Electrolux: We’re not in settlement talks with DOJ over GE deal

Electrolux said Monday it is not in settlement talks with the Justice Department as it proceeds with its trial to determine whether it can buy General Electric’s appliance business for $3.3 billion.

The appliance maker, which has its North American headquarters in Charlotte, said in a statement released early Monday that it “remains confident” of the competitive merits of the deal and its “favorable impact on consumers” despite Justice Department claims that the merger would raise consumer prices.

Electrolux said it expects the trial to conclude in December and the court to reach a decision late this year or in January. If resolved favorably, Electrolux said, the transaction will be closed soon after pending regulatory approvals.

“Occasionally, disputes like this one are resolved by settlement. While Electrolux may be willing to consider a reasonable settlement with DOJ, Electrolux is currently not in settlement discussions with DOJ,” the company said, adding that it’s possible such discussions may still arise.

Last week, Electrolux Chief Executive Officer Keith McLoughlin took to the witness stand in Washington to say that his company will be able to keep costs down and sell products at lower prices should it win approval on the GE acquisition.

The government maintains that the combined company and Whirlpool would dominate the U.S. cooking appliance market, creating what’s known as a duopoly. The result for consumers, the government says, would be higher prices on appliances.

Electrolux’s North American headquarters are in Charlotte’s University City area on David Taylor Drive, where the company employs about 900 people. McLoughlin has said the headquarters will remain in Charlotte after the GE Appliances acquisition, but the company is evaluating whether to go forward with a planned expansion that would double the Charlotte headquarters’ size. Bloomberg News contributed.

This story was originally published November 23, 2015 at 8:31 AM with the headline "Electrolux: We’re not in settlement talks with DOJ over GE deal."