Difficult European economic, industry conditions will push down Whirlpool's 3Q, 1996 performance.BENTON HARBOR, Mich.--(BUSINESS WIRE)--Sept. 27, 1996-- Whirlpool Corporation (NYSE NYSE See: New York Stock Exchange :WHR WHR World Health Report WHR Waist-to-Hip Ratio WHR Welsh Highland Railway (UK) WHR Western Hemisphere Region WHR Watt Hour WHR Witch Hunter Robin (anime) WHR Waste Heat Recovery ) said today that it anticipates third-quarter operating results, excluding restructuring, will be about 35 to 40 percent below those for the same 1995 period, and that the company has subsequently lowered its expectations for full-year results. The company said the less favorable outlook is caused primarily by conditions in Europe, its second-largest regional market, where a continued difficult economic and industry environment is contributing to a lack of margin improvement. While third-quarter results will be significantly better than those for second-quarter 1996, the situation will lead to a small quarterly operating loss operating loss The excess of operating expenses over revenue. As with operating income, operating losses exclude revenues and expenses from operations that are not considered a regular part of the business. Also called deficit. Compare operating income. at Whirlpool Europe. Near-term prospects for improved regional economic and industry performance are uncertain. Whirlpool Chairman and CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. David R. Whitwam said that year-to-date results from the company's North American North American named after North America. North American blastomycosis see North American blastomycosis. North American cattle tick see boophilusannulatus. and Latin American operations remain at record levels. He added that both regions are expected to perform strongly through the remainder of the year. The chairman said that Whirlpool will take a restructuring charge restructuring charge The expense of reorganizing a company's operations. A restructuring charge is an infrequent expense that generally results from asset writedowns or facility closings. of about $30 million that will reduce net earnings in the third quarter. The charge will be for previously announced streamlining of the company's Asian headquarters and a North American refrigeration refrigeration, process for drawing heat from substances to lower their temperature, often for purposes of preservation. Refrigeration in its modern, portable form also depends on insulating materials that are thin yet effective. operation. Together, the two moves are expected to save $37 million annually once fully implemented by mid-1997. The company plans to announce full third-quarter results on Oct. 21. Whirlpool Corporation is the world's leading manufacturer and marketer of major home appliances. Headquartered in Benton Harbor, the company manufactures in 12 countries and markets products under 11 major brand names in about 140 countries. Editor's Note: There is an "at" symbol after "T.R._Reid" in the E-mail address below. This symbol may not appear properly in some systems. CONTACT: Whirlpool Corp., Benton Harbor T.R. Reid, 616/923-3417 T.R._Reid@email.whirlpool.com |
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