GE Sets Dividend Cut as First Step in Radical Reset

The transcript discusses GE's strategic changes, including a dividend cut and asset divestitures, aimed at restructuring the company. Brooke Sutherland's column highlights these moves as initial steps in a radical reset, though investors remain skeptical. The discussion also explores potential future directions for GE, focusing on healthcare and aviation, while addressing challenges in the power business.

What is one of the key actions GE is taking to streamline its operations?

• Increasing its quarterly dividend

• Exiting $20 billion of assets

• Acquiring new businesses

• Expanding its board to 20 members

How did the market initially react to GE's dividend cut?

• Investors were largely indifferent

• The stock price remained stable

• There was concern about the sufficiency of the measures

• The stock price increased significantly

Which businesses are earmarked for divestiture by GE?

• Consumer electronics and appliances

• Power and renewable energy

• Transportation, lighting, and industrial solutions

• Healthcare and aviation

What potential future strategy is discussed for GE?

• Focusing solely on the power business

• Becoming a healthcare and aviation company

• Expanding into consumer electronics

• Merging with another conglomerate

What is a major concern regarding GE's power business?

• Excessive profitability

• Lack of innovation

• Over-reliance on renewable energy

• Declining demand and increased competition