Electrolux CEO Cuts Jobs
Oct 23, 2002
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Electrolux AB CEO Hans Straaberg, in the middle of a 3-year job-cutting program, is seeking more savings in Europe as the household-appliance maker faces waning consumer confidence. The owner of AEG, Frigidaire and Zanussi brands is cutting about
5,000 jobs to shave 1.4 billion kronor (U.S. $150 million) a year in operating costs starting next year. Mr. Straaberg is also standardizing products across Europe, the source of 50 percent of sales.

The company plans to eliminate most of its more than 50 brands
while boosting the Electrolux label. In Europe, Mr. Straaberg wants to cut by half the number of product models to 60 to remove production overlaps and gain in profitability. (Bloomberg News)

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