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Whirlpool Dusts Hoover

May 24, 2006

Whirlpool • Dishwashers • Microwave • Ranges & Ovens • Refrigerators • Washers/dryers • Water heaters --- • Calypso • KitchenAid --- News • California Class Action Throws Cold Water on Whirlpool • Consumers Steamed about Whirlpool Water Heaters • Whirlpool Dusts Hoover • Whirlpool-Maytag Merger Gets Final OK • Whirlpool Wins Maytag Bidding • Class Action Suit Charges Defects in Calypso Units

Whirlpool Corp., newly merged with Maytag, says it will spin off the lagging Hoover vacuum cleaner brand, among other under-performing Maytag divisions.

"The decision to divest the floor-care and commercial businesses will allow us to focus on our core appliance business," said Whirlpool Chief Executive Jeff Fettig.

Besides Hoover, Whirlpool said it would dump Dixie-Narco vending systems, Amana commercial microwave and Jade commercial products appliance businesses.

The company said earlier this month it was cutting 4,500 jobs as it integrates former rival Maytag's higher cost appliance-making plants with its own, though an additional 1,500 positions are also expected to be created at other locations.

Whirlpool closed its takeover of Maytag in March, after passing extended Justice Department antitrust review. The combined company makes three out of every four top-loading washers in North America, or 80% of the washers sold, analysts estimate.

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