BornAgain123
November 12th, 2008, 05:42 PM
http://www.bloomberg.com/apps/news?pid=20601103&sid=a59q5TXyQY8E&refer=news
Nov. 12 (Bloomberg) -- General Electric Co. said the U.S. government agreed to insure as much as $139 billion in debt for lending arm GE Capital Corp., the second time in a month it has turned to a federal program designed to help companies during a global credit crunch.
Granting GE Capital, which isn't a bank, access to a new Federal Deposit Insurance Corp. program may reassure investors and help the unit compete with banks that already have government protection behind their debt, said Russell Wilkerson, a spokesman for the Fairfield, Connecticut-based company. Coverage would be for about $139 billion, or 125 percent of total senior unsecured debt outstanding as of Sept. 30 and maturing by June 30.
``Inclusion in this program will allow us to source our debt competitively with other participating financial institutions,'' Wilkerson said. GE sent investors an e-mail about the program today and posted the letter on its Web site. ``Our participation is a positive development for our investors.''............
Nov. 12 (Bloomberg) -- General Electric Co. said the U.S. government agreed to insure as much as $139 billion in debt for lending arm GE Capital Corp., the second time in a month it has turned to a federal program designed to help companies during a global credit crunch.
Granting GE Capital, which isn't a bank, access to a new Federal Deposit Insurance Corp. program may reassure investors and help the unit compete with banks that already have government protection behind their debt, said Russell Wilkerson, a spokesman for the Fairfield, Connecticut-based company. Coverage would be for about $139 billion, or 125 percent of total senior unsecured debt outstanding as of Sept. 30 and maturing by June 30.
``Inclusion in this program will allow us to source our debt competitively with other participating financial institutions,'' Wilkerson said. GE sent investors an e-mail about the program today and posted the letter on its Web site. ``Our participation is a positive development for our investors.''............