Electrolux Newsroom US

Electrolux On-Track with Local Commitment

Local and Minority and Women-Owned Businesses Benefitting from Project

Memphis, Tenn., February 28, 2012 – Electrolux has awarded more than $72 million of the $80 million construction contract associated with the new cooking products manufacturing facility to be built in Memphis, Tenn. With less than 10 percent of the remaining dollars yet to-be awarded, Electrolux is well on-track to meet commitments to the local and minority and women-owned business communities.

“These results continue to underscore the Electrolux and Yates commitment to Memphis and Shelby County,” said Project Director Jacob Burroughs of Electrolux Major Appliances, North America. “We are working with Mayors Wharton and Luttrell to ensure our investment in Memphis is responsive to the needs of the community. We look forward to working with the city, county and state in the years to come.”

Current Economic Impact

  • Electrolux intends to spend more than 50 percent of the $80 million construction contract locally, with Shelby County expected to receive the vast majority of contract dollars.
  • To-date, $72 million of the $80 million construction contract has been awarded. 
  • Of the $72 million awarded thus far, 89 percent (nearly $64 million) was awarded to local companies, the vast majority to companies in Shelby County.
  • Also, 33 percent of the $72 million awarded, or $24 million, was awarded to local minority and women-owned businesses.
  • Minority and women-owned companies awarded contracts are (contracts awarded since January 17, 2012 are in bold):
    • CDA, Inc. (located in Shelby County)
    • MIG Construction Services (located in Memphis MSA)
    • MJ Construction/Sidle Construction Joint Venture (located in Shelby County)
    • SMS Contractors (located in Shelby County)
    • South Memphis Fence (located in Shelby County)
    • Interior Focus Inc. (located in Shelby County)
    • Waterproofing System Inc. (located in Shelby County)
    • Three Point Graphics (located in Shelby County)
    • Metal Products Co. (located in Shelby County)
    • Gipson Mechanical (located in Shelby County)
    • Shelby Electric with A1 Electric/Allied Electric (located in Shelby County)
    • Brighter Days and Nites (located in Shelby County)
    • Medford Roofing (located in Shelby County)
    • Dannix Painting (located in Memphis MSA)

“With the bulk of local spending going to Shelby County companies and $24 million already awarded to minority- or women-owned businesses, I am pleased with Electrolux’s progress. As the project continues to move forward, I’m confident we’ll hear more good news for local companies, local residents, and the local economy,” said Mayor A C Wharton, Jr.

“We’re encouraged many locally-owned small businesses will be part of the Electrolux operations plan.  Strengthening the business economy in Shelby County continues to be our top priority,” said Shelby County Mayor Mark H. Luttrell, Jr.

Construction of the plant continues on-schedule with full manufacturing operations expected in 2014.

About the Electrolux Memphis Cooking Facility
Electrolux plans to build a world-class facility, designed to utilize advanced manufacturing processes.  When fully operational in 2014, the plant will be a center of excellence for its cooking products; will employ more than 1,200 people and will manufacture built-in and specialty cooking products. Electrolux has a longstanding commitment to safety and sustainability, both in its manufacturing processes and in the products it makes.  The facility will be located in Frank C. Pidgeon Industrial Park.

Memphis was the clear choice for the facility for a number of reasons including:

  • Synergies with other Electrolux plants — The company will be able to better leverage its existing base of resources, especially those at its cooking operations in Springfield, Tenn.
  • Memphis’s resources and location advantages — Electrolux was also attracted by the skilled labor pool in the Memphis area, and the area’s central location and excellent logistics, which will improve access to the company’s key markets, customers and suppliers.  

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