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WHR > SEC Filings for WHR > Form 8-K on 31-Aug-2009All Recent SEC Filings

Show all filings for WHIRLPOOL CORP /DE/ | Request a Trial to NEW EDGAR Online Pro

Form 8-K for WHIRLPOOL CORP /DE/


31-Aug-2009

Costs Associated with Exit or Disposal Activities, Financial Statements and E


ITEM 2.05. Costs Associated with Exit or Disposal Activities.

(a) On August 28, 2009, Whirlpool Corporation (the "Company") announced changes to its North American manufacturing operations which will result in the closure of its manufacturing facility in Evansville, Indiana in mid-2010. The Company currently expects that approximately 1,100 full-time positions will be eliminated as a result of the closure.

The Company's decision resulted from a comprehensive review of consolidation alternatives designed to reduce excess capacity and improve costs within the refrigeration product category. The Company expects to transfer production of top freezer refrigerators to one of its existing facilities in Mexico and to transfer production of icemakers to a Company-owned site which has not yet been determined. The Company is evaluating alternatives for the Refrigeration Product Development Center which is co-located with the Evansville manufacturing facility and has approximately 300 employees.

(b) The Company estimates that it will incur approximately $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 in connection with the exit of this facility.

(c) The Company estimates that it will incur a total of $51 million in costs (as itemized above) in connection with the exit of this facility. The Company expects to recognize approximately $21 million of these costs in the 2009 fiscal year, $27 million of these costs in the 2010 fiscal year, and $3 million of these costs in the 2011 fiscal year.

(d) The Company estimates that approximately $33 million of the estimated $51 million total cost will result in future cash expenditures.

A copy of the press release announcing these actions is furnished as Exhibit 99.1 and incorporated herein by reference.

This Form 8-K contains forward-looking statements which use the words "expects" or "estimates." Actual events or results may differ materially from those statements. For information about the factors that could cause such differences, please refer to our Annual Report on Form 10-K for the year-ended December 31, 2008, including the information set forth under the caption "Risk Factors."



ITEM 9.01. Financial Statements and Exhibits.

(d) Exhibits.

99.1 Copy of press release dated August 28, 2009


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