. The betas used in calculating the individual reporting units’ WACC rate are estimated for each business with the assistance of valuation experts. | |||||||||
In the event the estimated fair value of a reporting unit per the DCF model is less than the carrying value, additional analysis would be required. The additional analysis would compare the carrying amount of the reporting unit’s goodwill with the implied fair value of that goodwill, which may involve the use of valuation experts. The implied fair value of goodwill is the excess of the fair value of the reporting unit over the fair value amounts assigned to all of the assets and liabilities of that unit as if the reporting unit was acquired in a business combination and the fair value of the reporting unit represented the purchase price. If the carrying value of goodwill exceeds its implied fair value, an impairment loss equal to such excess would be recognized, which could significantly and adversely impact reported results of operations and shareholders’ equity. | |||||||||
During the 2013 annual review of goodwill, management proceeded directly to the two-step quantitative impairment test for seven reporting units as follows: the Primary Metals segment, the Alumina segment, the soft alloy extrusions business in Brazil, and four of the five reporting units in the Engineered Products and Solutions segment, including AFS and APP. The estimated fair values of the four Engineered Products and Solutions businesses, and the soft alloy extrusions business were substantially in excess of their respective carrying value, resulting in no impairment. | |||||||||
During the 2012 annual testing of goodwill, the estimated fair value of the Alumina segment exceeded the carrying value by 7%. In connection with the 2013 testing, the estimated fair value of the Alumina segment exceeded the carrying value by 18%. This increase is attributable to several factors: improved pricing due to the continued implementation of the Alumina Price Index; operating and productivity improvements in the business; and a stronger U.S. dollar, all of which increased management’s estimates of operating results and cash flows used in assessing Alumina’s goodwill for impairment. These improvements were partially offset by an increase in the discount rate used in the DCF models. Unfavorable movements in one or more of these trends in the future could have a negative impact on the estimated fair value of the Alumina segment. | |||||||||
For Primary Metals, the estimated fair value as determined by the DCF model was lower than the associated carrying value. As a result, management performed the second step of the impairment analysis in order to determine the implied fair value of Primary Metals’ goodwill. The results of the second-step analysis showed that the implied fair value of goodwill was zero. Therefore, in the fourth quarter of 2013, Alcoa recorded a goodwill impairment of $1,731 ($1,719 after noncontrolling interest). As a result of the goodwill impairment, there is no goodwill remaining for the Primary Metals reporting unit. | |||||||||
The impairment of Primary Metals’ goodwill results from several causes: the prolonged economic downturn; a disconnect between industry fundamentals and pricing that has resulted in lower metal prices; and the increased cost of alumina, a key raw material, resulting from expansion of the Alumina Price Index throughout the industry. All of these factors, exacerbated by increases in discount rates, continue to place significant downward pressure on metal prices and operating margins, and the resulting estimated fair value, of the Primary Metals business. As a result, management decreased the near-term and long-term estimates of the operating results and cash flows utilized in assessing Primary Metals’ goodwill for impairment. The valuation of goodwill for the second step of the goodwill impairment analysis is considered a level 3 fair value measurement, which means that the valuation of the assets and liabilities reflect management’s own judgments regarding the assumptions market participants would use in determining the fair value of the assets and liabilities. | |||||||||
Goodwill impairment tests in prior years indicated that goodwill was not impaired for any of the Company’s reporting units and there were no triggering events since that time that necessitated an impairment test. | |||||||||
Intangible assets with indefinite useful lives are not amortized while intangible assets with finite useful lives are amortized generally on a straight-line basis over the periods benefited. The following table details the weighted-average useful lives of software and other intangible assets by reporting segment (numbers in years): | |||||||||
Segment | Software | Other intangible assets | |||||||
Alumina | 10 | 34 | |||||||
Primary Metals | 8 | 39 | |||||||
Global Rolled Products | 9 | 17 | |||||||
Engineered Products and Solutions | 11 | 19 | |||||||
Equity Investments. Alcoa invests in a number of privately-held companies, primarily through joint ventures and consortia, which are accounted for on the equity method. The equity method is applied in situations where Alcoa has the ability to exercise significant influence, but not control, over the investee. Management reviews equity investments for impairment whenever certain indicators are present suggesting that the carrying value of an investment is not recoverable. This analysis requires a significant amount of judgment from management to identify events or circumstances indicating that an equity investment is impaired. The following items are examples of impairment indicators: significant, sustained declines in an investee’s revenue, earnings, and cash flow trends; adverse market conditions of the investee’s industry or geographic area; the investee’s ability to continue operations measured by several items, including liquidity; and other factors. Once an impairment indicator is identified, management uses considerable judgment to determine if the impairment is other than temporary, in which case the equity investment is written down to its estimated fair value. An impairment that is other than temporary could significantly and adversely impact reported results of operations. | |||||||||
Revenue Recognition. Alcoa recognizes revenue when title, ownership, and risk of loss pass to the customer, all of which occurs upon shipment or delivery of the product and is based on the applicable shipping terms. The shipping terms vary across all businesses and depend on the product, the country of origin, and the type of transportation (truck, train, or vessel). | |||||||||
Alcoa periodically enters into long-term supply contracts with alumina and aluminum customers and receives advance payments for product to be delivered in future periods. These advance payments are recorded as deferred revenue, and revenue is recognized as shipments are made and title, ownership, and risk of loss pass to the customer during the term of the contracts. Deferred revenue is included in Other current liabilities and Other noncurrent liabilities and deferred credits on the accompanying Consolidated Balance Sheet. | |||||||||
Environmental Matters. Expenditures for current operations are expensed or capitalized, as appropriate. Expenditures relating to existing conditions caused by past operations, which will not contribute to future revenues, are expensed. Liabilities are recorded when remediation costs are probable and can be reasonably estimated. The liability may include costs such as site investigations, consultant fees, feasibility studies, outside contractors, and monitoring expenses. Estimates are generally not discounted or reduced by potential claims for recovery. Claims for recovery are recognized as agreements are reached with third parties. The estimates also include costs related to other potentially responsible parties to the extent that Alcoa has reason to believe such parties will not fully pay their proportionate share. The liability is continuously reviewed and adjusted to reflect current remediation progress, prospective estimates of required activity, and other factors that may be relevant, including changes in technology or regulations. | |||||||||
Litigation Matters. For asserted claims and assessments, liabilities are recorded when an unfavorable outcome of a matter is deemed to be probable and the loss is reasonably estimable. Management determines the likelihood of an unfavorable outcome based on many factors such as the nature of the matter, available defenses and case strategy, progress of the matter, views and opinions of legal counsel and other advisors, applicability and success of appeals processes, and the outcome of similar historical matters, among others. Once an unfavorable outcome is deemed probable, management weighs the probability of estimated losses, and the most reasonable loss estimate is recorded. If an unfavorable outcome of a matter is deemed to be reasonably possible, then the matter is disclosed and no liability is recorded. With respect to unasserted claims or assessments, management must first determine that the probability that an assertion will be made is likely, then, a determination as to the likelihood of an unfavorable outcome and the ability to reasonably estimate the potential loss is made. Legal matters are reviewed on a continuous basis to determine if there has been a change in management’s judgment regarding the likelihood of an unfavorable outcome or the estimate of a potential loss. | |||||||||
Asset Retirement Obligations. Alcoa recognizes asset retirement obligations (AROs) related to legal obligations associated with the normal operation of Alcoa’s bauxite mining, alumina refining, and aluminum smelting facilities. These AROs consist primarily of costs associated with spent pot lining disposal, closure of bauxite residue areas, mine reclamation, and landfill closure. Alcoa also recognizes AROs for any significant lease restoration obligation, if required by a lease agreement, and for the disposal of regulated waste materials related to the demolition of certain power facilities. The fair values of these AROs are recorded on a discounted basis, at the time the obligation is incurred, and accreted over time for the change in present value. Additionally, Alcoa capitalizes asset retirement costs by increasing the carrying amount of the related long-lived assets and depreciating these assets over their remaining useful life. | |||||||||
Certain conditional asset retirement obligations (CAROs) related to alumina refineries, aluminum smelters, and fabrication facilities have not been recorded in the Consolidated Financial Statements due to uncertainties surrounding the ultimate settlement date. A CARO is a legal obligation to perform an asset retirement activity in which the timing and/or method of settlement are conditional on a future event that may or may not be within Alcoa’s control. Such uncertainties exist as a result of the perpetual nature of the structures, maintenance and upgrade programs, and other factors. At the date a reasonable estimate of the ultimate settlement date can be made, Alcoa would record an ARO for the removal, treatment, transportation, storage, and/or disposal of various regulated assets and hazardous materials such as asbestos, underground and aboveground storage tanks, polychlorinated biphenyls (PCBs), various process residuals, solid wastes, electronic equipment waste, and various other materials. Such amounts may be material to the Consolidated Financial Statements in the period in which they are recorded. | |||||||||
Income Taxes. The provision for income taxes is determined using the asset and liability approach of accounting for income taxes. Under this approach, the provision for income taxes represents income taxes paid or payable (or received or receivable) for the current year plus the change in deferred taxes during the year. Deferred taxes represent the future tax consequences expected to occur when the reported amounts of assets and liabilities are recovered or paid, and result from differences between the financial and tax bases of Alcoa’s assets and liabilities and are adjusted for changes in tax rates and tax laws when enacted. | |||||||||
Valuation allowances are recorded to reduce deferred tax assets when it is more likely than not that a tax benefit will not be realized. In evaluating the need for a valuation allowance, management considers all potential sources of taxable income, including income available in carryback periods, future reversals of taxable temporary differences, projections of taxable income, and income from tax planning strategies, as well as all available positive and negative evidence. Positive evidence includes factors such as a history of profitable operations, projections of future profitability within the carryforward period, including from tax planning strategies, and the Alcoa’s experience with similar operations. Existing favorable contracts and the ability to sell products into established markets are additional positive evidence. Negative evidence includes items such as cumulative losses, projections of future losses, or carryforward periods that are not long enough to allow for the utilization of a deferred tax asset based on existing projections of income. Deferred tax assets for which no valuation allowance is recorded may not be realized upon changes in facts and circumstances, resulting in a future charge to establish a valuation allowance. Existing valuation allowances are re-examined under the same standards of positive and negative evidence. If it is determined that it is more likely than not that a deferred tax asset will be realized, the appropriate amount of the valuation allowance, if any, is released. Deferred tax assets and liabilities are also re-measured to reflect changes in underlying tax rates due to law changes and the granting and lapse of tax holidays. | |||||||||
Tax benefits related to uncertain tax positions taken or expected to be taken on a tax return are recorded when such benefits meet a more likely than not threshold. Otherwise, these tax benefits are recorded when a tax position has been effectively settled, which means that the statute of limitation has expired or the appropriate taxing authority has completed their examination even though the statute of limitations remains open. Interest and penalties related to uncertain tax positions are recognized as part of the provision for income taxes and are accrued beginning in the period that such interest and penalties would be applicable under relevant tax law until such time that the related tax benefits are recognized. | |||||||||
Stock-Based Compensation. Alcoa recognizes compensation expense for employee equity grants using the non-substantive vesting period approach, in which the expense (net of estimated forfeitures) is recognized ratably over the requisite service period based on the grant date fair value. The fair value of new stock options is estimated on the date of grant using a lattice-pricing model. Determining the fair value of stock options at the grant date requires judgment, including estimates for the average risk-free interest rate, dividend yield, volatility, annual forfeiture rate, and exercise behavior. These assumptions may differ significantly between grant dates because of changes in the actual results of these inputs that occur over time. | |||||||||
Most plan participants can choose whether to receive their award in the form of stock options, stock awards, or a combination of both. This choice is made before the grant is issued and is irrevocable. | |||||||||
Derivatives and Hedging. Derivatives are held for purposes other than trading and are part of a formally documented risk management program. For derivatives designated as fair value hedges, Alcoa measures hedge effectiveness by formally assessing, at least quarterly, the historical high correlation of changes in the fair value of the hedged item and the derivative hedging instrument. For derivatives designated as cash flow hedges, Alcoa measures hedge effectiveness by formally assessing, at least quarterly, the probable high correlation of the expected future cash flows of the hedged item and the derivative hedging instrument. The ineffective portions of both types of hedges are recorded in sales or other income or expense in the current period. If the hedging relationship ceases to be highly effective or it becomes probable that an expected transaction will no longer occur, future gains or losses on the derivative instrument are recorded in other income or expense. | |||||||||
Alcoa accounts for interest rate swaps related to its existing long-term debt and hedges of firm customer commitments for aluminum as fair value hedges. As a result, the fair values of the derivatives and changes in the fair values of the underlying hedged items are reported in other current and noncurrent assets and liabilities in the Consolidated Balance Sheet. Changes in the fair values of these derivatives and underlying hedged items generally offset and are recorded each period in sales or interest expense, consistent with the underlying hedged item. | |||||||||
Alcoa accounts for hedges of foreign currency exposures and certain forecasted transactions as cash flow hedges. The fair values of the derivatives are recorded in other current and noncurrent assets and liabilities in the Consolidated Balance Sheet. The effective portions of the changes in the fair values of these derivatives are recorded in other comprehensive income and are reclassified to sales, cost of goods sold, or other income or expense in the period in which earnings are impacted by the hedged items or in the period that the transaction no longer qualifies as a cash flow hedge. These contracts cover the same periods as known or expected exposures, generally not exceeding five years. | |||||||||
If no hedging relationship is designated, the derivative is marked to market through earnings. | |||||||||
Cash flows from derivatives are recognized in the Statement of Consolidated Cash Flows in a manner consistent with the underlying transactions. | |||||||||
Foreign Currency. The local currency is the functional currency for Alcoa’s significant operations outside the U.S., except for certain operations in Canada, Russia and Iceland, where the U.S. dollar is used as the functional currency. The determination of the functional currency for Alcoa’s operations is made based on the appropriate economic and management indicators. | |||||||||
Acquisitions. Alcoa’s business acquisitions are accounted for using the acquisition method. The purchase price is allocated to the assets acquired and liabilities assumed based on their estimated fair values. Any excess purchase price over the fair value of the net assets acquired is recorded as goodwill. For all acquisitions, operating results are included in the Statement of Consolidated Operations from the date of the acquisition. | |||||||||
Discontinued Operations and Assets Held For Sale. For those businesses where management has committed to a plan to divest, each business is valued at the lower of its carrying amount or estimated fair value less cost to sell. If the carrying amount of the business exceeds its estimated fair value, an impairment loss is recognized. Fair value is estimated using accepted valuation techniques such as a DCF model, valuations performed by third parties, earnings multiples, or indicative bids, when available. A number of significant estimates and assumptions are involved in the application of these techniques, including the forecasting of markets and market share, sales volumes and prices, costs and expenses, and multiple other factors. Management considers historical experience and all available information at the time the estimates are made; however, the fair value that is ultimately realized upon the divestiture of a business may differ from the estimated fair value reflected in the Consolidated Financial Statements. Depreciation, depletion, and amortization expense is not recorded on assets of a business to be divested once they are classified as held for sale. Businesses to be divested are classified in the Consolidated Financial Statements as either discontinued operations or held for sale. | |||||||||
For businesses classified as discontinued operations, the balance sheet amounts and results of operations are reclassified from their historical presentation to assets and liabilities of operations held for sale on the Consolidated Balance Sheet and to discontinued operations on the Statement of Consolidated Operations, respectively, for all periods presented. The gains or losses associated with these divested businesses are recorded in discontinued operations on the Statement of Consolidated Operations. The Statement of Consolidated Cash Flows is also reclassified for assets and liabilities of operations held for sale and discontinued operations for all periods presented. Additionally, segment information does not include the assets or operating results of businesses classified as discontinued operations for all periods presented. Management does not expect any continuing involvement with these businesses following their divestiture, and these businesses are expected to be disposed of within one year. | |||||||||
For businesses classified as held for sale that do not qualify for discontinued operations treatment, the balance sheet and cash flow amounts are reclassified from their historical presentation to assets and liabilities of operations held for sale for all periods presented. The results of operations continue to be reported in continuing operations. The gains or losses associated with these divested businesses are recorded in restructuring and other charges on the Statement of Consolidated Operations. The segment information includes the assets and operating results of businesses classified as held for sale for all periods presented. Management expects that Alcoa will have continuing involvement with these businesses following their divestiture, primarily in the form of equity participation, or ongoing aluminum or other significant supply contracts. | |||||||||
Recently Adopted Accounting Guidance. | |||||||||
Comprehensive Income—On January 1, 2013, Alcoa adopted changes issued by the Financial Accounting Standards Board (FASB) to the reporting of amounts reclassified out of accumulated other comprehensive income. These changes require an entity to report the effect of significant reclassifications out of accumulated other comprehensive income on the respective line items in net income if the amount being reclassified is required to be reclassified in its entirety to net income. For other amounts that are not required to be reclassified in their entirety to net income in the same reporting period, an entity is required to cross-reference other disclosures that provide additional detail about those amounts. These requirements are to be applied to each component of accumulated other comprehensive income. Other than the additional disclosure requirements (see Note B), the adoption of these changes had no impact on the Consolidated Financial Statements. | |||||||||
On January 1, 2012, Alcoa adopted changes issued by the FASB to the presentation of comprehensive income. These changes give an entity the option to present the total of comprehensive income, the components of net income, and the components of other comprehensive income either in a single continuous statement of comprehensive income or in two separate but consecutive statements; the option to present components of other comprehensive income as part of the statement of changes in stockholders’ equity was eliminated. The items that must be reported in other comprehensive income or when an item of other comprehensive income must be reclassified to net income were not changed. Additionally, no changes were made to the calculation and presentation of earnings per share. Management elected to present the two-statement option. Other than the change in presentation, the adoption of these changes had no impact on the Consolidated Financial Statements. | |||||||||
Goodwill and Other Intangible Assets—On January 1, 2013, Alcoa adopted changes issued by the FASB to the testing of indefinite-lived intangible assets for impairment, similar to the goodwill changes adopted in October 2011 (see below). These changes provide an entity the option to first assess qualitative factors to determine whether the existence of events or circumstances leads to a determination that it is more likely than not (greater than 50%) that the fair value of an indefinite-lived intangible asset is less than its carrying amount. Such qualitative factors may include the following: macroeconomic conditions; industry and market considerations; cost factors; overall financial performance; and other relevant entity-specific events. If an entity elects to perform a qualitative assessment and determines that an impairment is more likely than not, the entity is then required to perform the existing two-step quantitative impairment test, otherwise no further analysis is required. An entity also may elect not to perform the qualitative assessment and, instead, proceed directly to the two-step quantitative impairment test. Notwithstanding the adoption of these changes, management plans to proceed directly to the two-step quantitative test for Alcoa’s indefinite-lived intangible assets. The adoption of these changes had no impact on the Consolidated Financial Statements. | |||||||||
On January 1, 2011, Alcoa adopted changes issued by the FASB to the testing of goodwill for impairment. These changes require an entity to perform all steps in the test for a reporting unit whose carrying value is zero or negative if it is more likely than not (greater than 50%) that a goodwill impairment exists based on qualitative factors. This will result in the elimination of an entity’s ability to assert that such a reporting unit’s goodwill is not impaired and additional testing is not necessary despite the existence of qualitative factors that indicate otherwise. Based on the then most recent impairment review of Alcoa’s goodwill (2011 fourth quarter), the adoption of these changes had no impact on the Consolidated Financial Statements. | |||||||||
In September 2011, the FASB issued changes to the testing of goodwill for impairment. These changes provide an entity the option to first assess qualitative factors to determine whether the existence of events or circumstances leads to a determination that it is more likely than not (greater than 50%) that the fair value of a reporting unit is less than its carrying amount. Such qualitative factors may include the following: macroeconomic conditions; industry and market considerations; cost factors; overall financial performance; and other relevant entity-specific events. If an entity elects to perform a qualitative assessment and determines that an impairment is more likely than not, the entity is then required to perform the existing two-step quantitative impairment test, otherwise no further analysis is required. An entity also may elect not to perform the qualitative assessment and, instead, proceed directly to the two-step quantitative impairment test. Under either option, the ultimate outcome of the goodwill impairment test should be the same. These changes were required to become effective for Alcoa for any goodwill impairment test performed on January 1, 2012 or later; however, early adoption is permitted. Alcoa elected to early adopt these changes in conjunction with management’s annual review of goodwill in the fourth quarter of 2011 (see Goodwill and Other Intangible Assets policy in Note A above). The adoption of these changes had no impact on the Consolidated Financial Statements. | |||||||||
Other—On January 1, 2013, Alcoa adopted changes issued by the FASB to the disclosure of offsetting assets and liabilities. These changes require an entity to disclose both gross information and net information about both instruments and transactions eligible for offset in the statement of financial position and instruments and transactions subject to an agreement similar to a master netting arrangement. The enhanced disclosures will enable users of an entity’s financial statements to understand and evaluate the effect or potential effect of master netting arrangements on an entity’s financial position, including the effect or potential effect of rights of setoff associated with certain financial instruments and derivative instruments. Other than the additional disclosure requirements (see Note X), the adoption of these changes had no impact on the Consolidated Financial Statements. | |||||||||
On July 17, 2013, the FASB issued and Alcoa adopted changes related to hedge accounting. These changes permit an entity to use the Fed Funds Effective Swap Rate as a U.S. benchmark interest rate for hedge accounting purposes. Previously only interest rates on direct Treasury obligations of the U.S. government and the London Interbank Offered Rate swap rate were considered benchmark interest rates. The benchmark interest rate is used to assess the interest rate risk associated with a hedged item’s fair value or a hedged transaction’s cash flows. Also, the changes remove the restriction on using different benchmark rates for similar hedges. These changes are effective prospectively for qualifying new or redesignated hedging relationships entered into on or after July 17, 2013. The adoption of these changes had no impact on the Consolidated Financial Statements. | |||||||||
On January 1, 2012, Alcoa adopted changes issued by the FASB to conform existing guidance regarding fair value measurement and disclosure between GAAP and International Financial Reporting Standards. These changes both clarify the FASB’s intent about the application of existing fair value measurement and disclosure requirements and amend certain principles or requirements for measuring fair value or for disclosing information about fair value measurements. The clarifying changes relate to the application of the highest and best use and valuation premise concepts, measuring the fair value of an instrument classified in a reporting entity’s shareholders’ equity, and disclosure of quantitative information about unobservable inputs used for Level 3 fair value measurements. The amendments relate to measuring the fair value of financial instruments that are managed within a portfolio; application of premiums and discounts in a fair value measurement; and additional disclosures concerning the valuation processes used and sensitivity of the fair value measurement to changes in unobservable inputs for those items categorized as Level 3, a reporting entity’s use of a nonfinancial asset in a way that differs from the asset’s highest and best use, and the categorization by level in the fair value hierarchy for items required to be measured at fair value for disclosure purposes only. Other than the additional disclosure requirements (see Note X), the adoption of these changes had no impact on the Consolidated Financial Statements. | |||||||||
On January 1, 2011, Alcoa adopted changes issued by the FASB to disclosure requirements for fair value measurements. Specifically, the changes require a reporting entity to disclose, in the reconciliation of fair value measurements using significant unobservable inputs (Level 3), separate information about purchases, sales, issuances, and settlements (that is, on a gross basis rather than as one net number). These changes were applied to the disclosures in Note W and the Derivatives section of Note X to the Consolidated Financial Statements. | |||||||||
On January 1, 2011, Alcoa adopted changes issued by the FASB to the disclosure of pro forma information for business combinations. These changes clarify that if a public entity presents comparative financial statements, the entity should disclose revenue and earnings of the combined entity as though the business combination that occurred during the current year had occurred as of the beginning of the comparable prior annual reporting period only. Also, the existing supplemental pro forma disclosures were expanded to include a description of the nature and amount of material, nonrecurring pro forma adjustments directly attributable to the business combination included in the reported pro forma revenue and earnings. The adoption of these changes had no impact on the Consolidated Financial Statements. | |||||||||
On January 1, 2011, Alcoa adopted changes issued by the FASB to revenue recognition for multiple-deliverable arrangements. These changes require separation of consideration received in such arrangements by establishing a selling price hierarchy (not the same as fair value) for determining the selling price of a deliverable, which will be based on available information in the following order: vendor-specific objective evidence, third-party evidence, or estimated selling price; eliminate the residual method of allocation and require that the consideration be allocated at the inception of the arrangement to all deliverables using the relative selling price method, which allocates any discount in the arrangement to each deliverable on the basis of each deliverable’s selling price; require that a vendor determine its best estimate of selling price in a manner that is consistent with that used to determine the price to sell the deliverable on a standalone basis; and expand the disclosures related to multiple-deliverable revenue arrangements. The adoption of these changes had no impact on the Consolidated Financial Statements, as Alcoa does not currently have any such arrangements with its customers. | |||||||||
On January 1, 2011, Alcoa adopted changes issued by the FASB to the classification of certain employee share-based payment awards. These changes clarify that there is not an indication of a condition that is other than market, performance, or service if an employee share-based payment award’s exercise price is denominated in the currency of a market in which a substantial portion of the entity’s equity securities trade and differs from the functional currency of the employer entity or payroll currency of the employee. An employee share-based payment award is required to be classified as a liability if the award does not contain a market, performance, or service condition. Prior to this guidance, the difference between the currency denomination of an employee share-based payment award’s exercise price and the functional currency of the employer entity or payroll currency of the employee was not a factor considered by management when determining the proper classification of a share-based payment award. The adoption of these changes had no impact on the Consolidated Financial Statements. | |||||||||
Recently Issued Accounting Guidance. In February 2013, the FASB issued changes to the accounting for obligations resulting from joint and several liability arrangements. These changes require an entity to measure such obligations for which the total amount of the obligation is fixed at the reporting date as the sum of (i) the amount the reporting entity agreed to pay on the basis of its arrangement among its co-obligors, and (ii) any additional amount the reporting entity expects to pay on behalf of its co-obligors. An entity will also be required to disclose the nature and amount of the obligation as well as other information about those obligations. Examples of obligations subject to these requirements are debt arrangements and settled litigation and judicial rulings. These changes become effective for Alcoa on January 1, 2014. Management has determined that the adoption of these changes will not have an impact on the Consolidated Financial Statements, as Alcoa does not currently have any such arrangements. | |||||||||
In March 2013, the FASB issued changes to a parent entity’s accounting for the cumulative translation adjustment upon derecognition of certain subsidiaries or groups of assets within a foreign entity or of an investment in a foreign entity. A parent entity is required to release any related cumulative foreign currency translation adjustment from accumulated other comprehensive income into net income in the following circumstances: (i) a parent entity ceases to have a controlling financial interest in a subsidiary or group of assets that is a business within a foreign entity if the sale or transfer results in the complete or substantially complete liquidation of the foreign entity in which the subsidiary or group of assets had resided; (ii) a partial sale of an equity method investment that is a foreign entity; (iii) a partial sale of an equity method investment that is not a foreign entity whereby the partial sale represents a complete or substantially complete liquidation of the foreign entity that held the equity method investment; and (iv) the sale of an investment in a foreign entity. These changes become effective for Alcoa on January 1, 2014. Management has determined that the adoption of these changes will need to be considered in the Consolidated Financial Statements in the event Alcoa initiates any of the transactions described above. | |||||||||
In July 2013, the FASB issued changes to the presentation of an unrecognized tax benefit when a net operating loss carryforward, a similar tax loss, or a tax credit carryforward exists. These changes require an entity to present an unrecognized tax benefit as a liability in the financial statements if (i) a net operating loss carryforward, a similar tax loss, or a tax credit carryforward is not available at the reporting date under the tax law of the applicable jurisdiction to settle any additional income taxes that would result from the disallowance of a tax position, or (ii) the tax law of the applicable jurisdiction does not require the entity to use, and the entity does not intend to use, the deferred tax asset to settle any additional income taxes that would result from the disallowance of a tax position. Otherwise, an unrecognized tax benefit is required to be presented in the financial statements as a reduction to a deferred tax asset for a net operating loss carryforward, a similar tax loss, or a tax credit carryforward. Previously, there was diversity in practice as no explicit guidance existed. These changes become effective for Alcoa on January 1, 2014. Management has determined that the adoption of these changes will not have a significant impact on the Consolidated Financial Statements. |
Accumulated_Other_Comprehensiv
Accumulated Other Comprehensive Loss | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||
Equity [Abstract] | ' | ||||||||||||||||||||||||
Accumulated Other Comprehensive Loss | ' | ||||||||||||||||||||||||
B. Accumulated Other Comprehensive Loss | |||||||||||||||||||||||||
The following table details the activity of the four components that comprise Accumulated other comprehensive (loss) income for both Alcoa’s shareholders and noncontrolling interests: | |||||||||||||||||||||||||
Alcoa | Noncontrolling Interests | ||||||||||||||||||||||||
2013 | 2012 | 2011 | 2013 | 2012 | 2011 | ||||||||||||||||||||
Pension and other postretirement benefits (W) | |||||||||||||||||||||||||
Balance at beginning of period | $ | (4,063 | ) | $ | (3,534 | ) | $ | (2,941 | ) | $ | (77 | ) | $ | (99 | ) | $ | (40 | ) | |||||||
Other comprehensive income (loss): | |||||||||||||||||||||||||
Unrecognized net actuarial loss and prior service cost/benefit | 281 | (1,184 | ) | (1,159 | ) | 28 | 15 | (97 | ) | ||||||||||||||||
Tax (expense) benefit | (88 | ) | 398 | 399 | (9 | ) | (4 | ) | 32 | ||||||||||||||||
Total Other comprehensive income (loss) before reclassifications, net of tax | 193 | (786 | ) | (760 | ) | 19 | 11 | (65 | ) | ||||||||||||||||
Amortization of net actuarial loss and prior service cost/benefit(1) | 520 | 396 | 257 | 11 | 16 | 9 | |||||||||||||||||||
Tax expense(2) | (182 | ) | (139 | ) | (90 | ) | (4 | ) | (5 | ) | (3 | ) | |||||||||||||
Total amount reclassified from Accumulated other comprehensive loss, net of tax(8) | 338 | 257 | 167 | 7 | 11 | 6 | |||||||||||||||||||
Total Other comprehensive income (loss) | 531 | (529 | ) | (593 | ) | 26 | 22 | (59 | ) | ||||||||||||||||
Balance at end of period | $ | (3,532 | ) | $ | (4,063 | ) | $ | (3,534 | ) | $ | (51 | ) | $ | (77 | ) | $ | (99 | ) | |||||||
Foreign currency translation | |||||||||||||||||||||||||
Balance at beginning of period | $ | 1,147 | $ | 1,349 | $ | 1,892 | $ | 257 | $ | 351 | $ | 516 | |||||||||||||
Other comprehensive loss(3) | (968 | ) | (202 | ) | (543 | ) | (367 | ) | (94 | ) | (165 | ) | |||||||||||||
Balance at end of period | $ | 179 | $ | 1,147 | $ | 1,349 | $ | (110 | ) | $ | 257 | $ | 351 | ||||||||||||
Available-for-sale-securities | |||||||||||||||||||||||||
Balance at beginning of period | $ | 3 | $ | 1 | $ | 1 | $ | - | $ | - | $ | - | |||||||||||||
Other comprehensive (loss) income(4) | (1 | ) | 2 | - | - | - | - | ||||||||||||||||||
Balance at end of period | $ | 2 | $ | 3 | $ | 1 | $ | - | $ | - | $ | - | |||||||||||||
Cash flow hedges (X) | |||||||||||||||||||||||||
Balance at beginning of period | $ | (489 | ) | $ | (443 | ) | $ | (627 | ) | $ | (5 | ) | $ | (4 | ) | $ | 1 | ||||||||
Other comprehensive income (loss): | |||||||||||||||||||||||||
Net change from periodic revaluations | 205 | (2 | ) | 88 | 4 | (1 | ) | (8 | ) | ||||||||||||||||
Tax (expense) benefit | (43 | ) | (10 | ) | (25 | ) | (1 | ) | - | 2 | |||||||||||||||
Total Other comprehensive income (loss) before reclassifications, net of tax | 162 | (12 | ) | 63 | 3 | (1 | ) | (6 | ) | ||||||||||||||||
Net amount reclassified to earnings: | |||||||||||||||||||||||||
Aluminum contracts(5) | 18 | (65 | ) | 152 | - | - | - | ||||||||||||||||||
Energy contracts(6) | - | - | 13 | - | - | - | |||||||||||||||||||
Foreign exchange contracts(5) | 2 | - | (3 | ) | - | - | - | ||||||||||||||||||
Interest rate contracts(7) | 2 | 3 | 5 | - | - | 1 | |||||||||||||||||||
Sub-total | 22 | (62 | ) | 167 | - | - | 1 | ||||||||||||||||||
Tax (expense) benefit(2) | (3 | ) | 28 | (46 | ) | - | - | - | |||||||||||||||||
Total amount reclassified from Accumulated other comprehensive loss, net of tax(8) | 19 | (34 | ) | 121 | - | - | 1 | ||||||||||||||||||
Total Other comprehensive income (loss) | 181 | (46 | ) | 184 | 3 | (1 | ) | (5 | ) | ||||||||||||||||
Balance at end of period | $ | (308 | ) | $ | (489 | ) | $ | (443 | ) | $ | (2 | ) | $ | (5 | ) | $ | (4 | ) | |||||||
(1) | These amounts were included in the computation of net periodic benefit cost for pension and other postretirement benefits (see Note W). | ||||||||||||||||||||||||
(2) | These amounts were included in Provision for income taxes on the accompanying Statement of Consolidated Operations. | ||||||||||||||||||||||||
(3) | In all periods presented, there were no tax impacts related to rate changes and no amounts were reclassified to earnings. | ||||||||||||||||||||||||
(4) | In all periods presented, unrealized and realized gains and losses related to these securities were immaterial. Realized gains and losses were included in Other income, net on the accompanying Statement of Consolidated Operations. | ||||||||||||||||||||||||
(5) | These amounts were included in Sales on the accompanying Statement of Consolidated Operations. | ||||||||||||||||||||||||
(6) | This amount was included in Cost of goods sold on the accompanying Statement of Consolidated Operations. | ||||||||||||||||||||||||
(7) | In 2013 and 2012, this amount was included in Interest expense on the accompanying Statement of Consolidated Operations. In 2011, this amount was included in Other income, net on the accompanying Statement of Consolidated Operations. | ||||||||||||||||||||||||
(8) | A positive amount indicates a corresponding charge to earnings and a negative amount indicates a corresponding benefit to earnings. These amounts were reflected on the accompanying Statement of Consolidated Operations in the line items indicated in footnotes 1 through 7. |
Asset_Retirement_Obligations
Asset Retirement Obligations | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Asset Retirement Obligation Disclosure [Abstract] | ' | ||||||||
Asset Retirement Obligations | ' | ||||||||
C. Asset Retirement Obligations | |||||||||
Alcoa has recorded AROs related to legal obligations associated with the normal operations of bauxite mining, alumina refining, and aluminum smelting facilities. These AROs consist primarily of costs associated with spent pot lining disposal, closure of bauxite residue areas, mine reclamation, and landfill closure. Alcoa also recognizes AROs for any significant lease restoration obligation, if required by a lease agreement, and for the disposal of regulated waste materials related to the demolition of certain power facilities. | |||||||||
In addition to AROs, certain CAROs related to alumina refineries, aluminum smelters, and fabrication facilities have not been recorded in the Consolidated Financial Statements due to uncertainties surrounding the ultimate settlement date. Such uncertainties exist as a result of the perpetual nature of the structures, maintenance and upgrade programs, and other factors. At the date a reasonable estimate of the ultimate settlement date can be made (e.g., planned demolition), Alcoa would record an ARO for the removal, treatment, transportation, storage, and/or disposal of various regulated assets and hazardous materials such as asbestos, underground and aboveground storage tanks, PCBs, various process residuals, solid wastes, electronic equipment waste, and various other materials. If Alcoa was required to demolish all such structures immediately, the estimated CARO as of December 31, 2013 ranges from less than $1 to $52 per structure (131 structures) in today’s dollars. | |||||||||
The following table details the carrying value of recorded AROs by major category (of which $85 and $75 was classified as a current liability as of December 31, 2013 and 2012, respectively): | |||||||||
December 31, | 2013 | 2012 | |||||||
Spent pot lining disposal | $ | 182 | $ | 182 | |||||
Closure of bauxite residue areas | 179 | 190 | |||||||
Mine reclamation | 178 | 189 | |||||||
Demolition* | 68 | 28 | |||||||
Landfill closure | 18 | 17 | |||||||
Other | 4 | 4 | |||||||
$ | 629 | $ | 610 | ||||||
* | In 2013, AROs were recorded as a result of management’s decision to permanently shut down and demolish certain structures (see Note D). | ||||||||
The following table details the changes in the total carrying value of recorded AROs: | |||||||||
December 31, | 2013 | 2012 | |||||||
Balance at beginning of year | $ | 610 | $ | 579 | |||||
Accretion expense | 24 | 25 | |||||||
Payments | (71 | ) | (81 | ) | |||||
Liabilities incurred | 118 | 80 | |||||||
Foreign currency translation and other | (52 | ) | 7 | ||||||
Balance at end of year | $ | 629 | $ | 610 | |||||
Restructuring_and_Other_Charge
Restructuring and Other Charges | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Restructuring And Related Activities [Abstract] | ' | ||||||||||||
Restructuring and Other Charges | ' | ||||||||||||
D. Restructuring and Other Charges | |||||||||||||
Restructuring and other charges for each year in the three-year period ended December 31, 2013 were comprised of the following: | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
Resolution of a legal matter (N) | $ | 391 | $ | 85 | $ | - | |||||||
Layoff costs | 201 | 47 | 93 | ||||||||||
Asset impairments | 116 | 40 | 150 | ||||||||||
Other | 82 | 21 | 61 | ||||||||||
Reversals of previously recorded layoff and other exit costs | (8 | ) | (21 | ) | (23 | ) | |||||||
Restructuring and other charges | $ | 782 | $ | 172 | $ | 281 | |||||||
Layoff costs were recorded based on approved detailed action plans submitted by the operating locations that specified positions to be eliminated, benefits to be paid under existing severance plans, union contracts or statutory requirements, and the expected timetable for completion of the plans. | |||||||||||||
2013 Actions. In 2013, Alcoa recorded Restructuring and other charges of $782 ($585 after-tax and noncontrolling interests), which were comprised of the following components: $391 ($305 after-tax and noncontrolling interest) related to a legal matter (see Government Investigations under Litigation in Note N); $245 ($183 after-tax) for exit costs related to the permanent shutdown and demolition of certain structures at three smelter locations (see below); $87 ($61 after-tax and noncontrolling interests) for layoff costs, including the separation of approximately 1,110 employees (340 in the Primary Metals segment, 260 in the Engineered Products and Solutions segment, 250 in the Global Rolled Products segment, 85 in the Alumina segment, and 175 in Corporate), of which 590 relates to a global overhead reduction program, and $9 in pension plan settlement charges related to previously separated employees; $25 ($17 after-tax) in net charges, including $12 ($8 after-tax) for asset impairments, related to retirements and/or the sale of previously idled structures; $25 ($13 after-tax and noncontrolling interests) for asset impairments related to the write-off of capitalized costs for projects no longer being pursued due to the market environment; a net charge of $17 ($12 after-tax and noncontrolling interests) for other miscellaneous items, including $3 ($2 after-tax) for asset impairments; and $8 ($6 after-tax and noncontrolling interests) for the reversal of a number of small layoff reserves related to prior periods. | |||||||||||||
In May 2013, management approved the permanent shutdown and demolition of (i) two potlines (capacity of 105,000 metric-tons-per-year) that utilize Soderberg technology at the smelter located in Baie Comeau, Québec, Canada (remaining capacity of 280,000 metric-tons-per-year composed of two prebake potlines) and (ii) the smelter located in Fusina, Italy (capacity of 44,000 metric-tons-per-year). Additionally, in August 2013, management approved the permanent shutdown and demolition of one potline (capacity of 41,000 metric-tons-per-year) that utilizes Soderberg technology at the Massena East, N.Y. smelter (remaining capacity of 84,000 metric-tons-per-year composed of two Soderberg potlines). The aforementioned Soderberg lines at Baie Comeau and Massena East were fully shut down by the end of September 2013 while the Fusina smelter was previously temporarily idled in 2010. Demolition and remediation activities related to all three facilities began in late 2013 and are expected to be completed by the end of 2014 (Massena East), 2015 (Baie Comeau), and 2017 (Fusina). | |||||||||||||
The decisions on the Soderberg lines for Baie Comeau and Massena East are part of a 15-month review of 460,000 metric tons of smelting capacity initiated by management in May 2013 for possible curtailment, while the decision on the Fusina smelter is in addition to the capacity being reviewed. Factors leading to all three decisions were in general focused on achieving sustained competitiveness and included, among others: lack of an economically viable, long-term power solution (Italy); changed market fundamentals; other existing idle capacity; and restart costs. The remaining 183,000 metric tons of smelting capacity subject to this review is expected to be completed during the first half of 2014. As such, future restructuring charges may be recognized if the decision to shut down more capacity is made in 2014 (see Note Y). | |||||||||||||
In 2013, exit costs related to these actions included $114 for the layoff of approximately 550 employees (Primary Metals segment), including $83 in pension costs (see Note W); accelerated depreciation of $58 (Baie Comeau) and asset impairments of $18 (Fusina and Massena East) representing the write-off of the remaining book value of all related properties, plants, and equipment; and $55 in other exit costs. Additionally in 2013, remaining inventories, mostly operating supplies and raw materials, were written down to their net realizable value resulting in a charge of $9 ($6 after-tax), which was recorded in Cost of goods sold on the accompanying Statement of Consolidated Operations. The other exit costs of $55 represent $48 in asset retirement obligations and $5 in environmental remediation, both triggered by the decisions to permanently shut down and demolish these structures, and $2 in other related costs. | |||||||||||||
As of December 31, 2013, approximately 1,020 of the 1,660 employees were separated. The remaining separations for the 2013 restructuring programs are expected to be completed by the end of 2014. In 2013, cash payments of $33 were made against layoff reserves related to the 2013 restructuring programs. | |||||||||||||
2012 Actions. In 2012, Alcoa recorded Restructuring and other charges of $172 ($106 after-tax and noncontrolling interests), which were comprised of the following components: $85 ($33 after-tax and noncontrolling interest) related to the civil portion of a legal matter (see Civil Suit under Litigation in Note N); $47 ($29 after-tax and noncontrolling interests) for the layoff of approximately 800 employees (390 in the Engineered Products and Solutions segment, 250 in the Primary Metals segment, 85 in the Alumina segment, and 75 in Corporate), including $10 ($7 after-tax) for the layoff of an additional 170 employees related to the previously reported smelter curtailments in Spain (see 2011 Actions below); $30 ($30 after-tax) in asset impairments and $6 ($6 after-tax) for lease and contract termination costs due to a decision to exit the lithographic sheet business in Bohai, China; $11 ($11 after-tax) in costs to idle the Portovesme smelter (see 2011 Actions below); $10 ($8 after-tax) in other asset impairments; a net charge of $4 ($4 after-tax and noncontrolling interests) for other miscellaneous items; and $21 ($15 after-tax and noncontrolling interests) for the reversal of a number of layoff reserves related to prior periods, including $10 ($7 after-tax) related to the smelters in Spain. The reversal related to the smelters in Spain is due to lower than expected costs based on agreements with employee representatives and the government, as well as a reduction of 55 in the number of layoffs due to the anticipation of the restart of a portion of the previously curtailed capacity based on an agreement with the Spanish government that will provide interruptibility rights (i.e. compensation for power interruptions when grids are overloaded) to the smelters during 2013. A portion of this reversal relates to layoff costs recorded at the end of 2011 (see 2011 Actions below) and a portion of this reversal relates to layoff costs recorded during 2012 (see above). | |||||||||||||
As of December 31, 2013, the separations associated with 2012 restructuring programs were essentially complete. In 2013 and 2012, cash payments of $17 and $16, respectively, were made against layoff reserves related to the 2012 restructuring programs. | |||||||||||||
2011 Actions. In 2011, Alcoa recorded Restructuring and other charges of $281 ($181 after-tax and noncontrolling interests), which were comprised of the following components: $127 ($82 after-tax) in asset impairments and $36 ($23 after-tax) in other exit costs related to the permanent shutdown and planned demolition of certain idled structures at two U.S. locations (see below); $93 ($68 after-tax and noncontrolling interests) for the layoff of approximately 1,600 employees (820 in the Primary Metals segment, 470 in the Global Rolled Products segment, 160 in the Alumina segment, 20 in the Engineered Products and Solutions segment, and 130 in Corporate), including the effects of planned smelter curtailments (see below); $23 ($12 after-tax and noncontrolling interests) for other asset impairments, including the write-off of the carrying value of an idled structure in Australia that processed spent pot lining and adjustments to the fair value of the one remaining foil location while it was classified as held for sale due to foreign currency movements; $20 ($8 after-tax and noncontrolling interests) for a litigation matter related to the former St. Croix location (see Other Matters under Litigation in Note N); a net charge of $5 ($4 after-tax) for other miscellaneous items; and $23 ($16 after-tax) for the reversal of previously recorded layoff reserves due to normal attrition and changes in facts and circumstances, including a change in plans for Alcoa’s aluminum powder facility in Rockdale, TX. | |||||||||||||
In late 2011, management approved the permanent shutdown and demolition of certain facilities at two U.S. locations, each of which was previously temporarily idled for various reasons. The identified facilities are the smelter located in Alcoa, TN (capacity of 215,000 metric-tons-per-year) and two potlines (capacity of 76,000 metric-tons-per-year) at the smelter located in Rockdale, TX (remaining capacity of 191,000 metric-tons-per-year composed of four potlines). Demolition and remediation activities related to these actions began in 2012 and are expected to be completed in 2015 for the Tennessee smelter and in 2013 for the two potlines at the Rockdale smelter (essentially complete as of December 31, 2013). This decision was made after a comprehensive strategic analysis was performed to determine the best course of action for each facility. Factors leading to this decision were in general focused on achieving sustained competitiveness and included, among others: lack of an economically viable, long-term power solution; changed market fundamentals; cost competitiveness; required future capital investment; and restart costs. The asset impairments of $127 represent the write off of the remaining book value of properties, plants, and equipment related to these facilities. Additionally, remaining inventories, mostly operating supplies, were written down to their net realizable value resulting in a charge of $6 ($4 after-tax), which was recorded in Cost of goods sold on the accompanying Statement of Consolidated Operations. The other exit costs of $36 represent $18 ($11 after-tax) in environmental remediation and $17 ($11 after-tax) in asset retirement obligations, both triggered by the decision to permanently shut down and demolish these structures, and $1 ($1 after-tax) in other related costs. | |||||||||||||
Also, at the end of 2011, management approved a partial or full curtailment of three European smelters as follows: Portovesme, Italy (150,000 metric-tons-per-year); Avilés, Spain (46,000 metric tons out of 93,000 metric-tons-per-year); and La Coruña, Spain (44,000 metric tons out of 87,000 metric-tons-per-year). These curtailments were completed by the end of 2012. The curtailment of the Portovesme smelter may lead to the permanent closure of the facility, which would result in future charges, while the curtailments at the two smelters in Spain are planned to be temporary. These actions were the result of uncompetitive energy positions, combined with rising material costs and falling aluminum prices (mid-2011 to late 2011). As a result of these decisions, Alcoa recorded costs of $33 ($31 after-tax) for the layoff of approximately 650 employees. As Alcoa engaged in discussions with the respective employee representatives and governments, additional charges were recognized in 2012 (see 2012 Actions above). | |||||||||||||
As of December 31, 2013, the separations associated with 2011 restructuring programs were essentially complete. In 2013 and 2012, cash payments of $11 and $23, respectively, were made against layoff reserves related to the 2011 restructuring programs. | |||||||||||||
Alcoa does not include Restructuring and other charges in the results of its reportable segments. The pretax impact of allocating such charges to segment results would have been as follows: | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
Alumina | $ | 11 | $ | 3 | $ | 39 | |||||||
Primary Metals | 295 | 20 | 212 | ||||||||||
Global Rolled Products | 15 | 43 | 19 | ||||||||||
Engineered Products and Solutions | 27 | 13 | (3 | ) | |||||||||
Segment total | 348 | 79 | 267 | ||||||||||
Corporate | 434 | 93 | 14 | ||||||||||
Total restructuring and other charges | $ | 782 | $ | 172 | $ | 281 | |||||||
Activity and reserve balances for restructuring charges were as follows: | |||||||||||||
Layoff | Other | Total | |||||||||||
costs | exit costs | ||||||||||||
Reserve balances at December 31, 2010 | $ | 53 | $ | 63 | $ | 116 | |||||||
2011:00:00 | |||||||||||||
Cash payments | (45 | ) | (9 | ) | (54 | ) | |||||||
Restructuring charges | 93 | 37 | 130 | ||||||||||
Other* | (24 | ) | (34 | ) | (58 | ) | |||||||
Reserve balances at December 31, 2011 | 77 | 57 | 134 | ||||||||||
2012:00:00 | |||||||||||||
Cash payments | (44 | ) | (13 | ) | (57 | ) | |||||||
Restructuring charges | 47 | 13 | 60 | ||||||||||
Other* | (21 | ) | (5 | ) | (26 | ) | |||||||
Reserve balances at December 31, 2012 | 59 | 52 | 111 | ||||||||||
2013:00:00 | |||||||||||||
Cash payments | (63 | ) | (11 | ) | (74 | ) | |||||||
Restructuring charges | 201 | 85 | 286 | ||||||||||
Other* | (101 | ) | (84 | ) | (185 | ) | |||||||
Reserve balances at December 31, 2013 | $ | 96 | $ | 42 | $ | 138 | |||||||
* | Other includes reversals of previously recorded restructuring charges and the effects of foreign currency translation. In 2013, Other for layoff costs also included a reclassification of $92 in pension costs, as this obligation was included in Alcoa’s separate liability for pension obligations (see Note W). Also in 2013, Other for other exit costs also included a reclassification of the following restructuring charges: $58 in asset retirement and $12 in environmental obligations, as these liabilities were included in Alcoa’s separate reserves for asset retirement obligations (see Note C) and environmental remediation (see Note N), respectively. In 2011, Other for other exit costs also included a reclassification of the following restructuring charges: $18 in environmental and $17 in asset retirement obligations, as these liabilities were included in Alcoa’s separate reserves for environmental remediation and asset retirement obligations, respectively. | ||||||||||||
The remaining reserves are expected to be paid in cash during 2014, with the exception of approximately $30 to $35, which is expected to be paid over the next several years for lease termination costs, ongoing site remediation work, and special separation benefit payments. |
Goodwill_and_Other_Intangible_
Goodwill and Other Intangible Assets | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||
Goodwill And Intangible Assets Disclosure [Abstract] | ' | ||||||||||||||||||||||||
Goodwill and Other Intangible Assets | ' | ||||||||||||||||||||||||
E. Goodwill and Other Intangible Assets | |||||||||||||||||||||||||
The following table details the changes in the carrying amount of goodwill: | |||||||||||||||||||||||||
Alumina | Primary | Global | Engineered | Corporate* | Total | ||||||||||||||||||||
Metals | Rolled | Products | |||||||||||||||||||||||
Products | and | ||||||||||||||||||||||||
Solutions | |||||||||||||||||||||||||
Balance at December 31, 2011: | |||||||||||||||||||||||||
Goodwill | $ | 11 | $ | 991 | $ | 208 | $ | 2,694 | $ | 1,281 | $ | 5,185 | |||||||||||||
Accumulated impairment losses | - | - | - | (28 | ) | - | (28 | ) | |||||||||||||||||
11 | 991 | 208 | 2,666 | 1,281 | 5,157 | ||||||||||||||||||||
Acquisition of businesses | - | - | - | (1 | ) | - | (1 | ) | |||||||||||||||||
Translation | (1 | ) | 6 | 6 | 12 | (9 | ) | 14 | |||||||||||||||||
Balance at December 31, 2012: | |||||||||||||||||||||||||
Goodwill | 10 | 997 | 214 | 2,705 | 1,272 | 5,198 | |||||||||||||||||||
Accumulated impairment losses | - | - | - | (28 | ) | - | (28 | ) | |||||||||||||||||
10 | 997 | 214 | 2,677 | 1,272 | 5,170 | ||||||||||||||||||||
Impairment | - | (989 | ) | - | - | (742 | ) | (1,731 | ) | ||||||||||||||||
Translation | (1 | ) | (8 | ) | 4 | (7 | ) | (12 | ) | (24 | ) | ||||||||||||||
Balance at December 31, 2013: | |||||||||||||||||||||||||
Goodwill | 9 | 989 | 218 | 2,698 | 1,260 | 5,174 | |||||||||||||||||||
Accumulated impairment losses | - | (989 | ) | - | (28 | ) | (742 | ) | (1,759 | ) | |||||||||||||||
$ | 9 | $ | - | $ | 218 | $ | 2,670 | $ | 518 | $ | 3,415 | ||||||||||||||
* | As of December 31, 2013, $493 of the amount reflected in Corporate is allocated to three of Alcoa’s four reportable segments ($158 to Alumina, $61 to Global Rolled Products, and $274 to Engineered Products and Solutions) included in the table above for purposes of impairment testing (see Note A). This goodwill is reflected in Corporate for segment reporting purposes because it is not included in management’s assessment of performance by the three reportable segments. | ||||||||||||||||||||||||
In 2013, Alcoa recognized an impairment of goodwill in the amount of $1,731 ($1,719 after noncontrolling interest) related to the annual impairment review of the Primary Metals segment (see Goodwill and Other Intangible Assets policy in Note A). | |||||||||||||||||||||||||
Other intangible assets, which are included in Other noncurrent assets on the accompanying Consolidated Balance Sheet, were as follows: | |||||||||||||||||||||||||
December 31, 2013 | Gross | Accumulated | |||||||||||||||||||||||
carrying | amortization | ||||||||||||||||||||||||
amount | |||||||||||||||||||||||||
Computer software | $ | 988 | $ | (743 | ) | ||||||||||||||||||||
Patents and licenses | 133 | (93 | ) | ||||||||||||||||||||||
Other intangibles | 100 | (32 | ) | ||||||||||||||||||||||
Total amortizable intangible assets | 1,221 | (868 | ) | ||||||||||||||||||||||
Indefinite-lived trade names and trademarks | 46 | - | |||||||||||||||||||||||
Total other intangible assets | $ | 1,267 | $ | (868 | ) | ||||||||||||||||||||
December 31, 2012 | Gross | Accumulated | |||||||||||||||||||||||
carrying | amortization | ||||||||||||||||||||||||
amount | |||||||||||||||||||||||||
Computer software | $ | 907 | $ | (664 | ) | ||||||||||||||||||||
Patents and licenses | 133 | (88 | ) | ||||||||||||||||||||||
Other intangibles | 101 | (28 | ) | ||||||||||||||||||||||
Total amortizable intangible assets | 1,141 | (780 | ) | ||||||||||||||||||||||
Indefinite-lived trade names and trademarks | 46 | - | |||||||||||||||||||||||
Total other intangible assets | $ | 1,187 | $ | (780 | ) | ||||||||||||||||||||
Computer software consists primarily of software costs associated with an enterprise business solution (EBS) within Alcoa to drive common systems among all businesses. | |||||||||||||||||||||||||
Amortization expense related to the intangible assets in the tables above for the years ended December 31, 2013, 2012, and 2011 was $73, $82, and $86, respectively, and is expected to be in the range of approximately $60 to $70 annually from 2014 to 2018. | |||||||||||||||||||||||||
Acquisitions_and_Divestitures
Acquisitions and Divestitures | 12 Months Ended |
Dec. 31, 2013 | |
Business Combinations [Abstract] | ' |
Acquisitions and Divestitures | ' |
F. Acquisitions and Divestitures | |
Pro forma results of the Company, assuming all acquisitions described below were made at the beginning of the earliest prior period presented, would not have been materially different from the results reported. | |
2012 Divestitures. In November 2012, Alcoa completed the sale of its 351-megawatt Tapoco Hydroelectric Project (“Tapoco”) to Brookfield Renewable Energy Partners for $597 in cash. Alcoa recognized a gain of $320 ($173 after-tax) in Other income, net on the accompanying Statement of Consolidated Operations, of which a gain of $426 ($275 after-tax) was reflected in the Primary Metals segment and a loss of $106 ($102 after-tax) was reflected in Corporate. The amount in Corporate represents the write-off of goodwill and capitalized interest related to Tapoco that were not included in the assets of the Primary Metals segment. This transaction is no longer subject to post-closing adjustments. Tapoco is a four-station hydroelectric project located on the Little Tennessee and Cheoah Rivers in eastern Tennessee and western North Carolina. The transaction included four generating stations and dams, 86 miles of transmission lines, and approximately 14,500 acres of land associated with and surrounding Tapoco. The power generated by Tapoco was primarily consumed by Alcoa’s smelter in Tennessee, which was temporarily idled in 2009 and permanently shut down in 2011. Since 2009, the power generated from Tapoco was sold into the open market. Prior to November 2012, the carrying value of the assets sold, which consisted of properties, plants, and equipment and intangible assets, along with an allocation of goodwill ($94) from the Primary Metals reporting unit, were classified as held for sale. | |
2011 Acquisitions. On March 9, 2011, Alcoa completed an acquisition of the aerospace fastener business of TransDigm Group Inc. for $240 (cash acquired and post-closing adjustments resulted in a net purchase price of $239). This business is a leading global designer, producer, and supplier of highly engineered aircraft components, with three locations (one in the state of California and two in the United Kingdom) that employ a combined 400 people. Specifically, this business provides a wide variety of high-strength, high temperature nickel alloy specialty engine fasteners, airframe bolts, and slotted entry bearings. In 2010, this business generated sales of $61. The assets and liabilities of this business were included in the Engineered Products and Solutions segment as of March 31, 2011; this business’ results of operations were included in this segment beginning March 9, 2011. Based on the preliminary purchase price allocation, goodwill of $154 was recorded for this transaction. In 2012, the purchase price allocation was finalized based on the completion of a valuation study resulting in a $1 reduction of the initial goodwill amount. Approximately $60 of goodwill is deductible for income tax purposes. No other intangible assets were identified as a result of the final valuation. This transaction is no longer subject to post-closing adjustments. This acquisition is part of a strategic plan to accelerate the growth of Alcoa’s fastener business, while adding efficiencies, broadening the existing technology base, and expanding product offerings to better serve customers and increase shareholder value. | |
Contingent Payments. In connection with the 2005 acquisition of two fabricating facilities in Russia, Alcoa could be required to make contingent payments of approximately $50 through 2015 based upon the achievement of various financial and operating targets. Any such payment would be reflected as additional goodwill. |
Inventories
Inventories | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Inventory Disclosure [Abstract] | ' | ||||||||
Inventories | ' | ||||||||
G. Inventories | |||||||||
December 31, | 2013 | 2012 | |||||||
Finished goods | $ | 578 | $ | 542 | |||||
Work-in-process | 828 | 866 | |||||||
Bauxite and alumina | 581 | 618 | |||||||
Purchased raw materials | 474 | 536 | |||||||
Operating supplies | 244 | 263 | |||||||
$ | 2,705 | $ | 2,825 | ||||||
At December 31, 2013 and 2012, the total amount of inventories valued on a LIFO basis was 34% and 35%, respectively. If valued on an average-cost basis, total inventories would have been $691 and $770 higher at December 31, 2013 and 2012, respectively. During the three-year period ended December 31, 2013, reductions in LIFO inventory quantities caused partial liquidations of the lower cost LIFO inventory base. These liquidations resulted in the recognition of income of $26 ($17 after-tax) in 2013, $1 ($1 after-tax) in 2012, and $2 ($1 after-tax) in 2011. |
Properties_Plants_and_Equipmen
Properties, Plants, and Equipment, Net | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Property Plant And Equipment [Abstract] | ' | ||||||||
Properties, Plants, and Equipment, Net | ' | ||||||||
H. Properties, Plants, and Equipment, Net | |||||||||
December 31, | 2013 | 2012 | |||||||
Land and land rights, including mines | $ | 639 | $ | 676 | |||||
Structures: | |||||||||
Alumina: | |||||||||
Alumina refining | 3,049 | 3,319 | |||||||
Bauxite mining | 1,591 | 1,563 | |||||||
Primary Metals: | |||||||||
Aluminum smelting | 3,863 | 4,042 | |||||||
Power generation | 683 | 604 | |||||||
Global Rolled Products | 1,256 | 1,232 | |||||||
Engineered Products and Solutions | 693 | 678 | |||||||
Other | 755 | 760 | |||||||
11,890 | 12,198 | ||||||||
Machinery and equipment: | |||||||||
Alumina: | |||||||||
Alumina refining | 4,685 | 5,279 | |||||||
Bauxite mining | 596 | 650 | |||||||
Primary Metals: | |||||||||
Aluminum smelting | 7,674 | 8,114 | |||||||
Power generation | 1,101 | 994 | |||||||
Global Rolled Products | 5,374 | 5,174 | |||||||
Engineered Products and Solutions | 2,481 | 2,415 | |||||||
Other | 859 | 883 | |||||||
22,770 | 23,509 | ||||||||
Less: accumulated depreciation, depletion, and amortization | 35,299 | 36,383 | |||||||
19,227 | 19,190 | ||||||||
Construction work-in-progress | 16,072 | 17,193 | |||||||
1,567 | 1,754 | ||||||||
$ | 17,639 | $ | 18,947 | ||||||
As of December 31, 2013 and 2012, the net carrying value of temporarily idled smelting assets was $404 and $310, representing 655 kmt and 547 kmt of idle capacity, respectively. Additionally, the net carrying value of permanently idled smelting assets, representing 44 kmt, was written off in 2013 (see Note D). Also, the net carrying value of temporarily idled refining assets was $60 and $68 as of December 31, 2013 and 2012, representing 1,216 kmt and 1,277 kmt of idle capacity, respectively. |
Investments
Investments | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Text Block [Abstract] | ' | ||||||||
Investments | ' | ||||||||
I. Investments | |||||||||
December 31, | 2013 | 2012 | |||||||
Equity investments | $ | 1,777 | $ | 1,782 | |||||
Other investments | 130 | 78 | |||||||
$ | 1,907 | $ | 1,860 | ||||||
Equity Investments. As of December 31, 2013 and 2012, Equity investments included an interest in a project to develop a fully-integrated aluminum complex in Saudi Arabia (see below), hydroelectric power projects in Brazil (see Note N), a smelter operation in Canada (50% of Pechiney Reynolds Quebec, Inc.), bauxite mining interests in Guinea (45% of Halco Mining, Inc.) and Brazil (18.2% of Mineração Rio do Norte S.A.), and a natural gas pipeline in Australia (see Note N). Pechiney Reynolds Quebec, Inc. owns a 50.1% interest in the Bécancour smelter in Quebec, Canada thereby entitling Alcoa to a 25.05% interest in the smelter. Through two wholly-owned Canadian subsidiaries, Alcoa also owns 49.9% of the Bécancour smelter. Halco Mining, Inc. owns 100% of Boké Investment Company, which owns 51% of Compagnie des Bauxites de Guinée. The investments in the bauxite mining interests in Guinea and Brazil and the natural gas pipeline in Australia are held by wholly-owned subsidiaries of Alcoa World Alumina and Chemicals (AWAC), which is owned 60% by Alcoa and 40% by Alumina Limited. In 2013, 2012, and 2011, Alcoa received $89, $101, and $100, respectively, in dividends from its equity investments. | |||||||||
Alcoa and Saudi Arabian Mining Company (known as “Ma’aden”) have a 30-year joint venture shareholders’ agreement (automatic extension for an additional 20 years, unless the parties agree otherwise or unless earlier terminated) setting forth the terms for the development, construction, ownership, and operation of an integrated bauxite mine, alumina refinery, aluminum smelter, and rolling mill, in Saudi Arabia. Specifically, the project to be developed by the joint venture will consist of: (i) a bauxite mine for the extraction of approximately 4,000 kmt of bauxite from the Al Ba’itha bauxite deposit near Quiba in the northern part of Saudi Arabia; (ii) an alumina refinery with an initial capacity of 1,800 kmt; (iii) a primary aluminum smelter with an initial capacity of 740 kmt; and (iv) a rolling mill with an initial capacity of 380 kmt. The refinery, smelter, and rolling mill are being constructed in an industrial area at Ras Al Khair on the east coast of Saudi Arabia. The facilities will use critical infrastructure, including power generation derived from reserves of natural gas, as well as port and rail facilities, developed by the government of Saudi Arabia. First production from the rolling mill and the smelter occurred in December 2013 and 2012, respectively. For the mine and refinery, first production is expected in 2014. | |||||||||
In 2012, Alcoa and Ma’aden agreed to expand the capabilities of the rolling mill to include a capacity of 100 kmt dedicated to supplying aluminum automotive, building and construction, and foil stock sheet. First production related to the expanded capacity is expected in 2014. This expansion is not expected to result in additional equity investment (see below) due to significant savings anticipated from a change in the project execution strategy of the initial 380 kmt capacity of the rolling mill. | |||||||||
The joint venture is owned 74.9% by Ma’aden and 25.1% by Alcoa and consists of three separate companies as follows: one each for the mine and refinery, the smelter, and the rolling mill. Following the signing of the joint venture shareholders’ agreement, Alcoa paid Ma’aden $80 representing the initial investment in the project. In addition, Alcoa paid $56 to Ma’aden, representing Alcoa’s pro rata share of certain agreed upon pre-incorporation costs incurred by Ma’aden before formation of the joint venture. | |||||||||
Ma’aden and Alcoa have put and call options, respectively, whereby Ma’aden can require Alcoa to purchase from Ma’aden, or Alcoa can require Ma’aden to sell to Alcoa, a 14.9% interest in the joint venture at the then fair market value. These options may only be exercised in a six-month window that opens five years after the Commercial Production Date (as defined in the joint venture shareholders’ agreement) and, if exercised, must be exercised for the full 14.9% interest. | |||||||||
The Alcoa affiliate that holds Alcoa’s interests in the smelting company and the rolling mill company is wholly owned by Alcoa, and the Alcoa affiliate that holds Alcoa’s interests in the mining and refining company is wholly owned by AWAC. Except in limited circumstances, Alcoa may not sell, transfer or otherwise dispose of or encumber or enter into any agreement in respect of the votes or other rights attached to its interests in the joint venture without Ma’aden’s prior written consent. | |||||||||
A number of Alcoa employees perform various types of services for the smelting, rolling mill, and refining and mining companies as part of the construction of the fully-integrated aluminum complex. At December 31, 2013 and 2012, Alcoa had an outstanding receivable of $31 and $28, respectively, from the smelting, rolling mill, and refining and mining companies for labor and other employee-related expenses. | |||||||||
Capital investment in the project is expected to total approximately $10,800 (SAR 40.5 billion). Alcoa’s equity investment in the joint venture will be approximately $1,100, and Alcoa will be responsible for its pro rata share of the joint venture’s project financing. Alcoa has contributed $832, including $171 and $253 in 2013 and 2012, respectively, towards the $1,100 commitment. As of December 31, 2013 and 2012, the carrying value of Alcoa’s investment in this project was $951 and $816, respectively. | |||||||||
In late 2010, the smelting and rolling mill companies entered into project financing totaling $4,035, of which $1,013 represents Alcoa’s share (the equivalent of Alcoa’s 25.1% interest in the smelting and rolling mill companies). Also, in late 2012, the smelting and rolling mill companies entered into additional project financing totaling $480, of which $120 represents Alcoa’s share. In conjunction with the financings, Alcoa issued guarantees on behalf of the smelting and rolling mill companies to the lenders in the event that such companies default on their debt service requirements through June 2017 and December 2018, respectively, (Ma’aden issued similar guarantees for its 74.9% interest). Alcoa’s guarantees for the smelting and rolling mill companies cover total debt service requirements of $121 in principal and up to a maximum of approximately $60 in interest per year (based on projected interest rates). At December 31, 2013 and 2012, the combined fair value of the guarantees was $10, which was included in Other noncurrent liabilities and deferred credits on the accompanying Consolidated Balance Sheet. Under the project financings, a downgrade of Alcoa’s credit ratings below investment grade by at least two agencies would require Alcoa to provide a letter of credit or fund an escrow account for a portion or all of Alcoa’s remaining equity commitment to the joint venture project in Saudi Arabia. | |||||||||
In late 2011, the refining and mining company entered into project financing totaling $1,992, of which $500 represents AWAC’s 25.1% interest in the mining and refining company. In conjunction with the financing, Alcoa, on behalf of AWAC, issued guarantees to the lenders in the event that the mining and refining company defaults on its debt service requirements through June 2019 (Ma’aden issued similar guarantees for its 74.9% interest). Alcoa’s guarantees for the mining and refining company cover total debt service requirements of $60 in principal and up to a maximum of approximately $25 in interest per year (based on projected interest rates). At December 31, 2013 and 2012, the combined fair value of the guarantees was $4, which was included in Other noncurrent liabilities and deferred credits on the accompanying Consolidated Balance Sheet. In the event Alcoa would be required to make payments under the guarantees, 40% of such amount would be contributed to Alcoa by Alumina Limited, consistent with its ownership interest in AWAC. Under the project financing, a downgrade of Alcoa’s credit ratings below investment grade by at least two agencies would require Alcoa to provide a letter of credit or fund an escrow account for a portion or all of Alcoa’s remaining equity commitment to the joint venture project in Saudi Arabia. | |||||||||
In June 2013, all three joint venture companies entered into a 20-year gas supply agreement with Saudi Aramco, replacing the previous authorized gas allocation of the Ministry of Petroleum and Mineral Resources of Saudi Arabia (the “Ministry of Petroleum”). The gas supply agreement provides sufficient fuel to meet manufacturing process requirements as well as fuel to the adjacent combined water and power plant being constructed by Saline Water Conversion Corporation, which is owned by the government of Saudi Arabia and is responsible for desalinating sea water and producing electricity for Saudi Arabia. The combined water and power plant will convert the three joint venture companies’ gas into electricity and water at cost, which will be supplied to the refinery, smelter, and rolling mill. During 2013, the $350 letter of credit that was previously provided to the Ministry of Petroleum by Ma’aden (Alcoa was responsible for its pro rata share) under the gas allocation related to the completion of the refinery was terminated upon the mining and refining company entering into construction contracts. A $60 letter of credit previously provided to the Ministry of Petroleum by Ma’aden (Alcoa is responsible for its pro rata share) under the gas allocation related to the completion of certain auxiliary rolling facilities was outstanding as of December 31, 2013. | |||||||||
The parties subject to the joint venture shareholders’ agreement may not sell, transfer, or otherwise dispose of, pledge, or encumber any interests in the joint venture until certain milestones have been met as defined in both agreements. Under the joint venture shareholders’ agreement, upon the occurrence of an unremedied event of default by Alcoa, Ma’aden may purchase, or, upon the occurrence of an unremedied event of default by Ma’aden, Alcoa may sell, its interest for consideration that varies depending on the time of the default. | |||||||||
Other Investments. As of December 31, 2013 and 2012, Other investments included $119 and $67, respectively, in exchange-traded fixed income and equity securities, which are classified as available-for-sale and are carried at fair value with unrealized gains and losses recognized in other comprehensive income. Unrealized and realized gains and losses related to these securities were immaterial in 2013, 2012, and 2011. |
Other_Noncurrent_Assets
Other Noncurrent Assets | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Deferred Costs Capitalized Prepaid And Other Assets Disclosure [Abstract] | ' | ||||||||
Other Noncurrent Assets | ' | ||||||||
J. Other Noncurrent Assets | |||||||||
December 31, | 2013 | 2012 | |||||||
Cash surrender value of life insurance | $ | 507 | $ | 464 | |||||
Intangibles, net (E) | 399 | 407 | |||||||
Value-added tax receivable | 339 | 408 | |||||||
Prepaid gas transmission contract (N) | 315 | 363 | |||||||
Fair value of derivative contracts (X) | 220 | 364 | |||||||
Deferred mining costs, net | 219 | 223 | |||||||
Advance related to European Commission Matter in Italy (N) | 126 | - | |||||||
Prepaid pension benefit (W) | 88 | 86 | |||||||
Unamortized debt expense | 73 | 86 | |||||||
Other | 342 | 311 | |||||||
$ | 2,628 | $ | 2,712 | ||||||
Debt
Debt | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Debt Disclosure [Abstract] | ' | ||||||||
Debt | ' | ||||||||
K. Debt | |||||||||
Long-Term Debt. | |||||||||
December 31, | 2013 | 2012 | |||||||
6.00% Notes, due 2013 | $ | - | $ | 422 | |||||
5.25% Convertible Notes, due 2014 | 575 | 575 | |||||||
5.55% Notes, due 2017 | 750 | 750 | |||||||
6.50% Bonds, due 2018 | 250 | 250 | |||||||
6.75% Notes, due 2018 | 750 | 750 | |||||||
5.72% Notes, due 2019 | 750 | 750 | |||||||
6.150% Notes, due 2020 | 1,000 | 1,000 | |||||||
5.40% Notes, due 2021 | 1,250 | 1,250 | |||||||
5.87% Notes, due 2022 | 627 | 627 | |||||||
5.90% Notes, due 2027 | 625 | 625 | |||||||
6.75% Bonds, due 2028 | 300 | 300 | |||||||
5.95% Notes due 2037 | 625 | 625 | |||||||
BNDES Loans, due 2014-2029 (see below for weighted average rates) | 325 | 397 | |||||||
Iowa Finance Authority Loan, due 2042 (4.75%) | 250 | 250 | |||||||
Other* | 185 | 205 | |||||||
Less: amount due within one year | 8,262 | 8,776 | |||||||
655 | 465 | ||||||||
$ | 7,607 | $ | 8,311 | ||||||
* | Other includes various financing arrangements related to subsidiaries, unamortized debt discounts related to the outstanding notes and bonds listed in the table above, a beneficial conversion feature related to the convertible notes, and adjustments to the carrying value of long-term debt related to interest swap contracts accounted for as fair value hedges (see Derivatives in Note X). | ||||||||
The principal amount of long-term debt maturing in each of the next five years is $658 in 2014, $30 in 2015, $30 in 2016, $778 in 2017, and $1,046 in 2018. | |||||||||
Public Debt—In May 2013, Alcoa elected to call for redemption the $422 in outstanding principal of its 6.00% Notes due July 2013 (the “Notes”) under the provisions of the Notes. The total cash paid to the holders of the called Notes was $435, which includes $12 in accrued and unpaid interest from the last interest payment date up to, but not including, the settlement date, and a $1 purchase premium. The purchase premium was recorded in Interest expense on the accompanying Statement of Consolidated Operations. This transaction was completed on June 28, 2013. | |||||||||
In January 2012, Alcoa repaid the $322 in outstanding principal of its 6.00% Notes as scheduled using available cash on hand. | |||||||||
In August 2012, Alcoa and the Iowa Finance Authority entered into a loan agreement for the proceeds from the issuance of $250 in Midwestern Disaster Area Revenue Bonds Series 2012 due 2042 (the “Bonds”). The Bonds were issued by the Iowa Finance Authority pursuant to the Heartland Disaster Tax Relief Act of 2008 for the purpose of financing all or part of the cost of acquiring, constructing, reconstructing, and renovating certain facilities at Alcoa’s rolling mill plant in Davenport, IA. Alcoa received $248 in net proceeds (reflecting payment of financing costs), which was classified as restricted cash. This transaction is not reflected in the accompanying Statement of Consolidated Cash Flows as it represents a non-cash financing and investing activity. At December 31, 2013 and 2012, Alcoa had $13 and $171, respectively, of restricted cash remaining, all of which was classified in Prepaid expenses and other current assets on the accompanying Consolidated Balance Sheet. Interest on the Bonds is at a rate of 4.75% per annum and is paid semi-annually in February and August, which commenced in February 2013. Alcoa has the option through the loan agreement to redeem the Bonds, as a whole or in part, on or after August 1, 2022, on at least 30 days, but not more than 60 days, prior notice to the holders of the Bonds at a redemption price equal to 100% of the principal amount thereof, without premium, plus accrued interest, if any, to the redemption date. The loan agreement ranks pari passu with Alcoa’s other unsecured senior unsubordinated indebtedness. | |||||||||
In February 2011, Alcoa filed an automatic shelf registration statement with the Securities and Exchange Commission for an indeterminate amount of securities for future issuance. This shelf registration statement replaced Alcoa’s existing shelf registration statement (filed in March 2008). As of December 31, 2013 and 2012, $1,250 in senior debt securities were issued under the current shelf registration statement. | |||||||||
BNDES Loans—Prior to 2012, Alcoa Alumínio (Alumínio) finalized certain documents related to a loan agreement with Brazil’s National Bank for Economic and Social Development (BNDES). This loan agreement provides for a commitment of $397 (R$687), which is divided into three subloans, and was used to pay for certain expenditures of the Estreito hydroelectric power project. Interest on the three subloans is a Brazil real rate of interest equal to BNDES’ long-term interest rate, 5.00% as of December 31, 2013 and 2012, plus a weighted-average margin of 1.48%. Principal and interest are payable monthly, which began in October 2011 and end in September 2029 for two of the subloans totaling R$667 and began in July 2012 and end in June 2018 for the subloan of R$20. This loan may be repaid early without penalty with the approval of BNDES. | |||||||||
As of December 31, 2013 and 2012, Alumínio’s outstanding borrowings were $254 (R$599) and $311 (R$637), respectively, and the weighted-average interest rate was 6.49%. During 2013 and 2012, Alumínio repaid $22 (R$47) and $20 (R$38), respectively, of outstanding borrowings. Additionally, Alumínio borrowed $1 (R$2) and $7 (R$13), under the loan in 2013 and 2012, respectively. | |||||||||
In December 2012, Alumínio finalized certain documents related to another loan agreement with BNDES. This loan agreement provides for a commitment of $85 (R$177) and also was used to pay for certain expenditures of the Estreito hydroelectric power project. Due to the timing of the finalization of the loan documents and the expenditures of the project, Alumínio advanced the cash necessary to the consortium to pay for the expenditures supported by this loan. Interest on the loan is a Brazil real rate of interest equal to BNDES’ long-term interest rate plus a margin of 1.55%. Principal and interest are payable monthly, which began in January 2013 and end in September 2029. This loan may be repaid early without penalty with the approval of BNDES. As of December 31, 2013 and 2012, Alumínio’s outstanding borrowings were $71 (R$166) and $86 (R$177), respectively, and the interest rate was 6.55%. During 2013, Alumínio repaid $5 (R$11) of outstanding borrowings. | |||||||||
Previously, Alumínio had two other separate loan agreements (the “First Loans”) with BNDES, which provided a combined commitment of $622 (R$1,150) and were used to pay for certain expenditures of the Juruti bauxite mine development and the São Luís refinery expansion. During 2012, Alumínio repaid the remaining $252 (R$511) of outstanding borrowings related to the First Loans, which were repaid early without penalty under the approval of BNDES. With the full repayment of the First Loans, the commitments were effectively terminated. | |||||||||
Credit Facilities. Alcoa maintains a Five-Year Revolving Credit Agreement, dated July 25, 2011, (the “Credit Agreement”) with a syndicate of lenders and issuers named therein. The Credit Agreement provides a $3,750 senior unsecured revolving credit facility (the “Credit Facility”), the proceeds of which are to be used to provide working capital or for other general corporate purposes of Alcoa. Subject to the terms and conditions of the Credit Agreement, Alcoa may from time to time request increases in lender commitments under the Credit Facility, not to exceed $500 in aggregate principal amount, and may also request the issuance of letters of credit, subject to a letter of credit sublimit of $1,000 under the Credit Facility. | |||||||||
The Credit Facility was scheduled to mature on July 25, 2016; however, on December 7, 2012, Alcoa received approval for a one-year extension of the maturity date by the lenders and issuers that support $3,700 of the Credit Facility (approval for the remaining $50 was received on January 8, 2013). As such, the Credit Facility now matures on July 25, 2017, unless extended or earlier terminated in accordance with the provisions of the Credit Agreement. Alcoa may make one additional one-year extension request during the remaining term of the Credit Facility, subject to the lender consent requirements set forth in the Credit Agreement. Under the provisions of the Credit Agreement, Alcoa will pay a fee of 0.25% (based on Alcoa’s long-term debt ratings as of December 31, 2013) of the total commitment per annum to maintain the Credit Facility. | |||||||||
The Credit Facility is unsecured and amounts payable under it will rank pari passu with all other unsecured, unsubordinated indebtedness of Alcoa. Borrowings under the Credit Facility may be denominated in U.S. dollars or euros. Loans will bear interest at a base rate or a rate equal to LIBOR, plus, in each case, an applicable margin based on the credit ratings of Alcoa’s outstanding senior unsecured long-term debt. The applicable margin on base rate loans and LIBOR loans will be 0.50% and 1.50% per annum, respectively, based on Alcoa’s long-term debt ratings as of December 31, 2013. Loans may be prepaid without premium or penalty, subject to customary breakage costs. | |||||||||
The Credit Agreement includes the following covenants, among others, (a) a leverage ratio, (b) limitations on Alcoa’s ability to incur liens securing indebtedness for borrowed money, (c) limitations on Alcoa’s ability to consummate a merger, consolidation or sale of all or substantially all of its assets, and (d) limitations on Alcoa’s ability to change the nature of its business. As of December 31, 2013 and 2012, Alcoa was in compliance with all such covenants. | |||||||||
The obligation of Alcoa to pay amounts outstanding under the Credit Facility may be accelerated upon the occurrence of an “Event of Default” as defined in the Credit Agreement. Such Events of Default include, among others, (a) Alcoa’s failure to pay the principal of, or interest on, borrowings under the Credit Facility, (b) any representation or warranty of Alcoa in the Credit Agreement proving to be materially false or misleading, (c) Alcoa’s breach of any of its covenants contained in the Credit Agreement, and (d) the bankruptcy or insolvency of Alcoa. | |||||||||
There were no amounts outstanding at December 31, 2013 and 2012 and no amounts were borrowed during 2013 or 2012 under the Credit Facility. | |||||||||
In 2012, Alcoa entered into two term loan agreements and six revolving credit agreements, providing a combined borrowing capacity of $990, each with a different financial institution. The two term loan agreements (totaling $350) and one of the revolving credit agreements ($150) were terminated during 2012 and 2013, respectively, upon repayment of existing borrowings. Also, in 2013, four of the revolving credit agreements were due to expire, and, therefore, were extended to September 2014 through September 2015. | |||||||||
In 2013, Alcoa entered into five additional credit arrangements, one term loan agreement (later replaced with a revolving credit agreement) and four revolving credit agreements, providing a combined borrowing capacity of $700, each with a different financial institution. These five additional revolving credit agreements expire between February 2014 and December 2014 (two of these agreements were originally due to expire in 2013). | |||||||||
The purpose of any borrowings under all arrangements in both 2013 and 2012 was to provide working capital and for other general corporate purposes, including contributions to Alcoa’s pension plans. The covenants contained in all the arrangements are the same as the Credit Agreement (see above). | |||||||||
In 2013 and 2012, Alcoa borrowed and repaid $1,850 and $600, respectively, under the respective credit arrangements. The weighted-average interest rate and weighted-average days outstanding of the respective borrowings during 2013 and 2012 were 1.57% and 1.89%, respectively, and 213 days and 260 days, respectively. | |||||||||
In summary, at December 31, 2013, Alcoa has ten revolving credit facilities (excluding the Credit Facility above), providing a combined capacity of $1,190, of which $1,040 is due to expire in 2014 and $150 is due to expire in 2015. | |||||||||
Short-Term Borrowings. At December 31, 2013 and 2012, Short-term borrowings were $57 and $53, respectively. These amounts included $52 and $48 at December 31, 2013 and 2012, respectively, related to accounts payable settlement arrangements with certain vendors and third-party intermediaries. These arrangements provide that, at the vendor’s request, the third-party intermediary advances the amount of the scheduled payment to the vendor, less an appropriate discount, before the scheduled payment date and Alcoa makes payment to the third-party intermediary on the date stipulated in accordance with the commercial terms negotiated with its vendors. Alcoa records imputed interest related to these arrangements as interest expense in the Statement of Consolidated Operations. | |||||||||
During 2013 and 2012, Alcoa’s subsidiary, Alumínio, borrowed and repaid a total of $52 and $280, respectively, in new loans with a weighted-average interest rate of 0.72% and 2.32%, respectively, and a weighted-average maturity of 70 days and 172 days, respectively, from two financial institutions. The purpose of these borrowings was to support Alumínio’s export operations. | |||||||||
Commercial Paper. Alcoa had no outstanding commercial paper at December 31, 2013 and 2012. In 2013 and 2012, the average outstanding commercial paper was $242 and $354, respectively. Commercial paper matures at various times within one year and had an annual weighted average interest rate of 0.8% during each of 2013, 2012, and 2011. |
Other_Noncurrent_Liabilities_a
Other Noncurrent Liabilities and Deferred Credits | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Payables And Accruals [Abstract] | ' | ||||||||
Other Noncurrent Liabilities and Deferred Credits | ' | ||||||||
L. Other Noncurrent Liabilities and Deferred Credits | |||||||||
December 31, | 2013 | 2012 | |||||||
Asset retirement obligations (C) | $ | 544 | $ | 535 | |||||
Environmental remediation (N) | 461 | 458 | |||||||
Fair value of derivative contracts (X) | 420 | 606 | |||||||
Income taxes (T) | 403 | 460 | |||||||
Accrued compensation and retirement costs | 342 | 322 | |||||||
Liability related to the resolution of a legal matter (N) | 296 | - | |||||||
Deferred credit related to derivative contract (X) | 157 | 330 | |||||||
Deferred alumina sales revenue | 101 | 108 | |||||||
Other | 247 | 259 | |||||||
$ | 2,971 | $ | 3,078 |
Noncontrolling_Interests
Noncontrolling Interests | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Noncontrolling Interest [Abstract] | ' | ||||||||
Noncontrolling Interests | ' | ||||||||
M. Noncontrolling Interests | |||||||||
The following table summarizes the noncontrolling shareholders’ interests in the equity of certain Alcoa majority-owned consolidated subsidiaries: | |||||||||
December 31, | 2013 | 2012 | |||||||
Alcoa World Alumina and Chemicals | $ | 2,896 | $ | 3,295 | |||||
Other | 33 | 29 | |||||||
$ | 2,929 | $ | 3,324 | ||||||
In 2013, 2012, and 2011, Alcoa received $9, $171, and $169, respectively, in contributions from the noncontrolling shareholder (Alumina Limited) of Alcoa World Alumina and Chemicals. | |||||||||
In 2013 and 2012, Noncontrolling interests included a charge of $17 and $34, respectively, related to a legal matter (see Settlement with Alumina Limited under Litigation in Note N). |
Contingencies_and_Commitments
Contingencies and Commitments | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||
Commitments And Contingencies Disclosure [Abstract] | ' | ||||||||||||||||||||||||
Contingencies and Commitments | ' | ||||||||||||||||||||||||
N. Contingencies and Commitments | |||||||||||||||||||||||||
Contingencies | |||||||||||||||||||||||||
Litigation | |||||||||||||||||||||||||
Alba Matter | |||||||||||||||||||||||||
Civil Suit. On February 27, 2008, Alcoa Inc. received notice that Aluminium Bahrain B.S.C. (“Alba”) had filed suit against Alcoa, Alcoa World Alumina LLC (“AWA”), and William Rice (collectively, the “Alcoa Parties”), and others, in the U.S. District Court for the Western District of Pennsylvania (the “Court”), Civil Action number 08-299, styled Aluminium Bahrain B.S.C. v. Alcoa Inc., Alcoa World Alumina LLC, William Rice, and Victor Phillip Dahdaleh. The complaint alleged that certain Alcoa entities and their agents, including Victor Phillip Dahdaleh, had engaged in a conspiracy over a period of 15 years to defraud Alba. The complaint further alleged that Alcoa and its employees or agents (1) illegally bribed officials of the government of Bahrain and/or officers of Alba in order to force Alba to purchase alumina at excessively high prices, (2) illegally bribed officials of the government of Bahrain and/or officers of Alba and issued threats in order to pressure Alba to enter into an agreement by which Alcoa would purchase an equity interest in Alba, and (3) assigned portions of existing supply contracts between Alcoa and Alba for the sole purpose of facilitating alleged bribes and unlawful commissions. The complaint alleged that Alcoa and the other defendants violated the Racketeer Influenced and Corrupt Organizations Act (RICO) and committed fraud. Alba claimed damages in excess of $1,000. Alba’s complaint sought treble damages with respect to its RICO claims; compensatory, consequential, exemplary, and punitive damages; rescission of the 2005 alumina supply contract; and attorneys’ fees and costs. | |||||||||||||||||||||||||
On October 9, 2012, the Alcoa Parties, without admitting any liability, entered into a settlement agreement with Alba. The agreement called for AWA to pay Alba $85 in two equal installments, one-half at time of settlement and one-half one year later, and for the case against the Alcoa Parties to be dismissed with prejudice. Additionally, AWA and Alba entered into a long-term alumina supply agreement. On October 9, 2012, pursuant to the settlement agreement, AWA paid Alba $42.5, and all claims against the Alcoa Parties were dismissed with prejudice. On October 9, 2013 pursuant to the settlement agreement, AWA paid the remaining $42.5. Based on the settlement agreement, in the 2012 third quarter, Alcoa recorded a $40 charge in addition to the $45 charge it recorded in the 2012 second quarter in respect of the suit (see Agreement with Alumina Limited below). | |||||||||||||||||||||||||
Government Investigations. On February 26, 2008, Alcoa Inc. advised the Department of Justice (“DOJ”) and the Securities and Exchange Commission (“SEC”) that it had recently become aware of the claims by Alba as alleged in the Alba civil suit, had already begun an internal investigation and intended to cooperate fully in any investigation that the DOJ or the SEC may commence. On March 17, 2008, the DOJ notified Alcoa that it had opened a formal investigation. The SEC subsequently commenced a concurrent investigation. Alcoa has been cooperating with the government since that time. | |||||||||||||||||||||||||
In the past year, Alcoa had been seeking settlements of both investigations. In the second quarter of 2013, Alcoa proposed to settle the DOJ matter by offering the DOJ a cash payment of $103. Based on this offer, Alcoa recorded a charge of $103 in the 2013 second quarter. Also in the second quarter of 2013, Alcoa exchanged settlement offers with the SEC. However, the SEC staff rejected Alcoa’s offer of $60 and no charge was recorded. During the remainder of 2013, settlement discussions with both the DOJ and the SEC continued. | |||||||||||||||||||||||||
On January 9, 2014, Alcoa resolved the investigations by the DOJ and the SEC. The settlement with the DOJ was reached with AWA. Under the terms of a plea agreement entered into with the DOJ, effective January 9, 2014, AWA pled guilty to one count of violating the anti-bribery provisions of the Foreign Corrupt Practices Act of 1977, as amended (the “FCPA”). As part of the DOJ resolution, AWA agreed to pay a total of $223, including a fine of $209 payable in five equal installments over four years. The first installment of $41.8, plus a one-time administrative forfeiture of $14, will be paid in the first quarter of 2014 (paid on January 22, 2014), and the remaining installments of $41.8 each will be paid in the first quarters of 2015-2018. The DOJ is bringing no case against Alcoa Inc. | |||||||||||||||||||||||||
Effective January 9, 2014, the Company also settled civil charges filed by the SEC in an administrative proceeding relating to the anti-bribery, internal controls, and books and records provisions of the FCPA. Under the terms of the settlement with the SEC, the Company agreed to a settlement amount of $175, but will be given credit for the $14 one-time forfeiture payment, which is part of the DOJ resolution, resulting in a total cash payment to the SEC of $161 payable in five equal installments over four years. The first installment of $32.2 will be paid to the SEC in the first quarter of 2014 (paid on January 22, 2014), and the remaining installments of $32.2 each will be paid in the first quarters of 2015-2018. | |||||||||||||||||||||||||
There was no allegation in the filings by the DOJ and there was no finding by the SEC that anyone at Alcoa Inc. knowingly engaged in the conduct at issue. | |||||||||||||||||||||||||
Based on the resolutions with both the DOJ and SEC, in the 2013 fourth quarter, Alcoa recorded a $288 charge, which includes legal costs of $7, in addition to the $103 charge it recorded in the 2013 second quarter in respect of the investigations (see Agreement with Alumina Limited below). | |||||||||||||||||||||||||
Agreement with Alumina Limited. AWA is a U.S.-based Alcoa World Alumina and Chemicals (“AWAC”) company organized under the laws of Delaware that owns, directly or indirectly, alumina refineries and bauxite mines in the Atlantic region. AWAC is an unincorporated global bauxite mining and alumina refining venture between Alcoa and Alumina Limited. AWAC consists of a number of affiliated operating entities, including AWA, which own or operate bauxite mines and alumina refineries in seven countries. Alcoa owns 60% and Alumina Limited owns 40% of these individual entities, which are consolidated by the Company for financial reporting purposes. | |||||||||||||||||||||||||
In October 2012, Alcoa and Alumina Limited entered into an agreement to allocate the costs of the Alba civil settlement and all legal fees associated with this matter (including the government investigations discussed above) between Alcoa and Alumina Limited on an 85% and 15% basis, respectively, but this would occur only if a settlement is reached with the DOJ and the SEC regarding their investigations. As such, the $85 civil settlement in 2012 and all legal costs associated with the civil suit and government investigations incurred prior to 2013 were allocated on a 60% and 40% basis in the respective periods on Alcoa’s Statement of Consolidated Operations. As a result of the resolutions of the government investigations, the $384 charge and legal costs incurred in 2013 were allocated on an 85% and 15% basis per the allocation agreement with Alumina Limited. Additionally, the $85 civil settlement from 2012 and all legal costs associated with the civil suit and government investigations incurred prior to 2013 were reallocated on the 85% and 15% basis. The following table details the activity related to the Alba matter: | |||||||||||||||||||||||||
2013 | 2012 | ||||||||||||||||||||||||
Alcoa | Alumina | Total | Alcoa | Alumina | Total | ||||||||||||||||||||
Limited | Limited | ||||||||||||||||||||||||
Government investigations(1) | $ | 326 | $ | 58 | $ | 384 | $ | - | $ | - | $ | - | |||||||||||||
Civil suit(1) | - | - | - | 51 | 34 | 85 | |||||||||||||||||||
Reallocation of civil suit | 21 | (21 | ) | - | - | - | - | ||||||||||||||||||
Reallocation of legal costs | 20 | (20 | ) | - | - | - | - | ||||||||||||||||||
Loss before income taxes | 367 | 17 | 384 | 51 | 34 | 85 | |||||||||||||||||||
Benefit for income taxes | 66 | - | 66 | 18 | - | 18 | |||||||||||||||||||
Net loss(2) | $ | 301 | $ | 17 | $ | 318 | $ | 33 | $ | 34 | $ | 67 | |||||||||||||
(1) | The amount in the Total column was recorded in Restructuring and other charges (see Note D). | ||||||||||||||||||||||||
(2) | In 2013 and 2012, the amount for Alcoa was included in Net (loss) income attributable to Alcoa, and the amount for Alumina Limited was included in Net income (loss) attributable to noncontrolling interests. | ||||||||||||||||||||||||
Other Matters | |||||||||||||||||||||||||
In November 2006, in Curtis v. Alcoa Inc., Civil Action No. 3:06cv448 (E.D. Tenn.), a class action was filed by plaintiffs representing approximately 13,000 retired former employees of Alcoa or Reynolds Metals Company and spouses and dependents of such retirees alleging violation of the Employee Retirement Income Security Act (ERISA) and the Labor-Management Relations Act by requiring plaintiffs, beginning January 1, 2007, to pay health insurance premiums and increased co-payments and co-insurance for certain medical procedures and prescription drugs. Plaintiffs alleged these changes to their retiree health care plans violated their rights to vested health care benefits. Plaintiffs additionally alleged that Alcoa had breached its fiduciary duty to plaintiffs under ERISA by misrepresenting to them that their health benefits would never change. Plaintiffs sought injunctive and declaratory relief, back payment of benefits, and attorneys’ fees. Alcoa had consented to treatment of plaintiffs’ claims as a class action. During the fourth quarter of 2007, following briefing and argument, the court ordered consolidation of the plaintiffs’ motion for preliminary injunction with trial, certified a plaintiff class, and bifurcated and stayed the plaintiffs’ breach of fiduciary duty claims. Trial in the matter was held over eight days commencing September 22, 2009 and ending on October 1, 2009 in federal court in Knoxville, TN before the Honorable Thomas Phillips, U.S. District Court Judge. | |||||||||||||||||||||||||
On March 9, 2011, the court issued a judgment order dismissing plaintiffs’ lawsuit in its entirety with prejudice for the reasons stated in its Findings of Fact and Conclusions of Law. On March 23, 2011, plaintiffs filed a motion for clarification and/or amendment of the judgment order, which sought, among other things, a declaration that plaintiffs’ retiree benefits are vested subject to an annual cap and an injunction preventing Alcoa, prior to 2017, from modifying the plan design to which plaintiffs are subject or changing the premiums and deductibles that plaintiffs must pay. Also on March 23, 2011, plaintiffs filed a motion for award of attorneys’ fees and expenses. On June 11, 2012, the court issued its memorandum and order denying plaintiffs’ motion for clarification and/or amendment to the original judgment order. On July 6, 2012, plaintiffs filed a notice of appeal of the court’s March 9, 2011 judgment. On July 12, 2012, the trial court stayed Alcoa’s motion for assessment of costs pending resolution of plaintiffs’ appeal. The appeal was docketed in the United States Court of Appeals for the Sixth Circuit as case number 12-5801. On August 29, 2012, the trial court dismissed plaintiffs’ motion for attorneys’ fees without prejudice to refiling the motion following the resolution of the appeal at the Sixth Circuit Court of Appeals. On May 9, 2013, the Sixth Circuit Court of Appeals issued an opinion affirming the trial court’s denial of plaintiffs’ claims for lifetime, uncapped retiree healthcare benefits. Plaintiffs filed a petition for rehearing on May 22, 2013 to which Alcoa filed a response on June 7, 2013. On September 12, 2013, the Sixth Circuit Court of Appeals denied plaintiffs’ petition for rehearing. The trial court is now considering Alcoa’s request for an award of costs, which had been stayed pending resolution of the appeal, and the plaintiffs’ request for attorneys’ fees, which had been dismissed without prejudice to refiling following resolution of the appeal. On December 17, 2013 the United States Supreme Court docketed the plaintiffs’ petition for writ of certiorari to the Sixth Circuit Court of Appeals as Charles Curtis, et al., Individually and on Behalf of All Others Similarly Situated, Petitioners v. Alcoa Inc., et al., Docket No.13-728. Alcoa’s opposition to this petition was filed on January 16, 2014 and Petitioners filed their reply on January 29, 2014. | |||||||||||||||||||||||||
On April 23, 2004, St. Croix Renaissance Group, L.L.L.P. (SCRG), Brownfield Recovery Corp., and Energy Answers Corporation of Puerto Rico (collectively referred to as “Plaintiffs”) filed a suit against St. Croix Alumina L.L.C. and Alcoa World Alumina, LLC (collectively referred to as “Alcoa”) in the Territorial Court of the Virgin Islands, Division of St. Croix for claims related to the sale of Alcoa’s former St. Croix alumina refinery to Plaintiffs. Alcoa thereafter removed the case to federal court and after a several year period of discovery and motion practice, a jury trial on the matter took place in St. Croix from January 11, 2011 to January 20, 2011. The jury returned a verdict in favor of Plaintiffs and awarded damages as described: on a claim of breaches of warranty, the jury awarded $13; on the same claim, the jury awarded punitive damages in the amount of $6; and on a negligence claim for property damage, the jury awarded $10. Plaintiffs filed a motion seeking pre-judgment interest on the jury award. On February 17, 2011, Alcoa filed post-trial motions seeking judgment notwithstanding the verdict or, in the alternative, a new trial. On May 31, 2011, the court granted Alcoa’s motion for judgment regarding Plaintiffs’ $10 negligence award and denied the remainder of Alcoa’s motions. Additionally, the court awarded Plaintiffs pre-judgment interest of $2 on the breach of warranty award. As a result of the court’s post-trial decisions, Alcoa recorded a charge of $20 in 2011 (see Note D). On June 14, 2011, Alcoa filed a notice of appeal with the U.S. Court of Appeals for the Third Circuit regarding Alcoa’s denied post-trial motions. On June 22, 2011, SCRG filed a notice of cross appeal with the Third Circuit Court related to certain pre-trial decisions of the court and of the court’s post-trial ruling on the negligence claim. The Third Circuit Court referred this matter to mediation as is its standard practice in appeals. Following mediation and further, separate settlement discussions, the parties executed an agreement dated September 30, 2011 resolving the matter in its entirety, and subsequently jointly petitioned (i) the District Court to release Alcoa from the jury verdict and (ii) the Third Circuit Court of Appeals to dismiss the matter. On March 13, 2012, the District Court entered an order discharging Alcoa from the jury verdict and, on March 14, 2012, the Third Circuit Court of Appeals dismissed the matter. This matter is now fully resolved. | |||||||||||||||||||||||||
Before 2002, Alcoa purchased power in Italy in the regulated energy market and received a drawback of a portion of the price of power under a special tariff in an amount calculated in accordance with a published resolution of the Italian Energy Authority, Energy Authority Resolution n. 204/1999 (“204/1999”). In 2001, the Energy Authority published another resolution, which clarified that the drawback would be calculated in the same manner, and in the same amount, in either the regulated or unregulated market. At the beginning of 2002, Alcoa left the regulated energy market to purchase energy in the unregulated market. Subsequently, in 2004, the Energy Authority introduced regulation no. 148/2004 which set forth a different method for calculating the special tariff that would result in a different drawback for the regulated and unregulated markets. Alcoa challenged the new regulation in the Administrative Court of Milan and received a favorable judgment in 2006. Following this ruling, Alcoa continued to receive the power price drawback in accordance with the original calculation method, through 2009, when the European Commission declared all such special tariffs to be impermissible “state aid.” In 2010, the Energy Authority appealed the 2006 ruling to the Consiglio di Stato (final court of appeal). On December 2, 2011, the Consiglio di Stato ruled in favor of the Energy Authority and against Alcoa, thus presenting the opportunity for the energy regulators to seek reimbursement from Alcoa of an amount equal to the difference between the actual drawback amounts received over the relevant time period, and the drawback as it would have been calculated in accordance with regulation 148/2004. On February 23, 2012, Alcoa filed its appeal of the decision of the Consiglio di Stato (this appeal was subsequently withdrawn in March 2013). On March 26, 2012, Alcoa received a letter from the agency (Cassa Conguaglio per il Settore Eletrico (CCSE)) responsible for making and collecting payments on behalf of the Energy Authority demanding payment in the amount of approximately $110 (€85), including interest. By letter dated April 5, 2012, Alcoa informed CCSE that it disputes the payment demand of CCSE since (i) CCSE was not authorized by the Consiglio di Stato decisions to seek payment of any amount, (ii) the decision of the Consiglio di Stato has been appealed (see above), and (iii) in any event, no interest should be payable. On April 29, 2012, Law No. 44 of 2012 (“44/2012”) came into effect, changing the method to calculate the drawback. On February 21, 2013, Alcoa received a revised request letter from CSSE demanding Alcoa’s subsidiary, Alcoa Trasformazioni S.r.l., make a payment in the amount of $97 (€76), including interest, which reflects a revised calculation methodology by CCSE and represents the high end of the range of reasonably possible loss associated with this matter of $0 to $97 (€76). Alcoa has rejected that demand and has formally challenged it through an appeal before the Administrative Court on April 5, 2013. The Administrative Court scheduled a hearing for December 19, 2013, which was subsequently postponed until April 17, 2014. At this time, the Company is unable to reasonably predict an outcome for this matter. | |||||||||||||||||||||||||
European Commission Matters. In July 2006, the European Commission (EC) announced that it had opened an investigation to establish whether an extension of the regulated electricity tariff granted by Italy to some energy-intensive industries complied with European Union (EU) state aid rules. The Italian power tariff extended the tariff that was in force until December 31, 2005 through November 19, 2009 (Alcoa had been incurring higher power costs at its smelters in Italy subsequent to the tariff end date through the end of 2012). The extension was originally through 2010, but the date was changed by legislation adopted by the Italian Parliament effective on August 15, 2009. Prior to expiration of the tariff in 2005, Alcoa had been operating in Italy for more than 10 years under a power supply structure approved by the EC in 1996. That measure provided a competitive power supply to the primary aluminum industry and was not considered state aid from the Italian Government. The EC’s announcement expressed concerns about whether Italy’s extension of the tariff beyond 2005 was compatible with EU legislation and potentially distorted competition in the European market of primary aluminum, where energy is an important part of the production costs. | |||||||||||||||||||||||||
On November 19, 2009, the EC announced a decision in this matter stating that the extension of the tariff by Italy constituted unlawful state aid, in part, and, therefore, the Italian Government is to recover a portion of the benefit Alcoa received since January 2006 (including interest). The amount of this recovery was to be based on a calculation prepared by the Italian Government (see below). In late 2009, after discussions with legal counsel and reviewing the bases on which the EC decided, including the different considerations cited in the EC decision regarding Alcoa’s two smelters in Italy, Alcoa recorded a charge of $250 (€173), which included $20 (€14) to write off a receivable from the Italian Government for amounts due under the now expired tariff structure and $230 (€159) to establish a reserve. On April 19, 2010, Alcoa filed an appeal of this decision with the General Court of the EU. Alcoa will pursue all substantive and procedural legal steps available to annul the EC’s decision. Prior to 2012, Alcoa was involved in other legal proceedings related to this matter that sought the annulment of the EC’s July 2006 decision to open an investigation alleging that such decision did not follow the applicable procedural rules and requested injunctive relief to suspend the effectiveness of the EC’s November 19, 2009 decision. However, the decisions by the General Court, and subsequent appeals to the European Court of Justice, resulted in the denial of these remedies. | |||||||||||||||||||||||||
In June 2012, Alcoa received formal notification from the Italian Government with a calculated recovery amount of $375 (€303); this amount was reduced by $65 (€53) for amounts owed by the Italian Government to Alcoa, resulting in a net payment request of $310 (€250). In a notice published in the Official Journal of the European Union on September 22, 2012, the EC announced that it had filed an action against the Italian Government on July 18, 2012 to compel it to collect the recovery amount, and on October 17, 2013, the ECJ ordered Italy to so collect. On September 27, 2012, Alcoa received a request for payment in full of the $310 (€250) by October 31, 2012. Following discussions with the Italian Government regarding the timing of such payment, Alcoa paid the requested amount in five quarterly installments of $69 (€50) beginning in October 2012 through December 2013. Notwithstanding the payment request, Alcoa’s estimate of the most probable loss of the ultimate outcome of this matter and the low end of the range of reasonably possible loss, which is $219 (€159) to $418 (€303), remains the $219 (€159) (the U.S. dollar amount reflects the effects of foreign currency movements since 2009) recorded in 2009. At December 31, 2013, Alcoa no longer has a reserve for this matter. Instead, Alcoa has a noncurrent asset of $126 (€91) reflecting the excess of the total of the five payments made to the Italian Government over the reserve Alcoa recorded in 2009. The full extent of the loss will not be known until the final judicial determination, which could be a period of several years. | |||||||||||||||||||||||||
As a result of the EC’s November 19, 2009 decision, management had contemplated ceasing operations at its Italian smelters due to uneconomical power costs. In February 2010, management agreed to continue to operate its smelters in Italy for up to six months while a long-term solution to address increased power costs could be negotiated. Over a portion of this time, a long-term solution was not able to be reached related to the Fusina smelter, therefore, in May 2010, Alcoa and the Italian Government agreed to a temporary idling of the Fusina smelter. As of June 30, 2010, the Fusina smelter was fully curtailed (44,000 metric-tons-per-year). For the Portovesme smelter, Alcoa executed a new power agreement effective September 1, 2010 through December 31, 2012, replacing the short-term, market-based power contract that was in effect since early 2010. This new agreement along with interruptibility rights (i.e. compensation for power interruptions when grids are overloaded) granted to Alcoa for the Portovesme smelter provided additional time to negotiate a long-term solution (the EC had previously determined that the interruptibility rights were not considered state aid). | |||||||||||||||||||||||||
At the end of 2011, as part of a restructuring of Alcoa’s global smelting system, management decided to curtail operations at the Portovesme smelter during 2012 due to the uncertain prospects for viable, long-term power, along with rising raw materials costs and falling global aluminum prices (mid-2011 to late 2011). As of December 31, 2012, the Portovesme smelter was fully curtailed (150,000 metric-tons-per-year). This curtailment may lead to the permanent closure of the facility; however, Alcoa will keep the smelter in restart condition through June 2014. | |||||||||||||||||||||||||
In June 2013, Alcoa decided to permanently shut down and demolish the Fusina smelter due to persistent uneconomical conditions (see Note D). | |||||||||||||||||||||||||
In January 2007, the EC announced that it had opened an investigation to establish whether the regulated electricity tariffs granted by Spain comply with EU state aid rules. At the time the EC opened its investigation, Alcoa had been operating in Spain for more than nine years under a power supply structure approved by the Spanish Government in 1986, an equivalent tariff having been granted in 1983. The investigation is limited to the year 2005 and is focused both on the energy-intensive consumers and the distribution companies. The investigation provided 30 days to any interested party to submit observations and comments to the EC. With respect to the energy-intensive consumers, the EC opened the investigation on the assumption that prices paid under the tariff in 2005 were lower than a pool price mechanism, therefore being, in principle, artificially below market conditions. Alcoa submitted comments in which the company provided evidence that prices paid by energy-intensive consumers were in line with the market, in addition to various legal arguments defending the legality of the Spanish tariff system. It is Alcoa’s understanding that the Spanish tariff system for electricity is in conformity with all applicable laws and regulations, and therefore no state aid is present in the tariff system. While Alcoa does not believe that an unfavorable decision is probable, management has estimated that the total potential impact from an unfavorable decision could be approximately $95 (€70) pretax. Also, while Alcoa believes that any additional cost would only be assessed for the year 2005, it is possible that the EC could extend its investigation to later years. If the EC’s investigation concludes that the regulated electricity tariffs for industries are unlawful, Alcoa will have an opportunity to challenge the decision in the EU courts. | |||||||||||||||||||||||||
On February 4, 2014, the EC announced a decision in this matter stating that the electricity tariffs granted by Spain for year 2005 do not constitute unlawful state aid. | |||||||||||||||||||||||||
Environmental Matters. Alcoa continues to participate in environmental assessments and cleanups at more than 100 locations. These include owned or operating facilities and adjoining properties, previously owned or operating facilities and adjoining properties, and waste sites, including Superfund (Comprehensive Environmental Response, Compensation and Liability Act (CERCLA)) sites. A liability is recorded for environmental remediation when a cleanup program becomes probable and the costs can be reasonably estimated. | |||||||||||||||||||||||||
As assessments and cleanups proceed, the liability is adjusted based on progress made in determining the extent of remedial actions and related costs. The liability can change substantially due to factors such as the nature and extent of contamination, changes in remedial requirements, and technological changes, among others. | |||||||||||||||||||||||||
Alcoa’s remediation reserve balance was $509 and $532 at December 31, 2013 and 2012 (of which $48 and $74 was classified as a current liability), respectively, and reflects the most probable costs to remediate identified environmental conditions for which costs can be reasonably estimated. | |||||||||||||||||||||||||
In 2013, the remediation reserve was increased by $18 due to a charge of $12 related to the planned demolition of certain structures at the Massena West, NY and Baie Comeau, Quebec, Canada sites (see Note D) and a net charge of $6 associated with a number of other sites. In 2012, the remediation reserve was increased by $206 due to charges of $165 related to the Massena West, NY site (see below), charges totaling $45 related to smelter sites in Canada and Norway (see below), a charge of $14 related to the former East St. Louis, IL site (see below), a reversal of $30 related to the former Sherwin, TX site (see below), and a net charge of $12 associated with a number of other sites. In both periods, the changes to the remediation reserve, except for the aforementioned $12 in 2013, were recorded in Cost of goods sold on the accompanying Statement of Consolidated Operations. | |||||||||||||||||||||||||
Payments related to remediation expenses applied against the reserve were $40 and $22 in 2013 and 2012, respectively. These amounts include expenditures currently mandated, as well as those not required by any regulatory authority or third party. In 2013 and 2012, the change in the reserve also reflects a decrease of $1 and an increase of $1, respectively, due to the effects of foreign currency translation. | |||||||||||||||||||||||||
Included in annual operating expenses are the recurring costs of managing hazardous substances and environmental programs. These costs are estimated to be approximately 2% of cost of goods sold. | |||||||||||||||||||||||||
The following discussion provides details regarding the current status of certain significant reserves related to current or former Alcoa sites. | |||||||||||||||||||||||||
Massena West, NY—Alcoa has been conducting investigations and studies of the Grasse River, adjacent to Alcoa’s Massena plant site, under a 1989 order from the U.S. Environmental Protection Agency (EPA) issued under CERCLA. Sediments and fish in the river contain varying levels of polychlorinated biphenyls (PCBs). | |||||||||||||||||||||||||
Beginning in 1998 through 2010, Alcoa submitted a number of Analysis of Alternatives Reports to the EPA documenting the results of river and sediment studies, potential alternatives for remedial actions related to the PCB contamination, and additional information requested by the EPA. Additionally, from 2004 to 2008, Alcoa completed work as outlined in an EPA-approved Remedial Options Pilot Study. | |||||||||||||||||||||||||
In the first half of 2012, Alcoa received final questions and comments from the EPA and other stakeholders on the then most recent revised Analysis of Alternatives Report submitted in March 2010, including a requirement that would increase the scope of the recommended capping alternative. In June 2012, Alcoa submitted a revised Analysis of Alternatives Report, which included four less alternatives than the previous report and addressed the final questions and comments from all stakeholders. These final questions and comments resulted in a change to Alcoa’s recommended capping alternative by increasing the area to be remediated. Consequently, Alcoa increased the reserve associated with the Grasse River by $37 in 2012 to reflect the changes to the recommended alternative. | |||||||||||||||||||||||||
In October 2012, the EPA selected a proposed remedy from the alternatives included in the June 2012 Analysis of Alternatives Report and released a Proposed Remedial Action Plan (PRAP). The alternative selected by the EPA recommends capping PCB contaminated sediments with concentration in excess of one part per million in the main channel of the river and dredging PCB contaminated sediments in the near-shore areas where total PCBs exceed one part per million. This alternative will result in additional estimated costs above that of the alternative recommended by Alcoa in the June 2012 Analysis of Alternatives Report. As a result, Alcoa increased the reserve associated with the Grasse River by an additional $128 in 2012 to reflect such additional estimated costs of the EPA’s proposed remedy. The PRAP was open for public comment until November 29, 2012. | |||||||||||||||||||||||||
The EPA completed its review of the comments received in early 2013 and, on April 5, 2013, issued a final Record of Decision (ROD). The ROD is consistent with the PRAP issued in October 2012, which reflected the EPA’s selection of a remediation alternative estimated to cost $243. No further adjustment to the reserve associated with Grasse River was necessary due to the EPA’s selected alternative as this amount was previously fully accrued. At December 31, 2013 and 2012, the reserve balance associated with this matter was $241 and $243, respectively. Alcoa is in the planning and design phase, which is expected to take approximately two to three years, followed by the actual remediation fieldwork that is expected to take approximately four years. The majority of the project funding is expected to be spent between 2016 and 2020. | |||||||||||||||||||||||||
Sherwin, TX—In connection with the sale of the Sherwin alumina refinery, which was required to be divested as part of the Reynolds merger in 2000, Alcoa agreed to retain responsibility for the remediation of the then existing environmental conditions, as well as a pro rata share of the final closure of the active bauxite residue waste disposal areas (known as the Copano facility). Alcoa’s share of the closure costs is proportional to the total period of operation of the active waste disposal areas. | |||||||||||||||||||||||||
In 2012, Alcoa received a technical analysis of the closure plan for the active waste disposal areas and an operating plan for the Copano facility from Sherwin Alumina Company, both of which were needed in order to develop a closure cost estimate, including an assessment of Alcoa’s potential liability. It was determined that the most probable course of action would result in a smaller liability than originally reserved due to new information related to the amount of storage capacity in the waste disposal areas and revised assumptions regarding Alcoa’s share of the obligation based on the operating plan provided by Sherwin. As such, Alcoa reduced the reserve associated with Sherwin by $30 in 2012. At December 31, 2013 and 2012, the reserve balance associated with Sherwin was $35 and $36, respectively. Approximately half of the project funding is expected to be spent between 2014 and 2019. The remainder is not expected to be spent in the foreseeable future as it is dependent upon the operating life of the active waste disposal areas. | |||||||||||||||||||||||||
East St. Louis, IL—In response to questions regarding environmental conditions at the former East St. Louis operations, Alcoa and the City of East St. Louis, the owner of the site, entered into an administrative order with the EPA in December 2002 to perform a remedial investigation and feasibility study of an area used for the disposal of bauxite residue from historic alumina refining operations. A draft feasibility study was submitted to the EPA in April 2005. The feasibility study included remedial alternatives that ranged from no further action to significant grading, stabilization, and water management of the bauxite residue disposal areas. As a result, Alcoa increased the environmental reserve for this location by $15 in 2005. | |||||||||||||||||||||||||
In April 2012, in response to comments from the EPA and other stakeholders, Alcoa submitted a revised feasibility study to the EPA, which soon thereafter issued a PRAP identifying a soil cover as the EPA’s recommended alternative. Based on this recommendation, Alcoa submitted a detailed design and cost estimate for implementation of the remedy. A draft consent decree was issued in May 2012 by the EPA and all parties are actively engaged in negotiating a final consent decree and statement of work. As a result, Alcoa increased the reserve associated with East St. Louis by $14 in 2012 to reflect the necessary costs for this remedy. | |||||||||||||||||||||||||
On July 30, 2012, the EPA issued a ROD for this matter and Alcoa began the process of bidding and contracting for the construction work. The ultimate outcome of negotiations and the bidding of the construction work could result in additional liability. On November 1, 2013, the Department of Justice lodged a consent decree on behalf of the EPA for Alcoa to conduct the work outlined in the ROD. Alcoa is waiting final entry of the consent decree to begin work, which is expected in the first half of 2014. At December 31, 2013 and 2012, the reserve balance associated with this matter was $24 and $26, respectively. The majority of the project funding is expected to be spent between 2014 and 2015. | |||||||||||||||||||||||||
Fusina and Portovesme, Italy—In 1996, Alcoa acquired the Fusina smelter and rolling operations and the Portovesme smelter, both of which are owned by Alcoa’s subsidiary Alcoa Trasformazioni S.r.l. (“Trasformazioni”), from Alumix, an entity owned by the Italian Government. At the time of the acquisition, Alumix indemnified Alcoa for pre-existing environmental contamination at the sites. In 2004, the Italian Ministry of Environment and Protection of Land and Sea (MOE) issued orders to Trasformazioni and Alumix for the development of a clean-up plan related to soil contamination in excess of allowable limits under legislative decree and to institute emergency actions and pay natural resource damages. Trasformazioni appealed the orders and filed suit against Alumix, among others, seeking indemnification for these liabilities under the provisions of the acquisition agreement. In 2009, Ligestra S.r.l. (“Ligestra”), Alumix’s successor, and Trasformazioni agreed to a stay of the court proceedings while investigations were conducted and negotiations advanced towards a possible settlement. | |||||||||||||||||||||||||
In December 2009, Trasformazioni and Ligestra reached an agreement for settlement of the liabilities related to Fusina while negotiations continued related to Portovesme. The agreement outlines an allocation of payments to the MOE for emergency action and natural resource damages and the scope and costs for a proposed soil remediation project, which was formally presented to the MOE in mid-2010. The agreement is contingent upon final acceptance of the remediation project by the MOE. As a result of entering into this agreement, Alcoa increased the reserve by $12 in 2009 for Fusina. Based on comments received from the MOE and local and regional environmental authorities, Trasformazioni submitted a revised remediation plan in the first half of 2012; however, such revisions did not require any change to the existing reserve. In October 2013, the MOE approved the project submitted by Alcoa, resulting in no adjustment to the reserve. Alcoa is in the process of negotiating a final administrative agreement for conduct of the work | |||||||||||||||||||||||||
Additionally, due to new information derived from the site investigations conducted at Portovesme, Alcoa increased the reserve by $3 in 2009. In November 2011, Trasformazioni and Ligestra reached an agreement for settlement of the liabilities related to Portovesme, similar to the one for Fusina. A proposed soil remediation project for Portovesme was formally presented to the MOE in June 2012. Neither the agreement with Ligestra nor the proposal to the MOE resulted in a change to the reserve for Portovesme. In November 2013, the MOE rejected the proposed soil remediation project and requested a revised project be submitted in the first quarter of 2014. It is possible that the revised project may result in a change to the existing reserve for Portovesme. | |||||||||||||||||||||||||
Baie Comeau, Quebec, Canada—In August 2012, Alcoa presented an analysis of remediation alternatives to the Quebec Ministry of Sustainable Development, Environment, Wildlife and Parks (MDDEP), in response to a previous request, related to known PCBs and polycyclic aromatic hydrocarbons (PAHs) contained in sediments of the Anse du Moulin bay. As such, Alcoa increased the reserve for Baie Comeau by $25 in 2012 to reflect the estimated cost of Alcoa’s recommended alternative, consisting of both dredging and capping of the contaminated sediments. In July 2013, Alcoa submitted the Environmental Impact Assessment for the project to the MDDEP and this document is currently in the regulatory review process. The ultimate selection of a remedy may result in additional liability at the time the MDDEP issues a final decision. | |||||||||||||||||||||||||
Mosjøen, Norway—In September 2012, Alcoa presented an analysis of remediation alternatives to the Norwegian Environmental Agency (NEA) (formerly the Norwegian Climate and Pollution Agency, or “Klif”), in response to a previous request, related to known PAHs in the sediments located in the harbor and extending out into the fjord. As such, Alcoa increased the reserve for Mosjøen by $20 in 2012 to reflect the estimated cost of the baseline alternative for dredging of the contaminated sediments. The ultimate selection of a remedy may result in additional liability at the time the NEA issues a final decision. | |||||||||||||||||||||||||
Other. In March 2013, Alcoa’s subsidiary, Alcoa World Alumina Brasil (AWAB), was notified by the Brazilian Federal Revenue Office (RFB) that approximately $110 (R$220) of value added tax credits previously claimed are being disallowed and a penalty of 50% assessed. Of this amount, AWAB received $41 (R$82) in cash in May 2012. The value added tax credits were claimed by AWAB for both fixed assets and export sales related to the Juruti bauxite mine and São Luís refinery expansion. 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. The assessment is currently in the administrative process, which could take approximately two years to complete. AWAB presented defense of its claim to the RFB on April 8, 2013. If AWAB is successful in the administrative process, the RFB would have no further recourse. If unsuccessful in this process, AWAB has the option to litigate at a judicial level. The estimated range of reasonably possible loss is $0 to $65 ($R155), whereby the maximum end of the range represents the sum of the portion of the disallowed credits applicable to the export sales and a 50% penalty of the gross amount disallowed. Additionally, the estimated range of disallowed credits related to AWAB’s fixed assets is $0 to $75 (R$175), which would increase the net carrying value of AWAB’s fixed assets if ultimately disallowed. It is management’s opinion that the allegations have no basis; however, at this time, management is unable to reasonably predict an outcome for this matter. | |||||||||||||||||||||||||
In September 2010, following a corporate income tax audit covering the 2003 through 2005 tax years, an assessment was received as a result of Spain’s tax authorities disallowing certain interest deductions claimed by a Spanish consolidated tax group owned by the Company. An appeal of this assessment in Spain’s Central Tax Administrative Court by the Company was denied in October 2013. In December 2013, the Company filed an appeal of the assessment in Spain’s National Court. | |||||||||||||||||||||||||
Additionally, following a corporate income tax audit of the same Spanish tax group for the 2006 through 2009 tax years, Spain’s tax authorities issued an assessment in July 2013 similarly disallowing certain interest deductions. In August 2013, the Company filed an appeal of this second assessment in Spain’s Central Tax Administrative Court. | |||||||||||||||||||||||||
The combined assessments total $334 (€242). The Company believes it has meritorious arguments to support its tax position and intends to vigorously litigate the assessments through Spain’s court system. However, in the event the Company is unsuccessful, a portion of the assessments may be offset with existing net operating losses available to the Spanish consolidated tax group. Additionally, it is possible that the Company may receive similar assessments for tax years subsequent to 2009. At this time, the Company is unable to reasonably predict an outcome for this matter. | |||||||||||||||||||||||||
Between 2000 and 2002, Alcoa Alumínio (Alumínio) sold approximately 2,000 metric tons of metal per month from its Poços de Caldas facility, located in the State of Minas Gerais (the “State”), to Alfio, a customer also located in the State. Sales in the State were exempted from value-added tax (VAT) requirements. Alfio subsequently sold metal to customers outside of the State, but did not pay the required VAT on those transactions. In July 2002, Alumínio received an assessment from State auditors on the theory that Alumínio should be jointly and severally liable with Alfio for the unpaid VAT. In June 2003, the administrative tribunal found Alumínio liable, and Alumínio filed a judicial case in the State in February 2004 contesting the finding. In May 2005, the Court of First Instance found Alumínio solely liable, and a panel of a State appeals court confirmed this finding in April 2006. Alumínio filed a special appeal to the Superior Tribunal of Justice (STJ) in Brasilia (the federal capital of Brazil) later in 2006. In 2011, the STJ (through one of its judges) reversed the judgment of the lower courts, finding that Alumínio should neither be solely nor jointly and severally liable with Alfio for the VAT, which ruling was then appealed by the State. In June 2012, the STJ agreed to have the case reheard before a five-judge panel. A decision from this panel is pending, but additional appeals are likely. At December 31, 2013, the assessment totaled $53 (R$125), including penalties and interest. While the Company believes it has meritorious defenses, the Company is unable to reasonably predict an outcome. | |||||||||||||||||||||||||
In addition to the matters discussed above, various other lawsuits, claims, and proceedings have been or may be instituted or asserted against Alcoa, including those pertaining to environmental, product liability, safety and health, and tax matters. While the amounts claimed in these other matters may be substantial, the ultimate liability cannot now be determined because of the considerable uncertainties that exist. Therefore, 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. | |||||||||||||||||||||||||
Commitments | |||||||||||||||||||||||||
Investments. Alumínio, a wholly-owned subsidiary of Alcoa, is a participant in four consortia that each owns a hydroelectric power project in Brazil. The purpose of Alumínio’s participation is to increase its energy self-sufficiency and provide a long-term, low-cost source of power for its two smelters and one refinery. These projects are known as Machadinho, Barra Grande, Serra do Facão, and Estreito. | |||||||||||||||||||||||||
Alumínio committed to taking a share of the output of the Machadinho and Barra Grande projects each for 30 years and the Serra do Facão and Estreito projects each for 26 years at cost (including cost of financing the project). In the event that other participants in any of these projects fail to fulfill their financial responsibilities, Alumínio may be required to fund a portion of the deficiency. In accordance with the respective agreements, if Alumínio funds any such deficiency, its participation and share of the output from the respective project will increase proportionately. | |||||||||||||||||||||||||
The Machadinho project reached full capacity in 2002. Alumínio’s investment in this project is 30.99%, which entitles Alumínio to approximately 120 megawatts of assured power. In February 2013, the consortium liquidated the legal entity that owned the facility for tax purposes. The consortium is now an unincorporated joint venture, and, therefore, Alumínio’s share of the assets and liabilities of the consortium are reflected in the respective lines on the accompanying Consolidated Balance Sheet. Prior to February 2013, Alumínio’s investment in Machadinho was accounted for under the equity method. In conjunction with the liquidation, the consortium repaid the remaining outstanding debt related to Machadinho, effectively terminating each partner’s guarantee of such debt. | |||||||||||||||||||||||||
The Barra Grande project reached full capacity in 2006. Alumínio’s investment in this project is 42.18% and is accounted for under the equity method. This entitles Alumínio to approximately 160 megawatts of assured power. Alumínio’s total investment in this project was $143 (R$336) and $159 (R$326) at December 31, 2013 and 2012, respectively. | |||||||||||||||||||||||||
The Serra do Facão project reached full capacity in 2010. Alumínio’s investment in this project is 34.97% and is accounted for under the equity method. This entitles Alumínio to approximately 65 megawatts of assured power. Alumínio’s total investment in this project was $82 (R$192) and $98 (R$200) at December 31, 2013 and 2012, respectively. Alumínio previously issued a third-party guarantee related to its share of the consortium’s debt; however, in October 2012, the lender released all of the consortium’s investors from their respective guarantees. | |||||||||||||||||||||||||
Even though the Serra do Facão project has been fully operational since 2010, construction costs continue to be incurred to complete the facility related to environmental compliance in accordance with the installation license (costs are not significant in relation to the overall total project). Total estimated project costs are approximately $430 (R$1,000) and Alumínio’s share is approximately $150 (R$350). As of December 31, 2013, approximately $150 (R$350) of Alumínio’s commitment was expended on the project (includes both funds provided by Alumínio and Alumínio’s share of the long-term financing). | |||||||||||||||||||||||||
The Estreito project reached full capacity in March 2013. Alumínio’s investment in this project is 25.49%, which entitles Alumínio to approximately 150 megawatts of assured power. The Estreito consortium is an unincorporated joint venture, and, therefore, Alumínio’s share of the assets and liabilities of the consortium are reflected in the respective lines on the accompanying Consolidated Balance Sheet. Total estimated project costs are approximately $2,200 (R$5,170) and Alumínio’s share is approximately $560 (R$1,320). These amounts reflect an approved increase by the consortium in 2012 of approximately $130 (R$270) to complete the Estreito project due to fluctuations in currency, inflation, and the price and scope of construction, among other factors. As of December 31, 2013, approximately $540 (R$1,270) of Alumínio’s commitment was expended on the project. | |||||||||||||||||||||||||
As of December 31, 2013, Alumínio’s current power self-sufficiency satisfies approximately 70% of a total energy demand of approximately 690 megawatts from two smelters (São Luís (Alumar) and Poços de Caldas) and one refinery (Poços de Caldas) in Brazil. The total energy demand has temporarily declined by approximately 260 megawatts due to partial capacity curtailments of 131,000 metric-tons-per-year at both smelters combined. | |||||||||||||||||||||||||
In 2004, Alcoa acquired a 20% interest in a consortium, which subsequently purchased the Dampier to Bunbury Natural Gas Pipeline (DBNGP) in Western Australia, in exchange for an initial cash investment of $17 (A$24). The investment in the DBNGP, which is classified as an equity investment, was made in order to secure a competitively priced long-term supply of natural gas to Alcoa’s refineries in Western Australia. Alcoa has made additional contributions of $141 (A$176) for its share of the pipeline capacity expansion and other operational purposes of the consortium through September 2011. No further expansion of the pipeline’s capacity is planned at this time. In late 2011, the consortium initiated a three-year equity call plan to improve its capitalization structure. This plan requires Alcoa to contribute $40 (A$40), of which $29 (A$29) was made through December 31, 2013, including $12 (A$12) and $12 (A$11) in 2013 and 2012, respectively. In addition to its equity ownership, Alcoa has an agreement to purchase gas transmission services from the DBNGP. At December 31, 2013, Alcoa has an asset of $315 (A$354) representing prepayments made under the agreement for future gas transmission services. Alcoa’s maximum exposure to loss on the investment and the related contract is approximately $440 (A$500) as of December 31, 2013. | |||||||||||||||||||||||||
Purchase Obligations. Alcoa is party to unconditional purchase obligations for energy that expire between 2015 and 2036. Commitments related to these contracts total $159 in 2014, $157 in 2015, $145 in 2016, $150 in 2017, $149 in 2018, and $2,091 thereafter. Expenditures under these contracts totaled $163 in 2013, $161 in 2012, and $227 in 2011. Additionally, Alcoa has entered into other purchase commitments for energy, raw materials, and other goods and services, which total $3,319 in 2014, $1,802 in 2015, $1,628 in 2016, $1,552 in 2017, $1,838 in 2018, and $9,856 thereafter. | |||||||||||||||||||||||||
Operating Leases. Certain land and buildings, alumina refinery process control technology, plant equipment, vehicles, and computer equipment are under operating lease agreements. Total expense from continuing operations for all leases was $232 in 2013, $244 in 2012, and $255 in 2011. Under long-term operating leases, minimum annual rentals are $198 in 2014, $165 in 2015, $135 in 2016, $103 in 2017, $80 in 2018, and $244 thereafter. | |||||||||||||||||||||||||
Guarantees. At December 31, 2013, Alcoa has maximum potential future payments for a guarantee issued on behalf of a third party of $542. This guarantee expires in 2019 and relates to project financing for the aluminum complex in Saudi Arabia (see Note I). In February 2013, a guarantee related to project financing for a hydroelectric power project in Brazil was terminated as the outstanding debt of the consortium was repaid in full (see Investments above). Alcoa also has outstanding bank guarantees related to tax matters, outstanding debt, workers compensation, environmental obligations, energy contracts, and customs duties, among others. The total amount committed under these guarantees, which expire at various dates between 2014 and 2022 was $370 at December 31, 2013. | |||||||||||||||||||||||||
Letters of Credit. Alcoa has outstanding letters of credit primarily related to workers’ compensation, energy contracts, and leasing obligations. The total amount committed under these letters of credit, which automatically renew or expire at various dates, mostly in 2014, was $333 at December 31, 2013. | |||||||||||||||||||||||||
Surety Bonds. Alcoa has outstanding surety bonds primarily related to tax matters, contract performance, workers compensation, environmental-related matters, and customs duties. The total amount committed under these bonds, which automatically renew or expire at various dates, mostly in 2014, was $170 at December 31, 2013. |
Other_Income_Net
Other Income, Net | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Other Income And Expenses [Abstract] | ' | ||||||||||||
Other Income, Net | ' | ||||||||||||
O. Other Income, Net | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
Equity loss (income) | $ | 68 | $ | 28 | $ | (15 | ) | ||||||
Interest income | (13 | ) | (31 | ) | (20 | ) | |||||||
Foreign currency (gains) losses, net | (33 | ) | (5 | ) | 16 | ||||||||
Net gain from asset sales | (10 | ) | (321 | ) | (41 | ) | |||||||
Net gain on mark-to-market derivative contracts (X) | (29 | ) | (13 | ) | (52 | ) | |||||||
Other, net | (8 | ) | 1 | 25 | |||||||||
$ | (25 | ) | $ | (341 | ) | $ | (87 | ) | |||||
In 2012, Net gain from asset sales included a $320 gain related to the sale of the Tapoco Hydroelectric Project (see Note F). In 2011, Equity income included higher earnings from an investment in a natural gas pipeline in Australia due to the recognition of a discrete income tax benefit by the consortium (Alcoa World Alumina and Chemicals’ share of the benefit was $24). Also in 2011, Net gain from asset sales included a $43 gain related to the sale of land in Australia. |
Cash_Flow_Information
Cash Flow Information | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Supplemental Cash Flow Elements [Abstract] | ' | ||||||||||||
Cash Flow Information | ' | ||||||||||||
P. Cash Flow Information | |||||||||||||
Cash paid for interest and income taxes was as follows: | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
Interest, net of amount capitalized | $ | 433 | $ | 454 | $ | 491 | |||||||
Income taxes, net of amount refunded | 200 | 223 | 382 | ||||||||||
The details related to cash paid for acquisitions were as follows: | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
Assets acquired | $ | - | $ | - | $ | 253 | |||||||
Liabilities assumed | - | - | (12 | ) | |||||||||
Cash paid | - | - | 241 | ||||||||||
Less: cash acquired | - | - | 1 | ||||||||||
Net cash paid | $ | - | $ | - | $ | 240 | |||||||
Noncash Financing and Investing Activities. In August 2012, Alcoa received a loan of $250 for the purpose of financing all or part of the cost of acquiring, constructing, reconstructing, and renovating certain facilities at Alcoa’s rolling mill plant in Davenport, IA (see Note K). Because this loan can only be used for this purpose, the net proceeds of $248 were classified as restricted cash. Since restricted cash is not part of cash and cash equivalents, this transaction was not reflected in the accompanying Statement of Consolidated Cash Flows as it represents a noncash activity. As funds are expended for the project, the release of the cash will be reflected as both an inflow on the Net change in restricted cash line and an outflow on the Capital expenditures line in the Investing Activities section of the Statement of Consolidated Cash Flows. At December 31, 2013 and 2012, Alcoa had $13 and $171, respectively, of restricted cash remaining related to this transaction. | |||||||||||||
In 2011, Alcoa issued $600 in common stock to satisfy a portion of its accrued pension benefits liability (see Notes R and W). |
Segment_and_Geographic_Area_In
Segment and Geographic Area Information | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||
Segment Reporting [Abstract] | ' | ||||||||||||||||||||
Segment and Geographic Area Information | ' | ||||||||||||||||||||
Q. Segment and Geographic Area Information | |||||||||||||||||||||
Alcoa is primarily a producer of aluminum products. Aluminum and alumina represent more than 80% of Alcoa’s revenues. Nonaluminum products include precision castings and aerospace and industrial fasteners. Alcoa’s products are used worldwide in transportation (including aerospace, automotive, truck, trailer, rail, and shipping), packaging, building and construction, oil and gas, defense, and industrial applications. Alcoa’s segments are organized by product on a worldwide basis. Segment performance under Alcoa’s management reporting system is evaluated based on a number of factors; however, the primary measure of performance is the after-tax operating income (ATOI) of each segment. Certain items such as the impact of LIFO inventory accounting; interest expense; noncontrolling interests; corporate expense (general administrative and selling expenses of operating the corporate headquarters and other global administrative facilities, along with depreciation and amortization on corporate-owned assets); restructuring and other charges; discontinued operations; and other items, including intersegment profit eliminations, differences between tax rates applicable to the segments and the consolidated effective tax rate, the results of the soft alloy extrusions business in Brazil, and other nonoperating items such as foreign currency transaction gains/losses and interest income are excluded from segment ATOI. Segment assets exclude, among others, cash and cash equivalents; deferred income taxes; goodwill not allocated to businesses for segment reporting purposes; corporate fixed assets; LIFO reserves; and other items, including the assets of the soft alloy extrusions business in Brazil and assets classified as held for sale related to discontinued operations. | |||||||||||||||||||||
On January 1, 2013, management revised the inventory-costing method used by certain locations within the Global Rolled Products and Engineered Products and Solutions segments, which affects the determination of the respective segment’s profitability measure, ATOI. Management made the change in order to improve internal consistency and enhance industry comparability. This revision does not impact the consolidated results of Alcoa. Segment information for all prior periods presented was revised to reflect this change. | |||||||||||||||||||||
The accounting policies of the segments are the same as those described in the Summary of Significant Accounting Policies (see Note A). Transactions among segments are established based on negotiation among the parties. Differences between segment totals and Alcoa’s consolidated totals for line items not reconciled are in Corporate. | |||||||||||||||||||||
Alcoa’s operations consist of four worldwide reportable segments as follows: | |||||||||||||||||||||
Alumina. This segment represents a portion of Alcoa’s upstream operations and consists of the Company’s worldwide refinery system, including the mining of bauxite, which is then refined into alumina. Alumina is mainly sold directly to internal and external smelter customers worldwide or is sold to customers who process it into industrial chemical products. A portion of this segment’s third-party sales are completed through the use of agents, alumina traders, and distributors. Slightly more than half of Alcoa’s alumina production is sold under supply contracts to third parties worldwide, while the remainder is used internally by the Primary Metals segment. | |||||||||||||||||||||
Primary Metals. This segment represents a portion of Alcoa’s upstream operations and consists of the Company’s worldwide smelter system. Primary Metals receives alumina, mostly from the Alumina segment, and produces primary aluminum used by Alcoa’s fabricating businesses, as well as sold to external customers and traders. Results from the sale of aluminum powder, scrap, and excess power are also included in this segment, as well as the results of aluminum derivative contracts and buy/resell activity. Primary aluminum produced by Alcoa and used internally is transferred to other segments at prevailing market prices. The sale of primary aluminum represents more than 90% of this segment’s third-party sales. Buy/resell activity refers to when this segment purchases metal from external or internal sources and resells such metal to external customers or the midstream and downstream segments in order to maximize smelting system efficiency and to meet customer requirements. | |||||||||||||||||||||
Global Rolled Products. This segment represents Alcoa’s midstream operations, whose principal business is the production and sale of aluminum plate and sheet. A small portion of this segment’s operations relate to foil produced at one plant in Brazil. This segment includes rigid container sheet (RCS), which is sold directly to customers in the packaging and consumer market and is used to produce aluminum beverage cans. Seasonal increases in RCS sales are generally experienced in the second and third quarters of the year. Approximately one-half of the third-party sales in this segment consist of RCS. This segment also includes sheet and plate used in the aerospace, automotive, commercial transportation, building and construction, and industrial products (mainly used in the production of machinery and equipment and consumer durables) end markets, which is sold directly to customers and through distributors. While the customer base for flat-rolled products is large, a significant amount of sales of RCS, sheet, and plate is to a relatively small number of customers. | |||||||||||||||||||||
Engineered Products and Solutions. This segment represents Alcoa’s downstream operations and includes titanium, aluminum, and super alloy investment castings; fasteners; aluminum wheels; integrated aluminum structural systems; architectural extrusions; and forgings and hard alloy extrusions. These products, which are used in the aerospace, automotive, building and construction, commercial transportation, power generation, and industrial products end markets, are sold directly to customers and through distributors. | |||||||||||||||||||||
The operating results and assets of Alcoa’s reportable segments were as follows: | |||||||||||||||||||||
Alumina | Primary | Global | Engineered | Total | |||||||||||||||||
Metals | Rolled | Products | |||||||||||||||||||
Products | and | ||||||||||||||||||||
Solutions | |||||||||||||||||||||
2013 | |||||||||||||||||||||
Sales: | |||||||||||||||||||||
Third-party sales | $ | 3,326 | $ | 6,596 | $ | 7,106 | $ | 5,733 | $ | 22,761 | |||||||||||
Intersegment sales | 2,235 | 2,621 | 178 | - | 5,034 | ||||||||||||||||
Total sales | $ | 5,561 | $ | 9,217 | $ | 7,284 | $ | 5,733 | $ | 27,795 | |||||||||||
Profit and loss: | |||||||||||||||||||||
Equity loss | $ | (4 | ) | $ | (51 | ) | $ | (13 | ) | $ | - | $ | (68 | ) | |||||||
Depreciation, depletion, and amortization | 426 | 526 | 226 | 159 | 1,337 | ||||||||||||||||
Income taxes | 66 | (74 | ) | 108 | 348 | 448 | |||||||||||||||
ATOI | 259 | (20 | ) | 252 | 726 | 1,217 | |||||||||||||||
2012 | |||||||||||||||||||||
Sales: | |||||||||||||||||||||
Third-party sales | $ | 3,092 | $ | 7,432 | $ | 7,378 | $ | 5,525 | $ | 23,427 | |||||||||||
Intersegment sales | 2,310 | 2,877 | 163 | - | 5,350 | ||||||||||||||||
Total sales | $ | 5,402 | $ | 10,309 | $ | 7,541 | $ | 5,525 | $ | 28,777 | |||||||||||
Profit and loss: | |||||||||||||||||||||
Equity income (loss) | $ | 5 | $ | (27 | ) | $ | (6 | ) | $ | - | $ | (28 | ) | ||||||||
Depreciation, depletion, and amortization | 455 | 532 | 229 | 158 | 1,374 | ||||||||||||||||
Income taxes | (27 | ) | 106 | 159 | 297 | 535 | |||||||||||||||
ATOI | 90 | 309 | 346 | 612 | 1,357 | ||||||||||||||||
2011 | |||||||||||||||||||||
Sales: | |||||||||||||||||||||
Third-party sales | $ | 3,462 | $ | 8,240 | $ | 7,642 | $ | 5,345 | $ | 24,689 | |||||||||||
Intersegment sales | 2,727 | 3,192 | 218 | - | 6,137 | ||||||||||||||||
Total sales | $ | 6,189 | $ | 11,432 | $ | 7,860 | $ | 5,345 | $ | 30,826 | |||||||||||
Profit and loss: | |||||||||||||||||||||
Equity income (loss) | $ | 25 | $ | (7 | ) | $ | (3 | ) | $ | 1 | $ | 16 | |||||||||
Depreciation, depletion, and amortization | 444 | 556 | 237 | 158 | 1,395 | ||||||||||||||||
Income taxes | 179 | 92 | 98 | 258 | 627 | ||||||||||||||||
ATOI | 607 | 481 | 260 | 537 | 1,885 | ||||||||||||||||
2013 | |||||||||||||||||||||
Assets: | |||||||||||||||||||||
Capital expenditures | $ | 322 | $ | 224 | $ | 335 | $ | 224 | $ | 1,105 | |||||||||||
Equity investments | 628 | 947 | 200 | - | 1,775 | ||||||||||||||||
Goodwill | 9 | - | 218 | 2,670 | 2,897 | ||||||||||||||||
Total assets | 8,248 | 10,341 | 4,647 | 6,011 | 29,247 | ||||||||||||||||
2012 | |||||||||||||||||||||
Assets: | |||||||||||||||||||||
Capital expenditures | $ | 374 | $ | 318 | $ | 258 | $ | 200 | $ | 1,150 | |||||||||||
Equity investments | 658 | 917 | 188 | - | 1,763 | ||||||||||||||||
Goodwill | 10 | 997 | 214 | 2,677 | 3,898 | ||||||||||||||||
Total assets | 9,709 | 11,709 | 4,603 | 5,891 | 31,912 | ||||||||||||||||
The following tables reconcile certain segment information to consolidated totals: | |||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||
Sales: | |||||||||||||||||||||
Total segment sales | $ | 27,795 | $ | 28,777 | $ | 30,826 | |||||||||||||||
Elimination of intersegment sales | (5,034 | ) | (5,350 | ) | (6,137 | ) | |||||||||||||||
Corporate* | 271 | 273 | 262 | ||||||||||||||||||
Consolidated sales | $ | 23,032 | $ | 23,700 | $ | 24,951 | |||||||||||||||
* | For all periods presented, the Corporate amount includes third-party sales of the soft alloy extrusions business located in Brazil. | ||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||
Net (loss) income attributable to Alcoa: | |||||||||||||||||||||
Total segment ATOI | $ | 1,217 | $ | 1,357 | $ | 1,885 | |||||||||||||||
Unallocated amounts (net of tax): | |||||||||||||||||||||
Impact of LIFO | 52 | 20 | (38 | ) | |||||||||||||||||
Interest expense | (294 | ) | (319 | ) | (340 | ) | |||||||||||||||
Noncontrolling interests | (41 | ) | 29 | (194 | ) | ||||||||||||||||
Corporate expense | (284 | ) | (282 | ) | (290 | ) | |||||||||||||||
Impairment of goodwill | (1,731 | ) | - | - | |||||||||||||||||
Restructuring and other charges | (607 | ) | (142 | ) | (196 | ) | |||||||||||||||
Discontinued operations | - | - | (3 | ) | |||||||||||||||||
Other | (597 | ) | (472 | ) | (213 | ) | |||||||||||||||
Consolidated net (loss) income attributable to Alcoa | $ | (2,285 | ) | $ | 191 | $ | 611 | ||||||||||||||
December 31, | 2013 | 2012 | |||||||||||||||||||
Assets: | |||||||||||||||||||||
Total segment assets | $ | 29,247 | $ | 31,912 | |||||||||||||||||
Elimination of intersegment receivables | (385 | ) | (444 | ) | |||||||||||||||||
Unallocated amounts: | |||||||||||||||||||||
Cash and cash equivalents | 1,437 | 1,861 | |||||||||||||||||||
Deferred income taxes | 3,410 | 4,052 | |||||||||||||||||||
Corporate goodwill | 518 | 1,272 | |||||||||||||||||||
Corporate fixed assets, net | 879 | 961 | |||||||||||||||||||
LIFO reserve | (691 | ) | (770 | ) | |||||||||||||||||
Other | 1,327 | 1,335 | |||||||||||||||||||
Consolidated assets | $ | 35,742 | $ | 40,179 | |||||||||||||||||
Sales by major product grouping were as follows: | |||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||
Sales: | |||||||||||||||||||||
Alumina | $ | 3,151 | $ | 2,962 | $ | 3,350 | |||||||||||||||
Primary aluminum | 6,194 | 7,121 | 7,907 | ||||||||||||||||||
Flat-rolled aluminum | 7,106 | 7,378 | 7,642 | ||||||||||||||||||
Investment castings | 1,807 | 1,747 | 1,700 | ||||||||||||||||||
Fastening systems | 1,505 | 1,414 | 1,313 | ||||||||||||||||||
Architectural aluminum systems | 977 | 970 | 973 | ||||||||||||||||||
Aluminum wheels | 702 | 692 | 656 | ||||||||||||||||||
Other extruded aluminum and forged products | 1,015 | 955 | 1,010 | ||||||||||||||||||
Other | 575 | 461 | 400 | ||||||||||||||||||
$ | 23,032 | $ | 23,700 | $ | 24,951 | ||||||||||||||||
Geographic information for sales was as follows (based upon the country where the point of sale occurred): | |||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||
Sales: | |||||||||||||||||||||
U.S.(1) | $ | 11,766 | $ | 12,361 | $ | 12,295 | |||||||||||||||
Australia | 3,240 | 3,222 | 3,587 | ||||||||||||||||||
Spain(2) | 2,282 | 1,203 | 1,487 | ||||||||||||||||||
Brazil | 1,221 | 1,244 | 1,371 | ||||||||||||||||||
France | 862 | 807 | 825 | ||||||||||||||||||
Russia | 683 | 713 | 761 | ||||||||||||||||||
Hungary | 555 | 492 | 665 | ||||||||||||||||||
Netherlands(3) | 524 | 949 | 1,025 | ||||||||||||||||||
United Kingdom | 475 | 438 | 412 | ||||||||||||||||||
Norway(2) | 283 | 820 | 927 | ||||||||||||||||||
China | 259 | 326 | 283 | ||||||||||||||||||
Germany | 230 | 216 | 229 | ||||||||||||||||||
Italy | 157 | 379 | 537 | ||||||||||||||||||
Other | 495 | 530 | 547 | ||||||||||||||||||
$ | 23,032 | $ | 23,700 | $ | 24,951 | ||||||||||||||||
(1) | Sales that occurred in the U.S. include a portion of alumina from Alcoa’s refineries in Suriname, Brazil, Australia, and Jamaica and aluminum from Alcoa’s smelters in Canada. | ||||||||||||||||||||
(2) | In 2013, Sales that occurred in Spain include aluminum from Alcoa’s smelters in Iceland and Norway. | ||||||||||||||||||||
(3) | In 2012 and 2011, Sales that occurred in the Netherlands include aluminum from Alcoa’s smelter in Iceland. | ||||||||||||||||||||
Geographic information for long-lived assets was as follows (based upon the physical location of the assets): | |||||||||||||||||||||
December 31, | 2013 | 2012 | |||||||||||||||||||
Long-lived assets: | |||||||||||||||||||||
U.S. | $ | 4,760 | $ | 4,621 | |||||||||||||||||
Brazil | 3,746 | 4,318 | |||||||||||||||||||
Australia | 3,024 | 3,548 | |||||||||||||||||||
Iceland | 1,518 | 1,571 | |||||||||||||||||||
Canada | 1,302 | 1,399 | |||||||||||||||||||
Norway | 762 | 898 | |||||||||||||||||||
Russia | 471 | 494 | |||||||||||||||||||
Spain | 446 | 445 | |||||||||||||||||||
Jamaica | 393 | 414 | |||||||||||||||||||
China | 388 | 395 | |||||||||||||||||||
Other | 829 | 844 | |||||||||||||||||||
$ | 17,639 | $ | 18,947 |
Preferred_and_Common_Stock
Preferred and Common Stock | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Equity [Abstract] | ' | ||||||||||||||||
Preferred and Common Stock | ' | ||||||||||||||||
R. Preferred and Common Stock | |||||||||||||||||
Preferred Stock. Alcoa has two classes of preferred stock: Class A Preferred Stock and Class B Serial Preferred Stock. Class A Preferred Stock has 660,000 shares authorized at a par value of $100 per share with an annual $3.75 cumulative dividend preference per share. There were 546,024 of such shares outstanding at December 31, 2013 and 2012. Class B Serial Preferred Stock has 10 million shares authorized (none issued) and a par value of $1 per share. | |||||||||||||||||
Common Stock. There are 1.8 billion shares authorized at a par value of $1 per share, and 1,177,906,867 shares and 1,177,906,557 shares, respectively, were issued at December 31, 2013 and 2012. The current dividend yield as authorized by Alcoa’s Board of Directors is $0.12 per annum or $0.03 per quarter. | |||||||||||||||||
In January 2011, Alcoa contributed 36,518,563 newly issued shares of its common stock to a master trust that holds the assets of certain U.S. defined benefit pension plans in a private placement transaction. These shares were valued at $16.43 per share (the closing price of Alcoa’s common stock on January 24, 2011), or $600 in the aggregate, and were issued to satisfy the estimated minimum required funding and to provide additional funding towards maintaining an approximately 80% funded status of Alcoa’s U.S. pension plans. On January 25, 2011, the 36,518,563 shares were registered under Alcoa’s then-current shelf registration statement dated March 10, 2008 (replaced by shelf registration statement dated February 18, 2011) for resale by the master trust, as selling stockholder. | |||||||||||||||||
As of December 31, 2013, 110 million and 119 million shares of common stock were reserved for issuance upon conversion of convertible notes and under Alcoa’s stock-based compensation plans, respectively. Alcoa issues shares from treasury stock to satisfy the exercise of stock options and the conversion of stock awards. | |||||||||||||||||
Share Activity (number of shares) | |||||||||||||||||
Common stock | |||||||||||||||||
Treasury | Outstanding | ||||||||||||||||
Balance at end of 2010 | 119,362,029 | 1,022,025,965 | |||||||||||||||
Private placement | - | 36,518,563 | |||||||||||||||
Issued for stock-based compensation plans | (5,867,538 | ) | 5,867,538 | ||||||||||||||
Balance at end of 2011 | 113,494,491 | 1,064,412,066 | |||||||||||||||
Issued for stock-based compensation plans | (2,799,887 | ) | 2,799,887 | ||||||||||||||
Balance at end of 2012 | 110,694,604 | 1,067,211,953 | |||||||||||||||
Conversion of convertible notes | - | 310 | |||||||||||||||
Issued for stock-based compensation plans | (3,798,899 | ) | 3,798,899 | ||||||||||||||
Balance at end of 2013 | 106,895,705 | 1,071,011,162 | |||||||||||||||
Stock-based Compensation | |||||||||||||||||
Stock options under Alcoa’s stock-based compensation plans are granted in January each year at market prices on the dates of grant. Features based on date of original grant for stock options outstanding as of December 31, 2013 were as follows: | |||||||||||||||||
Date of original grant | Vesting | Term | Reload feature | ||||||||||||||
2008 - 2009 | 3 years | 6 years | None | ||||||||||||||
(1/3 each year) | |||||||||||||||||
2010 and forward | 3 years | 10 years | None | ||||||||||||||
(1/3 each year) | |||||||||||||||||
In addition to the stock options described above, Alcoa grants stock awards that vest three years from the date of grant. Certain of these stock awards were granted with performance conditions. In 2013, 2012, and 2011, the final number of performance stock awards earned will be based on the achievement of sales and profitability targets over a three-year period. One-third of the award will be earned each year based on the performance against pre-established targets for that year. The performance stock awards earned over the three-year period vest at the end of the third year. | |||||||||||||||||
Most plan participants can choose whether to receive their award in the form of stock options, stock awards, or a combination of both. This choice is made before the grant is issued and is irrevocable. | |||||||||||||||||
The following table summarizes the total compensation expense recognized for all stock options and stock awards (there was no stock-based compensation expense capitalized in 2013, 2012, or 2011): | |||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||
Compensation expense recognized: | |||||||||||||||||
Stock option grants | $ | 21 | $ | 27 | $ | 34 | |||||||||||
Stock award grants | 50 | 40 | 49 | ||||||||||||||
Total compensation expense before income taxes | 71 | 67 | 83 | ||||||||||||||
Benefit for income taxes | 23 | 21 | 27 | ||||||||||||||
Total compensation expense, net of income taxes | $ | 48 | $ | 46 | $ | 56 | |||||||||||
As part of Alcoa’s stock-based compensation plan design, individuals who are retirement-eligible have a six-month requisite service period in the year of grant. As a result, a larger portion of expense will be recognized in the first half of each year for these retirement-eligible employees. Of the total compensation expense before income taxes included in the table above, $14, $13, and $18 in 2013, 2012, and 2011, respectively, pertains to the acceleration of expense related to retirement-eligible employees. | |||||||||||||||||
The fair value of new options was estimated on the date of grant using a lattice-pricing model with the following assumptions: | |||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||
Weighted average fair value per option | $ | 2.24 | $ | 3.11 | $ | 4.96 | |||||||||||
Average risk-free interest rate | 0.10-1.89 | % | 0.06-1.89 | % | 0.19-3.44 | % | |||||||||||
Dividend yield | 1.3 | % | 0.9 | % | 0.9 | % | |||||||||||
Volatility | 28-40 | % | 39-45 | % | 36-43 | % | |||||||||||
Annual forfeiture rate | 7 | % | 5 | % | 5 | % | |||||||||||
Exercise behavior | 45 | % | 45 | % | 45 | % | |||||||||||
Life (years) | 6 | 5.8 | 5.8 | ||||||||||||||
The range of average risk-free interest rates was based on a yield curve of interest rates at the time of the grant based on the contractual life of the option. The dividend yield was based on a one-year average. Volatility was based on historical and implied volatilities over the term of the option. Alcoa utilized historical option forfeiture data to estimate annual pre- and post-vesting forfeitures. Exercise behavior was based on a weighted average exercise ratio (exercise patterns for grants issued over the number of years in the contractual option term) of an option’s intrinsic value resulting from historical employee exercise behavior. Based upon the other assumptions used in the determination of the fair value, the life of an option was an output of the lattice-pricing model. | |||||||||||||||||
The activity for stock options was as follows (options in millions): | |||||||||||||||||
Number of | Weighted | ||||||||||||||||
options | average | ||||||||||||||||
exercise price | |||||||||||||||||
Outstanding, January 1, 2013 | 45 | $ | 12.58 | ||||||||||||||
Granted | 8 | 8.88 | |||||||||||||||
Exercised | (1.6 | ) | 8.32 | ||||||||||||||
Expired or forfeited | (6.1 | ) | 22.13 | ||||||||||||||
Outstanding, December 31, 2013 | 45.3 | 10.78 | |||||||||||||||
The total intrinsic value of options exercised during 2013, 2012, and 2011 was $2, $2, and $34, respectively. In 2013, 2012, and 2011, the cash received from option exercises was $13, $12, and $37 and the total tax benefit realized from these exercises was $1, $1, and $11, respectively. | |||||||||||||||||
The following tables summarize certain stock option information at December 31, 2013 (number of options and intrinsic value in millions): | |||||||||||||||||
Options Fully Vested and/or Expected to Vest* | |||||||||||||||||
Range of | Number | Weighted | Weighted | Intrinsic | |||||||||||||
exercise price | average | average | Value | ||||||||||||||
remaining | exercise | ||||||||||||||||
contractual | price | ||||||||||||||||
life | |||||||||||||||||
$8.33 | 16.3 | 1.06 | $ | 8.33 | $ | 38 | |||||||||||
$8.34 - $11.33 | 17.1 | 8.22 | 9.6 | 17 | |||||||||||||
$11.34 - $17.40 | 10.8 | 6.14 | 14.46 | - | |||||||||||||
$17.41 - $34.84 | 1.1 | 0.05 | 28.92 | - | |||||||||||||
Total | 45.3 | 4.94 | 10.78 | $ | 55 | ||||||||||||
* | Expected forfeitures are immaterial to the Company and are not reflected in the table above. | ||||||||||||||||
Options Fully Vested and Exercisable | |||||||||||||||||
Range of | Number | Weighted | Weighted | Intrinsic | |||||||||||||
exercise price | average | average | Value | ||||||||||||||
remaining | exercise | ||||||||||||||||
contractual | price | ||||||||||||||||
life | |||||||||||||||||
$8.33 | 16.3 | 1.06 | $ | 8.33 | $ | 38 | |||||||||||
$8.34 - $11.33 | 3.3 | 7.4 | 10.18 | 1 | |||||||||||||
$11.34 - $17.40 | 9.7 | 6.1 | 14.23 | - | |||||||||||||
$17.41 - $34.84 | 1.1 | 0.05 | 28.92 | - | |||||||||||||
Total | 30.4 | 3.31 | 11.16 | $ | 39 | ||||||||||||
In addition to stock option awards, the Company grants stock awards and performance share awards, both of which vest three years from the date of grant. Performance share awards are issued at target and the final award amount is determined at the end of the performance period. | |||||||||||||||||
The following table summarizes the outstanding stock and performance share awards (awards in millions): | |||||||||||||||||
Stock | Performance | Total | Weighted | ||||||||||||||
Awards | Share Awards | average | |||||||||||||||
FMV | |||||||||||||||||
per award | |||||||||||||||||
Outstanding, January 1, 2013 | 7.9 | 4 | 11.9 | $ | 12.96 | ||||||||||||
Granted | 5.5 | 2.5 | 8 | 8.86 | |||||||||||||
Converted | (2.6 | ) | (0.7 | ) | (3.3 | ) | 13.51 | ||||||||||
Forfeited | (0.4 | ) | (0.6 | ) | (1.0 | ) | 10.76 | ||||||||||
Performance share adjustment | - | 0.3 | 0.3 | 10.96 | |||||||||||||
Outstanding, December 31, 2013 | 10.4 | 5.5 | 15.9 | 10.88 | |||||||||||||
At December 31, 2013, there was $16 and $39 of unrecognized compensation expense (pretax) related to non-vested stock option grants and non-vested stock award grants, respectively. This expense is expected to be recognized over a weighted average period of 1.6 years. As of December 31, 2013, the following table summarizes the unrecognized compensation expense expected to be recognized in future periods: | |||||||||||||||||
Stock-based compensation | |||||||||||||||||
expense (pretax) | |||||||||||||||||
2014 | $ | 36 | |||||||||||||||
2015 | 18 | ||||||||||||||||
2016 | 1 | ||||||||||||||||
Totals | $ | 55 |
Earnings_Per_Share
Earnings Per Share | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Earnings Per Share [Abstract] | ' | ||||||||||||
Earnings Per Share | ' | ||||||||||||
S. Earnings Per Share | |||||||||||||
Basic earnings per share (EPS) amounts are computed by dividing earnings, after the deduction of preferred stock dividends declared and dividends and undistributed earnings allocated to participating securities, by the average number of common shares outstanding. Diluted EPS amounts assume the issuance of common stock for all potentially dilutive share equivalents outstanding not classified as participating securities. | |||||||||||||
The information used to compute basic and diluted EPS attributable to Alcoa common shareholders was as follows (shares in millions): | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
(Loss) income from continuing operations attributable to Alcoa common shareholders | $ | (2,285 | ) | $ | 191 | $ | 614 | ||||||
Less: preferred stock dividends declared | 2 | 2 | 2 | ||||||||||
(Loss) income from continuing operations available to common equity | (2,287 | ) | 189 | 612 | |||||||||
Less: dividends and undistributed earnings allocated to participating securities | - | - | 1 | ||||||||||
(Loss) income from continuing operations available to Alcoa common shareholders—basic | (2,287 | ) | 189 | 611 | |||||||||
Add: interest expense related to convertible notes | - | - | 30 | ||||||||||
(Loss) income from continuing operations available to Alcoa common shareholders—diluted | $ | (2,287 | ) | $ | 189 | $ | 641 | ||||||
Average shares outstanding—basic | 1,070 | 1,067 | 1,061 | ||||||||||
Effect of dilutive securities: | |||||||||||||
Stock options | - | 3 | 7 | ||||||||||
Stock and performance awards | - | 6 | 4 | ||||||||||
Convertible notes | - | - | 89 | ||||||||||
Average shares outstanding—diluted | 1,070 | 1,076 | 1,161 | ||||||||||
Participating securities are defined as unvested share-based payment awards that contain nonforfeitable rights to dividends or dividend equivalents (whether paid or unpaid) and are included in the computation of EPS pursuant to the two-class method. Prior to January 1, 2010, under Alcoa’s stock-based compensation programs, certain employees were granted stock and performance awards, which entitle those employees to receive nonforfeitable dividends during the vesting period on a basis equivalent to the dividends paid to holders of Alcoa’s common stock. As such, these unvested stock and performance awards met the definition of a participating security. Under the two-class method, all earnings, whether distributed or undistributed, are allocated to each class of common stock and participating securities based on their respective rights to receive dividends. At December 31, 2013 and 2012, there were no outstanding participating securities, as all such securities have vested and were converted into shares of common stock. At December 31, 2011 there were 2 million participating securities outstanding. | |||||||||||||
Effective January 1, 2010, new grants of stock and performance awards do not contain a nonforfeitable right to dividends during the vesting period. As a result, an employee will forfeit the right to dividends accrued on unvested awards if that person does not fulfill their service requirement during the vesting period. As such, these awards are not treated as participating securities in the EPS calculation as the employees do not have equivalent dividend rights as common shareholders. These awards are included in the EPS calculation utilizing the treasury stock method similar to stock options. At December 31, 2013, 2012, and 2011, there were 16 million, 12 million, and 8 million such awards outstanding, respectively. | |||||||||||||
In 2013, basic average shares outstanding and diluted average shares outstanding were the same because the effect of potential shares of common stock was anti-dilutive since Alcoa generated a loss from continuing operations. As a result, 89 million share equivalents related to convertible notes, 16 million stock awards, and 12 million stock options were not included in the computation of diluted EPS. Had Alcoa generated sufficient income from continuing operations in 2013, 89 million, 9 million, and 2 million potential shares of common stock related to the convertible notes, stock awards, and stock options, respectively, would have been included in diluted average shares outstanding. | |||||||||||||
In 2012, 89 million share equivalents related to convertible notes were not included in the computation of diluted EPS because their effect was anti-dilutive. | |||||||||||||
Options to purchase 12 million, 27 million, and 27 million shares of common stock at a weighted average exercise price of $15.81, $15.41, and $24.00 per share were outstanding as of December 31, 2013, 2012, and 2011, respectively, but were not included in the computation of diluted EPS because they were anti-dilutive, as the exercise prices of the options were greater than the average market price of Alcoa’s common stock. |
Income_Taxes
Income Taxes | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||
Income Tax Disclosure [Abstract] | ' | ||||||||||||||||||||
Income Taxes | ' | ||||||||||||||||||||
T. Income Taxes | |||||||||||||||||||||
The components of (loss) income from continuing operations before income taxes were as follows: | |||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||
U.S. | $ | (1,269 | ) | $ | 394 | $ | (98 | ) | |||||||||||||
Foreign | (547 | ) | (70 | ) | 1,161 | ||||||||||||||||
$ | (1,816 | ) | $ | 324 | $ | 1,063 | |||||||||||||||
The provision for income taxes on income from continuing operations consisted of the following: | |||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||
Current: | |||||||||||||||||||||
Federal* | $ | 14 | $ | 85 | $ | 10 | |||||||||||||||
Foreign | 235 | 167 | 427 | ||||||||||||||||||
State and local | 1 | 9 | (1 | ) | |||||||||||||||||
250 | 261 | 436 | |||||||||||||||||||
Deferred: | |||||||||||||||||||||
Federal* | 84 | 129 | 28 | ||||||||||||||||||
Foreign | 95 | (227 | ) | (211 | ) | ||||||||||||||||
State and local | (1 | ) | (1 | ) | 2 | ||||||||||||||||
178 | (99 | ) | (181 | ) | |||||||||||||||||
Total | $ | 428 | $ | 162 | $ | 255 | |||||||||||||||
* | Includes U.S. taxes related to foreign income | ||||||||||||||||||||
Included in discontinued operations is a tax benefit of $1 in 2011. | |||||||||||||||||||||
The exercise of employee stock options generated a tax charge of $1 in both 2013 and 2012 and a tax benefit of $6 in 2011, representing only the difference between compensation expense recognized for financial reporting and tax purposes. These amounts decreased or increased equity and increased or reduced either current taxes payable or deferred tax assets (not operating losses) in the respective periods. | |||||||||||||||||||||
Alcoa has unamortized tax-deductible goodwill of $35 resulting from intercompany stock sales and reorganizations. Alcoa recognizes the tax benefits (generally at a 30% rate) associated with this tax-deductible goodwill as it is being amortized for local income tax purposes rather than in the period in which the transaction is consummated. | |||||||||||||||||||||
A reconciliation of the U.S. federal statutory rate to Alcoa’s effective tax rate for continuing operations was as follows (the effective tax rate for 2013 was a provision on a loss and for both 2012 and 2011 was a provision on income): | |||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||
U.S. federal statutory rate | 35 | % | 35 | % | 35 | % | |||||||||||||||
Taxes on foreign operations | (0.3 | ) | (0.1 | ) | (11.0 | ) | |||||||||||||||
Permanent differences on restructuring and other charges and asset disposals | (0.8 | ) | 10.8 | - | |||||||||||||||||
Audit and other adjustments to prior years’ accruals | (0.9 | ) | 3.5 | (1.1 | ) | ||||||||||||||||
Noncontrolling interests | (3.1 | ) | 3.8 | 0.8 | |||||||||||||||||
Statutory tax rate and law changes | 0.6 | (0.4 | ) | 0.8 | |||||||||||||||||
Changes in valuation allowances | (23.2 | ) | 15.2 | 2.3 | |||||||||||||||||
Impairment of goodwill | (33.3 | ) | - | - | |||||||||||||||||
Amortization of goodwill related to intercompany stock sales/reorganizations | 1.1 | (7.7 | ) | (2.8 | ) | ||||||||||||||||
Change in legal structure of investments | - | (4.1 | ) | - | |||||||||||||||||
Interest income related to income tax positions | - | (1.3 | ) | (0.2 | ) | ||||||||||||||||
Company-owned life insurance/split-dollar net premiums | 1.1 | (3.9 | ) | (0.2 | ) | ||||||||||||||||
Other | 0.2 | (0.8 | ) | 0.4 | |||||||||||||||||
Effective tax rate | (23.6 | )% | 50 | % | 24 | % | |||||||||||||||
The components of net deferred tax assets and liabilities were as follows: | |||||||||||||||||||||
2013 | 2012 | ||||||||||||||||||||
December 31, | Deferred | Deferred | Deferred | Deferred | |||||||||||||||||
tax | tax | tax | tax | ||||||||||||||||||
assets | liabilities | assets | liabilities | ||||||||||||||||||
Depreciation | $ | 185 | $ | 1,150 | $ | 104 | $ | 1,015 | |||||||||||||
Employee benefits | 2,499 | 36 | 2,742 | 46 | |||||||||||||||||
Loss provisions | 437 | 14 | 368 | 17 | |||||||||||||||||
Deferred income/expense | 87 | 188 | 53 | 203 | |||||||||||||||||
Tax loss carryforwards | 2,229 | - | 2,186 | - | |||||||||||||||||
Tax credit carryforwards | 567 | - | 508 | - | |||||||||||||||||
Derivatives and hedging activities | 74 | 25 | 117 | 16 | |||||||||||||||||
Other | 310 | 261 | 324 | 297 | |||||||||||||||||
6,388 | 1,674 | 6,402 | 1,594 | ||||||||||||||||||
Valuation allowance | (1,804 | ) | - | (1,400 | ) | - | |||||||||||||||
$ | 4,584 | $ | 1,674 | $ | 5,002 | $ | 1,594 | ||||||||||||||
The following table details the expiration periods of the deferred tax assets presented above: | |||||||||||||||||||||
December 31, 2013 | Expires | Expires | No | Other* | Total | ||||||||||||||||
within | within | expiration* | |||||||||||||||||||
10 years | 11-20 years | ||||||||||||||||||||
Tax loss carryforwards | $ | 377 | $ | 898 | $ | 954 | $ | - | $ | 2,229 | |||||||||||
Tax credit carryforwards | 417 | 75 | 75 | - | 567 | ||||||||||||||||
Other | - | - | 498 | 3,094 | 3,592 | ||||||||||||||||
Valuation allowance | (412 | ) | (843 | ) | (268 | ) | (281 | ) | (1,804 | ) | |||||||||||
$ | 382 | $ | 130 | $ | 1,259 | $ | 2,813 | $ | 4,584 | ||||||||||||
* | Deferred tax assets with no expiration may still have annual limitations on utilization. Other represents deferred tax assets whose expiration is dependent upon the reversal of the underlying temporary difference. A substantial amount of Other relates to employee benefits that will become deductible for tax purposes over an extended period of time as contributions are made to employee benefit plans and payments are made to retirees. | ||||||||||||||||||||
The total deferred tax asset (net of valuation allowance) is supported by taxable temporary differences that reverse within the carryforward period (approximately 30%), tax planning strategies (approximately 5%), and projections of future taxable income exclusive of reversing temporary differences (approximately 65%). | |||||||||||||||||||||
Valuation allowances are recorded to reduce deferred tax assets when it is more likely than not (greater than 50%) that a tax benefit will not be realized. In evaluating the need for a valuation allowance, management considers all potential sources of taxable income, including income available in carryback periods, future reversals of taxable temporary differences, projections of taxable income, and income from tax planning strategies, as well as all available positive and negative evidence. Positive evidence includes factors such as a history of profitable operations, projections of future profitability within the carryforward period, including from tax planning strategies, and the Alcoa’s experience with similar operations. Existing favorable contracts and the ability to sell products into established markets are additional positive evidence. Negative evidence includes items such as cumulative losses, projections of future losses, or carryforward periods that are not long enough to allow for the utilization of a deferred tax asset based on existing projections of income. In certain jurisdictions, deferred tax assets related to cumulative losses exist without a valuation allowance where in management’s judgment the weight of the positive evidence more than offsets the negative evidence of the cumulative losses. Upon changes in facts and circumstances, management may conclude that deferred tax assets for which no valuation allowance is currently recorded may not be realized, resulting in a future charge to establish a valuation allowance. Existing valuation allowances are re-examined under the same standards of positive and negative evidence. If it is determined that it is more likely than not that a deferred tax asset will be realized, the appropriate amount of the valuation allowance, if any, is released. Deferred tax assets and liabilities are also re-measured to reflect changes in underlying tax rates due to law changes and the granting and lapse of tax holidays. | |||||||||||||||||||||
In 2013, Alcoa recognized a $372 discrete income tax charge for valuation allowances on certain deferred tax assets in Spain and the U.S. Of this amount, a $237 valuation allowance was established on the full value of the deferred tax assets related to a Spanish consolidated tax group. As of December 31, 2013, these deferred tax assets have an expiration period ranging from 2014 to 2030. After weighing all available positive and negative evidence, as described above, management determined that it was no longer more likely than not that Alcoa will realize the tax benefit of these deferred tax assets. This was mainly driven by a decline in the outlook of the Primary Metals business (2013 realized prices were the lowest since 2009) combined with prior year cumulative losses of the Spanish consolidated tax group. The need for this valuation allowance will be assessed on a continuous basis in future periods and, as a result, a portion or all of the allowance may be reversed based on changes in facts and circumstances. | |||||||||||||||||||||
The remaining $135 relates to a valuation allowance established on a portion of available foreign tax credits in the U.S. These credits can be carried forward for 10 years, and, as of December 31, 2013, have an expiration period ranging from 2016 to 2023. After weighing all available positive and negative evidence, as described above, management determined that it was no longer more likely than not that Alcoa will realize the full tax benefit of these foreign tax credits. This was primarily due to lower foreign sourced taxable income after consideration of tax planning strategies and after the inclusion of earnings from foreign subsidiaries projected to be distributable as taxable foreign dividends. Similar to the outlook related to Spain above, lower levels of both distributable future foreign earnings and projected foreign sourced taxable income are principally attributable to a decline in the outlook of the Primary Metals business. The need for this valuation allowance will be assessed on a continuous basis in future periods and, as a result, an increase or decrease to this allowance may result based on changes in facts and circumstances. | |||||||||||||||||||||
In December 2011, one of the Company’s subsidiaries in Brazil applied for a tax holiday related to its expanded mining and refining operations. During 2013, the application was amended and re-filed and, separately, a similar application was filed for another one of the Company’s subsidiaries in Brazil. If approved, the tax rate for these subsidiaries will decrease significantly, resulting in future cash tax savings over the 10-year holiday period (would be retroactively effective as of January 1, 2013). Additionally, the net deferred tax asset of one of the subsidiaries would be remeasured at the lower rate in the period the holiday is approved (the net deferred tax asset of the other subsidiary would not be remeasured since it could still be utilized against future earnings of the subsidiary not subject to the tax holiday). This remeasurement would result in a decrease to that subsidiary’s net deferred tax asset and a noncash charge to earnings of approximately $50. As of December 31, 2013, Alcoa’s subsidiaries’ applications are still pending. | |||||||||||||||||||||
The following table details the changes in the valuation allowance: | |||||||||||||||||||||
December 31, | 2013 | 2012 | 2011 | ||||||||||||||||||
Balance at beginning of year | $ | 1,400 | $ | 1,398 | $ | 1,268 | |||||||||||||||
Increase to allowance | 471 | 45 | 157 | ||||||||||||||||||
Release of allowance | (41 | ) | (31 | ) | (31 | ) | |||||||||||||||
U.S. state tax apportionment and tax rate changes | (32 | ) | (17 | ) | 6 | ||||||||||||||||
Foreign currency translation | 6 | 5 | (2 | ) | |||||||||||||||||
Balance at end of year | $ | 1,804 | $ | 1,400 | $ | 1,398 | |||||||||||||||
The cumulative amount of Alcoa’s foreign undistributed net earnings for which no deferred taxes have been provided was approximately $5,200 at December 31, 2013. Alcoa has a number of commitments and obligations related to the Company’s growth strategy in foreign jurisdictions. As such, management has no plans to distribute such earnings in the foreseeable future, and, therefore, has determined it is not practicable to determine the related deferred tax liability. | |||||||||||||||||||||
Alcoa and its subsidiaries file income tax returns in the U.S. federal jurisdiction and various states and foreign jurisdictions. With a few minor exceptions, Alcoa is no longer subject to income tax examinations by tax authorities for years prior to 2004. All U.S. tax years prior to 2013 have been audited by the Internal Revenue Service. Various state and foreign jurisdiction tax authorities are in the process of examining Alcoa’s income tax returns for various tax years through 2012. | |||||||||||||||||||||
A reconciliation of the beginning and ending amount of unrecognized tax benefits (excluding interest and penalties) was as follows: | |||||||||||||||||||||
December 31, | 2013 | 2012 | 2011 | ||||||||||||||||||
Balance at beginning of year | $ | 66 | $ | 51 | $ | 46 | |||||||||||||||
Additions for tax positions of the current year | 2 | - | - | ||||||||||||||||||
Additions for tax positions of prior years | 11 | 39 | 13 | ||||||||||||||||||
Reductions for tax positions of prior years | (2 | ) | (7 | ) | (3 | ) | |||||||||||||||
Settlements with tax authorities | (8 | ) | (18 | ) | (4 | ) | |||||||||||||||
Expiration of the statute of limitations | (2 | ) | - | - | |||||||||||||||||
Foreign currency translation | (4 | ) | 1 | (1 | ) | ||||||||||||||||
Balance at end of year | $ | 63 | $ | 66 | $ | 51 | |||||||||||||||
For all periods presented, a portion of the balance at end of year pertains to state tax liabilities, which are presented before any offset for federal tax benefits. The effect of unrecognized tax benefits, if recorded, that would impact the annual effective tax rate for 2013, 2012, and 2011 would be approximately (1)%, 6%, and 2%, respectively, of pretax book (loss) income. Alcoa does not anticipate that changes in its unrecognized tax benefits will have a material impact on the Statement of Consolidated Operations during 2014 (see Other Matters in Note N for a matter for which no reserve has been recognized). | |||||||||||||||||||||
It is Alcoa’s policy to recognize interest and penalties related to income taxes as a component of the Provision for income taxes on the accompanying Statement of Consolidated Operations. In 2013, 2012, and 2011, Alcoa recognized $2, $3, and $2, respectively, in interest and penalties. Due to the expiration of the statute of limitations, settlements with tax authorities, and refunded overpayments, Alcoa also recognized interest income of $12, $7, and $2 in 2013, 2012, and 2011, respectively. As of December 31, 2013 and 2012, the amount accrued for the payment of interest and penalties was $11 and $15, respectively. |
Receivables
Receivables | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||
Transfers And Servicing [Abstract] | ' | ||||||||||||||||||||||||
Receivables | ' | ||||||||||||||||||||||||
U. Receivables | |||||||||||||||||||||||||
Sale of Receivables Programs | |||||||||||||||||||||||||
In March 2012, Alcoa entered into an arrangement with a financial institution to sell certain customer receivables without recourse on a revolving basis. The sale of such receivables is completed through the use of a bankruptcy remote special purpose entity, which is a consolidated subsidiary of Alcoa. This arrangement originally provided for minimum funding of $50 up to a maximum of $250 for receivables sold. In May 2013, the arrangement was amended to increase the maximum funding to $500 and include two additional financial institutions. On March 30, 2012, Alcoa initially sold $304 of customer receivables in exchange for $50 in cash and $254 of deferred purchase price under this arrangement. Alcoa received additional net cash funding of $5 ($388 in draws and $383 in repayments) and $155 ($160 in draws and $5 in repayments) in 2013 and 2012, respectively. As of December 31, 2013 and 2012, the deferred purchase price receivable was $248 and $18, respectively, which was included in Other receivables on the accompanying Consolidated Balance Sheet. The deferred purchase price receivable is reduced as collections of the underlying receivables occur; however, as this is a revolving program, the sale of new receivables will result in an increase in the deferred purchase price receivable. The net change in the deferred purchase price receivable was reflected in the (Increase) decrease in receivables line item on the accompanying Statement of Consolidated Cash Flows. This activity is reflected as an operating cash flow because the related customer receivables are the result of an operating activity with an insignificant, short-term interest rate risk. In 2013 and 2012, the gross cash outflows and inflows associated with the deferred purchase price receivable were $6,985 and $6,755, respectively, and $3,339 and $3,321, respectively. The gross amount of receivables sold and total cash collected under this program since its inception was $10,324 and $9,866, respectively. Alcoa services the customer receivables for the financial institutions at market rates; therefore, no servicing asset or liability was recorded. | |||||||||||||||||||||||||
Alcoa had three other arrangements, each with a different financial institution, to sell certain customer receivables outright without recourse on a continuous basis. On March 22, 2013, Alcoa terminated these arrangements. All receivables sold under these arrangements were collected as of March 31, 2013. Alcoa serviced the customer receivables for the financial institutions at market rates; therefore, no servicing asset or liability was recorded. | |||||||||||||||||||||||||
Allowance for Doubtful Accounts | |||||||||||||||||||||||||
The following table details the changes in the allowance for doubtful accounts related to customer receivables and other receivables: | |||||||||||||||||||||||||
Customer receivables | Other receivables | ||||||||||||||||||||||||
December 31, | 2013 | 2012 | 2011 | 2013 | 2012 | 2011 | |||||||||||||||||||
Balance at beginning of year | $ | 39 | $ | 46 | $ | 46 | $ | 74 | $ | 79 | $ | 87 | |||||||||||||
Provision for doubtful accounts | 3 | 2 | 19 | 29 | 9 | 7 | |||||||||||||||||||
Write off of uncollectible accounts | (19 | ) | (8 | ) | (14 | ) | (39 | ) | (3 | ) | (3 | ) | |||||||||||||
Recoveries of prior write-offs | (3 | ) | (1 | ) | (3 | ) | (10 | ) | (6 | ) | (5 | ) | |||||||||||||
Other | - | - | (2 | ) | (7 | ) | (5 | ) | (7 | ) | |||||||||||||||
Balance at end of year | $ | 20 | $ | 39 | $ | 46 | $ | 47 | $ | 74 | $ | 79 |
Interest_Cost_Components
Interest Cost Components | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Text Block [Abstract] | ' | ||||||||||||
Interest Cost Components | ' | ||||||||||||
V. Interest Cost Components | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
Amount charged to expense | $ | 453 | $ | 490 | $ | 524 | |||||||
Amount capitalized | 99 | 93 | 101 | ||||||||||
$ | 552 | $ | 583 | $ | 625 |
Pension_and_Other_Postretireme
Pension and Other Postretirement Benefits | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||
Compensation And Retirement Disclosure [Abstract] | ' | ||||||||||||||||||||||||
Pension and Other Postretirement Benefits | ' | ||||||||||||||||||||||||
W. Pension and Other Postretirement Benefits | |||||||||||||||||||||||||
Alcoa maintains pension plans covering most U.S. employees and certain employees in foreign locations. Pension benefits generally depend on length of service, job grade, and remuneration. Substantially all benefits are paid through pension trusts that are sufficiently funded to ensure that all plans can pay benefits to retirees as they become due. Most salaried and non-bargaining hourly U.S. employees hired after March 1, 2006 participate in a defined contribution plan instead of a defined benefit plan. | |||||||||||||||||||||||||
Alcoa also maintains health care and life insurance benefit plans covering eligible U.S. retired employees and certain retirees from foreign locations. Generally, the medical plans pay a percentage of medical expenses, reduced by deductibles and other coverages. These plans are generally unfunded, except for certain benefits funded through a trust. Life benefits are generally provided by insurance contracts. Alcoa retains the right, subject to existing agreements, to change or eliminate these benefits. All salaried and certain non-bargaining hourly U.S. employees hired after January 1, 2002 and certain bargaining hourly U.S. employees hired after July 1, 2010 are not eligible for postretirement health care benefits. All salaried and certain hourly U.S. employees that retire on or after April 1, 2008 are not eligible for postretirement life insurance benefits. | |||||||||||||||||||||||||
The funded status of all of Alcoa’s pension and other postretirement benefit plans are measured as of December 31 each calendar year. | |||||||||||||||||||||||||
Obligations and Funded Status | |||||||||||||||||||||||||
Pension benefits | Other | ||||||||||||||||||||||||
postretirement benefits | |||||||||||||||||||||||||
December 31, | 2013 | 2012 | 2013 | 2012 | |||||||||||||||||||||
Change in benefit obligation | |||||||||||||||||||||||||
Benefit obligation at beginning of year | $ | 14,751 | $ | 13,526 | $ | 2,863 | $ | 2,844 | |||||||||||||||||
Service cost | 213 | 203 | 17 | 14 | |||||||||||||||||||||
Interest cost | 611 | 647 | 114 | 132 | |||||||||||||||||||||
Amendments | 82 | 6 | - | - | |||||||||||||||||||||
Actuarial (gains) losses | (849 | ) | 1,120 | (170 | ) | 107 | |||||||||||||||||||
Settlements | (13 | ) | - | - | - | ||||||||||||||||||||
Benefits paid, net of participants’ contributions | (841 | ) | (833 | ) | (249 | ) | (256 | ) | |||||||||||||||||
Medicare Part D subsidy receipts | - | - | 20 | 21 | |||||||||||||||||||||
Foreign currency translation impact | (224 | ) | 82 | (3 | ) | 1 | |||||||||||||||||||
Benefit obligation at end of year* | $ | 13,730 | $ | 14,751 | $ | 2,592 | $ | 2,863 | |||||||||||||||||
Change in plan assets | |||||||||||||||||||||||||
Fair value of plan assets at beginning of year | $ | 11,043 | $ | 10,311 | $ | - | $ | 8 | |||||||||||||||||
Actual return on plan assets | 109 | 925 | - | - | |||||||||||||||||||||
Employer contributions | 473 | 571 | - | - | |||||||||||||||||||||
Participants’ contributions | 27 | 32 | - | - | |||||||||||||||||||||
Benefits paid | (825 | ) | (822 | ) | - | (8 | ) | ||||||||||||||||||
Administrative expenses | (40 | ) | (42 | ) | - | - | |||||||||||||||||||
Settlements | (17 | ) | - | - | - | ||||||||||||||||||||
Foreign currency translation impact | (190 | ) | 68 | - | - | ||||||||||||||||||||
Fair value of plan assets at end of year* | $ | 10,580 | $ | 11,043 | $ | - | $ | - | |||||||||||||||||
Funded status* | $ | (3,150 | ) | $ | (3,708 | ) | $ | (2,592 | ) | $ | (2,863 | ) | |||||||||||||
Less: Amounts attributed to joint venture partners | (25 | ) | (40 | ) | (4 | ) | (4 | ) | |||||||||||||||||
Net funded status | $ | (3,125 | ) | $ | (3,668 | ) | $ | (2,588 | ) | $ | (2,859 | ) | |||||||||||||
Amounts recognized in the Consolidated Balance Sheet consist of: | |||||||||||||||||||||||||
Noncurrent assets | $ | 88 | $ | 86 | $ | - | $ | - | |||||||||||||||||
Current liabilities | (30 | ) | (32 | ) | (234 | ) | (256 | ) | |||||||||||||||||
Noncurrent liabilities | (3,183 | ) | (3,722 | ) | (2,354 | ) | (2,603 | ) | |||||||||||||||||
Net amount recognized | $ | (3,125 | ) | $ | (3,668 | ) | $ | (2,588 | ) | $ | (2,859 | ) | |||||||||||||
Amounts recognized in Accumulated Other Comprehensive Loss consist of: | |||||||||||||||||||||||||
Net actuarial loss | $ | 5,198 | $ | 5,880 | $ | 389 | $ | 593 | |||||||||||||||||
Prior service cost (benefit) | 94 | 119 | (57 | ) | (76 | ) | |||||||||||||||||||
Total, before tax effect | 5,292 | 5,999 | 332 | 517 | |||||||||||||||||||||
Less: Amounts attributed to joint venture partners | 38 | 54 | (1 | ) | (1 | ) | |||||||||||||||||||
Net amount recognized, before tax effect | $ | 5,254 | $ | 5,945 | $ | 333 | $ | 518 | |||||||||||||||||
Other Changes in Plan Assets and Benefit Obligations Recognized in Other Comprehensive Loss consist of: | |||||||||||||||||||||||||
Net actuarial (gain) loss | $ | (193 | ) | $ | 1,073 | $ | (169 | ) | $ | 107 | |||||||||||||||
Amortization of accumulated net actuarial loss | (489 | ) | (384 | ) | (35 | ) | (25 | ) | |||||||||||||||||
Prior service cost | - | 9 | - | - | |||||||||||||||||||||
Amortization of prior service (cost) benefit | (25 | ) | (19 | ) | 19 | 16 | |||||||||||||||||||
Total, before tax effect | (707 | ) | 679 | (185 | ) | 98 | |||||||||||||||||||
Less: Amounts attributed to joint venture partners | (16 | ) | 8 | - | - | ||||||||||||||||||||
Net amount recognized, before tax effect | $ | (691 | ) | $ | 671 | $ | (185 | ) | $ | 98 | |||||||||||||||
* | At December 31, 2013, the benefit obligation, fair value of plan assets, and funded status for U.S. pension plans were $10,643, $7,909, and $(2,734), respectively. At December 31, 2012, the benefit obligation, fair value of plan assets, and funded status for U.S. pension plans were $11,521, $8,437, and $(3,084), respectively. | ||||||||||||||||||||||||
Pension Plan Benefit Obligations | |||||||||||||||||||||||||
Pension benefits | |||||||||||||||||||||||||
2013 | 2012 | ||||||||||||||||||||||||
The projected benefit obligation and accumulated benefit obligation for all defined benefit pension plans was as follows: | |||||||||||||||||||||||||
Projected benefit obligation | $ | 13,730 | $ | 14,751 | |||||||||||||||||||||
Accumulated benefit obligation | 13,324 | 14,186 | |||||||||||||||||||||||
The aggregate projected benefit obligation and fair value of plan assets for pension plans with projected benefit obligations in excess of plan assets was as follows: | |||||||||||||||||||||||||
Projected benefit obligation | 12,180 | 13,973 | |||||||||||||||||||||||
Fair value of plan assets | 8,930 | 10,142 | |||||||||||||||||||||||
The aggregate accumulated benefit obligation and fair value of plan assets for pension plans with accumulated benefit obligations in excess of plan assets was as follows: | |||||||||||||||||||||||||
Accumulated benefit obligation | 11,776 | 13,421 | |||||||||||||||||||||||
Fair value of plan assets | 8,890 | 10,123 | |||||||||||||||||||||||
Components of Net Periodic Benefit Cost | |||||||||||||||||||||||||
Pension benefits(1) | Other postretirement benefits(2) | ||||||||||||||||||||||||
2013 | 2012 | 2011 | 2013 | 2012 | 2011 | ||||||||||||||||||||
Service cost | $ | 194 | $ | 186 | $ | 165 | $ | 17 | $ | 14 | $ | 17 | |||||||||||||
Interest cost | 602 | 639 | 678 | 114 | 131 | 158 | |||||||||||||||||||
Expected return on plan assets | (788 | ) | (808 | ) | (806 | ) | - | - | (2 | ) | |||||||||||||||
Recognized net actuarial loss | 489 | 384 | 247 | 35 | 25 | 26 | |||||||||||||||||||
Amortization of prior service cost (benefit) | 19 | 19 | 19 | (18 | ) | (16 | ) | (17 | ) | ||||||||||||||||
Settlements(3) | 9 | - | 2 | - | - | - | |||||||||||||||||||
Curtailments(4) | 6 | - | (9 | ) | - | - | - | ||||||||||||||||||
Special termination benefits(5) | 77 | - | - | - | - | - | |||||||||||||||||||
Net periodic benefit cost(6) | $ | 608 | $ | 420 | $ | 296 | $ | 148 | $ | 154 | $ | 182 | |||||||||||||
(1) | In 2013, 2012, and 2011, net periodic benefit cost for U.S pension plans was $391, $288, and $190, respectively. | ||||||||||||||||||||||||
(2) | In 2013, 2012, and 2011, net periodic benefit cost for other postretirement benefits reflects a reduction of $55, $64, and $43, respectively, related to the recognition of the federal subsidy awarded under Medicare Part D. | ||||||||||||||||||||||||
(3) | In all periods presented, settlements were due to the payment of significant lump sum benefits and/or purchases of annuity contracts. | ||||||||||||||||||||||||
(4) | In each period presented, curtailments were due to elimination of benefits or workforce reductions (see Note D). | ||||||||||||||||||||||||
(5) | In 2013, special termination benefits were due to workforce reductions (see Note D). | ||||||||||||||||||||||||
(6) | Amounts attributed to joint venture partners are not included. | ||||||||||||||||||||||||
Amounts Expected to be Recognized in Net Periodic Benefit Cost | |||||||||||||||||||||||||
Pension benefits | Other postretirement benefits | ||||||||||||||||||||||||
2014 | 2014 | ||||||||||||||||||||||||
Net actuarial loss recognition | $ | 384 | $ | 19 | |||||||||||||||||||||
Prior service cost (benefit) recognition | 15 | (18 | ) | ||||||||||||||||||||||
Assumptions | |||||||||||||||||||||||||
Weighted average assumptions used to determine benefit obligations for U.S. pension and other postretirement benefit plans were as follows (assumptions for non-U.S plans did not differ materially): | |||||||||||||||||||||||||
December 31, | 2013 | 2012 | |||||||||||||||||||||||
Discount rate | 4.8 | % | 4.15 | % | |||||||||||||||||||||
Rate of compensation increase | 3.5 | 3.5 | |||||||||||||||||||||||
The discount rate is determined using a Company-specific yield curve model (above-median) developed with the assistance of an external actuary. The cash flows of the plans’ projected benefit obligations are discounted using a single equivalent rate derived from yields on high quality corporate bonds, which represent a broad diversification of issuers in various sectors, including finance and banking, consumer products, transportation, insurance, and pharmaceutical, among others. The yield curve model parallels the plans’ projected cash flows, which have an average duration of 10 years, and the underlying cash flows of the bonds included in the model exceed the cash flows needed to satisfy the Company’s plans’ obligations multiple times. | |||||||||||||||||||||||||
The rate of compensation increase is based upon actual experience. For 2014, the rate of compensation increase will be 3.5%, which approximates the five-year average. | |||||||||||||||||||||||||
Weighted average assumptions used to determine net periodic benefit cost for U.S. pension and other postretirement benefit plans were as follows (assumptions for non-U.S plans did not differ materially): | |||||||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||||||
Discount rate* | 4.15 | % | 4.9 | % | 5.75 | % | |||||||||||||||||||
Expected long-term rate of return on plan assets | 8.5 | 8.5 | 8.5 | ||||||||||||||||||||||
Rate of compensation increase | 3.5 | 3.5 | 3.5 | ||||||||||||||||||||||
* | In all periods presented, the respective discount rates were used to determine net periodic benefit cost for most U.S. pension plans for the full annual period. However, the discount rates for a limited number of plans were updated during 2013 and 2011 to reflect the remeasurement of these plans due to new union labor agreements, settlements, and/or curtailments. The updated discount rates used were not significantly different from the discount rates presented. | ||||||||||||||||||||||||
The expected long-term rate of return on plan assets is generally applied to a five-year market-related value of plan assets (a four-year average or the fair value at the plan measurement date is used for certain non-U.S. plans). The process used by management to develop this assumption is one that relies on a combination of historical asset return information and forward-looking returns by asset class. As it relates to historical asset return information, management focuses on the annual, 10-year moving, and 20-year moving averages when developing this assumption. Management also incorporates expected future returns on current and planned asset allocations using information from various external investment managers and consultants, as well as management’s own judgment. | |||||||||||||||||||||||||
For 2013, 2012, and 2011, management used 8.50% as its expected long-term rate of return, which was based on the prevailing and planned strategic asset allocations, as well as estimates of future returns by asset class. This rate falls within the respective range of the 20-year moving average of actual performance and the expected future return developed by asset class. For 2014, management determined that 8.00% will be the expected long-term rate of return. The decrease of 50 basis points in the expected long-term rate of return is due to a combination of a decrease in the 20-year moving average of actual performance and lower future expected market returns. | |||||||||||||||||||||||||
Assumed health care cost trend rates for U.S. other postretirement benefit plans were as follows (assumptions for non-U.S plans did not differ materially): | |||||||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||||||
Health care cost trend rate assumed for next year | 5.5 | % | 6 | % | 6.5 | % | |||||||||||||||||||
Rate to which the cost trend rate gradually declines | 4.5 | % | 4.5 | % | 5 | % | |||||||||||||||||||
Year that the rate reaches the rate at which it is assumed to remain | 2017 | 2017 | 2016 | ||||||||||||||||||||||
The assumed health care cost trend rate is used to measure the expected cost of gross eligible charges covered by Alcoa’s other postretirement benefit plans. For 2014, a 5.5% trend rate will be used, reflecting management’s best estimate of the change in future health care costs covered by the plans. The plans’ actual annual health care cost trend experience over the past three years has ranged from (7.5)% to 3.5%. Management does not believe this three-year range is indicative of expected increases for future health care costs over the long-term. | |||||||||||||||||||||||||
Assumed health care cost trend rates have an effect on the amounts reported for the health care plan. A one-percentage point change in these assumed rates would have the following effects: | |||||||||||||||||||||||||
1% | 1% | ||||||||||||||||||||||||
increase | decrease | ||||||||||||||||||||||||
Effect on other postretirement benefit obligations | $ | 146 | $ | (130 | ) | ||||||||||||||||||||
Effect on total of service and interest cost components | 7 | (6 | ) | ||||||||||||||||||||||
Plan Assets | |||||||||||||||||||||||||
Alcoa’s pension plans’ investment policy and weighted average asset allocations at December 31, 2013 and 2012, by asset class, were as follows: | |||||||||||||||||||||||||
Plan assets | |||||||||||||||||||||||||
at | |||||||||||||||||||||||||
December 31, | |||||||||||||||||||||||||
Asset class | Policy range | 2013 | 2012 | ||||||||||||||||||||||
Equities | 20–55 | % | 37 | % | 33 | % | |||||||||||||||||||
Fixed income | 25–55 | % | 41 | 50 | |||||||||||||||||||||
Other investments | 15–35 | % | 22 | 17 | |||||||||||||||||||||
Total | 100 | % | 100 | % | |||||||||||||||||||||
The principal objectives underlying the investment of the pension plans’ assets are to ensure that Alcoa can properly fund benefit obligations as they become due under a broad range of potential economic and financial scenarios, maximize the long-term investment return with an acceptable level of risk based on such obligations, and broadly diversify investments across and within the capital markets to protect asset values against adverse movements. Specific objectives for long-term investment strategy include reducing the volatility of pension assets relative to pension liabilities and achieving risk factor diversification across the balance of the asset portfolio. A portion of the assets are matched to the interest rate profile of the benefit obligation through long duration fixed income investments and exposure to broad equity risk has been decreased and diversified through investments in discretionary and systematic macro hedge funds, long/short equity hedge funds, and global and emerging market equities. Investments are further diversified by strategy, asset class, geography, and sector to enhance returns and mitigate downside risk. A large number of external investment managers are used to gain broad exposure to the financial markets and to mitigate manager-concentration risk. | |||||||||||||||||||||||||
Investment practices comply with the requirements of the Employee Retirement Income Security Act of 1974 (ERISA) and other applicable laws and regulations. The use of derivative instruments is permitted where appropriate and necessary for achieving overall investment policy objectives. Currently, the use of derivative instruments is not significant when compared to the overall investment portfolio. | |||||||||||||||||||||||||
In the course of managing the pension plans’ assets, trustees of the plans may loan securities to brokers/dealers in exchange for a fee. The securities are subsequently returned to the plans in accordance with the brokerage agreement. In support of these transactions, the brokers/dealers provide collateral, which exceeds the value of the securities loaned (102%-105%). | |||||||||||||||||||||||||
The following section describes the valuation methodologies used by the trustees to measure the fair value of pension plan assets, including an indication of the level in the fair value hierarchy in which each type of asset is generally classified (see Derivatives in Note X for the definition of fair value and a description of the fair value hierarchy). | |||||||||||||||||||||||||
Equities. These securities consist of: (i) direct investments in the stock of publicly traded U.S. and non-U.S. companies and are valued based on the closing price reported in an active market on which the individual securities are traded (generally classified in Level 1); (ii) the plans’ share of commingled funds that are invested in the stock of publicly traded companies and are valued at the net asset value of shares held at December 31(included in Level 1 if quoted in an active market, otherwise these investments are included in Level 2); and (iii) direct investments in long/short equity hedge funds and private equity (limited partnerships and venture capital partnerships) and are valued by investment managers based on the most recent financial information available, which typically represents significant unobservable data (generally classified as Level 3). | |||||||||||||||||||||||||
Fixed income. These securities consist of: (i) U.S. government debt and are generally valued using quoted prices (included in Level 1); (ii) publicly traded U.S. and non-U.S. fixed interest obligations (principally corporate bonds and debentures) and are valued through consultation and evaluation with brokers in the institutional market using quoted prices and other observable market data (included in Level 2); (iii) cash and cash equivalents, which consist of government securities in commingled funds, and are generally valued using observable market data (included in Level 2); and (iv) commercial and residential mortgage-backed securities and are valued by investment managers based on the most recent financial information available, which typically represents significant unobservable data (generally classified as Level 3). | |||||||||||||||||||||||||
Other investments. These investments include, among others: (i) exchange traded funds, such as gold, and real estate investment trusts and are valued based on the closing price reported in an active market on which the investments are traded (included in Level 1); (ii) the plans’ share of commingled funds that are invested in real estate investment trusts and are valued at the net asset value of shares held at December 31 (generally included in Level 3, however, if fair value is able to be determined through the use of quoted market prices of similar assets or other observable market data, then the investments are classified in Level 2); and (iii) direct investments of discretionary and systematic macro hedge funds and private real estate (includes limited partnerships) and are valued by investment managers based on the most recent financial information available, which typically represents significant unobservable data (generally classified as Level 3, however, if fair value is able to be determined through the use of quoted market prices of similar assets or other observable market data, then the investments are classified in Level 2). | |||||||||||||||||||||||||
The fair value methods described above may not be indicative of net realizable value or reflective of future fair values. Additionally, while Alcoa believes the valuation methods used by the plans’ trustees are appropriate and consistent with other market participants, the use of different methodologies or assumptions to determine the fair value of certain financial instruments could result in a different fair value measurement at the reporting date. | |||||||||||||||||||||||||
The following table presents the fair value of pension plan assets classified under the appropriate level of the fair value hierarchy: | |||||||||||||||||||||||||
December 31, 2013 | Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||||||
Equities: | |||||||||||||||||||||||||
Equity securities | $ | 1,084 | $ | 1,360 | $ | 144 | $ | 2,588 | |||||||||||||||||
Long/short equity hedge funds | - | - | 744 | 744 | |||||||||||||||||||||
Private equity | - | - | 520 | 520 | |||||||||||||||||||||
$ | 1,084 | $ | 1,360 | $ | 1,408 | $ | 3,852 | ||||||||||||||||||
Fixed income: | |||||||||||||||||||||||||
Intermediate and long duration government/credit | $ | 2,251 | $ | 1,551 | $ | - | $ | 3,802 | |||||||||||||||||
Other | - | 469 | - | 469 | |||||||||||||||||||||
$ | 2,251 | $ | 2,020 | $ | - | $ | 4,271 | ||||||||||||||||||
Other investments: | |||||||||||||||||||||||||
Real estate | $ | 124 | $ | 18 | $ | 494 | $ | 636 | |||||||||||||||||
Discretionary and systematic macro hedge funds | - | - | 1,287 | 1,287 | |||||||||||||||||||||
Other | 143 | - | 232 | 375 | |||||||||||||||||||||
$ | 267 | $ | 18 | $ | 2,013 | $ | 2,298 | ||||||||||||||||||
Total* | $ | 3,602 | $ | 3,398 | $ | 3,421 | $ | 10,421 | |||||||||||||||||
December 31, 2012 | Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||||||
Equities | |||||||||||||||||||||||||
Equity securities | $ | 1,016 | $ | 1,196 | $ | 117 | $ | 2,329 | |||||||||||||||||
Long/short equity hedge funds | - | - | 756 | 756 | |||||||||||||||||||||
Private equity | - | - | 550 | 550 | |||||||||||||||||||||
$ | 1,016 | $ | 1,196 | $ | 1,423 | $ | 3,635 | ||||||||||||||||||
Fixed income: | |||||||||||||||||||||||||
Intermediate and long duration government/credit | $ | 1,169 | $ | 3,689 | $ | 215 | $ | 5,073 | |||||||||||||||||
Other | - | 507 | - | 507 | |||||||||||||||||||||
$ | 1,169 | $ | 4,196 | $ | 215 | $ | 5,580 | ||||||||||||||||||
Other investments: | |||||||||||||||||||||||||
Real estate | $ | 113 | $ | 22 | $ | 438 | $ | 573 | |||||||||||||||||
Discretionary macro hedge funds | - | - | 796 | 796 | |||||||||||||||||||||
Other | 212 | - | 247 | 459 | |||||||||||||||||||||
$ | 325 | $ | 22 | $ | 1,481 | $ | 1,828 | ||||||||||||||||||
Total | $ | 2,510 | $ | 5,414 | $ | 3,119 | $ | 11,043 | |||||||||||||||||
* | As of December 31, 2013, the total fair value of pension plans’ assets excludes a net receivable of $159, which represents securities sold not yet settled plus interest and dividends earned on various investments. | ||||||||||||||||||||||||
Pension plan assets classified as Level 3 in the fair value hierarchy represent investments in which the trustees have used significant unobservable inputs in the valuation model. The following table presents a reconciliation of activity for such investments: | |||||||||||||||||||||||||
2013 | 2012 | ||||||||||||||||||||||||
Balance at beginning of year | $ | 3,119 | $ | 2,816 | |||||||||||||||||||||
Realized gains | 140 | 56 | |||||||||||||||||||||||
Unrealized gains | 173 | 140 | |||||||||||||||||||||||
Purchases | 636 | 636 | |||||||||||||||||||||||
Sales | (626 | ) | (538 | ) | |||||||||||||||||||||
Issuances | - | - | |||||||||||||||||||||||
Settlements | - | - | |||||||||||||||||||||||
Foreign currency translation impact | (21 | ) | 9 | ||||||||||||||||||||||
Transfers in and/or out of Level 3* | - | - | |||||||||||||||||||||||
Balance at end of year | $ | 3,421 | $ | 3,119 | |||||||||||||||||||||
* | In 2013 and 2012, there were no transfers of financial instruments into or out of Level 3 | ||||||||||||||||||||||||
Funding and Cash Flows | |||||||||||||||||||||||||
It is Alcoa’s policy to fund amounts for pension plans sufficient to meet the minimum requirements set forth in applicable country benefits laws and tax laws, including the Pension Protection Act of 2006, the Worker, Retiree, and Employer Recovery Act of 2008, and the Moving Ahead for Progress in the 21st Century Act for U.S. plans. From time to time, Alcoa contributes additional amounts as deemed appropriate. In 2013 and 2012, cash contributions to Alcoa’s pension plans were $462 and $561. The minimum required contribution to pension plans in 2014 is estimated to be $625 (includes approximately $90 for employees affected by the shutdown of capacity at a smelter in Canada – see Note D), of which $435 is for U.S. plans. | |||||||||||||||||||||||||
Benefit payments expected to be paid to pension and other postretirement benefit plans’ participants and expected Medicare Part D subsidy receipts are as follows: | |||||||||||||||||||||||||
Year ended December 31, | Pension | Gross Other post- | Medicare Part D | Net Other post- | |||||||||||||||||||||
benefits | retirement | subsidy receipts | retirement | ||||||||||||||||||||||
benefits | benefits | ||||||||||||||||||||||||
2014 | $ | 880 | $ | 260 | $ | 25 | $ | 235 | |||||||||||||||||
2015 | 880 | 260 | 25 | 235 | |||||||||||||||||||||
2016 | 900 | 260 | 25 | 235 | |||||||||||||||||||||
2017 | 910 | 255 | 30 | 225 | |||||||||||||||||||||
2018 | 920 | 255 | 30 | 225 | |||||||||||||||||||||
2019 through 2023 | 4,680 | 1,195 | 145 | 1,050 | |||||||||||||||||||||
$ | 9,170 | $ | 2,485 | $ | 280 | $ | 2,205 | ||||||||||||||||||
Defined Contribution Plans | |||||||||||||||||||||||||
Alcoa sponsors savings and investment plans in several countries, including the U.S. and Australia. Expenses related to these plans were $149 in 2013, $146 in 2012, and $139 in 2011. In the U.S., employees may contribute a portion of their compensation to the plans, and Alcoa matches, mostly in company stock, a portion of these contributions. Effective January 1, 2014, Alcoa’s match will equal the employee’s investment elections instead of company stock. |
Derivatives_and_Other_Financia
Derivatives and Other Financial Instruments | 12 Months Ended | ||||||||||||||||||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||||||||||||||||||
Derivative Instruments And Hedging Activities Disclosure [Abstract] | ' | ||||||||||||||||||||||||||||||||||||||||
Derivatives and Other Financial Instruments | ' | ||||||||||||||||||||||||||||||||||||||||
X. Derivatives and Other Financial Instruments | |||||||||||||||||||||||||||||||||||||||||
Derivatives. Alcoa is exposed to certain risks relating to its ongoing business operations, including financial, market, political, and economic risks. The following discussion provides information regarding Alcoa’s exposure to the risks of changing commodity prices, interest rates, and foreign currency exchange rates. | |||||||||||||||||||||||||||||||||||||||||
Alcoa’s commodity and derivative activities are subject to the management, direction, and control of the Strategic Risk Management Committee (SRMC), which is composed of the chief executive officer, the chief financial officer, and other officers and employees that the chief executive officer selects. The SRMC meets on a periodic basis to review derivative positions and strategy and reports to Alcoa’s Board of Directors on the scope of its activities. | |||||||||||||||||||||||||||||||||||||||||
The aluminum, energy, interest rate, and foreign exchange contracts are held for purposes other than trading. They are used primarily to mitigate uncertainty and volatility, and to cover underlying exposures. Alcoa is not involved in trading activities for energy, weather derivatives, or other nonexchange commodity trading activities. | |||||||||||||||||||||||||||||||||||||||||
The fair values and corresponding classifications under the appropriate level of the fair value hierarchy of outstanding derivative contracts recorded as assets in the accompanying Consolidated Balance Sheet were as follows: | |||||||||||||||||||||||||||||||||||||||||
Asset Derivatives | Level | December 31, | December 31, | ||||||||||||||||||||||||||||||||||||||
2013 | 2012 | ||||||||||||||||||||||||||||||||||||||||
Derivatives designated as hedging instruments: | |||||||||||||||||||||||||||||||||||||||||
Prepaid expenses and other current assets: | |||||||||||||||||||||||||||||||||||||||||
Aluminum contracts | 1 | $ | 4 | $ | 23 | ||||||||||||||||||||||||||||||||||||
Aluminum contracts | 3 | 9 | 7 | ||||||||||||||||||||||||||||||||||||||
Foreign exchange contracts | 1 | 2 | - | ||||||||||||||||||||||||||||||||||||||
Interest rate contracts | 2 | 9 | 8 | ||||||||||||||||||||||||||||||||||||||
Other noncurrent assets: | |||||||||||||||||||||||||||||||||||||||||
Aluminum contracts | 1 | - | 3 | ||||||||||||||||||||||||||||||||||||||
Aluminum contracts | 3 | 16 | - | ||||||||||||||||||||||||||||||||||||||
Energy contracts | 3 | 6 | 3 | ||||||||||||||||||||||||||||||||||||||
Interest rate contracts | 2 | 23 | 37 | ||||||||||||||||||||||||||||||||||||||
Total derivatives designated as hedging instruments | $ | 69 | $ | 81 | |||||||||||||||||||||||||||||||||||||
Derivatives not designated as hedging instruments*: | |||||||||||||||||||||||||||||||||||||||||
Prepaid expenses and other current assets: | |||||||||||||||||||||||||||||||||||||||||
Aluminum contracts | 3 | $ | 149 | $ | 211 | ||||||||||||||||||||||||||||||||||||
Other noncurrent assets: | |||||||||||||||||||||||||||||||||||||||||
Aluminum contracts | 3 | 175 | 329 | ||||||||||||||||||||||||||||||||||||||
Foreign exchange contracts | 1 | - | 1 | ||||||||||||||||||||||||||||||||||||||
Total derivatives not designated as hedging instruments | $ | 324 | $ | 541 | |||||||||||||||||||||||||||||||||||||
Less margin held**: | |||||||||||||||||||||||||||||||||||||||||
Prepaid expenses and other current assets: | |||||||||||||||||||||||||||||||||||||||||
Aluminum contracts | 1 | $ | - | $ | 9 | ||||||||||||||||||||||||||||||||||||
Interest rate contracts | 2 | 3 | 8 | ||||||||||||||||||||||||||||||||||||||
Other noncurrent assets: | |||||||||||||||||||||||||||||||||||||||||
Interest rate contracts | 2 | - | 9 | ||||||||||||||||||||||||||||||||||||||
Sub-total | $ | 3 | $ | 26 | |||||||||||||||||||||||||||||||||||||
Total Asset Derivatives | $ | 390 | $ | 596 | |||||||||||||||||||||||||||||||||||||
* | See the “Other” section within Note X for additional information on Alcoa’s purpose for entering into derivatives not designated as hedging instruments and its overall risk management strategies. | ||||||||||||||||||||||||||||||||||||||||
** | All margin held is in the form of cash and is valued under a Level 1 technique. The levels that correspond to the margin held in the table above reference the level of the corresponding asset for which it is held. Alcoa elected to net the margin held against the fair value amounts recognized for derivative instruments executed with the same counterparties under master netting arrangements. | ||||||||||||||||||||||||||||||||||||||||
The fair values and corresponding classifications under the appropriate level of the fair value hierarchy of outstanding derivative contracts recorded as liabilities in the accompanying Consolidated Balance Sheet were as follows: | |||||||||||||||||||||||||||||||||||||||||
Liability Derivatives | Level | December 31, | December 31, | ||||||||||||||||||||||||||||||||||||||
2013 | 2012 | ||||||||||||||||||||||||||||||||||||||||
Derivatives designated as hedging instruments: | |||||||||||||||||||||||||||||||||||||||||
Other current liabilities: | |||||||||||||||||||||||||||||||||||||||||
Aluminum contracts | 1 | $ | 45 | $ | 13 | ||||||||||||||||||||||||||||||||||||
Aluminum contracts | 3 | 23 | 35 | ||||||||||||||||||||||||||||||||||||||
Other noncurrent liabilities and deferred credits: | |||||||||||||||||||||||||||||||||||||||||
Aluminum contracts | 1 | 14 | 1 | ||||||||||||||||||||||||||||||||||||||
Aluminum contracts | 3 | 387 | 573 | ||||||||||||||||||||||||||||||||||||||
Total derivatives designated as hedging instruments | $ | 469 | $ | 622 | |||||||||||||||||||||||||||||||||||||
Derivatives not designated as hedging instruments*: | |||||||||||||||||||||||||||||||||||||||||
Other current liabilities: | |||||||||||||||||||||||||||||||||||||||||
Aluminum contracts | 1 | $ | 4 | $ | 1 | ||||||||||||||||||||||||||||||||||||
Aluminum contracts | 2 | - | 21 | ||||||||||||||||||||||||||||||||||||||
Embedded credit derivative | 3 | 2 | 3 | ||||||||||||||||||||||||||||||||||||||
Foreign exchange contracts | 1 | 3 | - | ||||||||||||||||||||||||||||||||||||||
Other noncurrent liabilities and deferred credits: | |||||||||||||||||||||||||||||||||||||||||
Aluminum contracts | 2 | - | 5 | ||||||||||||||||||||||||||||||||||||||
Embedded credit derivative | 3 | 19 | 27 | ||||||||||||||||||||||||||||||||||||||
Total derivatives not designated as hedging instruments | $ | 28 | $ | 57 | |||||||||||||||||||||||||||||||||||||
Less margin posted**: | |||||||||||||||||||||||||||||||||||||||||
Other current liabilities: | |||||||||||||||||||||||||||||||||||||||||
Aluminum contracts | 1 | $ | 18 | $ | - | ||||||||||||||||||||||||||||||||||||
Total Liability Derivatives | $ | 479 | $ | 679 | |||||||||||||||||||||||||||||||||||||
* | See the “Other” section within Note X for additional information on Alcoa’s purpose for entering into derivatives not designated as hedging instruments and its overall risk management strategies. | ||||||||||||||||||||||||||||||||||||||||
** | All margin posted is in the form of cash and is valued under a Level 1 technique. The levels that correspond to the margin posted in the table above reference the level of the corresponding liability for which it is posted. Alcoa elected to net the margin posted against the fair value amounts recognized for derivative instruments executed with the same counterparties under master netting arrangements. | ||||||||||||||||||||||||||||||||||||||||
The gross amounts of recognized derivative assets and liabilities and gross amounts offset in the accompanying Consolidated Balance Sheet were as follows: | |||||||||||||||||||||||||||||||||||||||||
Assets | Liabilities | ||||||||||||||||||||||||||||||||||||||||
December 31, | December 31, | December 31, | December 31, | ||||||||||||||||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||||||||||||||||||||||||||
Gross amounts recognized: | |||||||||||||||||||||||||||||||||||||||||
Aluminum contracts | $ | 40 | $ | 72 | $ | 81 | $ | 69 | |||||||||||||||||||||||||||||||||
Interest rate contracts | 32 | 45 | 3 | 17 | |||||||||||||||||||||||||||||||||||||
$ | 72 | $ | 117 | $ | 84 | $ | 86 | ||||||||||||||||||||||||||||||||||
Gross amounts offset: | |||||||||||||||||||||||||||||||||||||||||
Aluminum contracts* | $ | (36 | ) | $ | (55 | ) | $ | (36 | ) | $ | (55 | ) | |||||||||||||||||||||||||||||
Interest rate contracts** | (3 | ) | (17 | ) | (3 | ) | (17 | ) | |||||||||||||||||||||||||||||||||
$ | (39 | ) | $ | (72 | ) | $ | (39 | ) | $ | (72 | ) | ||||||||||||||||||||||||||||||
Net amounts presented in the Consolidated Balance Sheet: | |||||||||||||||||||||||||||||||||||||||||
Aluminum contracts | $ | 4 | $ | 17 | $ | 45 | $ | 14 | |||||||||||||||||||||||||||||||||
Interest rate contracts | 29 | 28 | - | - | |||||||||||||||||||||||||||||||||||||
$ | 33 | $ | 45 | $ | 45 | $ | 14 | ||||||||||||||||||||||||||||||||||
* | The amounts under Assets and Liabilities as of December 31, 2013 include $18 of margin posted with counterparties. The amounts under Assets and Liabilities as of December 31, 2012 include $9 of margin held from counterparties. | ||||||||||||||||||||||||||||||||||||||||
** | The amounts under Assets and Liabilities as of December 31, 2013 and December 31, 2012 represent margin held from the counterparty. | ||||||||||||||||||||||||||||||||||||||||
The following table shows the net fair values of outstanding derivative contracts at December 31, 2013 and the effect on these amounts of a hypothetical change (increase or decrease of 10%) in the market prices or rates that existed at December 31, 2013: | |||||||||||||||||||||||||||||||||||||||||
Fair value | Index change | ||||||||||||||||||||||||||||||||||||||||
asset/(liability) | of + / - 10% | ||||||||||||||||||||||||||||||||||||||||
Aluminum contracts | $ | (102 | ) | $ | 47 | ||||||||||||||||||||||||||||||||||||
Embedded credit derivative | (21 | ) | 2 | ||||||||||||||||||||||||||||||||||||||
Energy contracts | 6 | 214 | |||||||||||||||||||||||||||||||||||||||
Foreign exchange contracts | (1 | ) | 14 | ||||||||||||||||||||||||||||||||||||||
Interest rate contracts | 29 | 1 | |||||||||||||||||||||||||||||||||||||||
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 (1) market participant assumptions developed based on market data obtained from independent sources (observable inputs) and (2) 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. | ||||||||||||||||||||||||||||||||||||||||
The following section describes the valuation methodologies used by Alcoa to measure derivative contracts at fair value, including an indication of the level in the fair value hierarchy in which each instrument is generally classified. Where appropriate, the description includes details of the valuation models, the key inputs to those models, and any significant assumptions. These valuation models are reviewed and tested at least on an annual basis. | |||||||||||||||||||||||||||||||||||||||||
Derivative contracts are valued using quoted market prices and significant other observable and unobservable inputs. Such financial instruments consist of aluminum, energy, interest rate, and foreign exchange contracts. The fair values for the majority of these derivative contracts are based upon current quoted market prices. These financial instruments are typically exchange-traded and are generally classified within Level 1 or Level 2 of the fair value hierarchy depending on whether the exchange is deemed to be an active market or not. | |||||||||||||||||||||||||||||||||||||||||
For certain derivative contracts whose fair values are based upon trades in liquid markets, such as interest rate swaps, valuation model inputs can generally be verified through over-the-counter markets and valuation techniques do not involve significant management judgment. The fair values of such financial instruments are generally classified within Level 2 of the fair value hierarchy. | |||||||||||||||||||||||||||||||||||||||||
Alcoa has other derivative contracts that do not have observable market quotes. For these financial instruments, management uses significant other observable inputs (e.g., information concerning time premiums and volatilities for certain option type embedded derivatives and regional premiums for aluminum contracts). For periods beyond the term of quoted market prices for aluminum, Alcoa uses a model that estimates the long-term price of aluminum by extrapolating the 10-year London Metal Exchange (LME) forward curve. For periods beyond the term of quoted market prices for energy, management has developed a forward curve based on independent consultant market research. Where appropriate, valuations are adjusted for various factors such as liquidity, bid/offer spreads, and credit considerations. Such adjustments are generally based on available market evidence (Level 2). In the absence of such evidence, management’s best estimate is used (Level 3). If a significant input that is unobservable in one period becomes observable in a subsequent period, the related asset or liability would be transferred to the appropriate level classification (1 or 2) in the period of such change. | |||||||||||||||||||||||||||||||||||||||||
The following table presents Alcoa’s derivative contract assets and liabilities that are measured and recognized at fair value on a recurring basis classified under the appropriate level of the fair value hierarchy (there were no transfers in or out of Levels 1 and 2 during the periods presented): | |||||||||||||||||||||||||||||||||||||||||
December 31, | 2013 | 2012 | |||||||||||||||||||||||||||||||||||||||
Assets: | |||||||||||||||||||||||||||||||||||||||||
Level 1 | $ | 6 | $ | 27 | |||||||||||||||||||||||||||||||||||||
Level 2 | 32 | 45 | |||||||||||||||||||||||||||||||||||||||
Level 3 | 355 | 550 | |||||||||||||||||||||||||||||||||||||||
Margin held | (3 | ) | (26 | ) | |||||||||||||||||||||||||||||||||||||
Total | $ | 390 | $ | 596 | |||||||||||||||||||||||||||||||||||||
Liabilities: | |||||||||||||||||||||||||||||||||||||||||
Level 1 | $ | 66 | $ | 15 | |||||||||||||||||||||||||||||||||||||
Level 2 | - | 26 | |||||||||||||||||||||||||||||||||||||||
Level 3 | 431 | 638 | |||||||||||||||||||||||||||||||||||||||
Margin posted | (18 | ) | - | ||||||||||||||||||||||||||||||||||||||
Total | $ | 479 | $ | 679 | |||||||||||||||||||||||||||||||||||||
Financial instruments classified as Level 3 in the fair value hierarchy represent derivative contracts in which management has used at least one significant unobservable input in the valuation model. The following tables present a reconciliation of activity for such derivative contracts: | |||||||||||||||||||||||||||||||||||||||||
Assets | Liabilities | ||||||||||||||||||||||||||||||||||||||||
2013 | Aluminum | Energy | Aluminum | Embedded | |||||||||||||||||||||||||||||||||||||
contracts | contracts | contracts | credit | ||||||||||||||||||||||||||||||||||||||
derivative | |||||||||||||||||||||||||||||||||||||||||
Opening balance—January 1, 2013 | $ | 547 | $ | 3 | $ | 608 | $ | 30 | |||||||||||||||||||||||||||||||||
Total gains or losses (realized and unrealized) included in: | |||||||||||||||||||||||||||||||||||||||||
Sales | (5 | ) | - | (24 | ) | - | |||||||||||||||||||||||||||||||||||
Cost of goods sold | (202 | ) | - | - | (1 | ) | |||||||||||||||||||||||||||||||||||
Other income, net | 28 | - | - | (8 | ) | ||||||||||||||||||||||||||||||||||||
Other comprehensive loss | 22 | 3 | (174 | ) | - | ||||||||||||||||||||||||||||||||||||
Purchases, sales, issuances, and settlements* | - | - | - | - | |||||||||||||||||||||||||||||||||||||
Transfers into and/or out of Level 3* | - | - | - | - | |||||||||||||||||||||||||||||||||||||
Foreign currency translation | (41 | ) | - | - | - | ||||||||||||||||||||||||||||||||||||
Closing balance—December 31, 2013 | $ | 349 | $ | 6 | $ | 410 | $ | 21 | |||||||||||||||||||||||||||||||||
Change in unrealized gains or losses included in earnings for derivative contracts held at December 31, 2013: | |||||||||||||||||||||||||||||||||||||||||
Sales | $ | - | $ | - | $ | - | $ | - | |||||||||||||||||||||||||||||||||
Cost of goods sold | - | - | - | - | |||||||||||||||||||||||||||||||||||||
Other income, net | 28 | - | - | (8 | ) | ||||||||||||||||||||||||||||||||||||
* | In 2013, there were no purchases, sales, issuances or settlements of Level 3 financial instruments. Additionally, there were no transfers of financial instruments into or out of Level 3. | ||||||||||||||||||||||||||||||||||||||||
Assets | Liabilities | ||||||||||||||||||||||||||||||||||||||||
2012 | Aluminum | Energy | Aluminum | Embedded | |||||||||||||||||||||||||||||||||||||
contracts | contracts | contracts | credit | ||||||||||||||||||||||||||||||||||||||
derivative | |||||||||||||||||||||||||||||||||||||||||
Opening balance—January 1, 2012 | $ | 10 | $ | 2 | $ | 602 | $ | 28 | |||||||||||||||||||||||||||||||||
Total gains or losses (realized and unrealized) included in: | |||||||||||||||||||||||||||||||||||||||||
Sales | (8 | ) | - | (33 | ) | - | |||||||||||||||||||||||||||||||||||
Cost of goods sold | (107 | ) | - | - | (1 | ) | |||||||||||||||||||||||||||||||||||
Other income, net | 16 | - | - | 3 | |||||||||||||||||||||||||||||||||||||
Other comprehensive loss | 10 | 1 | 39 | - | |||||||||||||||||||||||||||||||||||||
Purchases, sales, issuances, and settlements* | 596 | - | - | - | |||||||||||||||||||||||||||||||||||||
Transfers into and/or out of Level 3* | - | - | - | - | |||||||||||||||||||||||||||||||||||||
Foreign currency translation | 30 | - | - | - | |||||||||||||||||||||||||||||||||||||
Closing balance—December 31, 2012 | $ | 547 | $ | 3 | $ | 608 | $ | 30 | |||||||||||||||||||||||||||||||||
Change in unrealized gains or losses included in earnings for derivative contracts held at December 31, 2012: | |||||||||||||||||||||||||||||||||||||||||
Sales | $ | - | $ | - | $ | - | $ | - | |||||||||||||||||||||||||||||||||
Cost of goods sold | - | - | - | - | |||||||||||||||||||||||||||||||||||||
Other income, net | 16 | - | - | 3 | |||||||||||||||||||||||||||||||||||||
* | In July 2012, two embedded derivatives contained within existing power contracts became subject to derivative accounting under GAAP (see below). The amount reflected in this table represents the initial fair value of these embedded derivatives and was classified as an issuance of Level 3 financial instruments. There were no purchases, sales or settlements of Level 3 financial instruments. Additionally, there were no transfers of financial instruments into or out of Level 3. | ||||||||||||||||||||||||||||||||||||||||
As reflected in the table above, the net unrealized loss on derivative contracts using Level 3 valuation techniques was $76 and $88 as of December 31, 2013 and 2012, respectively. The unrealized losses related to aluminum contracts recognized as liabilities were mainly attributed to embedded derivatives in power contracts that index the price of power to the LME price of aluminum. These embedded derivatives are primarily valued using observable market prices; however, due to the length of the contracts, the valuation model also requires management to estimate the long-term price of aluminum based upon an extrapolation of the 10-year LME forward curve. Significant increases or decreases in the actual LME price beyond 10 years would result in a higher or lower fair value measurement. An increase of actual LME price over the inputs used in the valuation model will result in a higher cost of power and a corresponding increase to the liability. The embedded derivatives have been designated as hedges of forward sales of aluminum and related realized gains and losses were included in Sales on the accompanying Statement of Consolidated Operations. | |||||||||||||||||||||||||||||||||||||||||
In July 2012, as provided for in the arrangements, management elected to modify the pricing for two existing power contracts, which end in 2014 and 2016 (see directly below), for Alcoa’s two smelters in Australia and the Point Henry rolling mill in Australia. These contracts contain an LME-linked embedded derivative, which previously was not recorded as an asset in Alcoa’s Consolidated Balance Sheet. Beginning on January 1, 2001, all derivative contracts were required to be measured and recorded at fair value on an entity’s balance sheet under GAAP; however, an exception existed for embedded derivatives upon meeting certain criteria. The LME-linked embedded derivative in these two contracts met such criteria at that time. Management’s election to modify the pricing of these contracts qualifies as a significant change to the contracts thereby requiring that the contracts now be evaluated under derivative accounting as if they were new contracts. As a result, Alcoa recorded a derivative asset in the amount of $596 with an offsetting liability (deferred credit) recorded in Other current and non-current liabilities. Unrealized gains and losses from the embedded derivative were included in Other income, net on the accompanying Statement of Consolidated Operations, while realized gains and losses were included in Cost of goods sold on the accompanying Statement of Consolidated Operations as electricity purchases are made under the contracts. The deferred credit is recognized in Other income, net on the accompanying Statement of Consolidated Operations as power is received over the life of the contracts. The embedded derivative is valued using the probability and interrelationship of future LME prices, Australian dollar to U.S. dollar exchange rates, and the U.S. consumer price index. Significant increases or decreases in the LME price would result in a higher or lower fair value measurement. An increase in actual LME price over the inputs used in the valuation model will result in a higher cost of power and a decrease to the embedded derivative asset. | |||||||||||||||||||||||||||||||||||||||||
Also, included within Level 3 measurements is a derivative contract that will hedge the anticipated power requirements at Alcoa’s Portland smelter in Australia once the existing contract expires in 2016. This derivative hedges forecasted power purchases through December 2036. Beyond the term where market information is available, management has developed a forward curve, for valuation purposes, based on independent consultant market research. The effective portion of gains and losses on this contract was recorded in Other comprehensive loss on the accompanying Consolidated Balance Sheet until the designated hedge period begins in 2016. Once the hedge period begins, realized gains and losses will be recorded in Cost of goods sold. Significant increases or decreases in the power market may result in a higher or lower fair value measurement. Higher prices in the power market would cause the derivative asset to increase in value. Alcoa had a similar contract for its Point Henry smelter in Australia once the existing contract expires in 2014, but elected to terminate the new contract in early 2013. This election was available to Alcoa under the terms of the contract and was made due to a projection that suggested the contract would be uneconomical. Prior to termination, the new contract was accounted for in the same manner as the contract for the Portland smelter. | |||||||||||||||||||||||||||||||||||||||||
Additionally, Alcoa has a six-year natural gas supply contract, which has an LME-linked ceiling. This contract is valued using probabilities of future LME aluminum prices and the price of Brent crude oil (priced on Platts), including the interrelationships between the two commodities subject to the ceiling. Any change in the interrelationship would result in a higher or lower fair value measurement. An LME ceiling was embedded into the contract price to protect against an increase in the price of oil without a corresponding increase in the price of LME. An increase in oil prices with no similar increase in the LME price would limit the increase of the price paid for natural gas. Unrealized gains and losses from this contract were included in Other income, net on the accompanying Statement of Consolidated Operations, while realized gains and losses will be included in Cost of goods sold on the accompanying Statement of Consolidated Operations as gas purchases are made under the contract. | |||||||||||||||||||||||||||||||||||||||||
Furthermore, an embedded derivative in a power contract that indexes the difference between the long-term debt ratings of Alcoa and the counterparty from any of the three major credit rating agencies is included in Level 3. Management uses market prices, historical relationships, and forecast services to determine fair value. Significant increases or decreases in any of these inputs would result in a lower or higher fair value measurement. A wider credit spread between Alcoa and the counterparty would result in an increase of the future liability and a higher cost of power. Realized gains and losses for this embedded derivative were included in Cost of goods sold on the accompanying Statement of Consolidated Operations and unrealized gains and losses were included in Other income, net on the accompanying Statement of Consolidated Operations. | |||||||||||||||||||||||||||||||||||||||||
The following table presents quantitative information for Level 3 derivative contracts: | |||||||||||||||||||||||||||||||||||||||||
Fair value at | Valuation | Unobservable | Range | ||||||||||||||||||||||||||||||||||||||
December 31, 2013 | technique | input | ($ in full amounts) | ||||||||||||||||||||||||||||||||||||||
Assets: | |||||||||||||||||||||||||||||||||||||||||
Aluminum contract | $ | - | Discounted cash flow | Interrelationship of future aluminum and oil prices | Aluminum: $1,774 per metric ton in 2014 to $2,221 per metric ton in 2018 | ||||||||||||||||||||||||||||||||||||
Oil: $112 per barrel in 2014 to $89 per barrel in 2018 | |||||||||||||||||||||||||||||||||||||||||
Aluminum contract | 324 | Discounted cash flow | Interrelationship of future aluminum prices, foreign currency exchange rates, and the U.S. consumer price index (CPI) | Aluminum: $1,784 per metric ton in 2014 to $2,064 per metric ton in 2016 | |||||||||||||||||||||||||||||||||||||
Foreign currency: | |||||||||||||||||||||||||||||||||||||||||
A$1 =0.89 in 2014 to $0.83 in 2016 | |||||||||||||||||||||||||||||||||||||||||
CPI: 1982 base year of 100 and 231 in 2014 to 246 in 2016 | |||||||||||||||||||||||||||||||||||||||||
Aluminum contract | 25 | Discounted cash flow | Interrelationship of LME price to overall energy price | Aluminum: $1,839 per metric ton in 2014 to $2,239 per metric ton in 2019 | |||||||||||||||||||||||||||||||||||||
Energy contracts | 6 | Discounted cash flow | Price of electricity beyond forward curve | $82 per megawatt hour in 2014 to $154 per megawatt hour in 2036 | |||||||||||||||||||||||||||||||||||||
Liabilities: | |||||||||||||||||||||||||||||||||||||||||
Aluminum contracts | 410 | Discounted cash flow | Price of aluminum beyond forward curve | $2,485 per metric ton in 2023 to $2,647 per metric ton in 2027 | |||||||||||||||||||||||||||||||||||||
Embedded credit derivative | 21 | Discounted cash flow | Credit spread between Alcoa and counterparty | 0.98% to 1.66% | |||||||||||||||||||||||||||||||||||||
(1.32% median) | |||||||||||||||||||||||||||||||||||||||||
Fair Value Hedges | |||||||||||||||||||||||||||||||||||||||||
For derivative instruments that are designated and qualify as fair value hedges, the gain or loss on the derivative as well as the loss or gain on the hedged item attributable to the hedged risk are recognized in current earnings. The gain or loss on the hedged items are included in the same line items as the loss or gain on the related derivative contracts as follows (there were no contracts that ceased to qualify as a fair value hedge in any of the periods presented): | |||||||||||||||||||||||||||||||||||||||||
Derivatives in Fair Value | Location of Gain or (Loss) | Amount of Gain or (Loss) | |||||||||||||||||||||||||||||||||||||||
Hedging Relationships | Recognized in Earnings on Derivatives | Recognized in Earnings on Derivatives | |||||||||||||||||||||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||||||||||||||||||||||
Aluminum contracts* | Sales | $ | (142 | ) | $ | (9 | ) | $ | (126 | ) | |||||||||||||||||||||||||||||||
Interest rate contracts | Interest expense | 10 | 10 | 64 | |||||||||||||||||||||||||||||||||||||
Total | $ | (132 | ) | $ | 1 | $ | (62 | ) | |||||||||||||||||||||||||||||||||
Hedged Items in Fair | Location of Gain or (Loss) | Amount of Gain or (Loss) | |||||||||||||||||||||||||||||||||||||||
Value Hedging | Recognized in Earnings on Hedged | Recognized in Earnings on Hedged Items | |||||||||||||||||||||||||||||||||||||||
Relationships | Items | 2013 | 2012 | 2011 | |||||||||||||||||||||||||||||||||||||
Aluminum contracts | Sales | $ | 143 | $ | (9 | ) | $ | 133 | |||||||||||||||||||||||||||||||||
Interest rate contracts | Interest expense | (10 | ) | (10 | ) | (31 | ) | ||||||||||||||||||||||||||||||||||
Total | $ | 133 | $ | (19 | ) | $ | 102 | ||||||||||||||||||||||||||||||||||
* | In 2013, 2012, and 2011, the amount of gain or (loss) recognized in earnings includes $1, $(18), and $7, respectively, related to the ineffective portion of the hedging relationships. | ||||||||||||||||||||||||||||||||||||||||
Aluminum. Alcoa is a leading global producer of primary aluminum and fabricated aluminum products. As a condition of sale, customers often require Alcoa to enter into long-term, fixed-price commitments. These commitments expose Alcoa to the risk of fluctuating aluminum prices between the time the order is committed and the time that the order is shipped. Alcoa’s aluminum commodity risk management policy is to manage, principally through the use of futures and contracts, the aluminum price risk associated with a portion of its firm commitments. These contracts cover known exposures, generally within three years. As of December 31, 2013, Alcoa had 412,000 metric tons of aluminum futures designated as fair value hedges. The effects of this hedging activity will be recognized over the designated hedge periods in 2014 to 2017. | |||||||||||||||||||||||||||||||||||||||||
Interest Rates. Alcoa uses interest rate swaps to help maintain a strategic balance between fixed- and floating-rate debt and to manage overall financing costs. As of December 31, 2013, the Company had pay floating, receive fixed interest rate swaps that were designated as fair value hedges. These hedges effectively convert the interest rate from fixed to floating on $200 of debt through 2018. In January 2012, interest rate swaps with a notional amount of $315 expired in conjunction with the repayment of 6% Notes, due 2012 (see Note K). | |||||||||||||||||||||||||||||||||||||||||
In 2011, Alcoa terminated interest rate swaps with a notional amount of $550 in conjunction with the early retirement of the related debt. At the time of termination, the swaps were “in-the-money” resulting in a gain of $33, which was recorded in Interest expense on the accompanying Statement of Consolidated Operations. | |||||||||||||||||||||||||||||||||||||||||
Cash Flow Hedges | |||||||||||||||||||||||||||||||||||||||||
For derivative instruments that are designated and qualify as cash flow hedges, the effective portion of the gain or loss on the derivative is reported as a component of other comprehensive income (OCI) and reclassified into earnings in the same period or periods during which the hedged transaction affects earnings. Gains and losses on the derivative representing either hedge ineffectiveness or hedge components excluded from the assessment of effectiveness are recognized in current earnings. | |||||||||||||||||||||||||||||||||||||||||
Derivatives in Cash | Amount of Gain or | Location of Gain or | Amount of Gain or | Location of Gain | Amount of Gain or | ||||||||||||||||||||||||||||||||||||
Flow Hedging | (Loss) Recognized in | (Loss) Reclassified | (Loss) Reclassified | or (Loss) | (Loss) Recognized | ||||||||||||||||||||||||||||||||||||
Relationships | OCI on Derivatives | from Accumulated | from Accumulated | Recognized in | in Earnings on | ||||||||||||||||||||||||||||||||||||
(Effective Portion) | OCI into Earnings | OCI into Earnings | Earnings on | Derivatives | |||||||||||||||||||||||||||||||||||||
(Effective Portion) | (Effective Portion)* | Derivatives | (Ineffective | ||||||||||||||||||||||||||||||||||||||
(Ineffective | Portion and | ||||||||||||||||||||||||||||||||||||||||
Portion and | Amount Excluded | ||||||||||||||||||||||||||||||||||||||||
Amount Excluded | from Effectiveness | ||||||||||||||||||||||||||||||||||||||||
from Effectiveness | Testing)** | ||||||||||||||||||||||||||||||||||||||||
2013 | 2012 | 2011 | 2013 | 2012 | 2011 | Testing) | 2013 | 2012 | 2011 | ||||||||||||||||||||||||||||||||
Aluminum contracts | $ | 158 | $ | (10 | ) | $ | 72 | Sales | $ | (16 | ) | $ | 36 | $ | (114 | ) | Other income, net | $ | (1 | ) | $ | (1 | ) | $ | 2 | ||||||||||||||||
Energy contracts | 1 | - | (3 | ) | Cost of goods sold | - | - | (8 | ) | Other income, net | - | - | - | ||||||||||||||||||||||||||||
Foreign exchange contracts | - | - | 1 | Sales | (2 | ) | - | 4 | Other income, net | - | - | - | |||||||||||||||||||||||||||||
Interest rate contracts | - | - | (2 | ) | Interest expense | (1 | ) | (2 | ) | - | Other income, net | - | - | - | |||||||||||||||||||||||||||
Interest rate contracts | 3 | (2 | ) | (5 | ) | Other income, net | - | - | (3 | ) | Other income, net | - | - | - | |||||||||||||||||||||||||||
Total | $ | 162 | $ | (12 | ) | $ | 63 | $ | (19 | ) | $ | 34 | $ | (121 | ) | $ | (1 | ) | $ | (1 | ) | $ | 2 | ||||||||||||||||||
* | Assuming market rates remain constant with the rates at December 31, 2013, a loss of $13 is expected to be recognized in earnings over the next 12 months. | ||||||||||||||||||||||||||||||||||||||||
** | In 2013, 2012, and 2011, the amount of gain or (loss) recognized in earnings represents $(1), $(1), and $3, respectively, related to the amount excluded from the assessment of hedge effectiveness. There was also $(1) recognized in earnings related to the ineffective portion of the hedging relationships in 2011. In 2013 and 2012, there was no ineffectiveness related to the derivatives in cash flow hedging relationships. | ||||||||||||||||||||||||||||||||||||||||
Aluminum and Energy. Alcoa anticipates the continued requirement to purchase aluminum and other commodities, such as electricity and natural gas, for its operations. Alcoa enters into forwards, futures, and options contracts to reduce volatility in the price of these commodities. Alcoa has also entered into power supply and other contracts that contain pricing provisions related to the LME aluminum price. The LME-linked pricing features are considered embedded derivatives. A majority of these embedded derivatives have been designated as cash flow hedges of future sales of aluminum. | |||||||||||||||||||||||||||||||||||||||||
Also, Alcoa has a contract to hedge the anticipated power requirements at its Portland smelter in Australia. This derivative hedges forecasted power purchases through December 2036. Prior to 2013, Alcoa had a similar contract for its Point Henry smelter in Australia but elected to terminate it under the terms of the contract (see additional information in description of Level 3 derivative contracts above). | |||||||||||||||||||||||||||||||||||||||||
Interest Rates. Alcoa had no outstanding cash flow hedges of interest rate exposures as of December 31, 2013, 2012 or 2011. An investment accounted for on the equity method by Alcoa has entered into interest rate contracts, which are designated as cash flow hedges. Alcoa’s share of the activity of these cash flow hedges is reflected in the table above. | |||||||||||||||||||||||||||||||||||||||||
Foreign Exchange. Alcoa is subject to exposure from fluctuations in foreign currency exchange rates. Contracts may be used from time to time to hedge the variability in cash flows from the forecasted payment or receipt of currencies other than the functional currency. These contracts cover periods consistent with known or expected exposures through 2014. | |||||||||||||||||||||||||||||||||||||||||
Alcoa had the following outstanding forward contracts that were entered into to hedge forecasted transactions: | |||||||||||||||||||||||||||||||||||||||||
December 31, | 2013 | 2012 | |||||||||||||||||||||||||||||||||||||||
Aluminum contracts (000 metric tons) | 841 | 1,120 | |||||||||||||||||||||||||||||||||||||||
Energy contracts: | |||||||||||||||||||||||||||||||||||||||||
Electricity (megawatt hours) | 59,409,328 | 100,578,295 | |||||||||||||||||||||||||||||||||||||||
Natural gas (million British thermal units) | 19,980,000 | 19,160,000 | |||||||||||||||||||||||||||||||||||||||
Foreign exchange contracts | $ | 335 | $ | 71 | |||||||||||||||||||||||||||||||||||||
Other | |||||||||||||||||||||||||||||||||||||||||
Alcoa has certain derivative contracts that do not qualify for hedge accounting treatment and, therefore, the fair value gains and losses on these contracts are recorded in earnings as follows: | |||||||||||||||||||||||||||||||||||||||||
Derivatives Not Designated as Hedging | Location of Gain or (Loss) | Amount of Gain or (Loss) | |||||||||||||||||||||||||||||||||||||||
Instruments | Recognized in Earnings on Derivatives | Recognized in Earnings | |||||||||||||||||||||||||||||||||||||||
on Derivatives | |||||||||||||||||||||||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||||||||||||||||||||||
Aluminum contracts | Sales | $ | (9 | ) | $ | - | $ | (13 | ) | ||||||||||||||||||||||||||||||||
Aluminum contracts | Other income, net | 27 | 16 | 13 | |||||||||||||||||||||||||||||||||||||
Embedded credit derivative | Other income, net | 8 | (3 | ) | (5 | ) | |||||||||||||||||||||||||||||||||||
Energy contract | Other income, net | - | - | 47 | |||||||||||||||||||||||||||||||||||||
Foreign exchange contracts | Other income, net | (6 | ) | - | (3 | ) | |||||||||||||||||||||||||||||||||||
Total | $ | 20 | $ | 13 | $ | 39 | |||||||||||||||||||||||||||||||||||
The aluminum contracts relate to derivatives (recognized in Sales) and embedded derivatives (recognized in Other income, net) entered into to minimize Alcoa’s price risk related to other customer sales and certain pricing arrangements. | |||||||||||||||||||||||||||||||||||||||||
The embedded credit derivative relates to a power contract that indexes the difference between the long-term debt ratings of Alcoa and the counterparty from any of the three major credit rating agencies. If the counterparty’s lowest credit rating is greater than one rating category above Alcoa’s credit ratings, an independent investment banker would be consulted to determine a hypothetical interest rate for both parties. The two interest rates would be netted and the resulting difference would be multiplied by Alcoa’s equivalent percentage of the outstanding principal of the counterparty’s debt obligation as of December 31 of the year preceding the calculation date. This differential would be added to the cost of power in the period following the calculation date. | |||||||||||||||||||||||||||||||||||||||||
The energy contract is associated with a smelter in the U.S. for a power contract that no longer qualified for the normal purchase normal sale exception and a financial contract that no longer qualified as a hedge under derivative accounting in late 2009. Alcoa’s obligations under the contracts expired in September 2011. | |||||||||||||||||||||||||||||||||||||||||
Alcoa has a forward contract to purchase $54 (C$58) to mitigate the foreign currency risk related to a Canadian-denominated loan due in 2014. Also, in December 2013, Alcoa entered into a forward contract (matures on March 31, 2014) to purchase $231 (R$543) to mitigate the foreign currency risk associated with a potential future transaction denominated in Brazilian reais. All other foreign exchange contracts were entered into and settled within each of the periods presented. | |||||||||||||||||||||||||||||||||||||||||
Material Limitations | |||||||||||||||||||||||||||||||||||||||||
The disclosures with respect to commodity prices, interest rates, and foreign currency exchange risk do not take into account the underlying commitments or anticipated transactions. If the underlying items were included in the analysis, the gains or losses on the futures contracts may be offset. Actual results will be determined by a number of factors that are not under Alcoa’s control and could vary significantly from those factors disclosed. | |||||||||||||||||||||||||||||||||||||||||
Alcoa is exposed to credit loss in the event of nonperformance by counterparties on the above instruments, as well as credit or performance risk with respect to its hedged customers’ commitments. Although nonperformance is possible, Alcoa does not anticipate nonperformance by any of these parties. Contracts are with creditworthy counterparties and are further supported by cash, treasury bills, or irrevocable letters of credit issued by carefully chosen banks. In addition, various master netting arrangements are in place with counterparties to facilitate settlement of gains and losses on these contracts. | |||||||||||||||||||||||||||||||||||||||||
Other Financial Instruments. The carrying values and fair values of Alcoa’s other financial instruments were as follows: | |||||||||||||||||||||||||||||||||||||||||
December 31, | 2013 | 2012 | |||||||||||||||||||||||||||||||||||||||
Carrying | Fair | Carrying | Fair | ||||||||||||||||||||||||||||||||||||||
value | value | value | value | ||||||||||||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 1,437 | $ | 1,437 | $ | 1,861 | $ | 1,861 | |||||||||||||||||||||||||||||||||
Restricted cash | 18 | 18 | 189 | 189 | |||||||||||||||||||||||||||||||||||||
Noncurrent receivables | 19 | 19 | 20 | 20 | |||||||||||||||||||||||||||||||||||||
Available-for-sale securities | 119 | 119 | 67 | 67 | |||||||||||||||||||||||||||||||||||||
Short-term borrowings | 57 | 57 | 53 | 53 | |||||||||||||||||||||||||||||||||||||
Commercial paper | - | - | - | - | |||||||||||||||||||||||||||||||||||||
Long-term debt due within one year | 655 | 1,040 | 465 | 477 | |||||||||||||||||||||||||||||||||||||
Long-term debt, less amount due within one year | 7,607 | 7,863 | 8,311 | 9,028 | |||||||||||||||||||||||||||||||||||||
The following methods were used to estimate the fair values of other financial instruments: | |||||||||||||||||||||||||||||||||||||||||
Cash and cash equivalents, Restricted cash, Short-term borrowings, and Commercial paper. The carrying amounts approximate fair value because of the short maturity of the instruments. The fair value amounts for Cash and cash equivalents, Restricted cash, and Commercial paper were classified in Level 1, and Short-term borrowings were classified in Level 2. | |||||||||||||||||||||||||||||||||||||||||
Noncurrent receivables. The fair value of noncurrent receivables was based on anticipated cash flows, which approximates carrying value, and was classified in Level 2 of the fair value hierarchy. | |||||||||||||||||||||||||||||||||||||||||
Available-for-sale securities. The fair value of such securities was based on quoted market prices. These financial instruments consist of exchange-traded fixed income and equity securities, which are carried at fair value and were classified in Level 1 of the fair value hierarchy. | |||||||||||||||||||||||||||||||||||||||||
Long-term debt due within one year and Long-term debt, less amount due within one year. The fair value was based on quoted market prices for public debt and on interest rates that are currently available to Alcoa for issuance of debt with similar terms and maturities for non-public debt. The fair value amounts for all Long-term debt were classified in Level 2 of the fair value hierarchy. |
Subsequent_Events
Subsequent Events | 12 Months Ended |
Dec. 31, 2013 | |
Subsequent Events [Abstract] | ' |
Subsequent Events | ' |
Y. Subsequent Events | |
Management evaluated all activity of Alcoa and concluded that no subsequent events have occurred that would require recognition in the Consolidated Financial Statements or disclosure in the Notes to the Consolidated Financial Statements, except as described below. | |
In January 2014, Alcoa resolved a legal matter that existed as of December 31, 2013 (see Government Investigations under Litigation in Note N). | |
Also in January 2014, management approved the permanent shutdown and demolition of the remaining two potlines at the Massena East, N.Y. smelter. This decision was part of a review of smelting capacity initiated in May 2013 (see Note D). As a result of this decision, Alcoa expects to record restructuring-related charges between $90 and $110 ($60 to $70 after-tax, or $0.06 per diluted share) in the first quarter of 2014. | |
On February 4, 2014, the European Commission announced a decision related to their investigation of a prior tariff structure in Spain (see European Commission Matters in Note N). |
Quarterly_Data
Quarterly Data | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||
Quarterly Financial Information Disclosure [Abstract] | ' | ||||||||||||||||||||
Quarterly Data | ' | ||||||||||||||||||||
Supplemental Financial Information (unaudited) | |||||||||||||||||||||
Quarterly Data | |||||||||||||||||||||
(in millions, except per-share amounts) | |||||||||||||||||||||
First | Second | Third | Fourth* | Year | |||||||||||||||||
2013 | |||||||||||||||||||||
Sales | $ | 5,833 | $ | 5,849 | $ | 5,765 | $ | 5,585 | $ | 23,032 | |||||||||||
Net income (loss) attributable to Alcoa common shareholders | $ | 149 | $ | (119 | ) | $ | 24 | $ | (2,339 | ) | $ | (2,285 | ) | ||||||||
Earnings per share attributable to Alcoa common shareholders**: | |||||||||||||||||||||
Basic | $ | 0.14 | $ | (0.11 | ) | $ | 0.02 | $ | (2.19 | ) | $ | (2.14 | ) | ||||||||
Diluted | $ | 0.13 | $ | (0.11 | ) | $ | 0.02 | $ | (2.19 | ) | $ | (2.14 | ) | ||||||||
2012 | |||||||||||||||||||||
Sales | $ | 6,006 | $ | 5,963 | $ | 5,833 | $ | 5,898 | $ | 23,700 | |||||||||||
Net income (loss) attributable to Alcoa common shareholders | $ | 94 | $ | (2 | ) | $ | (143 | ) | $ | 242 | $ | 191 | |||||||||
Earnings per share attributable to Alcoa common shareholders**: | |||||||||||||||||||||
Basic | $ | 0.09 | $ | - | $ | (0.13 | ) | $ | 0.23 | $ | 0.18 | ||||||||||
Diluted | $ | 0.09 | $ | - | $ | (0.13 | ) | $ | 0.21 | $ | 0.18 | ||||||||||
* | In the fourth quarter of 2013, Alcoa recorded a $1,731 ($1,719 after noncontrolling interest) impairment of goodwill (see Goodwill and Other Intangible Assets in Note A and Note E), a $372 discrete income tax charge for valuation allowances on certain deferred tax assets in Spain and the U.S. (see Note T), and a $288 ($243 after-tax and noncontrolling interest) charge related to a legal matter (see Note C and Government Investigations under Litigation in Note N). | ||||||||||||||||||||
** | Per share amounts are calculated independently for each period presented; therefore, the sum of the quarterly per share amounts may not equal the per share amounts for the year. |
Summary_of_Significant_Account1
Summary of Significant Accounting Policies (Policies) | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Accounting Policies [Abstract] | ' | ||||||||
Basis of Presentation | ' | ||||||||
Basis of Presentation. The Consolidated Financial Statements of Alcoa Inc. and subsidiaries (“Alcoa” or the “Company”) are prepared in conformity with accounting principles generally accepted in the United States of America (GAAP) and require management to make certain judgments, estimates, and assumptions. These 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 period. Actual results could differ from those estimates upon subsequent resolution of identified matters. Certain amounts in previously issued financial statements were reclassified to conform to the 2013 presentation. | |||||||||
Principles of Consolidation | ' | ||||||||
Principles of Consolidation. The Consolidated Financial Statements include the accounts of Alcoa and companies in which Alcoa has a controlling interest. Intercompany transactions have been eliminated. The equity method of accounting is used for investments in affiliates and other joint ventures over which Alcoa has significant influence but does not have effective control. Investments in affiliates in which Alcoa cannot exercise significant influence are accounted for on the cost method. | |||||||||
Management also evaluates whether an Alcoa entity or interest is a variable interest entity and whether Alcoa is the primary beneficiary. Consolidation is required if both of these criteria are met. Alcoa does not have any variable interest entities requiring consolidation. | |||||||||
Related Party Transactions | ' | ||||||||
Related Party Transactions. Alcoa buys products from and sells products to various related companies, consisting of entities in which Alcoa retains a 50% or less equity interest, at negotiated arms-length prices between the two parties. These transactions were not material to the financial position or results of operations of Alcoa for all periods presented. | |||||||||
Cash Equivalents | ' | ||||||||
Cash Equivalents. Cash equivalents are highly liquid investments purchased with an original maturity of three months or less. | |||||||||
Inventory Valuation | ' | ||||||||
Inventory Valuation. Inventories are carried at the lower of cost or market, with cost for a substantial portion of U.S. and Canadian inventories determined under the last-in, first-out (LIFO) method. The cost of other inventories is principally determined under the average-cost method. | |||||||||
Properties, Plants, and Equipment | ' | ||||||||
Properties, Plants, and Equipment. Properties, plants, and equipment are recorded at cost. Depreciation is recorded principally on the straight-line method at rates based on the estimated useful lives of the assets. For greenfield assets, which refer to the construction of new assets on undeveloped land, the units of production method is used to record depreciation. These assets require a significant period (generally greater than one-year) to ramp-up to full production capacity. As a result, the units of production method is deemed a more systematic and rational method for recognizing depreciation on these assets. Depreciation is recorded on temporarily idled facilities until such time management approves a permanent shutdown. The following table details the weighted-average useful lives of structures and machinery and equipment by reporting segment (numbers in years): | |||||||||
Segment | Structures | Machinery and equipment | |||||||
Alumina: | |||||||||
Alumina refining | 30 | 26 | |||||||
Bauxite mining | 31 | 17 | |||||||
Primary Metals: | |||||||||
Aluminum smelting | 35 | 21 | |||||||
Power generation | 30 | 21 | |||||||
Global Rolled Products | 32 | 21 | |||||||
Engineered Products and Solutions | 29 | 18 | |||||||
Gains or losses from the sale of assets are generally recorded in other income or expenses (see policy below for assets classified as held for sale and discontinued operations). Repairs and maintenance are charged to expense as incurred. Interest related to the construction of qualifying assets is capitalized as part of the construction costs. | |||||||||
Properties, plants, and equipment are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of such assets (asset group) may not be recoverable. Recoverability of assets is determined by comparing the estimated undiscounted net cash flows of the operations related to the assets (asset group) to their carrying amount. An impairment loss would be recognized when the carrying amount of the assets (asset group) exceeds the estimated undiscounted net cash flows. The amount of the impairment loss to be recorded is calculated as the excess of the carrying value of the assets (asset group) over their fair value, with fair value determined using the best information available, which generally is a discounted cash flow (DCF) model. The determination of what constitutes an asset group, the associated estimated undiscounted net cash flows, and the estimated useful lives of assets also require significant judgments. | |||||||||
Mineral Rights | ' | ||||||||
Mineral Rights. Alcoa recognizes mineral rights upon specific acquisitions of land that include such underlying rights, primarily in Jamaica. This land is purchased for the sole purpose of mining bauxite. The underlying bauxite reserves are known at the time of acquisition based on associated drilling and analysis and are considered to be proven reserves. The acquisition cost of the land and mineral rights are amortized as the bauxite is produced based on the level of minable tons determined at the time of purchase. Mineral rights are included in Properties, plants, and equipment on the accompanying Consolidated Balance Sheet. | |||||||||
Deferred Mining Costs | ' | ||||||||
Deferred Mining Costs. Alcoa recognizes deferred mining costs during the development stage of a mine life cycle. Such costs include the construction of access and haul roads, detailed drilling and geological analysis to further define the grade and quality of the known bauxite, and overburden removal costs. These costs relate to sections of the related mines where Alcoa is either currently extracting bauxite or is preparing for production in the near term. These sections are outlined and planned incrementally and generally are mined over periods ranging from one to five years, depending on mine specifics. The amount of geological drilling and testing necessary to determine the economic viability of the bauxite deposit being mined is such that the reserves are considered to be proven, and the mining costs are amortized based on this level of reserves. Deferred mining costs are included in Other noncurrent assets on the accompanying Consolidated Balance Sheet. | |||||||||
Goodwill and Other Intangible Assets | ' | ||||||||
Goodwill and Other Intangible Assets. Goodwill is not amortized; instead, it is reviewed for impairment annually (in the fourth quarter) or more frequently if indicators of impairment exist or if a decision is made to sell or exit a business. A significant amount of judgment is involved in determining if an indicator of impairment has occurred. Such indicators may include deterioration in general economic conditions, negative developments in equity and credit markets, adverse changes in the markets in which an entity operates, increases in input costs that have a negative effect on earnings and cash flows, or a trend of negative or declining cash flows over multiple periods, among others. The fair value that could be realized in an actual transaction may differ from that used to evaluate the impairment of goodwill. | |||||||||
Goodwill is allocated among and evaluated for impairment at the reporting unit level, which is defined as an operating segment or one level below an operating segment. Alcoa has nine reporting units, of which five are included in the Engineered Products and Solutions segment. The remaining four reporting units are the Alumina segment, the Primary Metals segment, the Global Rolled Products segment, and the soft alloy extrusions business in Brazil, which is included in Corporate. More than 80% of Alcoa’s total goodwill is allocated to two reporting units as follows: Alcoa Fastening Systems (AFS) ($1,166) and Alcoa Power and Propulsion (APP) ($1,617) businesses, both of which are included in the Engineered Products and Solutions segment. These amounts include an allocation of Corporate’s goodwill. | |||||||||
In reviewing goodwill for impairment, an entity has the option to first assess qualitative factors to determine whether the existence of events or circumstances leads to a determination that it is more likely than not (greater than 50%) that the estimated fair value of a reporting unit is less than its carrying amount. If an entity elects to perform a qualitative assessment and determines that an impairment is more likely than not, the entity is then required to perform the existing two-step quantitative impairment test (described below), otherwise no further analysis is required. An entity also may elect not to perform the qualitative assessment and, instead, proceed directly to the two-step quantitative impairment test. The ultimate outcome of the goodwill impairment review for a reporting unit should be the same whether an entity chooses to perform the qualitative assessment or proceeds directly to the two-step quantitative impairment test. | |||||||||
Alcoa’s policy for its annual review of goodwill is to perform the qualitative assessment for all reporting units not subjected directly to the two-step quantitative impairment test. Management will proceed directly to the two-step quantitative impairment test for a minimum of three reporting units (based on facts and circumstances) during each annual review of goodwill. This policy will result in each of the nine reporting units being subjected to the two-step quantitative impairment test at least once during every three-year period. | |||||||||
Under the qualitative assessment, various events and circumstances (or factors) that would affect the estimated fair value of a reporting unit are identified (similar to impairment indicators above). These factors are then classified by the type of impact they would have on the estimated fair value using positive, neutral, and adverse categories based on current business conditions. Additionally, an assessment of the level of impact that a particular factor would have on the estimated fair value is determined using high, medium, and low weighting. Furthermore, management considers the results of the most recent two-step quantitative impairment test completed for a reporting unit and compares the weighted average cost of capital (WACC) between the current and prior years for each reporting unit. | |||||||||
During the 2013 annual review of goodwill, management performed the qualitative assessment for two reporting units, the Global Rolled Products segment and one of the five reporting units in the Engineered Products and Solutions segment. Management concluded that it was not more likely than not that the estimated fair values of the two reporting units were less than their carrying values. As such, no further analysis was required. | |||||||||
Under the two-step quantitative impairment test, the evaluation of impairment involves comparing the current fair value of each reporting unit to its carrying value, including goodwill. Alcoa uses a DCF model to estimate the current fair value of its reporting units when testing for impairment, as management believes forecasted cash flows are the best indicator of such fair value. A number of significant assumptions and estimates are involved in the application of the DCF model to forecast operating cash flows, including markets and market share, sales volumes and prices, production costs, tax rates, capital spending, discount rate, and working capital changes. Most of these assumptions vary significantly among the reporting units. Cash flow forecasts are generally based on approved business unit operating plans for the early years and historical relationships in later years. The betas used in calculating the individual reporting units’ WACC rate are estimated for each business with the assistance of valuation experts. | |||||||||
In the event the estimated fair value of a reporting unit per the DCF model is less than the carrying value, additional analysis would be required. The additional analysis would compare the carrying amount of the reporting unit’s goodwill with the implied fair value of that goodwill, which may involve the use of valuation experts. The implied fair value of goodwill is the excess of the fair value of the reporting unit over the fair value amounts assigned to all of the assets and liabilities of that unit as if the reporting unit was acquired in a business combination and the fair value of the reporting unit represented the purchase price. If the carrying value of goodwill exceeds its implied fair value, an impairment loss equal to such excess would be recognized, which could significantly and adversely impact reported results of operations and shareholders’ equity. | |||||||||
During the 2013 annual review of goodwill, management proceeded directly to the two-step quantitative impairment test for seven reporting units as follows: the Primary Metals segment, the Alumina segment, the soft alloy extrusions business in Brazil, and four of the five reporting units in the Engineered Products and Solutions segment, including AFS and APP. The estimated fair values of the four Engineered Products and Solutions businesses, and the soft alloy extrusions business were substantially in excess of their respective carrying value, resulting in no impairment. | |||||||||
During the 2012 annual testing of goodwill, the estimated fair value of the Alumina segment exceeded the carrying value by 7%. In connection with the 2013 testing, the estimated fair value of the Alumina segment exceeded the carrying value by 18%. This increase is attributable to several factors: improved pricing due to the continued implementation of the Alumina Price Index; operating and productivity improvements in the business; and a stronger U.S. dollar, all of which increased management’s estimates of operating results and cash flows used in assessing Alumina’s goodwill for impairment. These improvements were partially offset by an increase in the discount rate used in the DCF models. Unfavorable movements in one or more of these trends in the future could have a negative impact on the estimated fair value of the Alumina segment. | |||||||||
For Primary Metals, the estimated fair value as determined by the DCF model was lower than the associated carrying value. As a result, management performed the second step of the impairment analysis in order to determine the implied fair value of Primary Metals’ goodwill. The results of the second-step analysis showed that the implied fair value of goodwill was zero. Therefore, in the fourth quarter of 2013, Alcoa recorded a goodwill impairment of $1,731 ($1,719 after noncontrolling interest). As a result of the goodwill impairment, there is no goodwill remaining for the Primary Metals reporting unit. | |||||||||
The impairment of Primary Metals’ goodwill results from several causes: the prolonged economic downturn; a disconnect between industry fundamentals and pricing that has resulted in lower metal prices; and the increased cost of alumina, a key raw material, resulting from expansion of the Alumina Price Index throughout the industry. All of these factors, exacerbated by increases in discount rates, continue to place significant downward pressure on metal prices and operating margins, and the resulting estimated fair value, of the Primary Metals business. As a result, management decreased the near-term and long-term estimates of the operating results and cash flows utilized in assessing Primary Metals’ goodwill for impairment. The valuation of goodwill for the second step of the goodwill impairment analysis is considered a level 3 fair value measurement, which means that the valuation of the assets and liabilities reflect management’s own judgments regarding the assumptions market participants would use in determining the fair value of the assets and liabilities. | |||||||||
Goodwill impairment tests in prior years indicated that goodwill was not impaired for any of the Company’s reporting units and there were no triggering events since that time that necessitated an impairment test. | |||||||||
Intangible assets with indefinite useful lives are not amortized while intangible assets with finite useful lives are amortized generally on a straight-line basis over the periods benefited. The following table details the weighted-average useful lives of software and other intangible assets by reporting segment (numbers in years): | |||||||||
Segment | Software | Other intangible assets | |||||||
Alumina | 10 | 34 | |||||||
Primary Metals | 8 | 39 | |||||||
Global Rolled Products | 9 | 17 | |||||||
Engineered Products and Solutions | 11 | 19 | |||||||
Equity Investments | ' | ||||||||
Equity Investments. Alcoa invests in a number of privately-held companies, primarily through joint ventures and consortia, which are accounted for on the equity method. The equity method is applied in situations where Alcoa has the ability to exercise significant influence, but not control, over the investee. Management reviews equity investments for impairment whenever certain indicators are present suggesting that the carrying value of an investment is not recoverable. This analysis requires a significant amount of judgment from management to identify events or circumstances indicating that an equity investment is impaired. The following items are examples of impairment indicators: significant, sustained declines in an investee’s revenue, earnings, and cash flow trends; adverse market conditions of the investee’s industry or geographic area; the investee’s ability to continue operations measured by several items, including liquidity; and other factors. Once an impairment indicator is identified, management uses considerable judgment to determine if the impairment is other than temporary, in which case the equity investment is written down to its estimated fair value. An impairment that is other than temporary could significantly and adversely impact reported results of operations. | |||||||||
Revenue Recognition | ' | ||||||||
Revenue Recognition. Alcoa recognizes revenue when title, ownership, and risk of loss pass to the customer, all of which occurs upon shipment or delivery of the product and is based on the applicable shipping terms. The shipping terms vary across all businesses and depend on the product, the country of origin, and the type of transportation (truck, train, or vessel). | |||||||||
Alcoa periodically enters into long-term supply contracts with alumina and aluminum customers and receives advance payments for product to be delivered in future periods. These advance payments are recorded as deferred revenue, and revenue is recognized as shipments are made and title, ownership, and risk of loss pass to the customer during the term of the contracts. Deferred revenue is included in Other current liabilities and Other noncurrent liabilities and deferred credits on the accompanying Consolidated Balance Sheet. | |||||||||
Environmental Matters | ' | ||||||||
Environmental Matters. Expenditures for current operations are expensed or capitalized, as appropriate. Expenditures relating to existing conditions caused by past operations, which will not contribute to future revenues, are expensed. Liabilities are recorded when remediation costs are probable and can be reasonably estimated. The liability may include costs such as site investigations, consultant fees, feasibility studies, outside contractors, and monitoring expenses. Estimates are generally not discounted or reduced by potential claims for recovery. Claims for recovery are recognized as agreements are reached with third parties. The estimates also include costs related to other potentially responsible parties to the extent that Alcoa has reason to believe such parties will not fully pay their proportionate share. The liability is continuously reviewed and adjusted to reflect current remediation progress, prospective estimates of required activity, and other factors that may be relevant, including changes in technology or regulations. | |||||||||
Litigation Matters | ' | ||||||||
Litigation Matters. For asserted claims and assessments, liabilities are recorded when an unfavorable outcome of a matter is deemed to be probable and the loss is reasonably estimable. Management determines the likelihood of an unfavorable outcome based on many factors such as the nature of the matter, available defenses and case strategy, progress of the matter, views and opinions of legal counsel and other advisors, applicability and success of appeals processes, and the outcome of similar historical matters, among others. Once an unfavorable outcome is deemed probable, management weighs the probability of estimated losses, and the most reasonable loss estimate is recorded. If an unfavorable outcome of a matter is deemed to be reasonably possible, then the matter is disclosed and no liability is recorded. With respect to unasserted claims or assessments, management must first determine that the probability that an assertion will be made is likely, then, a determination as to the likelihood of an unfavorable outcome and the ability to reasonably estimate the potential loss is made. Legal matters are reviewed on a continuous basis to determine if there has been a change in management’s judgment regarding the likelihood of an unfavorable outcome or the estimate of a potential loss. | |||||||||
Asset Retirement Obligations | ' | ||||||||
Asset Retirement Obligations. Alcoa recognizes asset retirement obligations (AROs) related to legal obligations associated with the normal operation of Alcoa’s bauxite mining, alumina refining, and aluminum smelting facilities. These AROs consist primarily of costs associated with spent pot lining disposal, closure of bauxite residue areas, mine reclamation, and landfill closure. Alcoa also recognizes AROs for any significant lease restoration obligation, if required by a lease agreement, and for the disposal of regulated waste materials related to the demolition of certain power facilities. The fair values of these AROs are recorded on a discounted basis, at the time the obligation is incurred, and accreted over time for the change in present value. Additionally, Alcoa capitalizes asset retirement costs by increasing the carrying amount of the related long-lived assets and depreciating these assets over their remaining useful life. | |||||||||
Certain conditional asset retirement obligations (CAROs) related to alumina refineries, aluminum smelters, and fabrication facilities have not been recorded in the Consolidated Financial Statements due to uncertainties surrounding the ultimate settlement date. A CARO is a legal obligation to perform an asset retirement activity in which the timing and/or method of settlement are conditional on a future event that may or may not be within Alcoa’s control. Such uncertainties exist as a result of the perpetual nature of the structures, maintenance and upgrade programs, and other factors. At the date a reasonable estimate of the ultimate settlement date can be made, Alcoa would record an ARO for the removal, treatment, transportation, storage, and/or disposal of various regulated assets and hazardous materials such as asbestos, underground and aboveground storage tanks, polychlorinated biphenyls (PCBs), various process residuals, solid wastes, electronic equipment waste, and various other materials. Such amounts may be material to the Consolidated Financial Statements in the period in which they are recorded. | |||||||||
Income Taxes | ' | ||||||||
Income Taxes. The provision for income taxes is determined using the asset and liability approach of accounting for income taxes. Under this approach, the provision for income taxes represents income taxes paid or payable (or received or receivable) for the current year plus the change in deferred taxes during the year. Deferred taxes represent the future tax consequences expected to occur when the reported amounts of assets and liabilities are recovered or paid, and result from differences between the financial and tax bases of Alcoa’s assets and liabilities and are adjusted for changes in tax rates and tax laws when enacted. | |||||||||
Valuation allowances are recorded to reduce deferred tax assets when it is more likely than not that a tax benefit will not be realized. In evaluating the need for a valuation allowance, management considers all potential sources of taxable income, including income available in carryback periods, future reversals of taxable temporary differences, projections of taxable income, and income from tax planning strategies, as well as all available positive and negative evidence. Positive evidence includes factors such as a history of profitable operations, projections of future profitability within the carryforward period, including from tax planning strategies, and the Alcoa’s experience with similar operations. Existing favorable contracts and the ability to sell products into established markets are additional positive evidence. Negative evidence includes items such as cumulative losses, projections of future losses, or carryforward periods that are not long enough to allow for the utilization of a deferred tax asset based on existing projections of income. Deferred tax assets for which no valuation allowance is recorded may not be realized upon changes in facts and circumstances, resulting in a future charge to establish a valuation allowance. Existing valuation allowances are re-examined under the same standards of positive and negative evidence. If it is determined that it is more likely than not that a deferred tax asset will be realized, the appropriate amount of the valuation allowance, if any, is released. Deferred tax assets and liabilities are also re-measured to reflect changes in underlying tax rates due to law changes and the granting and lapse of tax holidays. | |||||||||
Tax benefits related to uncertain tax positions taken or expected to be taken on a tax return are recorded when such benefits meet a more likely than not threshold. Otherwise, these tax benefits are recorded when a tax position has been effectively settled, which means that the statute of limitation has expired or the appropriate taxing authority has completed their examination even though the statute of limitations remains open. Interest and penalties related to uncertain tax positions are recognized as part of the provision for income taxes and are accrued beginning in the period that such interest and penalties would be applicable under relevant tax law until such time that the related tax benefits are recognized. | |||||||||
Stock-Based Compensation | ' | ||||||||
Stock-Based Compensation. Alcoa recognizes compensation expense for employee equity grants using the non-substantive vesting period approach, in which the expense (net of estimated forfeitures) is recognized ratably over the requisite service period based on the grant date fair value. The fair value of new stock options is estimated on the date of grant using a lattice-pricing model. Determining the fair value of stock options at the grant date requires judgment, including estimates for the average risk-free interest rate, dividend yield, volatility, annual forfeiture rate, and exercise behavior. These assumptions may differ significantly between grant dates because of changes in the actual results of these inputs that occur over time. | |||||||||
Most plan participants can choose whether to receive their award in the form of stock options, stock awards, or a combination of both. This choice is made before the grant is issued and is irrevocable. | |||||||||
Derivatives and Hedging | ' | ||||||||
Derivatives and Hedging. Derivatives are held for purposes other than trading and are part of a formally documented risk management program. For derivatives designated as fair value hedges, Alcoa measures hedge effectiveness by formally assessing, at least quarterly, the historical high correlation of changes in the fair value of the hedged item and the derivative hedging instrument. For derivatives designated as cash flow hedges, Alcoa measures hedge effectiveness by formally assessing, at least quarterly, the probable high correlation of the expected future cash flows of the hedged item and the derivative hedging instrument. The ineffective portions of both types of hedges are recorded in sales or other income or expense in the current period. If the hedging relationship ceases to be highly effective or it becomes probable that an expected transaction will no longer occur, future gains or losses on the derivative instrument are recorded in other income or expense. | |||||||||
Alcoa accounts for interest rate swaps related to its existing long-term debt and hedges of firm customer commitments for aluminum as fair value hedges. As a result, the fair values of the derivatives and changes in the fair values of the underlying hedged items are reported in other current and noncurrent assets and liabilities in the Consolidated Balance Sheet. Changes in the fair values of these derivatives and underlying hedged items generally offset and are recorded each period in sales or interest expense, consistent with the underlying hedged item. | |||||||||
Alcoa accounts for hedges of foreign currency exposures and certain forecasted transactions as cash flow hedges. The fair values of the derivatives are recorded in other current and noncurrent assets and liabilities in the Consolidated Balance Sheet. The effective portions of the changes in the fair values of these derivatives are recorded in other comprehensive income and are reclassified to sales, cost of goods sold, or other income or expense in the period in which earnings are impacted by the hedged items or in the period that the transaction no longer qualifies as a cash flow hedge. These contracts cover the same periods as known or expected exposures, generally not exceeding five years. | |||||||||
If no hedging relationship is designated, the derivative is marked to market through earnings. | |||||||||
Cash flows from derivatives are recognized in the Statement of Consolidated Cash Flows in a manner consistent with the underlying transactions. | |||||||||
Foreign Currency | ' | ||||||||
Foreign Currency. The local currency is the functional currency for Alcoa’s significant operations outside the U.S., except for certain operations in Canada, Russia and Iceland, where the U.S. dollar is used as the functional currency. The determination of the functional currency for Alcoa’s operations is made based on the appropriate economic and management indicators. | |||||||||
Acquisitions | ' | ||||||||
Acquisitions. Alcoa’s business acquisitions are accounted for using the acquisition method. The purchase price is allocated to the assets acquired and liabilities assumed based on their estimated fair values. Any excess purchase price over the fair value of the net assets acquired is recorded as goodwill. For all acquisitions, operating results are included in the Statement of Consolidated Operations from the date of the acquisition. | |||||||||
Discontinued Operations and Assets Held for Sale | ' | ||||||||
Discontinued Operations and Assets Held For Sale. For those businesses where management has committed to a plan to divest, each business is valued at the lower of its carrying amount or estimated fair value less cost to sell. If the carrying amount of the business exceeds its estimated fair value, an impairment loss is recognized. Fair value is estimated using accepted valuation techniques such as a DCF model, valuations performed by third parties, earnings multiples, or indicative bids, when available. A number of significant estimates and assumptions are involved in the application of these techniques, including the forecasting of markets and market share, sales volumes and prices, costs and expenses, and multiple other factors. Management considers historical experience and all available information at the time the estimates are made; however, the fair value that is ultimately realized upon the divestiture of a business may differ from the estimated fair value reflected in the Consolidated Financial Statements. Depreciation, depletion, and amortization expense is not recorded on assets of a business to be divested once they are classified as held for sale. Businesses to be divested are classified in the Consolidated Financial Statements as either discontinued operations or held for sale. | |||||||||
For businesses classified as discontinued operations, the balance sheet amounts and results of operations are reclassified from their historical presentation to assets and liabilities of operations held for sale on the Consolidated Balance Sheet and to discontinued operations on the Statement of Consolidated Operations, respectively, for all periods presented. The gains or losses associated with these divested businesses are recorded in discontinued operations on the Statement of Consolidated Operations. The Statement of Consolidated Cash Flows is also reclassified for assets and liabilities of operations held for sale and discontinued operations for all periods presented. Additionally, segment information does not include the assets or operating results of businesses classified as discontinued operations for all periods presented. Management does not expect any continuing involvement with these businesses following their divestiture, and these businesses are expected to be disposed of within one year. | |||||||||
For businesses classified as held for sale that do not qualify for discontinued operations treatment, the balance sheet and cash flow amounts are reclassified from their historical presentation to assets and liabilities of operations held for sale for all periods presented. The results of operations continue to be reported in continuing operations. The gains or losses associated with these divested businesses are recorded in restructuring and other charges on the Statement of Consolidated Operations. The segment information includes the assets and operating results of businesses classified as held for sale for all periods presented. Management expects that Alcoa will have continuing involvement with these businesses following their divestiture, primarily in the form of equity participation, or ongoing aluminum or other significant supply contracts. | |||||||||
Comprehensive Income | ' | ||||||||
Comprehensive Income—On January 1, 2013, Alcoa adopted changes issued by the Financial Accounting Standards Board (FASB) to the reporting of amounts reclassified out of accumulated other comprehensive income. These changes require an entity to report the effect of significant reclassifications out of accumulated other comprehensive income on the respective line items in net income if the amount being reclassified is required to be reclassified in its entirety to net income. For other amounts that are not required to be reclassified in their entirety to net income in the same reporting period, an entity is required to cross-reference other disclosures that provide additional detail about those amounts. These requirements are to be applied to each component of accumulated other comprehensive income. Other than the additional disclosure requirements (see Note B), the adoption of these changes had no impact on the Consolidated Financial Statements. | |||||||||
On January 1, 2012, Alcoa adopted changes issued by the FASB to the presentation of comprehensive income. These changes give an entity the option to present the total of comprehensive income, the components of net income, and the components of other comprehensive income either in a single continuous statement of comprehensive income or in two separate but consecutive statements; the option to present components of other comprehensive income as part of the statement of changes in stockholders’ equity was eliminated. The items that must be reported in other comprehensive income or when an item of other comprehensive income must be reclassified to net income were not changed. Additionally, no changes were made to the calculation and presentation of earnings per share. Management elected to present the two-statement option. Other than the change in presentation, the adoption of these changes had no impact on the Consolidated Financial Statements. | |||||||||
Goodwill and Other Intangible Assets | ' | ||||||||
Goodwill and Other Intangible Assets—On January 1, 2013, Alcoa adopted changes issued by the FASB to the testing of indefinite-lived intangible assets for impairment, similar to the goodwill changes adopted in October 2011 (see below). These changes provide an entity the option to first assess qualitative factors to determine whether the existence of events or circumstances leads to a determination that it is more likely than not (greater than 50%) that the fair value of an indefinite-lived intangible asset is less than its carrying amount. Such qualitative factors may include the following: macroeconomic conditions; industry and market considerations; cost factors; overall financial performance; and other relevant entity-specific events. If an entity elects to perform a qualitative assessment and determines that an impairment is more likely than not, the entity is then required to perform the existing two-step quantitative impairment test, otherwise no further analysis is required. An entity also may elect not to perform the qualitative assessment and, instead, proceed directly to the two-step quantitative impairment test. Notwithstanding the adoption of these changes, management plans to proceed directly to the two-step quantitative test for Alcoa’s indefinite-lived intangible assets. The adoption of these changes had no impact on the Consolidated Financial Statements. | |||||||||
On January 1, 2011, Alcoa adopted changes issued by the FASB to the testing of goodwill for impairment. These changes require an entity to perform all steps in the test for a reporting unit whose carrying value is zero or negative if it is more likely than not (greater than 50%) that a goodwill impairment exists based on qualitative factors. This will result in the elimination of an entity’s ability to assert that such a reporting unit’s goodwill is not impaired and additional testing is not necessary despite the existence of qualitative factors that indicate otherwise. Based on the then most recent impairment review of Alcoa’s goodwill (2011 fourth quarter), the adoption of these changes had no impact on the Consolidated Financial Statements. | |||||||||
In September 2011, the FASB issued changes to the testing of goodwill for impairment. These changes provide an entity the option to first assess qualitative factors to determine whether the existence of events or circumstances leads to a determination that it is more likely than not (greater than 50%) that the fair value of a reporting unit is less than its carrying amount. Such qualitative factors may include the following: macroeconomic conditions; industry and market considerations; cost factors; overall financial performance; and other relevant entity-specific events. If an entity elects to perform a qualitative assessment and determines that an impairment is more likely than not, the entity is then required to perform the existing two-step quantitative impairment test, otherwise no further analysis is required. An entity also may elect not to perform the qualitative assessment and, instead, proceed directly to the two-step quantitative impairment test. Under either option, the ultimate outcome of the goodwill impairment test should be the same. These changes were required to become effective for Alcoa for any goodwill impairment test performed on January 1, 2012 or later; however, early adoption is permitted. Alcoa elected to early adopt these changes in conjunction with management’s annual review of goodwill in the fourth quarter of 2011 (see Goodwill and Other Intangible Assets policy in Note A above). The adoption of these changes had no impact on the Consolidated Financial Statements. | |||||||||
Other | ' | ||||||||
Other—On January 1, 2013, Alcoa adopted changes issued by the FASB to the disclosure of offsetting assets and liabilities. These changes require an entity to disclose both gross information and net information about both instruments and transactions eligible for offset in the statement of financial position and instruments and transactions subject to an agreement similar to a master netting arrangement. The enhanced disclosures will enable users of an entity’s financial statements to understand and evaluate the effect or potential effect of master netting arrangements on an entity’s financial position, including the effect or potential effect of rights of setoff associated with certain financial instruments and derivative instruments. Other than the additional disclosure requirements (see Note X), the adoption of these changes had no impact on the Consolidated Financial Statements. | |||||||||
On July 17, 2013, the FASB issued and Alcoa adopted changes related to hedge accounting. These changes permit an entity to use the Fed Funds Effective Swap Rate as a U.S. benchmark interest rate for hedge accounting purposes. Previously only interest rates on direct Treasury obligations of the U.S. government and the London Interbank Offered Rate swap rate were considered benchmark interest rates. The benchmark interest rate is used to assess the interest rate risk associated with a hedged item’s fair value or a hedged transaction’s cash flows. Also, the changes remove the restriction on using different benchmark rates for similar hedges. These changes are effective prospectively for qualifying new or redesignated hedging relationships entered into on or after July 17, 2013. The adoption of these changes had no impact on the Consolidated Financial Statements. | |||||||||
On January 1, 2012, Alcoa adopted changes issued by the FASB to conform existing guidance regarding fair value measurement and disclosure between GAAP and International Financial Reporting Standards. These changes both clarify the FASB’s intent about the application of existing fair value measurement and disclosure requirements and amend certain principles or requirements for measuring fair value or for disclosing information about fair value measurements. The clarifying changes relate to the application of the highest and best use and valuation premise concepts, measuring the fair value of an instrument classified in a reporting entity’s shareholders’ equity, and disclosure of quantitative information about unobservable inputs used for Level 3 fair value measurements. The amendments relate to measuring the fair value of financial instruments that are managed within a portfolio; application of premiums and discounts in a fair value measurement; and additional disclosures concerning the valuation processes used and sensitivity of the fair value measurement to changes in unobservable inputs for those items categorized as Level 3, a reporting entity’s use of a nonfinancial asset in a way that differs from the asset’s highest and best use, and the categorization by level in the fair value hierarchy for items required to be measured at fair value for disclosure purposes only. Other than the additional disclosure requirements (see Note X), the adoption of these changes had no impact on the Consolidated Financial Statements. | |||||||||
On January 1, 2011, Alcoa adopted changes issued by the FASB to disclosure requirements for fair value measurements. Specifically, the changes require a reporting entity to disclose, in the reconciliation of fair value measurements using significant unobservable inputs (Level 3), separate information about purchases, sales, issuances, and settlements (that is, on a gross basis rather than as one net number). These changes were applied to the disclosures in Note W and the Derivatives section of Note X to the Consolidated Financial Statements. | |||||||||
On January 1, 2011, Alcoa adopted changes issued by the FASB to the disclosure of pro forma information for business combinations. These changes clarify that if a public entity presents comparative financial statements, the entity should disclose revenue and earnings of the combined entity as though the business combination that occurred during the current year had occurred as of the beginning of the comparable prior annual reporting period only. Also, the existing supplemental pro forma disclosures were expanded to include a description of the nature and amount of material, nonrecurring pro forma adjustments directly attributable to the business combination included in the reported pro forma revenue and earnings. The adoption of these changes had no impact on the Consolidated Financial Statements. | |||||||||
On January 1, 2011, Alcoa adopted changes issued by the FASB to revenue recognition for multiple-deliverable arrangements. These changes require separation of consideration received in such arrangements by establishing a selling price hierarchy (not the same as fair value) for determining the selling price of a deliverable, which will be based on available information in the following order: vendor-specific objective evidence, third-party evidence, or estimated selling price; eliminate the residual method of allocation and require that the consideration be allocated at the inception of the arrangement to all deliverables using the relative selling price method, which allocates any discount in the arrangement to each deliverable on the basis of each deliverable’s selling price; require that a vendor determine its best estimate of selling price in a manner that is consistent with that used to determine the price to sell the deliverable on a standalone basis; and expand the disclosures related to multiple-deliverable revenue arrangements. The adoption of these changes had no impact on the Consolidated Financial Statements, as Alcoa does not currently have any such arrangements with its customers. | |||||||||
On January 1, 2011, Alcoa adopted changes issued by the FASB to the classification of certain employee share-based payment awards. These changes clarify that there is not an indication of a condition that is other than market, performance, or service if an employee share-based payment award’s exercise price is denominated in the currency of a market in which a substantial portion of the entity’s equity securities trade and differs from the functional currency of the employer entity or payroll currency of the employee. An employee share-based payment award is required to be classified as a liability if the award does not contain a market, performance, or service condition. Prior to this guidance, the difference between the currency denomination of an employee share-based payment award’s exercise price and the functional currency of the employer entity or payroll currency of the employee was not a factor considered by management when determining the proper classification of a share-based payment award. The adoption of these changes had no impact on the Consolidated Financial Statements. | |||||||||
Recently Issued Accounting Guidance | ' | ||||||||
Recently Issued Accounting Guidance. In February 2013, the FASB issued changes to the accounting for obligations resulting from joint and several liability arrangements. These changes require an entity to measure such obligations for which the total amount of the obligation is fixed at the reporting date as the sum of (i) the amount the reporting entity agreed to pay on the basis of its arrangement among its co-obligors, and (ii) any additional amount the reporting entity expects to pay on behalf of its co-obligors. An entity will also be required to disclose the nature and amount of the obligation as well as other information about those obligations. Examples of obligations subject to these requirements are debt arrangements and settled litigation and judicial rulings. These changes become effective for Alcoa on January 1, 2014. Management has determined that the adoption of these changes will not have an impact on the Consolidated Financial Statements, as Alcoa does not currently have any such arrangements. | |||||||||
In March 2013, the FASB issued changes to a parent entity’s accounting for the cumulative translation adjustment upon derecognition of certain subsidiaries or groups of assets within a foreign entity or of an investment in a foreign entity. A parent entity is required to release any related cumulative foreign currency translation adjustment from accumulated other comprehensive income into net income in the following circumstances: (i) a parent entity ceases to have a controlling financial interest in a subsidiary or group of assets that is a business within a foreign entity if the sale or transfer results in the complete or substantially complete liquidation of the foreign entity in which the subsidiary or group of assets had resided; (ii) a partial sale of an equity method investment that is a foreign entity; (iii) a partial sale of an equity method investment that is not a foreign entity whereby the partial sale represents a complete or substantially complete liquidation of the foreign entity that held the equity method investment; and (iv) the sale of an investment in a foreign entity. These changes become effective for Alcoa on January 1, 2014. Management has determined that the adoption of these changes will need to be considered in the Consolidated Financial Statements in the event Alcoa initiates any of the transactions described above. | |||||||||
In July 2013, the FASB issued changes to the presentation of an unrecognized tax benefit when a net operating loss carryforward, a similar tax loss, or a tax credit carryforward exists. These changes require an entity to present an unrecognized tax benefit as a liability in the financial statements if (i) a net operating loss carryforward, a similar tax loss, or a tax credit carryforward is not available at the reporting date under the tax law of the applicable jurisdiction to settle any additional income taxes that would result from the disallowance of a tax position, or (ii) the tax law of the applicable jurisdiction does not require the entity to use, and the entity does not intend to use, the deferred tax asset to settle any additional income taxes that would result from the disallowance of a tax position. Otherwise, an unrecognized tax benefit is required to be presented in the financial statements as a reduction to a deferred tax asset for a net operating loss carryforward, a similar tax loss, or a tax credit carryforward. Previously, there was diversity in practice as no explicit guidance existed. These changes become effective for Alcoa on January 1, 2014. Management has determined that the adoption of these changes will not have a significant impact on the Consolidated Financial Statements. |
Summary_of_Significant_Account2
Summary of Significant Accounting Policies (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Accounting Policies [Abstract] | ' | ||||||||
Weighted-Average Useful Lives of Structures and Machinery and Equipment | ' | ||||||||
The following table details the weighted-average useful lives of structures and machinery and equipment by reporting segment (numbers in years): | |||||||||
Segment | Structures | Machinery and equipment | |||||||
Alumina: | |||||||||
Alumina refining | 30 | 26 | |||||||
Bauxite mining | 31 | 17 | |||||||
Primary Metals: | |||||||||
Aluminum smelting | 35 | 21 | |||||||
Power generation | 30 | 21 | |||||||
Global Rolled Products | 32 | 21 | |||||||
Engineered Products and Solutions | 29 | 18 | |||||||
Weighted-Average Useful Lives of Software and Other Intangible Assets | ' | ||||||||
The following table details the weighted-average useful lives of software and other intangible assets by reporting segment (numbers in years): | |||||||||
Segment | Software | Other intangible assets | |||||||
Alumina | 10 | 34 | |||||||
Primary Metals | 8 | 39 | |||||||
Global Rolled Products | 9 | 17 | |||||||
Engineered Products and Solutions | 11 | 19 |
Accumulated_Other_Comprehensiv1
Accumulated Other Comprehensive Loss (Tables) | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||
Equity [Abstract] | ' | ||||||||||||||||||||||||
Summary of Changes in Accumulated Other Comprehensive Loss by Component | ' | ||||||||||||||||||||||||
The following table details the activity of the four components that comprise Accumulated other comprehensive (loss) income for both Alcoa’s shareholders and noncontrolling interests: | |||||||||||||||||||||||||
Alcoa | Noncontrolling Interests | ||||||||||||||||||||||||
2013 | 2012 | 2011 | 2013 | 2012 | 2011 | ||||||||||||||||||||
Pension and other postretirement benefits (W) | |||||||||||||||||||||||||
Balance at beginning of period | $ | (4,063 | ) | $ | (3,534 | ) | $ | (2,941 | ) | $ | (77 | ) | $ | (99 | ) | $ | (40 | ) | |||||||
Other comprehensive income (loss): | |||||||||||||||||||||||||
Unrecognized net actuarial loss and prior service cost/benefit | 281 | (1,184 | ) | (1,159 | ) | 28 | 15 | (97 | ) | ||||||||||||||||
Tax (expense) benefit | (88 | ) | 398 | 399 | (9 | ) | (4 | ) | 32 | ||||||||||||||||
Total Other comprehensive income (loss) before reclassifications, net of tax | 193 | (786 | ) | (760 | ) | 19 | 11 | (65 | ) | ||||||||||||||||
Amortization of net actuarial loss and prior service cost/benefit(1) | 520 | 396 | 257 | 11 | 16 | 9 | |||||||||||||||||||
Tax expense(2) | (182 | ) | (139 | ) | (90 | ) | (4 | ) | (5 | ) | (3 | ) | |||||||||||||
Total amount reclassified from Accumulated other comprehensive loss, net of tax(8) | 338 | 257 | 167 | 7 | 11 | 6 | |||||||||||||||||||
Total Other comprehensive income (loss) | 531 | (529 | ) | (593 | ) | 26 | 22 | (59 | ) | ||||||||||||||||
Balance at end of period | $ | (3,532 | ) | $ | (4,063 | ) | $ | (3,534 | ) | $ | (51 | ) | $ | (77 | ) | $ | (99 | ) | |||||||
Foreign currency translation | |||||||||||||||||||||||||
Balance at beginning of period | $ | 1,147 | $ | 1,349 | $ | 1,892 | $ | 257 | $ | 351 | $ | 516 | |||||||||||||
Other comprehensive loss(3) | (968 | ) | (202 | ) | (543 | ) | (367 | ) | (94 | ) | (165 | ) | |||||||||||||
Balance at end of period | $ | 179 | $ | 1,147 | $ | 1,349 | $ | (110 | ) | $ | 257 | $ | 351 | ||||||||||||
Available-for-sale-securities | |||||||||||||||||||||||||
Balance at beginning of period | $ | 3 | $ | 1 | $ | 1 | $ | - | $ | - | $ | - | |||||||||||||
Other comprehensive (loss) income(4) | (1 | ) | 2 | - | - | - | - | ||||||||||||||||||
Balance at end of period | $ | 2 | $ | 3 | $ | 1 | $ | - | $ | - | $ | - | |||||||||||||
Cash flow hedges (X) | |||||||||||||||||||||||||
Balance at beginning of period | $ | (489 | ) | $ | (443 | ) | $ | (627 | ) | $ | (5 | ) | $ | (4 | ) | $ | 1 | ||||||||
Other comprehensive income (loss): | |||||||||||||||||||||||||
Net change from periodic revaluations | 205 | (2 | ) | 88 | 4 | (1 | ) | (8 | ) | ||||||||||||||||
Tax (expense) benefit | (43 | ) | (10 | ) | (25 | ) | (1 | ) | - | 2 | |||||||||||||||
Total Other comprehensive income (loss) before reclassifications, net of tax | 162 | (12 | ) | 63 | 3 | (1 | ) | (6 | ) | ||||||||||||||||
Net amount reclassified to earnings: | |||||||||||||||||||||||||
Aluminum contracts(5) | 18 | (65 | ) | 152 | - | - | - | ||||||||||||||||||
Energy contracts(6) | - | - | 13 | - | - | - | |||||||||||||||||||
Foreign exchange contracts(5) | 2 | - | (3 | ) | - | - | - | ||||||||||||||||||
Interest rate contracts(7) | 2 | 3 | 5 | - | - | 1 | |||||||||||||||||||
Sub-total | 22 | (62 | ) | 167 | - | - | 1 | ||||||||||||||||||
Tax (expense) benefit(2) | (3 | ) | 28 | (46 | ) | - | - | - | |||||||||||||||||
Total amount reclassified from Accumulated other comprehensive loss, net of tax(8) | 19 | (34 | ) | 121 | - | - | 1 | ||||||||||||||||||
Total Other comprehensive income (loss) | 181 | (46 | ) | 184 | 3 | (1 | ) | (5 | ) | ||||||||||||||||
Balance at end of period | $ | (308 | ) | $ | (489 | ) | $ | (443 | ) | $ | (2 | ) | $ | (5 | ) | $ | (4 | ) | |||||||
(1) | These amounts were included in the computation of net periodic benefit cost for pension and other postretirement benefits (see Note W). | ||||||||||||||||||||||||
(2) | These amounts were included in Provision for income taxes on the accompanying Statement of Consolidated Operations. | ||||||||||||||||||||||||
(3) | In all periods presented, there were no tax impacts related to rate changes and no amounts were reclassified to earnings. | ||||||||||||||||||||||||
(4) | In all periods presented, unrealized and realized gains and losses related to these securities were immaterial. Realized gains and losses were included in Other income, net on the accompanying Statement of Consolidated Operations. | ||||||||||||||||||||||||
(5) | These amounts were included in Sales on the accompanying Statement of Consolidated Operations. | ||||||||||||||||||||||||
(6) | This amount was included in Cost of goods sold on the accompanying Statement of Consolidated Operations. | ||||||||||||||||||||||||
(7) | In 2013 and 2012, this amount was included in Interest expense on the accompanying Statement of Consolidated Operations. In 2011, this amount was included in Other income, net on the accompanying Statement of Consolidated Operations. | ||||||||||||||||||||||||
(8) | A positive amount indicates a corresponding charge to earnings and a negative amount indicates a corresponding benefit to earnings. These amounts were reflected on the accompanying Statement of Consolidated Operations in the line items indicated in footnotes 1 through 7. |
Asset_Retirement_Obligations_T
Asset Retirement Obligations (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Asset Retirement Obligation Disclosure [Abstract] | ' | ||||||||
Schedule of Carrying Value of Recorded AROs by Major Category | ' | ||||||||
The following table details the carrying value of recorded AROs by major category (of which $85 and $75 was classified as a current liability as of December 31, 2013 and 2012, respectively): | |||||||||
December 31, | 2013 | 2012 | |||||||
Spent pot lining disposal | $ | 182 | $ | 182 | |||||
Closure of bauxite residue areas | 179 | 190 | |||||||
Mine reclamation | 178 | 189 | |||||||
Demolition* | 68 | 28 | |||||||
Landfill closure | 18 | 17 | |||||||
Other | 4 | 4 | |||||||
$ | 629 | $ | 610 | ||||||
* | In 2013, AROs were recorded as a result of management’s decision to permanently shut down and demolish certain structures (see Note D). | ||||||||
Schedule of Changes in Carrying Value of Recorded AROs | ' | ||||||||
The following table details the changes in the total carrying value of recorded AROs: | |||||||||
December 31, | 2013 | 2012 | |||||||
Balance at beginning of year | $ | 610 | $ | 579 | |||||
Accretion expense | 24 | 25 | |||||||
Payments | (71 | ) | (81 | ) | |||||
Liabilities incurred | 118 | 80 | |||||||
Foreign currency translation and other | (52 | ) | 7 | ||||||
Balance at end of year | $ | 629 | $ | 610 | |||||
Restructuring_and_Other_Charge1
Restructuring and Other Charges (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Restructuring And Related Activities [Abstract] | ' | ||||||||||||
Schedule of Restructuring and Other Charges | ' | ||||||||||||
Restructuring and other charges for each year in the three-year period ended December 31, 2013 were comprised of the following: | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
Resolution of a legal matter (N) | $ | 391 | $ | 85 | $ | - | |||||||
Layoff costs | 201 | 47 | 93 | ||||||||||
Asset impairments | 116 | 40 | 150 | ||||||||||
Other | 82 | 21 | 61 | ||||||||||
Reversals of previously recorded layoff and other exit costs | (8 | ) | (21 | ) | (23 | ) | |||||||
Restructuring and other charges | $ | 782 | $ | 172 | $ | 281 | |||||||
Schedule of Restructuring and Other Charges by Reportable Segments, Pretax | ' | ||||||||||||
The pretax impact of allocating such charges to segment results would have been as follows: | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
Alumina | $ | 11 | $ | 3 | $ | 39 | |||||||
Primary Metals | 295 | 20 | 212 | ||||||||||
Global Rolled Products | 15 | 43 | 19 | ||||||||||
Engineered Products and Solutions | 27 | 13 | (3 | ) | |||||||||
Segment total | 348 | 79 | 267 | ||||||||||
Corporate | 434 | 93 | 14 | ||||||||||
Total restructuring and other charges | $ | 782 | $ | 172 | $ | 281 | |||||||
Activity and Reserve Balances for Restructuring Charges | ' | ||||||||||||
Activity and reserve balances for restructuring charges were as follows: | |||||||||||||
Layoff | Other | Total | |||||||||||
costs | exit costs | ||||||||||||
Reserve balances at December 31, 2010 | $ | 53 | $ | 63 | $ | 116 | |||||||
2011:00:00 | |||||||||||||
Cash payments | (45 | ) | (9 | ) | (54 | ) | |||||||
Restructuring charges | 93 | 37 | 130 | ||||||||||
Other* | (24 | ) | (34 | ) | (58 | ) | |||||||
Reserve balances at December 31, 2011 | 77 | 57 | 134 | ||||||||||
2012:00:00 | |||||||||||||
Cash payments | (44 | ) | (13 | ) | (57 | ) | |||||||
Restructuring charges | 47 | 13 | 60 | ||||||||||
Other* | (21 | ) | (5 | ) | (26 | ) | |||||||
Reserve balances at December 31, 2012 | 59 | 52 | 111 | ||||||||||
2013:00:00 | |||||||||||||
Cash payments | (63 | ) | (11 | ) | (74 | ) | |||||||
Restructuring charges | 201 | 85 | 286 | ||||||||||
Other* | (101 | ) | (84 | ) | (185 | ) | |||||||
Reserve balances at December 31, 2013 | $ | 96 | $ | 42 | $ | 138 | |||||||
* | Other includes reversals of previously recorded restructuring charges and the effects of foreign currency translation. In 2013, Other for layoff costs also included a reclassification of $92 in pension costs, as this obligation was included in Alcoa’s separate liability for pension obligations (see Note W). Also in 2013, Other for other exit costs also included a reclassification of the following restructuring charges: $58 in asset retirement and $12 in environmental obligations, as these liabilities were included in Alcoa’s separate reserves for asset retirement obligations (see Note C) and environmental remediation (see Note N), respectively. In 2011, Other for other exit costs also included a reclassification of the following restructuring charges: $18 in environmental and $17 in asset retirement obligations, as these liabilities were included in Alcoa’s separate reserves for environmental remediation and asset retirement obligations, respectively. |
Goodwill_and_Other_Intangible_1
Goodwill and Other Intangible Assets (Tables) | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||
Goodwill And Intangible Assets Disclosure [Abstract] | ' | ||||||||||||||||||||||||
Changes in Carrying Amount of Goodwill | ' | ||||||||||||||||||||||||
The following table details the changes in the carrying amount of goodwill: | |||||||||||||||||||||||||
Alumina | Primary | Global | Engineered | Corporate* | Total | ||||||||||||||||||||
Metals | Rolled | Products | |||||||||||||||||||||||
Products | and | ||||||||||||||||||||||||
Solutions | |||||||||||||||||||||||||
Balance at December 31, 2011: | |||||||||||||||||||||||||
Goodwill | $ | 11 | $ | 991 | $ | 208 | $ | 2,694 | $ | 1,281 | $ | 5,185 | |||||||||||||
Accumulated impairment losses | - | - | - | (28 | ) | - | (28 | ) | |||||||||||||||||
11 | 991 | 208 | 2,666 | 1,281 | 5,157 | ||||||||||||||||||||
Acquisition of businesses | - | - | - | (1 | ) | - | (1 | ) | |||||||||||||||||
Translation | (1 | ) | 6 | 6 | 12 | (9 | ) | 14 | |||||||||||||||||
Balance at December 31, 2012: | |||||||||||||||||||||||||
Goodwill | 10 | 997 | 214 | 2,705 | 1,272 | 5,198 | |||||||||||||||||||
Accumulated impairment losses | - | - | - | (28 | ) | - | (28 | ) | |||||||||||||||||
10 | 997 | 214 | 2,677 | 1,272 | 5,170 | ||||||||||||||||||||
Impairment | - | (989 | ) | - | - | (742 | ) | (1,731 | ) | ||||||||||||||||
Translation | (1 | ) | (8 | ) | 4 | (7 | ) | (12 | ) | (24 | ) | ||||||||||||||
Balance at December 31, 2013: | |||||||||||||||||||||||||
Goodwill | 9 | 989 | 218 | 2,698 | 1,260 | 5,174 | |||||||||||||||||||
Accumulated impairment losses | - | (989 | ) | - | (28 | ) | (742 | ) | (1,759 | ) | |||||||||||||||
$ | 9 | $ | - | $ | 218 | $ | 2,670 | $ | 518 | $ | 3,415 | ||||||||||||||
* | As of December 31, 2013, $493 of the amount reflected in Corporate is allocated to three of Alcoa’s four reportable segments ($158 to Alumina, $61 to Global Rolled Products, and $274 to Engineered Products and Solutions) included in the table above for purposes of impairment testing (see Note A). This goodwill is reflected in Corporate for segment reporting purposes because it is not included in management’s assessment of performance by the three reportable segments. | ||||||||||||||||||||||||
Other Intangible Assets | ' | ||||||||||||||||||||||||
Other intangible assets, which are included in Other noncurrent assets on the accompanying Consolidated Balance Sheet, were as follows: | |||||||||||||||||||||||||
December 31, 2013 | Gross | Accumulated | |||||||||||||||||||||||
carrying | amortization | ||||||||||||||||||||||||
amount | |||||||||||||||||||||||||
Computer software | $ | 988 | $ | (743 | ) | ||||||||||||||||||||
Patents and licenses | 133 | (93 | ) | ||||||||||||||||||||||
Other intangibles | 100 | (32 | ) | ||||||||||||||||||||||
Total amortizable intangible assets | 1,221 | (868 | ) | ||||||||||||||||||||||
Indefinite-lived trade names and trademarks | 46 | — | |||||||||||||||||||||||
Total other intangible assets | $ | 1,267 | $ | (868 | ) | ||||||||||||||||||||
December 31, 2012 | Gross | Accumulated | |||||||||||||||||||||||
carrying | amortization | ||||||||||||||||||||||||
amount | |||||||||||||||||||||||||
Computer software | $ | 907 | $ | (664 | ) | ||||||||||||||||||||
Patents and licenses | 133 | (88 | ) | ||||||||||||||||||||||
Other intangibles | 101 | (28 | ) | ||||||||||||||||||||||
Total amortizable intangible assets | 1,141 | (780 | ) | ||||||||||||||||||||||
Indefinite-lived trade names and trademarks | 46 | — | |||||||||||||||||||||||
Total other intangible assets | $ | 1,187 | $ | (780 | ) | ||||||||||||||||||||
Inventories_Tables
Inventories (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Inventory Disclosure [Abstract] | ' | ||||||||
Schedule of Inventory Components | ' | ||||||||
December 31, | 2013 | 2012 | |||||||
Finished goods | $ | 578 | $ | 542 | |||||
Work-in-process | 828 | 866 | |||||||
Bauxite and alumina | 581 | 618 | |||||||
Purchased raw materials | 474 | 536 | |||||||
Operating supplies | 244 | 263 | |||||||
$ | 2,705 | $ | 2,825 | ||||||
Properties_Plants_and_Equipmen1
Properties, Plants, and Equipment, Net (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Property Plant And Equipment [Abstract] | ' | ||||||||
Schedule of Properties, Plants, and Equipment, Net | ' | ||||||||
December 31, | 2013 | 2012 | |||||||
Land and land rights, including mines | $ | 639 | $ | 676 | |||||
Structures: | |||||||||
Alumina: | |||||||||
Alumina refining | 3,049 | 3,319 | |||||||
Bauxite mining | 1,591 | 1,563 | |||||||
Primary Metals: | |||||||||
Aluminum smelting | 3,863 | 4,042 | |||||||
Power generation | 683 | 604 | |||||||
Global Rolled Products | 1,256 | 1,232 | |||||||
Engineered Products and Solutions | 693 | 678 | |||||||
Other | 755 | 760 | |||||||
11,890 | 12,198 | ||||||||
Machinery and equipment: | |||||||||
Alumina: | |||||||||
Alumina refining | 4,685 | 5,279 | |||||||
Bauxite mining | 596 | 650 | |||||||
Primary Metals: | |||||||||
Aluminum smelting | 7,674 | 8,114 | |||||||
Power generation | 1,101 | 994 | |||||||
Global Rolled Products | 5,374 | 5,174 | |||||||
Engineered Products and Solutions | 2,481 | 2,415 | |||||||
Other | 859 | 883 | |||||||
22,770 | 23,509 | ||||||||
Less: accumulated depreciation, depletion, and amortization | 35,299 | 36,383 | |||||||
19,227 | 19,190 | ||||||||
Construction work-in-progress | 16,072 | 17,193 | |||||||
1,567 | 1,754 | ||||||||
$ | 17,639 | $ | 18,947 |
Investments_Tables
Investments (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Text Block [Abstract] | ' | ||||||||
Schedule of Investments | ' | ||||||||
December 31, | 2013 | 2012 | |||||||
Equity investments | $ | 1,777 | $ | 1,782 | |||||
Other investments | 130 | 78 | |||||||
$ | 1,907 | $ | 1,860 | ||||||
Other_Noncurrent_Assets_Tables
Other Noncurrent Assets (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Deferred Costs Capitalized Prepaid And Other Assets Disclosure [Abstract] | ' | ||||||||
Schedule of Other Noncurrent Assets | ' | ||||||||
December 31, | 2013 | 2012 | |||||||
Cash surrender value of life insurance | $ | 507 | $ | 464 | |||||
Intangibles, net (E) | 399 | 407 | |||||||
Value-added tax receivable | 339 | 408 | |||||||
Prepaid gas transmission contract (N) | 315 | 363 | |||||||
Fair value of derivative contracts (X) | 220 | 364 | |||||||
Deferred mining costs, net | 219 | 223 | |||||||
Advance related to European Commission Matter in Italy (N) | 126 | - | |||||||
Prepaid pension benefit (W) | 88 | 86 | |||||||
Unamortized debt expense | 73 | 86 | |||||||
Other | 342 | 311 | |||||||
$ | 2,628 | $ | 2,712 |
Debt_Tables
Debt (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Debt Disclosure [Abstract] | ' | ||||||||
Schedule of Long-Term Debt | ' | ||||||||
Long-Term Debt. | |||||||||
December 31, | 2013 | 2012 | |||||||
6.00% Notes, due 2013 | $ | - | $ | 422 | |||||
5.25% Convertible Notes, due 2014 | 575 | 575 | |||||||
5.55% Notes, due 2017 | 750 | 750 | |||||||
6.50% Bonds, due 2018 | 250 | 250 | |||||||
6.75% Notes, due 2018 | 750 | 750 | |||||||
5.72% Notes, due 2019 | 750 | 750 | |||||||
6.150% Notes, due 2020 | 1,000 | 1,000 | |||||||
5.40% Notes, due 2021 | 1,250 | 1,250 | |||||||
5.87% Notes, due 2022 | 627 | 627 | |||||||
5.90% Notes, due 2027 | 625 | 625 | |||||||
6.75% Bonds, due 2028 | 300 | 300 | |||||||
5.95% Notes due 2037 | 625 | 625 | |||||||
BNDES Loans, due 2014-2029 (see below for weighted average rates) | 325 | 397 | |||||||
Iowa Finance Authority Loan, due 2042 (4.75%) | 250 | 250 | |||||||
Other* | 185 | 205 | |||||||
Less: amount due within one year | 8,262 | 8,776 | |||||||
655 | 465 | ||||||||
$ | 7,607 | $ | 8,311 | ||||||
* | Other includes various financing arrangements related to subsidiaries, unamortized debt discounts related to the outstanding notes and bonds listed in the table above, a beneficial conversion feature related to the convertible notes, and adjustments to the carrying value of long-term debt related to interest swap contracts accounted for as fair value hedges (see Derivatives in Note X). |
Other_Noncurrent_Liabilities_a1
Other Noncurrent Liabilities and Deferred Credits (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Payables And Accruals [Abstract] | ' | ||||||||
Schedule of Other Noncurrent Liabilities and Deferred Credits | ' | ||||||||
December 31, | 2013 | 2012 | |||||||
Asset retirement obligations (C) | $ | 544 | $ | 535 | |||||
Environmental remediation (N) | 461 | 458 | |||||||
Fair value of derivative contracts (X) | 420 | 606 | |||||||
Income taxes (T) | 403 | 460 | |||||||
Accrued compensation and retirement costs | 342 | 322 | |||||||
Liability related to the resolution of a legal matter (N) | 296 | - | |||||||
Deferred credit related to derivative contract (X) | 157 | 330 | |||||||
Deferred alumina sales revenue | 101 | 108 | |||||||
Other | 247 | 259 | |||||||
$ | 2,971 | $ | 3,078 |
Noncontrolling_Interests_Table
Noncontrolling Interests (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Noncontrolling Interest [Abstract] | ' | ||||||||
Schedule of Noncontrolling Shareholders' Interests | ' | ||||||||
The following table summarizes the noncontrolling shareholders’ interests in the equity of certain Alcoa majority-owned consolidated subsidiaries: | |||||||||
December 31, | 2013 | 2012 | |||||||
Alcoa World Alumina and Chemicals | $ | 2,896 | $ | 3,295 | |||||
Other | 33 | 29 | |||||||
$ | 2,929 | $ | 3,324 |
Contingencies_and_Commitments_
Contingencies and Commitments (Tables) (Alba [Member]) | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||
Alba [Member] | ' | ||||||||||||||||||||||||
Summary of Activity Related to Alba Matter | ' | ||||||||||||||||||||||||
The following table details the activity related to the Alba matter: | |||||||||||||||||||||||||
2013 | 2012 | ||||||||||||||||||||||||
Alcoa | Alumina | Total | Alcoa | Alumina | Total | ||||||||||||||||||||
Limited | Limited | ||||||||||||||||||||||||
Government investigations(1) | $ | 326 | $ | 58 | $ | 384 | $ | - | $ | - | $ | - | |||||||||||||
Civil suit(1) | - | - | - | 51 | 34 | 85 | |||||||||||||||||||
Reallocation of civil suit | 21 | (21 | ) | - | - | - | - | ||||||||||||||||||
Reallocation of legal costs | 20 | (20 | ) | - | - | - | - | ||||||||||||||||||
Loss before income taxes | 367 | 17 | 384 | 51 | 34 | 85 | |||||||||||||||||||
Benefit for income taxes | 66 | - | 66 | 18 | - | 18 | |||||||||||||||||||
Net loss(2) | $ | 301 | $ | 17 | $ | 318 | $ | 33 | $ | 34 | $ | 67 | |||||||||||||
(1) | The amount in the Total column was recorded in Restructuring and other charges (see Note D). | ||||||||||||||||||||||||
(2) | In 2013 and 2012, the amount for Alcoa was included in Net (loss) income attributable to Alcoa, and the amount for Alumina Limited was included in Net income (loss) attributable to noncontrolling interests. |
Other_Income_Net_Tables
Other Income, Net (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Other Income And Expenses [Abstract] | ' | ||||||||||||
Schedule of Other Income, Net | ' | ||||||||||||
Other Income, Net | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
Equity loss (income) | $ | 68 | $ | 28 | $ | (15 | ) | ||||||
Interest income | (13 | ) | (31 | ) | (20 | ) | |||||||
Foreign currency (gains) losses, net | (33 | ) | (5 | ) | 16 | ||||||||
Net gain from asset sales | (10 | ) | (321 | ) | (41 | ) | |||||||
Net gain on mark-to-market derivative contracts (X) | (29 | ) | (13 | ) | (52 | ) | |||||||
Other, net | (8 | ) | 1 | 25 | |||||||||
$ | (25 | ) | $ | (341 | ) | $ | (87 | ) | |||||
Cash_Flow_Information_Tables
Cash Flow Information (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Supplemental Cash Flow Elements [Abstract] | ' | ||||||||||||
Schedule of Cash Paid for Interest and Income Taxes | ' | ||||||||||||
Cash paid for interest and income taxes was as follows: | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
Interest, net of amount capitalized | $ | 433 | $ | 454 | $ | 491 | |||||||
Income taxes, net of amount refunded | 200 | 223 | 382 | ||||||||||
Schedule of Cash Paid for Acquisitions | ' | ||||||||||||
The details related to cash paid for acquisitions were as follows: | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
Assets acquired | $ | - | $ | - | $ | 253 | |||||||
Liabilities assumed | - | - | (12 | ) | |||||||||
Cash paid | - | - | 241 | ||||||||||
Less: cash acquired | - | - | 1 | ||||||||||
Net cash paid | $ | - | $ | - | $ | 240 |
Segment_and_Geographic_Area_In1
Segment and Geographic Area Information (Tables) | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||
Segment Reporting [Abstract] | ' | ||||||||||||||||||||
Schedule of Operating Results and Assets of Alcoa's Reportable Segments | ' | ||||||||||||||||||||
The operating results and assets of Alcoa’s reportable segments were as follows: | |||||||||||||||||||||
Alumina | Primary | Global | Engineered | Total | |||||||||||||||||
Metals | Rolled | Products | |||||||||||||||||||
Products | and | ||||||||||||||||||||
Solutions | |||||||||||||||||||||
2013 | |||||||||||||||||||||
Sales: | |||||||||||||||||||||
Third-party sales | $ | 3,326 | $ | 6,596 | $ | 7,106 | $ | 5,733 | $ | 22,761 | |||||||||||
Intersegment sales | 2,235 | 2,621 | 178 | - | 5,034 | ||||||||||||||||
Total sales | $ | 5,561 | $ | 9,217 | $ | 7,284 | $ | 5,733 | $ | 27,795 | |||||||||||
Profit and loss: | |||||||||||||||||||||
Equity loss | $ | (4 | ) | $ | (51 | ) | $ | (13 | ) | $ | - | $ | (68 | ) | |||||||
Depreciation, depletion, and amortization | 426 | 526 | 226 | 159 | 1,337 | ||||||||||||||||
Income taxes | 66 | (74 | ) | 108 | 348 | 448 | |||||||||||||||
ATOI | 259 | (20 | ) | 252 | 726 | 1,217 | |||||||||||||||
2012 | |||||||||||||||||||||
Sales: | |||||||||||||||||||||
Third-party sales | $ | 3,092 | $ | 7,432 | $ | 7,378 | $ | 5,525 | $ | 23,427 | |||||||||||
Intersegment sales | 2,310 | 2,877 | 163 | - | 5,350 | ||||||||||||||||
Total sales | $ | 5,402 | $ | 10,309 | $ | 7,541 | $ | 5,525 | $ | 28,777 | |||||||||||
Profit and loss: | |||||||||||||||||||||
Equity income (loss) | $ | 5 | $ | (27 | ) | $ | (6 | ) | $ | - | $ | (28 | ) | ||||||||
Depreciation, depletion, and amortization | 455 | 532 | 229 | 158 | 1,374 | ||||||||||||||||
Income taxes | (27 | ) | 106 | 159 | 297 | 535 | |||||||||||||||
ATOI | 90 | 309 | 346 | 612 | 1,357 | ||||||||||||||||
2011 | |||||||||||||||||||||
Sales: | |||||||||||||||||||||
Third-party sales | $ | 3,462 | $ | 8,240 | $ | 7,642 | $ | 5,345 | $ | 24,689 | |||||||||||
Intersegment sales | 2,727 | 3,192 | 218 | - | 6,137 | ||||||||||||||||
Total sales | $ | 6,189 | $ | 11,432 | $ | 7,860 | $ | 5,345 | $ | 30,826 | |||||||||||
Profit and loss: | |||||||||||||||||||||
Equity income (loss) | $ | 25 | $ | (7 | ) | $ | (3 | ) | $ | 1 | $ | 16 | |||||||||
Depreciation, depletion, and amortization | 444 | 556 | 237 | 158 | 1,395 | ||||||||||||||||
Income taxes | 179 | 92 | 98 | 258 | 627 | ||||||||||||||||
ATOI | 607 | 481 | 260 | 537 | 1,885 | ||||||||||||||||
2013 | |||||||||||||||||||||
Assets: | |||||||||||||||||||||
Capital expenditures | $ | 322 | $ | 224 | $ | 335 | $ | 224 | $ | 1,105 | |||||||||||
Equity investments | 628 | 947 | 200 | - | 1,775 | ||||||||||||||||
Goodwill | 9 | - | 218 | 2,670 | 2,897 | ||||||||||||||||
Total assets | 8,248 | 10,341 | 4,647 | 6,011 | 29,247 | ||||||||||||||||
2012 | |||||||||||||||||||||
Assets: | |||||||||||||||||||||
Capital expenditures | $ | 374 | $ | 318 | $ | 258 | $ | 200 | $ | 1,150 | |||||||||||
Equity investments | 658 | 917 | 188 | - | 1,763 | ||||||||||||||||
Goodwill | 10 | 997 | 214 | 2,677 | 3,898 | ||||||||||||||||
Total assets | 9,709 | 11,709 | 4,603 | 5,891 | 31,912 | ||||||||||||||||
Schedule of Reconciliation of Certain Segment Information to Consolidated Totals | ' | ||||||||||||||||||||
The following tables reconcile certain segment information to consolidated totals: | |||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||
Sales: | |||||||||||||||||||||
Total segment sales | $ | 27,795 | $ | 28,777 | $ | 30,826 | |||||||||||||||
Elimination of intersegment sales | (5,034 | ) | (5,350 | ) | (6,137 | ) | |||||||||||||||
Corporate* | 271 | 273 | 262 | ||||||||||||||||||
Consolidated sales | $ | 23,032 | $ | 23,700 | $ | 24,951 | |||||||||||||||
* | For all periods presented, the Corporate amount includes third-party sales of the soft alloy extrusions business located in Brazil. | ||||||||||||||||||||
Schedule of Segment Reporting Information to Consolidated Net Income Attributable to Alcoa | ' | ||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||
Net (loss) income attributable to Alcoa: | |||||||||||||||||||||
Total segment ATOI | $ | 1,217 | $ | 1,357 | $ | 1,885 | |||||||||||||||
Unallocated amounts (net of tax): | |||||||||||||||||||||
Impact of LIFO | 52 | 20 | (38 | ) | |||||||||||||||||
Interest expense | (294 | ) | (319 | ) | (340 | ) | |||||||||||||||
Noncontrolling interests | (41 | ) | 29 | (194 | ) | ||||||||||||||||
Corporate expense | (284 | ) | (282 | ) | (290 | ) | |||||||||||||||
Impairment of goodwill | (1,731 | ) | - | - | |||||||||||||||||
Restructuring and other charges | (607 | ) | (142 | ) | (196 | ) | |||||||||||||||
Discontinued operations | - | - | (3 | ) | |||||||||||||||||
Other | (597 | ) | (472 | ) | (213 | ) | |||||||||||||||
Consolidated net (loss) income attributable to Alcoa | $ | (2,285 | ) | $ | 191 | $ | 611 | ||||||||||||||
Schedule of Segment Reporting Information to Consolidated Assets | ' | ||||||||||||||||||||
December 31, | 2013 | 2012 | |||||||||||||||||||
Assets: | |||||||||||||||||||||
Total segment assets | $ | 29,247 | $ | 31,912 | |||||||||||||||||
Elimination of intersegment receivables | (385 | ) | (444 | ) | |||||||||||||||||
Unallocated amounts: | |||||||||||||||||||||
Cash and cash equivalents | 1,437 | 1,861 | |||||||||||||||||||
Deferred income taxes | 3,410 | 4,052 | |||||||||||||||||||
Corporate goodwill | 518 | 1,272 | |||||||||||||||||||
Corporate fixed assets, net | 879 | 961 | |||||||||||||||||||
LIFO reserve | (691 | ) | (770 | ) | |||||||||||||||||
Other | 1,327 | 1,335 | |||||||||||||||||||
Consolidated assets | $ | 35,742 | $ | 40,179 | |||||||||||||||||
Sales by Major Product Grouping | ' | ||||||||||||||||||||
Sales by major product grouping were as follows: | |||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||
Sales: | |||||||||||||||||||||
Alumina | $ | 3,151 | $ | 2,962 | $ | 3,350 | |||||||||||||||
Primary aluminum | 6,194 | 7,121 | 7,907 | ||||||||||||||||||
Flat-rolled aluminum | 7,106 | 7,378 | 7,642 | ||||||||||||||||||
Investment castings | 1,807 | 1,747 | 1,700 | ||||||||||||||||||
Fastening systems | 1,505 | 1,414 | 1,313 | ||||||||||||||||||
Architectural aluminum systems | 977 | 970 | 973 | ||||||||||||||||||
Aluminum wheels | 702 | 692 | 656 | ||||||||||||||||||
Other extruded aluminum and forged products | 1,015 | 955 | 1,010 | ||||||||||||||||||
Other | 575 | 461 | 400 | ||||||||||||||||||
$ | 23,032 | $ | 23,700 | $ | 24,951 | ||||||||||||||||
Schedule of Geographic Information for Sales | ' | ||||||||||||||||||||
Geographic information for sales was as follows (based upon the country where the point of sale occurred): | |||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||
Sales: | |||||||||||||||||||||
U.S.(1) | $ | 11,766 | $ | 12,361 | $ | 12,295 | |||||||||||||||
Australia | 3,240 | 3,222 | 3,587 | ||||||||||||||||||
Spain(2) | 2,282 | 1,203 | 1,487 | ||||||||||||||||||
Brazil | 1,221 | 1,244 | 1,371 | ||||||||||||||||||
France | 862 | 807 | 825 | ||||||||||||||||||
Russia | 683 | 713 | 761 | ||||||||||||||||||
Hungary | 555 | 492 | 665 | ||||||||||||||||||
Netherlands(3) | 524 | 949 | 1,025 | ||||||||||||||||||
United Kingdom | 475 | 438 | 412 | ||||||||||||||||||
Norway(2) | 283 | 820 | 927 | ||||||||||||||||||
China | 259 | 326 | 283 | ||||||||||||||||||
Germany | 230 | 216 | 229 | ||||||||||||||||||
Italy | 157 | 379 | 537 | ||||||||||||||||||
Other | 495 | 530 | 547 | ||||||||||||||||||
$ | 23,032 | $ | 23,700 | $ | 24,951 | ||||||||||||||||
(1) | Sales that occurred in the U.S. include a portion of alumina from Alcoa’s refineries in Suriname, Brazil, Australia, and Jamaica and aluminum from Alcoa’s smelters in Canada. | ||||||||||||||||||||
(2) | In 2013, Sales that occurred in Spain include aluminum from Alcoa’s smelters in Iceland and Norway. | ||||||||||||||||||||
(3) | In 2012 and 2011, Sales that occurred in the Netherlands include aluminum from Alcoa’s smelter in Iceland. | ||||||||||||||||||||
Schedule of Geographic Information for Long-Lived Assets | ' | ||||||||||||||||||||
Geographic information for long-lived assets was as follows (based upon the physical location of the assets): | |||||||||||||||||||||
December 31, | 2013 | 2012 | |||||||||||||||||||
Long-lived assets: | |||||||||||||||||||||
U.S. | $ | 4,760 | $ | 4,621 | |||||||||||||||||
Brazil | 3,746 | 4,318 | |||||||||||||||||||
Australia | 3,024 | 3,548 | |||||||||||||||||||
Iceland | 1,518 | 1,571 | |||||||||||||||||||
Canada | 1,302 | 1,399 | |||||||||||||||||||
Norway | 762 | 898 | |||||||||||||||||||
Russia | 471 | 494 | |||||||||||||||||||
Spain | 446 | 445 | |||||||||||||||||||
Jamaica | 393 | 414 | |||||||||||||||||||
China | 388 | 395 | |||||||||||||||||||
Other | 829 | 844 | |||||||||||||||||||
$ | 17,639 | $ | 18,947 | ||||||||||||||||||
Preferred_and_Common_Stock_Tab
Preferred and Common Stock (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Equity [Abstract] | ' | ||||||||||||||||
Schedule of Share Activity | ' | ||||||||||||||||
Share Activity (number of shares) | |||||||||||||||||
Common stock | |||||||||||||||||
Treasury | Outstanding | ||||||||||||||||
Balance at end of 2010 | 119,362,029 | 1,022,025,965 | |||||||||||||||
Private placement | - | 36,518,563 | |||||||||||||||
Issued for stock-based compensation plans | (5,867,538 | ) | 5,867,538 | ||||||||||||||
Balance at end of 2011 | 113,494,491 | 1,064,412,066 | |||||||||||||||
Issued for stock-based compensation plans | (2,799,887 | ) | 2,799,887 | ||||||||||||||
Balance at end of 2012 | 110,694,604 | 1,067,211,953 | |||||||||||||||
Conversion of convertible notes | - | 310 | |||||||||||||||
Issued for stock-based compensation plans | (3,798,899 | ) | 3,798,899 | ||||||||||||||
Balance at end of 2013 | 106,895,705 | 1,071,011,162 | |||||||||||||||
Schedule of Share-Based Compensation | ' | ||||||||||||||||
Features based on date of original grant for stock options outstanding as of December 31, 2013 were as follows: | |||||||||||||||||
Date of original grant | Vesting | Term | Reload feature | ||||||||||||||
2008 - 2009 | 3 years | 6 years | None | ||||||||||||||
(1/3 each year) | |||||||||||||||||
2010 and forward | 3 years | 10 years | None | ||||||||||||||
(1/3 each year) | |||||||||||||||||
Schedule of Total Compensation Expense Recognized for All Stock Options and Awards | ' | ||||||||||||||||
The following table summarizes the total compensation expense recognized for all stock options and stock awards (there was no stock-based compensation expense capitalized in 2013, 2012, or 2011): | |||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||
Compensation expense recognized: | |||||||||||||||||
Stock option grants | $ | 21 | $ | 27 | $ | 34 | |||||||||||
Stock award grants | 50 | 40 | 49 | ||||||||||||||
Total compensation expense before income taxes | 71 | 67 | 83 | ||||||||||||||
Benefit for income taxes | 23 | 21 | 27 | ||||||||||||||
Total compensation expense, net of income taxes | $ | 48 | $ | 46 | $ | 56 | |||||||||||
Schedule of Fair Value of New Options | ' | ||||||||||||||||
The fair value of new options was estimated on the date of grant using a lattice-pricing model with the following assumptions: | |||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||
Weighted average fair value per option | $ | 2.24 | $ | 3.11 | $ | 4.96 | |||||||||||
Average risk-free interest rate | 0.10-1.89 | % | 0.06-1.89 | % | 0.19-3.44 | % | |||||||||||
Dividend yield | 1.3 | % | 0.9 | % | 0.9 | % | |||||||||||
Volatility | 28-40 | % | 39-45 | % | 36-43 | % | |||||||||||
Annual forfeiture rate | 7 | % | 5 | % | 5 | % | |||||||||||
Exercise behavior | 45 | % | 45 | % | 45 | % | |||||||||||
Life (years) | 6 | 5.8 | 5.8 | ||||||||||||||
Schedule of Activity for Stock Options | ' | ||||||||||||||||
The activity for stock options was as follows (options in millions): | |||||||||||||||||
Number of | Weighted | ||||||||||||||||
options | average | ||||||||||||||||
exercise price | |||||||||||||||||
Outstanding, January 1, 2013 | 45 | $ | 12.58 | ||||||||||||||
Granted | 8 | 8.88 | |||||||||||||||
Exercised | (1.6 | ) | 8.32 | ||||||||||||||
Expired or forfeited | (6.1 | ) | 22.13 | ||||||||||||||
Outstanding, December 31, 2013 | 45.3 | 10.78 | |||||||||||||||
Schedule of Options Fully Vested and/or Expected to Vest | ' | ||||||||||||||||
Options Fully Vested and/or Expected to Vest* | |||||||||||||||||
Range of | Number | Weighted | Weighted | Intrinsic | |||||||||||||
exercise price | average | average | Value | ||||||||||||||
remaining | exercise | ||||||||||||||||
contractual | price | ||||||||||||||||
life | |||||||||||||||||
$8.33 | 16.3 | 1.06 | $ | 8.33 | $ | 38 | |||||||||||
$8.34 - $11.33 | 17.1 | 8.22 | 9.6 | 17 | |||||||||||||
$11.34 - $17.40 | 10.8 | 6.14 | 14.46 | - | |||||||||||||
$17.41 - $34.84 | 1.1 | 0.05 | 28.92 | - | |||||||||||||
Total | 45.3 | 4.94 | 10.78 | $ | 55 | ||||||||||||
* | Expected forfeitures are immaterial to the Company and are not reflected in the table above. | ||||||||||||||||
Schedule of Options Fully Vested and Exercisable | ' | ||||||||||||||||
Options Fully Vested and Exercisable | |||||||||||||||||
Range of | Number | Weighted | Weighted | Intrinsic | |||||||||||||
exercise price | average | average | Value | ||||||||||||||
remaining | exercise | ||||||||||||||||
contractual | price | ||||||||||||||||
life | |||||||||||||||||
$8.33 | 16.3 | 1.06 | $ | 8.33 | $ | 38 | |||||||||||
$8.34 - $11.33 | 3.3 | 7.4 | 10.18 | 1 | |||||||||||||
$11.34 - $17.40 | 9.7 | 6.1 | 14.23 | - | |||||||||||||
$17.41 - $34.84 | 1.1 | 0.05 | 28.92 | - | |||||||||||||
Total | 30.4 | 3.31 | 11.16 | $ | 39 | ||||||||||||
Summary of Outstanding Stock and Performance Share Awards | ' | ||||||||||||||||
The following table summarizes the outstanding stock and performance share awards (awards in millions): | |||||||||||||||||
Stock | Performance | Total | Weighted | ||||||||||||||
Awards | Share Awards | average | |||||||||||||||
FMV | |||||||||||||||||
per award | |||||||||||||||||
Outstanding, January 1, 2013 | 7.9 | 4 | 11.9 | $ | 12.96 | ||||||||||||
Granted | 5.5 | 2.5 | 8 | 8.86 | |||||||||||||
Converted | (2.6 | ) | (0.7 | ) | (3.3 | ) | 13.51 | ||||||||||
Forfeited | (0.4 | ) | (0.6 | ) | (1.0 | ) | 10.76 | ||||||||||
Performance share adjustment | - | 0.3 | 0.3 | 10.96 | |||||||||||||
Outstanding, December 31, 2013 | 10.4 | 5.5 | 15.9 | 10.88 | |||||||||||||
Schedule of Unrecognized Compensation Expense | ' | ||||||||||||||||
As of December 31, 2013, the following table summarizes the unrecognized compensation expense expected to be recognized in future periods: | |||||||||||||||||
Stock-based compensation | |||||||||||||||||
expense (pretax) | |||||||||||||||||
2014 | $ | 36 | |||||||||||||||
2015 | 18 | ||||||||||||||||
2016 | 1 | ||||||||||||||||
Totals | $ | 55 |
Earnings_Per_Share_Tables
Earnings Per Share (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Earnings Per Share [Abstract] | ' | ||||||||||||
Reconciliation of Information Used to Compute Basic and Diluted EPS | ' | ||||||||||||
The information used to compute basic and diluted EPS attributable to Alcoa common shareholders was as follows (shares in millions): | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
(Loss) income from continuing operations attributable to Alcoa common shareholders | $ | (2,285 | ) | $ | 191 | $ | 614 | ||||||
Less: preferred stock dividends declared | 2 | 2 | 2 | ||||||||||
(Loss) income from continuing operations available to common equity | (2,287 | ) | 189 | 612 | |||||||||
Less: dividends and undistributed earnings allocated to participating securities | - | - | 1 | ||||||||||
(Loss) income from continuing operations available to Alcoa common shareholders—basic | (2,287 | ) | 189 | 611 | |||||||||
Add: interest expense related to convertible notes | - | - | 30 | ||||||||||
(Loss) income from continuing operations available to Alcoa common shareholders—diluted | $ | (2,287 | ) | $ | 189 | $ | 641 | ||||||
Average shares outstanding—basic | 1,070 | 1,067 | 1,061 | ||||||||||
Effect of dilutive securities: | |||||||||||||
Stock options | - | 3 | 7 | ||||||||||
Stock and performance awards | - | 6 | 4 | ||||||||||
Convertible notes | - | - | 89 | ||||||||||
Average shares outstanding—diluted | 1,070 | 1,076 | 1,161 |
Income_Taxes_Tables
Income Taxes (Tables) | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||
Income Tax Disclosure [Abstract] | ' | ||||||||||||||||||||
Components of (Loss) Income from Continuing Operations Before Income Taxes | ' | ||||||||||||||||||||
The components of (loss) income from continuing operations before income taxes were as follows: | |||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||
U.S. | $ | (1,269 | ) | $ | 394 | $ | (98 | ) | |||||||||||||
Foreign | (547 | ) | (70 | ) | 1,161 | ||||||||||||||||
$ | (1,816 | ) | $ | 324 | $ | 1,063 | |||||||||||||||
Schedule of Provision for Income Taxes on Income from Continuing Operations | ' | ||||||||||||||||||||
The provision for income taxes on income from continuing operations consisted of the following: | |||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||
Current: | |||||||||||||||||||||
Federal* | $ | 14 | $ | 85 | $ | 10 | |||||||||||||||
Foreign | 235 | 167 | 427 | ||||||||||||||||||
State and local | 1 | 9 | (1 | ) | |||||||||||||||||
250 | 261 | 436 | |||||||||||||||||||
Deferred: | |||||||||||||||||||||
Federal* | 84 | 129 | 28 | ||||||||||||||||||
Foreign | 95 | (227 | ) | (211 | ) | ||||||||||||||||
State and local | (1 | ) | (1 | ) | 2 | ||||||||||||||||
178 | (99 | ) | (181 | ) | |||||||||||||||||
Total | $ | 428 | $ | 162 | $ | 255 | |||||||||||||||
* | Includes U.S. taxes related to foreign income | ||||||||||||||||||||
Reconciliation of U.S. Federal Statutory Rate to Alcoa's Effective Tax Rate for Continuing Operations | ' | ||||||||||||||||||||
A reconciliation of the U.S. federal statutory rate to Alcoa’s effective tax rate for continuing operations was as follows (the effective tax rate for 2013 was a provision on a loss and for both 2012 and 2011 was a provision on income): | |||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||
U.S. federal statutory rate | 35 | % | 35 | % | 35 | % | |||||||||||||||
Taxes on foreign operations | (0.3 | ) | (0.1 | ) | (11.0 | ) | |||||||||||||||
Permanent differences on restructuring and other charges and asset disposals | (0.8 | ) | 10.8 | - | |||||||||||||||||
Audit and other adjustments to prior years’ accruals | (0.9 | ) | 3.5 | (1.1 | ) | ||||||||||||||||
Noncontrolling interests | (3.1 | ) | 3.8 | 0.8 | |||||||||||||||||
Statutory tax rate and law changes | 0.6 | (0.4 | ) | 0.8 | |||||||||||||||||
Changes in valuation allowances | (23.2 | ) | 15.2 | 2.3 | |||||||||||||||||
Impairment of goodwill | (33.3 | ) | - | - | |||||||||||||||||
Amortization of goodwill related to intercompany stock sales/reorganizations | 1.1 | (7.7 | ) | (2.8 | ) | ||||||||||||||||
Change in legal structure of investments | - | (4.1 | ) | - | |||||||||||||||||
Interest income related to income tax positions | - | (1.3 | ) | (0.2 | ) | ||||||||||||||||
Company-owned life insurance/split-dollar net premiums | 1.1 | (3.9 | ) | (0.2 | ) | ||||||||||||||||
Other | 0.2 | (0.8 | ) | 0.4 | |||||||||||||||||
Effective tax rate | (23.6 | )% | 50 | % | 24 | % | |||||||||||||||
Schedule of Components of Net Deferred Tax Assets and Liabilities | ' | ||||||||||||||||||||
The components of net deferred tax assets and liabilities were as follows: | |||||||||||||||||||||
2013 | 2012 | ||||||||||||||||||||
December 31, | Deferred | Deferred | Deferred | Deferred | |||||||||||||||||
tax | tax | tax | tax | ||||||||||||||||||
assets | liabilities | assets | liabilities | ||||||||||||||||||
Depreciation | $ | 185 | $ | 1,150 | $ | 104 | $ | 1,015 | |||||||||||||
Employee benefits | 2,499 | 36 | 2,742 | 46 | |||||||||||||||||
Loss provisions | 437 | 14 | 368 | 17 | |||||||||||||||||
Deferred income/expense | 87 | 188 | 53 | 203 | |||||||||||||||||
Tax loss carryforwards | 2,229 | - | 2,186 | - | |||||||||||||||||
Tax credit carryforwards | 567 | - | 508 | - | |||||||||||||||||
Derivatives and hedging activities | 74 | 25 | 117 | 16 | |||||||||||||||||
Other | 310 | 261 | 324 | 297 | |||||||||||||||||
6,388 | 1,674 | 6,402 | 1,594 | ||||||||||||||||||
Valuation allowance | (1,804 | ) | - | (1,400 | ) | - | |||||||||||||||
$ | 4,584 | $ | 1,674 | $ | 5,002 | $ | 1,594 | ||||||||||||||
Schedule of Expiration Periods of Deferred Tax Assets | ' | ||||||||||||||||||||
The following table details the expiration periods of the deferred tax assets presented above: | |||||||||||||||||||||
December 31, 2013 | Expires | Expires | No | Other* | Total | ||||||||||||||||
within | within | expiration* | |||||||||||||||||||
10 years | 11-20 years | ||||||||||||||||||||
Tax loss carryforwards | $ | 377 | $ | 898 | $ | 954 | $ | - | $ | 2,229 | |||||||||||
Tax credit carryforwards | 417 | 75 | 75 | - | 567 | ||||||||||||||||
Other | - | - | 498 | 3,094 | 3,592 | ||||||||||||||||
Valuation allowance | (412 | ) | (843 | ) | (268 | ) | (281 | ) | (1,804 | ) | |||||||||||
$ | 382 | $ | 130 | $ | 1,259 | $ | 2,813 | $ | 4,584 | ||||||||||||
* | Deferred tax assets with no expiration may still have annual limitations on utilization. Other represents deferred tax assets whose expiration is dependent upon the reversal of the underlying temporary difference. A substantial amount of Other relates to employee benefits that will become deductible for tax purposes over an extended period of time as contributions are made to employee benefit plans and payments are made to retirees. | ||||||||||||||||||||
Schedule of Changes in Valuation Allowance | ' | ||||||||||||||||||||
The following table details the changes in the valuation allowance: | |||||||||||||||||||||
December 31, | 2013 | 2012 | 2011 | ||||||||||||||||||
Balance at beginning of year | $ | 1,400 | $ | 1,398 | $ | 1,268 | |||||||||||||||
Increase to allowance | 471 | 45 | 157 | ||||||||||||||||||
Release of allowance | (41 | ) | (31 | ) | (31 | ) | |||||||||||||||
U.S. state tax apportionment and tax rate changes | (32 | ) | (17 | ) | 6 | ||||||||||||||||
Foreign currency translation | 6 | 5 | (2 | ) | |||||||||||||||||
Balance at end of year | $ | 1,804 | $ | 1,400 | $ | 1,398 | |||||||||||||||
Reconciliation of Unrecognized Tax Benefits (Excluding Interest and Penalties) | ' | ||||||||||||||||||||
A reconciliation of the beginning and ending amount of unrecognized tax benefits (excluding interest and penalties) was as follows: | |||||||||||||||||||||
December 31, | 2013 | 2012 | 2011 | ||||||||||||||||||
Balance at beginning of year | $ | 66 | $ | 51 | $ | 46 | |||||||||||||||
Additions for tax positions of the current year | 2 | - | - | ||||||||||||||||||
Additions for tax positions of prior years | 11 | 39 | 13 | ||||||||||||||||||
Reductions for tax positions of prior years | (2 | ) | (7 | ) | (3 | ) | |||||||||||||||
Settlements with tax authorities | (8 | ) | (18 | ) | (4 | ) | |||||||||||||||
Expiration of the statute of limitations | (2 | ) | - | - | |||||||||||||||||
Foreign currency translation | (4 | ) | 1 | (1 | ) | ||||||||||||||||
Balance at end of year | $ | 63 | $ | 66 | $ | 51 |
Receivables_Tables
Receivables (Tables) | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||
Transfers And Servicing [Abstract] | ' | ||||||||||||||||||||||||
Schedule of Allowance for Doubtful Accounts | ' | ||||||||||||||||||||||||
The following table details the changes in the allowance for doubtful accounts related to customer receivables and other receivables: | |||||||||||||||||||||||||
Customer receivables | Other receivables | ||||||||||||||||||||||||
December 31, | 2013 | 2012 | 2011 | 2013 | 2012 | 2011 | |||||||||||||||||||
Balance at beginning of year | $ | 39 | $ | 46 | $ | 46 | $ | 74 | $ | 79 | $ | 87 | |||||||||||||
Provision for doubtful accounts | 3 | 2 | 19 | 29 | 9 | 7 | |||||||||||||||||||
Write off of uncollectible accounts | (19 | ) | (8 | ) | (14 | ) | (39 | ) | (3 | ) | (3 | ) | |||||||||||||
Recoveries of prior write-offs | (3 | ) | (1 | ) | (3 | ) | (10 | ) | (6 | ) | (5 | ) | |||||||||||||
Other | - | - | (2 | ) | (7 | ) | (5 | ) | (7 | ) | |||||||||||||||
Balance at end of year | $ | 20 | $ | 39 | $ | 46 | $ | 47 | $ | 74 | $ | 79 |
Interest_Cost_Components_Table
Interest Cost Components (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Text Block [Abstract] | ' | ||||||||||||
Schedule of Interest Cost Components | ' | ||||||||||||
Interest Cost Components | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
Amount charged to expense | $ | 453 | $ | 490 | $ | 524 | |||||||
Amount capitalized | 99 | 93 | 101 | ||||||||||
$ | 552 | $ | 583 | $ | 625 |
Pension_and_Other_Postretireme1
Pension and Other Postretirement Benefits (Tables) | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||
Schedule of Obligations and Funded Status | ' | ||||||||||||||||||||||||
Obligations and Funded Status | |||||||||||||||||||||||||
Pension benefits | Other | ||||||||||||||||||||||||
postretirement benefits | |||||||||||||||||||||||||
December 31, | 2013 | 2012 | 2013 | 2012 | |||||||||||||||||||||
Change in benefit obligation | |||||||||||||||||||||||||
Benefit obligation at beginning of year | $ | 14,751 | $ | 13,526 | $ | 2,863 | $ | 2,844 | |||||||||||||||||
Service cost | 213 | 203 | 17 | 14 | |||||||||||||||||||||
Interest cost | 611 | 647 | 114 | 132 | |||||||||||||||||||||
Amendments | 82 | 6 | - | - | |||||||||||||||||||||
Actuarial (gains) losses | (849 | ) | 1,120 | (170 | ) | 107 | |||||||||||||||||||
Settlements | (13 | ) | - | - | - | ||||||||||||||||||||
Benefits paid, net of participants’ contributions | (841 | ) | (833 | ) | (249 | ) | (256 | ) | |||||||||||||||||
Medicare Part D subsidy receipts | - | - | 20 | 21 | |||||||||||||||||||||
Foreign currency translation impact | (224 | ) | 82 | (3 | ) | 1 | |||||||||||||||||||
Benefit obligation at end of year* | $ | 13,730 | $ | 14,751 | $ | 2,592 | $ | 2,863 | |||||||||||||||||
Change in plan assets | |||||||||||||||||||||||||
Fair value of plan assets at beginning of year | $ | 11,043 | $ | 10,311 | $ | - | $ | 8 | |||||||||||||||||
Actual return on plan assets | 109 | 925 | - | - | |||||||||||||||||||||
Employer contributions | 473 | 571 | - | - | |||||||||||||||||||||
Participants’ contributions | 27 | 32 | - | - | |||||||||||||||||||||
Benefits paid | (825 | ) | (822 | ) | - | (8 | ) | ||||||||||||||||||
Administrative expenses | (40 | ) | (42 | ) | - | - | |||||||||||||||||||
Settlements | (17 | ) | - | - | - | ||||||||||||||||||||
Foreign currency translation impact | (190 | ) | 68 | - | - | ||||||||||||||||||||
Fair value of plan assets at end of year* | $ | 10,580 | $ | 11,043 | $ | - | $ | - | |||||||||||||||||
Funded status* | $ | (3,150 | ) | $ | (3,708 | ) | $ | (2,592 | ) | $ | (2,863 | ) | |||||||||||||
Less: Amounts attributed to joint venture partners | (25 | ) | (40 | ) | (4 | ) | (4 | ) | |||||||||||||||||
Net funded status | $ | (3,125 | ) | $ | (3,668 | ) | $ | (2,588 | ) | $ | (2,859 | ) | |||||||||||||
Amounts recognized in the Consolidated Balance Sheet consist of: | |||||||||||||||||||||||||
Noncurrent assets | $ | 88 | $ | 86 | $ | - | $ | - | |||||||||||||||||
Current liabilities | (30 | ) | (32 | ) | (234 | ) | (256 | ) | |||||||||||||||||
Noncurrent liabilities | (3,183 | ) | (3,722 | ) | (2,354 | ) | (2,603 | ) | |||||||||||||||||
Net amount recognized | $ | (3,125 | ) | $ | (3,668 | ) | $ | (2,588 | ) | $ | (2,859 | ) | |||||||||||||
Amounts recognized in Accumulated Other Comprehensive Loss consist of: | |||||||||||||||||||||||||
Net actuarial loss | $ | 5,198 | $ | 5,880 | $ | 389 | $ | 593 | |||||||||||||||||
Prior service cost (benefit) | 94 | 119 | (57 | ) | (76 | ) | |||||||||||||||||||
Total, before tax effect | 5,292 | 5,999 | 332 | 517 | |||||||||||||||||||||
Less: Amounts attributed to joint venture partners | 38 | 54 | (1 | ) | (1 | ) | |||||||||||||||||||
Net amount recognized, before tax effect | $ | 5,254 | $ | 5,945 | $ | 333 | $ | 518 | |||||||||||||||||
Other Changes in Plan Assets and Benefit Obligations Recognized in Other Comprehensive Loss consist of: | |||||||||||||||||||||||||
Net actuarial (gain) loss | $ | (193 | ) | $ | 1,073 | $ | (169 | ) | $ | 107 | |||||||||||||||
Amortization of accumulated net actuarial loss | (489 | ) | (384 | ) | (35 | ) | (25 | ) | |||||||||||||||||
Prior service cost | - | 9 | - | - | |||||||||||||||||||||
Amortization of prior service (cost) benefit | (25 | ) | (19 | ) | 19 | 16 | |||||||||||||||||||
Total, before tax effect | (707 | ) | 679 | (185 | ) | 98 | |||||||||||||||||||
Less: Amounts attributed to joint venture partners | (16 | ) | 8 | - | - | ||||||||||||||||||||
Net amount recognized, before tax effect | $ | (691 | ) | $ | 671 | $ | (185 | ) | $ | 98 | |||||||||||||||
* | At December 31, 2013, the benefit obligation, fair value of plan assets, and funded status for U.S. pension plans were $10,643, $7,909, and $(2,734), respectively. At December 31, 2012, the benefit obligation, fair value of plan assets, and funded status for U.S. pension plans were $11,521, $8,437, and $(3,084), respectively. | ||||||||||||||||||||||||
Schedule of Pension Plan Benefit Obligations | ' | ||||||||||||||||||||||||
Pension Plan Benefit Obligations | |||||||||||||||||||||||||
Pension benefits | |||||||||||||||||||||||||
2013 | 2012 | ||||||||||||||||||||||||
The projected benefit obligation and accumulated benefit obligation for all defined benefit pension plans was as follows: | |||||||||||||||||||||||||
Projected benefit obligation | $ | 13,730 | $ | 14,751 | |||||||||||||||||||||
Accumulated benefit obligation | 13,324 | 14,186 | |||||||||||||||||||||||
The aggregate projected benefit obligation and fair value of plan assets for pension plans with projected benefit obligations in excess of plan assets was as follows: | |||||||||||||||||||||||||
Projected benefit obligation | 12,180 | 13,973 | |||||||||||||||||||||||
Fair value of plan assets | 8,930 | 10,142 | |||||||||||||||||||||||
The aggregate accumulated benefit obligation and fair value of plan assets for pension plans with accumulated benefit obligations in excess of plan assets was as follows: | |||||||||||||||||||||||||
Accumulated benefit obligation | 11,776 | 13,421 | |||||||||||||||||||||||
Fair value of plan assets | 8,890 | 10,123 | |||||||||||||||||||||||
Components of Net Periodic Benefit Cost | ' | ||||||||||||||||||||||||
Components of Net Periodic Benefit Cost | |||||||||||||||||||||||||
Pension benefits(1) | Other postretirement benefits(2) | ||||||||||||||||||||||||
2013 | 2012 | 2011 | 2013 | 2012 | 2011 | ||||||||||||||||||||
Service cost | $ | 194 | $ | 186 | $ | 165 | $ | 17 | $ | 14 | $ | 17 | |||||||||||||
Interest cost | 602 | 639 | 678 | 114 | 131 | 158 | |||||||||||||||||||
Expected return on plan assets | (788 | ) | (808 | ) | (806 | ) | - | - | (2 | ) | |||||||||||||||
Recognized net actuarial loss | 489 | 384 | 247 | 35 | 25 | 26 | |||||||||||||||||||
Amortization of prior service cost (benefit) | 19 | 19 | 19 | (18 | ) | (16 | ) | (17 | ) | ||||||||||||||||
Settlements(3) | 9 | - | 2 | - | - | - | |||||||||||||||||||
Curtailments(4) | 6 | - | (9 | ) | - | - | - | ||||||||||||||||||
Special termination benefits(5) | 77 | - | - | - | - | - | |||||||||||||||||||
Net periodic benefit cost(6) | $ | 608 | $ | 420 | $ | 296 | $ | 148 | $ | 154 | $ | 182 | |||||||||||||
(1) | In 2013, 2012, and 2011, net periodic benefit cost for U.S pension plans was $391, $288, and $190, respectively. | ||||||||||||||||||||||||
(2) | In 2013, 2012, and 2011, net periodic benefit cost for other postretirement benefits reflects a reduction of $55, $64, and $43, respectively, related to the recognition of the federal subsidy awarded under Medicare Part D. | ||||||||||||||||||||||||
(3) | In all periods presented, settlements were due to the payment of significant lump sum benefits and/or purchases of annuity contracts. | ||||||||||||||||||||||||
(4) | In each period presented, curtailments were due to elimination of benefits or workforce reductions (see Note D). | ||||||||||||||||||||||||
(5) | In 2013, special termination benefits were due to workforce reductions (see Note D). | ||||||||||||||||||||||||
(6) | Amounts attributed to joint venture partners are not included. | ||||||||||||||||||||||||
Schedule of Amounts Expected to be Recognized in Net Periodic Benefit Cost | ' | ||||||||||||||||||||||||
Amounts Expected to be Recognized in Net Periodic Benefit Cost | |||||||||||||||||||||||||
Pension benefits | Other postretirement benefits | ||||||||||||||||||||||||
2014 | 2014 | ||||||||||||||||||||||||
Net actuarial loss recognition | $ | 384 | $ | 19 | |||||||||||||||||||||
Prior service cost (benefit) recognition | 15 | (18 | ) | ||||||||||||||||||||||
Schedule of Assumed Health Care Cost Trend Rates | ' | ||||||||||||||||||||||||
Assumed health care cost trend rates for U.S. other postretirement benefit plans were as follows (assumptions for non-U.S plans did not differ materially): | |||||||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||||||
Health care cost trend rate assumed for next year | 5.5 | % | 6 | % | 6.5 | % | |||||||||||||||||||
Rate to which the cost trend rate gradually declines | 4.5 | % | 4.5 | % | 5 | % | |||||||||||||||||||
Year that the rate reaches the rate at which it is assumed to remain | 2017 | 2017 | 2016 | ||||||||||||||||||||||
Schedule of One-Percentage Point Change in Assumed Rates of Health Care Cost Trend Rates | ' | ||||||||||||||||||||||||
A one-percentage point change in these assumed rates would have the following effects: | |||||||||||||||||||||||||
1% | 1% | ||||||||||||||||||||||||
increase | decrease | ||||||||||||||||||||||||
Effect on other postretirement benefit obligations | $ | 146 | $ | (130 | ) | ||||||||||||||||||||
Effect on total of service and interest cost components | 7 | (6 | ) | ||||||||||||||||||||||
Schedule of Pension and Postretirement Plans Investment Policy and Weighted Average Asset Allocations | ' | ||||||||||||||||||||||||
Alcoa’s pension plans’ investment policy and weighted average asset allocations at December 31, 2013 and 2012, by asset class, were as follows: | |||||||||||||||||||||||||
Plan assets | |||||||||||||||||||||||||
at | |||||||||||||||||||||||||
December 31, | |||||||||||||||||||||||||
Asset class | Policy range | 2013 | 2012 | ||||||||||||||||||||||
Equities | 20–55 | % | 37 | % | 33 | % | |||||||||||||||||||
Fixed income | 25–55 | % | 41 | 50 | |||||||||||||||||||||
Other investments | 15–35 | % | 22 | 17 | |||||||||||||||||||||
Total | 100 | % | 100 | % | |||||||||||||||||||||
Schedule of Fair Value of Pension Plan Assets | ' | ||||||||||||||||||||||||
The following table presents the fair value of pension plan assets classified under the appropriate level of the fair value hierarchy: | |||||||||||||||||||||||||
December 31, 2013 | Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||||||
Equities: | |||||||||||||||||||||||||
Equity securities | $ | 1,084 | $ | 1,360 | $ | 144 | $ | 2,588 | |||||||||||||||||
Long/short equity hedge funds | - | - | 744 | 744 | |||||||||||||||||||||
Private equity | - | - | 520 | 520 | |||||||||||||||||||||
$ | 1,084 | $ | 1,360 | $ | 1,408 | $ | 3,852 | ||||||||||||||||||
Fixed income: | |||||||||||||||||||||||||
Intermediate and long duration government/credit | $ | 2,251 | $ | 1,551 | $ | - | $ | 3,802 | |||||||||||||||||
Other | - | 469 | - | 469 | |||||||||||||||||||||
$ | 2,251 | $ | 2,020 | $ | - | $ | 4,271 | ||||||||||||||||||
Other investments: | |||||||||||||||||||||||||
Real estate | $ | 124 | $ | 18 | $ | 494 | $ | 636 | |||||||||||||||||
Discretionary and systematic macro hedge funds | - | - | 1,287 | 1,287 | |||||||||||||||||||||
Other | 143 | - | 232 | 375 | |||||||||||||||||||||
$ | 267 | $ | 18 | $ | 2,013 | $ | 2,298 | ||||||||||||||||||
Total* | $ | 3,602 | $ | 3,398 | $ | 3,421 | $ | 10,421 | |||||||||||||||||
December 31, 2012 | Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||||||
Equities | |||||||||||||||||||||||||
Equity securities | $ | 1,016 | $ | 1,196 | $ | 117 | $ | 2,329 | |||||||||||||||||
Long/short equity hedge funds | - | - | 756 | 756 | |||||||||||||||||||||
Private equity | - | - | 550 | 550 | |||||||||||||||||||||
$ | 1,016 | $ | 1,196 | $ | 1,423 | $ | 3,635 | ||||||||||||||||||
Fixed income: | |||||||||||||||||||||||||
Intermediate and long duration government/credit | $ | 1,169 | $ | 3,689 | $ | 215 | $ | 5,073 | |||||||||||||||||
Other | - | 507 | - | 507 | |||||||||||||||||||||
$ | 1,169 | $ | 4,196 | $ | 215 | $ | 5,580 | ||||||||||||||||||
Other investments: | |||||||||||||||||||||||||
Real estate | $ | 113 | $ | 22 | $ | 438 | $ | 573 | |||||||||||||||||
Discretionary macro hedge funds | - | - | 796 | 796 | |||||||||||||||||||||
Other | 212 | - | 247 | 459 | |||||||||||||||||||||
$ | 325 | $ | 22 | $ | 1,481 | $ | 1,828 | ||||||||||||||||||
Total | $ | 2,510 | $ | 5,414 | $ | 3,119 | $ | 11,043 | |||||||||||||||||
* | As of December 31, 2013, the total fair value of pension plans’ assets excludes a net receivable of $159, which represents securities sold not yet settled plus interest and dividends earned on various investments. | ||||||||||||||||||||||||
Schedule of Reconciliation of Activity for Investments | ' | ||||||||||||||||||||||||
The following table presents a reconciliation of activity for such investments: | |||||||||||||||||||||||||
2013 | 2012 | ||||||||||||||||||||||||
Balance at beginning of year | $ | 3,119 | $ | 2,816 | |||||||||||||||||||||
Realized gains | 140 | 56 | |||||||||||||||||||||||
Unrealized gains | 173 | 140 | |||||||||||||||||||||||
Purchases | 636 | 636 | |||||||||||||||||||||||
Sales | (626 | ) | (538 | ) | |||||||||||||||||||||
Issuances | - | - | |||||||||||||||||||||||
Settlements | - | - | |||||||||||||||||||||||
Foreign currency translation impact | (21 | ) | 9 | ||||||||||||||||||||||
Transfers in and/or out of Level 3* | - | - | |||||||||||||||||||||||
Balance at end of year | $ | 3,421 | $ | 3,119 | |||||||||||||||||||||
* | In 2013 and 2012, there were no transfers of financial instruments into or out of Level 3 | ||||||||||||||||||||||||
Schedule of Benefit Payments Expected to be Paid and Expected Medicare Part D Subsidy Receipts | ' | ||||||||||||||||||||||||
Benefit payments expected to be paid to pension and other postretirement benefit plans’ participants and expected Medicare Part D subsidy receipts are as follows: | |||||||||||||||||||||||||
Year ended December 31, | Pension | Gross Other post- | Medicare Part D | Net Other post- | |||||||||||||||||||||
benefits | retirement | subsidy receipts | retirement | ||||||||||||||||||||||
benefits | benefits | ||||||||||||||||||||||||
2014 | $ | 880 | $ | 260 | $ | 25 | $ | 235 | |||||||||||||||||
2015 | 880 | 260 | 25 | 235 | |||||||||||||||||||||
2016 | 900 | 260 | 25 | 235 | |||||||||||||||||||||
2017 | 910 | 255 | 30 | 225 | |||||||||||||||||||||
2018 | 920 | 255 | 30 | 225 | |||||||||||||||||||||
2019 through 2023 | 4,680 | 1,195 | 145 | 1,050 | |||||||||||||||||||||
$ | 9,170 | $ | 2,485 | $ | 280 | $ | 2,205 | ||||||||||||||||||
Benefit Obligation [Member] | ' | ||||||||||||||||||||||||
Schedule of Weighted Average Assumptions Used to Determine Benefit Obligations and Net Periodic Benefit Cost | ' | ||||||||||||||||||||||||
Weighted average assumptions used to determine benefit obligations for U.S. pension and other postretirement benefit plans were as follows (assumptions for non-U.S plans did not differ materially): | |||||||||||||||||||||||||
December 31, | 2013 | 2012 | |||||||||||||||||||||||
Discount rate | 4.8 | % | 4.15 | % | |||||||||||||||||||||
Rate of compensation increase | 3.5 | 3.5 | |||||||||||||||||||||||
Net Periodic Benefit Cost [Member] | ' | ||||||||||||||||||||||||
Schedule of Weighted Average Assumptions Used to Determine Benefit Obligations and Net Periodic Benefit Cost | ' | ||||||||||||||||||||||||
Weighted average assumptions used to determine net periodic benefit cost for U.S. pension and other postretirement benefit plans were as follows (assumptions for non-U.S plans did not differ materially): | |||||||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||||||
Discount rate* | 4.15 | % | 4.9 | % | 5.75 | % | |||||||||||||||||||
Expected long-term rate of return on plan assets | 8.5 | 8.5 | 8.5 | ||||||||||||||||||||||
Rate of compensation increase | 3.5 | 3.5 | 3.5 | ||||||||||||||||||||||
* | In all periods presented, the respective discount rates were used to determine net periodic benefit cost for most U.S. pension plans for the full annual period. However, the discount rates for a limited number of plans were updated during 2013 and 2011 to reflect the remeasurement of these plans due to new union labor agreements, settlements, and/or curtailments. The updated discount rates used were not significantly different from the discount rates presented. |
Derivatives_and_Other_Financia1
Derivatives and Other Financial Instruments (Tables) | 12 Months Ended | ||||||||||||||||||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||||||||||||||||||
Derivative Instruments And Hedging Activities Disclosure [Abstract] | ' | ||||||||||||||||||||||||||||||||||||||||
Schedule of Fair Values and Corresponding Level of Fair Value Hierarchy of Outstanding Derivative Contracts Recorded as Assets | ' | ||||||||||||||||||||||||||||||||||||||||
The fair values and corresponding classifications under the appropriate level of the fair value hierarchy of outstanding derivative contracts recorded as assets in the accompanying Consolidated Balance Sheet were as follows: | |||||||||||||||||||||||||||||||||||||||||
Asset Derivatives | Level | December 31, | December 31, | ||||||||||||||||||||||||||||||||||||||
2013 | 2012 | ||||||||||||||||||||||||||||||||||||||||
Derivatives designated as hedging instruments: | |||||||||||||||||||||||||||||||||||||||||
Prepaid expenses and other current assets: | |||||||||||||||||||||||||||||||||||||||||
Aluminum contracts | 1 | $ | 4 | $ | 23 | ||||||||||||||||||||||||||||||||||||
Aluminum contracts | 3 | 9 | 7 | ||||||||||||||||||||||||||||||||||||||
Foreign exchange contracts | 1 | 2 | - | ||||||||||||||||||||||||||||||||||||||
Interest rate contracts | 2 | 9 | 8 | ||||||||||||||||||||||||||||||||||||||
Other noncurrent assets: | |||||||||||||||||||||||||||||||||||||||||
Aluminum contracts | 1 | - | 3 | ||||||||||||||||||||||||||||||||||||||
Aluminum contracts | 3 | 16 | - | ||||||||||||||||||||||||||||||||||||||
Energy contracts | 3 | 6 | 3 | ||||||||||||||||||||||||||||||||||||||
Interest rate contracts | 2 | 23 | 37 | ||||||||||||||||||||||||||||||||||||||
Total derivatives designated as hedging instruments | $ | 69 | $ | 81 | |||||||||||||||||||||||||||||||||||||
Derivatives not designated as hedging instruments*: | |||||||||||||||||||||||||||||||||||||||||
Prepaid expenses and other current assets: | |||||||||||||||||||||||||||||||||||||||||
Aluminum contracts | 3 | $ | 149 | $ | 211 | ||||||||||||||||||||||||||||||||||||
Other noncurrent assets: | |||||||||||||||||||||||||||||||||||||||||
Aluminum contracts | 3 | 175 | 329 | ||||||||||||||||||||||||||||||||||||||
Foreign exchange contracts | 1 | - | 1 | ||||||||||||||||||||||||||||||||||||||
Total derivatives not designated as hedging instruments | $ | 324 | $ | 541 | |||||||||||||||||||||||||||||||||||||
Less margin held**: | |||||||||||||||||||||||||||||||||||||||||
Prepaid expenses and other current assets: | |||||||||||||||||||||||||||||||||||||||||
Aluminum contracts | 1 | $ | - | $ | 9 | ||||||||||||||||||||||||||||||||||||
Interest rate contracts | 2 | 3 | 8 | ||||||||||||||||||||||||||||||||||||||
Other noncurrent assets: | |||||||||||||||||||||||||||||||||||||||||
Interest rate contracts | 2 | - | 9 | ||||||||||||||||||||||||||||||||||||||
Sub-total | $ | 3 | $ | 26 | |||||||||||||||||||||||||||||||||||||
Total Asset Derivatives | $ | 390 | $ | 596 | |||||||||||||||||||||||||||||||||||||
* | See the “Other” section within Note X for additional information on Alcoa’s purpose for entering into derivatives not designated as hedging instruments and its overall risk management strategies. | ||||||||||||||||||||||||||||||||||||||||
** | All margin held is in the form of cash and is valued under a Level 1 technique. The levels that correspond to the margin held in the table above reference the level of the corresponding asset for which it is held. Alcoa elected to net the margin held against the fair value amounts recognized for derivative instruments executed with the same counterparties under master netting arrangements. | ||||||||||||||||||||||||||||||||||||||||
Schedule of Fair Values and Corresponding Level of Fair Value Hierarchy of Outstanding Derivative Contracts Recorded as Liabilities | ' | ||||||||||||||||||||||||||||||||||||||||
The fair values and corresponding classifications under the appropriate level of the fair value hierarchy of outstanding derivative contracts recorded as liabilities in the accompanying Consolidated Balance Sheet were as follows: | |||||||||||||||||||||||||||||||||||||||||
Liability Derivatives | Level | December 31, | December 31, | ||||||||||||||||||||||||||||||||||||||
2013 | 2012 | ||||||||||||||||||||||||||||||||||||||||
Derivatives designated as hedging instruments: | |||||||||||||||||||||||||||||||||||||||||
Other current liabilities: | |||||||||||||||||||||||||||||||||||||||||
Aluminum contracts | 1 | $ | 45 | $ | 13 | ||||||||||||||||||||||||||||||||||||
Aluminum contracts | 3 | 23 | 35 | ||||||||||||||||||||||||||||||||||||||
Other noncurrent liabilities and deferred credits: | |||||||||||||||||||||||||||||||||||||||||
Aluminum contracts | 1 | 14 | 1 | ||||||||||||||||||||||||||||||||||||||
Aluminum contracts | 3 | 387 | 573 | ||||||||||||||||||||||||||||||||||||||
Total derivatives designated as hedging instruments | $ | 469 | $ | 622 | |||||||||||||||||||||||||||||||||||||
Derivatives not designated as hedging instruments*: | |||||||||||||||||||||||||||||||||||||||||
Other current liabilities: | |||||||||||||||||||||||||||||||||||||||||
Aluminum contracts | 1 | $ | 4 | $ | 1 | ||||||||||||||||||||||||||||||||||||
Aluminum contracts | 2 | - | 21 | ||||||||||||||||||||||||||||||||||||||
Embedded credit derivative | 3 | 2 | 3 | ||||||||||||||||||||||||||||||||||||||
Foreign exchange contracts | 1 | 3 | - | ||||||||||||||||||||||||||||||||||||||
Other noncurrent liabilities and deferred credits: | |||||||||||||||||||||||||||||||||||||||||
Aluminum contracts | 2 | - | 5 | ||||||||||||||||||||||||||||||||||||||
Embedded credit derivative | 3 | 19 | 27 | ||||||||||||||||||||||||||||||||||||||
Total derivatives not designated as hedging instruments | $ | 28 | $ | 57 | |||||||||||||||||||||||||||||||||||||
Less margin posted**: | |||||||||||||||||||||||||||||||||||||||||
Other current liabilities: | |||||||||||||||||||||||||||||||||||||||||
Aluminum contracts | 1 | $ | 18 | $ | - | ||||||||||||||||||||||||||||||||||||
Total Liability Derivatives | $ | 479 | $ | 679 | |||||||||||||||||||||||||||||||||||||
* | See the “Other” section within Note X for additional information on Alcoa’s purpose for entering into derivatives not designated as hedging instruments and its overall risk management strategies. | ||||||||||||||||||||||||||||||||||||||||
** | All margin posted is in the form of cash and is valued under a Level 1 technique. The levels that correspond to the margin posted in the table above reference the level of the corresponding liability for which it is posted. Alcoa elected to net the margin posted against the fair value amounts recognized for derivative instruments executed with the same counterparties under master netting arrangements. | ||||||||||||||||||||||||||||||||||||||||
Gross Amounts of Recognized Derivative Assets and Liabilities and Gross Amounts Offset in Accompanying Consolidated Balance Sheet | ' | ||||||||||||||||||||||||||||||||||||||||
The gross amounts of recognized derivative assets and liabilities and gross amounts offset in the accompanying Consolidated Balance Sheet were as follows: | |||||||||||||||||||||||||||||||||||||||||
Assets | Liabilities | ||||||||||||||||||||||||||||||||||||||||
December 31, | December 31, | December 31, | December 31, | ||||||||||||||||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||||||||||||||||||||||||||
Gross amounts recognized: | |||||||||||||||||||||||||||||||||||||||||
Aluminum contracts | $ | 40 | $ | 72 | $ | 81 | $ | 69 | |||||||||||||||||||||||||||||||||
Interest rate contracts | 32 | 45 | 3 | 17 | |||||||||||||||||||||||||||||||||||||
$ | 72 | $ | 117 | $ | 84 | $ | 86 | ||||||||||||||||||||||||||||||||||
Gross amounts offset: | |||||||||||||||||||||||||||||||||||||||||
Aluminum contracts* | $ | (36 | ) | $ | (55 | ) | $ | (36 | ) | $ | (55 | ) | |||||||||||||||||||||||||||||
Interest rate contracts** | (3 | ) | (17 | ) | (3 | ) | (17 | ) | |||||||||||||||||||||||||||||||||
$ | (39 | ) | $ | (72 | ) | $ | (39 | ) | $ | (72 | ) | ||||||||||||||||||||||||||||||
Net amounts presented in the Consolidated Balance Sheet: | |||||||||||||||||||||||||||||||||||||||||
Aluminum contracts | $ | 4 | $ | 17 | $ | 45 | $ | 14 | |||||||||||||||||||||||||||||||||
Interest rate contracts | 29 | 28 | - | - | |||||||||||||||||||||||||||||||||||||
$ | 33 | $ | 45 | $ | 45 | $ | 14 | ||||||||||||||||||||||||||||||||||
* | The amounts under Assets and Liabilities as of December 31, 2013 include $18 of margin posted with counterparties. The amounts under Assets and Liabilities as of December 31, 2012 include $9 of margin held from counterparties. | ||||||||||||||||||||||||||||||||||||||||
** | The amounts under Assets and Liabilities as of December 31, 2013 and December 31, 2012 represent margin held from the counterparty. | ||||||||||||||||||||||||||||||||||||||||
Schedule of Net Fair Values of Outstanding Derivative Contracts and Effect of Hypothetical Change (Increase or Decrease of 10%) in Market Prices or Rates | ' | ||||||||||||||||||||||||||||||||||||||||
The following table shows the net fair values of outstanding derivative contracts at December 31, 2013 and the effect on these amounts of a hypothetical change (increase or decrease of 10%) in the market prices or rates that existed at December 31, 2013: | |||||||||||||||||||||||||||||||||||||||||
Fair value | Index change | ||||||||||||||||||||||||||||||||||||||||
asset/(liability) | of + / - 10% | ||||||||||||||||||||||||||||||||||||||||
Aluminum contracts | $ | (102 | ) | $ | 47 | ||||||||||||||||||||||||||||||||||||
Embedded credit derivative | (21 | ) | 2 | ||||||||||||||||||||||||||||||||||||||
Energy contracts | 6 | 214 | |||||||||||||||||||||||||||||||||||||||
Foreign exchange contracts | (1 | ) | 14 | ||||||||||||||||||||||||||||||||||||||
Interest rate contracts | 29 | 1 | |||||||||||||||||||||||||||||||||||||||
Schedule of Derivative Contract Assets and Liabilities Measured and Recognized at Fair Value on Recurring Basis | ' | ||||||||||||||||||||||||||||||||||||||||
The following table presents Alcoa’s derivative contract assets and liabilities that are measured and recognized at fair value on a recurring basis classified under the appropriate level of the fair value hierarchy (there were no transfers in or out of Levels 1 and 2 during the periods presented): | |||||||||||||||||||||||||||||||||||||||||
December 31, | 2013 | 2012 | |||||||||||||||||||||||||||||||||||||||
Assets: | |||||||||||||||||||||||||||||||||||||||||
Level 1 | $ | 6 | $ | 27 | |||||||||||||||||||||||||||||||||||||
Level 2 | 32 | 45 | |||||||||||||||||||||||||||||||||||||||
Level 3 | 355 | 550 | |||||||||||||||||||||||||||||||||||||||
Margin held | (3 | ) | (26 | ) | |||||||||||||||||||||||||||||||||||||
Total | $ | 390 | $ | 596 | |||||||||||||||||||||||||||||||||||||
Liabilities: | |||||||||||||||||||||||||||||||||||||||||
Level 1 | $ | 66 | $ | 15 | |||||||||||||||||||||||||||||||||||||
Level 2 | - | 26 | |||||||||||||||||||||||||||||||||||||||
Level 3 | 431 | 638 | |||||||||||||||||||||||||||||||||||||||
Margin posted | (18 | ) | - | ||||||||||||||||||||||||||||||||||||||
Total | $ | 479 | $ | 679 | |||||||||||||||||||||||||||||||||||||
Schedule of Reconciliation of Activity for Derivative Contracts | ' | ||||||||||||||||||||||||||||||||||||||||
Financial instruments classified as Level 3 in the fair value hierarchy represent derivative contracts in which management has used at least one significant unobservable input in the valuation model. The following tables present a reconciliation of activity for such derivative contracts: | |||||||||||||||||||||||||||||||||||||||||
Assets | Liabilities | ||||||||||||||||||||||||||||||||||||||||
2013 | Aluminum | Energy | Aluminum | Embedded | |||||||||||||||||||||||||||||||||||||
contracts | contracts | contracts | credit | ||||||||||||||||||||||||||||||||||||||
derivative | |||||||||||||||||||||||||||||||||||||||||
Opening balance—January 1, 2013 | $ | 547 | $ | 3 | $ | 608 | $ | 30 | |||||||||||||||||||||||||||||||||
Total gains or losses (realized and unrealized) included in: | |||||||||||||||||||||||||||||||||||||||||
Sales | (5 | ) | - | (24 | ) | - | |||||||||||||||||||||||||||||||||||
Cost of goods sold | (202 | ) | - | - | (1 | ) | |||||||||||||||||||||||||||||||||||
Other income, net | 28 | - | - | (8 | ) | ||||||||||||||||||||||||||||||||||||
Other comprehensive loss | 22 | 3 | (174 | ) | - | ||||||||||||||||||||||||||||||||||||
Purchases, sales, issuances, and settlements* | - | - | - | - | |||||||||||||||||||||||||||||||||||||
Transfers into and/or out of Level 3* | - | - | - | - | |||||||||||||||||||||||||||||||||||||
Foreign currency translation | (41 | ) | - | - | - | ||||||||||||||||||||||||||||||||||||
Closing balance—December 31, 2013 | $ | 349 | $ | 6 | $ | 410 | $ | 21 | |||||||||||||||||||||||||||||||||
Change in unrealized gains or losses included in earnings for derivative contracts held at December 31, 2013: | |||||||||||||||||||||||||||||||||||||||||
Sales | $ | - | $ | - | $ | - | $ | - | |||||||||||||||||||||||||||||||||
Cost of goods sold | - | - | - | - | |||||||||||||||||||||||||||||||||||||
Other income, net | 28 | - | - | (8 | ) | ||||||||||||||||||||||||||||||||||||
* | In 2013, there were no purchases, sales, issuances or settlements of Level 3 financial instruments. Additionally, there were no transfers of financial instruments into or out of Level 3. | ||||||||||||||||||||||||||||||||||||||||
Assets | Liabilities | ||||||||||||||||||||||||||||||||||||||||
2012 | Aluminum | Energy | Aluminum | Embedded | |||||||||||||||||||||||||||||||||||||
contracts | contracts | contracts | credit | ||||||||||||||||||||||||||||||||||||||
derivative | |||||||||||||||||||||||||||||||||||||||||
Opening balance—January 1, 2012 | $ | 10 | $ | 2 | $ | 602 | $ | 28 | |||||||||||||||||||||||||||||||||
Total gains or losses (realized and unrealized) included in: | |||||||||||||||||||||||||||||||||||||||||
Sales | (8 | ) | - | (33 | ) | - | |||||||||||||||||||||||||||||||||||
Cost of goods sold | (107 | ) | - | - | (1 | ) | |||||||||||||||||||||||||||||||||||
Other income, net | 16 | - | - | 3 | |||||||||||||||||||||||||||||||||||||
Other comprehensive loss | 10 | 1 | 39 | - | |||||||||||||||||||||||||||||||||||||
Purchases, sales, issuances, and settlements* | 596 | - | - | - | |||||||||||||||||||||||||||||||||||||
Transfers into and/or out of Level 3* | - | - | - | - | |||||||||||||||||||||||||||||||||||||
Foreign currency translation | 30 | - | - | - | |||||||||||||||||||||||||||||||||||||
Closing balance—December 31, 2012 | $ | 547 | $ | 3 | $ | 608 | $ | 30 | |||||||||||||||||||||||||||||||||
Change in unrealized gains or losses included in earnings for derivative contracts held at December 31, 2012: | |||||||||||||||||||||||||||||||||||||||||
Sales | $ | - | $ | - | $ | - | $ | - | |||||||||||||||||||||||||||||||||
Cost of goods sold | - | - | - | - | |||||||||||||||||||||||||||||||||||||
Other income, net | 16 | - | - | 3 | |||||||||||||||||||||||||||||||||||||
* | In July 2012, two embedded derivatives contained within existing power contracts became subject to derivative accounting under GAAP (see below). The amount reflected in this table represents the initial fair value of these embedded derivatives and was classified as an issuance of Level 3 financial instruments. There were no purchases, sales or settlements of Level 3 financial instruments. Additionally, there were no transfers of financial instruments into or out of Level 3. | ||||||||||||||||||||||||||||||||||||||||
Schedule of Quantitative Information for Level 3 Derivative Contracts | ' | ||||||||||||||||||||||||||||||||||||||||
The following table presents quantitative information for Level 3 derivative contracts: | |||||||||||||||||||||||||||||||||||||||||
Fair value at | Valuation | Unobservable | Range | ||||||||||||||||||||||||||||||||||||||
December 31, 2013 | technique | input | ($ in full amounts) | ||||||||||||||||||||||||||||||||||||||
Assets: | |||||||||||||||||||||||||||||||||||||||||
Aluminum contract | $ | - | Discounted cash flow | Interrelationship of future aluminum and oil prices | Aluminum: $1,774 per metric ton in 2014 to $2,221 per metric ton in 2018 | ||||||||||||||||||||||||||||||||||||
Oil: $112 per barrel in 2014 to $89 per barrel in 2018 | |||||||||||||||||||||||||||||||||||||||||
Aluminum contract | 324 | Discounted cash flow | Interrelationship of future aluminum prices, foreign currency exchange rates, and the U.S. consumer price index (CPI) | Aluminum: $1,784 per metric ton in 2014 to $2,064 per metric ton in 2016 | |||||||||||||||||||||||||||||||||||||
Foreign currency: | |||||||||||||||||||||||||||||||||||||||||
A$1 =0.89 in 2014 to $0.83 in 2016 | |||||||||||||||||||||||||||||||||||||||||
CPI: 1982 base year of 100 and 231 in 2014 to 246 in 2016 | |||||||||||||||||||||||||||||||||||||||||
Aluminum contract | 25 | Discounted cash flow | Interrelationship of LME price to overall energy price | Aluminum: $1,839 per metric ton in 2014 to $2,239 per metric ton in 2019 | |||||||||||||||||||||||||||||||||||||
Energy contracts | 6 | Discounted cash flow | Price of electricity beyond forward curve | $82 per megawatt hour in 2014 to $154 per megawatt hour in 2036 | |||||||||||||||||||||||||||||||||||||
Liabilities: | |||||||||||||||||||||||||||||||||||||||||
Aluminum contracts | 410 | Discounted cash flow | Price of aluminum beyond forward curve | $2,485 per metric ton in 2023 to $2,647 per metric ton in 2027 | |||||||||||||||||||||||||||||||||||||
Embedded credit derivative | 21 | Discounted cash flow | Credit spread between Alcoa and counterparty | 0.98% to 1.66% | |||||||||||||||||||||||||||||||||||||
(1.32% median) | |||||||||||||||||||||||||||||||||||||||||
Schedule of Gain or Loss on Hedged Items and Derivative Contracts | ' | ||||||||||||||||||||||||||||||||||||||||
The gain or loss on the hedged items are included in the same line items as the loss or gain on the related derivative contracts as follows (there were no contracts that ceased to qualify as a fair value hedge in any of the periods presented): | |||||||||||||||||||||||||||||||||||||||||
Derivatives in Fair Value | Location of Gain or (Loss) | Amount of Gain or (Loss) | |||||||||||||||||||||||||||||||||||||||
Hedging Relationships | Recognized in Earnings on Derivatives | Recognized in Earnings on Derivatives | |||||||||||||||||||||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||||||||||||||||||||||
Aluminum contracts* | Sales | $ | (142 | ) | $ | (9 | ) | $ | (126 | ) | |||||||||||||||||||||||||||||||
Interest rate contracts | Interest expense | 10 | 10 | 64 | |||||||||||||||||||||||||||||||||||||
Total | $ | (132 | ) | $ | 1 | $ | (62 | ) | |||||||||||||||||||||||||||||||||
Hedged Items in Fair | Location of Gain or (Loss) | Amount of Gain or (Loss) | |||||||||||||||||||||||||||||||||||||||
Value Hedging | Recognized in Earnings on Hedged | Recognized in Earnings on Hedged Items | |||||||||||||||||||||||||||||||||||||||
Relationships | Items | 2013 | 2012 | 2011 | |||||||||||||||||||||||||||||||||||||
Aluminum contracts | Sales | $ | 143 | $ | (9 | ) | $ | 133 | |||||||||||||||||||||||||||||||||
Interest rate contracts | Interest expense | (10 | ) | (10 | ) | (31 | ) | ||||||||||||||||||||||||||||||||||
Total | $ | 133 | $ | (19 | ) | $ | 102 | ||||||||||||||||||||||||||||||||||
* | In 2013, 2012, and 2011, the amount of gain or (loss) recognized in earnings includes $1, $(18), and $7, respectively, related to the ineffective portion of the hedging relationships. | ||||||||||||||||||||||||||||||||||||||||
Schedule of Gains and Losses on Derivative Excluded from Assessment of Effectiveness Recognized in Current Earnings | ' | ||||||||||||||||||||||||||||||||||||||||
Gains and losses on the derivative representing either hedge ineffectiveness or hedge components excluded from the assessment of effectiveness are recognized in current earnings. | |||||||||||||||||||||||||||||||||||||||||
Derivatives in Cash | Amount of Gain or | Location of Gain or | Amount of Gain or | Location of Gain | Amount of Gain or | ||||||||||||||||||||||||||||||||||||
Flow Hedging | (Loss) Recognized in | (Loss) Reclassified | (Loss) Reclassified | or (Loss) | (Loss) Recognized | ||||||||||||||||||||||||||||||||||||
Relationships | OCI on Derivatives | from Accumulated | from Accumulated | Recognized in | in Earnings on | ||||||||||||||||||||||||||||||||||||
(Effective Portion) | OCI into Earnings | OCI into Earnings | Earnings on | Derivatives | |||||||||||||||||||||||||||||||||||||
(Effective Portion) | (Effective Portion)* | Derivatives | (Ineffective | ||||||||||||||||||||||||||||||||||||||
(Ineffective | Portion and | ||||||||||||||||||||||||||||||||||||||||
Portion and | Amount Excluded | ||||||||||||||||||||||||||||||||||||||||
Amount Excluded | from Effectiveness | ||||||||||||||||||||||||||||||||||||||||
from Effectiveness | Testing)** | ||||||||||||||||||||||||||||||||||||||||
2013 | 2012 | 2011 | 2013 | 2012 | 2011 | Testing) | 2013 | 2012 | 2011 | ||||||||||||||||||||||||||||||||
Aluminum contracts | $ | 158 | $ | (10 | ) | $ | 72 | Sales | $ | (16 | ) | $ | 36 | $ | (114 | ) | Other income, net | $ | (1 | ) | $ | (1 | ) | $ | 2 | ||||||||||||||||
Energy contracts | 1 | - | (3 | ) | Cost of goods sold | - | - | (8 | ) | Other income, net | - | - | - | ||||||||||||||||||||||||||||
Foreign exchange contracts | - | - | 1 | Sales | (2 | ) | - | 4 | Other income, net | - | - | - | |||||||||||||||||||||||||||||
Interest rate contracts | - | - | (2 | ) | Interest expense | (1 | ) | (2 | ) | - | Other income, net | - | - | - | |||||||||||||||||||||||||||
Interest rate contracts | 3 | (2 | ) | (5 | ) | Other income, net | - | - | (3 | ) | Other income, net | - | - | - | |||||||||||||||||||||||||||
Total | $ | 162 | $ | (12 | ) | $ | 63 | $ | (19 | ) | $ | 34 | $ | (121 | ) | $ | (1 | ) | $ | (1 | ) | $ | 2 | ||||||||||||||||||
* | Assuming market rates remain constant with the rates at December 31, 2013, a loss of $13 is expected to be recognized in earnings over the next 12 months. | ||||||||||||||||||||||||||||||||||||||||
** | In 2013, 2012, and 2011, the amount of gain or (loss) recognized in earnings represents $(1), $(1), and $3, respectively, related to the amount excluded from the assessment of hedge effectiveness. There was also $(1) recognized in earnings related to the ineffective portion of the hedging relationships in 2011. In 2013 and 2012, there was no ineffectiveness related to the derivatives in cash flow hedging relationships. | ||||||||||||||||||||||||||||||||||||||||
Schedule of Outstanding Forward Contracts that were Entered into Hedge Forecasted Transactions | ' | ||||||||||||||||||||||||||||||||||||||||
Alcoa had the following outstanding forward contracts that were entered into to hedge forecasted transactions: | |||||||||||||||||||||||||||||||||||||||||
December 31, | 2013 | 2012 | |||||||||||||||||||||||||||||||||||||||
Aluminum contracts (000 metric tons) | 841 | 1,120 | |||||||||||||||||||||||||||||||||||||||
Energy contracts: | |||||||||||||||||||||||||||||||||||||||||
Electricity (megawatt hours) | 59,409,328 | 100,578,295 | |||||||||||||||||||||||||||||||||||||||
Natural gas (million British thermal units) | 19,980,000 | 19,160,000 | |||||||||||||||||||||||||||||||||||||||
Foreign exchange contracts | $ | 335 | $ | 71 | |||||||||||||||||||||||||||||||||||||
Schedule of Fair Value Gains and Losses on Derivatives Contracts Recorded in Earnings | ' | ||||||||||||||||||||||||||||||||||||||||
Alcoa has certain derivative contracts that do not qualify for hedge accounting treatment and, therefore, the fair value gains and losses on these contracts are recorded in earnings as follows: | |||||||||||||||||||||||||||||||||||||||||
Derivatives Not Designated as Hedging | Location of Gain or (Loss) | Amount of Gain or (Loss) | |||||||||||||||||||||||||||||||||||||||
Instruments | Recognized in Earnings on Derivatives | Recognized in Earnings | |||||||||||||||||||||||||||||||||||||||
on Derivatives | |||||||||||||||||||||||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||||||||||||||||||||||
Aluminum contracts | Sales | $ | (9 | ) | $ | - | $ | (13 | ) | ||||||||||||||||||||||||||||||||
Aluminum contracts | Other income, net | 27 | 16 | 13 | |||||||||||||||||||||||||||||||||||||
Embedded credit derivative | Other income, net | 8 | (3 | ) | (5 | ) | |||||||||||||||||||||||||||||||||||
Energy contract | Other income, net | - | - | 47 | |||||||||||||||||||||||||||||||||||||
Foreign exchange contracts | Other income, net | (6 | ) | - | (3 | ) | |||||||||||||||||||||||||||||||||||
Total | $ | 20 | $ | 13 | $ | 39 | |||||||||||||||||||||||||||||||||||
Schedule of Carrying Values and Fair Values of Other Financial Instruments | ' | ||||||||||||||||||||||||||||||||||||||||
The carrying values and fair values of Alcoa’s other financial instruments were as follows: | |||||||||||||||||||||||||||||||||||||||||
December 31, | 2013 | 2012 | |||||||||||||||||||||||||||||||||||||||
Carrying | Fair | Carrying | Fair | ||||||||||||||||||||||||||||||||||||||
value | value | value | value | ||||||||||||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 1,437 | $ | 1,437 | $ | 1,861 | $ | 1,861 | |||||||||||||||||||||||||||||||||
Restricted cash | 18 | 18 | 189 | 189 | |||||||||||||||||||||||||||||||||||||
Noncurrent receivables | 19 | 19 | 20 | 20 | |||||||||||||||||||||||||||||||||||||
Available-for-sale securities | 119 | 119 | 67 | 67 | |||||||||||||||||||||||||||||||||||||
Short-term borrowings | 57 | 57 | 53 | 53 | |||||||||||||||||||||||||||||||||||||
Commercial paper | - | - | - | - | |||||||||||||||||||||||||||||||||||||
Long-term debt due within one year | 655 | 1,040 | 465 | 477 | |||||||||||||||||||||||||||||||||||||
Long-term debt, less amount due within one year | 7,607 | 7,863 | 8,311 | 9,028 |
Quarterly_Data_Tables
Quarterly Data (Tables) | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||
Quarterly Financial Information Disclosure [Abstract] | ' | ||||||||||||||||||||
Schedule of Quarterly Data | ' | ||||||||||||||||||||
Supplemental Financial Information (unaudited) | |||||||||||||||||||||
Quarterly Data | |||||||||||||||||||||
(in millions, except per-share amounts) | |||||||||||||||||||||
First | Second | Third | Fourth* | Year | |||||||||||||||||
2013 | |||||||||||||||||||||
Sales | $ | 5,833 | $ | 5,849 | $ | 5,765 | $ | 5,585 | $ | 23,032 | |||||||||||
Net income (loss) attributable to Alcoa common shareholders | $ | 149 | $ | (119 | ) | $ | 24 | $ | (2,339 | ) | $ | (2,285 | ) | ||||||||
Earnings per share attributable to Alcoa common shareholders**: | |||||||||||||||||||||
Basic | $ | 0.14 | $ | (0.11 | ) | $ | 0.02 | $ | (2.19 | ) | $ | (2.14 | ) | ||||||||
Diluted | $ | 0.13 | $ | (0.11 | ) | $ | 0.02 | $ | (2.19 | ) | $ | (2.14 | ) | ||||||||
2012 | |||||||||||||||||||||
Sales | $ | 6,006 | $ | 5,963 | $ | 5,833 | $ | 5,898 | $ | 23,700 | |||||||||||
Net income (loss) attributable to Alcoa common shareholders | $ | 94 | $ | (2 | ) | $ | (143 | ) | $ | 242 | $ | 191 | |||||||||
Earnings per share attributable to Alcoa common shareholders**: | |||||||||||||||||||||
Basic | $ | 0.09 | $ | - | $ | (0.13 | ) | $ | 0.23 | $ | 0.18 | ||||||||||
Diluted | $ | 0.09 | $ | - | $ | (0.13 | ) | $ | 0.21 | $ | 0.18 | ||||||||||
* | In the fourth quarter of 2013, Alcoa recorded a $1,731 ($1,719 after noncontrolling interest) impairment of goodwill (see Goodwill and Other Intangible Assets in Note A and Note E), a $372 discrete income tax charge for valuation allowances on certain deferred tax assets in Spain and the U.S. (see Note T), and a $288 ($243 after-tax and noncontrolling interest) charge related to a legal matter (see Note C and Government Investigations under Litigation in Note N). | ||||||||||||||||||||
** | Per share amounts are calculated independently for each period presented; therefore, the sum of the quarterly per share amounts may not equal the per share amounts for the year. |
Summary_of_Significant_Account3
Summary of Significant Accounting Policies - Additional Information (Detail) (USD $) | 0 Months Ended | 1 Months Ended | 3 Months Ended | 12 Months Ended | 12 Months Ended | 12 Months Ended | 3 Months Ended | 12 Months Ended | 12 Months Ended | |||||||||||||
In Millions, unless otherwise specified | Jan. 02, 2013 | Jan. 02, 2011 | Sep. 30, 2011 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 |
Reporting_Unit | Alcoa Fastening Systems [Member] | Alcoa Power and Propulsion [Member] | Engineered Products and Solutions [Member] | Alumina [Member] | Alumina [Member] | Alumina [Member] | Alumina [Member] | Primary Metals [Member] | Primary Metals [Member] | Primary Metals [Member] | Primary Metals [Member] | Maximum [Member] | Maximum [Member] | Minimum [Member] | Minimum [Member] | |||||||
Reporting_Unit | Primary Metals [Member] | Bauxite Mining [Member] | Bauxite Mining [Member] | |||||||||||||||||||
Reporting_Unit | ||||||||||||||||||||||
Summary Of Significant Accounting Policies [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percent of equity investments in other entity | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 50.00% | ' | ' | ' |
Original maturity of cash equivalents | ' | ' | ' | ' | '3 months | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Period of mining | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '5 years | ' | '1 year |
Number of reporting units being subjected to goodwill impairment test | ' | ' | ' | ' | 9 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of reporting unit having maximum goodwill | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of reporting units | ' | ' | ' | ' | ' | ' | ' | ' | ' | 5 | ' | ' | ' | 4 | ' | ' | ' | ' | ' | ' | ' | ' |
Percentage of total goodwill allocated to reporting units | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 80.00% | ' |
Goodwill | ' | ' | ' | $3,415 | $3,415 | $5,170 | $5,157 | $1,166 | $1,617 | ' | $9 | $10 | $11 | ' | ' | ' | $997 | $991 | ' | ' | ' | ' |
Minimum percentage of estimated fair value of reporting unit to be less than carrying amount of goodwill | ' | ' | ' | ' | 50.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Minimum number of reporting units being subjected for goodwill impairment test | ' | ' | ' | ' | 3 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Qualitative assessment for reporting units | ' | ' | ' | ' | 7 | ' | ' | ' | ' | 4 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Implied fair value of goodwill | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0 | ' | ' | ' | ' | ' | ' |
Goodwill impairment | ' | ' | ' | 1,731 | 1,731 | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,731 | 989 | ' | ' | ' | ' | ' | ' |
Goodwill impairment after noncontrolling interest | ' | ' | ' | $1,719 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $1,719 | $1,719 | ' | ' | ' | ' | ' | ' |
Estimated fair value of exceeded percentage on carrying value | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 18.00% | 7.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Maximum hedging contracts period, in years | ' | ' | ' | ' | '5 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Businesses expected to be disposed within, years | ' | ' | ' | ' | '1 year | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Goodwill impairment threshold, maximum | 50.00% | 50.00% | 50.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Summary_of_Significant_Account4
Summary of Significant Accounting Policies - Weighted-Average Useful Lives of Structures and Machinery and Equipment (Detail) | 12 Months Ended |
Dec. 31, 2013 | |
Structures [Member] | Alumina Refining [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Weighted-average useful lives of assets, years | '30 years |
Structures [Member] | Bauxite Mining [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Weighted-average useful lives of assets, years | '31 years |
Structures [Member] | Aluminum Smelting [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Weighted-average useful lives of assets, years | '35 years |
Structures [Member] | Power Generation [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Weighted-average useful lives of assets, years | '30 years |
Structures [Member] | Global Rolled Products [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Weighted-average useful lives of assets, years | '32 years |
Structures [Member] | Engineered Products and Solutions [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Weighted-average useful lives of assets, years | '29 years |
Machinery and Equipment [Member] | Alumina Refining [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Weighted-average useful lives of assets, years | '26 years |
Machinery and Equipment [Member] | Bauxite Mining [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Weighted-average useful lives of assets, years | '17 years |
Machinery and Equipment [Member] | Aluminum Smelting [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Weighted-average useful lives of assets, years | '21 years |
Machinery and Equipment [Member] | Power Generation [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Weighted-average useful lives of assets, years | '21 years |
Machinery and Equipment [Member] | Global Rolled Products [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Weighted-average useful lives of assets, years | '21 years |
Machinery and Equipment [Member] | Engineered Products and Solutions [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Weighted-average useful lives of assets, years | '18 years |
Summary_of_Significant_Account5
Summary of Significant Accounting Policies - Weighted-Average Useful Lives of Software and Other Intangible Assets (Detail) | 12 Months Ended |
Dec. 31, 2013 | |
Software [Member] | Alumina [Member] | ' |
Finite-Lived Intangible Assets [Line Items] | ' |
Weighted-average useful lives of other intangible assets | '10 years |
Software [Member] | Primary Metals [Member] | ' |
Finite-Lived Intangible Assets [Line Items] | ' |
Weighted-average useful lives of other intangible assets | '8 years |
Software [Member] | Global Rolled Products [Member] | ' |
Finite-Lived Intangible Assets [Line Items] | ' |
Weighted-average useful lives of other intangible assets | '9 years |
Software [Member] | Engineered Products and Solutions [Member] | ' |
Finite-Lived Intangible Assets [Line Items] | ' |
Weighted-average useful lives of other intangible assets | '11 years |
Other Intangible Assets [Member] | Alumina [Member] | ' |
Finite-Lived Intangible Assets [Line Items] | ' |
Weighted-average useful lives of other intangible assets | '34 years |
Other Intangible Assets [Member] | Primary Metals [Member] | ' |
Finite-Lived Intangible Assets [Line Items] | ' |
Weighted-average useful lives of other intangible assets | '39 years |
Other Intangible Assets [Member] | Global Rolled Products [Member] | ' |
Finite-Lived Intangible Assets [Line Items] | ' |
Weighted-average useful lives of other intangible assets | '17 years |
Other Intangible Assets [Member] | Engineered Products and Solutions [Member] | ' |
Finite-Lived Intangible Assets [Line Items] | ' |
Weighted-average useful lives of other intangible assets | '19 years |
Recovered_Sheet1
Accumulated other Comprehensive Income - Summary of Changes in Accumulated Other Comprehensive Loss by Component (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Pension and other postretirement benefits | ' | ' | ' |
Total Other comprehensive income (loss) | $557 | ($507) | ($652) |
Foreign currency translation | ' | ' | ' |
Other comprehensive loss | -1,335 | -296 | -708 |
Available-for-sale-securities | ' | ' | ' |
Other comprehensive (loss) income | -1 | 2 | ' |
Cash flow hedges | ' | ' | ' |
Total Other comprehensive income (loss) | 184 | -47 | 179 |
Alcoa [Member] | ' | ' | ' |
Pension and other postretirement benefits | ' | ' | ' |
Balance at beginning of period | -4,063 | -3,534 | -2,941 |
Unrecognized net actuarial loss and prior service cost/benefit | 281 | -1,184 | -1,159 |
Tax (expense) benefit | -88 | 398 | 399 |
Total Other comprehensive income (loss) before reclassifications, net of tax | 193 | -786 | -760 |
Amortization of net actuarial loss and prior service cost/benefit | 520 | 396 | 257 |
Tax (expense) benefit | -182 | -139 | -90 |
Total amount reclassified from Accumulated other comprehensive loss, net of tax | 338 | 257 | 167 |
Total Other comprehensive income (loss) | 531 | -529 | -593 |
Balance at end of period | -3,532 | -4,063 | -3,534 |
Foreign currency translation | ' | ' | ' |
Balance at beginning of period | 1,147 | 1,349 | 1,892 |
Other comprehensive loss | -968 | -202 | -543 |
Balance at end of period | 179 | 1,147 | 1,349 |
Available-for-sale-securities | ' | ' | ' |
Balance at beginning of period | 3 | 1 | 1 |
Other comprehensive (loss) income | -1 | 2 | ' |
Balance at end of period | 2 | 3 | 1 |
Cash flow hedges | ' | ' | ' |
Balance at beginning of period | -489 | -443 | -627 |
Net change from periodic revaluations | 205 | -2 | 88 |
Tax (expense) benefit | -43 | -10 | -25 |
Total Other comprehensive income (loss) before reclassifications, net of tax | 162 | -12 | 63 |
Net amount reclassified to earnings | -22 | 62 | -167 |
Tax (expense) benefit | -3 | 28 | -46 |
Total amount reclassified from Accumulated other comprehensive loss, net of tax | 19 | -34 | 121 |
Total Other comprehensive income (loss) | 181 | -46 | 184 |
Balance at end of period | -308 | -489 | -443 |
Alcoa [Member] | Aluminum Contracts [Member] | ' | ' | ' |
Cash flow hedges | ' | ' | ' |
Net amount reclassified to earnings | 18 | -65 | 152 |
Alcoa [Member] | Energy Contracts [Member] | ' | ' | ' |
Cash flow hedges | ' | ' | ' |
Net amount reclassified to earnings | ' | ' | 13 |
Alcoa [Member] | Foreign Exchange Contracts [Member] | ' | ' | ' |
Cash flow hedges | ' | ' | ' |
Net amount reclassified to earnings | 2 | ' | -3 |
Alcoa [Member] | Interest Rate Contracts [Member] | ' | ' | ' |
Cash flow hedges | ' | ' | ' |
Net amount reclassified to earnings | 2 | 3 | 5 |
Noncontrolling Interests [Member] | ' | ' | ' |
Pension and other postretirement benefits | ' | ' | ' |
Balance at beginning of period | -77 | -99 | -40 |
Unrecognized net actuarial loss and prior service cost/benefit | 28 | 15 | -97 |
Tax (expense) benefit | -9 | -4 | 32 |
Total Other comprehensive income (loss) before reclassifications, net of tax | 19 | 11 | -65 |
Amortization of net actuarial loss and prior service cost/benefit | 11 | 16 | 9 |
Tax (expense) benefit | -4 | -5 | -3 |
Total amount reclassified from Accumulated other comprehensive loss, net of tax | 7 | 11 | 6 |
Total Other comprehensive income (loss) | 26 | 22 | -59 |
Balance at end of period | -51 | -77 | -99 |
Foreign currency translation | ' | ' | ' |
Balance at beginning of period | 257 | 351 | 516 |
Other comprehensive loss | -367 | -94 | -165 |
Balance at end of period | -110 | 257 | 351 |
Cash flow hedges | ' | ' | ' |
Balance at beginning of period | -5 | -4 | 1 |
Net change from periodic revaluations | 4 | -1 | -8 |
Tax (expense) benefit | -1 | ' | 2 |
Total Other comprehensive income (loss) before reclassifications, net of tax | 3 | -1 | -6 |
Net amount reclassified to earnings | ' | ' | -1 |
Total amount reclassified from Accumulated other comprehensive loss, net of tax | ' | ' | 1 |
Total Other comprehensive income (loss) | 3 | -1 | -5 |
Balance at end of period | -2 | -5 | -4 |
Noncontrolling Interests [Member] | Interest Rate Contracts [Member] | ' | ' | ' |
Cash flow hedges | ' | ' | ' |
Net amount reclassified to earnings | ' | ' | $1 |
Asset_Retirement_Obligations_A
Asset Retirement Obligations - Additional Information (Detail) (USD $) | 12 Months Ended | |
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Structure | ||
Asset Retirement Obligation Disclosure [Abstract] | ' | ' |
Estimated CARO ranges per structure, minimum | $1 | ' |
Estimated CARO ranges per structure, maximum | 52 | ' |
Number of structures required to demolish | 131 | ' |
Current liability | $85 | $75 |
Asset_Retirement_Obligations_S
Asset Retirement Obligations - Schedule of Carrying Value of Recorded AROs by Major Category (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
In Millions, unless otherwise specified | |||
Asset Retirement Obligation Disclosure [Abstract] | ' | ' | ' |
Spent pot lining disposal | $182 | $182 | ' |
Closure of bauxite residue areas | 179 | 190 | ' |
Mine reclamation | 178 | 189 | ' |
Demolition | 68 | 28 | ' |
Landfill closure | 18 | 17 | ' |
Other | 4 | 4 | ' |
Asset retirement obligation, total | $629 | $610 | $579 |
Asset_Retirement_Obligations_S1
Asset Retirement Obligations - Schedule of Changes in Carrying Value of Recorded AROs (Detail) (USD $) | 12 Months Ended | |
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Asset Retirement Obligation Disclosure [Abstract] | ' | ' |
Balance at beginning of year | $610 | $579 |
Accretion expense | 24 | 25 |
Payments | -71 | -81 |
Liabilities incurred | 118 | 80 |
Foreign currency translation and other | -52 | 7 |
Balance at end of year | $629 | $610 |
Restructuring_and_Other_Charge2
Restructuring and Other Charges - Schedule of Restructuring and Other Charges (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Restructuring And Related Activities [Abstract] | ' | ' | ' |
Resolution of a legal matter | $391 | $85 | ' |
Layoff costs | 201 | 47 | 93 |
Asset impairments | 116 | 40 | 150 |
Other | 82 | 21 | 61 |
Reversals of previously recorded layoff and other exit costs | -8 | -21 | -23 |
Restructuring and other charges | $782 | $172 | $281 |
Restructuring_and_Other_Charge3
Restructuring and Other Charges - Additional Information (Detail) (USD $) | 1 Months Ended | 12 Months Ended | 1 Months Ended | 12 Months Ended | 1 Months Ended | 12 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
In Millions, unless otherwise specified | 30-May-13 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2011 | 31-May-13 | Dec. 31, 2013 | 31-May-13 | Sep. 30, 2013 | 31-May-13 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2011 | Dec. 31, 2011 | Dec. 31, 2011 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2011 | Dec. 31, 2011 | Dec. 31, 2011 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 |
t | Employees | Location | Primary Metals [Member] | Primary Metals [Member] | Primary Metals [Member] | Engineered Products and Solutions [Member] | Engineered Products and Solutions [Member] | Engineered Products and Solutions [Member] | Global Rolled Products [Member] | Global Rolled Products [Member] | Alumina [Member] | Alumina [Member] | Alumina [Member] | Corporate [Member] | Corporate [Member] | Corporate [Member] | Global Rolled Products Segment [Member] | Retirement Of Previously Idled Structure [Member] | Write Off Of Capitalized Structure [Member] | Rockdale, TX [Member] | Baie Comeau [Member] | Baie Comeau [Member] | Quebec Canada [Member] | Fusina Italy [Member] | Fusina Italy [Member] | Fusina and Massena East [Member] | Legal Matter [Member] | Legal Matter [Member] | Other Exit Costs [Member] | Other Exit Costs [Member] | Layoff Costs [Member] | Layoff Costs [Member] | Layoff Costs [Member] | Layoff Costs [Member] | Pension Benefits [Member] | Asset Impairments and Retirements Costs [Member] | Other Miscellaneous Items [Member] | Other Miscellaneous Items [Member] | Small Layoff Reserves Related to Prior Periods [Member] | Small Layoff Reserves Related to Prior Periods [Member] | Pension Costs [Member] | Operating Supplies [Member] | Operating Supplies [Member] | Permanent Shutdown and Planned Demolition of Idled Structures [Member] | Permanent Shutdown and Planned Demolition of Idled Structures [Member] | Permanent Shutdown and Planned Demolition of Idled Structures [Member] | Permanent Shutdown and Planned Demolition of Idled Structures [Member] | Permanent Shutdown and Planned Demolition of Idled Structures [Member] | Asset Retirement Obligations [Member] | Asset Retirement Obligations [Member] | Environmental Remediation [Member] | Environmental Remediation [Member] | Restructuring Programs Layoffs 2013 [Member] | Restructuring Programs Layoffs 2012 [Member] | Restructuring Programs Layoffs 2012 [Member] | Smelter Curtailments [Member] | Asset Impairment [Member] | Lease and Contract Termination Costs [Member] | Portovesme Smelter [Member] | Other Asset Impairments [Member] | Other Asset Impairments [Member] | Spain [Member] | Asset Impairments [Member] | Litigation Matter [Member] | Portovesme, Italy [Member] | Aviles, Spain [Member] | La Coruna, Spain [Member] | Restructuring Programs Layoffs 2011 [Member] | Restructuring Programs Layoffs 2011 [Member] | ||
t | GeneratingPlant | Employee | Employees | Employees | Employees | Employees | Employees | Employees | Employees | Employees | Employees | Employees | Employees | Employees | Employees | Employees | Potline | Potline | t | t | t | Primary Metals [Member] | Retirement Of Previously Idled Structure [Member] | Alcoa, TN [Member] | Rockdale, TX [Member] | Remaining Capacity [Member] | Employee | Positions | Employees | Smelter Sites [Member] | Kmt | Kmt | Kmt | ||||||||||||||||||||||||||||||||||||||
Employees | Employees | Location | t | Potline | t | t | t | Employees | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Pension plan settlement charges | ' | $782 | $172 | $281 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $25 | $13 | ' | ' | ' | ' | ' | ' | ' | $391 | $85 | $245 | $36 | $87 | $47 | $93 | $114 | $9 | $12 | $17 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $58 | $17 | $12 | $18 | ' | ' | ' | $10 | ' | ' | ' | ' | $23 | ' | $127 | $20 | ' | ' | ' | ' | ' |
Restructuring and other charges, after-tax and noncontrolling interests | ' | 585 | 106 | 181 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 17 | 25 | ' | ' | ' | ' | ' | ' | ' | 305 | 33 | 183 | 23 | 61 | 29 | 68 | ' | ' | 8 | 12 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 7 | ' | ' | ' | ' | 12 | ' | 82 | 8 | ' | ' | ' | ' | ' |
Number of employees associated with layoff costs | ' | 1,110 | ' | ' | 340 | ' | ' | 260 | ' | ' | 250 | ' | 85 | ' | ' | 175 | ' | ' | 590 | ' | ' | 2 | 2 | ' | ' | 1 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring reserve, other adjustment | ' | ' | ' | 23 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 4 | 8 | 21 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 30 | 6 | 11 | 10 | ' | 10 | ' | ' | ' | ' | ' | ' | ' |
Restructuring reserve, other adjustment, after-tax | ' | ' | ' | 16 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 4 | 6 | 15 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 30 | 6 | 11 | 8 | ' | 7 | ' | ' | ' | ' | ' | ' | ' |
Reduction in production - result of market conditions, in mt per year | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 105,000 | ' | ' | 41,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Reduction in production - result of market conditions, in kmt per year | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 280,000 | 84,000 | 44,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 215,000 | 76,000 | 191,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of facilities in which demolition and remediation activities will begin | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Reduction in production - result of market conditions, in metric tons per year | 460,000 | 183,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of employees associated with layoff costs | ' | ' | ' | 1,600,000,000 | 550 | 250 | 820,000,000 | ' | 390 | 20,000,000 | ' | 470,000,000 | ' | 85 | 160,000,000 | ' | 75 | 130,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 170 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Pension cost | ' | 201 | 47 | 93 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 83 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Accelerated depreciation | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 58 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Other asset impairment charges | ' | 116 | 40 | 150 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 18 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Inventory write-down - permanent shutdown and planned demolition of idled structures | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 9 | 6 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Inventory write-down, after-tax and non-controlling interests | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 6 | 4 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Other exit costs | ' | ' | ' | 5 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 55 | 36 | ' | ' | ' | 48 | 17 | 5 | 18 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Other related costs | ' | 2 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total number of employees already laid off | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,660 | ' | ' | ' | ' | ' | ' | ' | ' | 55 | ' | ' | ' | ' | ' | ' | ' |
Number of positions separated | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,020 | ' | 800 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Cash payments made against the layoff reserves | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 33 | 17 | 16 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 11 | 23 |
Number of U.S. locations permanently shutdown and planned demolition | ' | ' | ' | 2,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Other exit costs, after-tax and noncontrolling interests | ' | ' | ' | 4 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 11 | ' | 11 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of U.S. locations permanently shutdown and planned demolition | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of potlines at facility | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 4 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Other asset impairment charges | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 127 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Capacity for which management approved partial or full curtailment, in kmt | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 150,000,000,000 | 46,000,000,000 | 44,000,000,000 | ' | ' |
Number of European smelters, management approved, partial or full curtailment | ' | ' | ' | 3,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Capacity of smelters for which management approved partial or full curtailment, in kmt | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 93,000,000,000 | 87,000,000,000 | ' | ' |
Number of smelters in Spain where curtailment is planned to be temporary | ' | ' | ' | 2,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Layoff costs of positions eliminations | ' | ' | ' | 33 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Layoff costs of positions eliminations, after-tax | ' | ' | ' | 31 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of employees layoff | ' | ' | ' | 650,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Minimum amount of cash payments expected to be paid beyond the end of the current annual period | ' | 30 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Maximum amount of cash payments expected to be paid beyond the end of the current annual period | ' | $35 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring_and_Other_Charge4
Restructuring and Other Charges - Schedule of Restructuring and Other Charges by Reportable Segments, Pretax (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Restructuring and other charges | $782 | $172 | $281 |
Operating Segments [Member] | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Restructuring and other charges | 348 | 79 | 267 |
Corporate, Non-Segment [Member] | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Restructuring and other charges | 434 | 93 | 14 |
Alumina [Member] | Operating Segments [Member] | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Restructuring and other charges | 11 | 3 | 39 |
Primary Metals [Member] | Operating Segments [Member] | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Restructuring and other charges | 295 | 20 | 212 |
Global Rolled Products [Member] | Operating Segments [Member] | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Restructuring and other charges | 15 | 43 | 19 |
Engineered Products and Solutions [Member] | Operating Segments [Member] | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Restructuring and other charges | $27 | $13 | ($3) |
Restructuring_and_Other_Charge5
Restructuring and Other Charges - Activity and Reserve Balances for Restructuring Charges (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Restructuring reserve beginning balance | $111 | $134 | $116 |
Cash payments | -74 | -57 | -54 |
Restructuring charges | 286 | 60 | 130 |
Other | -185 | -26 | -58 |
Restructuring reserve ending balance | 138 | 111 | 134 |
Layoff Costs [Member] | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Restructuring reserve beginning balance | 59 | 77 | 53 |
Cash payments | -63 | -44 | -45 |
Restructuring charges | 201 | 47 | 93 |
Other | -101 | -21 | -24 |
Restructuring reserve ending balance | 96 | 59 | 77 |
Other Exit Costs [Member] | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Restructuring reserve beginning balance | 52 | 57 | 63 |
Cash payments | -11 | -13 | -9 |
Restructuring charges | 85 | 13 | 37 |
Other | -84 | -5 | -34 |
Restructuring reserve ending balance | $42 | $52 | $57 |
Restructuring_and_Other_Charge6
Restructuring and Other Charges - Activity and Reserve Balances for Restructuring Charges (Parenthetical) (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Restructuring and other charges | $782 | $172 | $281 |
Other layoff cost including reclassification in pension cost | 185 | 26 | 58 |
Asset Retirement Obligations [Member] | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Restructuring and other charges | 58 | ' | 17 |
Environmental Remediation [Member] | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Restructuring and other charges | 12 | ' | 18 |
Pension Costs [Member] | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Other layoff cost including reclassification in pension cost | $92 | ' | ' |
Goodwill_and_Other_Intangible_2
Goodwill and Other Intangible Assets - Changes in Carrying Amount of Goodwill (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 |
Goodwill [Line Items] | ' | ' | ' |
Goodwill gross, beginning balance | ' | $5,198 | $5,185 |
Impairment | -1,731 | -1,731 | ' |
Accumulated impairment losses, beginning balance | ' | -28 | -28 |
Goodwill, beginning balance | ' | 5,170 | 5,157 |
Acquisition of businesses | ' | ' | -1 |
Translation | ' | -24 | 14 |
Goodwill gross, ending balance | 5,174 | 5,174 | 5,198 |
Accumulated impairment losses, ending balance | -1,759 | -1,759 | -28 |
Goodwill, ending balance | 3,415 | 3,415 | 5,170 |
Alumina [Member] | ' | ' | ' |
Goodwill [Line Items] | ' | ' | ' |
Goodwill gross, beginning balance | ' | 10 | 11 |
Goodwill, beginning balance | ' | 10 | 11 |
Translation | ' | -1 | -1 |
Goodwill gross, ending balance | 9 | 9 | 10 |
Goodwill, ending balance | 9 | 9 | 10 |
Primary Metals [Member] | ' | ' | ' |
Goodwill [Line Items] | ' | ' | ' |
Goodwill gross, beginning balance | ' | 997 | 991 |
Impairment | -1,731 | -989 | ' |
Goodwill, beginning balance | ' | 997 | 991 |
Translation | ' | -8 | 6 |
Goodwill gross, ending balance | 989 | 989 | 997 |
Accumulated impairment losses, ending balance | -989 | -989 | ' |
Goodwill, ending balance | ' | ' | 997 |
Global Rolled Products [Member] | ' | ' | ' |
Goodwill [Line Items] | ' | ' | ' |
Goodwill gross, beginning balance | ' | 214 | 208 |
Goodwill, beginning balance | ' | 214 | 208 |
Translation | ' | 4 | 6 |
Goodwill gross, ending balance | 218 | 218 | 214 |
Goodwill, ending balance | 218 | 218 | 214 |
Engineered Products and Solutions [Member] | ' | ' | ' |
Goodwill [Line Items] | ' | ' | ' |
Goodwill gross, beginning balance | ' | 2,705 | 2,694 |
Accumulated impairment losses, beginning balance | ' | -28 | -28 |
Goodwill, beginning balance | ' | 2,677 | 2,666 |
Acquisition of businesses | ' | ' | -1 |
Translation | ' | -7 | 12 |
Goodwill gross, ending balance | 2,698 | 2,698 | 2,705 |
Accumulated impairment losses, ending balance | -28 | -28 | -28 |
Goodwill, ending balance | 2,670 | 2,670 | 2,677 |
Corporate [Member] | ' | ' | ' |
Goodwill [Line Items] | ' | ' | ' |
Goodwill gross, beginning balance | ' | 1,272 | 1,281 |
Impairment | ' | -742 | ' |
Goodwill, beginning balance | ' | 1,272 | 1,281 |
Translation | ' | -12 | -9 |
Goodwill gross, ending balance | 1,260 | 1,260 | 1,272 |
Accumulated impairment losses, ending balance | -742 | -742 | ' |
Goodwill, ending balance | $518 | $518 | $1,272 |
Goodwill_and_Other_Intangible_3
Goodwill and Other Intangible Assets - Changes in Carrying Amount of Goodwill (Parenthetical) (Detail) (USD $) | 12 Months Ended |
In Millions, unless otherwise specified | Dec. 31, 2013 |
Segment | |
Goodwill [Line Items] | ' |
Number of reportable segments | 4 |
Alumina [Member] | ' |
Goodwill [Line Items] | ' |
Segment reporting, goodwill | 158 |
Global Rolled Products [Member] | ' |
Goodwill [Line Items] | ' |
Segment reporting, goodwill | 61 |
Engineered Products and Solutions [Member] | ' |
Goodwill [Line Items] | ' |
Segment reporting, goodwill | 274 |
Corporate [Member] | ' |
Goodwill [Line Items] | ' |
Segment reporting, goodwill | 493 |
Alcoa [Member] | ' |
Goodwill [Line Items] | ' |
Number of reportable segments | 3 |
Goodwill_and_Other_Intangible_4
Goodwill and Other Intangible Assets - Additional Information (Detail) (USD $) | 3 Months Ended | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Finite-Lived Intangible Assets [Line Items] | ' | ' | ' | ' |
Impairment of goodwill | $1,731 | $1,731 | ' | ' |
Impairment of goodwill amount after noncontrolling interest | 1,719 | ' | ' | ' |
Amortization expense related to the intangible assets | ' | 73 | 82 | 86 |
Primary Metals [Member] | ' | ' | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' | ' | ' |
Impairment of goodwill | 1,731 | 989 | ' | ' |
Impairment of goodwill amount after noncontrolling interest | 1,719 | 1,719 | ' | ' |
Minimum [Member] | ' | ' | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' | ' | ' |
Expected amortization for the year 2014 | 60 | 60 | ' | ' |
Expected amortization for the year 2015 | 60 | 60 | ' | ' |
Expected amortization for the year 2016 | 60 | 60 | ' | ' |
Expected amortization for the year 2017 | 60 | 60 | ' | ' |
Expected amortization for the year 2018 | 60 | 60 | ' | ' |
Maximum [Member] | ' | ' | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' | ' | ' |
Expected amortization for the year 2014 | 70 | 70 | ' | ' |
Expected amortization for the year 2015 | 70 | 70 | ' | ' |
Expected amortization for the year 2016 | 70 | 70 | ' | ' |
Expected amortization for the year 2017 | 70 | 70 | ' | ' |
Expected amortization for the year 2018 | $70 | $70 | ' | ' |
Goodwill_and_Other_Intangible_5
Goodwill and Other Intangible Assets - Other Intangible Assets (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Total amortizable intangible assets, Gross carrying amount | $1,221 | $1,141 |
Total amortizable intangible assets, Accumulated amortization | -868 | -780 |
Indefinite-lived trade names and trademarks | 46 | 46 |
Total other intangible assets, Gross carrying amount | 1,267 | 1,187 |
Total other intangible assets, Accumulated amortization | -868 | -780 |
Computer Software [Member] | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Total amortizable intangible assets, Gross carrying amount | 988 | 907 |
Total amortizable intangible assets, Accumulated amortization | -743 | -664 |
Patent and Licenses [Member] | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Total amortizable intangible assets, Gross carrying amount | 133 | 133 |
Total amortizable intangible assets, Accumulated amortization | -93 | -88 |
Other Intangibles [Member] | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Total amortizable intangible assets, Gross carrying amount | 100 | 101 |
Total amortizable intangible assets, Accumulated amortization | ($32) | ($28) |
Acquisitions_and_Divestitures_
Acquisitions and Divestitures - Additional Information (Detail) (USD $) | 12 Months Ended | 12 Months Ended | 12 Months Ended | |||||||||||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2011 | Dec. 31, 2010 | Dec. 31, 2011 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2012 |
Russia [Member] | TransDigm Group Inc [Member] | TransDigm Group Inc [Member] | TransDigm Group Inc [Member] | TransDigm Group Inc [Member] | Corporate [Member] | Corporate [Member] | Corporate [Member] | 351 - Megawatt Tapoco Hydroelectric Project [Member] | 351 - Megawatt Tapoco Hydroelectric Project [Member] | 351 - Megawatt Tapoco Hydroelectric Project [Member] | ||||
Facility | Employees | California [Member] | United Kingdom [Member] | acre | Primary Metals Segment [Member] | Corporate [Member] | ||||||||
Location | Location | ElectricStation | ||||||||||||
mi | ||||||||||||||
Business Acquisition [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Sale of energy | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $597 | ' | ' |
Gain (loss) on sale of business | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 320 | 426 | 106 |
Gain (loss) on sale of business, after tax | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 173 | 275 | 102 |
Number of hydroelectric generating stations and dams | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 4 | ' | ' |
Length of transmission line | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 86 | ' | ' |
Acres of land associated with divestitures | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 14,500 | ' | ' |
Allocation of goodwill | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -94 | ' | ' |
Business acquisition cost | ' | ' | ' | ' | 240 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Cash acquired and post-closing adjustments resulted in net purchase price | ' | ' | ' | ' | 239 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of employees | ' | ' | ' | ' | 400 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of business locations | ' | ' | ' | ' | ' | ' | 1 | 2 | ' | ' | ' | ' | ' | ' |
Sales generated in last annual period prior to divestiture | ' | ' | ' | ' | ' | 61 | ' | ' | ' | ' | ' | ' | ' | ' |
Amount of goodwill recorded | 3,415 | 5,170 | 5,157 | ' | ' | ' | ' | ' | 518 | 1,272 | 1,281 | ' | ' | ' |
Reduction of initial goodwill amount | 1 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Amount of goodwill is estimated to be deductible for income tax purposes | 60 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Additional contingent consideration payable | $50 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of facilities acquired | ' | ' | ' | 2 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Inventories_Schedule_of_Invent
Inventories - Schedule of Inventory Components (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Inventory Disclosure [Abstract] | ' | ' |
Finished goods | $578 | $542 |
Work-in-process | 828 | 866 |
Bauxite and alumina | 581 | 618 |
Purchased raw materials | 474 | 536 |
Operating supplies | 244 | 263 |
Inventories, total | $2,705 | $2,825 |
Inventories_Additional_Informa
Inventories - Additional Information (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Inventory Disclosure [Abstract] | ' | ' | ' |
Percentage inventories valued on a last in, first out (LIFO) basis | 34.00% | 35.00% | ' |
Total inventories valued on an average-cost basis | $691 | $770 | ' |
Recognition of income caused by partial liquidations of the lower cost LIFO inventory base, gross | 26 | 1 | 2 |
Recognition of income caused by partial liquidations of the lower cost LIFO inventory base, after tax | $17 | $1 | $1 |
Properties_Plants_and_Equipmen2
Properties, Plants, and Equipment, Net - Schedule of Properties, Plants, and Equipment, Net (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Property, Plant and Equipment [Line Items] | ' | ' |
Land and land rights, including mines | $639 | $676 |
Structures | 11,890 | 12,198 |
Machinery and equipment | 22,770 | 23,509 |
Properties, plants, and equipment, gross | 35,299 | 36,383 |
Less: accumulated depreciation, depletion, and amortization | 19,227 | 19,190 |
Properties, plants, and equipment excluding construction work-in-progress | 16,072 | 17,193 |
Construction work-in-progress | 1,567 | 1,754 |
Properties, plants, and equipment, net | 17,639 | 18,947 |
Global Rolled Products [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Structures | 1,256 | 1,232 |
Machinery and equipment | 5,374 | 5,174 |
Engineered Products and Solutions [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Structures | 693 | 678 |
Machinery and equipment | 2,481 | 2,415 |
Other [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Structures | 755 | 760 |
Machinery and equipment | 859 | 883 |
Alumina [Member] | Alumina Refining [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Structures | 3,049 | 3,319 |
Machinery and equipment | 4,685 | 5,279 |
Alumina [Member] | Bauxite Mining [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Structures | 1,591 | 1,563 |
Machinery and equipment | 596 | 650 |
Primary Metals [Member] | Aluminum Smelting [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Structures | 3,863 | 4,042 |
Machinery and equipment | 7,674 | 8,114 |
Primary Metals [Member] | Power Generation [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Structures | 683 | 604 |
Machinery and equipment | $1,101 | $994 |
Properties_Plants_and_Equipmen3
Properties, Plants, and Equipment, Net - Additional Information (Detail) (USD $) | 12 Months Ended | |
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Kmt | Kmt | |
Smelting Assets [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Net carrying value of assets | $404 | $310 |
Net carrying value of other idled smelting assets written off | 44 | ' |
Idle capacity of assets, units | 655 | 547 |
Idled Refining Assets [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Net carrying value of assets | $60 | $68 |
Idle capacity of assets, units | 1,216 | 1,277 |
Investments_Schedule_of_Invest
Investments - Schedule of Investments (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Amortized Cost And Fair Value Debt Securities [Abstract] | ' | ' |
Equity investments | $1,777 | $1,782 |
Other investments | 130 | 78 |
Investments, total | $1,907 | $1,860 |
Investments_Additional_Informa
Investments - Additional Information (Detail) | 1 Months Ended | 12 Months Ended | 12 Months Ended | 1 Months Ended | 12 Months Ended | 1 Months Ended | 12 Months Ended | 12 Months Ended | 12 Months Ended | |||||||||||||||||||||||||||||
In Millions, unless otherwise specified | Jun. 30, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Oct. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2010 | Dec. 31, 2012 | Dec. 31, 2010 | Dec. 31, 2013 | Dec. 31, 2012 | Oct. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 |
USD ($) | USD ($) | USD ($) | Becancour Smelter [Member] | Boke Investment Company [Member] | Compagnie Des Bauxites De Guinee [Member] | Alcoa Joint Venture [Member] | Alcoa Joint Venture [Member] | Alcoa Joint Venture [Member] | Ma'aden Joint Venture [Member] | Ma'aden Joint Venture [Member] | Ma'aden Joint Venture [Member] | Smelting and Rolling Mill Companies [Member] | Smelting and Rolling Mill Companies [Member] | Other Noncurrent Liabilities and Deferred Credits [Member] | Other Noncurrent Liabilities and Deferred Credits [Member] | Refining and Mining Company [Member] | Refining and Mining Company [Member] | Refining and Mining Company [Member] | Fixed Income Securities [Member] | Equity Securities [Member] | Scenario One [Member] | Scenario Two [Member] | Alcoa World Alumina and Chemicals [Member] | Alcoa World Alumina and Chemicals [Member] | Smelter Sites [Member] | Smelter Sites [Member] | Smelter Sites [Member] | Smelter Sites [Member] | Bauxite Mining [Member] | Bauxite Mining [Member] | Bauxite Mining [Member] | Bauxite Mining [Member] | Bauxite Mining [Member] | Alumina Refinery [Member] | Primary Aluminum Smelter [Member] | Rolling Mill [Member] | ||
Agency | Kmt | USD ($) | SAR | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | Saudi Arabia Joint Venture [Member] | Saudi Arabia Joint Venture [Member] | Alcoa Joint Venture [Member] | Alumina Limited [Member] | Pechiney Reynolds Quebec, Inc. [Member] | Pechiney Reynolds Quebec, Inc. [Member] | Becancour Smelter in Quebec, Canada [Member] | Alcoa [Member] | Kmt | Halco Mining, Inc. [Member] | Halco Mining, Inc. [Member] | Minerao Rio Do Norte S.A. [Member] | Minerao Rio Do Norte S.A. [Member] | Kmt | Kmt | Kmt | ||||||||
Subsidiary | USD ($) | USD ($) | ||||||||||||||||||||||||||||||||||||
Schedule of Equity Method Investments [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percent of equity investments in other entity | ' | ' | ' | ' | 49.90% | 100.00% | 51.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 60.00% | 40.00% | 50.00% | 50.00% | 50.10% | 25.05% | ' | 45.00% | 45.00% | 18.20% | 18.20% | ' | ' | ' |
Number of wholly-owned subsidiaries | ' | 2 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Dividends from equity investments | ' | $89 | $101 | $100 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Joint venture shareholders agreement period, years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '30 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Joint venture shareholders agreement, automatic extension additional period, years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '20 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Projected capacity amount of processed bauxite, in kmt | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 4,000 | ' | ' | ' | ' | 1,800 | 740 | 380 |
Expanded capacity amount of processed bauxite, in Kmt | ' | ' | 100 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Ownership interest in joint venture | ' | ' | ' | ' | ' | ' | ' | 25.10% | 25.10% | ' | 74.90% | 74.90% | 74.90% | ' | 25.10% | ' | ' | 25.10% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Initial investment | ' | ' | ' | ' | ' | ' | ' | 80 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Payment for pro rata share of pre-incorporation costs | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 56 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Ownership interest in joint venture at fair market value | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 14.90% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Period Bracket To Exercise Option | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '6 months | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Period To Open Option Exercise Bracket From Commercial Production Date | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '5 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Outstanding receivable for labor and other employee-related expenses | ' | 31 | 28 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Capital investment | ' | 1,907 | 1,860 | ' | ' | ' | ' | 10,800 | 40,500 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Amount invested by Alcoa and Aluminum Financing Limited | ' | ' | ' | ' | ' | ' | ' | 1,100 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Capital investment commitment paid-to-date | ' | 171 | 253 | ' | ' | ' | ' | 832 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Equity investments | ' | 1,777 | 1,782 | ' | ' | ' | ' | 951 | ' | 816 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Project financing | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 480 | 4,035 | ' | ' | 1,992 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Portion of project financing representing Alcoa interest in venture | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 120 | 1,013 | ' | ' | 500 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Debt service requirements, principal | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 121 | ' | ' | ' | 60 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Debt service requirements, interest maximum | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 60 | ' | ' | ' | 25 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Fair value of guarantee included in other noncurrent liabilities and deferred credits | ' | 370 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 10 | 10 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Minimum number of rating agencies to meet commitment on downgrade rating | ' | 2 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Combined fair value of guarantees | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 4 | 4 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Potential forfeiture of letter of credit | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 350 | 60 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Joint venture agreement period | '20 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Other investments | ' | $130 | $78 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $119 | $67 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Other_Noncurrent_Assets_Schedu
Other Noncurrent Assets - Schedule of Other Noncurrent Assets (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Goodwill And Intangible Assets Disclosure [Abstract] | ' | ' |
Cash surrender value of life insurance | $507 | $464 |
Intangibles, net | 399 | 407 |
Value-added tax receivable | 339 | 408 |
Prepaid gas transmission contract | 315 | 363 |
Fair value of derivative contracts | 220 | 364 |
Deferred mining costs, net | 219 | 223 |
Advance related to European Commission Matter in Italy | 126 | ' |
Prepaid pension benefit | 88 | 86 |
Unamortized debt expense | 73 | 86 |
Other | 342 | 311 |
Other assets, noncurrent, total | $2,628 | $2,712 |
Debt_Schedule_of_LongTerm_Debt
Debt - Schedule of Long-Term Debt (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Debt Instrument [Line Items] | ' | ' |
Long-term debt | $8,262 | $8,776 |
Less: amount due within one year | 655 | 465 |
Long-term debt, excluding amount due within one year | 7,607 | 8,311 |
6.00% Notes, Due 2013 [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Long-term debt | ' | 422 |
5.25% Convertible Notes, Due 2014 [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Long-term debt | 575 | 575 |
5.55% Notes, Due 2017 [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Long-term debt | 750 | 750 |
6.50% Bonds, Due 2018 [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Long-term debt | 250 | 250 |
6.75% Notes, Due 2018 [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Long-term debt | 750 | 750 |
5.72% Notes, Due 2019 [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Long-term debt | 750 | 750 |
6.150% Notes, Due 2020 [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Long-term debt | 1,000 | 1,000 |
5.40% Notes, Due 2021 [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Long-term debt | 1,250 | 1,250 |
5.87% Notes, Due 2022 [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Long-term debt | 627 | 627 |
5.90% Notes, Due 2027 [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Long-term debt | 625 | 625 |
6.75% Bonds, Due 2028 [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Long-term debt | 300 | 300 |
5.95% Notes Due 2037 [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Long-term debt | 625 | 625 |
BNDES Loans, Due 2014-2029 [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Long-term debt | 325 | 397 |
Iowa Finance Authority Loan, Due 2042 (4.75%) [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Long-term debt | 250 | 250 |
Other [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Long-term debt | $185 | $205 |
Debt_Schedule_of_LongTerm_Debt1
Debt - Schedule of Long-Term Debt (Parenthetical) (Detail) | Aug. 31, 2012 | Jan. 31, 2012 | Dec. 31, 2013 | 31-May-13 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 |
6.00% Notes, Due 2013 [Member] | 6.00% Notes, Due 2013 [Member] | 5.25% Convertible Notes, Due 2014 [Member] | 5.55% Notes, Due 2017 [Member] | 6.50% Bonds, Due 2018 [Member] | 6.75% Notes, Due 2018 [Member] | 5.72% Notes, Due 2019 [Member] | 6.150% Notes, Due 2020 [Member] | 5.40% Notes, Due 2021 [Member] | 5.87% Notes, Due 2022 [Member] | 5.90% Notes, Due 2027 [Member] | 6.75% Bonds, Due 2028 [Member] | 5.95% Notes Due 2037 [Member] | BNDES Loans, Due 2014-2029 [Member] | Iowa Finance Authority Loan, Due 2042 (4.75%) [Member] | |||
Debt Instrument [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Long-term debt, interest rate | 4.75% | 6.00% | 6.00% | 6.00% | 5.25% | 5.55% | 6.50% | 6.75% | 5.72% | 6.15% | 5.40% | 5.87% | 5.90% | 6.75% | 5.95% | ' | 4.75% |
Debt instrument, maturity date | ' | ' | '2013 | ' | '2014 | '2017 | '2018 | '2018 | '2019 | '2020 | '2021 | '2022 | '2027 | '2028 | '2037 | ' | '2042 |
Debt instrument, maturity date start | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '2014 | ' |
Debt instrument, maturity date end | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '2029 | ' |
Debt_Additional_Information_De
Debt - Additional Information (Detail) | 1 Months Ended | 12 Months Ended | 12 Months Ended | 12 Months Ended | 12 Months Ended | 12 Months Ended | 1 Months Ended | 1 Months Ended | 1 Months Ended | 12 Months Ended | 12 Months Ended | |||||||||||||||||||||||||||||||||||
In Millions, unless otherwise specified | 31-May-13 | Aug. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2011 | Jan. 31, 2012 | Jul. 25, 2011 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2013 | 31-May-13 | Dec. 31, 2013 | Dec. 31, 2012 | 31-May-13 | Jan. 31, 2012 | Aug. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 |
USD ($) | USD ($) | BRL | USD ($) | BRL | USD ($) | USD ($) | Minimum [Member] | Maximum [Member] | Aluminio [Member] | Aluminio [Member] | Aluminio [Member] | Alcoa [Member] | Alcoa [Member] | Credit Facility [Member] | Credit Facility [Member] | Revolving Credit Facility Excluding Commercial Paper [Member] | Loan Agreement with BNDES [Member] | Loan Agreement with BNDES [Member] | Commercial Paper [Member] | Commercial Paper [Member] | Commercial Paper [Member] | Revolving Credit Agreement [Member] | Two term loans agreements [Member] | First Loans Agreement [Member] | Second Loans Agreement [Member] | 6.00% Notes, Due 2013 [Member] | 6.00% Notes, Due 2013 [Member] | 6.00% Notes, Due 2013 [Member] | Debt Accrued and Unpaid Interest [Member] | 6.00% Notes, due 2012 [Member] | Midwestern Disaster Area Revenue Bonds Series 2012 Due 2042 [Member] | Three of the Subloans [Member] | Three of the Subloans [Member] | Two of the Subloans [Member] | Third Subloan [Member] | BNDES Loans, Due 2014-2029 [Member] | BNDES Loans, Due 2014-2029 [Member] | BNDES Loans, Due 2014-2029 [Member] | BNDES Loans, Due 2014-2029 [Member] | BNDES First Loans [Member] | BNDES First Loans [Member] | Revolving Credit Facility [Member] | Revolving Credit Agreement [Member] | |||
Agreement | USD ($) | BRL | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | Agreement | USD ($) | USD ($) | USD ($) | Revolving Credit Facility Excluding Commercial Paper [Member] | Revolving Credit Facility Excluding Commercial Paper [Member] | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | Loan Agreement with BNDES [Member] | Loan Agreement with BNDES [Member] | Loan Agreement with BNDES [Member] | Loan Agreement with BNDES [Member] | USD ($) | BRL | USD ($) | BRL | USD ($) | BRL | Agreement | ||||||||||||||||
LetterOfCredit | USD ($) | USD ($) | USD ($) | BRL | BRL | BRL | Agreement | Agreement | ||||||||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Principal amount of long-term debt maturing in year 2014 | ' | ' | $658 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Principal amount of long-term debt maturing in year 2015 | ' | ' | 30 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Principal amount of long-term debt maturing in year 2016 | ' | ' | 30 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Principal amount of long-term debt maturing in year 2017 | ' | ' | 778 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Principal amount of long-term debt maturing in year 2018 | ' | ' | 1,046 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Aggregate outstanding principal amount | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | ' | ' | ' | ' | ' | 422 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Interest rate of bonds | ' | 4.75% | ' | ' | ' | ' | ' | 6.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 6.00% | 6.00% | ' | ' | 6.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Payments on long-term debt | ' | ' | 2,317 | ' | 1,489 | ' | 1,194 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 435 | ' | ' | 12 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 252 | 511 | ' | ' |
Purchase premiums repaid recorded as interest expense | 1 | ' | ' | ' | ' | ' | -30 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Long-term debt | ' | ' | 8,262 | ' | 8,776 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 422 | ' | 322 | ' | ' | ' | ' | ' | 325 | ' | 397 | ' | ' | ' | ' | ' |
Debt instruments agreement date | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 'August 2012 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Additional borrowing amount | ' | ' | 1 | 2 | 7 | 13 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 250 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restricted cash | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 248 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Debt instruments maturity date | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '2042 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restricted cash, current | ' | ' | 13 | ' | 171 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Debt instrument frequency of periodic payment | ' | 'Semi-annually | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Redemption date of bonds | ' | 'Alcoa has the option through the loan agreement to redeem the Bonds, as a whole or in part, on or after August 1, 2022, on at least 30 days, but not more than 60 days | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percentage of principal amount repayment | ' | 100.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Senior debt securities issued under shelf registration statement | ' | ' | 1,250 | ' | 1,250 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Commitment on loan agreement | ' | ' | 85 | 177 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 397 | 687 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Long-term interest rate | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 5.00% | 5.00% | 0.80% | 0.80% | 0.80% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted-average margin on long term debt | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1.48% | 1.48% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of Suloan agreement | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Principal and interest | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 667 | 20 | ' | ' | ' | ' | ' | ' | ' | ' |
Line of credit facility, outstanding borrowings | ' | ' | ' | ' | ' | ' | ' | ' | 3,750 | ' | ' | 52 | ' | 280 | ' | ' | 0 | 0 | ' | ' | ' | ' | ' | ' | ' | 350 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 254 | 599 | 311 | 637 | ' | ' | ' | ' |
Weighted-average interest rate | ' | ' | 6.49% | 6.49% | 6.49% | 6.49% | ' | ' | ' | ' | ' | 0.72% | 0.72% | 2.32% | 1.57% | 1.89% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Early repayment of outstanding borrowings | ' | ' | 22 | 47 | 20 | 38 | ' | ' | ' | ' | ' | 5 | 11 | ' | 1,850 | 600 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Interest rate margin | ' | ' | 1.55% | 1.55% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Outstanding borrowings | ' | ' | 71 | 166 | 86 | 177 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Interest rate of outstanding borrowings | ' | ' | 6.55% | 6.55% | 6.55% | 6.55% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Combined commitment of loan agreements | ' | ' | 200 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 622 | ' | ' | 1,150 | ' | ' | ' | ' |
Number of other loan | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,000,000 | 2,000,000 | ' | ' | ' | ' | ' | ' |
Average outstanding commercial paper | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 242 | 354 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Debt instrument maturity date, description | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 'Matures at various times within one year | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revolving credit facility, term | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '5 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Limit of requested increases in lender commitments | ' | ' | 500 | ' | 990 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Letters of credit sublimit under credit facility | ' | ' | 1,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Debt instrument, maturity date | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 'July 25, 2016 | ' |
Extension of maturity period | ' | ' | '1 year | '1 year | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Agreed credit facility amount | ' | ' | 3,700 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Approved credit facility amount | ' | ' | 50 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Extended credit facility maturity date | ' | ' | 'July 25, 2017 | 'July 25, 2017 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Fees paid to maintain credit facility | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0.25% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Applicable margin on LIBOR loans | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0.50% | 1.50% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Amounts borrowed under the credit facility | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Short-term borrowings | ' | ' | 57 | ' | 53 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Accounts payable settlement arrangements | ' | ' | 52 | ' | 48 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of revolving credit facility agreements | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 6 |
Termination of revolving credit agreements | ' | ' | ' | ' | -150 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Additional credit arrangements | ' | ' | 5 | 5 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Term loan agreement | ' | ' | 1 | 1 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revolving credit agreement | ' | ' | 4 | 4 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Outstanding borrowings | ' | ' | 700 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,190 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Line of credit facility, borrowing | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,850 | 600 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted-average maturity days | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '70 days | '70 days | '172 days | '213 days | '260 days | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revolving credit expiration amount | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $1,040 | $150 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Line of credit facility, expiration date | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 31-Dec-14 | 31-Dec-15 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Other_Noncurrent_Liabilities_a2
Other Noncurrent Liabilities and Deferred Credits - Schedule of Other Noncurrent Liabilities and Deferred Credits (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Payables And Accruals [Abstract] | ' | ' |
Asset retirement obligations (C) | $544 | $535 |
Environmental remediation (N) | 461 | 458 |
Fair value of derivative contracts (X) | 420 | 606 |
Income taxes (T) | 403 | 460 |
Accrued compensation and retirement costs | 342 | 322 |
Liability related to the resolution of a legal matter (N) | 296 | ' |
Deferred credit related to derivative contract (X) | 157 | 330 |
Deferred alumina sales revenue | 101 | 108 |
Other | 247 | 259 |
Other noncurrent liabilities and deferred credits, total | $2,971 | $3,078 |
Noncontrolling_Interests_Sched
Noncontrolling Interests - Schedule of Noncontrolling Shareholders' Interests (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | ' | ' |
Other | $33 | $29 |
Noncontrolling shareholders' interests | 2,929 | 3,324 |
Alcoa World Alumina and Chemicals [Member] | ' | ' |
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | ' | ' |
Noncontrolling shareholders' interests | $2,896 | $3,295 |
Noncontrolling_Interests_Addit
Noncontrolling Interests - Additional Information (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Noncontrolling Interest [Line Items] | ' | ' | ' |
Proceeds from noncontrolling shareholder | $12 | $171 | $169 |
Charges related to legal matters included in noncontrolling interests | 391 | 85 | ' |
Noncontrolling Interests [Member] | ' | ' | ' |
Noncontrolling Interest [Line Items] | ' | ' | ' |
Proceeds from noncontrolling shareholder | 12 | 171 | 169 |
Charges related to legal matters included in noncontrolling interests | 17 | 34 | ' |
Alumina Limited [Member] | ' | ' | ' |
Noncontrolling Interest [Line Items] | ' | ' | ' |
Proceeds from noncontrolling shareholder | $9 | $171 | $169 |
Contingencies_and_Commitments_1
Contingencies and Commitments - Additional Information (Detail) | 1 Months Ended | 3 Months Ended | 12 Months Ended | 1 Months Ended | 12 Months Ended | 12 Months Ended | 3 Months Ended | 0 Months Ended | 1 Months Ended | 3 Months Ended | 12 Months Ended | 12 Months Ended | 0 Months Ended | 12 Months Ended | 3 Months Ended | 6 Months Ended | 12 Months Ended | 0 Months Ended | |||||||||||||||||||||||||||
In Millions, unless otherwise specified | Jul. 31, 2012 | Jun. 12, 2012 | Jun. 12, 2012 | Dec. 31, 2013 | Jun. 30, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Mar. 26, 2012 | Mar. 26, 2012 | Jun. 30, 2010 | Nov. 30, 2006 | Dec. 31, 2011 | Feb. 21, 2013 | Feb. 21, 2013 | Feb. 21, 2013 | Feb. 21, 2013 | Feb. 21, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Jun. 30, 2013 | Oct. 09, 2012 | Feb. 27, 2008 | Feb. 27, 2008 | Sep. 30, 2012 | Jun. 30, 2012 | Dec. 31, 2013 | Oct. 09, 2013 | Dec. 31, 2013 | 31-May-11 | Jan. 20, 2011 | Jan. 20, 2011 | Jan. 20, 2011 | 31-May-11 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Nov. 19, 2009 | Nov. 19, 2009 | Jul. 31, 2006 | Dec. 31, 2012 |
Plant | USD ($) | EUR (€) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | EUR (€) | t | Curtis v. Alcoa Inc. [Member] | Scrg Brownfield Recovery Corp Energy Answers Corporation of Puerto Rico [Member] | Minimum [Member] | Maximum [Member] | Maximum [Member] | Alcoa Trasformazioni [Member] | Alcoa Trasformazioni [Member] | Alcoa [Member] | Alcoa [Member] | Alumina [Member] | Aluminium Bahrain [Member] | Alba [Member] | Alba [Member] | Alba [Member] | Alba [Member] | Alba [Member] | Alba [Member] | Alba [Member] | Department of Justice [Member] | Breaches of Warranty [Member] | Breaches of Warranty [Member] | Punitive Damages [Member] | Property Damages [Member] | Negligence Award [Member] | Securities and Exchange Commission [Member] | Department of Justice and Securities Exchange Commission [Member] | Department of Justice and Securities Exchange Commission [Member] | Alcoa World Alumina and Chemicals [Member] | Alcoa World Alumina and Chemicals [Member] | Alcoa World Alumina and Chemicals [Member] | Italian Government [Member] | Italian Government [Member] | Italian Government [Member] | Portovesme [Member] | |
Installment | Person | USD ($) | USD ($) | USD ($) | EUR (€) | USD ($) | EUR (€) | USD ($) | EUR (€) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | Scrg Brownfield Recovery Corp Energy Answers Corporation of Puerto Rico [Member] | Scrg Brownfield Recovery Corp Energy Answers Corporation of Puerto Rico [Member] | Scrg Brownfield Recovery Corp Energy Answers Corporation of Puerto Rico [Member] | USD ($) | USD ($) | USD ($) | USD ($) | Country | Alcoa [Member] | Alumina [Member] | USD ($) | EUR (€) | Ton | |||||||||||||||
Installment | Installment | USD ($) | USD ($) | USD ($) | Installment | Plant | Plant | ||||||||||||||||||||||||||||||||||||||
Loss Contingencies [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Period of alleged conspiracy, years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '15 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Damages claimed, value | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $1,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Agreed amount payable on settlement | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 85 | ' | ' | ' | ' | ' | ' | 223 | ' | ' | ' | ' | ' | 175 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Litigation settlement number of installments | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Contingency settlement agreement amount paid | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 42.5 | ' | ' | ' | ' | ' | 42.5 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Contingency settlement agreement future payable date | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 'October 9, 2013 | ' | 'AWA agreed to pay a total of $223, including a fine of $209 payable in five equal installments over four years. The first installment of $41.8, plus a one-time administrative forfeiture of $14, will be paid in the first quarter of 2014 (paid on January 22,2014), and the remaining installments of $41.8 each will be paid in the first quarters of 2015-2018. | ' | ' | ' | ' | ' | 'The Company agreed to a settlement amount of $175, but will be given credit for the $14 one-time forfeiture payment, which is part of the DOJ resolution, resulting in a total cash payment to the SEC of $161 payable in five equal installments over four years. The first installment of $32.2 will be paid to the SEC in the first quarter of 2014 (paid on January 22, 2014), and the remaining installments of $32.2 each will be paid in the first quarters of 2015-2018. | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Cash payment for suit settlement | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 103 | ' | ' | ' | 40 | ' | ' | ' | ' | ' | ' | ' | ' | ' | 161 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring and other charges | ' | ' | ' | ' | ' | 782 | 172 | 281 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 103 | ' | ' | ' | ' | 45 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Amount of settlement offer rejected | ' | ' | ' | ' | 60 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Charges recorded of settlement amount | ' | ' | ' | 288 | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 288 | ' | ' | ' | ' | ' | ' | ' | ' |
Agreement settlement effective date | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 9-Jan-14 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of installments | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 5 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of years in which installments is payable | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '4 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Fine payable over four years period | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 209 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
First installment payable on settlement | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 41.8 | ' | ' | ' | ' | ' | 32.2 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
One-time administrative forfeiture amount | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 14 | ' | ' | ' | ' | ' | 14 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Installments payable in first quarters of 2015 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 41.8 | ' | ' | ' | ' | ' | 32.2 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Installments payable in first quarters of 2016 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 41.8 | ' | ' | ' | ' | ' | 32.2 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Installments payable in first quarters of 2017 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 41.8 | ' | ' | ' | ' | ' | 32.2 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Installments payable in first quarters of 2018 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 41.8 | ' | ' | ' | ' | ' | 32.2 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of installments | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 5 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of years in which installments is payable | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '4 years | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Legal costs | ' | ' | ' | ' | ' | 391 | 85 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 7 | ' | ' | ' | ' | ' | ' | ' | ' |
Charges in respect of the investigations | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 103 | ' | ' | ' | ' | ' | ' | ' |
Number of countries | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 7 | ' | ' | ' | ' | ' | ' |
Percentage owns on settlement | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 60.00% | 40.00% | ' | ' | ' | ' |
Civil settlement | ' | ' | ' | ' | ' | 85 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Government investigations and legal charges | ' | ' | ' | ' | ' | 384 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percentage to allocate cost of Alba civil settlement and all legal fees | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 85.00% | 85.00% | 15.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percentage of civil settlement and all legal costs associated with civil suit and government investigations | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 60.00% | 60.00% | 40.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Retired former employees involved in class action | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 13,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Trial length, number of days | ' | ' | ' | ' | ' | '8 days | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Court granted motion for judgment regarding Plaintiffs | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 20 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 13 | 6 | 10 | 10 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Damages awarded to plaintiff, pre-judgment interest | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Management estimate for maximum exposure from class action | ' | ' | ' | ' | ' | ' | ' | ' | 110 | 85 | ' | ' | ' | ' | ' | ' | 97 | 76 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Provision for contract losses | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 97 | 76 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of years operating under a power supply structure | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '10 years | ' |
Charge related to European Commission announcement | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 250 | 173 | ' | ' |
Number of smelters | 2 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2 | 2 | ' | ' |
Write-off of receivable | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 20 | 14 | ' | ' |
Establishment reserve | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 230 | 159 | ' | ' |
Recovery amount | ' | 375 | 303 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Reduction in recovery amount | ' | 65 | 53 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Payments to Italian Government | ' | 310 | 250 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Payments to Italian Government, installments amount | ' | 69 | 50 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of installments, litigation payment | ' | 5 | 5 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Litigation reserve | ' | 219 | 159 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Range of reasonable possible loss, minimum | ' | 219 | 159 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Range of reasonable possible loss, maximum | ' | 418 | 303 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Noncurrent asset | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $126 | € 91 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Amount of curtailment, metric-tons-per-year | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 44,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 150,000 |
Contingencies_and_Commitments_2
Contingencies and Commitments - Summary of Activity Related to Alba Matter (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Commitments Contingencies And Litigation [Line Items] | ' | ' | ' |
Government investigations | $782 | $172 | $281 |
Civil suit | 19,286 | 20,401 | 20,480 |
(Loss) income from continuing operations before income taxes | -1,816 | 324 | 1,063 |
Benefit for income taxes | 428 | 162 | 255 |
Net (loss) income | -2,244 | 162 | 805 |
Alba [Member] | ' | ' | ' |
Commitments Contingencies And Litigation [Line Items] | ' | ' | ' |
(Loss) income from continuing operations before income taxes | 384 | 85 | ' |
Benefit for income taxes | 66 | 18 | ' |
Net (loss) income | 318 | 67 | ' |
Alba [Member] | Government Investigation [Member] | ' | ' | ' |
Commitments Contingencies And Litigation [Line Items] | ' | ' | ' |
Government investigations | 384 | ' | ' |
Alba [Member] | Civil Suit [Member] | ' | ' | ' |
Commitments Contingencies And Litigation [Line Items] | ' | ' | ' |
Civil suit | ' | 85 | ' |
Alcoa [Member] | Alba [Member] | ' | ' | ' |
Commitments Contingencies And Litigation [Line Items] | ' | ' | ' |
Reallocation of civil suit | 21 | ' | ' |
Reallocation of legal costs | 20 | ' | ' |
(Loss) income from continuing operations before income taxes | 367 | 51 | ' |
Benefit for income taxes | 66 | 18 | ' |
Net (loss) income | 301 | 33 | ' |
Alcoa [Member] | Alba [Member] | Government Investigation [Member] | ' | ' | ' |
Commitments Contingencies And Litigation [Line Items] | ' | ' | ' |
Government investigations | 326 | ' | ' |
Alcoa [Member] | Alba [Member] | Civil Suit [Member] | ' | ' | ' |
Commitments Contingencies And Litigation [Line Items] | ' | ' | ' |
Civil suit | ' | 51 | ' |
Alumina [Member] | Alba [Member] | ' | ' | ' |
Commitments Contingencies And Litigation [Line Items] | ' | ' | ' |
Reallocation of civil suit | -21 | ' | ' |
Reallocation of legal costs | -20 | ' | ' |
(Loss) income from continuing operations before income taxes | 17 | 34 | ' |
Net (loss) income | 17 | 34 | ' |
Alumina [Member] | Alba [Member] | Government Investigation [Member] | ' | ' | ' |
Commitments Contingencies And Litigation [Line Items] | ' | ' | ' |
Government investigations | 58 | ' | ' |
Alumina [Member] | Alba [Member] | Civil Suit [Member] | ' | ' | ' |
Commitments Contingencies And Litigation [Line Items] | ' | ' | ' |
Civil suit | ' | $34 | ' |
Contingencies_and_Commitments_3
Contingencies and Commitments - Additional Information - 1 (Detail) | 1 Months Ended | 12 Months Ended | 12 Months Ended | 1 Months Ended | 12 Months Ended | 12 Months Ended | 12 Months Ended | 3 Months Ended | 12 Months Ended | ||||||||||||||||||
In Millions, unless otherwise specified | Jan. 31, 2007 | Dec. 31, 2013 | Dec. 31, 2012 | Jun. 12, 2012 | Jun. 12, 2012 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Jan. 31, 2007 | Jan. 31, 2007 | Jan. 31, 2007 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2005 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Jun. 30, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 |
USD ($) | USD ($) | USD ($) | EUR (€) | Minimum [Member] | Maximum [Member] | Recurring Costs of Managing Hazardous Substances and Environmental Programs [Member] | Spanish Government [Member] | Tariffs Granted by Spain [Member] | Tariffs Granted by Spain [Member] | Massena West, NY [Member] | Massena West, NY [Member] | Smelter Sites [Member] | Smelter Sites [Member] | East St. Louis, IL Site [Member] | East St. Louis, IL Site [Member] | East St. Louis, IL Site [Member] | Sherwin, TX site [Member] | Sherwin, TX site [Member] | Other Sites [Member] | Other Sites [Member] | U.S. Smelters [Member] | Grasse River [Member] | Grasse River [Member] | Grasse River [Member] | Massena West, NY and Baie Comeau, Quebec, Canada [Member] | ||
USD ($) | EUR (€) | USD ($) | USD ($) | USD ($) | Canada and Norway [Member] | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | ||||||||||
USD ($) | |||||||||||||||||||||||||||
Loss Contingencies [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of years operating under a power supply structure | ' | ' | ' | ' | ' | ' | ' | ' | '9 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Days provided to submit observations and comments to the EC | '30 days | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Loss contingency, range of possible loss, maximum | ' | ' | ' | $418 | € 303 | ' | ' | ' | ' | $95 | € 70 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of cleanup locations | ' | 'More than 100 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Remediation reserve balance | ' | 509 | 532 | ' | ' | ' | ' | ' | ' | ' | ' | 241 | 243 | ' | ' | 26 | ' | 24 | 36 | 35 | ' | ' | ' | ' | ' | ' | ' |
Remediation reserve balance, classified as a current liability | ' | 48 | 74 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Remediation reserve increase | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 206 | 30 | ' | 14 | 15 | ' | ' | ' | ' | ' | ' | 37 | 18 | 128 | ' |
Remediation reserve adjustment | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 165 | ' | 45 | 14 | ' | ' | ' | ' | 6 | 12 | 12 | ' | ' | ' | 12 |
Increase in remediation reserve | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 30 | ' | ' | ' | ' | ' | ' | ' | ' |
Payments related to remediation expenses applied against the reserve | ' | 40 | 22 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Increase and decrease in reserves due to effects of foreign currency translation | ' | -1 | 1 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percentage of cost of goods sold | ' | ' | ' | ' | ' | ' | ' | 2.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Remediation alternative estimated cost | ' | 243 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Adjustment of reserve related to grass river | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Planning and design phase period | ' | ' | ' | ' | ' | '2 years | '3 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Actual remediation fieldwork period | ' | '4 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Majority of the project funding Period | ' | ' | ' | ' | ' | '2016 | '2020 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Contingencies_and_Commitments_4
Contingencies and Commitments - Additional Information - 2 (Detail) | 12 Months Ended | 12 Months Ended | 12 Months Ended | 1 Months Ended | 1 Months Ended | 12 Months Ended | 36 Months Ended | 12 Months Ended | 12 Months Ended | 9 Months Ended | 12 Months Ended | 12 Months Ended | 1 Months Ended | 12 Months Ended | |||||||||||||||||||||||||||||||||||||||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Jun. 12, 2012 | Jun. 12, 2012 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Mar. 31, 2013 | 31-May-12 | 31-May-12 | Mar. 31, 2013 | Mar. 31, 2013 | Mar. 31, 2013 | Mar. 31, 2013 | Mar. 31, 2013 | Mar. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2002 | Dec. 31, 2012 | Dec. 31, 2005 | Dec. 31, 2013 | Dec. 31, 2009 | Dec. 31, 2009 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2004 | Dec. 31, 2004 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2012 |
USD ($) | USD ($) | USD ($) | EUR (€) | USD ($) | EUR (€) | Minimum [Member] | Maximum [Member] | Energy, Raw Materials, and Other Goods and Services [Member] | Outstanding bank guarantees [Member] | Outstanding bank guarantees [Member] | State and Local Jurisdiction [Member] | State and Local Jurisdiction [Member] | Alcoa World Alumina Brasil [Member] | Alcoa World Alumina Brasil [Member] | Alcoa World Alumina Brasil [Member] | Alcoa World Alumina Brasil [Member] | Alcoa World Alumina Brasil [Member] | Alcoa World Alumina Brasil [Member] | Alcoa World Alumina Brasil [Member] | Alcoa World Alumina Brasil [Member] | Alcoa World Alumina Brasil [Member] | Estreito Project [Member] | Estreito Project [Member] | Barra Grande [Member] | Barra Grande [Member] | Barra Grande [Member] | Barra Grande [Member] | Alcoa Alumino [Member] | East St. Louis, IL Site [Member] | East St. Louis, IL Site [Member] | East St. Louis, IL Site [Member] | Fusina [Member] | Portovesme [Member] | Machadinho and Barra Grande [Member] | Serrado Facao and Estreito Projects [Member] | Machadinho [Member] | Serra Do Facao Project [Member] | Serra Do Facao Project [Member] | Serra Do Facao Project [Member] | Serra Do Facao Project [Member] | Serra Do Facao Project [Member] | Serra Do Facao Project [Member] | Baie Comeau [Member] | Mosjoen [Member] | Dampier to Bunbury Natural Gas Pipeline [Member] | Dampier to Bunbury Natural Gas Pipeline [Member] | Dampier to Bunbury Natural Gas Pipeline [Member] | Dampier to Bunbury Natural Gas Pipeline [Member] | Dampier to Bunbury Natural Gas Pipeline [Member] | Dampier to Bunbury Natural Gas Pipeline [Member] | Dampier to Bunbury Natural Gas Pipeline [Member] | Dampier to Bunbury Natural Gas Pipeline [Member] | |
MW | USD ($) | Minimum [Member] | Maximum [Member] | USD ($) | BRL | BRL | USD ($) | BRL | USD ($) | Minimum [Member] | Maximum [Member] | Fixed Assets [Member] | Fixed Assets [Member] | Fixed Assets [Member] | USD ($) | BRL | USD ($) | BRL | USD ($) | BRL | t | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | MWh | USD ($) | BRL | USD ($) | BRL | USD ($) | BRL | USD ($) | USD ($) | USD ($) | AUD | Three-Year Equity Call Plan [Member] | Three-Year Equity Call Plan [Member] | Three-Year Equity Call Plan [Member] | Three-Year Equity Call Plan [Member] | Three-Year Equity Call Plan [Member] | Three-Year Equity Call Plan [Member] | ||||||||||
t | USD ($) | USD ($) | BRL | Minimum [Member] | Maximum [Member] | MWh | MWh | MWh | MWh | MWh | USD ($) | AUD | USD ($) | AUD | USD ($) | AUD | |||||||||||||||||||||||||||||||||||||
USD ($) | USD ($) | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Loss Contingencies [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Remediation reserve increase (decrease) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $14 | $15 | ' | $12 | $3 | ' | ' | ' | ' | ' | ' | ' | ' | ' | $25 | $20 | ' | ' | ' | ' | ' | ' | ' | ' |
Reserve balance | 509 | 532 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 26 | ' | 24 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Disallowed tax credits | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 220 | ' | ' | 110 | ' | ' | 175 | 0 | 75 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percentage of penalty of the gross disallowed amount | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 50.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Value added tax receivable | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 41 | 82 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Estimated range of reasonably possible loss, minimum | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 155 | ' | ' | ' | 0 | 65 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Administrative appeal, assessment period | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '2 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total combined assessments | 334 | ' | ' | 242 | ' | ' | ' | ' | ' | ' | ' | 53 | 125 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Metal sold per month | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Commitment to taking share of output in associated projects at cost, in years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '30 years | '26 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Investment percentage | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 25.49% | 25.49% | 42.18% | 42.18% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 30.99% | ' | ' | 34.97% | 34.97% | ' | ' | ' | ' | 20.00% | 20.00% | ' | ' | ' | ' | ' | ' |
Assured power from installed capacity | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 150 | 150 | 160 | 160 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 120 | ' | ' | 65 | 65 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total investment in project | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 143 | 336 | 159 | 326 | ' | ' | ' | ' | ' | ' | ' | ' | ' | 82 | 192 | 82 | 192 | 98 | 200 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Estimated project costs | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,200 | 5,170 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 430 | 1,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Aluminio's share of project | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 560 | 1,320 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 150 | 350 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Additional contributions | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 150 | 350 | ' | ' | ' | ' | ' | ' | 141 | 176 | 29 | 29 | 12 | 12 | 12 | 11 |
Increase in estimated costs to complete project | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 130 | 270 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Commitment expended on the project | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 540 | 1,270 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percentage of power self-sufficiency upon completion of project with full operating capacity | 70.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total energy demand | 690 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Temporarily declined in energy demand | 260 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Partial capacity curtailments of combined smelters | 128,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Initial cash investment | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 17 | 24 | ' | ' | ' | ' | ' | ' |
Required plan contributions | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 40 | 40 | ' | ' |
Prepayments made under the agreement for future gas transmission services | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 315 | 354 | 315 | 354 | ' | ' |
Alcoa's maximum exposure to loss in projects | ' | ' | ' | ' | 418 | 303 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 440 | 500 | 440 | 500 | ' | ' |
Purchase obligations due in 2014 | 159 | ' | ' | ' | ' | ' | ' | ' | 3,319 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Purchase obligations due in 2015 | 157 | ' | ' | ' | ' | ' | ' | ' | 1,802 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Purchase obligations due in 2016 | 145 | ' | ' | ' | ' | ' | ' | ' | 1,628 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Purchase obligations due in 2017 | 150 | ' | ' | ' | ' | ' | ' | ' | 1,552 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Purchase obligations due in 2018 | 149 | ' | ' | ' | ' | ' | ' | ' | 1,838 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Purchase obligations due thereafter | 2,091 | ' | ' | ' | ' | ' | ' | ' | 9,856 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Purchase obligations expenditures | 163 | 161 | 227 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Expiration date of unconditional purchase obligations for energy | ' | ' | ' | ' | ' | ' | '2015 | '2036 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Operating leases, expense | 232 | 244 | 255 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Long-term operating leases, minimum annual rentals due in 2014 | 198 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Long-term operating leases, minimum annual rentals due in 2015 | 165 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Long-term operating leases, minimum annual rentals due in 2016 | 135 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Long-term operating leases, minimum annual rentals due in 2017 | 103 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Long-term operating leases, minimum annual rentals due in 2018 | 80 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Long-term operating leases, minimum annual rentals due thereafter | 244 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Guarantees of third party related to project financing | 542 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Guarantees, expiration date | '2019 | ' | ' | ' | ' | ' | ' | ' | ' | '2014 | '2022 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Guarantees, total amount committed | 370 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Letters of credit, total amount committed | 333 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Letters of credit, expiration date | '2014 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total amount committed under outstanding surety bonds | $170 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Surety bonds, expiration date | '2014 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Other_Income_Net_Schedule_of_O
Other Income, Net - Schedule of Other Income, Net (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Other Income And Expenses [Abstract] | ' | ' | ' |
Equity loss (income) | $68 | $28 | ($15) |
Interest income | -13 | -31 | -20 |
Foreign currency (gains) losses, net | -33 | -5 | 16 |
Net gain from asset sales | -10 | -321 | -41 |
Net gain on mark-to-market derivative contracts | -29 | -13 | -52 |
Other, net | -8 | 1 | 25 |
Other (income) expenses, net | ($25) | ($341) | ($87) |
Other_Income_Net_Additional_In
Other Income, Net - Additional Information (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2011 | Dec. 31, 2011 | Dec. 31, 2012 |
Australia [Member] | Tapoco Hydroelectric Project [Member] | ||
Component of Other Income, Nonoperating [Abstract] | ' | ' | ' |
Net gain from asset sales | ' | ' | $320 |
Discrete income tax benefit recognized | 24 | ' | ' |
Net gain on sale of land | ' | $43 | ' |
Cash_Flow_Information_Schedule
Cash Flow Information - Schedule of Cash Paid for Interest and Income Taxes (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Statement Of Cash Flows [Abstract] | ' | ' | ' |
Interest, net of amount capitalized | $433 | $454 | $491 |
Income taxes, net of amount refunded | $200 | $223 | $382 |
Cash_Flow_Information_Schedule1
Cash Flow Information - Schedule of Cash Paid for Acquisitions (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Business Combinations [Abstract] | ' | ' | ' |
Assets acquired | ' | ' | $253 |
Liabilities assumed | ' | ' | -12 |
Cash paid | ' | ' | 241 |
Less: cash acquired | ' | ' | 1 |
Net cash paid | ' | ' | $240 |
Cash_Flow_Information_Addition
Cash Flow Information - Additional Information (Detail) (USD $) | 1 Months Ended | 12 Months Ended | ||
In Millions, unless otherwise specified | Aug. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 |
Statement Of Cash Flows [Abstract] | ' | ' | ' | ' |
Loan for financing | $250 | ' | ' | ' |
Restricted cash | 248 | ' | 13 | 171 |
Common stock issued to satisfy a portion of accrued pension benefits liability | ' | $600 | ' | ' |
Segment_and_Geographic_Area_In2
Segment and Geographic Area Information - Additional Information (Detail) | 12 Months Ended |
Dec. 31, 2013 | |
Segment | |
Segment Reporting Information [Line Items] | ' |
Number of reportable segments | 4 |
Minimum [Member] | ' |
Segment Reporting Information [Line Items] | ' |
Revenue percentage from aluminum and alumina | 80.00% |
Minimum [Member] | Aluminum [Member] | ' |
Segment Reporting Information [Line Items] | ' |
Sales percentage | 90.00% |
Segment_and_Geographic_Area_In3
Segment and Geographic Area Information - Schedule of Operating Results and Assets of Alcoa's Reportable Segment (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Segment Reporting Information [Line Items] | ' | ' | ' |
Total sales | $27,795 | $28,777 | $30,826 |
Equity income (loss) | -68 | -28 | 16 |
Depreciation, depletion, and amortization | 1,337 | 1,374 | 1,395 |
Income taxes | 448 | 535 | 627 |
ATOI | 1,217 | 1,357 | 1,885 |
Capital expenditures | 1,105 | 1,150 | ' |
Equity investments | 1,775 | 1,763 | ' |
Goodwill | 2,897 | 3,898 | ' |
Total assets | 29,247 | 31,912 | ' |
Intersegment Sales [Member] | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Intersegment sales | 5,034 | 5,350 | 6,137 |
Third-Party Sales [Member] | Operating Segments [Member] | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Third-party sales | 22,761 | 23,427 | 24,689 |
Alumina [Member] | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Total sales | 5,561 | 5,402 | 6,189 |
Equity income (loss) | -4 | 5 | 25 |
Depreciation, depletion, and amortization | 426 | 455 | 444 |
Income taxes | 66 | -27 | 179 |
ATOI | 259 | 90 | 607 |
Capital expenditures | 322 | 374 | ' |
Equity investments | 628 | 658 | ' |
Goodwill | 9 | 10 | ' |
Total assets | 8,248 | 9,709 | ' |
Alumina [Member] | Intersegment Sales [Member] | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Intersegment sales | 2,235 | 2,310 | 2,727 |
Alumina [Member] | Third-Party Sales [Member] | Operating Segments [Member] | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Third-party sales | 3,326 | 3,092 | 3,462 |
Primary Metals [Member] | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Total sales | 9,217 | 10,309 | 11,432 |
Equity income (loss) | -51 | -27 | -7 |
Depreciation, depletion, and amortization | 526 | 532 | 556 |
Income taxes | -74 | 106 | 92 |
ATOI | -20 | 309 | 481 |
Capital expenditures | 224 | 318 | ' |
Equity investments | 947 | 917 | ' |
Goodwill | ' | 997 | ' |
Total assets | 10,341 | 11,709 | ' |
Primary Metals [Member] | Intersegment Sales [Member] | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Intersegment sales | 2,621 | 2,877 | 3,192 |
Primary Metals [Member] | Third-Party Sales [Member] | Operating Segments [Member] | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Third-party sales | 6,596 | 7,432 | 8,240 |
Global Rolled Products [Member] | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Total sales | 7,284 | 7,541 | 7,860 |
Equity income (loss) | -13 | -6 | -3 |
Depreciation, depletion, and amortization | 226 | 229 | 237 |
Income taxes | 108 | 159 | 98 |
ATOI | 252 | 346 | 260 |
Capital expenditures | 335 | 258 | ' |
Equity investments | 200 | 188 | ' |
Goodwill | 218 | 214 | ' |
Total assets | 4,647 | 4,603 | ' |
Global Rolled Products [Member] | Intersegment Sales [Member] | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Intersegment sales | 178 | 163 | 218 |
Global Rolled Products [Member] | Third-Party Sales [Member] | Operating Segments [Member] | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Third-party sales | 7,106 | 7,378 | 7,642 |
Engineered Products and Solutions [Member] | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Total sales | 5,733 | 5,525 | 5,345 |
Equity income (loss) | ' | ' | 1 |
Depreciation, depletion, and amortization | 159 | 158 | 158 |
Income taxes | 348 | 297 | 258 |
ATOI | 726 | 612 | 537 |
Capital expenditures | 224 | 200 | ' |
Goodwill | 2,670 | 2,677 | ' |
Total assets | 6,011 | 5,891 | ' |
Engineered Products and Solutions [Member] | Third-Party Sales [Member] | Operating Segments [Member] | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Third-party sales | $5,733 | $5,525 | $5,345 |
Segment_and_Geographic_Area_In4
Segment and Geographic Area Information - Schedule of Reconciliation of Certain Segment Information to Consolidated Totals (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Millions, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Segment Reporting, Revenue Reconciling Item [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Consolidated sales | $5,585 | $5,765 | $5,849 | $5,833 | $5,898 | $5,833 | $5,963 | $6,006 | $23,032 | $23,700 | $24,951 |
Operating Segment [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Segment Reporting, Revenue Reconciling Item [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Consolidated sales | ' | ' | ' | ' | ' | ' | ' | ' | 27,795 | 28,777 | 30,826 |
Intersegment Eliminations [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Segment Reporting, Revenue Reconciling Item [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Consolidated sales | ' | ' | ' | ' | ' | ' | ' | ' | -5,034 | -5,350 | -6,137 |
Corporate, Non-Segment [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Segment Reporting, Revenue Reconciling Item [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Consolidated sales | ' | ' | ' | ' | ' | ' | ' | ' | $271 | $273 | $262 |
Segment_and_Geographic_Area_In5
Segment and Geographic Area Information - Schedule of Reconciliation of Segment Reporting Information to Consolidated Net Income Attributable to Alcoa (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Millions, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total segment ATOI | ' | ' | ' | ' | ' | ' | ' | ' | $1,217 | $1,357 | $1,885 |
Interest expense | ' | ' | ' | ' | ' | ' | ' | ' | -453 | -490 | -524 |
Noncontrolling interests | ' | ' | ' | ' | ' | ' | ' | ' | 41 | -29 | 194 |
Impairment of goodwill | -1,731 | ' | ' | ' | ' | ' | ' | ' | -1,731 | ' | ' |
Discontinued operations | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -3 |
Consolidated net (loss) income attributable to Alcoa | -2,339 | 24 | -119 | 149 | 242 | -143 | -2 | 94 | -2,285 | 191 | 611 |
Unallocated Amounts (Net of Tax) [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Impact of LIFO | ' | ' | ' | ' | ' | ' | ' | ' | 52 | 20 | -38 |
Interest expense | ' | ' | ' | ' | ' | ' | ' | ' | -294 | -319 | -340 |
Noncontrolling interests | ' | ' | ' | ' | ' | ' | ' | ' | -41 | 29 | -194 |
Corporate expense | ' | ' | ' | ' | ' | ' | ' | ' | -284 | -282 | -290 |
Impairment of goodwill | ' | ' | ' | ' | ' | ' | ' | ' | -1,731 | ' | ' |
Restructuring and other charges | ' | ' | ' | ' | ' | ' | ' | ' | -607 | -142 | -196 |
Discontinued operations | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -3 |
Other | ' | ' | ' | ' | ' | ' | ' | ' | ($597) | ($472) | ($213) |
Segment_and_Geographic_Area_In6
Segment and Geographic Area Information - Schedule of Segment Reporting Information to Consolidated Assets (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 |
In Millions, unless otherwise specified | ||||
Schedule Of Assets By Segment [Line Items] | ' | ' | ' | ' |
Total Assets | $35,742 | $40,179 | ' | ' |
Cash and cash equivalents | 1,437 | 1,861 | 1,939 | 1,543 |
Corporate goodwill | 3,415 | 5,170 | 5,157 | ' |
Corporate fixed assets, net | 17,639 | 18,947 | ' | ' |
Operating Segment [Member] | ' | ' | ' | ' |
Schedule Of Assets By Segment [Line Items] | ' | ' | ' | ' |
Total Assets | 29,247 | 31,912 | ' | ' |
Intersegment Eliminations [Member] | ' | ' | ' | ' |
Schedule Of Assets By Segment [Line Items] | ' | ' | ' | ' |
Total Assets | -385 | -444 | ' | ' |
Unallocated Amounts (Net of Tax) [Member] | ' | ' | ' | ' |
Schedule Of Assets By Segment [Line Items] | ' | ' | ' | ' |
Cash and cash equivalents | 1,437 | 1,861 | ' | ' |
Deferred income taxes | 3,410 | 4,052 | ' | ' |
Corporate goodwill | 518 | 1,272 | ' | ' |
Corporate fixed assets, net | 879 | 961 | ' | ' |
LIFO reserve | -691 | -770 | ' | ' |
Other | $1,327 | $1,335 | ' | ' |
Segment_and_Geographic_Area_In7
Segment and Geographic Area Information - Sales by Major Product Grouping (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Millions, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Product Information [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Consolidated sales | $5,585 | $5,765 | $5,849 | $5,833 | $5,898 | $5,833 | $5,963 | $6,006 | $23,032 | $23,700 | $24,951 |
Alumina [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Product Information [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Consolidated sales | ' | ' | ' | ' | ' | ' | ' | ' | 3,151 | 2,962 | 3,350 |
Primary Aluminum [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Product Information [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Consolidated sales | ' | ' | ' | ' | ' | ' | ' | ' | 6,194 | 7,121 | 7,907 |
Flat-Rolled Aluminum [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Product Information [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Consolidated sales | ' | ' | ' | ' | ' | ' | ' | ' | 7,106 | 7,378 | 7,642 |
Investment Castings [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Product Information [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Consolidated sales | ' | ' | ' | ' | ' | ' | ' | ' | 1,807 | 1,747 | 1,700 |
Alcoa Fastening Systems [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Product Information [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Consolidated sales | ' | ' | ' | ' | ' | ' | ' | ' | 1,505 | 1,414 | 1,313 |
Architectural Aluminum Systems [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Product Information [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Consolidated sales | ' | ' | ' | ' | ' | ' | ' | ' | 977 | 970 | 973 |
Aluminum Wheels [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Product Information [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Consolidated sales | ' | ' | ' | ' | ' | ' | ' | ' | 702 | 692 | 656 |
Other Extruded Aluminum and Forged Products [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Product Information [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Consolidated sales | ' | ' | ' | ' | ' | ' | ' | ' | 1,015 | 955 | 1,010 |
Other [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Product Information [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Consolidated sales | ' | ' | ' | ' | ' | ' | ' | ' | $575 | $461 | $400 |
Segment_and_Geographic_Area_In8
Segment and Geographic Area Information - Schedule of Geographic Information for Sales (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Millions, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Sales | $5,585 | $5,765 | $5,849 | $5,833 | $5,898 | $5,833 | $5,963 | $6,006 | $23,032 | $23,700 | $24,951 |
U.S. [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Sales | ' | ' | ' | ' | ' | ' | ' | ' | 11,766 | 12,361 | 12,295 |
Australia [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Sales | ' | ' | ' | ' | ' | ' | ' | ' | 3,240 | 3,222 | 3,587 |
Spain [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Sales | ' | ' | ' | ' | ' | ' | ' | ' | 2,282 | 1,203 | 1,487 |
Brazil [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Sales | ' | ' | ' | ' | ' | ' | ' | ' | 1,221 | 1,244 | 1,371 |
France [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Sales | ' | ' | ' | ' | ' | ' | ' | ' | 862 | 807 | 825 |
Russia [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Sales | ' | ' | ' | ' | ' | ' | ' | ' | 683 | 713 | 761 |
Hungary [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Sales | ' | ' | ' | ' | ' | ' | ' | ' | 555 | 492 | 665 |
Netherlands [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Sales | ' | ' | ' | ' | ' | ' | ' | ' | 524 | 949 | 1,025 |
United Kingdom [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Sales | ' | ' | ' | ' | ' | ' | ' | ' | 475 | 438 | 412 |
Norway [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Sales | ' | ' | ' | ' | ' | ' | ' | ' | 283 | 820 | 927 |
China [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Sales | ' | ' | ' | ' | ' | ' | ' | ' | 259 | 326 | 283 |
Germany [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Sales | ' | ' | ' | ' | ' | ' | ' | ' | 230 | 216 | 229 |
Italy [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Sales | ' | ' | ' | ' | ' | ' | ' | ' | 157 | 379 | 537 |
Other Geographical Regions [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Sales | ' | ' | ' | ' | ' | ' | ' | ' | $495 | $530 | $547 |
Segment_and_Geographic_Area_In9
Segment and Geographic Area Information - Schedule of Geographic Information for Long-Lived Assets (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' |
Long-lived assets | $17,639 | $18,947 |
U.S. [Member] | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' |
Long-lived assets | 4,760 | 4,621 |
Brazil [Member] | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' |
Long-lived assets | 3,746 | 4,318 |
Australia [Member] | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' |
Long-lived assets | 3,024 | 3,548 |
Iceland [Member] | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' |
Long-lived assets | 1,518 | 1,571 |
Canada [Member] | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' |
Long-lived assets | 1,302 | 1,399 |
Norway [Member] | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' |
Long-lived assets | 762 | 898 |
Russia [Member] | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' |
Long-lived assets | 471 | 494 |
Spain [Member] | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' |
Long-lived assets | 446 | 445 |
Jamaica [Member] | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' |
Long-lived assets | 393 | 414 |
China [Member] | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' |
Long-lived assets | 388 | 395 |
Other Geographical Regions [Member] | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' |
Long-lived assets | $829 | $844 |
Preferred_and_Common_Stock_Add
Preferred and Common Stock - Additional Information (Detail) (USD $) | 1 Months Ended | 3 Months Ended | 12 Months Ended | ||
In Millions, except Share data, unless otherwise specified | Jan. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Class of Stock [Line Items] | ' | ' | ' | ' | ' |
Common Stock authorized | ' | 1,800,000,000 | 1,800,000,000 | ' | ' |
Common stock, par value per share | ' | $1 | $1 | ' | ' |
Common stock issued, in shares | ' | 1,177,906,867 | 1,177,906,867 | 1,177,906,557 | ' |
Common stock, dividends yield | ' | $0.03 | $0.12 | $0.12 | $0.12 |
Newly issued common stock, shares | 36,518,563 | ' | ' | ' | ' |
Newly issued common stock, par value | $16.43 | ' | ' | ' | ' |
Newly issued common stock, aggregate value | $600 | ' | ' | ' | ' |
Percentage of funded status of pension plans | 80.00% | ' | ' | ' | ' |
Number of shares reserved for issuance upon conversion of convertible notes, shares | ' | ' | 110,000,000 | ' | ' |
Number of shares reserved for issuance under Alcoa's stock-based compensation plans, shares | ' | ' | 119,000,000 | ' | ' |
Period of sales and profitability targets to ascertain grant of performance stock awards | ' | ' | '3 years | '3 years | '3 years |
Expense related to the acceleration of expense related to retirement-eligible employees | ' | ' | 14 | 13 | 18 |
Average period of dividend yield | ' | ' | 'One-year | ' | ' |
Total intrinsic value of options exercised | ' | ' | 2 | 2 | 34 |
Cash received from option exercises | ' | ' | 13 | 12 | 37 |
Total tax benefit realized from these exercises | ' | ' | 1 | 1 | 11 |
Unrecognized compensation costs on non-vested stock option grants (pretax) | ' | 16 | 16 | ' | ' |
Unrecognized compensation costs on non-vested stock option awards (pretax) | ' | $39 | $39 | ' | ' |
Unrecognized compensation costs on non-vested awards, weighted average period of recognition in years | ' | ' | '1 year 7 months 6 days | ' | ' |
Preferred Class A [Member] | ' | ' | ' | ' | ' |
Class of Stock [Line Items] | ' | ' | ' | ' | ' |
Preferred stock, shares authorized | ' | 660,000 | 660,000 | ' | ' |
Preferred stock, par value per share | ' | $100 | $100 | ' | ' |
Cumulative dividend preference per share | ' | ' | $3.75 | ' | ' |
Preferred stock, shares outstanding | ' | 546,024 | 546,024 | 546,024 | ' |
Preferred Class B [Member] | ' | ' | ' | ' | ' |
Class of Stock [Line Items] | ' | ' | ' | ' | ' |
Preferred stock, shares authorized | ' | 10,000,000 | 10,000,000 | ' | ' |
Preferred stock, par value per share | ' | $1 | $1 | ' | ' |
Stock Awards [Member] | ' | ' | ' | ' | ' |
Class of Stock [Line Items] | ' | ' | ' | ' | ' |
Vesting period | ' | ' | 'Three | ' | ' |
Preferred_and_Common_Stock_Sch
Preferred and Common Stock - Schedule of Share Activity (Detail) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Outstanding Stock [Member] | Outstanding Stock [Member] | Outstanding Stock [Member] | Treasury Stock [Member] | Treasury Stock [Member] | Treasury Stock [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Treasury stock, beginning balance | 106,895,705 | 110,694,604 | 113,494,491 | 119,362,029 | ' | ' | ' | ' | ' | ' |
Conversion of convertible notes | ' | ' | ' | ' | 310 | ' | ' | ' | ' | ' |
Private placement | ' | ' | ' | ' | ' | ' | 36,518,563 | ' | ' | ' |
Issued for stock-based compensation plans | ' | ' | ' | ' | 3,798,899 | 2,799,887 | 5,867,538 | -3,798,899 | -2,799,887 | -5,867,538 |
Treasury stock, ending balance | 106,895,705 | 110,694,604 | 113,494,491 | 119,362,029 | ' | ' | ' | ' | ' | ' |
Common Stock Outstanding, beginning balance | 1,071,011,162 | 1,067,211,953 | 1,064,412,066 | 1,022,025,965 | ' | ' | ' | ' | ' | ' |
Common Stock Outstanding, ending balance | 1,071,011,162 | 1,067,211,953 | 1,064,412,066 | 1,022,025,965 | ' | ' | ' | ' | ' | ' |
Preferred_and_Common_Stock_Sch1
Preferred and Common Stock - Schedule of Share-Based Compensation (Detail) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Vesting | '3 years | '3 years | '3 years |
2008 - 2009 [Member] | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Vesting | '3 years | ' | ' |
Term | '6 years | ' | ' |
Reload feature | 'None | ' | ' |
2010 And Forward [Member] | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Vesting | '3 years | ' | ' |
Term | '10 years | ' | ' |
Reload feature | 'None | ' | ' |
Preferred_and_Common_Stock_Sch2
Preferred and Common Stock - Schedule of Total Compensation Expense Recognized for All Stock Options and Awards (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Equity [Abstract] | ' | ' | ' |
Stock option grants | $21 | $27 | $34 |
Stock award grants | 50 | 40 | 49 |
Total compensation expense before income taxes | 71 | 67 | 83 |
Benefit for income taxes | 23 | 21 | 27 |
Total compensation expense, net of income taxes | $48 | $46 | $56 |
Preferred_and_Common_Stock_Sch3
Preferred and Common Stock - Schedule of Fair Value of New Options (Detail) (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Equity [Abstract] | ' | ' | ' |
Weighted average fair value per option | $2.24 | $3.11 | $4.96 |
Average risk-free interest rate, minimum | 0.10% | 0.06% | 0.19% |
Average risk-free interest rate, maximum | 1.89% | 1.89% | 3.44% |
Dividend yield | 1.30% | 0.90% | 0.90% |
Volatility, minimum | 28.00% | 39.00% | 36.00% |
Volatility, maximum | 40.00% | 45.00% | 43.00% |
Annual forfeiture rate | 7.00% | 5.00% | 5.00% |
Exercise behavior | 45.00% | 45.00% | 45.00% |
Life (years) | '6 years | '5 years 9 months 18 days | '5 years 9 months 18 days |
Preferred_and_Common_Stock_Sch4
Preferred and Common Stock - Schedule of Activity for Stock Options (Detail) (USD $) | 12 Months Ended |
In Millions, except Per Share data, unless otherwise specified | Dec. 31, 2013 |
Equity [Abstract] | ' |
Number of options, Outstanding beginning of year | 45 |
Number of options, Granted | 8 |
Number of options, Exercised | -1.6 |
Number of options, Expired or forfeited | -6.1 |
Number of options, Outstanding end of year | 45.3 |
Weighted average exercise price, Outstanding beginning of year | $12.58 |
Weighted average exercise price, granted | $8.88 |
Weighted average exercise price, exercised | $8.32 |
Weighted average exercise price, expired or forfeited | $22.13 |
Weighted average exercise price Outstanding, end of year | $10.78 |
Preferred_and_Common_Stock_Sch5
Preferred and Common Stock - Schedule of Options Fully Vested and/or Expected to Vest (Detail) (USD $) | 12 Months Ended |
In Millions, except Per Share data, unless otherwise specified | Dec. 31, 2013 |
Schedule Of Stock Options [Line Items] | ' |
Options Fully Vested and/or Expected to Vest, Number of options | 45.3 |
Options Fully Vested and/or Expected to Vest, Weighted average remaining contractual life, years | '4 years 11 months 9 days |
Options Fully Vested and/or Expected to Vest, Weighted average exercise price | $10.78 |
Options Fully Vested and/or Expected to Vest, Intrinsic value | $55 |
$8.33 [Member] | ' |
Schedule Of Stock Options [Line Items] | ' |
Range of exercise price, lower unit | $8.33 |
Options Fully Vested and/or Expected to Vest, Number of options | 16.3 |
Options Fully Vested and/or Expected to Vest, Weighted average remaining contractual life, years | '1 year 22 days |
Options Fully Vested and/or Expected to Vest, Weighted average exercise price | $8.33 |
Options Fully Vested and/or Expected to Vest, Intrinsic value | 38 |
$8.34 - $11.33 [Member] | ' |
Schedule Of Stock Options [Line Items] | ' |
Range of exercise price, lower unit | $8.34 |
Range of exercise price, upper unit | $11.33 |
Options Fully Vested and/or Expected to Vest, Number of options | 17.1 |
Options Fully Vested and/or Expected to Vest, Weighted average remaining contractual life, years | '8 years 2 months 19 days |
Options Fully Vested and/or Expected to Vest, Weighted average exercise price | $9.60 |
Options Fully Vested and/or Expected to Vest, Intrinsic value | $17 |
$11.34 - $17.40 [Member] | ' |
Schedule Of Stock Options [Line Items] | ' |
Range of exercise price, lower unit | $11.34 |
Range of exercise price, upper unit | $17.40 |
Options Fully Vested and/or Expected to Vest, Number of options | 10.8 |
Options Fully Vested and/or Expected to Vest, Weighted average remaining contractual life, years | '6 years 1 month 21 days |
Options Fully Vested and/or Expected to Vest, Weighted average exercise price | $14.46 |
$17.41 - $34.84 [Member] | ' |
Schedule Of Stock Options [Line Items] | ' |
Range of exercise price, lower unit | $17.41 |
Range of exercise price, upper unit | $34.84 |
Options Fully Vested and/or Expected to Vest, Number of options | 1.1 |
Options Fully Vested and/or Expected to Vest, Weighted average remaining contractual life, years | '18 days |
Options Fully Vested and/or Expected to Vest, Weighted average exercise price | $28.92 |
Preferred_and_Common_Stock_Sch6
Preferred and Common Stock - Schedule of Options Fully Vested Exercisable (Detail) (USD $) | 12 Months Ended |
In Millions, except Per Share data, unless otherwise specified | Dec. 31, 2013 |
Schedule Of Stock Options [Line Items] | ' |
Options Fully Vested and Exercisable, Number of options | 30.4 |
Options Fully Vested and Exercisable, Weighted average remaining contractual life, years | '3 years 3 months 22 days |
Options Fully Vested and Exercisable, Weighted average exercise price | $11.16 |
Options Fully Vested and Exercisable, Intrinsic value | $39 |
$8.33 [Member] | ' |
Schedule Of Stock Options [Line Items] | ' |
Range of exercise price, lower unit | $8.33 |
Options Fully Vested and Exercisable, Number of options | 16.3 |
Options Fully Vested and Exercisable, Weighted average remaining contractual life, years | '1 year 22 days |
Options Fully Vested and Exercisable, Weighted average exercise price | $8.33 |
Options Fully Vested and Exercisable, Intrinsic value | 38 |
$8.34 - $11.33 [Member] | ' |
Schedule Of Stock Options [Line Items] | ' |
Range of exercise price, lower unit | $8.34 |
Range of exercise price, upper unit | $11.33 |
Options Fully Vested and Exercisable, Number of options | 3.3 |
Options Fully Vested and Exercisable, Weighted average remaining contractual life, years | '7 years 4 months 24 days |
Options Fully Vested and Exercisable, Weighted average exercise price | $10.18 |
Options Fully Vested and Exercisable, Intrinsic value | $1 |
$11.34 - $17.40 [Member] | ' |
Schedule Of Stock Options [Line Items] | ' |
Range of exercise price, lower unit | $11.34 |
Range of exercise price, upper unit | $17.40 |
Options Fully Vested and Exercisable, Number of options | 9.7 |
Options Fully Vested and Exercisable, Weighted average remaining contractual life, years | '6 years 1 month 6 days |
Options Fully Vested and Exercisable, Weighted average exercise price | $14.23 |
$17.41 - $34.84 [Member] | ' |
Schedule Of Stock Options [Line Items] | ' |
Range of exercise price, lower unit | $17.41 |
Range of exercise price, upper unit | $34.84 |
Options Fully Vested and Exercisable, Number of options | 1.1 |
Options Fully Vested and Exercisable, Weighted average remaining contractual life, years | '18 days |
Options Fully Vested and Exercisable, Weighted average exercise price | $28.92 |
Preferred_and_Common_Stock_Sum
Preferred and Common Stock - Summary of Outstanding Stock and Performance Share Awards (Detail) (USD $) | 12 Months Ended |
In Millions, except Per Share data, unless otherwise specified | Dec. 31, 2013 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Awards, Outstanding beginning Balance | 11.9 |
Awards, Granted | 8 |
Awards, Converted | -3.3 |
Awards, Forfeited | -1 |
Awards, Performance share adjustment | 0.3 |
Awards, Outstanding Ending Balance | 15.9 |
Weighted average FMV per award, Outstanding beginning Balance | $12.96 |
Weighted average FMV per award, Granted | $8.86 |
Weighted average FMV per award, Converted | $13.51 |
Weighted average FMV per award, Forfeited | $10.76 |
Weighted average FMV per award, Performance share adjustment | $10.96 |
Weighted average FMV per award, Outstanding Ending Balance | $10.88 |
Stock Awards [Member] | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Awards, Outstanding beginning Balance | 7.9 |
Awards, Granted | 5.5 |
Awards, Converted | -2.6 |
Awards, Forfeited | -0.4 |
Awards, Outstanding Ending Balance | 10.4 |
Performance Share Awards [Member] | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Awards, Outstanding beginning Balance | 4 |
Awards, Granted | 2.5 |
Awards, Converted | -0.7 |
Awards, Forfeited | -0.6 |
Awards, Performance share adjustment | 0.3 |
Awards, Outstanding Ending Balance | 5.5 |
Preferred_and_Common_Stock_Sch7
Preferred and Common Stock - Schedule of Unrecognized Compensation Expense (Detail) (USD $) | 12 Months Ended |
In Millions, unless otherwise specified | Dec. 31, 2013 |
Equity [Abstract] | ' |
2014 | $36 |
2015 | 18 |
2016 | 1 |
Totals | $55 |
Earnings_Per_Share_Reconciliat
Earnings Per Share - Reconciliation of Information Used to Compute Basic and Diluted EPS (Detail) (USD $) | 1 Months Ended | 12 Months Ended | ||
In Millions, unless otherwise specified | 31-May-13 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Earnings Per Share [Abstract] | ' | ' | ' | ' |
(Loss) income from continuing operations attributable to Alcoa common shareholders | ' | ($2,285) | $191 | $614 |
Less: preferred stock dividends declared | ' | 2 | 2 | 2 |
(Loss) income from continuing operations available to common equity | ' | -2,287 | 189 | 612 |
Less: dividends and undistributed earnings allocated to participating securities | ' | ' | ' | 1 |
(Loss) income from continuing operations available to Alcoa common shareholders-basic | ' | -2,287 | 189 | 611 |
Add: interest expense related to convertible notes | -1 | ' | ' | 30 |
(Loss) income from continuing operations available to Alcoa common shareholders-diluted | ' | ($2,287) | $189 | $641 |
Average shares outstanding-basic | ' | 1,070 | 1,067 | 1,061 |
Stock options | ' | ' | 3 | 7 |
Stock and performance awards | ' | ' | 6 | 4 |
Convertible notes | ' | ' | ' | 89 |
Average shares outstanding-diluted | ' | 1,070 | 1,076 | 1,161 |
Earnings_Per_Share_Additional_
Earnings Per Share - Additional Information (Detail) (USD $) | 12 Months Ended | ||
In Millions, except Per Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ' | ' | ' |
Participating securities outstanding | 0 | 0 | 2 |
Number of anti-dilutive securities | ' | 89 | ' |
Stock and Performance Awards [Member] | ' | ' | ' |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ' | ' | ' |
Participating securities outstanding, nonforfeitable | 16 | 12 | 8 |
Convertible Notes [Member] | ' | ' | ' |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ' | ' | ' |
Shares that would have been included in diluted earnings per share calculation | 89 | ' | ' |
Number of anti-dilutive securities | 89 | ' | ' |
Stock Awards [Member] | ' | ' | ' |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ' | ' | ' |
Shares that would have been included in diluted earnings per share calculation | 16 | ' | ' |
Number of anti-dilutive securities | 9 | ' | ' |
Stock Option [Member] | ' | ' | ' |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ' | ' | ' |
Shares that would have been included in diluted earnings per share calculation | 12 | ' | ' |
Number of anti-dilutive securities | 2 | ' | ' |
Weighted average exercise price of options | $15.81 | $15.41 | $24 |
Equity Unit Purchase Agreements [Member] | ' | ' | ' |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ' | ' | ' |
Number of anti-dilutive securities | 12 | 27 | 27 |
Income_Taxes_Components_of_Los
Income Taxes - Components of (Loss) Income from Continuing Operations Before Income Taxes (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Income Tax Disclosure [Abstract] | ' | ' | ' |
U.S. | ($1,269) | $394 | ($98) |
Foreign | -547 | -70 | 1,161 |
(Loss) income from continuing operations before income taxes | ($1,816) | $324 | $1,063 |
Income_Taxes_Schedule_of_Provi
Income Taxes - Schedule of Provision for Income Taxes on Income from Continuing Operations (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Current: | ' | ' | ' |
Federal | $14 | $85 | $10 |
Foreign | 235 | 167 | 427 |
State and local | 1 | 9 | -1 |
Current provision for income taxes, total | 250 | 261 | 436 |
Deferred: | ' | ' | ' |
Federal | 84 | 129 | 28 |
Foreign | 95 | -227 | -211 |
State and local | -1 | -1 | 2 |
Deferred provision for income taxes, total | 178 | -99 | -181 |
Provision for income taxes (T) | $428 | $162 | $255 |
Income_Taxes_Additional_Inform
Income Taxes - Additional Information (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 |
Income Taxes [Line Items] | ' | ' | ' | ' | ' |
Tax benefit included in discontinued operations | ' | ' | ' | $1 | ' |
Tax benefit (charge) realized from exercise of employee stock options | ' | -1 | -1 | 6 | ' |
Unamortized tax-deductible goodwill resulting from intercompany stock sales and reorganizations | ' | 35 | ' | ' | ' |
Unamortized tax-deduction rate on goodwill | ' | 30.00% | ' | ' | ' |
Percentage of temporary tax differences that reverse within the carryforward period | ' | 30.00% | ' | ' | ' |
Percentage of temporary tax differences that reverse within tax planning strategies | ' | 5.00% | ' | ' | ' |
Percentage of deferred tax asset exclusive of reversing temporary differences | ' | 65.00% | ' | ' | ' |
Discrete income tax charge for valuation allowances | 372 | ' | ' | ' | ' |
Valuation allowance | 1,804 | 1,804 | 1,400 | 1,398 | 1,268 |
Holiday period, years | ' | ' | ' | '10 years | ' |
Decrease to the net deferred tax asset and noncash charge to earnings | ' | ' | ' | 50 | ' |
Income tax benefit for operational losses related to certain foreign jurisdictions that are excluded from the estimated annual effective tax rate calculation | ' | 5,200 | ' | ' | ' |
Percentage of the effect of unrecognized tax benefit, if recorded | ' | -1.00% | 6.00% | 2.00% | ' |
Interest and penalties recognized | ' | 2 | 3 | 2 | ' |
Income related to accrued interest and penalties | ' | 12 | 7 | 2 | ' |
Amount accrued for payment of interest and penalties | 11 | 11 | 15 | ' | ' |
Spanish Consolidated Tax Group [Member] | ' | ' | ' | ' | ' |
Income Taxes [Line Items] | ' | ' | ' | ' | ' |
Discrete income tax charge for valuation allowances | ' | 372 | ' | ' | ' |
Valuation allowance | 237 | 237 | ' | ' | ' |
Foreign Tax Authority [Member] | ' | ' | ' | ' | ' |
Income Taxes [Line Items] | ' | ' | ' | ' | ' |
Valuation allowance | $135 | $135 | ' | ' | ' |
Foreign tax credits carry forward period | ' | '10 years | ' | ' | ' |
Minimum [Member] | Spanish Consolidated Tax Group [Member] | ' | ' | ' | ' | ' |
Income Taxes [Line Items] | ' | ' | ' | ' | ' |
Deferred tax assets expiry period | ' | '2014 | ' | ' | ' |
Minimum [Member] | Foreign Tax Authority [Member] | ' | ' | ' | ' | ' |
Income Taxes [Line Items] | ' | ' | ' | ' | ' |
Foreign tax credits expiry period | ' | '2016 | ' | ' | ' |
Maximum [Member] | Spanish Consolidated Tax Group [Member] | ' | ' | ' | ' | ' |
Income Taxes [Line Items] | ' | ' | ' | ' | ' |
Deferred tax assets expiry period | ' | '2030 | ' | ' | ' |
Maximum [Member] | Foreign Tax Authority [Member] | ' | ' | ' | ' | ' |
Income Taxes [Line Items] | ' | ' | ' | ' | ' |
Foreign tax credits expiry period | ' | '2023 | ' | ' | ' |
Income_Taxes_Reconciliation_of
Income Taxes - Reconciliation of U.S. Federal Statutory Rate to Alcoa's Effective Tax Rate for Continuing Operations (Detail) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Income Tax Disclosure [Abstract] | ' | ' | ' |
U.S. federal statutory rate | 35.00% | 35.00% | 35.00% |
Taxes on foreign operations | -0.30% | -0.10% | -11.00% |
Permanent differences on restructuring and other charges and asset disposals | -0.80% | 10.80% | ' |
Audit and other adjustments to prior years' accruals | -0.90% | 3.50% | -1.10% |
Noncontrolling interests | -3.10% | 3.80% | 0.80% |
Statutory tax rate and law changes | 0.60% | -0.40% | 0.80% |
Changes in valuation allowances | -23.20% | 15.20% | 2.30% |
Impairment of goodwill | -33.30% | ' | ' |
Amortization of goodwill related to intercompany stock sales/reorganizations | 1.10% | -7.70% | -2.80% |
Change in legal structure of investment | ' | -4.10% | ' |
Interest income related to income tax positions | ' | -1.30% | -0.20% |
Company-owned life insurance/split-dollar net premiums | 1.10% | -3.90% | -0.20% |
Other | 0.20% | -0.80% | 0.40% |
Effective tax rate | -23.60% | 50.00% | 24.00% |
Income_Taxes_Schedule_of_Compo
Income Taxes - Schedule of Components of Net Deferred Tax Assets and Liabilities (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 |
In Millions, unless otherwise specified | ||||
Income Tax Disclosure [Abstract] | ' | ' | ' | ' |
Deferred tax assets, Depreciation | $185 | $104 | ' | ' |
Deferred tax assets, Employee benefits | 2,499 | 2,742 | ' | ' |
Deferred tax assets, Loss provisions | 437 | 368 | ' | ' |
Deferred tax assets, Deferred income/expense | 87 | 53 | ' | ' |
Deferred tax assets, Tax loss carryforwards | 2,229 | 2,186 | ' | ' |
Deferred tax assets, Tax credit carryforwards | 567 | 508 | ' | ' |
Deferred tax assets, Derivatives and hedging activities | 74 | 117 | ' | ' |
Deferred tax assets, Other | 310 | 324 | ' | ' |
Deferred tax assets, Gross | 6,388 | 6,402 | ' | ' |
Deferred tax assets, Valuation allowance | -1,804 | -1,400 | -1,398 | -1,268 |
Deferred tax assets, net | 4,584 | 5,002 | ' | ' |
Deferred tax liabilities, Depreciation | 1,150 | 1,015 | ' | ' |
Deferred tax liabilities, Employee benefits | 36 | 46 | ' | ' |
Deferred tax liabilities, Loss provisions | 14 | 17 | ' | ' |
Deferred tax liabilities, Deferred income/expense | 188 | 203 | ' | ' |
Deferred tax liabilities, Tax loss carryforwards | ' | ' | ' | ' |
Deferred tax liabilities, Tax credit carryforwards | ' | ' | ' | ' |
Deferred tax liabilities, Derivatives and hedging activities | 25 | 16 | ' | ' |
Deferred tax liabilities, Other | 261 | 297 | ' | ' |
Deferred tax liabilities, Gross | 1,674 | 1,594 | ' | ' |
Deferred tax liabilities, Valuation allowance | ' | ' | ' | ' |
Deferred tax liabilities, Net | $1,674 | $1,594 | ' | ' |
Income_Taxes_Schedule_of_Expir
Income Taxes - Schedule of Expiration Periods of Deferred Tax Assets (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Tax Credit Carryforward [Line Items] | ' | ' |
Tax loss carryforwards | $2,229 | ' |
Tax credit carryforwards | 567 | ' |
Other | 3,592 | ' |
Valuation allowance | -1,804 | ' |
Deferred tax assets, net | 4,584 | 5,002 |
Expires Within 10 Years [Member] | ' | ' |
Tax Credit Carryforward [Line Items] | ' | ' |
Tax loss carryforwards | 377 | ' |
Tax credit carryforwards | 417 | ' |
Other | ' | ' |
Valuation allowance | -412 | ' |
Deferred tax assets, net | 382 | ' |
Expires Within 11-20 Years [Member] | ' | ' |
Tax Credit Carryforward [Line Items] | ' | ' |
Tax loss carryforwards | 898 | ' |
Tax credit carryforwards | 75 | ' |
Other | ' | ' |
Valuation allowance | -843 | ' |
Deferred tax assets, net | 130 | ' |
No Expiration [Member] | ' | ' |
Tax Credit Carryforward [Line Items] | ' | ' |
Tax loss carryforwards | 954 | ' |
Tax credit carryforwards | 75 | ' |
Other | 498 | ' |
Valuation allowance | -268 | ' |
Deferred tax assets, net | 1,259 | ' |
Other [Member] | ' | ' |
Tax Credit Carryforward [Line Items] | ' | ' |
Tax loss carryforwards | ' | ' |
Tax credit carryforwards | ' | ' |
Other | 3,094 | ' |
Valuation allowance | -281 | ' |
Deferred tax assets, net | $2,813 | ' |
Income_Taxes_Schedule_of_Chang
Income Taxes - Schedule of Changes in Valuation Allowance (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Income Tax Disclosure [Abstract] | ' | ' | ' |
Balance at beginning of year | $1,400 | $1,398 | $1,268 |
Increase to allowance | 471 | 45 | 157 |
Release of allowance | -41 | -31 | -31 |
U.S. state tax apportionment and tax rate changes | -32 | -17 | 6 |
Foreign currency translation | 6 | 5 | -2 |
Balance at end of year | $1,804 | $1,400 | $1,398 |
Income_Taxes_Reconciliation_of1
Income Taxes - Reconciliation of Unrecognized Tax Benefits (Excluding Interest and Penalties) (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Income Tax Disclosure [Abstract] | ' | ' | ' |
Balance at beginning of year | $66 | $51 | $46 |
Additions for tax positions of the current year | 2 | ' | ' |
Additions for tax positions of prior years | 11 | 39 | 13 |
Reductions for tax positions of prior years | -2 | -7 | -3 |
Settlements with tax authorities | -8 | -18 | -4 |
Expiration of the statute of limitations | -2 | ' | ' |
Foreign currency translation | -4 | 1 | -1 |
Balance at end of year | $63 | $66 | $51 |
Receivables_Additional_Informa
Receivables - Additional Information (Detail) (USD $) | 0 Months Ended | 12 Months Ended | 1 Months Ended | ||||
In Millions, unless otherwise specified | Mar. 30, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | 31-May-13 | Mar. 31, 2012 | 31-May-13 | Mar. 31, 2012 |
Agreement | Institution | Minimum [Member] | Maximum [Member] | Maximum [Member] | |||
Schedule Of Financial Receivables [Line Items] | ' | ' | ' | ' | ' | ' | ' |
Funding of customer receivables sold | ' | ' | ' | ' | $50 | ' | $250 |
Funding of customer receivables sold after amendment | ' | ' | ' | ' | ' | 500 | ' |
Sale of customer receivables | 304 | ' | ' | ' | ' | ' | ' |
Cash received for receivables | 50 | ' | ' | ' | ' | ' | ' |
Deferred purchase price receivable | 254 | ' | ' | ' | ' | ' | ' |
Number of additional financial institution | ' | ' | ' | 2,000,000 | ' | ' | ' |
Additional funding received | ' | 5 | 155 | ' | ' | ' | ' |
Amount of cash draws under arrangement | ' | 388 | 160 | ' | ' | ' | ' |
Amount of cash repayments under arrangement | ' | 383 | 5 | ' | ' | ' | ' |
Purchase price receivable | ' | 248 | 18 | ' | ' | ' | ' |
Gross cash outflows from deferred purchased receivables | ' | 6,985 | 3,339 | ' | ' | ' | ' |
Gross cash inflows from deferred purchased receivables | ' | 6,755 | 3,321 | ' | ' | ' | ' |
Accounts receivables | ' | 10,324 | ' | ' | ' | ' | ' |
Cash collections | ' | 9,866 | ' | ' | ' | ' | ' |
Number of arrangement with different financial institution to sell customer receivables | ' | 3 | ' | ' | ' | ' | ' |
Asset servicing value | ' | 0 | ' | ' | ' | ' | ' |
Liability servicing value | ' | $0 | ' | ' | ' | ' | ' |
Receivables_Schedule_of_Allowa
Receivables - Schedule of Allowance for Doubtful Accounts (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Customer Receivables [Member] | ' | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' | ' |
Balance at beginning of year | $39 | $46 | $46 |
Provision for doubtful accounts | 3 | 2 | 19 |
Write off of uncollectible accounts | -19 | -8 | -14 |
Recoveries of prior write-offs | -3 | -1 | -3 |
Other | ' | ' | -2 |
Balance at end of year | 20 | 39 | 46 |
Other Receivables [Member] | ' | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' | ' |
Balance at beginning of year | 74 | 79 | 87 |
Provision for doubtful accounts | 29 | 9 | 7 |
Write off of uncollectible accounts | -39 | -3 | -3 |
Recoveries of prior write-offs | -10 | -6 | -5 |
Other | -7 | -5 | -7 |
Balance at end of year | $47 | $74 | $79 |
Interest_Cost_Components_Sched
Interest Cost Components - Schedule of Interest Cost Components (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Debt Disclosure [Abstract] | ' | ' | ' |
Amount charged to expense | $453 | $490 | $524 |
Amount capitalized | 99 | 93 | 101 |
Interest costs, total | $552 | $583 | $625 |
Pension_and_Other_Postretireme2
Pension and Other Postretirement Benefits - Schedule of Obligations and Funded Status (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Fair value of plan assets at end of year | $10,421 | $11,043 | ' |
Pension Benefits [Member] | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Benefit obligation at beginning of year | 14,751 | ' | ' |
Service cost | 194 | 186 | 165 |
Interest cost | 602 | 639 | 678 |
Settlements | 9 | ' | 2 |
Benefit obligation at end of year | 13,730 | 14,751 | ' |
Funded status | -3,150 | -3,708 | ' |
Less: Amounts attributed to joint venture partners | -25 | -40 | ' |
Net funded status | -3,125 | -3,668 | ' |
Noncurrent assets | 88 | 86 | ' |
Current liabilities | -30 | -32 | ' |
Noncurrent liabilities | -3,183 | -3,722 | ' |
Net amount recognized | -3,125 | -3,668 | ' |
Net actuarial loss | 5,198 | 5,880 | ' |
Prior service cost (benefit) | 94 | 119 | ' |
Total, before tax effect | 5,292 | 5,999 | ' |
Less: Amounts attributed to joint venture partners | 38 | 54 | ' |
Net amount recognized, before tax effect | 5,254 | 5,945 | ' |
Net actuarial (gain) loss | -193 | 1,073 | ' |
Amortization of accumulated net actuarial loss | -489 | -384 | -247 |
Prior service cost | ' | 9 | ' |
Amortization of prior service (cost) benefit | -25 | -19 | ' |
Total, before tax effect | -707 | 679 | ' |
Less: Amounts attributed to joint venture partners | -16 | 8 | ' |
Net amount recognized, before tax effect | -691 | 671 | ' |
Pension Benefits [Member] | Change in Benefit Obligation [Member] | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Benefit obligation at beginning of year | 14,751 | 13,526 | ' |
Service cost | 213 | 203 | ' |
Interest cost | 611 | 647 | ' |
Amendments | 82 | 6 | ' |
Actuarial (gains) losses | -849 | 1,120 | ' |
Settlements | -13 | ' | ' |
Benefits paid | -841 | -833 | ' |
Foreign currency translation impact | -224 | 82 | ' |
Benefit obligation at end of year | 13,730 | 14,751 | ' |
Pension Benefits [Member] | Change in Plan Assets [Member] | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Fair value of plan assets at beginning of year | 11,043 | 10,311 | ' |
Actual return on plan assets | 109 | 925 | ' |
Employer contributions | 473 | 571 | ' |
Participants' contributions | 27 | 32 | ' |
Settlements | -17 | ' | ' |
Benefits paid | -825 | -822 | ' |
Administrative expenses | -40 | -42 | ' |
Foreign currency translation impact | -190 | 68 | ' |
Fair value of plan assets at end of year | 10,580 | 11,043 | ' |
Other Postretirement Benefits [Member] | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Service cost | 17 | 14 | 17 |
Interest cost | 114 | 131 | 158 |
Funded status | -2,592 | -2,863 | ' |
Less: Amounts attributed to joint venture partners | -4 | -4 | ' |
Net funded status | -2,588 | -2,859 | ' |
Current liabilities | -234 | -256 | ' |
Noncurrent liabilities | -2,354 | -2,603 | ' |
Net amount recognized | -2,588 | -2,859 | ' |
Net actuarial loss | 389 | 593 | ' |
Prior service cost (benefit) | -57 | -76 | ' |
Total, before tax effect | 332 | 517 | ' |
Less: Amounts attributed to joint venture partners | -1 | -1 | ' |
Net amount recognized, before tax effect | 333 | 518 | ' |
Net actuarial (gain) loss | -169 | 107 | ' |
Amortization of accumulated net actuarial loss | -35 | -25 | -26 |
Amortization of prior service (cost) benefit | 19 | 16 | ' |
Total, before tax effect | -185 | 98 | ' |
Net amount recognized, before tax effect | -185 | 98 | ' |
Other Postretirement Benefits [Member] | Change in Benefit Obligation [Member] | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Benefit obligation at beginning of year | 2,863 | 2,844 | ' |
Service cost | 17 | 14 | ' |
Interest cost | 114 | 132 | ' |
Actuarial (gains) losses | -170 | 107 | ' |
Benefits paid | -249 | -256 | ' |
Medicare Part D subsidy receipts | 20 | 21 | ' |
Foreign currency translation impact | -3 | 1 | ' |
Benefit obligation at end of year | 2,592 | 2,863 | ' |
Other Postretirement Benefits [Member] | Change in Plan Assets [Member] | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Fair value of plan assets at beginning of year | ' | 8 | ' |
Benefits paid | ' | ($8) | ' |
Pension_and_Other_Postretireme3
Pension and Other Postretirement Benefits - Schedule of Obligations and Funded Status (Parenthetical) (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Fair value of plan assets at end of year | $10,421 | $11,043 |
Domestic Pension Plans, Defined Benefit [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Benefit obligation at end of year | 10,643 | 11,521 |
Fair value of plan assets at end of year | 7,909 | 8,437 |
Funded status | ($2,734) | ($3,084) |
Pension_and_Other_Postretireme4
Pension and Other Postretirement Benefits - Schedule of Pension Plan Benefit Obligations (Detail) (Pension Benefits [Member], USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Pension Benefits [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Defined benefit pension plans, Projected benefit obligation | $13,730 | $14,751 |
Accumulated benefit obligation | 13,324 | 14,186 |
Plan assets, Projected benefit obligation | 12,180 | 13,973 |
Fair value of plan assets | 8,930 | 10,142 |
Plan assets, Accumulated benefit obligation | 11,776 | 13,421 |
Fair value of plan assets | $8,890 | $10,123 |
Pension_and_Other_Postretireme5
Pension and Other Postretirement Benefits - Components of Net Periodic Benefit Cost (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Pension Plans, Postretirement and Other Employee Benefits [Line Items] | ' | ' | ' |
Net periodic benefit cost | $391 | $288 | $190 |
Pension Benefits [Member] | ' | ' | ' |
Pension Plans, Postretirement and Other Employee Benefits [Line Items] | ' | ' | ' |
Service cost | 194 | 186 | 165 |
Interest cost | 602 | 639 | 678 |
Expected return on plan assets | -788 | -808 | -806 |
Recognized net actuarial loss | 489 | 384 | 247 |
Amortization of prior service cost (benefit) | 19 | 19 | 19 |
Settlements | 9 | ' | 2 |
Curtailments | 6 | ' | -9 |
Special termination benefits | 77 | ' | ' |
Net periodic benefit cost | 608 | 420 | 296 |
Other Postretirement Benefits [Member] | ' | ' | ' |
Pension Plans, Postretirement and Other Employee Benefits [Line Items] | ' | ' | ' |
Service cost | 17 | 14 | 17 |
Interest cost | 114 | 131 | 158 |
Expected return on plan assets | ' | ' | -2 |
Recognized net actuarial loss | 35 | 25 | 26 |
Amortization of prior service cost (benefit) | -18 | -16 | -17 |
Net periodic benefit cost | $148 | $154 | $182 |
Pension_and_Other_Postretireme6
Pension and Other Postretirement Benefits - Components of Net Periodic Benefit Cost (Parenthetical) (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Compensation And Retirement Disclosure [Abstract] | ' | ' | ' |
Net periodic benefit cost | $391 | $288 | $190 |
Reduction in net periodic benefit cost for post retirement benefit due to drug benefit | $55 | $64 | $43 |
Pension_and_Other_Postretireme7
Pension and Other Postretirement Benefits - Schedule of Amounts Expected to be Recognized in Net Periodic Benefit Cost (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Pension Benefits [Member] | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Net actuarial loss recognition | $489 | $384 | $247 |
Prior service cost (benefit) recognition | 19 | 19 | 19 |
Pension Benefits [Member] | Scenario, Forecast [Member] | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Net actuarial loss recognition | 384 | ' | ' |
Prior service cost (benefit) recognition | 15 | ' | ' |
Other Postretirement Benefits [Member] | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Net actuarial loss recognition | 35 | 25 | 26 |
Prior service cost (benefit) recognition | -18 | -16 | -17 |
Other Postretirement Benefits [Member] | Scenario, Forecast [Member] | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Net actuarial loss recognition | 19 | ' | ' |
Prior service cost (benefit) recognition | ($18) | ' | ' |
Pension_and_Other_Postretireme8
Pension and Other Postretirement Benefits - Schedule of Weighted Average Assumptions Used to Determine Benefit Obligations (Detail) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Compensation And Retirement Disclosure [Abstract] | ' | ' | ' |
Discount rate | 4.80% | 4.15% | ' |
Rate of compensation increase | 3.50% | 3.50% | 3.50% |
Discount rate | 4.15% | 4.90% | 5.75% |
Expected long-term rate of return on plan assets | 8.50% | 8.50% | 8.50% |
Rate of compensation increase | 3.50% | 3.50% | 3.50% |
Pension_and_Other_Postretireme9
Pension and Other Postretirement Benefits - Additional Information (Detail) (USD $) | 12 Months Ended | ||||||||||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 |
Y | Maximum [Member] | Minimum [Member] | Canada [Member] | Subsequent Event [Member] | Pension Benefits [Member] | Foreign Pension Plan, Defined Benefit [Member] | 10-Year Moving Average [Member] | 20-Year Moving Average [Member] | |||
Y | Y | Y | Y | ||||||||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Average duration refined yield curve model parallels the plans, years | 10 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percentage increase in rate of compensation | ' | ' | ' | ' | ' | ' | ' | 3.50% | ' | ' | ' |
Average period over which rate of compensation increases, years | ' | ' | ' | ' | ' | ' | ' | 5 | ' | ' | ' |
Average period of historical returns used to calculate expected future returns, in years | 5 | ' | ' | ' | ' | ' | ' | ' | 4 | ' | ' |
Period of moving averages used for historical data points used to determine the expected long-term rate of return on plan assets, in years | ' | ' | ' | ' | ' | ' | ' | ' | ' | 10 | 20 |
Expected long term rate of return on plan assets | 8.50% | 8.50% | 8.50% | ' | ' | ' | 8.00% | ' | ' | ' | ' |
Decrease in expected long-term rate of return | 0.50% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Health care cost trend rate assumed for next year | 5.50% | 6.00% | 6.50% | ' | ' | ' | ' | ' | ' | ' | ' |
Health care cost trend rate | 4.50% | 4.50% | 5.00% | 3.50% | -7.50% | ' | ' | ' | ' | ' | ' |
Number of years over actual annual health care cost trend experience | 3 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Collateral, which exceeds the value of the securities loaned | ' | ' | ' | 105.00% | 102.00% | ' | ' | ' | ' | ' | ' |
Cash contribution to pension plans | $462 | $561 | $336 | ' | ' | ' | ' | ' | ' | ' | ' |
Minimum required cash contribution to pension plan in 2014 | 625 | ' | ' | ' | ' | 90 | ' | ' | 435 | ' | ' |
Expenses related to saving and investment plans | $149 | $146 | $139 | ' | ' | ' | ' | ' | ' | ' | ' |
Recovered_Sheet2
Pension and Other Postretirement Benefits - Schedule of Assumed Health Care Cost Trend Rates (Detail) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Compensation And Retirement Disclosure [Abstract] | ' | ' | ' |
Health care cost trend rate assumed for next year | 5.50% | 6.00% | 6.50% |
Rate to which the cost trend rate gradually declines | 4.50% | 4.50% | 5.00% |
Year that the rate reaches the rate at which it is assumed to remain | '2017 | '2017 | '2016 |
Recovered_Sheet3
Pension and Other Postretirement Benefits - Schedule of One-Percentage Point Change in Assumed Rates of Health Care Cost Trend Rates (Detail) (USD $) | 12 Months Ended |
In Millions, unless otherwise specified | Dec. 31, 2013 |
Compensation And Retirement Disclosure [Abstract] | ' |
Effect on other postretirement benefit obligations, 1% increase | $146 |
Effect on total of service and interest cost components, 1% increase | 7 |
Effect on other postretirement benefit obligations, 1% decrease | -130 |
Effect on total of service and interest cost components, 1% decrease | ($6) |
Recovered_Sheet4
Pension and Other Postretirement Benefits - Schedule of Pension and Postretirement Plans Investment Policy and Weighted Average Asset Allocations (Detail) | Dec. 31, 2013 | Dec. 31, 2012 |
Equity Securities [Member] | Maximum [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Defined benefit plan, asset allocations | 55.00% | ' |
Equity Securities [Member] | Minimum [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Defined benefit plan, asset allocations | 20.00% | ' |
Fixed Income Securities [Member] | Maximum [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Defined benefit plan, asset allocations | 55.00% | ' |
Fixed Income Securities [Member] | Minimum [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Defined benefit plan, asset allocations | 25.00% | ' |
Other Investments [Member] | Maximum [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Defined benefit plan, asset allocations | 55.00% | ' |
Other Investments [Member] | Minimum [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Defined benefit plan, asset allocations | 15.00% | ' |
Plan Assets [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Defined benefit plan, asset allocations | 100.00% | 100.00% |
Plan Assets [Member] | Equity Securities [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Defined benefit plan, asset allocations | 37.00% | 33.00% |
Plan Assets [Member] | Fixed Income Securities [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Defined benefit plan, asset allocations | 41.00% | 50.00% |
Plan Assets [Member] | Other Investments [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Defined benefit plan, asset allocations | 22.00% | 17.00% |
Recovered_Sheet5
Pension and Other Postretirement Benefits - Schedule of Fair Value of Pension Plan Assets (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Fair value of pension and other postretirement plans' assets | $10,421 | $11,043 |
Equity Securities [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Fair value of pension and other postretirement plans' assets | 3,852 | 3,635 |
Equity Securities [Member] | Equity Funds [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Fair value of pension and other postretirement plans' assets | 2,588 | 2,329 |
Equity Securities [Member] | Hedge Funds, Equity Long (Short) [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Fair value of pension and other postretirement plans' assets | 744 | 756 |
Equity Securities [Member] | Private Equity Funds [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Fair value of pension and other postretirement plans' assets | 520 | 550 |
Fixed Income Securities [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Fair value of pension and other postretirement plans' assets | 4,271 | 5,580 |
Fixed Income Securities [Member] | Intermediate and Long Duration Government Credit [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Fair value of pension and other postretirement plans' assets | 3,802 | 5,073 |
Fixed Income Securities [Member] | Other Funds [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Fair value of pension and other postretirement plans' assets | 469 | 507 |
Other Investments [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Fair value of pension and other postretirement plans' assets | 2,298 | 1,828 |
Other Investments [Member] | Other Funds [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Fair value of pension and other postretirement plans' assets | 375 | 459 |
Other Investments [Member] | Real Estate Funds [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Fair value of pension and other postretirement plans' assets | 636 | 573 |
Other Investments [Member] | Discretionary and Systematic Macro Hedge Funds [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Fair value of pension and other postretirement plans' assets | 1,287 | ' |
Other Investments [Member] | Discretionary Macro Hedge Funds [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Fair value of pension and other postretirement plans' assets | ' | 796 |
Level 1 [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Fair value of pension and other postretirement plans' assets | 3,602 | 2,510 |
Level 1 [Member] | Equity Securities [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Fair value of pension and other postretirement plans' assets | 1,084 | 1,016 |
Level 1 [Member] | Equity Securities [Member] | Equity Funds [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Fair value of pension and other postretirement plans' assets | 1,084 | 1,016 |
Level 1 [Member] | Fixed Income Securities [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Fair value of pension and other postretirement plans' assets | 2,251 | 1,169 |
Level 1 [Member] | Fixed Income Securities [Member] | Intermediate and Long Duration Government Credit [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Fair value of pension and other postretirement plans' assets | 2,251 | 1,169 |
Level 1 [Member] | Other Investments [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Fair value of pension and other postretirement plans' assets | 267 | 325 |
Level 1 [Member] | Other Investments [Member] | Other Funds [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Fair value of pension and other postretirement plans' assets | 143 | 212 |
Level 1 [Member] | Other Investments [Member] | Real Estate Funds [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Fair value of pension and other postretirement plans' assets | 124 | 113 |
Level 2 [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Fair value of pension and other postretirement plans' assets | 3,398 | 5,414 |
Level 2 [Member] | Equity Securities [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Fair value of pension and other postretirement plans' assets | 1,360 | 1,196 |
Level 2 [Member] | Equity Securities [Member] | Equity Funds [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Fair value of pension and other postretirement plans' assets | 1,360 | 1,196 |
Level 2 [Member] | Fixed Income Securities [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Fair value of pension and other postretirement plans' assets | 2,020 | 4,196 |
Level 2 [Member] | Fixed Income Securities [Member] | Intermediate and Long Duration Government Credit [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Fair value of pension and other postretirement plans' assets | 1,551 | 3,689 |
Level 2 [Member] | Fixed Income Securities [Member] | Other Funds [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Fair value of pension and other postretirement plans' assets | 469 | 507 |
Level 2 [Member] | Other Investments [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Fair value of pension and other postretirement plans' assets | 18 | 22 |
Level 2 [Member] | Other Investments [Member] | Real Estate Funds [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Fair value of pension and other postretirement plans' assets | 18 | 22 |
Level 3 [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Fair value of pension and other postretirement plans' assets | 3,421 | 3,119 |
Level 3 [Member] | Equity Securities [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Fair value of pension and other postretirement plans' assets | 1,408 | 1,423 |
Level 3 [Member] | Equity Securities [Member] | Equity Funds [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Fair value of pension and other postretirement plans' assets | 144 | 117 |
Level 3 [Member] | Equity Securities [Member] | Hedge Funds, Equity Long (Short) [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Fair value of pension and other postretirement plans' assets | 744 | 756 |
Level 3 [Member] | Equity Securities [Member] | Private Equity Funds [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Fair value of pension and other postretirement plans' assets | 520 | 550 |
Level 3 [Member] | Fixed Income Securities [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Fair value of pension and other postretirement plans' assets | ' | 215 |
Level 3 [Member] | Fixed Income Securities [Member] | Intermediate and Long Duration Government Credit [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Fair value of pension and other postretirement plans' assets | ' | 215 |
Level 3 [Member] | Other Investments [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Fair value of pension and other postretirement plans' assets | 2,013 | 1,481 |
Level 3 [Member] | Other Investments [Member] | Other Funds [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Fair value of pension and other postretirement plans' assets | 232 | 247 |
Level 3 [Member] | Other Investments [Member] | Real Estate Funds [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Fair value of pension and other postretirement plans' assets | 494 | 438 |
Level 3 [Member] | Other Investments [Member] | Discretionary and Systematic Macro Hedge Funds [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Fair value of pension and other postretirement plans' assets | 1,287 | ' |
Level 3 [Member] | Other Investments [Member] | Discretionary Macro Hedge Funds [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Fair value of pension and other postretirement plans' assets | ' | $796 |
Recovered_Sheet6
Pension and Other Postretirement Benefits - Schedule of Fair Value of Pension Plan Assets (Parenthetical) (Detail) (USD $) | Dec. 31, 2013 |
In Millions, unless otherwise specified | |
Schedule Of Sale Of Subsidiary [Abstract] | ' |
Net receivable which represents securities sold not yet settled plus interest and dividends earned on various investments | $159 |
Recovered_Sheet7
Pension and Other Postretirement Benefits - Schedule of Reconciliation of Activity for Investments (Detail) (Pension and Other Postretirement Benefit Plans' Assets [Member], USD $) | 12 Months Ended | |
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Pension and Other Postretirement Benefit Plans' Assets [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Balance at beginning of year | $3,119 | $2,816 |
Realized gains | 140 | 56 |
Unrealized gains | 173 | 140 |
Purchases | 636 | 636 |
Sales | -626 | -538 |
Issuances | ' | ' |
Settlements | ' | ' |
Foreign currency translation impact | -21 | 9 |
Transfers in and/or out of Level 3 | ' | ' |
Balance at end of year | $3,421 | $3,119 |
Recovered_Sheet8
Pension and Other Postretirement Benefits - Schedule of Reconciliation of Activity for Investments (Parenthetical) (Detail) (Pension and Other Postretirement Benefit Plans' Assets [Member], USD $) | 12 Months Ended | |
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Pension and Other Postretirement Benefit Plans' Assets [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Transfer into level 3 | $0 | ' |
Transfer out of level 3 | ' | $0 |
Recovered_Sheet9
Pension and Other Postretirement Benefits - Schedule of Benefit Payments Expected to be Paid and Expected Medicare Part D Subsidy Receipts (Detail) (USD $) | Dec. 31, 2013 |
In Millions, unless otherwise specified | |
Pension Benefits [Member] | ' |
Defined Benefit Plan Disclosure [Line Items] | ' |
2014 | $880 |
2015 | 880 |
2016 | 900 |
2017 | 910 |
2018 | 920 |
2019 through 2023 | 4,680 |
Total benefit payments | 9,170 |
Gross Other Post-Retirement Benefits [Member] | ' |
Defined Benefit Plan Disclosure [Line Items] | ' |
2014 | 260 |
2015 | 260 |
2016 | 260 |
2017 | 255 |
2018 | 255 |
2019 through 2023 | 1,195 |
Total benefit payments | 2,485 |
Medicare Part D Subsidy Receipts [Member] | ' |
Defined Benefit Plan Disclosure [Line Items] | ' |
2014 | 25 |
2015 | 25 |
2016 | 25 |
2017 | 30 |
2018 | 30 |
2019 through 2023 | 145 |
Total benefit payments | 280 |
Net Other Post-Retirement Benefits [Member] | ' |
Defined Benefit Plan Disclosure [Line Items] | ' |
2014 | 235 |
2015 | 235 |
2016 | 235 |
2017 | 225 |
2018 | 225 |
2019 through 2023 | 1,050 |
Total benefit payments | $2,205 |
Derivatives_and_Other_Financia2
Derivatives and Other Financial Instruments - Schedule of Fair Values and Corresponding Level of Fair Value Hierarchy of Outstanding Derivative Contracts Recorded as Assets (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 |
In Millions, unless otherwise specified | |||
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' |
Fair value asset derivatives | $390 | $596 | $596 |
Level 1 [Member] | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' |
Fair value asset derivatives | 6 | 27 | ' |
Level 3 [Member] | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' |
Fair value asset derivatives | 355 | 550 | ' |
Level 2 [Member] | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' |
Fair value asset derivatives | 32 | 45 | ' |
Derivatives Designated as Hedging Instruments [Member] | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' |
Fair value asset derivatives | 69 | 81 | ' |
Derivatives Designated as Hedging Instruments [Member] | Prepaid Expenses and Other Current Assets [Member] | Aluminum Contracts [Member] | Level 1 [Member] | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' |
Fair value asset derivatives | 4 | 23 | ' |
Derivatives Designated as Hedging Instruments [Member] | Prepaid Expenses and Other Current Assets [Member] | Aluminum Contracts [Member] | Level 3 [Member] | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' |
Fair value asset derivatives | 9 | 7 | ' |
Derivatives Designated as Hedging Instruments [Member] | Prepaid Expenses and Other Current Assets [Member] | Foreign Exchange Contracts [Member] | Level 1 [Member] | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' |
Fair value asset derivatives | 2 | ' | ' |
Derivatives Designated as Hedging Instruments [Member] | Prepaid Expenses and Other Current Assets [Member] | Interest Rate Contracts [Member] | Level 2 [Member] | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' |
Fair value asset derivatives | 9 | 8 | ' |
Derivatives Designated as Hedging Instruments [Member] | Other Noncurrent Assets [Member] | Aluminum Contracts [Member] | Level 1 [Member] | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' |
Fair value asset derivatives | ' | 3 | ' |
Derivatives Designated as Hedging Instruments [Member] | Other Noncurrent Assets [Member] | Aluminum Contracts [Member] | Level 3 [Member] | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' |
Fair value asset derivatives | 16 | ' | ' |
Derivatives Designated as Hedging Instruments [Member] | Other Noncurrent Assets [Member] | Interest Rate Contracts [Member] | Level 2 [Member] | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' |
Fair value asset derivatives | 23 | 37 | ' |
Derivatives Designated as Hedging Instruments [Member] | Other Noncurrent Assets [Member] | Energy Contracts [Member] | Level 3 [Member] | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' |
Fair value asset derivatives | 6 | 3 | ' |
Derivatives Not Designated as Hedging Instruments [Member] | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' |
Fair value asset derivatives | 324 | 541 | ' |
Derivatives Not Designated as Hedging Instruments [Member] | Prepaid Expenses and Other Current Assets [Member] | Aluminum Contracts [Member] | Level 3 [Member] | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' |
Fair value asset derivatives | 149 | 211 | ' |
Derivatives Not Designated as Hedging Instruments [Member] | Other Noncurrent Assets [Member] | Aluminum Contracts [Member] | Level 3 [Member] | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' |
Fair value asset derivatives | 175 | 329 | ' |
Derivatives Not Designated as Hedging Instruments [Member] | Other Noncurrent Assets [Member] | Foreign Exchange Contracts [Member] | Level 1 [Member] | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' |
Fair value asset derivatives | ' | 1 | ' |
Margin Held [Member] | Prepaid Expenses and Other Current Assets [Member] | Aluminum Contracts [Member] | Level 1 [Member] | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' |
Fair value asset derivatives | ' | 9 | ' |
Margin Held [Member] | Prepaid Expenses and Other Current Assets [Member] | Interest Rate Contracts [Member] | Level 2 [Member] | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' |
Fair value asset derivatives | 3 | 8 | ' |
Margin Held [Member] | Other Noncurrent Assets [Member] | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' |
Fair value asset derivatives | 3 | 26 | ' |
Margin Held [Member] | Other Noncurrent Assets [Member] | Interest Rate Contracts [Member] | Level 2 [Member] | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' |
Fair value asset derivatives | ' | $9 | ' |
Derivatives_and_Other_Financia3
Derivatives and Other Financial Instruments - Schedule of Fair Values and Corresponding Level of Fair Value Hierarchy of Outstanding Derivative Contracts Recorded as Liabilities (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Derivative [Line Items] | ' | ' |
Fair value liability derivatives | $479 | $679 |
Level 1 [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Fair value liability derivatives | 66 | 15 |
Level 3 [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Fair value liability derivatives | 431 | 638 |
Level 2 [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Fair value liability derivatives | ' | 26 |
Derivatives Designated as Hedging Instruments [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Fair value liability derivatives | 469 | 622 |
Derivatives Designated as Hedging Instruments [Member] | Other Current Liabilities [Member] | Aluminum Contracts [Member] | Level 1 [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Fair value liability derivatives | 45 | 13 |
Derivatives Designated as Hedging Instruments [Member] | Other Current Liabilities [Member] | Aluminum Contracts [Member] | Level 3 [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Fair value liability derivatives | 23 | 35 |
Derivatives Designated as Hedging Instruments [Member] | Other Noncurrent Liabilities and Deferred Credits [Member] | Aluminum Contracts [Member] | Level 1 [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Fair value liability derivatives | 14 | 1 |
Derivatives Designated as Hedging Instruments [Member] | Other Noncurrent Liabilities and Deferred Credits [Member] | Aluminum Contracts [Member] | Level 3 [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Fair value liability derivatives | 387 | 573 |
Derivatives Not Designated as Hedging Instruments [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Fair value liability derivatives | 28 | 57 |
Derivatives Not Designated as Hedging Instruments [Member] | Other Current Liabilities [Member] | Aluminum Contracts [Member] | Level 1 [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Fair value liability derivatives | 4 | 1 |
Derivatives Not Designated as Hedging Instruments [Member] | Other Current Liabilities [Member] | Aluminum Contracts [Member] | Level 2 [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Fair value liability derivatives | ' | 21 |
Derivatives Not Designated as Hedging Instruments [Member] | Other Current Liabilities [Member] | Embedded Credit Derivative [Member] | Level 3 [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Fair value liability derivatives | 2 | 3 |
Derivatives Not Designated as Hedging Instruments [Member] | Other Current Liabilities [Member] | Foreign Exchange Contracts [Member] | Level 1 [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Fair value liability derivatives | 3 | ' |
Derivatives Not Designated as Hedging Instruments [Member] | Other Noncurrent Liabilities and Deferred Credits [Member] | Aluminum Contracts [Member] | Level 2 [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Fair value liability derivatives | ' | 5 |
Derivatives Not Designated as Hedging Instruments [Member] | Other Noncurrent Liabilities and Deferred Credits [Member] | Embedded Credit Derivative [Member] | Level 3 [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Fair value liability derivatives | 19 | 27 |
Margin Posted [Member] | Other Current Liabilities [Member] | Aluminum Contracts [Member] | Level 1 [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Fair value liability derivatives | $18 | ' |
Derivatives_and_Other_Financia4
Derivatives and Other Financial Instruments - Gross Amounts of Recognized Derivative Assets and Liabilities and Gross Amounts Offset in Accompanying Consolidated Balance Sheet (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' |
Gross amounts recognized, assets | $72 | $117 |
Gross amounts offset, assets | -39 | -72 |
Net amount presented in Consolidated Balance Sheet, assets | 33 | 45 |
Gross amounts recognized, liabilities | 84 | 86 |
Gross amounts offset, liabilities | -39 | -72 |
Net amount presented in Consolidated Balance Sheet, liabilities | 45 | 14 |
Aluminum Contracts [Member] | ' | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' |
Gross amounts recognized, assets | 40 | 72 |
Gross amounts offset, assets | -36 | -55 |
Net amount presented in Consolidated Balance Sheet, assets | 4 | 17 |
Gross amounts recognized, liabilities | 81 | 69 |
Gross amounts offset, liabilities | -36 | -55 |
Net amount presented in Consolidated Balance Sheet, liabilities | 45 | 14 |
Interest Rate Contracts [Member] | ' | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' |
Gross amounts recognized, assets | 32 | 45 |
Gross amounts offset, assets | -3 | -17 |
Net amount presented in Consolidated Balance Sheet, assets | 29 | 28 |
Gross amounts recognized, liabilities | 3 | 17 |
Gross amounts offset, liabilities | ($3) | ($17) |
Derivatives_and_Other_Financia5
Derivatives and Other Financial Instruments - Gross Amounts of Recognized Derivative Assets and Liabilities and Gross Amounts Offset in Accompanying Consolidated Balance Sheet (Parenthetical) (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Offsetting [Abstract] | ' | ' |
Margin on derivative posted with counterparties | $18 | $9 |
Derivative_and_Other_Financial
Derivative and Other Financial Instruments - Schedule of Net Fair Values of Outstanding Derivative Contracts and Effect of Hypothetical Change (Increase or Decrease of 10%) in Market Prices or Rates (Detail) (USD $) | Dec. 31, 2013 |
In Millions, unless otherwise specified | |
Aluminum Contracts [Member] | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' |
Fair value asset/(liability) | ($102) |
Index change of + / - 10% | 47 |
Embedded Credit Derivative [Member] | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' |
Fair value asset/(liability) | -21 |
Index change of + / - 10% | 2 |
Energy Contracts [Member] | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' |
Fair value asset/(liability) | 6 |
Index change of + / - 10% | 214 |
Foreign Exchange Contracts [Member] | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' |
Fair value asset/(liability) | -1 |
Index change of + / - 10% | 14 |
Interest Rate Contracts [Member] | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' |
Fair value asset/(liability) | 29 |
Index change of + / - 10% | $1 |
Derivatives_and_Other_Financia6
Derivatives and Other Financial Instruments - Schedule of Derivative Contract Assets and Liabilities Measured and Recognized at Fair Value on Recurring Basis (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 |
In Millions, unless otherwise specified | |||
Assets: | ' | ' | ' |
Fair value asset derivatives | $390 | $596 | $596 |
Liabilities: | ' | ' | ' |
Fair value liability derivatives | 479 | 679 | ' |
Level 1 [Member] | ' | ' | ' |
Assets: | ' | ' | ' |
Fair value asset derivatives | 6 | 27 | ' |
Liabilities: | ' | ' | ' |
Fair value liability derivatives | 66 | 15 | ' |
Level 2 [Member] | ' | ' | ' |
Assets: | ' | ' | ' |
Fair value asset derivatives | 32 | 45 | ' |
Liabilities: | ' | ' | ' |
Fair value liability derivatives | ' | 26 | ' |
Level 3 [Member] | ' | ' | ' |
Assets: | ' | ' | ' |
Fair value asset derivatives | 355 | 550 | ' |
Liabilities: | ' | ' | ' |
Fair value liability derivatives | 431 | 638 | ' |
Margin Held [Member] | ' | ' | ' |
Assets: | ' | ' | ' |
Margin held | -3 | -26 | ' |
Margin Posted [Member] | ' | ' | ' |
Liabilities: | ' | ' | ' |
Margin posted | ($18) | ' | ' |
Derivatives_and_Other_Financia7
Derivatives and Other Financial Instruments - Schedule of Reconciliation of Activity for Derivative Contracts (Detail) (USD $) | 12 Months Ended | |
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Aluminum Contracts [Member] | ' | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' |
Balance at beginning of year | $547 | $10 |
Fair value measurement, Assets, Sales | -5 | -8 |
Fair value measurement, Assets, Cost of goods sold | -202 | -107 |
Fair value measurement, Assets, Other income, net | 28 | 16 |
Fair value measurement, Assets, Other comprehensive loss | 22 | 10 |
Fair value measurement, Assets, Purchases, sales, issuances, and settlements | ' | 596 |
Fair value measurement, Assets, Transfers into and (or) out of Level 3 | ' | ' |
Fair value measurement, Assets, Foreign currency translation | -41 | 30 |
Balance at end of year | 349 | 547 |
Fair value measurement, Assets, Sales | ' | ' |
Fair value measurement, Assets, Cost of goods sold | ' | ' |
Fair value measurement, Assets, Other income, net | 28 | 16 |
Fair value measurement, Liabilities, Beginning balance | 608 | 602 |
Fair value measurement, Liabilities, Sales | -24 | -33 |
Fair value measurement, Liabilities, Other comprehensive loss | -174 | 39 |
Fair value measurement, Liabilities, Purchases, sales, issuances, and settlements | ' | ' |
Fair value measurement, Liabilities, Transfers into and (or) out of Level 3 | ' | ' |
Fair value measurement, Liabilities, Foreign currency translation | ' | ' |
Fair value measurement, Liabilities, Ending balance | 410 | 608 |
Fair value measurement, Liabilities, Sales | ' | ' |
Fair value measurement, Liabilities, Cost of goods sold | ' | ' |
Embedded Credit Derivative [Member] | ' | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' |
Fair value measurement, Liabilities, Beginning balance | 30 | 28 |
Fair value measurement, Liabilities, Cost of goods sold | -1 | -1 |
Fair value measurement, Liabilities, Other income, net | -8 | 3 |
Fair value measurement, Liabilities, Purchases, sales, issuances, and settlements | ' | ' |
Fair value measurement, Liabilities, Transfers into and (or) out of Level 3 | ' | ' |
Fair value measurement, Liabilities, Foreign currency translation | ' | ' |
Fair value measurement, Liabilities, Ending balance | 21 | 30 |
Fair value measurement, Liabilities, Sales | ' | ' |
Fair value measurement, Liabilities, Cost of goods sold | ' | ' |
Fair value measurement, Liabilities, Other income, net | -8 | 3 |
Energy Contracts [Member] | ' | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' |
Balance at beginning of year | 3 | 2 |
Fair value measurement, Assets, Other comprehensive loss | 3 | 1 |
Fair value measurement, Assets, Purchases, sales, issuances, and settlements | ' | ' |
Fair value measurement, Assets, Transfers into and (or) out of Level 3 | ' | ' |
Balance at end of year | 6 | 3 |
Fair value measurement, Assets, Sales | ' | ' |
Fair value measurement, Assets, Cost of goods sold | ' | ' |
Derivatives_and_Other_Financia8
Derivatives and Other Financial Instruments - Additional Information (Detail) | 1 Months Ended | 12 Months Ended | 12 Months Ended | 1 Months Ended | ||||||||||||
In Millions, unless otherwise specified | Jul. 31, 2012 | Jan. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2011 | Dec. 31, 2012 | Sep. 30, 2012 | Aug. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Jul. 31, 2012 | Jul. 31, 2012 | Jan. 31, 2012 | Dec. 31, 2011 |
Contract | USD ($) | CAD | USD ($) | USD ($) | USD ($) | Forward Contracts [Member] | Forward Contracts [Member] | Level 3 [Member] | Level 3 [Member] | Power Contracts One [Member] | Power Contracts Two [Member] | Interest Rate Swap [Member] | Interest Rate Swap [Member] | |||
Plant | Contract | Contract | USD ($) | BRL | USD ($) | USD ($) | USD ($) | USD ($) | ||||||||
t | t | |||||||||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net unrealized loss on derivative contracts | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $76 | $88 | ' | ' | ' | ' |
Other derivative contracts estimated term of quoted market prices, in years | ' | ' | '10 years | '10 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of contracts | 2 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Power contracts maturity date | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 31-Mar-14 | 31-Mar-16 | ' | ' |
Number of smelters | 2 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Derivative asset amount | ' | ' | 390 | ' | ' | 596 | 596 | ' | ' | ' | 355 | 550 | ' | ' | ' | ' |
Power purchase period forecasted by derivative instrument | ' | ' | 'Through December 2036 | 'Through December 2036 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Period of natural gas supply contract | ' | ' | '6 years | '6 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of commodities involved for valuation of supply contract | ' | ' | 2 | 2 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of contracts ceased to qualify as fair value hedge | ' | ' | 0 | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Amount of aluminum kmt designated as fair value hedges | ' | ' | 412,000 | 412,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Derivative designated as fair value hedge start period | ' | ' | '2014 | '2014 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Derivative designated as fair value hedge end period | ' | ' | '2017 | '2017 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Face amount of debt the hedges effectively convert from fixed to floating through 2018 | ' | ' | 200 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Notional amount of interest rate swaps | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 315 | 550 |
Long-term debt, interest rate | ' | 6.00% | ' | ' | ' | ' | ' | 4.75% | ' | ' | ' | ' | ' | ' | ' | ' |
Long-term debt, maturity date | ' | '2012 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Gain on termination of interest rate swaps | ' | ' | ' | ' | 33 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Interest rate cash flow hedges | ' | ' | 0 | ' | 0 | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Forward contract to purchase to mitigate the foreign currency risk related to a Canadian/Brazilian-denominated loan due in 2014 | ' | ' | $54 | 58 | ' | ' | ' | ' | $231 | 543 | ' | ' | ' | ' | ' | ' |
Maturity date of forward contract | ' | ' | ' | ' | ' | ' | ' | ' | 31-Mar-14 | 31-Mar-14 | ' | ' | ' | ' | ' | ' |
Derivatives_and_Other_Financia9
Derivatives and Other Financial Instruments - Schedule of Quantitative Information for Level 3 Derivative Contracts (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 |
Interrelationship of Future Aluminum and Oil Prices [Member] | Interrelationship of Future Aluminum and Oil Prices [Member] | Interrelationship of Future Aluminum and Oil Prices [Member] | Interrelationship of Future Aluminum Prices, Foreign Currency Exchange Rates, and U.S. Consumer Price Index [Member] | Interrelationship of Future Aluminum Prices, Foreign Currency Exchange Rates, and U.S. Consumer Price Index [Member] | Interrelationship of Future Aluminum Prices, Foreign Currency Exchange Rates, and U.S. Consumer Price Index [Member] | Interrelationship of LME Price to Overall Energy Price [Member] | Interrelationship of LME Price to Overall Energy Price [Member] | Interrelationship of LME Price to Overall Energy Price [Member] | Price of Electricity Beyond Forward Curve [Member] | Price of Electricity Beyond Forward Curve [Member] | Price of Electricity Beyond Forward Curve [Member] | Price of Aluminum Beyond Forward Curve [Member] | Price of Aluminum Beyond Forward Curve [Member] | Price of Aluminum Beyond Forward Curve [Member] | Credit Spread Between Alcoa and Counterparty [Member] | Credit Spread Between Alcoa and Counterparty [Member] | Credit Spread Between Alcoa and Counterparty [Member] | Credit Spread Between Alcoa and Counterparty [Member] | ||||
Aluminum Contracts [Member] | Aluminum Contracts [Member] | Aluminum Contracts [Member] | Aluminum Contracts [Member] | Aluminum Contracts [Member] | Aluminum Contracts [Member] | Aluminum Contracts [Member] | Aluminum Contracts [Member] | Aluminum Contracts [Member] | Energy Contracts [Member] | Energy Contracts [Member] | Energy Contracts [Member] | Aluminum Contracts [Member] | Aluminum Contracts [Member] | Aluminum Contracts [Member] | Embedded Credit Derivative [Member] | Embedded Credit Derivative [Member] | Embedded Credit Derivative [Member] | Embedded Credit Derivative [Member] | ||||
Minimum [Member] | Maximum [Member] | Minimum [Member] | Maximum [Member] | Minimum [Member] | Maximum [Member] | Minimum [Member] | Maximum [Member] | Minimum [Member] | Maximum [Member] | Minimum [Member] | Maximum [Member] | Median [Member] | ||||||||||
Discounted Cash Flow [Member] | Discounted Cash Flow [Member] | Discounted Cash Flow [Member] | Discounted Cash Flow [Member] | Discounted Cash Flow [Member] | Discounted Cash Flow [Member] | Discounted Cash Flow [Member] | Discounted Cash Flow [Member] | Discounted Cash Flow [Member] | Discounted Cash Flow [Member] | Discounted Cash Flow [Member] | Discounted Cash Flow [Member] | Discounted Cash Flow [Member] | ||||||||||
Index | Index | |||||||||||||||||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Derivative Assets, Fair value | $390,000,000 | $596,000,000 | $596,000,000 | ' | ' | ' | $324,000,000 | ' | ' | $25,000,000 | ' | ' | $6,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Price of aluminum beyond forward curve | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,485 | 2,647 | ' | ' | ' | ' |
Derivative Liabilities, Fair value | 479,000,000 | 679,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 410,000,000 | ' | ' | 21,000,000 | ' | ' | ' |
Expected future aluminum prices | ' | ' | ' | ' | 1,774 | 2,221 | ' | 1,784 | 2,064 | ' | 1,839 | 2,239 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Maturity year of future aluminum price | ' | ' | ' | ' | '2014 | '2018 | ' | '2014 | '2016 | ' | '2014 | '2019 | ' | ' | ' | ' | '2023 | '2027 | ' | ' | ' | ' |
Expected future oil prices | ' | ' | ' | ' | 89 | 112 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percentage of credit spread | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0.98% | 1.66% | 1.32% |
Price of electricity beyond forward curve | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $82 | $154 | ' | ' | ' | ' | ' | ' | ' |
Maturity year of future oil price | ' | ' | ' | ' | '2018 | '2014 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Maturity date of electricity beyond forward curve | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '2014 | '2036 | ' | ' | ' | ' | ' | ' | ' |
Foreign currency exchange rate | ' | ' | ' | ' | ' | ' | ' | 1 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Foreign currency exchange rate | ' | ' | ' | ' | ' | ' | ' | 0.89 | 0.83 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Foreign currency exchange rate expected year | ' | ' | ' | ' | ' | ' | ' | '2014 | '2016 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Consumer price index base year | ' | ' | ' | ' | ' | ' | ' | ' | '1982 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Expected consumer price index | ' | ' | ' | ' | ' | ' | ' | 231 | 246 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Consumer price index base | ' | ' | ' | ' | ' | ' | ' | ' | 100 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Expected consumer price index, Year | ' | ' | ' | ' | ' | ' | ' | '2014 | '2016 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Recovered_Sheet10
Derivatives and Other Financial Instruments - Schedule of Gain or Loss on Hedged Items and Derivative Contracts (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' |
Amount of Gain or (Loss) Recognized in Earnings on Derivatives | ($132) | $1 | ($62) |
Amount of Gain or (Loss) Recognized in Earnings on Hedged Items | 133 | -19 | 102 |
Aluminum Contracts [Member] | Sales [Member] | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' |
Amount of Gain or (Loss) Recognized in Earnings on Derivatives | -142 | -9 | -126 |
Amount of Gain or (Loss) Recognized in Earnings on Hedged Items | 143 | -9 | 133 |
Interest Rate Contracts [Member] | Interest Expense [Member] | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' |
Amount of Gain or (Loss) Recognized in Earnings on Derivatives | 10 | 10 | 64 |
Amount of Gain or (Loss) Recognized in Earnings on Hedged Items | ($10) | ($10) | ($31) |
Recovered_Sheet11
Derivatives and Other Financial Instruments - Schedule of Gain or Loss on Hedged Items and Derivative Contracts (Parenthetical) (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' |
Amount of gain/loss recognized in earnings related to the ineffective portion of hedging relationships | ($1) | ($1) | $3 |
Sales [Member] | Aluminum Contracts [Member] | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' |
Amount of gain/loss recognized in earnings related to the ineffective portion of hedging relationships | $1 | ($18) | $7 |
Recovered_Sheet12
Derivatives and Other Financial Instruments - Schedule of Gains and Losses on Derivative Excluded from Assessment of Effectiveness Recognized in Current Earnings (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' |
Amount of Gain or (Loss) Recognized in OCI on Derivatives (Effective Portion) | $162 | ($12) | $63 |
Amount of Gain or (Loss) Reclassified from Accumulated OCI into Earnings (Effective Portion) | -19 | 34 | -121 |
Amount of Gain or (Loss) Recognized in Earnings on Derivatives (Ineffective Portion and Amount Excluded from Effectiveness Testing) | -1 | -1 | 2 |
Aluminum Contracts [Member] | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' |
Amount of Gain or (Loss) Recognized in OCI on Derivatives (Effective Portion) | 158 | -10 | 72 |
Aluminum Contracts [Member] | Sales [Member] | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' |
Amount of Gain or (Loss) Reclassified from Accumulated OCI into Earnings (Effective Portion) | -16 | 36 | -114 |
Aluminum Contracts [Member] | Other Income, Net [Member] | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' |
Amount of Gain or (Loss) Recognized in Earnings on Derivatives (Ineffective Portion and Amount Excluded from Effectiveness Testing) | -1 | -1 | 2 |
Energy Contracts [Member] | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' |
Amount of Gain or (Loss) Recognized in OCI on Derivatives (Effective Portion) | 1 | ' | -3 |
Energy Contracts [Member] | Cost of Goods Sold [Member] | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' |
Amount of Gain or (Loss) Reclassified from Accumulated OCI into Earnings (Effective Portion) | ' | ' | -8 |
Energy Contracts [Member] | Other Income, Net [Member] | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' |
Amount of Gain or (Loss) Recognized in Earnings on Derivatives (Ineffective Portion and Amount Excluded from Effectiveness Testing) | ' | ' | ' |
Foreign Exchange Contracts [Member] | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' |
Amount of Gain or (Loss) Recognized in OCI on Derivatives (Effective Portion) | ' | ' | 1 |
Foreign Exchange Contracts [Member] | Sales [Member] | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' |
Amount of Gain or (Loss) Reclassified from Accumulated OCI into Earnings (Effective Portion) | -2 | ' | 4 |
Foreign Exchange Contracts [Member] | Other Income, Net [Member] | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' |
Amount of Gain or (Loss) Recognized in Earnings on Derivatives (Ineffective Portion and Amount Excluded from Effectiveness Testing) | ' | ' | ' |
Interest Rate Contracts [Member] | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' |
Amount of Gain or (Loss) Recognized in OCI on Derivatives (Effective Portion) | ' | ' | -2 |
Interest Rate Contracts [Member] | Interest Expense [Member] | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' |
Amount of Gain or (Loss) Reclassified from Accumulated OCI into Earnings (Effective Portion) | -1 | -2 | ' |
Interest Rate Contracts [Member] | Other Income, Net [Member] | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' |
Amount of Gain or (Loss) Recognized in Earnings on Derivatives (Ineffective Portion and Amount Excluded from Effectiveness Testing) | ' | ' | ' |
Interest Rate Contract 2 [Member] | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' |
Amount of Gain or (Loss) Recognized in OCI on Derivatives (Effective Portion) | 3 | -2 | -5 |
Interest Rate Contract 2 [Member] | Other Income, Net [Member] | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' |
Amount of Gain or (Loss) Reclassified from Accumulated OCI into Earnings (Effective Portion) | ' | ' | -3 |
Amount of Gain or (Loss) Recognized in Earnings on Derivatives (Ineffective Portion and Amount Excluded from Effectiveness Testing) | ' | ' | ' |
Recovered_Sheet13
Derivatives and Other Financial Instruments - Schedule of Gains and Losses on Derivative Excluded from Assessment of Effectiveness Recognized in Current Earnings (Parenthetical) (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Offsetting [Abstract] | ' | ' | ' |
Amount of loss expected to be recognized into earnings over the next 12 months | $13 | ' | ' |
Earnings recognized in relation to ineffective portion of the hedging relationships | -1 | -1 | 3 |
Amount of gain or (loss) recognized in earnings related amount excluded from the assessment of hedge effectiveness | ' | ' | ($1) |
Recovered_Sheet14
Derivatives and Other Financial Instruments - Schedule of Outstanding Forward Contracts that were Entered into Hedge Forecasted Transactions (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | t | t |
Aluminum Contracts [Member] | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' |
Aluminum contracts (000 metric tons) | 841,000 | 1,120,000 |
Energy Contracts [Member] | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' |
Electricity (megawatt hours) | 59,409,328 | 100,578,295 |
Natural gas (million British thermal units) | 19,980,000 | 19,160,000 |
Foreign Exchange Contracts [Member] | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' |
Foreign exchange contracts | 335 | 71 |
Recovered_Sheet15
Derivatives and Other Financial Instruments - Schedule of Fair Value Gains and Losses on Derivatives Contracts Recorded in Earnings (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' |
Amount of Gain or (Loss) Recognized in Earnings on Derivatives | $20 | $13 | $39 |
Aluminum Contracts [Member] | Sales [Member] | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' |
Amount of Gain or (Loss) Recognized in Earnings on Derivatives | -9 | ' | -13 |
Aluminum Contracts [Member] | Other Income, Net [Member] | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' |
Amount of Gain or (Loss) Recognized in Earnings on Derivatives | 27 | 16 | 13 |
Embedded Credit Derivative [Member] | Other Income, Net [Member] | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' |
Amount of Gain or (Loss) Recognized in Earnings on Derivatives | 8 | -3 | -5 |
Energy Contracts [Member] | Other Income, Net [Member] | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' |
Amount of Gain or (Loss) Recognized in Earnings on Derivatives | ' | ' | 47 |
Foreign Exchange Contracts [Member] | Other Income, Net [Member] | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' |
Amount of Gain or (Loss) Recognized in Earnings on Derivatives | ($6) | ' | ($3) |
Recovered_Sheet16
Derivatives and Other Financial Instruments - Schedule of Carrying Values and Fair Values of Other Financial Instruments (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Cash and Cash Equivalents [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Carrying value | $1,437 | $1,861 |
Fair value | 1,437 | 1,861 |
Restricted Cash [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Carrying value | 18 | 189 |
Fair value | 18 | 189 |
Noncurrent Receivables [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Carrying value | 19 | 20 |
Fair value | 19 | 20 |
Available-for-Sale Securities [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Carrying value | 119 | 67 |
Fair value | 119 | 67 |
Short-Term Borrowings [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Carrying value | 57 | 53 |
Fair value | 57 | 53 |
Commercial Paper [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Carrying value | ' | ' |
Fair value | ' | ' |
Long-Term Debt Due within One Year [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Carrying value | 655 | 465 |
Fair value | 1,040 | 477 |
Long-Term Debt, Less Amount Due within One Year [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Carrying value | 7,607 | 8,311 |
Fair value | $7,863 | $9,028 |
Subsequent_Events_Additional_I
Subsequent Events - Additional Information (Detail) (USD $) | 12 Months Ended | 1 Months Ended | ||||
In Millions, except Per Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Jan. 31, 2014 | Jan. 31, 2014 | Jan. 31, 2014 |
Subsequent Event [Member] | Minimum [Member] | Maximum [Member] | ||||
Subsequent Event [Member] | Subsequent Event [Member] | |||||
Subsequent Event [Line Items] | ' | ' | ' | ' | ' | ' |
Restructuring-related charges | $782 | $172 | $281 | ' | $90 | $110 |
Restructuring-related charges after tax | ' | ' | ' | ' | $60 | $70 |
Restructuring-related charges, per diluted shares | ' | ' | ' | $0.06 | ' | ' |
Quarterly_Data_Schedule_of_Qua
Quarterly Data - Schedule of Quarterly Data (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Millions, except Per Share data, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Income Statement [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Sales | $5,585 | $5,765 | $5,849 | $5,833 | $5,898 | $5,833 | $5,963 | $6,006 | $23,032 | $23,700 | $24,951 |
Net income (loss) attributable to Alcoa common shareholders | ($2,339) | $24 | ($119) | $149 | $242 | ($143) | ($2) | $94 | ($2,285) | $191 | $611 |
Basic | ($2.19) | $0.02 | ($0.11) | $0.14 | $0.23 | ($0.13) | ' | $0.09 | ($2.14) | $0.18 | $0.57 |
Diluted | ($2.19) | $0.02 | ($0.11) | $0.13 | $0.21 | ($0.13) | ' | $0.09 | ($2.14) | $0.18 | $0.55 |
Quarterly_Data_Schedule_of_Qua1
Quarterly Data - Schedule of Quarterly Data (Parenthetical) (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |
Dec. 31, 2013 | Jun. 30, 2013 | Dec. 31, 2013 | |
Income Statement [Abstract] | ' | ' | ' |
Goodwill impairment | $1,731,000,000 | ' | $1,731,000,000 |
Goodwill impairment after noncontrolling interest | 1,719,000,000 | ' | ' |
Discrete income tax charge | 372,000,000 | ' | ' |
Charges recorded of settlement amount | 288,000,000 | 0 | ' |
After-tax and noncontrolling interest | $243 | ' | ' |