"If I had one thing to do over again I would not have talked so much about green,"
-Jeffrey Immelt, CEO, General Electric Corporation
From Reuters:
(Reuters) - General Electric Co has understated or misstated the environmental harm of its chemical dumping into New York's Hudson River, federal officials alleged on Monday.We have dozens of posts on the failings of Mr. Immelt, some including the fact that, going on thirteen years later, GE's stock is still lower than the day he took over. Oh look, here's one from April 2008:
The company's recent report to New York state officials failed to mention harm done to fish, waterfowl and groundwater, the Federal Hudson River Natural Resource Trustees said in a letter to the company that the trustees made public.
The trustees said the GE report "ignores significant natural resource injuries that have already been established by the Trustees."
GE dumped toxic chemicals, in particular polychlorinated biphenyls or PCBs, some 150 miles north of New York City for three decades prior to discontinuing their use in 1977. The U.S. manufacturing conglomerate has spent more than $1 billion to clean it up.
The trustees are assessing the harm caused by the PCBs in order develop a plan for restoring the natural resources along the river....MORE
Commentary on General Electric (GE)
Jeff Immelt took over as CEO of G.E. on September 10, 2001.That's a split adjusted $30.13
The Stock closed that day at $38.95....
The stock closed today at $24.35, down 3.10%. In 2009 it traded as low as $5.73 ($6.66 close Mar. 5).
I was fortunate to not own this stock for the last decade and a half. In the late '90's a very wealthy and very smart investor said to me:
"GE's phoney-baloney earnings smoothing is going to have to end, it's approaching the level of a joke, in addition to violating the '33 act".I sold that week.
If they weren't so huge in the energy biz I wouldn't waste a single brain cell on this croniest of crony capitalists:
I believe we are going through more than a cycle. The global economy, and capitalism, will be “reset” in several important ways. The interaction between government and business will change forever. In a reset economy, the government will be a regulator; and also an industry policy champion, a financier, and a key partner […] I think this environment presents an opportunity of a lifetime....
-Jeff Immelt March 3, 2009
That was after the Federal Reserve was forced to establish a special "Buy GE commercial paper" program because no one else in the entire world would, at any price. After GE issued $16 bil. there the FDIC set up the "Temporary Liquidity Guarantee Program" where GE issued $21 billion.
The FDIC?
After GE's liquidity was assured Uncle Warren stopped in to get some long term 10% paper (preferreds) which he graciously allowed GE to buy back a couple years ago at a mere 11% premium to face.
