STOCKHOLM, Sweden (AP) -- Swedish appliance maker Electrolux AB on Friday unveiled plans to close a plant in Spain, slashing 450 jobs, and said it may phase out production at a Swedish facility which could result in more cuts.
The Spanish Alcala factory makes entry-level washing machines for the Spanish, Portuguese, French and British markets. Electrolux said it would close it down since it is not able to make products at a competitive cost level.
The closure will be completed in the first quarter of 2011, and will cost around 440 million kronor ($64 million).
In a separate release, the company also said it is investigating options to phase-out stove production at its Motala plant in Sweden because it is not profitable enough. The factory has 240 staff and Electrolux expects to make a final decision in December.