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27 October 2017, 01:02 | Gordon Grant
Sears no longer carrying Whirlpool appliances
Whirlpool shares were trading down 10 percent, while Sears rose marginally.
Bitzer said, "We did inform Sears in May that we would no longer supply Whirlpool branded products as we simply could not reach terms that are acceptable to both parties".
The business partnership between Sears and Whirlpool dates make more than 100 years.
Sears will now sell continue to sell appliances under Kenmore - a private label brand that will continue to be supplied by Whirlpool Corporation - and appliances from other unaffiliated brands, like LG, Samsung, GE, Frigidaire, Electrolux and Bosch.
The struggling retailer has cut its ties with the company, which also makes products under the KitchenAid and Jenn-Air names. Sales grew quickly and in 1921, Sears appointed Upton as their sole suppliers of washing machines.
The retailer said it will continue to sell Whirlpool items in its stores until each location's inventory is "depleted".
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"The entire Sears business has declined over time and now represents about three percent of our global business, of which the branded portion is only a small fraction", Bitzer said.
The U.S. appliance giant on Monday reported third-quarter profit and sales below analysts' estimates, hurt by higher raw material prices which are expected to rise through 2018.
"Whirlpool has sought to use its dominant position in the marketplace to make demands that would have prohibited us from offering Whirlpool products to our members at a reasonable price", Sears wrote to its employees.
"We have done in the past cost-based price increases whenever we were faced with a significant material headwind", Bitzer said in the conference call.
Whirlpool began making two types of wringer washers for Sears, Roebuck and Co.in 1916, according to Whirlpool's website.
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