General Electric Shares Fall After Profit Drops 30%

By Michael Sheetz – Re-Blogged From CNBC

Key Points
  • The industrial conglomerate said second-quarter earnings per share fell 30 percent from last year because of weakness in its power division.
  • GE reaffirmed its financial outlook for the year, saying it continues to expect full-year earnings of $1 to $1.07 per share.
  • GE’s deal in May to merge its transportation business with Wabtec was praised by investors, with the $2.9 billion in cash to GE seen as a welcome respite.

GE Slashes Dividend to 1 Penny, Reveals Deeper SEC Probe

By Thomson Reuters – Re-Blogged From Newsmax

General Electric Co. slashed its quarterly dividend to a penny a share, promised to restructure its power unit and said it faced a deeper accounting probe as new Chief Executive Larry Culp took his first steps to revive the struggling conglomerate.

GE said the U.S. Securities and Exchange Commission and Department of Justice had expanded ongoing investigations to include a $22-billion writedown of goodwill from GE’s power division, which GE reported on Tuesday.

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Moody’s Mulls GE Downgrade

By Bloomberg – Re-Blogged From Newsmax

General Electric Co.’s credit rating is at risk of a significant downgrade as the beleaguered manufacturer grapples with a deepening slump in its power-equipment business.

Moody’s Investors Service placed GE and its finance arm on review for downgrades that “may not be limited to one notch,” according to a statement Tuesday by the ratings company. Fitch on Monday put GE, which still has a significant financial business including a major aircraft lessor, on watch negative.

GE’s Century on the Dow Nears End as Drumbeat Builds for Removal

Re-Blogged From Newsmax

General Electric, an original and steadfast component of the Dow Jones Industrial Average for over 110 years, may get the boot.

Deutsche Bank analyst John Inch wrote in a note to clients that the illustrious index could remove the manufacturing conglomerate as its challenges accumulate.

Image: GE's Century on the Dow Nears End as Drumbeat Builds for Removal

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General Electric: Another Impending Pension Crisis is Here

By Joe Scudder – Re-Blogged From Eagle Rising

In addition to public unions facing a pension crisis, General Electric may soon be begging for a bailout.

Naturally, the news that reports on the disaster that is heading for General Electric also tries to downplay the news. The company allegedly has years to find a way to solve their pension problem. But financial news always tells the public that they have a long time before it is “time to panic.” But that is the problem: If you wait that long to panic, it is too late.

Bloomberg reports, “The $31 Billion Hole in GE’s Balance Sheet That Keeps Growing.

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The “Other” 4G’s

By Bill Holter – Re-Blogged From http://www.Gold-Eagle.com

No, we’re not talking about 4G phones, nor God, Gold, Guns and Grub.  Today let’s look at GE, Greece, and finish with a very interesting Germany and Gazprom.  Last week GE shocked the market place by announcing they will sell their crown jewel GE Capital.  Why would they do this?  Isn’t GE capital their growth engine?  Isn’t it their cash cow?  What could they possibly be thinking?  In my opinion they are “thinking” correctly, maybe a bit too late though.

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