Quantcast
Get breaking news alerts via email

Click here to manage your alerts
GE in talks to sell its historic appliance division
Downsizing » Swedish firm interested in division that made electrical toasters in 1909.
First Published Aug 14 2014 03:22 pm • Last Updated Aug 14 2014 03:22 pm

New York • General Electric confirmed it is considering the sale of its historic appliance division, part of its effort to focus on selling more complex and profitable industrial equipment.

The confirmation came after the Swedish appliance maker Electrolux released a statement Thursday that it was in discussions to buy the business from GE, which is based in Fairfield, Conn.

Join the Discussion
Post a Comment

"GE is evaluating a wide range of strategic options for our appliances business, including discussions with Electrolux and other interested parties," said GE spokesman Seth Martin.

General Electric Co. has said it plans to sell businesses worth about $4 billion this year. The company’s appliance division —maker of the first electric toaster more than a century ago — has been thought to be a candidate for sale.

GE’s appliance division, which includes a much smaller lighting business that is not being discussed as part of this transaction, earned $381 million on $8.3 billion in sales last year, for a profit margin of 4.6 percent. The company’s industrial division as a whole earned $16.2 billion on sales of $103.6 billion, for a far more robust margin of 15.7 percent.

GE appliances are sold mostly in the U.S., making it difficult to compete with more global competitors such as LG and Samsung, which have been expanding into the U.S. in recent years.

GE spun off its consumer credit card division late last month, it sold NBC Universal last year, and it is gradually shrinking its large financial division as part of its recent strategy to concentrate on building and servicing large equipment such as aircraft engines, gas-fired turbines, medical imaging machines and oil and gas drilling equipment. In June GE agreed to buy the electric power and transmission assets of France’s Alstom for $17 billion.

Electrolux, based in Stockholm, owns brands such as Frigidaire, Westinghouse, and Eureka.

General Electric Co. shares edged up 5 cents to$25.88 in trading Thursday. Its shares are up more than 7 percent in the past year.




Copyright 2014 The Salt Lake Tribune. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

Top Reader Comments Read All Comments Post a Comment
Click here to read all comments   Click here to post a comment


About Reader Comments


Reader comments on sltrib.com are the opinions of the writer, not The Salt Lake Tribune. We will delete comments containing obscenities, personal attacks and inappropriate or offensive remarks. Flagrant or repeat violators will be banned. If you see an objectionable comment, please alert us by clicking the arrow on the upper right side of the comment and selecting "Flag comment as inappropriate". If you've recently registered with Disqus or aren't seeing your comments immediately, you may need to verify your email address. To do so, visit disqus.com/account.
See more about comments here.
Staying Connected
Videos
Jobs
Contests and Promotions
  • Search Obituaries
  • Place an Obituary

  • Search Cars
  • Search Homes
  • Search Jobs
  • Search Marketplace
  • Search Legal Notices

  • Other Services
  • Advertise With Us
  • Subscribe to the Newspaper
  • Access your e-Edition
  • Frequently Asked Questions
  • Contact a newsroom staff member
  • Access the Trib Archives
  • Privacy Policy
  • Missing your paper? Need to place your paper on vacation hold? For this and any other subscription related needs, click here or call 801.204.6100.