Electrolux 1997 Annual Report Download - page 8

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Highlights of the year
Michael Treschow is named President and
CEO in January, and takes office officially
at the Annual General Meeting on April 29.
The Annual General Meeting authorizes
distribution of all shares in the Gränges
subsidiary to Electrolux shareholders. Gränges
shares are listed on the Stockholm Stock
Exchange as of May 21.
In June, the Board of Directors authorizes a 2-year restructuring
program involving personnel cutbacks of about 12,000, involving
shutdown of about 25 plants and 50 warehouses. The program is aimed
at enabling the Group to achieve its long-term goals of an operating
margin of 6.5 –7% and a return on equity of 15%.
Streamlining of the Group continues with the divestment of
Husqvarna Sewing Machines and the operation in goods protection.
At the start of 1998 agreements are also reached for divestment of
Överums Bruk, which manufactures agricultural implements, and the
SIA group, which markets and sells items for interior decoration.
The Board proposes an unchanged dividend for
1997 of SEK 12.50 per share. The Board also
proposes a stock split of 5:1 and an increase in the
voting rights of B-shares from 1/1000 to 1/10.
4
Electrolux Annual Report 1997
90
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1997 1998
May June July Aug Sept Oct Nov Dec Jan Feb
Trading price for Gränges shares at the Stockholm
Stock Exchange, May 1997–February 1998
Share price General index (c) SIX Findata
A+B
B
Split 5:1
1/1000 1/10