Off-Topic: QUESTION ABOUT GE

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	Name:	GoneFishin -
	Subject:	QUESTION ABOUT GE
	Date:	10/1/2008 8:55:55 PM

GE announced today that they will sell $12billion of common stock. They currently have 10 billion shares outstanding and have a capitaliztion of $233billion. The stock can be purchased on the open market. They are increasing the outstanding by approximately 5% and will dilute the earnings per share for the existing shareholders.

The share prices have been going down so why would anyone want to buy the new shares since the can buy them now on the open market?

Other messages in this thread:

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QUESTION ABOUT GE - GoneFishin - 10/1/2008 8:55:55 PM

QUESTION ABOUT GE - rude evin - 10/1/2008 9:39:05 PM

QUESTION ABOUT GE - MartiniMan - 10/1/2008 10:34:59 PM

QUESTION ABOUT GE - roswellric - 10/2/2008 8:54:41 AM

Found the answer - GoneFishin - 10/2/2008 10:36:01 AM

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