With the new year ahead of us and all the changes (spin-offs and closings and sales) that happened this year, how different do you think General Electric will look in five years?
I know the company will still be standing, but I'm thinking it will be much different and much smaller than it is now...
Left standing will be all the businesses spun off. They will be free of the GE's HR Uber Alles culture and able to focus on their products, sales and future. The scrubbing outside investors give the spin offs before they are spun will leave them healthy and prosperous.
Left behind will be Aviation dragging Power along and maybe Renewables. Left behind will be the pension debt, Long Term Care obligations, Long Term Service Agreement obligations and anything else the overloaded corporate bureaucracy couldn't push into one of the spin offs. Maybe that part will have to go through bankruptcy having the final decisions forced on it, unwilling to admit that some kid troubleshooting a valve is much more important to the customer than some corporate person who knows what it takes to set up a contract in Sri Lanka.
Not the pension fund!!! On December 27th 2023 I bet that sh-- is gone.
The narrative of the last seventeen years unmistakably illuminates the fact that the company has been destroyed gradually, methodically, thoroughly, and deliberately.
GE Nuclear will be standing in five years, because nobody wants to buy it.
The pension fund is being thrown under a bus. Say goodbye to it soon.
GE will be a holding company. Each spin off will result in a 49% holding, in companies that ultimately will not be run by the GE culture machine. It will be 49% because the GE culture is now exposed for the incompetence it creates. Each spin off will take huge chunks of the GE debt with it. Each and every new addition to the board and upper management including the last 2 CEO's have all bought huge amounts of stock at $7 ish a share. Let's say all of the spin offs take 3-5 years, and in 5-7 years the original GE meatball will stand debt free, reaping the benefits of major interests in successful companies, most likely receiving a dividend. In this process the Meatball's stock rises from the $7 range to $20-$25 to be modest. The top 25 or shareholders will receive cubic returns. The average GE employee will have either lost their job, or have there employment level diminished for the sake of the privileged few. Two Jet Jeff should be in prison for what he did to the pension. This was a master plan from the get go.
Not sure there needs to be any relation to GE remainibg. All the different divisions will become their own companies, spun off or sold. Giant conglomerates are history, too difficult to manage. The board has thrown in the towel, Immelt made this obvious, new guy has the split ups in process.
Thomas Edison’s grave stone will likely continue to stand like it has since 1931 but not much else of his legacy at the rate the breakups and sales are being announced.