NEW YORK, June 19, 2018 /PRNewswire/ -- Walgreens Boots
Alliance Inc. (NASD: WBA) will replace General Electric Co. (NYSE:
GE) in the Dow Jones Industrial Average (DJIA) effective prior to
the open of trading on Tuesday, June
26.
"General Electric was an original member of the DJIA in 1896 and
a member continuously since 1907," says David Blitzer, Managing Director and Chairman of
the index committee at S&P Dow Jones Indices. "Since then the
U.S. economy has changed: consumer, finance, health care and
technology companies are more prominent today and the relative
importance of industrial companies is less. Walgreens is a national
retail drug store chain offering prescription and non-prescription
drugs, related health services and general goods. With its
addition, the DJIA will be more representative of the consumer and
health care sectors of the U.S. economy. Today's change to the DJIA
will make the index a better measure of the economy and the stock
market."
The DJIA is a price-weighted index, and the range of prices
among its 30 constitutes matter. The low price of GE shares means
the company has a weight in the index of less than one-half of one
percentage point. Walgreens Boots Alliance's share price is higher,
and it will contribute more meaningfully to the index. It will also
help the index better represent the U.S. market and economy.
Walgreens Boots Alliance, which is headquartered in Deerfield, IL, operates as a pharmacy-led
health and wellbeing company.
The change won't disrupt the level of the index. The divisor
used to calculate the index from the components' prices on their
respective home exchanges will be changed prior to the opening on
June 26. This procedure prevents any
distortion in the index's reflection of the portion of the U.S.
stock market it is designed to measure.
Additions to or deletions from an index are not an investment
opinion or recommendation.
For more information, please visit
http://www.djaverages.com.
Following is a summary of the change:
DOW JONES
INDUSTRIAL AVERAGE – JUNE 26, 2018
|
|
COMPANY
|
GICS ECONOMIC
SECTOR
|
GICS
SUB-INDUSTRY
|
ADDED
|
Walgreens Boots
Alliance
|
Consumer
Staples
|
Drug
Retail
|
DELETED
|
General
Electric
|
Industrials
|
Industrial
Conglomerates
|
For more information about S&P Dow Jones Indices, please
visit www.spdji.com
ABOUT S&P DOW JONES INDICES
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more information, visit www.spdji.com.
FOR MORE INFORMATION:
David Blitzer
Managing Director and Chairman of the Index Committee
New York, USA
(+1) 212 438 3907
david.blitzer@spglobal.com
S&P Dow Jones Indices
index_services@spglobal.com
Media Inquiries
spdji_communications@spglobal.com
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SOURCE S&P Dow Jones Indices