ICS Magazine

Maytag Warns of Low 4Q Earnings

December 15, 2000
Chicago, Ill. (Reuters) -- Maytag Corp. has issued a warning of disappointing quarterly profits, in the second such forecast by an industry leader in two days, as a slowing economy cuts into sales of big-ticket items.

The maker of Jenn-Air, Magic Chef, Maytag and Admiral appliances also estimated fourth-quarter charges of $55 million to $65 million for asset write-downs, suspended business initiatives and other expenses as it refocuses on its core home and commercial product lines.

However, Maytag did not follow Whirlpool Corp. in announcing job cuts. On Wednesday, Whirlpool said it would slash 6,000 jobs in a restructuring to restore profits, which it said would fall short of estimates for the fourth quarter.