GE’s Power unit has been a drag on earnings for the struggling company as global demand has dropped in tandem with GE integrating its acquisition of power assets from France’s Alstom SA . Former CEO Jeff Immelt expanded GE’s power business through acquisitions, including the 2015 purchase of assets from Alstom. “This decision was painful but necessary for GE Power to respond to the disruption in the power market, which is driving significantly lower volumes in products and services,” GE Power Chief Executive Russell Stokes said in prepared remarks. Mr. Flannery, who took over in August, is focusing on GE’s power, aviation and health-care divisions as he implements a sweeping turnaround effort at the 125-year-old conglomerate. He has specifically highlighted the need from someone with expertise in the power industry or from a utility.
Source: Wall Street Journal December 07, 2017 12:08 UTC