1. Given the current enormous influx of dollars into our domestic economy:
a.) Current company debt should be viewed in the
context that these debts are to be paid with
cheaper U.S. dollars;
b.) The continued trend towards even cheaper
dollars is imminent under the present
administration and congress;
c.) The global economy is in essentially a similar
predicament – which should prevent any
disturbing imbalances in trade equities; and
d.) The same ideology that applies to a.), above,
should apply, as well, to considerations
regarding shareholder dividends. Reduction
in dividends are compounded by their reduction
in value – along with their impact upon buying
power.

2. Giving consideration to China’s underpinning of our national debt, we would be well advised to maintain as good a trade relationship with these ‘benefactors’, as possible.

The problem I have with this is being mislead by Jeff and Keith.

At the last Shareholders Meeting in Grand Rapids Michigan I personally ask the question about the debt/equity ratio and was assured by Keith it is acceptable for a company such as GE.

Today it appears to be a noose that is strangling the life out of every long-term shareholder.

I think the BOD’s, including top Management should look in the mirror and ask this question:

Have I really been vigilant with the responsibilities granted me as a Director or Manager of GE ?

If the answer is NO you should resign immediately and take No Severance or other Golden Parachute benefits.

Things seem to be just a little different today than a year ago.

I understand the concern of a shareholder, the possible loss or reduction in the dividend and also the loss of a job for a GE employee or anyone. (I am there. With job loss, and at my age of 57, without the comfort of a pension, find myself thinking about the next turn, the next corner in my life).
The current situation in the economy is unprecedented.
Unless compared with the past great depression. Things have changed a great deal since then and we should take
comfort with that. But getting on to the point of my
thoughts about GE.
GE is a stalwart in our economy. Diversified in so many ways, which should allow GE to weather the current
storm.
Jeff Immelt and the company are doing, I think, the
the best any one could, to adjust daily, to the changing circumstances.
Sometimes, to make statements about dividends and try
to guarantee them for any period may be the best of intention, but possibly ill conceived.
Just consider the same, with regard to Dow Chemical.
Good intentions, but things just did not seem to work out as they might have planned or expected.
You may want to give GE management a little latitude for their thoughts and statements on this issue.
A responsible company, it’s CEO and Board of Directors
are charged with the responsibility to make decisions
to insure the health and viability of the company
going forward, concerning the current and/or future business environment. For one to expect anything else
from them is just not reasonable.

Regards to all,

Jeff Johnson

I have mixed emotions.

On the one hand, the company made a commitment to paying a 1.24 dividend in 2009. Many people, myself included, are buying and holding the stock BASED on that commitment.

I absolutely LOVE the stock price at these depressed price levels. Haven’t really added to my position in years, which wasn’t that large to begin with, and was a net seller between 2005-07, so I have been buying back my shares anytime I get my hands on some free money. In fact, I plan on adding to my position Monday morning. Thus, I love the fact that I can buyback stock at 11-12, for what I sold at 35-40 a few years ago. Reinvesting the dividend, at these price levels, will only amplify my long term return.

You have to go all the way back to the 1979-1982 period to find GE trading at less than 1.3 times book value Over the next 18 years, a 30k investment turned into over 1 million. Thus, if history is ANY guide, this stock is not just cheap, it’s dirt cheap.

On the other hand, I don’t really NEED the money, as I am in the fortunate position to re-invest my dividends, so if a 30-50% cut would help some people keep their jobs, stay in their homes, and feed their children, then by all means, this is something that should be strongly considered. We should all want to own businesses that error on the side of doing the greatest good.

Right now, many people are scared. Times are unbelievably tough. I get that. Thus, I’m willing to do my part. These are the time periods when the shares are being returned to the rightful shareholders anyway.

David

I would like to see facts to backup that claim; it sounds very speculative. GE makes money and fund managers need to invest in companies that make money. No way will fund managers dodge owning GE shares over the long haul if GE is set to make money from its current service contracts, its backlog of business, the business it’s acquiring now, and any/all benefits from stimulus packages. In fact, there are fund managers that own GE that have publicly stated that they thought it might be in GE’s best interest to cut the dividend.