Electrolux Downsizes Small Appliances Unit, Cuts Jobs
December 09 2015 - 3:00AM
Dow Jones News
STOCKHOLM—Swedish appliance maker Electrolux AB said Wednesday
it will downsize and cut jobs at its Small Appliances business as
lower volumes and unfavorable currency movements continue to weigh
on the unit.
The cuts will be focused mainly in the U.S., Sweden and China as
the company targets 120 million Swedish kronor ($14.2 million) of
annual savings by the end of next year, it said. The program is
expected to cost 190 million Swedish kronor.
"Once the program is completed, Small Appliances will have
financial flexibility to continue to invest in profitable product
categories," the company said in a statement.
Although no specific details on the number of job cuts were
given, the company said it has already started consultations with
Swedish unions.
The measures come after General Electric Co. earlier this week
pulled the plug on the $3.3 billion sale of its appliances business
to Electrolux. Terms of the proposed deal provided GE with a
breakup fee should the sale not be completed and Electrolux
confirmed that it will today pay the termination fee of $175
million to GE.
Write to Dominic Chopping at dominic.chopping@wsj.com
(END) Dow Jones Newswires
December 09, 2015 03:45 ET (08:45 GMT)
Copyright (c) 2015 Dow Jones & Company, Inc.
AB Electrolux (PK) (USOTC:ELUXY)
Historical Stock Chart
From Jun 2024 to Jul 2024
AB Electrolux (PK) (USOTC:ELUXY)
Historical Stock Chart
From Jul 2023 to Jul 2024
Real-Time news about AB Electrolux (PK) (OTCMarkets): 0 recent articles
More Ab Electrolux (PC) News Articles