GE Executive: Conditions Improving For Appliances, Lighting Units

A top General Electric Co. (GE) executive forecast revenue and profit growth for the conglomerate's consumer and industrial division next year, saying conditions are slowly improving in much of its business lines.

James Campbell, president of GE's consumer and industrial unit, said Wednesday that he expects "slight" revenue growth in 2010 and "positive operating profit."

The unit, which GE spent much of 2008 trying to sell, has posted 20% slides in revenue and profit through the first nine months this year. Revenue slumped 18% to about $2.4 billion in the third quarter, although quarterly profit more than doubled to $117 million.

Campbell, speaking during an Oppenheimer conference, didn't comment extensively on the past effort to sell the unit. He said in response to a question that he was directed by GE's top brass "to run the business like we are going to be in it" once the sales effort was suspended last November, and he is doing so.

He characterized 2009 as a difficult year overall amid the recession, but said conditions appear to have moderated in the units appliances and lighting markets. He was less optimistic regarding its industrial markets, where it sells circuit breakers, switching gear and other products.

Still, he said he expects "modest" growth in the appliances sector next year, citing among other things anecdotal evidence that home remodeling is starting to pick up. He also said lighting sales are being helped by commercial activity and the adoption of new technology.

-By Bob Sechler; Dow Jones Newswires; 512-394-0285; bob.sechler@dowjones.com