General Electric cut its earnings forecast for the second time this year and suspended its stock buyback because of ``unprecedented weakness and volatility'' in financial markets. Full-year EPS will be $1.95 to $2.10 instead of the earlier projection of $2.20 to $2.30. GE shares have fallen 35% this year.

Chief executive Jeff Immelt said GE is working to decrease its reliance on finance, which accounted for 53% of profits last year. GE Capital will reduce the dividend it currently pays to parent GE from 40% to 10% of earnings and raise capital to reduce leverage.

• GE statement

22 Sep 2008 -

Neither fish nor fowl