Posts Tagged ‘GE T’

GE Transportation Likely to Take a Hit

October 21, 2017

GE Transportation may be among the business units of General Electric that will see an aggregate $20 billion worth of businesses cut from the GE’s portfolio within the next two years.

The Wall Street Journal reported that third quarter earnings statements from the locomotive and jet engine maker will reduce the company’s cash-flow outlook by $5 billion  to $7 billion.

GE managers have slashed $1.2 billion in costs from business units so far this year, surpassing the original $1 billion goal.

Earlier this year, GE Transportation said it will move locomotive production from its Erie Assembly plant in Lawrence Park, Pennsylvania, to a newer plant in Fort Worth, Texas, by the end of 2018.

The Erie plant will remain open producing parts and working on unspecified non-locomotive projects.

GE CEO John Flannery has ordered a review of every business unit and business practice, including expensive annual retreats to Florida and the company’s fleet of executive jets, both of which have been reduced.