WHIRLPOOL CORPORATION (NYSE:WHR) Files An 8-K Costs Associated with Exit or Disposal ActivitiesITEM 2.05. Costs Associated with Exit or Disposal Activities.
WHIRLPOOL CORPORATION (NYSE:WHR) Files An 8-K Costs Associated with Exit or Disposal Activities
On January 24, 2017 Whirlpool Corporation and certain subsidiary companies (the “Company”) began consultations with certain works councils and other regulatory agencies in connection with the Company’s proposal to restructure its EMEA dryer manufacturing operations. Company management authorized the initiation of such consultations on December 30, 2016. These actions are expected to result in changing the operations at the Yate, U.K. facility to focus on manufacturing for U.K. consumer needs only; ending production in 2018 in Amiens, France; and concentrating the production of dryers for non-UK consumer needs in Lodz, Poland. The Company currently anticipates that approximately 500 positions would be impacted by these actions. The Company would expect these actions to be substantially complete in 2018.
The Company estimates that it will incur up to approximately $65 million in employee-related costs, approximately $12 million in asset impairment costs, and approximately $11 million in other associated costs in connection with these actions. The Company estimates that approximately $76 million of the estimated $88 million total cost will result in future cash expenditures. The Company has previously reported anticipated restructuring charges of up to $200 million for fiscal year 2016. The actions outlined above resulted in a 2016 charge of $20 million which falls within the previously reported anticipated charges for 2016.
ADDITIONAL INFORMATION
All currency translations are based on the closing rate as of December 30, 2016.
CAUTIONARY STATEMENTS REGARDING FORWARD-LOOKING STATEMENTS
Certain statements in this current report relating to the Company’s proposal to restructure its EMEA dryer manufacturing operations and the anticipated actions and charges to such proposal constitute “forward-looking statements” within the meaning of the federal securities laws. These statements reflect management’s current expectations regarding future events and speak only as of the date of this current report. Forward-looking statements involve significant risks and uncertainties, should not be read as guarantees of future performance and will not necessarily be accurate indications of whether or not, or the times at or by which, events will occur. Actual performance may differ materially from that expressed or implied in such statements. Important factors that could cause actual results to differ materially from these expectations include, among other things, the risk that the Company will not be able to implement the proposal in whole or in part, that the timing of such implementation will be delayed, and that expected synergies will not be realized. In addition to these risks, reference should also be made to the factors discussed under “Risk Factors” in Whirlpool Corporation’s periodic filings with the Securities and Exchange Commission. Although the forward-looking statements contained in this current report are based upon what are believed to be reasonable assumptions, investors cannot be assured that actual results will be consistent with these forward-looking statements, and the differences may be material. These forward-looking statements are made as of the date of this current report and, except as expressly required by applicable law, Whirlpool Corporation assumes no obligation to update or revise them to reflect new events or circumstances.
About WHIRLPOOL CORPORATION (NYSE:WHR)
Whirlpool Corporation is a manufacturer and marketer of home appliances. The Company manufactures products in approximately 15 countries and markets products around the world under brand names, such as Whirlpool, KitchenAid, Maytag, Consul, Brastemp, Amana, Bauknecht, Jenn-Air and Indesit. The Company’s segments include North America, Latin America, EMEA (Europe, Middle East and Africa) and Asia. The Company manufactures and markets a line of home appliances and related products. Its principal products are laundry appliances, refrigerators and freezers, cooking appliances, dishwashers, mixers and other portable household appliances. It also produces hermetic compressors for refrigeration systems. In the United States, it market and distribute products primarily under the Whirlpool, Maytag, KitchenAid, Jenn-Air, Amana, Roper, Admiral, Affresh and Gladiator brand names primarily to retailers, distributors and builders. WHIRLPOOL CORPORATION (NYSE:WHR) Recent Trading Information
WHIRLPOOL CORPORATION (NYSE:WHR) closed its last trading session up +1.33 at 190.25 with 1,128,873 shares trading hands.
Whirlpool Corporation is a manufacturer and marketer of home appliances. The Company manufactures products in approximately 15 countries and markets products around the world under brand names, such as Whirlpool, KitchenAid, Maytag, Consul, Brastemp, Amana, Bauknecht, Jenn-Air and Indesit. The Company’s segments include North America, Latin America, EMEA (Europe, Middle East and Africa) and Asia. The Company manufactures and markets a line of home appliances and related products. Its principal products are laundry appliances, refrigerators and freezers, cooking appliances, dishwashers, mixers and other portable household appliances. It also produces hermetic compressors for refrigeration systems. In the United States, it market and distribute products primarily under the Whirlpool, Maytag, KitchenAid, Jenn-Air, Amana, Roper, Admiral, Affresh and Gladiator brand names primarily to retailers, distributors and builders. WHIRLPOOL CORPORATION (NYSE:WHR) Recent Trading Information
WHIRLPOOL CORPORATION (NYSE:WHR) closed its last trading session up +1.33 at 190.25 with 1,128,873 shares trading hands.