The top North American executive with Electrolux has resigned as the company reported that first quarter results for its Major Appliances North America segment will be “significantly lower” than expected.
Jack Truong, head of Major Appliances North America and evp of AB Electrolux, has resigned from Electrolux in order to pursue other interests, according to the company. A process to recruit a successor has been initiated. Effective immediately, Electrolux president and CEO Keith McLoughlin will serve as interim head of Major Appliances North America.
“I want to thank Jack for his many contributions to Electrolux. We wish him and his family all the best for the future”, said McLoughlin. Truong joined Electrolux in 2011.
In a separate announcement, Electrolux on Wednesday said that results for its Major Appliances North America segment would be significantly lower than anticipated in the first quarter.
According to the company, Electrolux operations continue to be negatively impacted by the transition of product ranges within refrigeration and freezers. This transition is a consequence of the new energy requirements imposed during the second half of 2014. Earnings are also affected by the ramp up of the cooking plant in Memphis, which has been slower than anticipated, company officials said.
The company will release 2015 first quarter sales on April 24.
Electrolux officials said preparation work for the integration of GE Appliances is progressing and the company remains confident that the transaction will be closed in 2015. During the integration planning, additional synergies of $50 million have been identified, with total cost synergies of the GE integration now estimated to be $350 million, officials said.
