GE Healthcare  President And Chief Executive Officer John Flannery Interview
John Flannery speaks during a Bloomberg Television interview in New York, on Sept. 30, 2016. Christopher Goodney—Bloomberg/Getty Images

General Electric’s New CEO Just Made A $2.7 Million Bet on the Company’s Future

Aug 10, 2017

General Electric's (ge) new Chief Executive Officer John Flannery made a big bet that the industrial company's flagging fortunes will improve, buying nearly $2.7 million in GE stock, according to a regulatory filing.

Flannery bought 103,983 GE shares for his 401(k) account on Tuesday and reported in a filing dated Wednesday. He now has about 615,000 shares worth $15.5 million at Thursday's closing price.

When Flannery, 55, took over from longtime CEO Jeff Immelt on Aug. 1, he told employees he plans to improve GE's performance, which has caused its stock to fall 19% this year, even as broad stock indexes advanced.

Investors think the company needs to generate more cash, widen its profit margins and reduce overhead costs, Flannery said in the letter, adding, "I heard them loud and clear."

Flannery was not available to comment and GE declined to comment on the filing.

For more on GE, watch Fortune's video:

Immelt, who remains GE's chairman through year-end, bought 1.2 million shares of GE stock during his 16-year tenure as CEO, during which he focused GE on large industrial businesses such as power generators, renewable energy and aircraft engines while shedding most of GE's finance business along with NBCUniversal (nbc) and its plastics and appliances units.

All products and services featured are based solely on editorial selection. FORTUNE may receive compensation for some links to products and services on this website.

Quotes delayed at least 15 minutes. Market data provided by Interactive Data. ETF and Mutual Fund data provided by Morningstar, Inc. Dow Jones Terms & Conditions: S&P Index data is the property of Chicago Mercantile Exchange Inc. and its licensors. All rights reserved. Terms & Conditions. Powered and implemented by Interactive Data Managed Solutions