Justice Department rejects Electrolux-GE settlement, case headed - WDRB 41 Louisville News

Justice Department rejects Electrolux-GE settlement, case headed to trial

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GE's Appliance Park GE's Appliance Park

LOUISVILLE, Ky. (WDRB) -- The Justice Department rejected a settlement offer from Electrolux and General Electric over their $3.3 billion appliances merger, and two sides aren't actively talking less than two weeks before a trial begins Nov. 9, The Wall Street Journal reported.

Lawyers for each side made the comments at a court hearing Friday in Washington, D.C.

It was previously reported that the government had a cool reaction to GE and Electrolux's settlement offer based on earlier court testimony.

Electrolux wants to buy GE's appliance division, which is headquartered in Louisville with some 6,000 local employees.

The Justice Department sued on July 1 to block sale on antitrust grounds. The government claims the combination would drive up the price of cooking appliances sold to volume buyers like home builders and property managers.

Electrolux's lawyers have said the government fails to consider the role of recent entrants to the appliance market like Samsung and LG, among other criticisms. 

GE's appliance division is one of Louisville's most important employers. Some 3,800 hourly employees work at Appliance Park, and the division employs an additional 2,200 white-collar workers. 

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