Once again, GE manages to pull cash out of a hat to end the 4th quarter. But how much of that cash is real? And how much is pulled in from future cash streams at a huge discounted price (ie selling receivables (factoring), or selling wind turbines at huge discounts that sit in laydown yards for 2-3 years rotting away before they are to be erected (yes, look up Garden City, KS on google maps and you can see the turbine parts that customers bought last year to erect in 2020...imagine buying materials for your house 3-4 years in advance and letting them sit outside while you figure out how to finance and where to build your house). This cash GE takes in during 4th quarter is not all real and not without huge risks. Kick the can down the road. The game is almost over, folks. Anyone else see any issues with this cash? Is it real? Or is it part of the SEC investigation too?
3 replies (most recent on top)
GE is going the way of Westinghouse. Remember the Siemens SGT-501 when it was still called a W501? Then you'll really love the SGT-7FA and SGT-9FA, coming soon...
I looked at that town and there are wind turbine parts all over the place!!!s
The SEC investigation will expand and GE will fall like a house of cards. Watch KPMG go the way of Arthur Anderson.