Now that General Motors (NYSE: GM) is bankrupt, the Dow Jones Index Team has decided to announce its DJIA component changes.  In this change, there were two components changed rather than just GM.  Citigroup, Inc. (NYSE: C) is also getting the boot.  Cisco Systems, Inc. (NASDAQ: CSCO) and Travelers Companies, Inc. (NYSE: TRV) are the replacements in the index.

Late Friday we gave our list of single replacement candidates for replacing GM in the DJIA 30, and we even dispelled a few names some were hoping for that did not actually make sense with the DJIA being a price-weighted index.  Cisco was our top tech pick for the slot, but Travelers was not in our group.  The notion that this was taken out of Citi makes for a slightly ironic index change.

Jon C. Ogg
June 1, 2009