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GE Money

GE Money

Sales: $25 billion

It's tough to sell loans during a credit crunch. That's at least what GE's retail lending segment is learning now, as it looks to unload some of its debt in mortgages and credit cards. In the second quarter, credit delinquencies for GE in North America rose 105 basis points to 5.55%—bad news for a division that is trying to sell its $30 billion credit-card business, which issues cards for retailers including Chevron and Lowe's. In December 2007, the segment sold WMC, its U.S. mortgage business, for $117 million, and last week sold off its Japanese mortgage loan business at a price that analysts thought was favorable—$5.4 billion. With second quarter profit falling 9%, look for GE to reallocate some of its exposure to consumer lending into commercial finance.