Whirlpool to take $51 mn charge on plant closing

Whirlpool to take $51 mn charge on plant closing

Bangalore: Whirlpool Corp said on Monday that it would take $51 million of charges in connection with the closing of its Evansville, Indiana, facility.

The world’s biggest appliance maker said the charges include $21 million in employee termination costs, $13 million in equipment relocation costs, $5 million in asset impairment costs and $12 million in other associated costs.

Whirlpool expects to recognize about $21 million of these costs in fiscal 2009, $27 million in fiscal 2010 and the rest in fiscal 2011.

On Friday, the appliance maker said it would shut a plant in Evansville and move some production to Mexico next year, a change that will eliminate about 1.6% of its work force.