- General Electric executives will now fly using charter services, The Wall Street Journal reported Wednesday.
- CEO John Flannery is grounding the fleet of General Electric corporate jets.
- The jets shuttled executives to operations around the globe for decades.
executives will now fly using charter services, The Wall Street Journal reported Wednesday.
CEO John Flannery is grounding the fleet of General Electric corporate jets, a person with knowledge of the situation told the Journal.
The industrial conglomerate is seeking ways to cut corporate spending. Beginning Wednesday, Flannery is ending the internal airline for corporate executives.
"As we have said, we are executing on a plan to take out $2 billion in cost by the end of 2018," a GE spokeswoman told CNBC. "As part of that effort, starting today, we are reducing the Corporate Air Transport services and will use charter companies as needed."
For decades the fleet has shuttled executives to operations around the globe, with its pilots clocking hundreds of hours of flight time each year.
GE overseas will continue to utilize its helicopter fleet and some other aircraft, according to the Journal.
Shares of GE rose less than 1 percent in midday trading Wednesday. GE's stock is down 23 percent this year, according to FactSet.
Read the full report at The Wall Street Journal here.