Cost-cutter McLoughlin to quit as Electrolux CEO, Swedish newspaper says
* American chief executive to leave Electrolux-report
* Company awaiting green light for GE deal
* GE Appliances boss tipped as successor (Adds comment, detail, background, share)
STOCKHOLM, June 25 (Reuters) - Swedish appliances maker Electrolux is seeking a replacement for chief executive Keith McLoughlin, business daily Dagens Industri reported on Thursday, creating uncertainty over who will drive further cost savings in coming years.
The American's eventual successor could inherit a larger company. McLoughlin agreed last September to buy General Electric's appliances division for $3.3 billion, Electrolux's biggest ever deal, which is now awaiting regulatory approval.
Dagens Industri said the American, who will be 60 next year, would step down on his own initiative but gave no specific timing. His family moved back to the United States from Sweden a couple of years ago, prompting many to assume he would follow at some stage.
Electrolux did not comment directly on McLoughlin's plans other than saying he had not resigned.
"It is normal practice that well-run public companies conduct succession planning," it said in a statement which did nothing to dispel the speculation about his departure.
McLoughlin, who joined Electrolux in 2003 and has been its CEO for four and a half years, imported manufacturing practices from the auto industry to cut costs and raise profitability.
Electrolux has also promised large cost benefits from the GE deal, which was cheered by investors and has helped push up Electrolux shares. The deal would double the Swedish company's annual sales in North America.
They now trade at a premium against U.S. rival Whirlpool while the shares had similar valuations early last year, according to Thomson Reuters data.
Dagens Industri said Charles Blankenship, the head of GE Appliances would be the top candidate to succeed McLoughlin, provided the purchase of the GE division is approved by U.S. authorities and can be finalised.
Electrolux shares were down by 0.6 percent at 1110 GMT, underperforming the Stockholm bluechip index which was roughly unchanged.
Electrolux is also busy trimming costs in Europe and analysts said McLoughlin would be missed.
"He is a very important person from an investor point of view," said Handelsbanken Capital Markets analyst Karri Rinta.
"If Keith McLoughlin were to remain, you could count on him to deliver. If there is a new CEO, it will always be a bit more uncertain whether they will be able to deliver or not."
(Reporting by Sven Nordenstam; Editing by Gopakumar Warrier and Keith Weir)
