Conglomerates in the cross hairsSteve Rosenbush
With shareholder activists like Carl Icahn demanding that media giant Time Warner shed assets, it wouldn't be too surprising to see investors banging on the door at big conglomerates and demanding changes. Shares of GE, Tyco and other general industrial companies have failed to keep pace with the broader market. Verizon CEO Ivan Seidenberg noted in an interview yesterday with editors at BusinessWeek that smaller and medium-size companies are outperforming the very biggest corporations, and that investors are still figuring out what to do about it. Perhaps they will demand more asset sales and a sharpening of focus, if not an outright breakup. A new story about that prospect can be found today right here.