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- Warren Buffett plowed $3 billion into General Electric during the financial crisis, when the industrials giant's financing arm was suffering from the credit crunch.
- In exchange, Buffett received $3 billion in preferred stock paying a 10% annual dividend, plus warrants to buy $3 billion in common stock at a fixed price in the future.
- Buffett's Berkshire Hathaway raked in about $1.5 billion from the deal, but the famed investor revealed years later that he could have made more.
- "We actually didn't push it to the limit because there really wasn't anybody else around."
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Warren Buffett invested $3 billion in General Electric in October 2008, handing vital cash to the industrial titan just as credit markets seized up and global demand slumped.
Weathering the storm
GE CEO Jeff Immelt had issued a profit warning in late September, citing "unprecedented weakness and volatility in the financial services markets." The credit crunch was especially bad news for GE Capital, the group's massive financing division that loaned money to consumers and businesses.
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