Alcoa’s NY smelter to stay open after NY offers incentives

Alcoa
FILE - This April 7, 2014, file photo, shows the Alcoa logo in the lobby of Alcoa's headquarters in Pittsburgh. Alcoa announced, Monday, Sept. 28, 2015, it will split into two independent companies by separating its aluminum and automotive metals businesses. (AP Photo/Gene J. Puskar, File)

MASSENA, N.Y. (AP) – Alcoa has backed off a plan to close its smelting operations in northern New York after the state agreed to a series of incentives.

Gov. Andrew Cuomo announced the deal to workers at the plant Tuesday.

Under the terms of the agreement, the plant will remain open for at least three-and-a-half years. The state will offer up to $30 million in electricity and $38 million for upgrades and improvements at the plant.

Cuomo and Sen. Charles Schumer negotiated the deal after Pittsburgh-based Alcoa announced the plant’s closure earlier this month. The move would have put nearly 500 people out of work.

Cuomo, a Democrat, received cheers when he told workers their jobs would be saved. He says the shutdown would have been devastating to the local economy.

(Copyright 2015 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.)

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