Alcoa’s Stuarts Draft plant goes on the block

Virginia Business
June 2006

Pittsburgh-based Alcoa, the world’s top aluminum producer, wants to get out of the vinyl siding business. That means the company’s home exteriors plant in Stuarts Draft is for sale.

Augusta County business leaders at first were worried about the sale of the plant, which employs more than 450 workers. However, “everyone now realizes that this may be the best thing that could have happened,” says Benjamin Carter, president and CEO of the Greater Augusta Regional Chamber of Commerce.

Alcoa’s Home Exteriors business makes vinyl siding, composite decking and railing, and designer accents and shutters. The division had sales of $600 million last year. Alain Belda, chairman and CEO of Alcoa, told Reuters that while the business “is a solid performer with good returns, it no longer fits with our core global building and construction business portfolio.”

At this point, Alcoa plans to sell the business as a package deal, including its five plants in Atlanta; Denison, Texas; Gaffney, S.C.; Sidney, Ohio; and Stuarts Draft.

Carter says that Alcoa has not paid much attention to the Stuarts Draft plant for some time. He believes that a new owner likely will invest in plant improvements. “Whoever buys this business is going to do so because they are truly interested and enthusiastic about home exterior products,” Carter says. “So we view this as a real positive.”