GE Capital Said to Near Systemic-Risk Label in Review

http://www.bloomberg.com/news/2012-10-05/ge-capital-said-to-near-systemic-risk-label-in-review.html

General Electric Co. (GE)’s finance arm is in the final stage of a regulatory review to determine if it needs extra scrutiny because of the risk that its potential failure would pose to the U.S. economy, two people with direct knowledge of the matter said. 

GE Capital Corp. joins American International Group Inc. (AIG) as the only two non-banks that the Financial Stability Oversight Council has voted to advance to a third round of evaluations for possible designation as systemically important financial institutions, said the people, who asked not to be identified because the information isn’t public. 

MetLife Inc. (MET) and Prudential Financial Inc. (PRU), the largest U.S. life insurers, are also likely to be deemed systemically important, analysts led by Jay Gelb at Barclays Plc said in an Oct. 2 research note.