Home
Global Supplier Directory
APPLIANCE Engineer
Supplier Solutions
APPLIANCE Line
Whitepaper Library
Calendar of Events
Association Locator
Contents Pages
Market Research
Subscription Center


 
Daily News

Briggs & Stratton Reports Sale of Investment and Anticipated Cost Engine Recall
Dec 7, 2007
 Printable format
 Email this Article
 Search

Briggs & Stratton Corp. and Metal Technologies Holding Company, Inc. (MTHC) entered into a Class B Preferred Share Redemption Agreement that provides for MTHC to pay all dividends on 45,000 MTHC Class B preferred shares held by Briggs and redeem the shares in exchange for a payment to Briggs no later than Jan. 31, 2008. The shares were received as part of the payment from MTHC when they acquired certain foundry operations of Briggs in 1999.

Briggs estimates it will receive US$66.5 million from MTHC with respect to the Class B preferred shares on the projected redemption date, resulting in income of $37.4 million. Only $10 million of related dividend income was projected in Briggs' 2008 earnings forecast. Briggs expects that it will use the proceeds from the share redemption for general corporate purposes.

In another matter, Briggs said that a recall in June of this year will cost more than anticipated. Briggs recalled 480,000 snow thrower engines due to a potential fire hazard and estimated the total cost of the recall to be $5 million. However, Briggs now believes that the total cost of the recall could be approximately $20 to $25 million, which will negatively impact overall expenses in second quarter of fiscal year 2008

  

 

Back to Daily News

 

Daily News

...........................................................

Sep 19, 2014: Builder confidence at highest level since Nov. 2005

Sep 19, 2014: Builders Show, Kitchen/Bath Show, and 3 other events converge for 2015 Design & Construction Week

Sep 19, 2014: GE Appliances supporting Susan G. Komen

Sep 18, 2014: AHRI at White House unveils $5 billion refrigerant R&D plan

Sep 18, 2014: Solar microinverter market could break $1 billion by 2018

More Daily News>>

RSS Feeds
.........................................................
Appliance Industry
Market Research

...........................................................

March 2014: Market Research - 62nd Annual U.S. Appliance Industry Forecast
February 2014: Appliance Magazine Market Insight: December 2013
January 2014: Market Research - Appliance Historical Statistical Review: 1954-2012
January 2014: Appliance Magazine Market Insight: November 2013




 
Contact Us | About Us | Subscriptions | Advertising | Home
UBM Canon © 2014  

Please visit these other UBM Canon sites

UBM Canon Corporate | Design News | Test & Measurement World | Packaging Digest | EDN | Qmed | Plastics Today | Powder Bulk Solids | Canon Trade Shows