Business: The "End of [General] Electric? Behemoth Considers Splitting Up Into Units

-WSJ General Electric is considering breaking itself apart, a dramatic move that would mark the end of an era for one of the oldest and largest U.S. conglomerates. The Boston company is evaluating carving out its major divisions into separately traded units after already having jettisoned operations including home appliances and much of its once-massive lending arm in recent years. A change in CEO, asset sales and a dividend cut did little to reassure shareholders that it has addressed its problems—especially in a climate where activist investors are pressuring businesses from Alcoa to Xerox to streamline their operations. GE shares fell further after the company disclosed it would book a $6.2 billion charge in its fourth quarter related to its insurance operations. The looming charge is one of the biggest yet in a corner of the insurance industry that has reeled from pricing miscalculations made decades ago. Although GE sold much of its financial-services operations after the 2008 financial crisis, it kept on its books responsibility for billions of dollars of coverage for long-term-care policies that had been sold by other insurers to consumers. Those policies—about 300,000 of them—promise to pay for nursing homes and other care for individuals. The disclosure served as a stark reminder that the company remains on the hook for past problems.