GE Lends Support to Mobility Vehicles Industry Growth
GE Capital Commercial Distribution Finance, an operating unit of General Electric Company (GE), has extended its support to mobility vehicles’ manufacturers and dealers to foster growth and development of the industry in the U.S. The strategic move finds resonance as the industry appears primed for long-term growth with an estimated 18 million people in the U.S. and neighboring Canada requiring mobility help.
The mobility vehicles industry serves the transportation needs of people with disabilities. The industry is poised for a healthy spurt in demand with an aging Baby Boomer population, rising tally of war veterans and increasing consumer awareness regarding the ease and benefits of such private and public accessible vehicles.
GE Capital Commercial Distribution Finance is collaborating with manufacturers to offer seamless inventory financing to dealers in order to propagate the large-scale use of these specialized vehicles. The inventory financing portfolio for mobility vehicles has currently swelled to 175 dealers across the country since its inception in 2005 and has witnessed double-digit growth last year.
The inventory financing program facilitates an improved product flow and higher sale opportunities for manufacturers and distributors, along with lucrative credit availability and favorable terms and conditions for dealers. GE Capital Commercial Distribution Finance also helps to finance dealers the Veteran’s Affairs subsidies provided to eligible veterans for purchasing mobility vehicles.
The GE Capital Commercial Distribution Finance program facilitates fast credit approvals for qualified borrowers with simplified documentation requirements and expanded borrowing capacity. This enables borrowers to meet their immediate payment obligations with an additional facility of up to 100% advances for a revolving line of credit. In 2013, it provided $34 billion in financing to over 30,000 dealers and more than 3,000 distributors and manufacturers in the U.S. and Canada.
General Electric, the parent company, is one of the largest and the most diversified technology and financial services corporations in the world. With products and services ranging from aircraft engines, power generation, water processing, and security technology to medical imaging, business and consumer financing, media content and industrial products. Its segments include Power & Water, Oil & Gas, Energy Management, Aviation, Healthcare, Transportation, Home & Business Solutions and GE Capital.
General Electric currently has a Zacks Rank #3 (Hold). Other stocks that look promising and are worth investment include Federal Signal Corp (FSS), carrying a Zacks Rank #1 (Strong Buy), and General Dynamics Corp. (GD) and The Babcock & Wilcox Co. (BWC), both carrying a Zacks Rank #2 (Buy).
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