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Maytag board approves another stock buyback.

NEWTON, Iowa -- Maytag Corp. directors have voted to authorize repurchase of company stock for the second time in about a year.

The latest vote adds 5 million shares to the 10.8 million authorized in October 1995. Maytag has bought back about 9.5 million shares since the first authorization.

Leonard Hadley, chairman and chief executive, said Maytag intends to reacquire as much of the authorized stock as possible, consistent with sound financial judgment.

Maytag's cash flow and debt picture improved appreciably in the past two years. First it sold its Australian business to Southcorp Holdings Ltd. in December 1994 for about $84 million. Then it struck a deal in May 1995 to spin off the troublesome Hoover Europe operation to Candy SpA for roughly $170 million in cash and assumption of another $130 million in debt.

Two months ago, Maytag said it would invest about $70 million in joint ventures with Hefei Rongshida Group Corp. in China. The enterprises will make laundry appliances and associated products, and refrigeration.

Maytag reported Peter Willmott has resigned as a director, following his appointment as president and chief executive of Zenith Electronics Corp., because of time constraints. Hadley said there were no immediate plans to fill Willmott's slot, which leaves the board at 13 members.
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Publication:HFN The Weekly Newspaper for the Home Furnishing Network
Article Type:Brief Article
Date:Nov 25, 1996
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