Vanalco, Inc., a Delaware S Corporation, Richard L. Smith, Tax Matters Person - Page 9




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          section on the other side called the "duct end".  The tap end of            
          the cell room is an area where molten metal is tapped, excess               
          bath and wasted anodes are placed after removal from the cells,             
          and front-end loading machines operate.  The tap ends vary in               
          size from 7,000 to 8,500 square feet.                                       
               Originally, each cell room had a concrete subfloor                     
          strengthened with iron rebar overlaid with bricks.  The brick               
          layer acted as insulation to prevent electrocution by contact               
          with the rebar in the subfloor.  ALCOA used this type of floor              
          for over 40 years and employed a full-time brick replacement crew           
          to maintain the integrity of the brick insulation.                          
               However, in part because of the introduction of mechanical             
          equipment and in part because of direct contact with wasted                 
          anodes and with molten aluminum and bath, the brick layer became            
          so worn that it was hazardous.  In some places the brick layer              
          was worn down to expose the concrete and rebar subfloor, which              
          created a risk of electrocution.  Furthermore, the surface of the           
          floor was very irregular because of the replacement of many                 
          bricks over many years.  As a result of the uneven surface,                 
          Vanalco reported 21 accidents due to falls in the first half of             
          1992.                                                                       
               Vanalco repaired the floor by replacing bricks and also                
          tried patching areas with Portland cement.  Portland cement did             







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