Electrolux's Global Profits Up, North American Profits Down In 2014
Household appliance-maker Electrolux, whose North American headquarters is in Charlotte, reported an 18 percent increase in global profits last year. But in its earnings report Wednesday morning, Electrolux noted its North American profits were down compared to 2013.
Electrolux is a Swedish company that moved its North American headquarters to Charlotte in 2010. You've probably heard of its Frigidaire brand.
The company reports its North American profits declined 20 percent last year compared to the year before.
"In North America, earnings were negatively impacted by the major transition required to meet the new energy standards within the cold category, specifically refrigeration and freezers," CEO Keith McLoughlin said on a conference call.
In other words, Electrolux had to launch a new line of fridges and freezers to meet a U.S. Department of Energy regulation.
McLoughlin said the ramping up of a new cooking facility in Memphis, Tennessee, also dragged down North American profits. But he noted that sales in North America increased 7 percent last year, and the company expects more growth this year.