Highlights of the fourth quarter of 2008
- Net sales amounted to SEK 28,663m (27,643) and income for the period was SEK –474m (1,126), or SEK –1.68 (4.00) per share.
- Net sales decreased by –5.5%, excluding changes in exchange rates.
- Charge of SEK 1.1 billion taken in fourth quarter for cost-reduction measu¬res. Personnel cutbacks will total 3,100 globally.
- In light of the market downturn, temporary shutdowns of production were initiated to adjust inventories to sustainable levels. This had an adverse affect on operating income.
- Strong cash flow, mainly due to improvements in working capital.
- Solid performance in Latin America, for Professional Products and floor-care products.
- In Europe, operating income was adversely impacted by weak markets and costs related to personnel cutbacks.
- In North America, operating income was adversely affected by continuing weak markets, higher costs for raw materials and costs related to the launch of Electrolux.
- Excluding items affecting comparability, non-recurring items and net impact of the launch of Electrolux in the US, operating income for the full year of 2008 amounted to SEK 3.5 billion.
- The Board of Directors proposes that no dividend will be paid for 2008.
- Electrolux will not forecast operating income for 2009 in light of the great uncertainty on the market.
- Electrolux is well prepared for a market turnaround.
A telephone conference will be held at 15.00-16.00 CET on February 4, 2009. The conference will be chaired by Hans Stråberg, President and CEO of Electrolux. Mr. Stråberg will be accompanied by Jonas Samuelson, CFO, and Peter Nyquist, Head of Investor Relations and Financial Information. A slide presentation for the fourth quarter of 2008 will be available on the Electrolux website www.electrolux.com/ir
Details for participation by telephone:
Participants in Sweden should call +46 (0)8 505 598 53
Participants in UK/Europe should call +44 (0)20 3043 2436
Participants in US should call +1 866 458 4087
You can also listen to the presentation at http://www.electrolux.com/webcast1
For further information
Peter Nyquist, Head of Investor Relations and Financial
Information: +46 (0)8 738 60 03. Financial information
from Electrolux is also available at www.electrolux.com/ir