Fitch: Whirlpool notes BBB

Fitch Ratings said it assigned a BBB rating to Whirlpool Corp.'s proposed offering of $800 million senior unsecured notes.

The offering is expected to be comprised of three-year, five-year and 10-year notes.

These issues will be ranked on a pari passu basis with all other senior unsecured debt, the agency said.

The proceeds will be used for general corporate purposes, including the repayment of $500 million of senior notes due May 2014 and $100 million of senior notes due August 2014.

The outlook is stable.

The company has a long-term issuer default rating of BBB, short-term issuer default rating of F2, commercial-paper rating of F2, senior unsecured notes rating of BBB and bank revolving credit facility rating of BBB. Whirlpool Europe BV, Whirlpool Finance BV and Whirlpool Canada Holding Co. also are borrowers of the revolver.

Maytag Corp. has a long-term issuer default rating of BBB and senior unsecured notes rating of BBB. Whirlpool Finance BV has a short-term issuer default rating of F2 and commercial-paper rating of F2.

The ratings reflect the company's position as the world's largest appliance manufacturer with leading market positions in many regions, Fitch said.

Whirlpool's global operating platform, increased manufacturing efficiency and well-recognized skills in innovation have enabled it to improve its cost structure, compete more effectively around the world and adjust to escalating material costs, the agency said.

Its risks include intense global competition, volatility of raw material costs, sensitivity to business cycles and ongoing regulatory issues, Fitch said.

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