Jeff Immelt Invests Bonus in GE Stock

NEW YORK (TheStreet) -- General Electric (GE) CEO Jeff Immelt is backing up his confidence in the industrial conglomerate's operating improvement by investing his entire 2013 bonus in shares of the company.

Immelt bought 105,000 shares of GE on Monday, investing about $2.6 million, which was confirmed by a GE spokesperson.

Monday's "buy" order from Immelt followed a purchase by the CEO of 40,000 GE shares in January.

In his annual letter to shareholders, which will be published later in March, Immelt said,"I am investing right alongside of you. I have invested my entire bonus in GE stock. Like the rest of our leaders, I believe in GE."

GE continues its multiyear transition, following Immelt's strategy to reduce the size of GE Capital, stabilize liquidity sources and free-up capital for deployment through acquisitions, dividend increases and share buybacks.  A major part of the strategy is the planned spinoff of GE Capital's U.S. consumer finance unit.

Please see TheStreet's detailed earnings coverage for much more detail on GE and GE Capital.

Shares of General Electric were up 2.2% in morning trading Tuesday, to $25.67.

This chart shows the performance of GE's stock against the Dow Jones Industrial Average and the S&P 500 since the end of 2011:

GE Chart data by YCharts

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Philip W. van Doorn is a member of TheStreet's banking and finance team, commenting on industry and regulatory trends. He previously served as the senior analyst for Ratings, responsible for assigning financial strength ratings to banks and savings and loan institutions. Mr. van Doorn previously served as a loan operations officer at Riverside National Bank in Fort Pierce, Fla., and as a credit analyst at the Federal Home Loan Bank of New York, where he monitored banks in New York, New Jersey and Puerto Rico. Mr. van Doorn has additional experience in the mutual fund and computer software industries. He holds a bachelor of science in business administration from Long Island University.

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