GE today dropped a bombshell on Wall Street, dumping CEO John Flannery, 56, after a 14-year stint and replacing him with the first outsider to head the storied company.
Larry Culp, the 55-year-old CEO of Danaher Corp and GE director, moves into the CEO office that has been vacated by Flannery, whose tenure in the top spot is the shortest in GE’s 126-year history.
In firing Flannery, GE announced that while most of its businesses are “generally performing consistently with previous guidance,” weaker results in the power unit will lead to a $23B non-cash goodwill impairment charge.
The conglomerate’s management shake-up release omits the customary boilerplate about thanking Flannery for his 31 years of service.
The ousted exec joined GE Capital in 1987, headed business development in 2013 where he engineered the largest industrial acquisition (Alstrom) in GE's history and beginning in 2014 guided the turnaround of GE healthcare before assuming the helm from Jeff Immelt in August 2017.