One of the biggest U.S. industrial conglomerate hits rock bottom after their shares hit five-year low and will now turn into a smaller company.
“GE shares fell to their lowest level in more than five years as investors worried the years-long overhaul would not pare down enough expenses or generate as much cash as they hoped. They closed off the day’s lows, down 7.2 percent to $19.02.”
The company will take big steps in recovering the business. The board of directors will be reduced from 18 to 12 and will add 3 new directors. GE also cut off 25 percent of their staff and reduce the investment on the digital unit to $1.1 billion in 2018 from $1.5 billion in 2017.
The crisis GE is facing right now is a very huge challenge for the 125-year-old company. GE has been serving the world with a large number of their industries and have been part of the lives of more than half of the world’s population.
You may be interested
Job Hiring is Picking Up as Employers and Consumers Gain ConfidenceLamont J - March 29, 2021
The recent government stimulus for small and medium-sized businesses, personal stimulus checks, and declining Coronavirus cases, are all great news…
Fed Could Maintain 0% Interest Rate Until 2024Adam R - March 26, 2021
The Federal Reserve is holding its target interest rate in a range of 0.00% - 0.25%, even while the economy…