A glance into the energy segment of the company
General Electric Company (NYSE:GE) announced that it plans to close the Pennsylvania plant, which will result in a job loss for 380 workers. The company believes that the solar industry demand has not materialized the way it should have.
Next week, GE will start to help the employees who are expected to lose their jobs by the end of this year. It will also grant other forms of compensations to them in terms of packages and benefits.
The plant was used to make inverters, which was used in solar power generation. However, the demand for energy could not meet the supply.
On the other hand, General Electric Company is gradually expanding its renewable energy segment. Recently, it announced to acquire Areva Gamesa’s venture, the Advent Unit. The expansion will help it to increase its revenues coming from the industrial unit, which is the most lucrative segment of the business.
Currently, General Electric is competing with Siemens and MHI Vestas. If it succeeds in expanding its energy segment, it will help it to compete better against these two competitors, which have the highest market share in their respective markets. General Electric stock is up 1.21% trading at $30 as at 10:50 AM EDT.