Wednesday, March 18, 2009

Is GE the next AIG?

Will the NRC license new nuclear plants quickly, or let them go down tomorrow? Questioned whether the NRC would consider using statistical methods and the latest software to decrease new plant licensing time from four to one years, at the Regulatory Information Conference March 9-11 the NRC responded they would not. They considered using tools like Statistical Process Controls. They decided statistical methods did not help speed up new plant licensing processes.

Thus, timelines to license GE's new passive-safe nuclear plant design – the ESBWR, will not turn around soon enough to benefit GE's short-term financial condition, given the problems at GE Capital (finance). Had there been more prospects for improving GE, value licensing with nuclear plant ESBWR prospects would have increased for GE.

Losing $400 Billion in capital in the past two years, could a GE meltdown be next? Would Congress bail out GE if that happened? Their heavy metals group, (Energy) GE Nuclear, Aviation, Transportation, Oil & Gas, Water & Process Technologies, have significant value showing, yet even now. That value drops so long as their financial group continues to drag them down. Lengthy licensing processes at NRC don’t help.

Is GE the next AIG? Will Congress let GE spin off its remaining viable businesses -- heavy metals, or let them go down with the rest? If so, what happens to GE Nuclear, and it's twenty-year long effort to license passive safe nuclear designs.

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