Swedish appliances maker AB Electrolux to cut 400 jobs

Nordic Business Report, Feb 6, 2008

NORDIC BUSINESS REPORT-6 February 2008-Swedish appliances maker AB Electrolux to cut 400 jobs(C)1994-2008 M2 COMMUNICATIONS LTD http://www.m2.com

Swedish home and professional appliances maker AB Electrolux said on Wednesday (6 February) that it plans to cut some 400 jobs as part of a programme to reduce complexity in the European appliances operation.

The programme also calls for a review of Electrolux' refrigerator production in Italy.

Electrolux hopes to reduce annual costs by SEK350-400m, but expects the cost reduction programme to incur a one-off cost of approximately SEK400m.

Electrolux published its full-year results on Wednesday, posting net sales of SEK104,732m in 2007, as compared to SEK103,848m in 2006. The operating result improved by 5.7%, amounting to SEK2,925m.

Although Electrolux's appliances business continued solidly in most markets, the European result for the business was affected by extra costs for new product launches.

Electrolux, headquartered in Stockholm, Sweden, is a global provider of home appliances and appliances for professional use, with sales in 150 countries. The company has some 56,000 employees. Electrolux is listed on the OMX Nordic Exchange in Stockholm.

One British pound (GBP) is worth approximately 12.66 Swedish kronor (SEK).

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