Four rough years in the corporate icon’s history.
GE's "solid performance" in aviation and health care has been "overshadowed by weakness in the power segment," the rating agency says.
The removal of John Flannery after a year on the job reflects "the board's frustration with the slow pace of change under his leadership.”
GE's second-quarter profits sank 30% from last year, but revenue was up, beating analyst expectations.
The rating agency puts GE on watch for a possible downgrade, saying the healthcare spinoff could result in “more volatile profitability and cash flow.”
The deal with railroad manufacturing firm Wabtec is the biggest step so far in GE's plan to streamline its operations to three core segments.
"Until you get power fixed, and they're nowhere close to getting that fixed, the stock only goes so far," one analyst says.
The sale to Veritas Capital appears to fit General Electric's "overarching objective to become a truly digital industrial company."
The nominations of three new directors include former FASB head Leslie Seidman and former AT&T CFO Thomas Horton.
GE had been exploring "exit options" but CFO Jamie Miller says it now sees "a lot of upside" for Baker Hughes.
General Electric's three core assets — power, aviation, and healthcare — may one day be up for grabs.
The 12,000 job cuts are "painful but necessary for GE Power to respond to the disruption in the power market."
