Culp will need to decide whether to fix GE’s power division or sc-ap it. David Kass, a finance professor at the University of Maryland, thinks he should sell it because of its “substantial” underperformance.“The remainder of GE can then be turned around,” Kass said. “GE should become a smaller company.”
Others think the power business could be salvaged. Scott Davis of Melius Research said the power unit is troubled enough that Culp might need to step in himself.
If he keeps GE Power, “Larry may need to effectively become the CEO,” Davis said, leaving the other
businesses to be run by deputies he trusts.
We are also wondering what's the CEO going to do with GE Power. BTW found this to be an excellent analysis of the challenges that await GE and their management.