General Electric Company's stock price dipped below the $10 mark at midday today, dropping 68 cents to $9.38. It continues a sharp decline from October 2007 when shares sold at $41.77. Overall, the Dow industrials were down 100 points to 7,365.
GE's stock peaked in July 2000 at $57.81.
On Wednesday, Chairman and Chief Executive Jeffrey Immelt said he will forgo a 2008 bonus and performance awards worth millions of dollars after the company's earnings fell last year and its stock price plunged amid a deteriorating economy. The Fairfield, Conn.-based conglomerate, which makes everything from locomotives to household appliances, said in a filing with the Securities and Exchange Commission that Immelt will not receive his $11.7 million long-term performance award. Immelt received a base salary of $3.3 million, unchanged from 2007, but no bonus. In 2007, GE paid Immelt a $5.8 million bonus.
The actions amount to a 64 percent reduction in Immelt's cash compensation compared with a year earlier.
Immelt said in a statement that GE's board of directors took the steps at his urging because of the company's sagging performance. Earnings were down 22 percent in 2008 as the growing recession battered the company's industrial division and its lending arm, GE Capital, struggled with mounting loan losses. Company shares lost more than half of their value last year and are already down about 35 percent in 2009.