General Electric announces a vast restructuring plan

The industrial group General Electric today announced a vast restructuring plan that involves focusing on three sectors, a cut in 50% of its dividend and the reduction of seats in the board of directors.

New York, Nov 13 (EFE) .- The industrial group General Electric today announced a vast restructuring plan that involves focusing on three sectors, a cut in 50% of its dividend and the reduction of seats on the board of directors.

The plan was presented at a meeting with investors by the company's top executive, John Flannery, who from the 1st of August assumed the reins of the corporation to replace Jeffrey Immelt, who led the company for 16 years.

Flannery undertook the task of refocusing the group as part of a series of changes to ensure profitability and that in 2015 included its intention to divest itself of its financial arm, GE Capital.

"This is the only opportunity in life to reinvent this iconic company, "Flanney said during the presentation, in New York, according to a speech that was previously distributed.

General Electric, a A firm that was created 125 years ago and that encompasses multiple activities, with close to 300,000 employees, will now focus on the aviation, energy and health sectors.

Currently it also has operations in the chemical sector, in banking, in the media, railways and marine engineering, among others.

From now on, Flannery said, the future of General Electric "will be more focused on the industry."

As part of the measures announced today, the company announced its intention to reduce the number of board positions from 18 to 12 administration, as well as cut the dividend by 50%.

This reduction in the dividend will be applied in the next quarterly payment, and already with the cut will involve a disbursement of about 4.200 million dollars.

In addition to this, the firm announced that next year its adjusted profit will be between 1 and 1.07 dollars, below what had been projected. the analysts, of 1,14 dollars.

As expected, the plan, and especially the dividend cut, was receiving a strong stock price today, since the General titles Electric was down 5.6% close to the half session.

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