GE exiting appliance business

Published May 16, 2008 by CSBJ Staff

The Associated Press

General Electric Co. said today that it plans to sell or spin off its iconic appliance business that for a century sold refrigerators, air conditioners and ovens for millions of homes.

The industrial conglomerate said in a statement the move is part of an ongoing plan to exit “slower growth and more volatile businesses.”

GE’s 101-year-old appliance business, headquartered in Louisville, Ky., has been hurt by the housing slump and economic slowdown in the U.S. The appliance division had revenues of $7 billion last year and employs about 13,000 people worldwide.

The company is planning a strategic review that could result in an outright sale of GE Appliances, a strategic partnership or a spin-off to shareholders.

Analysts said it’s hard to predict what else GE might sell.

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