Segment Information

3 Months Ended

Mar. 31, 2016

Segment Reporting [Abstract]

Segment Information

I. Segment Information — The operating results of Alcoa’s reportable segments were as follows (differences between segment totals and consolidated totals are in Corporate):

	Alumina			Primary Metals			Global Rolled Products			Engineered Products and Solutions		Transportation and Construction Solutions		Total
First quarter ended March 31, 2016
Sales:
Third-party sales	$	545		$	1,123		$	1,397		$	1,449	$	429	$	4,943
Intersegment sales		292			475			29			—		—		796
Total sales	$	837		$	1,598		$	1,426		$	1,449	$	429	$	5,739
Profit and loss:
Equity (loss) income	$	(14	)	$	4		$	(11	)	$	—	$	—	$	(21	)
Depreciation, depletion, and amortization		63			102			56			65		11		297
Income taxes		5			(16	)		34			78		14		115
After-tax operating income (ATOI)		8			14			68			162		39		291
First quarter ended March 31, 2015
Sales:
Third-party sales	$	887		$	1,572		$	1,621		$	1,257	$	471	$	5,808
Intersegment sales		501			692			36			—		—		1,229
Total sales	$	1,388		$	2,264		$	1,657		$	1,257	$	471	$	7,037
Profit and loss:
Equity loss	$	(7	)	$	(3	)	$	(9	)	$	—	$	—	$	(19	)
Depreciation, depletion, and amortization		80			109			56			51		10		306
Income taxes		92			57			36			76		14		275
ATOI		221			187			54			156		38		656

The following table reconciles total segment ATOI to consolidated net income attributable to Alcoa:

	First quarter ended March 31,
	2016			2015
Total segment ATOI	$	291		$	656
Unallocated amounts (net of tax):
Impact of LIFO		4			7
Metal price lag		1			(23	)
Interest expense		(83	)		(80	)
Noncontrolling interests		5			(60	)

	First quarter ended March 31,
	2016			2015
Corporate expense		(55	)		(62	)
Restructuring and other charges		(61	)		(161	)
Other		(86	)		(82	)
Consolidated net income attributable to Alcoa	$	16		$	195

Items required to reconcile total segment ATOI to consolidated net income attributable to Alcoa include: the impact of LIFO inventory accounting and metal price lag; 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; and other items, including intersegment profit eliminations, differences between tax rates applicable to the segments and the consolidated effective tax rate, and other nonoperating items such as foreign currency transaction gains/losses and interest income.