Foothill Ranch-based Kaiser Aluminum Corp. is closing an Oklahoma plant and scaling back another in Virginia.
The moves “are a result of deteriorating economic and market conditions,” Kaiser said.
The company expects to take a resulting fourth-quarter charge of $6 million to $10 million.
It has yearly sales of $1.5 billion.
Kaiser, which shapes aluminum into custom pieces for the defense and auto industries, has seen a drop in demand along with a steep fall in the price of aluminum this year.
While the price drop reduces a key cost for Kaiser, other costs haven’t come down as fast, with lower product selling prices cutting into profits.
The plant closure and layoffs impact about 170 workers.
About 45 employees in Tulsa, Okla., and 125 workers in Bellwood, Va., are being laid off.
The plants produce tube and rod as well as bar products for general engineering uses.
In October, Kaiser laid off about 35 workers from plants in Washington.
Kaiser’s shares are off about 75% for the year with a recent market value of $430 million.
