Alcoa Third-Quarter Earnings Fall

Alcoa(AA Quote) reported a drop in third-quarter net income because of rising costs and weaker demand and said it plans to suspend its stock buyback program.

The aluminum producer reported third-quarter net income of $268 million, or 33 cents a share, compared with year-earlier profit of $555 million, or 63 cents a share. Earnings in the latest quarter included a charge of $31 million, or 4 cents, for the temporary curtailment of an aluminum smelter, and 6 cents a share on the negative impact of currency translation. The third quarter of 2007 included a gain of $218 million, or 25 cents a share, on the sale of the company's stake in Chalco.

Analysts polled by Thomson Reuters estimated third-quarter profit of 50 cents a share. ...