GE Mulls 12,000 global Job Cuts
General Electric Co is axing 12,000 jobs at its global power business, the struggling industrial conglomerate's latest effort to shrink itself into a more focused company. The U.S. company launched the cuts to save $1 billion in 2018, saying it expected dwindling demand for fossil fuel power plants to continue. "Traditional power markets including gas and coal have softened," GE said. Rumors of sweeping job cuts were confirmed by labour union sources on Wednesday, with staff in Switzerland and Germany among those badly hit.
GE's Chairman Jeff Immelt Retires
U.S. industrial conglomerate General Electric Co's chairman Jeff Immelt retired earlier-than-expected on Monday, with the company naming Chief Executive John Flannery as his replacement. Immelt, who was expected to retire by the end of this year, had resigned as GE's CEO in June amid amounting pressure from activist-investor Nelson Peltz's Trian Fund Management for operation changes. GE said Immelt also retired as director and chairman of the board of directors of Baker Hughes, a GE company. Baker Hughes' CEO Lorenzo Simonelli will succeed Immelt as chairman of the company's board.
GE to Merge Oil & Gas Unit with Baker Hughes
General Electric Co said on Monday it would merge its oil and gas business with Baker Hughes Inc, creating the world's second-largest oilfield services provider as competition heats up to supply more-efficient products and services to the energy industry after several years of low crude prices. The deal to create a company with $32 billion in annual revenue will combine GE's strengths in making equipment long-prized by oil producers with Baker Hughes's expertise in drilling and fracking new wells.
GE Mulls Offshore Wind JV Adwen
General Electric is in talks with the French state and several companies about acquiring Areva-Gamesa's offshore wind joint venture Adwen, GE chief Jeff Immelt told French daily Le Figaro. GE has contracts to build 1,500 megawatts of offshore wind on the French coast for utility EDF following the U.S. company's purchase of energy assets from Alstom last year. These are due to be built by 2019. Asked whether GE was interested in acquiring Adwen, Immelt said France deserved a strong offshore wind industry. "Being bigger would be useful for us.
GE Energy Management Head to Retire
General Electric Co said on Monday it would bring its software and IT capabilities under one unit called GE Digital and announced a broader management shake-up, including the retirement of the head of its energy management division. GE, which under Chief Executive Jeff Immelt has made a big bet on marrying software and analytics with its industrial products, will bring all of the digital capabilities from across the company into one organization, it said. The unit will be led by Bill Ruh, who has been GE's software vice president and will become chief digital officer. The U.S.
GE's Immelt Stands by Intent to Close Alstom Power Purchase
General Electric Co Chief Executive Jeff Immelt declined on Friday to entertain an alternative to the U.S. conglomerate's planned purchase of Alstom's power business despite resistance from European antitrust regulators. On GE's second-quarter conference call on Friday, Immelt was asked about what the company's "Plan B" might be should it have to walk away from the $13.5 billion purchase of the power and grid divisions of French multinational Alstom. "I'm just not going to go there," he said. "We like this deal.
GE Has Until July 16 to Offer EU Concessions on Alstom Deal
U.S. conglomerate General Electric has just over a week to offer concessions and head off EU regulatory concerns about its $13.7 billion bid for Alstom's power unit, a person familiar with the matter said on Wednesday. The company faces a tough challenge after the European Commission warned that the deal could hurt competition as it would result in just two gas turbine companies in Europe - GE and German rival Siemens. It is not clear if GE managed to sway the EU competition enforcer…
GE CEO to Meet EU Antitrust Chief Now Probing Alstom Bid
General Electric's chief executive, Jeff Immelt, will meet the EU's antitrust chief on Tuesday, a person familiar with the matter said on Monday, amid an ongoing investigation into the U.S. group's 12.4-billion-euro ($13.8 billion) bid for Alstom. Immelt will meet European Competition Commissioner Margrethe Vestager in the afternoon, said the source. GE is now seeking to convince the European Commission to approve the Alstom deal without concessions. The company has a checkered history with the EU executive…
GE delivers Gas Turbines to Egypt
General Electric Co has delivered a shipment of gas turbines to Egypt as part of a $1.9 billion deal to boost power capacity, and will invest $200 million in a planned economic zone near the Suez Canal, the firm said on Friday. The announcements were made at a conference where Egypt hopes to secure billions of dollars in investment after years of political turmoil, focusing on energy and the Suez Canal zone. GE says it generates about 30 percent of Egypt's installed power capacity and the gas turbines will help ease the load on the overburdened energy grid ahead of peak summer usage.
GE, Statoil Partner for Sustainable Energy Development
GE and Statoil announced a new collaboration which intends to accelerate the development of more environmentally and economically sustainable energy solutions. This joint technology-focused program is aimed at driving an industrial response to some of the biggest challenges facing global oil and gas production, including flaring, CO2 and methane emissions, and water usage, while also optimizing business operations. “In order to respond to the growing energy demands of the world, continued investments in technology and innovation are critical to helping develop long-term…
General Electric to Build Power Plant in Ghana
General Electric Co (GE) will build a 1,200-megawatt thermal power plant in Ghana to come onstream in the next five years in a bid to address the West African country's power deficit, chief executive Jeff Immelt said on Tuesday. The U.S. company will also provide emergency power systems in Ghana this year to help offset a current crisis, he said, after a meeting with President John Mahama at a presidential palace outside the capital. Reporting by Kwasi Kpodo
GE Profit Rises Despite Flagging Oil Unit Sales
General Electric Co reported a 9 percent rise in quarterly industrial profit on Friday as its businesses that sell power-generating turbines and jet engines helped offset weak sales in its oil and gas unit. Investors have been concerned that plunging oil prices will hurt GE's sales of oil equipment if customers slash spending. Orders in the unit also fell. "It's going to be an albatross ... as long as energy prices stay low," said Tim Ghriskey, chief investment officer of Solaris Asset Management. GE Chief Executive Officer Jeff Immelt said the U.S.
Merkel to Push Back against EU If Green Energy Support Questioned
German Chancellor Angela Merkel said on Wednesday she would push back decisively against the European Commission if it raised further objections to Germany's system of green power subsidies. Berlin and the Commission have been at odds over the German policy under which consumers pay a surcharge to finance renewable energy while heavy industrial users are exempt. The Commission raised new objections on Monday, which led to Germany offering to change its planned reform at the last minute.
France Picks: GE is the One for Alstom
France chose General Electric to form an alliance with Alstom on Friday - rejecting an offer from Siemens and Mitsubishi Heavy Industries - but said the deal still needed some work and added it would buy a 20 percent stake in the hotly-contested company. Economy Minister Arnaud Montebourg said he had used a newly- created state decree to reject both of the existing offers as not being in France's strategic interest, and had formulated fresh demands to GE Chief Executive Jeff Immelt. The decision ended weeks of suspense surrounding one of Europe's fiercest industrial battles in years…
General Electric Details New Alstom Offer
U.S. conglomerate General Electric reshaped its offer for the power assets of Alstom on Thursday to propose an alliance based on 50:50 joint ventures that would ringfence sensitive nuclear activities. It was the latest shot in a two-month-long tussle for control of Alstom's energy business and comes days before the board of the French group is set to choose between GE's proposal and a rival one from Siemens and Japan's Mitsubishi Heavy Industries (MHI). GE said the new offer had been…
Siemens, Mitsubishi Challenge GE with Alstom Offer
Germany's Siemens and Japan's Mitsubishi Heavy Industries presented a joint offer to France's Alstom on Monday that included 7 billion euros ($9.5 billion) in cash, challenging a bid by General Electric. Under the deal, Siemens offered to buy Alstom's gas turbines business for 3.9 billion euros in cash, and MHI to buy stakes in Alstom power assets including hydroelectric power equipment and grid, to be held in separate joint ventures. MHI would inject 3.1 billion euros in cash into Alstom and offer to take a stake of up to 10 percent in the French firm from shareholder Bouygues.
GE, Siemens Defend Rival Plans For France's Alstom
General Electric and Siemens defended rival proposals to buy the power arm of Alstom on Tuesday, both assuring France that its prized engineering firm would emerge strengthened, including in its remaining transport business. Top executives for both groups told lawmakers their plans were good for Alstom, for France and its jobs, as they strived to address government concerns over the fate of the once bailed-out company and the nation's wider industrial footprint. During a parliamentary hearing…
GE to Make Detailed Commitments on Jobs in Alstom Deal
General Electric will make precise commitments to increase jobs in France as part of its efforts to seal a deal to buy Alstom's power arm, GE Chief Executive Jeff Immelt said on Tuesday. During a hearing about GE's 12.35 billion euro ($16.9 billion) bid for Alstom's power business, Immelt also said his group was considering a tie-up in rail signaling that would give the French engineering group control of that business. The French government has criticized the U.S. company's bid, citing…
GE CEO Immelt: Expects to Close Alstom Deal
General Electric Co Chief Executive Jeff Immelt said on Wednesday that GE is still going to "work constructively" with the French government on its bid for the power business of Alstom and that he expects the deal to close. GE has encountered resistance to its $16.9 billion proposal from the government, which has sought to encourage Germany's Siemens as a potential rival bidder. "It's a deal that's executable. It's a deal we're experienced in. It's a deal we expect to close," Immelt said at the Electrical Products Group conference.
GE Boss Faces Public Alstom Grilling in Paris
General Electric boss Jeff Immelt faces a public French parliamentary grilling in person on Tuesday over his high-stakes plan to buy the power arm of engineering group Alstom, replacing a subordinate at the last minute. A statement from the parliamentary economics committee late on Monday put Immelt on its agenda for Tuesday's hearing, which was scheduled originally last week with the head of GE France, Clara Gaymard, on the stand. Immelt is scheduled to speak in defence of his 12.35 billion euro ($16.9 billion) bid for Alstom's power arm at 1630 GMT…
