Chris Jasper/LONDON
General Electric Aircraft Engines chief executive Jim McNerney looks set to quit the aero-engine giant for another top job following his failure to land the position of chairman and CEO of parent company GE. Outgoing GE boss Jack Welch is to be succeeded by GE Medical Systems CEO Jeffrey Immelt, sparking a likely shake-up within the upper echelons of the company.
A source in GE says McNerney could be succeeded by GE Aircraft Engine's chief operating officer David Calhoun "within a matter of weeks". The same source says 43-year-old Calhoun was drafted into the company in July after a decision on a successor for Welch had been taken, and that he has been groomed to succeed McNerney ever since. Calhoun, McNerney and his predecessor Gene Murphy all came to GE Aircraft Engines from a non-aerospace background.
McNerney's departure from GE seems almost certain, Welch having stated last year that the losing candidates in the three-horse race for his job (which also included GE Power Systems CEO Bob Nardelli) would have to leave GE before the succession took place. Welch now says this need not be adhered to, but the source says both men are still likely to leave.
Industry rumours have previously tipped McNerney, 51, as a possible replacement for Boeing chief operating officer Harry Stonecipher, but he has since delayed his retirement. The source plays down the possibility of a Boeing move, saying that McNerney is being "chased by any number of US companies".
Immelt, 44, will not take over as GE boss until the end of next year, with Welch staying on until then to guide the company through its takeover of Honeywell, a deal which will greatly increase the aerospace element of GE's sales base.
McNerney's record at GE Aircraft Engines is regarded as a strong one, and he is credited with reviving the unit's engineering know-how by securing investment cash for a range of powerplants. One of his greatest successes was ensuring the development of higher thrusting variants of the GE90 when Welch felt the engine was under-performing in sales terms. GE subsequently negotiated an exclusivity deal with Boeing for the GE90-115B to power its 777X variants.
McNerney also backed development of the CF34 to power larger regional jet variants (specifically the CF34-10, which will power the Embraer and Fairchild Dornier 90-seater), and the Tech56technology insertion programme for the CFM56 in co-operation with France's Snecma.
Source: Flight International
