GE Continued

May 28: Reuters: GE names LG, Haier, Mabe, Electrolux, Arcelik of Turkey (which is larger than you think), as potential suitors.
May 23:  Indian conglomerate Videocon confirms that it has been invited to make a bid for GE.  Videocon recently completed its acquisition of Daewoo and has formed deep strategic ties with Electrolux in India
May 22:  Immelt comments that sale or spinoff should be completed by Q1 2009.  
May 16:  Analysis:  Appliance Park (AP) is a place lost to time, shuffled to the back of the GE bus.  The ugly step-child.  Poorly lit, and never updated.  Carpet worn or rippled by ancient roof leaks and never repaired.  Stained cinderblock walls, ancient furniture and fixtures.  One could say it reminds one of a Soviet hospital, but I have been to a Soviet hospital and AP is not nearly so cheerful.
AP is a depressing work environment successful in only one measure:  making one feel sad for those who spend their careers so disrespected by their employer. 
What if the new investor actually invested in AP?  How much value could be unlocked? 

• If the far flung departments of AP were consolidated into a convenient vertical rather than time sucking horizontal building structure
• If the time sucked away commuting to meetings all over the bloody place was instead productive time.
• If the employees were shown the respect associated with a clean, modern and well lit work environment.  
• if the isolation of life at AP were replaced with a tighter, more interactive office layout, it would unlock the creativity and innovation of random interactions; the unplanned hallway conversations between unrelated appliance professionals.

What if the new owners saw the rejuvenating possibilities of a new facility and a new beginning in the mold of Chrysler's Auburn Hills HQ?  We can only hope.

May 16:  Analysis:  Is the purchase of GE life and death for Mabe.  No.  Is this the deal that they must win?  Maybe not "must", but they should make every attempt to make it happen.  Mabe manufactures a huge chunk of products branded as GE or sold by GE and branded as Kenmore.  Is that at risk in a sale?  Even if the new owner will own 49% of Mabe?  Yes and Yes.  Mabe has the most to lose and the most to gain of the suitors so far mentioned.  If it makes financial sense for GE to buy Mabe product in Mexico and resell it throughout the US just imagine Mabe's margins if they can remove the middleman......even in the "just better than coal" cooking categories.  
May 16:  NEW:  GE Confirms that it is planning to spin off or sell division
May 15:  Reader Suggestion:  LG was always the end game at GE, always the suitor that was going to get into GE's panties.  What should have been a civilized exchange of cash and equity has now become a free for all, which suggests that LG could not or would not meet GE's price.