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GE Completes Sale of Europe Middle East and Africa Commercial Distribution Finance Business to Wells Fargo

GE

GE Completes Sale of Europe Middle East and Africa Commercial Distribution Finance Business to Wells Fargo

  • Closing of transaction completes the agreement with Wells Fargo to purchase GE Capital’s global Commercial Distribution Finance, Vendor Finance and Corporate Finance platforms, previously announced in October 2015.
  • GE Capital total announced signed agreements to date passes $193 billion
  • GE continues transformation to more focused Digital Industrial Company

GE (NYSE:GE) announced that today it has completed the previously announced sale of its European, Middle East and Africa (EMEA) Commercial Distribution Finance (CDF) business to Wells Fargo, representing aggregate ending net investment (ENI) of approximately $0.8 billion as at the end of the second quarter of 2016.

This closing represents the final component of the previously announced agreement to sell GE Capital’s global CDF, North American Vendor Finance and Corporate Finance businesses to Wells Fargo, amounting to a total ENI of approximately $30 billion.

“We’re pleased that CDF will continue to serve customers as a global franchise,” said Rich Laxer, chairman and CEO of GE Capital. “This closing also brings us nearer to the completion of our plans to sell most of the assets of GE Capital.”

As previously announced, GE has embarked on a strategy to create a simpler, more valuable company by reducing the size of its financial businesses and by focusing on continued investment and growth in its world-class industrial businesses. GE will retain the financing businesses that relate directly to GE’s industrial businesses.

Since the April 2015 announcement, GE Capital has signed agreements for the sale of approximately $193 billion of businesses and has closed approximately $175 billion of those transactions. GE Capital plans to have largely completed the process of selling approximately $200 billion of businesses by the end of 2016 and believes it is on track to deliver approximately $35 billion of dividends to GE under this plan.

About GE

GE (NYSE:GE) is the world’s Digital Industrial Company, transforming industry with software-defined machines and solutions that are connected, responsive and predictive. GE is organized around a global exchange of knowledge, the "GE Store," through which each business shares and accesses the same technology, markets, structure and intellect. Each invention further fuels innovation and application across our industrial sectors. With people, services, technology and scale, GE delivers better outcomes for customers by speaking the language of industry. www.ge.com

GE’s Investor Relations website at www.ge.com/investor and our corporate blog at www.gereports.com, as well as GE’s Facebook page and Twitter accounts, including @GE_Reports, contain a significant amount of information about GE, including financial and other information for investors. GE encourages investors to visit these websites from time to time, as information is updated and new information is posted.

Caution Concerning Forward-Looking Statements:

This document contains "forward-looking statements" – that is, statements related to future events that by their nature address matters that are, to different degrees, uncertain. For details on the uncertainties that may cause our actual future results to be materially different than those expressed in our forward-looking statements, see http://www.ge.com/investor-relations/disclaimer-caution-concerning-forward-looking-statements as well as our annual reports on Form 10-K and quarterly reports on Form 10-Q. We do not undertake to update our forward-looking statements. This document also includes certain forward-looking projected financial information that is based on current estimates and forecasts. Actual results could differ materially.

Investors:
Matt Cribbins, +1 203-373-2424
matthewg.cribbins@ge.com
or
Media:
GE Capital:
Patrick Brennan, +1 203-750-3335
patrick.brennan@ge.com



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