Welches Reach Divorce Settlement

Former General Electric Co. Chairman Jack Welch and his estranged wife, Jane, have reached a divorce settlement, a lawyer involved in the case said Thursday.

The settlement, whose terms were not disclosed, marks the end of a bitter and closely watched breakup that had cast a public spotlight on the lavish benefits awarded Welch as part of his GE retirement package.

The pact came days before the divorce trial was due to begin in Connecticut. The Welches had been married for 13 years.

“Jack and Jane Beasley Welch have settled their matter effective immediately and are now divorced,” William Zabel, a lawyer for Jane Welch, said in a statement.

Jack Welch filed for divorce in April 2002 as reports surfaced of an affair he began with Suzy Wetlaufer, the onetime editor of the Harvard Business Review, while she interviewed him for an article.

Divorce papers filed by Jane Welch made public the former executive’s use of a swank Manhattan apartment owned by GE, along with the cost of flowers, wine and laundry services. The revelations sparked a public outcry, embarrassed GE and sparked an inquiry by the Securities and Exchange Commission.

Welch, who had been one of the most admired U.S. executives, later gave up free use of the apartment and corporate jets but did not apologize for a retirement package that also included country club memberships and regular dinners at one of Manhattan’s best restaurants.

In an article penned for the Wall Street Journal, Welch said at the time that he didn’t want “a great company with the highest integrity dragged into a public fight because of my divorce proceedings.”

According to court papers, Jack Welch’s assets recently stood at more than $450 million before taxes and other liabilities.

His lawyer was not immediately available for comment.