Whirlpool 4Q14 Earnings Call Notes

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This post is part of a series of posts called “Company Notes.” These posts contain quotes and exhibits from earnings calls, conference presentations, analyst days and SEC filings. Full transcripts can be found at Seeking Alpha

Volumes were negatively impacted by aggressive promotions on imports

“while higher fourth quarter, our volumes were negatively impacted by very aggressive and value destroying promotions on import products. And as we’ve consistently stated, we only participate in promotion activity where we can create value for our shareholders and our brands.”

Expect favorability in costs to build throughout the year

“As we look the macro-variables for 2015, we expect currencies to have a greater impact in the first half of the year. On the other hand we’re also seeing positive trends in commodities around the world. It is important to remember that the full impact of lower commodity costs take time to fully flow through our financial results due to hedges in contracts, but we’re already beginning to see the impact of these prices softening and expect favorability to build throughout the year.”

Housing is still the biggest driver for the industry

“Our housing demands, we believe both on existing homes sales will probably rise to somewhere around 5.2 million, new housing probably 1.1 plus or minus and these are still the most important demand growth drivers in the industry. ”

Currency issues will still be with us

“let me just repeat what I said earlier so, I do expect the currency issues to still be with us, if you follow the Canadian dollar and the Mexican peso it’s gotten worse now we — what helps on the mitigating side we have previously announced price increase in Canada for January, but of course now the currency moved again so in a certain way it’s the same issue still around us the raw materials we do not expect in Q1 and the transition will be to a slightly lesser extent, but it’s not going to be completely behind us.”