Whirlpool to Cut 4,500 Jobs, Close Plants in Maytag Merger A WALL STREET JOURNAL ONLINE NEWS ROUNDUP May 10, 2006 10:25 a.m.
Whirlpool Corp. said it would slash 4,500 jobs and close several plants as it consolidates operations as part of its acquisition of rival appliance maker Maytag Corp. Whirlpool plans to move production to its Ohio factories, creating about 1,500 positions. The company said the restructuring is expected to cost $135 million to $145 million. "We are taking these actions to rapidly restore the competitiveness of the Maytag brands," Whirlpool Chief Executive Jeff Fettig said in a statement. "This is an important step in our integration process that will allow us to drive continuing performance improvements and will better align our brands, products and operations with the markets we serve domestically and globally." Whirlpool, which has more than 80,000 workers, is the world's largest maker of major home appliances by sales. Maytag, Newton, Iowa, was No. 3 behind General Electric Co. Whirlpool beat at least two rivals with its $22-a-share offer for Maytag, with about a $1.7 billion market value. Whirlpool completed its acquisition of Maytag in April. Last month, Maytag chief Ralph F. Hake, who presided over the sale, announced his resignation. Maytag administrative offices will be consolidated in the U.S. from Newton, Iowa, to Benton Harbor, Mich., and other Whirlpool locations. Whirlpool plans to consolidate laundry washer and dryer production from Maytag manufacturing sites in Newton, Herrin, Ill., and Searcy, Ark., with Whirlpool laundry factories in Clyde and Marion, Ohio. Offices will also be consolidated in Canada, from Burlington to Mississauga, and in Monterrey, Mexico where both companies have offices. The Newton-based research and development center, and the administrative office of Maytag International, based in Schaumburg, Ill., also will be closed. ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~| Message: http://www.houseoffusion.com/lists.cfm/link=i:5:206440 Archives: http://www.houseoffusion.com/cf_lists/threads.cfm/5 Subscription: http://www.houseoffusion.com/lists.cfm/link=s:5 Unsubscribe: http://www.houseoffusion.com/cf_lists/unsubscribe.cfm?user=89.70.5 Donations & Support: http://www.houseoffusion.com/tiny.cfm/54
