General Electric has sought to quell months of speculation on the future of its aircraft leasing company GECAS by declaring that it is not selling the subsidiary.
"To be clear, we have no plans to sell GECAS," GE chief executive Larry Culp told investors during an earnings call today, adding that the aircraft lessor's parent GE Capital would receive about $4 billion of financial support from its parent this year.
Culp says GE receives a lot of inbound requests about selling GECAS, which "speaks to the quality of the assets", he argues.
"We are mindful of the trades when we move assets out and the impact on our earnings and cash capability," he adds, noting GECAS's ability to generate steady cash flows through its long-term leases.
The second paragraph of this story has been updated to reflect that GE will invest $4 billion in GE Capital, not GECAS.
Source: Cirium Dashboard