BOSTON – General Electric Co. is pointing out that it can undergo a more complete transformation, a decade after breaking substantial pieces of the multinational conglomerate in an attempt to return to its industrial roots.
CEO John Flannery, who was commissioned to revive the company last summer, on Tuesday revealed significant problems with the GE Capital insurance portfolio that will generate a $ 6.2 billion post-tax charge in the fourth quarter.
GE Capital, the company's finance division, will also suspend its dividend to the parent company for the foreseeable future.
Flannery has said he wants GE to be smaller and more focused, concentrating on three divisions: energy, aviation and medical care. He has emphasized that each business must comply and that the most direct links between performance and reward are fundamental.
Nestle sells sweets to Ferrero
Swiss food and beverage giant Nestle is selling its US sweets business to Italian Ferrero for about $ 2.8 billion in cash.
Ferrero will be in charge of the emblematic Chocolate brands Butterfinger and Crunch bars, as well as the sugary Nerds, SweeTarts and FunDip.
Following a review of its portfolio last summer, Nestlé hinted that it could sell its business in the United States, with a view to growing areas such as pet care, coffee and child nutrition. Nestlé says its US candy business accounts for about 3 percent of sales in its US division.
Bureau reconsiders payday lender rules
The Office of Consumer Financial Protection has decided to reconsider a key set of rules enacted last year that would protect consumers against damaging lenders.
The office, which came under the control of the Trump administration late last year, said in a statement Tuesday that it plans to take a look at the rules of payday loans. While the office did not submit a proposal to repeal the rules in its entirety, the declaration opens the door for the office to begin the process of reviewing or even repealing the regulations. The office also said it would grant exemptions to companies since the first sets of regulations would take effect later this year.
UnitedHealth expects earnings to double
UnitedHealth Group's earnings doubled in the last quarter of 2017, and the nation's largest insurer increased its forecast beyond expectations largely part due to the help of the federal tax review.
UnitedHealth said on Tuesday that it added $ 1.2 billion in non-monetary gains for 2017, as its fourth quarter and all-year corporate tax rates were cut.
The $ 1.5 trillion tax cuts plan that Republican lawmakers and President Donald Trump approved last month has also led other companies to increase the forecast for the new year and announce employee bonuses.
Online shoppers spend a record total
Buyers spent a record amount online during the holiday season.
That's according to Adobe Analytics, which reports online purchases during the holiday season reached $ 108.2 billion, almost 15 percent more than the $ 94.4 billion from the previous year. The research arm of software maker Adobe says that more than a third of online Christmas revenue comes from purchases made on smartphones or tablets.