Sunbeam Corp., Fort Lauderdale, Fla., announced Tuesday it will eliminate half of its 12,000 jobs and sell off many of its product lines, including furniture, clocks, thermometers, scales and decorative bedding. Sunbeam will concentrate on its core product categories: kitchen appliances, personal care and comfort, health care, outdoor cooking and professional care. It also plans to develop new products. CEO Albert Dunlap said the "massive effort" was needed to "reduce costs and grow the business." The company projects it will generate approximately $225 million in annual savings. Sunbeam also said it will venture into new "direct to the consumer" distribution channels such as catalogs, the Internet and factory outlet stores. The plan includes the opening of two new outlet stores by the end of next month and 20 more in 1997.
Copyright November 1996, Crain Communications Inc.