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Segment and Related Information (Tables)
 12 Months Ended
Dec. 31, 2022
Segment Reporting [Abstract]  
Schedule of Operating Results, Capital Expenditures and Assets of Alcoa's Reportable Segments

The operating results, capital expenditures, and assets of Alcoa Corporation’s reportable segments were as follows:

 

 

 

Bauxite

 

 

Alumina

 

 

Aluminum

 

 

Total

 

2022

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Sales:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Third-party sales

 

$

204

 

 

$

3,520

 

 

$

8,735

 

 

$

12,459

 

Intersegment sales

 

 

680

 

 

 

1,754

 

 

 

27

 

 

 

2,461

 

Total sales

 

$

884

 

 

$

5,274

 

 

$

8,762

 

 

$

14,920

 

Segment Adjusted EBITDA

 

$

82

 

 

$

701

 

 

$

1,492

 

 

$

2,275

 

Supplemental information:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Depreciation, depletion, and amortization

 

$

130

 

 

$

182

 

 

$

283

 

 

$

595

 

Equity (loss) income

 

 

—

 

 

 

(39

)

 

 

48

 

 

 

9

 

2021

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Sales:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Third-party sales

 

$

236

 

 

$

3,139

 

 

$

8,766

 

 

$

12,141

 

Intersegment sales

 

 

711

 

 

 

1,586

 

 

 

18

 

 

 

2,315

 

Total sales

 

$

947

 

 

$

4,725

 

 

$

8,784

 

 

$

14,456

 

Segment Adjusted EBITDA

 

$

172

 

 

$

1,002

 

 

$

1,879

 

 

$

3,053

 

Supplemental information:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Depreciation, depletion, and amortization

 

$

153

 

 

$

198

 

 

$

289

 

 

$

640

 

Equity loss

 

 

—

 

 

 

4

 

 

 

116

 

 

 

120

 

2020

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Sales:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Third-party sales

 

$

272

 

 

$

2,627

 

 

$

6,365

 

 

$

9,264

 

Intersegment sales

 

 

941

 

 

 

1,268

 

 

 

12

 

 

 

2,221

 

Total sales

 

$

1,213

 

 

$

3,895

 

 

$

6,377

 

 

$

11,485

 

Segment Adjusted EBITDA

 

$

495

 

 

$

497

 

 

$

325

 

 

$

1,317

 

Supplemental information:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Depreciation, depletion, and amortization

 

$

135

 

 

$

172

 

 

$

322

 

 

$

629

 

Equity loss

 

 

—

 

 

 

(23

)

 

 

(7

)

 

 

(30

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

2022

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Assets:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Capital expenditures

 

$

104

 

 

$

216

 

 

$

153

 

 

$

473

 

Equity investments

 

 

188

 

 

 

234

 

 

 

685

 

 

 

1,107

 

Total assets

 

 

1,474

 

 

 

4,447

 

 

 

6,358

 

 

 

12,279

 

2021

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Assets:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Capital expenditures

 

$

95

 

 

$

178

 

 

$

107

 

 

$

380

 

Equity investments

 

 

234

 

 

 

270

 

 

 

678

 

 

 

1,182

 

Total assets

 

 

1,430

 

 

 

4,385

 

 

 

6,251

 

 

 

12,066

 
Schedule of Reconciliation of Certain Segment Information to Consolidated Totals

The following tables reconcile certain segment information to consolidated totals:

 

 

 

2022

 

 

2021

 

 

2020

 

Sales:

 

 

 

 

 

 

 

 

 

 

 

 

Total segment sales

 

$

14,920

 

 

$

14,456

 

 

$

11,485

 

Elimination of intersegment sales

 

 

(2,461

)

 

 

(2,315

)

 

 

(2,221

)

Other

 

 

(8

)

 

 

11

 

 

 

22

 

Consolidated sales

 

$

12,451

 

 

$

12,152

 

 

$

9,286

 
Schedule of Segment Adjusted EBITDA to Consolidated Net (Loss) Income Attributable to Alcoa Corporation

 

 

 

 

 

2022

 

 

2021

 

 

2020

 

Net (loss) income attributable to Alcoa Corporation:

 

 

 

 

 

 

 

 

 

 

 

 

Total Segment Adjusted EBITDA

 

$

2,275

 

 

$

3,053

 

 

$

1,317

 

Unallocated amounts:

 

 

 

 

 

 

 

 

 

 

 

 

Transformation(1)

 

 

(66

)

 

 

(44

)

 

 

(45

)

Intersegment eliminations

 

 

143

 

 

 

(101

)

 

 

(8

)

Corporate expenses(2)

 

 

(128

)

 

 

(129

)

 

 

(102

)

Provision for depreciation, depletion, and amortization

 

 

(617

)

 

 

(664

)

 

 

(653

)

Restructuring and other charges, net (D)

 

 

(696

)

 

 

(1,128

)

 

 

(104

)

Interest expense (U)

 

 

(106

)

 

 

(195

)

 

 

(146

)

Other income (expenses), net (U)

 

 

118

 

 

 

445

 

 

 

(8

)

Other(3)

 

 

(221

)

 

 

(38

)

 

 

(78

)

Consolidated income before income taxes

 

 

702

 

 

 

1,199

 

 

 

173

 

Provision for income taxes (Q)

 

 

(664

)

 

 

(629

)

 

 

(187

)

Net income attributable to noncontrolling interest

 

 

(161

)

 

 

(141

)

 

 

(156

)

Consolidated net (loss) income attributable to

   Alcoa Corporation

 

$

(123

)

 

$

429

 

 

$

(170

)

 

(1)

Transformation includes, among other items, the Adjusted EBITDA of previously closed operations.

(2)

Corporate expenses are composed of general administrative and other expenses of operating the corporate headquarters and other global administrative facilities, as well as research and development expenses of the corporate technical center.

(3)

Other includes certain items that are not included in the Adjusted EBITDA of the reportable segments.
Schedule of Segment Reporting Information to Consolidated Assets

 

 

December 31,

 

2022

 

 

2021

 

Assets:

 

 

 

 

 

 

 

 

Total segment assets

 

$

12,279

 

 

$

12,066

 

Elimination of intersegment receivables

 

 

(197

)

 

 

(261

)

Unallocated amounts:

 

 

 

 

 

 

 

 

Cash and cash equivalents

 

 

1,363

 

 

 

1,814

 

Corporate fixed assets, net

 

 

364

 

 

 

374

 

Corporate goodwill

 

 

141

 

 

 

140

 

Deferred income taxes

 

 

296

 

 

 

506

 

Pension assets

 

 

146

 

 

 

164

 

Other

 

 

364

 

 

 

222

 

Consolidated assets

 

$

14,756

 

 

$

15,025

 

 
Schedule of Product Division Information

The following table represents the general commercial profile of the Company’s Bauxite, Alumina, and Primary aluminum product divisions (see text below table for Energy):

 

Product division

Pricing components

Shipping terms(3)

Payment terms(4)

Bauxite

Negotiated

FOB/CIF

LC Sight

Alumina:

 

 

 

Smelter-grade

API(1)/spot/fixed

FOB/CIF

LC Sight/CAD/Net 30 days

Non-metallurgical

Negotiated

FOB/CIF

Net 30 days

Primary aluminum:

 

 

 

Common alloy ingot

LME + Regional premium(2)

DAP/CIF

Net 30 to 45 days

Value-add ingot

LME + Regional premium + Product premium(2)

DAP/CIF

Net 30 to 45 days

 

(1)

API (Alumina Price Index) is a pricing mechanism that is calculated by the Company based on the weighted average of a prior month’s daily spot prices published by the following three indices: CRU Metallurgical Grade Alumina Price, Platts Metals Daily Alumina PAX Price, and FastMarkets Metal Bulletin Non-Ferrous Metals Alumina Index.

(2)

LME (London Metal Exchange) is a globally recognized exchange for commodity trading, including aluminum. The LME pricing component represents the underlying base metal component, based on quoted prices for aluminum on the exchange. The regional premium represents the incremental price over the base LME component that is associated with the physical delivery of metal to a particular region (e.g., the Midwest premium for metal sold in the United States). The product premium represents the incremental price for receiving physical metal in a particular shape or alloy.

(3)

CIF (cost, insurance, and freight) means that the Company pays for these items until the product reaches the buyer’s designated destination point related to transportation by vessel. DAP (delivered at place) means the same as CIF related to all methods of transportation. FOB (free on board) means that the Company pays for costs, insurance, and freight until the product reaches the seller’s designated shipping point.

(4)

The net number of days means that the customer is required to remit payment to the Company for the invoice amount within the designated number of days. LC Sight is a letter of credit that is payable immediately (usually within five to ten business days) after a seller meets the requirements of the letter of credit (i.e. shipping documents that evidence the seller performed its obligations as agreed to with a buyer). CAD (cash against documents) is a payment arrangement in which a seller instructs a bank to provide shipping and title documents to the buyer at the time the buyer pays in full the accompanying bill of exchange.
Schedule of Third-party Sales by Product Division

The following table details Alcoa Corporation’s Third-party sales by product division:

 

 

 

2022

 

 

2021

 

 

2020

 

Sales:

 

 

 

 

 

 

 

 

 

 

 

 

Primary aluminum

 

$

8,887

 

 

$

8,420

 

 

$

5,190

 

Alumina

 

 

3,478

 

 

 

3,125

 

 

 

2,624

 

Flat-rolled aluminum(1)

 

 

—

 

 

 

320

 

 

 

1,115

 

Energy

 

 

201

 

 

 

286

 

 

 

141

 

Bauxite

 

 

168

 

 

 

207

 

 

 

238

 

Other(2)

 

 

(283

)

 

 

(206

)

 

 

(22

)

 

 

$

12,451

 

 

$

12,152

 

 

$

9,286

 
Schedule of Geographic Information for Third-party Sales

Geographic information for Third-party sales was as follows (based upon the country where the point of sale originated):

 

 

 

2022

 

 

2021

 

 

2020

 

Sales:

 

 

 

 

 

 

 

 

 

 

 

 

United States(1)

 

$

5,462

 

 

$

5,290

 

 

$

4,246

 

Netherlands(2)

 

 

3,031

 

 

 

2,644

 

 

 

—

 

Australia

 

 

2,742

 

 

 

2,092

 

 

 

1,884

 

Spain(3)

 

 

618

 

 

 

1,465

 

 

 

2,766

 

Brazil

 

 

527

 

 

 

610

 

 

 

346

 

Canada

 

 

1

 

 

 

11

 

 

 

31

 

Other

 

 

70

 

 

 

40

 

 

 

13

 

 

 

$

12,451

 

 

$

12,152

 

 

$

9,286

 

 

(1)

Sales of a portion of the alumina from refineries in Australia and Brazil and most of the aluminum from smelters in Canada occurred in the United States. Additionally, sales of aluminum off-take related to an interest in the Saudi Arabia joint venture (see Note H) occurred in the United States beginning at the end of the third quarter of 2021.

(2)

Sales of the aluminum produced from smelters in Iceland and Norway occurred in the Netherlands beginning at the end of the first quarter of 2021.

(3)

Sales of the aluminum produced from smelters in Iceland and Norway occurred in Spain through most of the first quarter of 2021 and in the Netherlands thereafter. Sales of aluminum off-take related to an interest in the Saudi Arabia joint venture (see Note H), occurred in Spain through most of the third quarter of 2021 and in the United States thereafter.
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,

 

2022

 

 

2021

 

Long-lived assets:

 

 

 

 

 

 

 

 

Australia

 

$

1,944

 

 

$

2,091

 

Brazil

 

 

1,298

 

 

 

1,118

 

Iceland

 

 

1,002

 

 

 

1,048

 

Canada

 

 

919

 

 

 

958

 

United States

 

 

830

 

 

 

874

 

Norway

 

 

304

 

 

 

338

 

Spain

 

 

194

 

 

 

193

 

Other

 

 

2

 

 

 

3

 

 

 

$

6,493

 

 

$

6,623