GE Capital will not appeal risk panel's proposed systemic tag
WASHINGTON (Reuters) - GE Capital, the financial services arm of General Electric (GE.N), said on Tuesday it will not appeal a proposal by the new U.S. risk council to designate the firm as systemically important, a tag that will subject the company to tougher regulations.
The comment from Russell Wilkerson, a spokesman for GE Capital, came a day before the end of a 30-day window for the company to notify regulators on the Financial Stability Oversight Council whether it intended to legally challenge the designation.
"We have strong capital and liquidity positions and we are already supervised by the Fed. Accordingly, we have decided not to appeal or ask for a hearing," he said.
GE Capital is one of three firms who had been notified by the FSOC about a proposed designation. The other two are American International Group (AIG.N) and Prudential Financial (PRU.N).
(Reporting by Sarah N. Lynch; Editing by Gary Hill)