GE’s Return to Credibility Advances a Step
Two more legacy directors are leaving and the company is saying the right things on accountability. Next up, GE's outlook.
Under repair.
Photographer: SEBASTIEN BOZON/AFPWhen it comes to General Electric Co. and its mammoth turnaround, I've long felt that a recovery in its bedrock business and financials won't mean as much without a corresponding correction to the misguided priorities and cultural arrogance that led to its difficulties in the first place. So it’s good to see the company making some progress in that area.
GE released its preliminary proxy filing late Friday and said its two longest-tenured directors – former ConocoPhillips CEO Jim Mulva and former Thomson Reuters Corp. deputy chairman Geoff Beattie – would retire. That leaves GE with only four directors appointed by former CEO Jeff Immelt and a total slate of 10 nominees, down from a board of 18 when Immelt retired. GE expects to continue to target 12 total directors, but it’s seeking permission from shareholders to change its articles of incorporation to lower the minimum board size to seven.