In a December 16 webcast, General Electric Co.'s Chairman and Chief Exective Officer J.R. Immelt said, along with a cautionary outlook for 2009, that the company had dropped plans to sell its unit that includes lighting and appliances divisions.

Why? The answer is quite straightforward: No buyers.

"It's just a tough market to execute on this transaction," a Dow Jones news report quoted Immelt as saying.

When GE put the century-old appliances business on the block in May, the company hoped to focus on higher-growth businesses. The Fairfield, Connecticut-based conglomerate entered the business in 1907 and boasts of milestones such as introducing the refrigerator, room air-conditioner and toaster oven.

Industry insiders estimated the value of the business between $4 billion and $8 billion from a sale of the business, which lured interest from South Korea's LG Group, China's Haier Electronics Group Co. Ltd., Mexico's Controladora Mabe and Turkey's Arcelik.

In August, it was reported that Blackstone Group LP would join Haier Group Corp. to bid for GE's appliances unit. However, after Haier hired the consulting firm McKinsey to evaluate the deal, the company decided to shelve the plan.

Times certainly are tough for durable goods like appliances. Thanks to the housing slump and credit crisis, both demand and purchasing power have drastically declined.

So, GE will hang onto the unit "indefinitely," and Immelt estimated its earnings will be $300 million to $400 million in 2009. He told the press that, on the bright side, "We didn't lose any market share as we went through this process." GE is still the second largest appliance maker in North America.