During his tenure as CEO of General Electric (NYSE:GE), Jeff Immelt would fly with two private jets when traveling, a company spokesperson has confirmed to FOX Business.
Continue Reading Below
The news first broke in a report by the Wall Street Journal, which said Immelt would fly in the company-owned aircraft, while another jet followed and, at times, parked far away to avoid drawing attention. The second plane was used as a backup, in case the one Immelt was riding in had “mechanical problems.” Flight crews for both planes were told not to “openly discuss” the unfilled jet, according to the Journal’s report, which cited sources familiar with the matter.
“Two planes were used on limited occasions for business-critical or security purposes,” a General Electric spokesperson told FOX Business.
This comes as GE’s current CEO John Flannery, who took the helm in August, plans to take cost-cutting initiatives such as slashing thousands of jobs, according to the Journal. One of his first orders of business after taking over for Immelt was to ground the company’s fleet of corporate jets.
“Earlier this year GE announced plans to reduce $2 billion in cost by the end of 2018, which includes job eliminations,” the GE spokesperson said.
The company’s stock has fallen 25% this year to $23.50 per share.