Electrolux to Close l'Assomption Plant, Cut Staff in Europe Dec 15, 2010

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Electrolux will close its cooking appliances plant in l'Assomption, Quebec, Canada, in 2013, and will cut about 800 employees in Europe in 2011 and 2012.

There are about 1300 employees in l'Assomption. Electrolux said l'Assomption's production will be will be transferred elsewhere, beginning in mid-2012 and will close in the fourth quarter of 2013. But the appliance company did not say where the production will move to. That will be announced shortly, Electrolux said.

In Europe, no factory closings are planned as part of the workforce reduction. Electrolux said the changes will be implemented gradually and finalized in the fourth quarter of 2012.

Electrolux said its restructuring program, initiated in 2004, is expected to be completed in 2011. The total cost of the program will be approximately SEK 8.5 billion (approx. US$1.25 billion), and the program is expected to generate annual cost savings of SEK 3.4 billion (approx. US$0.5 billion) with full effect by 2013.

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