Confirming the warnings from last week, GE has issued a 2019 guidance statement that the company expects industrial free cash flow as low as negative $2 billion.

On March 5th, CEO Larry Culp warned that cash flow from GE’s industrial operations will be negative this year as GE grapples with further challenges in its power business and other operational pressures.

Today's guidance confirms that.

Looking ahead to 2020 and 2021, GE expects adjusted Industrial free cash flows to be positive in 2020, with the pace of improvement accelerating in 2021.

Sees year adj. EPS 50c to 60c, vs. estimate 67c.

Expects power unit free cash flows down in 2019.

Sees GE Capital net income breakeven by 2021.

“GE’s challenges in 2019 are complex but clear," says CEO Lawrence Culp, adding "We have work to do in 2019, but we expect 2020 and 2021 performance to be significantly better with positive Industrial free cash flow as headwinds diminish and our operational improvements yield financial results."

The reaction was not positive, as it seems the final short-squeeze two weeks ago exhausted the ammo and downside risk is back:

"We will continue to take thoughtful actions to reduce downside risk and increase upside optionality to create long-term value for our shareholders," Culp added.