- GE Aerospace Launches Independent Public Company Taking Future of Aviation to New Heights
- Committed to long-term growth as a global leader in propulsion , services and systems
- The launch of GE Aerospace marks the successful completion of GE's multi-year transformation.
- GE Aerospace will trade on the New York Stock Exchange (NYSE) under the ticker ' GE '
New York : GE Aerospace ( NYSE: GE ) today announced the official launch of an independent public company that will take the future of aviation to new heights following the completion of the GE Vernova spin-off. GE Aerospace will trade on the New York Stock Exchange (NYSE) under the ticker ' GE '. Today, April 2, 2024, GE Aerospace and GE Vernova will jointly ring the opening bell at NYSE at 9:30 a.m. ET.
Chairman and CEO of GE Aerospace H. "Today marks the historic final step in GE's multi-year transformation with the successful launch of three independent , public companies," said Lawrence Culp Jr. I am proud of our team and their commitment and dedication in achieving this milestone . ''
Culp continued , " Building on a century of experience and carrying forward GE's legacy of innovation, GE Aerospace continues to move forward with a strong balance sheet, greater focus on the future of aviation , inspiring people and ensuring safe travel." With Flight Deck, our cornerstone proprietary lean operating model, I believe we will further strengthen our ability to serve customers, employees and stakeholders. ''
With nearly 44,000 commercial engines in direct use and nearly 26,000 military and defense engines worldwide, GE Aerospace has launched as a global leader in propulsion, services and systems. The company generated revenue of nearly $32 billion * in adjusted revenue in 2023 , with 70 percent of that revenue generated by engine aftermarket services and a strong economy.
At the company's Investor Day in March, GE Aerospace reaffirmed its 2024 guidance and presented a long-term financial outlook , in which the company expects operating profit to reach $10 billion * by 2028. Also , GE Aerospace also outlined a capital allocation framework to invest in growth and innovation , under which shareholders will be reimbursed approximately 70 to 75 percent of available funds.
The launch of GE Aerospace is the culmination of GE's multi-year financial and operational transformation. GE has taken steps to significantly strengthen the business over the past few years , where it has reduced debt by more than $100 billion since 2018. Also , the company's extensive implementation , ability to overcome weaknesses, and continuous improvement efforts in customer service have resulted in a strong and lasting change in business practices. This dominant structure has led to the successful creation of three independent companies - GE Healthcare , GE Vernova and GE Aerospace. These three companies are well positioned to further strengthen GE 's history of innovation .
Holders of GE common stock received one share of GE Vernova common stock for every four shares of GE common stock held. Distributions are made in a tax-efficient manner to GE shareholders in the United States for United States federal income tax purposes.
Paul , Weiss , Rifkind , Wharton & Garrison LLP served as legal counsel. Evercore , Morgan , Stanley and PJT Partners were GE's lead financial advisors on the transaction. The Company received legal advice from DLA Piper & Gibson , Dunn & Crutcher LLP and financial advice from Citibank , The Consello Group , BNP Paribas and UBS.