- The move comes after the company revealed it was under investigation by the Securities and Exchange Commission over its accounting practices in its insurance business.
- The company also nominated three members to its board, ahead of a shareholder meeting in April.
Shares of General Electric fell to their lowest level since July 7, 2010 on news that the company will restate its last two years of earnings due to the adoption of a new accounting standard, regulatory filings showed.
GE's stock dipped below $14 per share on Monday morning.
The company said its revised earnings report will likely show earnings per share that are lower than previously stated because the revised accounting standard will now include revenue from long-term contracts. The revised earnings report is estimated to result in a $0.13 drop in its earnings per share for 2016, and a $0.16 cut for 2017, Reuters reported.
)
)
)
GE is adopting new accounting standards following a Securities and Exchange Commission investigation into the the company's accounting of long-term service contracts. The move was precipitated by a recent insurance charge made by the company, which put regulators on notice.