GE Mortgage loss in Q2 2007

GE confirmed that it is seeking a buyer for its WMC Mortgage unit, which has racked up big losses on subprime loans. GE recorded a $182 million expense for WMC's losses in its second quarter, on top of a $500 million loss in the first quarter. Despite the losses at WMC, GE's consumer-finance unit recorded an 8% increase in operating profit, to $952 million. Operating profit increased 26% in Europe, and 29% at its credit-card and finance division in the Americas. Division 2Q '07 2Q '06 Change Infrastructure 2,589 2,107 23% Industrial 482 478 0.8% Commercial Finance 1,250 1,057 18% GE Money 952 880 8.2% Health Care 731 795 -8.1% NBC/Universal 904 882 2.5% GE Money - formerly consumer finance GE Money (13.3%, 13.1% and 11.7% of consolidated revenues in 2006, 2005 and 2004, respectively), formerly Consumer Finance, is a leading provider of financial services to consumers and retailers in over 50 countries around the world. We offer a full range of innovative financial products to suit customers’ needs. These products include private-label credit cards; personal loans; bank cards; auto loans and leases; mortgages; corporate travel and purchasing cards; debt consolidation; home equity loans; deposit and other savings products, and credit insurance on a global basis. Commercial Finance Commercial Finance (14.6 %, 14.0% and 14.5% of consolidated revenues in 2006, 2005 and 2004, respectively) offers a broad range of financial services worldwide. We have particular mid-market expertise and offer loans, leases and other financial services to customers, including manufacturers, distributors and end-users for a variety of equipment and major capital assets. These assets include industrial-related facilities and equipment; commercial and residential real estate; vehicles; corporate aircraft; and equipment used in many industries, including the construction, manufacturing, telecommunications and healthcare industries.