Alcoa 2015 Annual Report Download - page 71

Alumínio filed a special appeal to the Superior Tribunal of Justice (STJ) in Brasilia (the federal capital of Brazil) later
in 2006. In 2011, the STJ (through one of its judges) reversed the judgment of the lower courts, finding that Alumínio
should neither be solely nor jointly and severally liable with Alfio for the VAT, which ruling was then appealed by the
State. In August 2012, the STJ agreed to have the case reheard before a five-judge panel. A decision from this panel is
pending, but additional appeals are likely. At December 31, 2015, the assessment totaled $35 million (R$135 million),
including penalties and interest. While the Company believes it has meritorious defenses, the Company is unable to
reasonably predict an outcome.
Other Contingencies
In addition to the matters discussed above, various other lawsuits, claims, and proceedings have been or may be
instituted or asserted against Alcoa, including those pertaining to environmental, product liability, safety and health,
and tax matters. While the amounts claimed in these other matters may be substantial, the ultimate liability cannot now
be determined because of the considerable uncertainties that exist. Therefore, it is possible that the Company’s liquidity
or results of operations in a particular period could be materially affected by one or more of these other matters.
However, based on facts currently available, management believes that the disposition of these other matters that are
pending or asserted will not have a material adverse effect, individually or in the aggregate, on the financial position of
the Company.
Item 4. Mine Safety Disclosures.
The information concerning mine safety violations or other regulatory matters required by Section 1503(a) of the
Dodd-Frank Wall Street Reform and Consumer Protection Act and Item 104 of Regulation S-K (17 CFR 229.104) is
included in Exhibit 95 of this report, which is incorporated herein by reference.
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