Workers, Ky. officials face uncertainty over GE operation

GE says it's premature to speculate on the impact on jobs and the plant.

Tim Somheil, editor of Appliance Magazine, said some appliance makers have moved from the United States to cheaper labor markets such as Mexico. But he also said other companies have bucked that trend, opting to make substantial investments in U.S. plants.

Matt Collins, an analyst at Edward Jones in St. Louis, said the plant would not necessarily close if sold.

"The weak dollar makes U.S. production look a little more attractive to a foreign buyer," Collins said. "So that could help them, but obviously they have to be competitive on a cost basis over the long term."

GE's appliance division had revenue of $7 billion last year and employs about 13,000 people worldwide. The Louisville operation is one of several GE plants that churn out appliances.

For decades, Appliance Park was a major cog in the local and state economy. The massive operation opened in 1953 and 20 years later employment peaked at nearly 23,000 workers. The work force has dwindled through the years and now stands at about 5,000 -a combination of production line and white-collar jobs. Assembly workers build dishwashers, washing machines and top-freezer refrigerators in Louisville. The white-collar jobs include marketing, finance and research and development.

GE contributes more than $425 million a year to the Louisville economy through payroll, benefits and purchased goods and services. The company is Louisville's sixth-largest private employer, city officials said.

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Associated Press business writer John Christoffersen in New Haven, Conn., contributed to this report.