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Sunbeam sheds unit
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February 11, 1997: 5:44 p.m. ET
Furniture division sold for $84 million in continuing restructuring
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NEW YORK (CNNfn) -- Sunbeam Corp. Tuesday said it was selling its outdoor furniture division to Jacuzzi Outdoor Products Inc., a wholly-owned unit of U.S. Industries Inc., for about $84.5 million.
The move is the latest in a series of restructurings implemented by the company's chairman and chief executive Al Dunlap. In November, he said Sunbeam would shed some of its holdings to concentrate on household products.
The total value of the transaction, including the value of retained assets, is expected to be more than $120 when completed. Its furniture unit consists primarily of outdoor aluminum, wrought iron and resin patio furniture.
Sunbeam said it expected the deal to close in 30 days.
"In November, we unveiled our plans for rescuing Sunbeam and elevating it to dominance as the premiere household products company in the world.
"A critical aspect of that plan was the divestiture of businesses we considered non-core in order for our new management team to focus entirely on its newly-identified core business," Dunlap said.
The division has about 2,000 employees and reported revenues of $205 million in 1996.
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