CNBC: GE revised proposal creates three joint ventures


General Electric (GE -0.7%) has presented its revised proposal for Alstom (ALSMY -0.8%) to the French government. The improved offer creates three energy joint ventures between GE and the French multinational in the renewables, grid, and nuclear categories, CNBC reports.

Confirming earlier reports, GE has also highlighted it is willing to sell its rail signalling business.

The Alstom board is expected to vote on the bids before Monday.

From other sites
Comments (20)
  • hoonibvird
    , contributor
    Comments (164) | Send Message
     
    GE's BOD should offer Immelt to Alstrom, in return for dropping the bid! When enough is enough. GE needs a change at the top....and a change in direction> just look at the miserable results...> stk is down 4.7% Y-T-D, while their competitors are up! It is even worse when one looks at the history since 2001. And now they want to crtawl in bed with the FRench Gov??? Sometimes I think the GE stockholders are like the general electorate in the USA, on the stupiud side and VERY gullible!
    19 Jun 2014, 10:32 AM Reply Like
  • Patent News
    , contributor
    Comments (1475) | Send Message
     
    stop upping a big against other offers which are garbage
    19 Jun 2014, 10:36 AM Reply Like
  • bberuch
    , contributor
    Comments (314) | Send Message
     
    Keep it up Jeff, keep ignoring the 99% of the corporation business to pursue this relatively small obsession.
    "Those whom the Gods would destroy they first make mad."
    i.e. Napoleon, Hitler, Bernie Eberts, the leaders who flushed ENRON down the drain etc.
    19 Jun 2014, 10:43 AM Reply Like
  • dgwinston
    , contributor
    Comments (17) | Send Message
     
    I'm probably in the minority on this forum, but I believe GE's counter proposal is well-informed, basically costs nothing additional, and addresses the legitimate sticking points that the French government had, such as nuclear power generation security. France derives 75% of its power generation from nuclear, and Alstom is the principal supplier and service provider for the steam turbine-generators in those plants. Thus, GE had to take a position that offers security for continued support of this vital resource.

     

    You can rest assured that there has been a great deal of backchannel communication to help guide GE through areas they had to "enhance". This counter proposal is merely validating and confirming the steps GE would take to address the French government's legitimate concerns, while doing nothing to mess up the tremendous synergy that currently exists between Alstom's Steam Turbine and Gas Turbine businesses, with factories and service facilities routinely working on both products in the same facilities. Research Alstom's Chattanooga operation for a snapshot of this joint approach, which the Siemens proposal would totally corncob into dysfunction.

     

    http://bit.ly/1yoaXwu
    19 Jun 2014, 11:49 AM Reply Like
  • 1313sk
    , contributor
    Comments (53) | Send Message
     
    Stop this foolishness.All of France isn't worth what were offering.Our government should start treating French companies the same way their treating GE.
    19 Jun 2014, 11:59 AM Reply Like
  • Nettligent
    , contributor
    Comments (1346) | Send Message
     
    2 wrongs do not make 1 right. The world dislike American government and corporate management for many good reasons.
    US government and our leaders are not perfect but we are definitely not French.
    GE management will ultimately make their final offers and decisions. I strongly support the GE Alstom from the beginning but French leaders keep changing. Red flags are everywhere.
    We sold half of our GE shares today.
    19 Jun 2014, 06:52 PM Reply Like
  • User 6830851
    , contributor
    Comments (275) | Send Message
     
    I like what GE is doing on this Alstom deal. Value opportunities may be in the U.S., but growth opportunities are in Europe (and elsewhere). The mindless anti-French demagoguery on SA seems quite childish to me.
    19 Jun 2014, 12:40 PM Reply Like
  • 1313sk
    , contributor
    Comments (53) | Send Message
     
    They do not like Americans we should learn a lesson from them and start charging the French for our military protection.They will need us again.All the European countries we protect do not spend as much on their military as we do.They have forgotten what we've done for them.They need a stark reminder.
    19 Jun 2014, 12:50 PM Reply Like
  • Lineman75
    , contributor
    Comments (11) | Send Message
     
    Some might say that the reason we spend so much on defence is because the rest of the world dislikes us, why could that be I wonder ?
    19 Jun 2014, 01:10 PM Reply Like
  • outofhere
    , contributor
    Comments (3694) | Send Message
     
    1313sk

     

    They have gone their own way for decades militarily. They quit NATO but have made sure that their equipment is compatible to ours. I would be nice if you understood history, and better if you were aware of current events.
    19 Jun 2014, 08:09 PM Reply Like
  • 1313sk
    , contributor
    Comments (53) | Send Message
     
    More people agree with me than agree with you.We'll see if those fighting
    pansies French ever need us to rescue them again.I'm betting they will.
    Be American or move to France if you like then so much.Our government should start giving Siemens and the French companies doing business
    here the same treatment GE is getting from the French government.We would see which country would implode first.I'm betting it'd France.
    20 Jun 2014, 01:23 PM Reply Like
  • outofhere
    , contributor
    Comments (3694) | Send Message
     
    1313sk
    did you take a poll?
    Just another round of nonsense from you. Seeing you never mentioned what happened in Chad I assume your not up on current events.
    I also bet your unaware that a French company insulates most homes or that a French company is the leader in cleaning water in this country.
    I'm proud of being an American and a veteran and take umbrage when no nothing ugly Americans like you make stupid statements .
    20 Jun 2014, 02:19 PM Reply Like
  • randolphdeleon
    , contributor
    Comments (111) | Send Message
     
    From a long term GE shareholder's(since 09) viewpoint, this is a very disciplined, deliberate and benign move. By sticking to his price,Immelt is not overpaying Alstom. Going forward, this will probably add incremental profits( rounding errors?) without jeopardizing the cash till too much. But what is truly important about this deal is this. It will assure access to the relatively "closed" European market for GE's power and energy related businesses. This market access in essence is the primary benefit for GE.
    19 Jun 2014, 01:40 PM Reply Like
  • Bugle Boy
    , contributor
    Comments (176) | Send Message
     
    I just read todays actual press release from GE on the Alston proposal. As written, it appears that Alstom will continue in existence and will be joint venturing on a 50/50 basis with GE. Nothing is said about money. Will the amount of money changing hands be correspondingly less? Of course, there will be a host of other business issues, including the French government involvement, but I am most interested in knowing if the dollars remain the same.
    19 Jun 2014, 02:43 PM Reply Like
  • Maerzie
    , contributor
    Comments (32) | Send Message
     
    Nothing is written in stone yet! I bought Alston today, so I'll get a piece of the action, regardless of who wins the bidding. Siemens shares would be nice to own too, but they're out of my range. I like to stay below $50 a share. I bought my FDX that way, and now it's one of my best stocks. When I was still working , as a Home Health and Hospice RN, I used to see FDX trucks on the road all the time, planes in the airports all the time, which clued me in to checking into the stock, as I figured it HAD to be making money! Glad I was thinking! However, that's not always the case. I also bought ARAMARK stock that way, and watched it grow and grow. As I drooled about all my great retirement moves, they all of a sudden decided to go private, just as my great thinking was coming to fruition! Dirty, rotten dealers, ; ), just using my money to grow themselves. I was looking for long term profits.
    19 Jun 2014, 04:10 PM Reply Like
  • Maerzie
    , contributor
    Comments (32) | Send Message
     
    Even if GE doesn't win the bidding, what's wrong with also having a piece of Siemans?? Just buy ALSMY! It's plenty cheap enough to buy a bunch. I have always wished I could afford Sieman's stock. That's how I acquired all my ATT shares, which are still cheap yet. I had bought a baby Bell, SBC, and not long after, ATT bought it out.
    19 Jun 2014, 03:33 PM Reply Like
  • randolphdeleon
    , contributor
    Comments (111) | Send Message
     
    Here is an excerpt from WSJ Bugle Boy
    "Those concessions, along with a sale of GE's rail signaling business to Astom, would lower the $17 billion price the U.S. industrial giant had been offering to pay for Alstom's businesses. Mr. Immelt said the new price is still being calculated, but the underlying valuation of the assets remains the same."
    19 Jun 2014, 03:56 PM Reply Like
  • Bugle Boy
    , contributor
    Comments (176) | Send Message
     
    Thanks for the info, randolphdeleon. It makes sense for GE.
    19 Jun 2014, 04:59 PM Reply Like
  • Bentodd2000
    , contributor
    Comments (74) | Send Message
     
    I am sick of everyone trashing GE about this deal. Management at GE has knowledge about this deal that the average investor like myself does not, I trust in GE and have seen my shares rise in price while collecting a juicy dividend,

     

    Long GE
    19 Jun 2014, 08:45 PM Reply Like
  • outofhere
    , contributor
    Comments (3694) | Send Message
     
    BENTODD2000

     

    I'M for the deal however many in the management nearly bankrupted the company in 2008. I would not use the word trust more like hope.
    20 Jun 2014, 09:03 AM Reply Like
DJIA (DIA) S&P 500 (SPY)
ETF Hub
ETF Screener: Search and filter by asset class, strategy, theme, performance, yield, and much more
ETF Performance: View ETF performance across key asset classes and investing themes
ETF Investing Guide: Learn how to build and manage a well-diversified, low cost ETF portfolio
ETF Selector: An explanation of how to select and use ETFs