This post is part of a series of posts called “Company Notes.” These posts contain quotes and exhibits from earnings calls, conference presentations, analyst days and SEC filings. The quotes are generally pieces of information that I find interesting or helpful to understanding the company, industry or economy and are not meant to provide summaries of the full content of the call. Other posts in this series can be found by clicking here. Full transcripts can be found at Seeking Alpha.
$AA Earning Call Notes
“As many of you are aware, money has been flowing into equities and out of commodities, driving commodity prices lower overall, and aluminum has been no exception. However, while I can’t speak for the other metals, the decline in aluminum prices is not reflective of the overall current market fundamentals. We continue to project 7% annual consumption growth, and coupled with recent curtailments in China, we’ve actually tightened our supply demand projection.”
“global inventories are rather stable, and have decreased 28 days from the 2009 peak. We acknowledge that there’s been a sequential increase in Chinese inventories. This is the result of the typical slowdown driven by the Chinese New Year. Regional premiums, as shown in the bottom right hand corner, have remained at high levels, reflecting the strength of the physical demand for metal.”
“On the end market side, all in all the end markets show a solid growth environment.”