January 22, 2002 |
Montgomery Ward & Co. creditors sued GE Capital Corp. for more than $1 billion, claiming the financial services unit of General Electric Co. benefited unfairly from the defunct department store chain's bankruptcy at their expense. Montgomery Ward filed for bankruptcy and announced it was going out of business 13 months ago. The Chicago-based company first filed for Chapter 11 in July 1997.
December 29, 2001 |
Xerox Corp. received $340 million from General Electric Co. as part of a plan for its finance arm to take over most of the largest copier maker's customer equipment financing. The money from GE Capital, the biggest non-blank finance company, is secured by a portion of U.S. lease receivables. The financing was arranged in September, a Xerox spokeswoman said. Xerox increased its cash balance to about $3.9 billion with the financing and after the repayment of $1.
December 19, 2001 |
General Electric Co. is cutting 3,000 jobs at GE Capital, the source of about 40% of the company's profit, and will exit some financing businesses to reduce expenses and keep earnings rising. GE Capital is consolidating administration at some of its 24 businesses, such as European equipment financing. It has stopped selling mutual funds and other lower-margin products directly to consumers. The job cuts and exiting of product lines are expected to save $400million next year.
December 15, 2001 |
General Electric Co.'s GE Capital agreed to buy Security Capital Group Inc. for $4 billion in cash and stock to gain real estate assets including storage facilities, shopping centers and parking lots. GE Capital said it will pay $2.9 billion in cash to Security Capital Class B shareholders and $1.1 billion of ProLogis Trust shares held by Security Capital. The transaction values Security Capital at $26 a share. Security Capital's stock closed at $20.70, up 3 cents, before the deal was announced.
September 12, 2001 |
Xerox Corp. said General Electric Co.'s GE Capital has agreed to be its primary vendor financing partner and provide it with $1 billion in financing. The agreement comes as part of Stamford, Conn.-based Xerox's plan, announced in October, to exit its business that finances customers' equipment, in an effort to trim its total debt of about $16 billion.
June 23, 2001 |
General Electric Co.'s finance unit agreed to buy National Mutual Life Assurance Society of Britain for almost $810 million as it tries to build a retirement-savings business in Europe's second-largest market. GE Capital Corp., the world's largest finance company that's not a bank, is acquiring National Mutual after failing to purchase at least two other British insurers in the last 12 months. The purchase of National Mutual, which has 250,000 policyholders and $6.