BOSTON: Investors have joined many Nutmeggers as they come out of the closet on their distaste for former GE (NYSE:GE] CEO Jeffrey Immelt.
As GE’s new CEO John Flannery announced that expected results had been predicted under Immelt at $1.70 per share but in spite of higher sales, profits would be down to approximately $1.10 per share.
Reaction to Immelt’s move of GE headquarters to Boston was an early Flannery’s cost saving target as he slowed down the building of the new headquarters.
The bad earnings, were punctuated by a recent story about Immelt having a backup corporate jet flying with him, in case of a problem.
Several investment analysts and CNBC commentator Jim Cramer have questioned whether GE will cut its dividend. Cramer said he had interviewed Immelt several months ago and that “he was in denial” about the state of the company. Cramer added, “It was a disgrace, it was a great American company. If you don’t speak out than you’re a sham. And Mr. Immelt did some bad things here.
CNBC Anchor Joe Tiernan, was part of the chorus as well saying of Immelt “he played a CEO ln TV” and an investment analyst saying at least he had “CEO hair.”
Flannery responding to the critics of his predecessor, in a CNBC interview simply said, “we’re driving sweeping change, we can and must improve.”