Whirlpool Corp., Benton Harbor, Mich., and Hisense-Kelon Electrical Holdings Company Ltd., an electronic and home appliances company in China, have formed a joint venture in China for the delivery of new world-class and innovative appliances to consumers in China.

Through this joint venture, the companies will benefit from the sharing of research, technology, procurement and development resources. As a 50/50 joint-venture, Whirlpool and Hisense have equal investment and management responsibilities.

The companies expect the joint venture to provide consumers in China with even higher levels of innovation and global technology in refrigerators and washing machines, to better meet consumers' needs.

"Our joint-venture with Hisense is consistent with Whirlpool Corporation's business strategy, which allows us to attract and retain loyal customers to our brands by continuously bringing innovation to the market and improving of our global platform," said Jeff M. Fettig, chairman and CEO of Whirlpool Corporation. "China is one of our key markets and we are committed to offering Chinese consumers even more innovative and high-quality products. We believe that Hisense's success in China and its commitment to consumers, as well as its good reputation within China, make it the right partner for Whirlpool Corporation."

"The decision to join Whirlpool Corporation was made after consideration of the company's global position as the world's leading home appliance manufacturer with nearly 100 years of history," said Mr. Zhou Hou Jian, chairman of Hisense Group. "Whirlpool provides innovative solutions, good quality products and leading technological and engineering expertise, all of which complements Hisense's philosophy and culture."

Both Whirlpool and Hisense agree that in the current competitive global marketplace, the manufacturers' ability to succeed and grow is rooted in their innovative brands, product quality and technology. Whirlpool Corporation has more than 25 R&D centers around the world, including technology centers in Beijing, Shanghai and Shunde. Hisense has overseas R&D centers in Europe, South Africa and the United States, as well as domestic research centers in Qingdao, Beijing, Shunde and Shenzhen. This technology footprint allows both companies to conduct research and development around the clock. The combined forces of both companies will bring about new, world-class appliances to Chinese consumers.

Refrigeration is the second-largest appliance category in the Chinese appliance market and is a key R&D category for the joint venture. Hisense has introduced many innovative refrigerators to the Chinese appliance market and will manufacture refrigerators for the joint venture.

"Combining Hisense's refrigeration success in China with our long-standing commitment to providing innovative products to consumers will enable us to provide a full portfolio of Whirlpool brand appliances to Chinese consumers," said Fettig.

In another key category, laundry, Whirlpool has a long-established leadership position with more than a thousand patents granted internationally since the company's founding in 1911. Whirlpool will manufacture washers for the joint venture. With the recent introduction of its front-load Sunrise compact washing machines, which incorporate cutting-edge technology from local R&D efforts, Whirlpool China has established itself as a innovative player in the Chinese home appliance industry. Whirlpool brand Sunrise 54L washing machines are qualified as Level 1 (the best of 5 levels) by the Chinese government and save 30 percent more water and 20 percent more energy compared with traditional front-load/horizontal axis models in China.

"This joint-venture will allow us to gain technological and engineering expertise, extend our portfolio of products to include washing machines and continue our on-going commitment to meeting consumer needs with high quality products," said Zhou.