Mon, Nov. 23, 8:42 AM
- Electrolux (OTC:ELUXF, OTCPK:ELUXY) denies reports that it is in settlement discussions with the U.S. Justice Department over its deal to buy GE's appliance business of GE.
- While Electrolux says it may be willing to consider a reasonable settlement with the DoJ, it is not in settlement discussions; the Swedish appliance maker says it remains confident of the competitive merits of the deal and its favorable impact on consumers.
- Electrolux is in the midst of an antitrust trial aimed at letting it proceed with its proposed $3.3B deal.
Thu, Nov. 19, 6:19 PM
- In the trial adjudicating an antitrust fight between the Dept. of Justice and Electrolux (OTCPK:ELUXY +2.5%) and General Electric (GE -0.8%), Electrolux's chief argued again his company should be able to pursue a $3.3B deal for GE's appliance business.
- The government has alleged that in a relatively consolidate market, U.S. consumers would pay 5% more for kitchen appliances if Electrolux got to stop competing with GE appliances. It's pursuing an injunction to stop the deal, but judge Emmet Sullivan is again pressing the two sides to settle.
- Electrolux -- which makes Frigidaire, Kenmore and Tappan brands -- has said the DOJ isn't taking into account foreign competition, but today CEO Keith McLoughlin acknowledged the company's internal documents describe the U.S. appliance market as relatively consolidated compared to Europe. He's suggesting price increases in the U.S. have been prompted by hikes in input materials, including steel, nickel and petrochemicals.
- The Justice Dept. is focusing on the lower-end kitchen appliances often put by homebuilders into new houses and apartments or sold at big box stores; 90% of the stoves and ovens sold to big builders and property managers are made by Electrolux, GE and Whirlpool, it says.
- Previously: Trial begins as U.S. opposes $3.3B Electrolux-GE appliance deal (Nov. 09 2015)
Mon, Nov. 9, 7:01 PM
- An antitrust tussle warmed up today with the beginning of a trial where the U.S. DOJ is pressing to stop Sweden's Electrolux (OTCPK:ELUXY +0.6%) from buying General Electric's (NYSE:GE) appliance business for $3.3B.
- The DOJ began arguing today that U.S. consumers would pay 5% more for kitchen appliances if Electrolux -- makers of Frigidaire, Kenmore and Tappan brands -- doesn't have to compete with GE appliances any more, while Electrolux argues that view ignores growing overseas competition.
- "If this merger isn't stopped, two-thirds of the ranges sold in the United States will be made by Electrolux," said the government's Ethan Glass.
- In one main sales channel, Glass said, GE had 28% of range sales, Whirlpool 26%, Electrolux 23%, Electrolux's Kenmore 11%, Samsung 6% and LG 3%.
- Samsung and LG are coming on strong, Electrolux says, and GE says that government approved the Whirlpool-Maytag deal in 2006 without triggering higher prices, despite higher concentration in washers and dryers.
- Electrolux ADRs are up 0.5% after hours.
Mon, Nov. 9, 10:45 AM
- As Electrolux (OTCPK:ELUXY) prepares to fight in court to buy GE's appliance business, the Swedish company may prefer to divest brands than factories if it aims to reach a settlement to salvage the $3.3B deal.
- A sale of manufacturing sites "would be a commercial nightmare," reports Bloomberg quoting Handelsbanken analyst Karri Rinta. Selling GE oven brands makes more sense although it might be "insufficient."
- The DOJ has argued that Electrolux's planned takeover of GE's appliance business would leave some buyers only two options for their household cooking goods purchases: Electrolux and Whirlpool.
- Previously: DOJ battle with Electrolux reverberates (Nov. 05 2015)
- Previously: U.S. rejects GE-Electrolux settlement offer (Nov. 02 2015)
Thu, Nov. 5, 11:09 AM
- The Department of Justice is pressuring Electrolux (OTCPK:ELUXY) to divest its entire U.S. business, according to Bloomberg.
- The Swedish company plans to go to court in defense of the effort to buy GE's (GE -0.6%) appliances business. A lawyer for Electrolux says settlement talks with the DOJ have ended.
- Electrolux ADRs are down 2.5%, while home appliance giant Whirlpool (NYSE:WHR) is down 2.2%.
Mon, Nov. 2, 6:14 AM
- Electrolux (OTCPK:ELUXY) shares are deep in the red after the DOJ rejected a proposal to resolve a government lawsuit seeking to block the $3.3B takeover of General Electric's (NYSE:GE) household-appliance business.
- The U.S. claims the tie-up threatens to raise prices for consumers, and the company's offer to sell assets falls "well short" of replacing the competition that would be lost as a result of the deal.
- Electrolux shares -6.2% in Sweden.
- Previously: DoJ said to be skeptical of latest GE-Electrolux antitrust settlement offer (Oct. 21 2015)
- Previously: No settlement offer from Electrolux in proposed GE appliance deal, DoJ says (Sep. 29 2015)
Wed, Oct. 21, 4:59 PM
- General Electric (NYSE:GE) and Electrolux (OTC:ELUXF, OTCPK:ELUXY) has made another proposal to settle a U.S. antitrust lawsuit aiming to block the $3.3B purchase of GE’s appliance business, but the Justice Department says it looks much like an earlier offer it rejected.
- The two sides are set to meet tomorrow, but a government attorney told a federal judge today that wide disagreement remains.
- Electrolux has said it would sell “certain assets” as part of a settlement of the case but has not revealed any details about what kind of asset divestitures may be included.
Tue, Sep. 29, 6:15 PM
- The U.S. Department of Justice, which is suing to stop Electrolux (OTC:ELUXF, OTCPK:ELUXY) from buying GE's appliance business, says it has not received any settlement offer from the companies that might allow the deal to proceed.
- When the judge hearing the DoJ's challenge to Electrolux's proposed acquisition - on the grounds that it would concentrate market share among too few rivals - asked at a pre-trial hearing today whether there was a chance the dispute would settle out of court, a DoJ lawyer did not rule out an eventual settlement but said no proposals had been received so far.
- The U.S. asked a federal court in July to stop Electrolux, which makes Frigidaire, Kenmore and Tappan appliances, from buying GE's appliance business.
Thu, Jul. 2, 9:06 AM
- "I’m committed to the company and will remain that way," Electrolux (OTCPK:ELUXY) CEO Keith McLoughlin told reporters in a conference call, a week after a report suggested he would leave the company.
- McLoughlin said confusion may have arisen because Electrolux is looking for an executive to run its North American operations, not the group.
- Previously: Electrolux CEO to resign (Jun. 25 2015)
Thu, Jul. 2, 3:52 AM
- Electrolux (OTCPK:ELUXY) shares are down 10% in Sweden after the DOJ filed lawsuit aimed at stopping the company's $3.3B deal to acquire GE's (NYSE:GE) appliance business.
- In a conference call today, Electrolux CEO Keith McLoughlin said buying parts of unit would not make sense for either party, but a settlement still remained in the cards.
- "Everybody we talk to says the process could last between 2 and 6 months, and shouldn't drag on for years," he added.
- Previously: Justice Department sues to block Electrolux’s $3.3B deal with GE (Jul. 01 2015)
Wed, Jul. 1, 3:14 PM
- The U.S. Justice Department says it has filed a lawsuit aimed at stopping Electrolux (OTC:ELUXF, OTCPK:ELUXY) from buying GE's appliance business, saying the deal would hurt competition and consumers by combining two of the top makers of major cooking appliances.
- GE says it will vigorously defend the proposed acquisition as pro-competitive and pro-consumer, and that its goal remains to close the deal this year.
- It is not good news for GE, which wants to be an industrial conglomerate, is seeking to rid itself of most of its financial exposure business, and has wanted to get out of appliances unit for years now.
- Earlier: Bloomberg: GE unit sale to Electrolux opposed by antitrust staff
Wed, Jul. 1, 12:28 PM
- Antitrust lawyers at the U.S. Justice Department oppose Electrolux’s (OTC:ELUXF, OTCPK:ELUXY) plan to buy General Electric’s (GE +0.1%) appliance business, Bloomberg reports.
- Staff attorneys at the DoJ’s antitrust division are said to have recommended against the $3.3B deal as currently proposed; a final decision about whether to file a lawsuit to block the deal rests with senior officials at the division.
- If the deal goes through, the Electrolux-GE operations would control ~40% of the North American appliance market.
Thu, Jun. 25, 6:58 AM
- Electrolux (OTC:ELUXF, OTCPK:ELUXY) is looking for a replacement for its Chief Executive Keith McLoughlin, who is going to step down on his own initiative, business daily Dagens Industri reports.
- McLoughlin's exit has been widely expected since his family moved back to the U.S. from Sweden a couple of years ago.
Wed, Apr. 8, 11:00 AM
- Shares of Whirlpool (NYSE:WHR) are down 1.8% after rival Electrolux (OTC:ELUXF, OTCPK:ELUXY) warns on results in North America.
- The Swedish appliance seller expects to post a loss in Q1 due in part to costs tied to energy regulations.
- "Electrolux operations continue to be negatively impacted by the transition of the product ranges within refrigeration and freezers," reads the company's statement.
- Electrolux will release full Q1 results on April 24.
- Shares of Electrolux ADRs have fallen 7.7%.
- Electrolux update on North American operations
Thu, Feb. 26, 9:30 AM
Sep. 8, 2014, 2:21 AM
- General Electric (NYSE:GE) has signed a definitive agreement to sell its appliance business to Electrox (OTC:ELUXF, OTCPK:ELUXY) for $3.3B.
- "GE's premium, high-quality appliances complement our own iconic brands and will enhance our presence in North America" says Electrolux CEO Keith McLoughlin.
- Electrolux will continue use of the GE Appliances brand following the close of the transaction (targeted for 2015).
Electrolux is a global leader in household appliances and appliances for professional use, selling more than 40 million products to customers in more than 150 markets every year.<br /><br />The company focuses on innovations that are thoughtfully designed, based on extensive consumer insight, to... More
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