Prominent corporate executives usually leave room for interpretation when making bold statements like "I´ve never thought about selling our plastics business," as Jeffrey Immelt, CEO of General Electric (GE) is quoted as saying in a September 2006 interview. His subsequent statement during an earnings conference a month later was more ambiguous: Plastics "is a business we really need to remain focused on." In any case, the long-rumoured sale of GE Plastics (GEP, Pittsfield, Massachusetts / USA; www.geplastics.com) looks to be closer than ever. GE is seeking bids of USD 8-10 bn for the activities with annual sales of USD 7 bn, the well-connected "Wall Street Journal" said in its 8 January 2006 issue, citing unidentified sources.

Alongside Bayer MaterialScience (BMS, Leverkusen / Germany; www.bayermaterialscience.com), GEP is one of the two giants in polycarbonate and also has a broadening portfolio of high performance polymers. The reason for a decision to sell now, observers say, is the continued high price of important feedstocks and raw materials as well as stiffening competition. GE last reported a double-digit drop in quarterly earnings on plastics. Private equity companies are said to be the most likely potential buyers, although pending US legislation on formation of bidding consortia could make it more difficult to put together a package of this size.