Key Developments: Electrolux AB (ELUXY.PK)
56.47USD
17 May 2013
$1.39 (+2.52%)
$55.08
$55.75
$56.48
$55.69
17,399
2,186
$56.65
$34.70
Latest Key Developments (Source: Significant Developments)
Fitch Ratings Affirms and Withdraws Electrolux AB Ratings-Reuters
Reuters reported that Fitch Ratings (Fitch) has affirmed Electrolux AB's Long-term Issuer Default Rating (IDR) and senior unsecured notes at 'BBB'. The outlook on the Long-term IDR has been revised to stable from negative. Fitch has simultaneously withdrawn the ratings as they are no longer considered by Fitch to be relevant to the agency's coverage. Accordingly, Fitch will no longer provide ratings or analytical coverage for Electrolux. The revision of the outlook to stable is based on Electrolux's progress over 2012 in improving its financial results, which have been boosted to some degree by the internal restructuring measures the Company has made, but also by improved market conditions in some key growth emerging markets. The expected financial performance of the Company in 2013 and beyond is in Fitch's view better than previously assumed and Fitch believes that the risk of a downgrade has diminished. Full Article
Electrolux AB Issues Bond Loan
Electrolux AB announced that it has issued a SEK 1,000 million bond loan under its EMTN (Euro Medium Term Note) program. The bond loan is issued on March 26, 2013, with a maturity on March 26, 2018. A part of the loan, SEK 400 million, is issued at fixed rate and carries a coupon of 2.875% annually. The remaining part, SEK 600 million, has a floating interest rate. The bond will be listed on the Luxembourg Stock Exchange. The proceeds of the offering will be used for general corporate purposes. Full Article
Electrolux AB Restates Figures for FY 2012 Following Change in Pension Accounting Standards
Electrolux AB announced that it has decided to apply the amended standard for pension accounting, IAS 19 Employee Benefits, as of January 1, 2013. The main change is that the option to use the corridor approach – previously applied by Electrolux – has been removed. Opening balances for 2013 and reported figures for 2012 have been restated to enable comparison. All historical unrecognized actuarial gains or losses will be included in the measurement of the net defined benefit liability. This increases the net pension liability for 2012 by SEK 4,618 million and reduces equity by SEK 4,098 million. Operating income for 2012 is reduced by SEK 150 million, which is a result of interest costs and return on pension liabilities and -assets no longer being reported within operating income and that amortization of the actuarial losses no longer are used. Financing costs for the net pension liability will be reported within the financial net which deteriorates by SEK 174 million. Income for the period after tax declines by SEK 234 million. The restatement has no impact on the cash flow. Full Article
Electrolux AB Announces Details on FY 2012 Dividend of SEK 6.50 per Share
Electrolux AB announced that its Board of Directors proposes a dividend for fiscal year 2012 of SEK 6.50 per share and April 2, 2013, as record date for the dividend. Subject to resolution by the General Meeting in accordance with this proposal, dividend is expected to be distributed by Euroclear Sweden AB on April 5, 2013. Full Article
Electrolux AB Acquires Headquarters Property in Stockholm-SIX
SIX reported that Electrolux AB has acquired the property in Stockholm, Sweden, where its headquarters is located. The purchase price is SEK 1,045 million. The acquisition is effective as of February 1, 2013. Full Article
Electrolux AB Proposes 2012 Dividend
Electrolux AB announced that the board has proposed a dividend for 2012 of SEK6.50 per share. Full Article
Electrolux AB Issues Bond Loan
Electrolux AB announced that it has issued a SEK500 million bond loan under its EMTN (Euro Medium Term Note) program. The bond loan is issued on November 20, 2012, with a maturity on November 20, 2017. A part of the loan, SEK100 million, is issued at fixed rate and carries a coupon of 2.625% annually. The remaining part, SEK400 million, has a floating interest rate. The bond will be listed on the Luxembourg Stock Exchange. The proceeds of the offering will be used for general corporate purposes. Full Article
Fitch Ratings Affirms Electrolux AB's Long-Term Issuer Default Rating
Fitch Ratings announced that it has affirmed Electrolux AB's long-term Issuer Default Rating (IDR) at 'BBB'. The outlook on the long-term IDR is negative. The negative outlook principally reflects Fitch's concern that Electrolux's financial profile, specifically its cash generation and leverage ratios, may not return to a level commensurate with a 'BBB' rating in the short term. While the Company has made positive progress during the first nine months of 2012 towards improving these metrics, enhancing the flexibility of its cost structure as well as its exposure to developing markets, it continues to face considerable challenges in its main markets and pressure from raw material prices. The ratings reflect the Company's market position as one of the main household and professional appliance manufacturers, especially in Europe, North America and Latin America. Electrolux's size, geographical diversification and conservative financial profile support the ratings, as does its liquidity position. However, the ratings continue to be constrained by the mature, cyclical and competitive nature of the European and North American appliance markets. Electrolux's exposure to fluctuating raw-material prices and foreign exchange rates are also weaknesses, as is its relatively limited free cash flow (FCF) generation. Furthermore, increasing competition from lower-cost emerging market producers may present a threat over the medium term, especially in lower-end product lines. Full Article
Electrolux AB Launches Professional Cooking System For Home Use
Electrolux AB announced that the Company has launched Electrolux Grand Cuisine. It is a professional cooking system specifically for home use. Electrolux Grand Cuisine comprises nine products: Combination Oven, Blast Chiller, Induction Zone, Precision Vacuum Sealer, Gas Hob, Sear Hob, Surround Induction Zone, Stand Mixer and Bespoke Ventilation Systems. It also includes Molteni, the iconic French-style cooking stove. The price, excluding the Molteni stove, will be approximately EUR 80,000 excluding VAT. Full Article
Electrolux AB's Products to Be Sold at The Home Depot in United States
Electrolux AB (Electrolux) announced that The Home Depot will begin selling Electrolux major appliances in the United States. In a staged roll-out, Electrolux's main appliances, under the Frigidaire, Frigidaire Gallery and Electrolux brands, will be available for purchase at The Home Depot. The product line will include ovens, refrigerators, freezers, dishwashers and laundry machines. In the United States, Electrolux sells major appliances under the Electrolux and Frigidaire brands, vacuum cleaners and small appliances under the Electrolux and Eureka brands, and appliances for professional use under the Electrolux brand. Full Article
Electrolux pins hopes on U.S. as Europe stagnates
STOCKHOLM - Household appliance maker Electrolux said it hoped a recovering North American market would drive growth this year as Europe is stuck in the doldrums.
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