Sign up today for an exclusive discount along with our 30-day GUARANTEE — Love us or leave, with your money back! Click here to become a part of our growing community and learn how to stop gambling with your investments. We will teach you to BE THE HOUSE — Not the Gambler!

Click here to see some testimonials from our members!

GE CEO Jeff Immelt To Step Down

Courtesy of ZeroHedge. View original post here.

In a major shakeup at one of the largest US industrial conglomerates, General Electric said Monday Jeff Immelt, 61, would step down as CEO and Chairman, a move that had been expected by many. Immelt will remain Chairman of the Board through his retirement from the company on December 31, 2017.

John Flannery, 55, the company’s current president and CEO of GE Healthcare, will take over as companywide CEO effective August 1, concluding a 16 years period during which the stock price of GE has barely budged.

The company said that the executive changes are result of succession plan run by GE Board since 2011. Flannery joined GE Healthcare in 2014, led turnaround, increasing organic revenue by 5%, and margins by 100 bps in 2016; began career at GE Capital in 1987.

The company also said that CFO Jeff Bornstein has been promoted to vice chairman.

“During this time of dynamic global markets and relentless focus on technology and operational excellence, there is no better person to lead GE than John Flannery,” said Jack Brennan, GE’s lead independent director.

As the WSJ notes, the change comes as GE has been under pressure by activist investor Trian Fund Management to slash costs and boost profits in the company’s core industrial business.”Immelt recently laid out two-year cost saving target and revamped GE’s executive bonus program under pressure by Trian. Some Wall Street analysts had recently openly wondered about when Immelt might retire, but the CEO gave no sign he was ready to step aside.”

Immelt steered GE through the financial crisis and divested the bulk of the company’s once-massive lending business according to the WSJ. While the share price is little changed from when he took over in 2001, the conglomerate has refocused on its industrial businesses, shedding low-margin units like home appliances and striking a big oil-and-gas deal last fall.

GE shares rose 2.5% after the announcement; they have dropped 6.3% over the past 12 months.

Full press release below:

JOHN FLANNERY NAMED CHAIRMAN AND CEO OF GE

  • Jeff Immelt to Remain Chairman of the Board through December 31, 2017
  • Jeff Bornstein Named Vice Chair of GE; Continues as CFO
  • Portfolio Transformation Paves Way for New Leadership
  • GE’s 2017 Framework Remains Unchanged

Do you know someone who would benefit from this information? We can send your friend a strictly confidential, one-time email telling them about this information. Your privacy and your friend's privacy is your business... no spam! Click here and tell a friend!





You must be logged in to make a comment.
You can sign up for a membership or get a FREE Daily News membership or log in

Sign up today for an exclusive discount along with our 30-day GUARANTEE — Love us or leave, with your money back! Click here to become a part of our growing community and learn how to stop gambling with your investments. We will teach you to BE THE HOUSE — Not the Gambler!

Click here to see some testimonials from our members!