Hindalco Industries estimated a negative free cash flow impact of $550-650 million due to the fire at the Novelis plant in the United States on September 16. The company stated that the losses include an adjusted EBITDA impact of approximately $100-150 million.

Furthermore, the Aditya Birla Group company said that Novelis may also incur an additional cost of $21 million in the related charges in restoring the operations at the plant. This is in addition to a significant impact on the revenue.

Hindalco stated that the insurance companies would cover 70 -80 per cent of the losses or damage caused by the fire at the Oswego, New York, facility.

When will operations resume at New York facility

Earlier last quarter, a fire broke out at Novelis’ plant in Oswego, New York. Although there we

See Full Page