DOTmed Home MRI Oncology Ultrasound Molecular Imaging X-Ray Cardiology Health IT Business Affairs
News Home Parts & Service Operating Room CT Women's Health Proton Therapy Endoscopy HTMs Mobile Imaging
SEARCH
Current Location:
>
> This Story


Log in or Register to rate this News Story
Forward Printable StoryPrint Comment
advertisement

 

advertisement

 

Business Affairs Homepage

Veritas Capital, Evergreen Coast Capital to take athenahealth for $5.7 billion Gives athenahealth stock holders $135 in cash per share

A look into the medical device design process Go behind the scenes to see what factors contribute to the design of new medical devices

How hassle maps can improve radiology department operations Tips for finding and addressing friction points and improving overall patient care in radiology

When radiologists speak up, follow-up imaging improves Study supports better communication between radiologists and referring clinicians

Dr. Jonathan Luchs Premier Radiology Services appoints chief medical officer

Deborah Conrad Grand Rounds hires former Intel CMO as chief marketing officer

Siemens Healthineers' imaging business 'super-strong' says Montag Atellica lab diagnostic solutions sales also performed well

Philips to open new center of excellence in Cleveland Bringing CT, molecular imaging R&D in its latest investment in the city

Manchester United puts Canon imaging solutions into team health center The club's Aon medical center gets CT, MR and ultrasound systems

Radiology Partners scales reach with close to 30 additional sites Servicing 750 clients across 17 states

GE to be removed from Dow Jones Industrial Average

by Thomas Dworetzky , Contributing Reporter
After 110 years, Dow Jones Industrial Average's original member, General Electric, is out of the blue-chip index.

Walgreens will replace it.

Story Continues Below Advertisement

RamSoft PowerServer™ RIS/PACS - Enabling Efficient Diagnostic Imaging

RamSoft's PowerServer™ RIS/PACS is an intuitive, single database application that enables healthcare practices to operate diagnostic imaging more efficiently than ever before.Why is this important? Click to find out.



GE had been in the 1896 Dow and in the average continuously since Nov. 7, 1907.

The news comes as yet another blow to the embattled behemoth. In the last year, according to the New York Times and other news organizations, the stock fell 55 percent against just a 15 percent overall fall of the Dow.

The Dow, a price-weighted index, gives more impact to higher-priced stocks than its cheaper ones.

“The low price of G.E. shares means the company has a weight in the index of less than one-half of one percentage point,” David Blitzer, chairman of the index committee at S. & P. Dow Jones Indices told the Times. “Walgreens' Boots Alliance’s share price is higher, and it will contribute more meaningfully to the index.”

The stock changes also, symbolically at least, move the index away from its more industrial roots and toward a better reflection of today's more service-oriented economy.

Blitzer told the Times that the change will make the index “more representative of the consumer and healthcare sectors of the U.S. economy.”

GE has been going through both financial and repositioning challenges, which, in some ways, have come to a head since June, 2017, when John Flannery, former president and CEO of GE Healthcare, was tapped to replace Jeff Immelt as CEO of the entire multinational conglomerate corporation.

Flannery's deep international and financial experience made him the top pick. “John has spent almost half of his career living outside of the United States and has led complex financial and industrial businesses all over the world, including running GE Healthcare, GE in India and the business development team for GE, through the successful acquisition of Alstom,” said Jack Brennan, lead independent director for GE’s board of directors, in a statement at that time.

The problems hit the news in January, when Flannery warned, in a conference call, that GE could be headed for more radical transformations – thanks, in some part, to a massive a $6.2 billion charge, due to a poorly-performing legacy portfolio of long-term care insurance. It also told investors that it was setting aside $15 billion to cover GE Capital obligations for the next seven years.

“Needless to say, at a time when we are moving forward as a company, I am deeply disappointed at the magnitude of the charge,” Flannery said at the time. “It’s especially frustrating to have this type of development when we’ve been making progress on many of our key objectives.”

Back in November, 2017, the CEO advised that the company would focus on jet engines, power generation equipment and healthcare – and rid itself of about $20 billion in other assets.

“We are looking aggressively at the best structure or structures for our portfolio to maximize the potential of our businesses,” he said.

Business Affairs Homepage


You Must Be Logged In To Post A Comment

Advertise
Increase Your
Brand Awareness
Auctions + Private Sales
Get The
Best Price
Buy Equipment/Parts
Find The
Lowest Price
Daily News
Read The
Latest News
Directory
Browse All
DOTmed Users
Ethics on DOTmed
View Our
Ethics Program
Gold Parts Vendor Program
Receive PH
Requests
Gold Service Dealer Program
Receive RFP/PS
Requests
Healthcare Providers
See all
HCP Tools
Jobs/Training
Find/Fill
A Job
Parts Hunter +EasyPay
Get Parts
Quotes
Recently Certified
View Recently
Certified Users
Recently Rated
View Recently
Certified Users
Rental Central
Rent Equipment
For Less
Sell Equipment/Parts
Get The
Most Money
Service Technicians Forum
Find Help
And Advice
Simple RFP
Get Equipment
Quotes
Virtual Trade Show
Find Service
For Equipment
Access and use of this site is subject to the terms and conditions of our LEGAL NOTICE & PRIVACY NOTICE
Property of and Proprietary to DOTmed.com, Inc. Copyright ©2001-2018 DOTmed.com, Inc.
ALL RIGHTS RESERVED