MEMO: MAYTAG BUYING OUT RIVAL MANUFACTURER AMANA

Home appliance giant Maytag Corp. is buying rival Amana Appliances for $325 million in cash and stock in a deal that would shore up Maytag's lineup of refrigeration products.

The deal announced Tuesday to buy Amana from Goodman Global Holding Co., a family owned company in Houston, Texas, is subject to regulatory approval. It is expected to close in the third quarter.

Included in the agreement are Amana's major appliance and commercial microwave oven businesses that should boost Maytag's annual sales by $900 million. Amana's heating and air conditioning businesses are not included.

Maytag president and chief executive Leonard A. Hadley said the addition of Amana adds strength to Maytag's weakest product line refrigeration products.