EX-99 2 exhibit99.htm EXHIBIT 99 exhibit99.htm
LOGO
 
PRESS RELEASE                               
Exhibit 99
GE Reports 3Q’12 Operating EPS $0.36
Industrial Segment Revenues $24.8B, +6%, Organic Growth +8%, +10% YTD
Operating margins expand 70bps over 3Q‘11
GE Capital paid $5.4B dividend YTD, CFOA of $10.7B YTD, +63%
 



3Q 2012 Highlights

·  
 Tenth consecutive quarter of strong operating earnings growth
ü  
3Q Operating EPS of $0.36, up 50% (up 13% excluding effects of 3Q’11 preferred stock redemption)
ü  
3Q Continuing EPS of $0.33, up 43%
·  
3Q orders up 4% ex. Wind & ex. foreign exchange (FX)
·  
Total Revenues of $36.3 billion, up 3%, up 6% ex. FX
ü  
FX negatively impacted revenues by $1.1 billion
·  
Executing on our growth strategy
ü  
Industrial segment organic revenues up 8%, up 10% YTD
ü  
All Industrial segments delivered earnings growth
·  
Margins up 70bps over prior year period, increases in all 5 Industrial segments
ü  
Simplification delivering sustainable cost reduction
ü  
Expect corporate costs down to ~$2.8 billion for total year
·  
GE Capital earned $1.7 billion, up 11%; GECC Tier 1 common ratio 10.2%
ü  
GE Capital 3Q ending ENI balance $425 billion, ahead of plan
·  
$8.4 billion returned to shareholders YTD including $3 billion buyback
·  
No change in company outlook; on track to deliver on double-digit earnings growth in 2012



FAIRFIELD, Conn. – October 19, 2012 – GE [NYSE: GE] announced today third-quarter 2012 Operating Earnings of $3.8 billion, or $0.36 per share, up 10% and 50% respectively from the third quarter of 2011.   Excluding the effects of the third-quarter 2011 preferred stock redemption, operating earnings per share rose 13%.  GAAP earnings from continuing operations were $3.5 billion, or $0.33 per share (up 43%).  Revenues were $36.3 billion for the quarter, up 3%, and up 6% excluding FX.  Industrial segment revenues grew by 6%, with organic growth of 8%.  The strength of GE’s Industrial portfolio was evident.  All Industrial segments had positive earnings growth for the first time since the third quarter of 2005; Energy Infrastructure, Transportation and Home & Business Solutions had double-digit earnings growth.  The company is performing well and is on track to deliver double-digit earnings growth in 2012 for both Industrial and GE Capital segments.

“The overall environment remains challenging, but GE continues to execute on our growth strategy,” said GE Chairman and CEO Jeff Immelt.  “GE’s Industrial segments delivered another quarter of strong organic revenue growth, and we ended the quarter with a robust backlog.  As expected, our margins increased 70bps over the prior year period, with margin expansion in all five Industrial segments.”

Infrastructure orders were $21.5 billion, down 5% primarily driven by a decrease in orders for wind turbines. Orders were up 4% excluding the effects of Wind and FX.  Year-to-date orders were up 4%, with four out of five Infrastructure businesses showing growth.  Pricing on orders was up 0.1% in total for the quarter.  During the quarter, GE announced an order to supply 110 Evolution™ Series locomotive kits to Kazakhstan Temir Zholy (KTZ).  GE also announced nearly $1.2 billion in commitments for its new FlexEfficiency™ 60 power generation technology for projects in the United States, Saudi Arabia and Japan.  GE also signed the world's largest subsea wellhead production contract with Petrobras, worth nearly $1.1 billion.

Total revenues for the quarter were $36.3 billion, up 3%.  GE’s third-quarter Industrial segment revenues were $24.8 billion, up 6%.  Industrial segment organic revenues were up 8% for the quarter and 10% year-to-date.  Industrial segment growth market revenues were up 9%, excluding FX, driven by double-digit growth in China, Latin America, and Africa.  GE expects seven of nine growth regions to have double-digit orders growth in 2012.

Industrial segment profit was up 11% to $3.6 billion and segment operating profits were strong in Energy Infrastructure and Transportation, up 13% and 35% respectively.  Cash generated from GE operating activities was up 63% at $10.7 billion.  GE ended the quarter with $85 billion of consolidated cash and cash equivalents.

GE Capital remains on target to become a smaller, more focused financial services business with solid earnings.  GE Capital earnings grew by 11% in the quarter and ENI was $425 billion at quarter end, ahead of plan.  GE Capital Corporation (GECC) returned a $2.4 billion dividend to the parent in the quarter, bringing the year-to-date total to $5.4 billion.  Its Tier 1 common ratio remains strong at 10.2%.

Immelt concluded, “We are focused on delivering our key commitments to investors including balanced double-digit earnings growth, strong organic growth, margin expansion, and returning cash from GE Capital to fund balanced capital allocation for our shareholders.  The global economy is uncertain, and we are prepared for a variety of economic outcomes.  We will continue to invest to win in our markets, while aggressively managing our overall cost structure.”

Third-quarter Highlights:

Third-quarter operating earnings were $3.8 billion, up 10% from third-quarter 2011 and operating EPS was $0.36, up 13%, excluding effects of the third-quarter 2011 preferred stock redemption.  GAAP earnings from continuing operations (attributable to GE) were $3.5 billion, up 5%, or $0.33 per share, up 43% from the third quarter of 2011.  A positive one-time gain of $0.03 per share was offset by $0.03 per share of restructuring and other charges.

Including the effects of discontinued operations, third-quarter net earnings attributable to GE were $3.5 billion ($0.33 per share attributable to common shareowners) in 2012 compared with $3.2 billion ($0.22 per share attributable to common shareowners) in the third quarter of 2011.

Third-quarter revenues increased 3% to $36.3 billion.  Industrial sales of $24.7 billion increased 7% versus the third quarter of 2011.  GECC revenues of $11.4 billion decreased 5% from last year, driven by lower assets, in-line with plan.

Cash generated from GE operating activities in the first three quarters of 2012 totaled $10.7 billion, up 63% from $6.5 billion last year.  Cash generated from GE Industrial operating activities in the first three quarters of 2012 totaled $5.2 billion, down 20% from last year.

The accompanying tables include information integral to assessing the Company’s financial position, operating performance and cash flow.

GE will discuss preliminary third-quarter results on a Webcast at 8:30 a.m. ET today, available at www.ge.com/investor.  Related charts will be posted there prior to the call.

*   *   *
About GE
GE (NYSE: GE) works on things that matter.  The best people and the best technologies taking on the toughest challenges.  Finding solutions in energy, health and home, transportation and finance.  Building, powering, moving and curing the world.  Not just imagining.  Doing.  GE works.  For more information, visit the company's website at www.ge.com.


 
Caution Concerning Forward-Looking Statements:
 
This document contains “forward-looking statements” – that is, statements related to future, not past, events. In this context, forward-looking statements often address our expected future business and financial performance and financial condition, and often contain words such as “expect,” “anticipate,” “intend,” “plan,” “believe,” “seek,” “see,” or “will.” Forward-looking statements by their nature address matters that are, to different degrees, uncertain. For us, particular uncertainties that could cause our actual results to be materially different than those expressed in our forward-looking statements include: current economic and financial conditions, including volatility in interest and exchange rates, commodity and equity prices and the value of financial assets; potential market disruptions or other impacts arising in the United States or Europe from developments in the European sovereign debt situation; the impact of conditions in the financial and credit markets on the availability and cost of General Electric Capital Corporation’s (GECC) funding and on our ability to reduce GECC’s asset levels as planned; the impact of conditions in the housing market and unemployment rates on the level of commercial and consumer credit defaults; changes in Japanese consumer behavior that may affect our estimates of liability for excess interest refund claims (GE Money Japan); pending and future mortgage securitization claims and litigation in connection with WMC, which may affect our estimates of liability, including possible loss estimates; our ability to maintain our current credit rating and the impact on our funding costs and competitive position if we do not do so; the adequacy of our cash flow and earnings and other conditions which may affect our ability to pay our quarterly dividend at the planned level; GECC’s ability to pay dividends to GE at the planned level; our ability to convert pre-order commitments into orders; the level of demand and financial performance of the major industries we serve, including, without limitation, air and rail transportation, energy generation, real estate and healthcare; the impact of regulation and regulatory, investigative and legal proceedings and legal compliance risks, including the impact of financial services regulation; strategic actions, including acquisitions, joint ventures and dispositions and our success in completing announced transactions and integrating acquired businesses; the impact of potential information technology or data security breaches; and numerous other matters of national, regional and global scale, including those of a political, economic, business and competitive nature. These uncertainties may cause our actual future results to be materially different than those expressed in our forward-looking statements. We do not undertake to update our forward-looking statements.

Investor Contact:
Trevor Schauenberg, 203.373.2424 (office)
trevor.a.schauenberg@ge.com

Media Contact:
Seth Martin, 203.373.3061 (office)
203.572.3567 (cell)
seth.martin@ge.com

 
(1)
 
 
 
 
GENERAL ELECTRIC COMPANY
Condensed Statement of Earnings
                                                         
                                         
Financial
   
Consolidated
   
GE(a)
 
Services (GECC)
Three Months Ended September 30
   
2012 
   
2011 
   
V%
     
2012 
   
2011 
   
V%
   
2012 
   
2011 
   
V%
Revenues and other income
                                                       
Sales of goods and services
 
$
24,539 
 
$
23,138 
   
6%
   
$
24,749 
 
$
23,230 
   
7%
 
$
34 
 
$
32 
   
6%
Other income
   
787 
   
556 
           
818 
   
621 
         
– 
   
– 
     
GECC earnings from continuing operations
   
– 
   
– 
           
1,679 
   
1,519 
         
– 
   
– 
     
GECC revenues from services
   
11,023 
   
11,670 
           
– 
   
– 
         
11,335 
   
11,983 
     
   Total revenues and other income
   
36,349 
   
35,364 
   
3%
     
27,246 
   
25,370 
   
7%
   
11,369 
   
12,015 
   
(5)%
                                                         
Costs and expenses
                                                       
Cost of sales, operating and administrative
                                                       
   expenses
   
27,466 
   
26,186 
           
23,024 
   
21,344 
         
4,867 
   
5,127 
     
Interest and other financial charges
   
2,979 
   
3,731 
           
294 
   
356 
         
2,805 
   
3,556 
     
Investment contracts, insurance losses and
                                                       
   insurance annuity benefits
   
756 
   
719 
           
– 
   
– 
         
798 
   
755 
     
Provision for losses on financing receivables
   
1,122 
   
961 
           
– 
   
– 
         
1,122 
   
961 
     
   Total costs and expenses
   
32,323 
   
31,597 
   
2%
     
23,318 
   
21,700 
   
7%
   
9,592 
   
10,399 
   
(8)%
                                                         
Earnings from continuing operations
                                                       
   before income taxes
   
4,026 
   
3,767 
   
7%
     
3,928 
   
3,670 
   
7%
   
1,777 
   
1,616 
   
10%
Benefit (provision) for income taxes
   
(555)
   
(437)
           
(477)
   
(378)
         
(78)
   
(59)
     
Earnings from continuing operations
   
3,471 
   
3,330 
   
4%
     
3,451 
   
3,292 
   
5%
   
1,699 
   
1,557 
   
9%
Earnings (loss) from discontinued
                                                       
   operations, net of taxes
   
37 
   
(65)
           
37 
   
(65)
         
(111)
   
(64)
     
Net earnings
   
3,508 
   
3,265 
   
7%
     
3,488 
   
3,227 
   
8%
   
1,588 
   
1,493 
   
6%
Less net earnings (loss) attributable to
                                                       
   noncontrolling interests
   
17 
   
41 
           
(3)
   
         
20 
   
38 
     
Net earnings attributable
                                                       
    to the Company
   
3,491 
   
3,224 
   
8%
     
3,491 
   
3,224 
   
8%
   
1,568 
   
1,455 
   
8%
Preferred stock dividends declared
   
– 
   
(881)
           
– 
   
(881)
         
– 
   
– 
     
Net earnings attributable to
                                                       
   GE common shareowners
 
$
3,491 
 
$
2,343 
   
49%
   
$
3,491 
 
$
2,343 
   
49%
 
$
1,568 
 
$
1,455 
   
8%
                                                         
                                                         
Amounts attributable to the Company:
                                                       
Earnings from continuing operations
 
$
3,454 
 
$
3,289 
   
5%
   
$
3,454 
 
$
3,289 
   
5%
 
$
1,679 
 
$
1,519 
   
11%
Earnings (loss) from discontinued
                                                       
   operations, net of taxes
   
37 
   
(65)
           
37 
   
(65)
         
(111)
   
(64)
     
Net earnings attributable
                                                       
   to the Company
 
$
3,491 
 
$
3,224 
   
8%
   
$
3,491 
 
$
3,224 
   
8%
 
$
1,568 
 
$
1,455 
   
8%
                                                         
Per-share amounts - earnings from
                                                       
   continuing operations
                                                       
Diluted earnings per share
 
$
 0.33 
 
$
 0.23 
   
43%
                                     
Basic earnings per share
 
$
 0.33 
 
$
 0.23 
   
43%
                                     
                                                         
Per-share amounts - net earnings
                                                       
Diluted earnings per share
 
$
 0.33 
 
$
 0.22 
   
50%
                                     
Basic earnings per share
 
$
 0.33 
 
$
 0.22 
   
50%
                                     
                                                         
Total average equivalent shares
                                                       
Diluted shares
   
10,568 
   
10,607 
   
-%
                                     
Basic shares
   
10,523 
   
10,580 
   
(1)%
                                     
                                                         
Dividends declared per common share
 
$
 0.17 
 
$
 0.15 
   
13%
                                     
                                                         
                                                         
Amounts attributable to the Company:
                                                       
Earnings from continuing operations
 
$
3,454 
 
$
3,289 
   
5%
                                     
Adjustment (net of tax): Non-operating
                                                       
   pension costs/(income)
   
348 
   
172 
                                           
Operating earnings (non-GAAP measure)
 
$
3,802 
 
$
3,461 
   
10%
                                     
                                                         
Operating earnings – diluted earnings
                                                       
   per share
 
$
0.36 
 
$
0.24 
   
50%
                                     
Operating earnings excluding the effects
                                                       
   of the preferred stock redemption - diluted
                                                       
   earnings per share
 
$
0.36 
 
$
0.32 
   
13%
                                     
                                                         
(a)  
Refers to the Industrial businesses of the Company including GECC on an equity basis.
 
Dollar amounts and share amounts in millions; per-share amounts in dollars; unaudited. Supplemental data are shown for “GE” and “GECC.” Transactions between GE and GECC have been eliminated from the “Consolidated” columns. See Note 1 to the 2011 consolidated financial statements at www.ge.com/ar2011 for further information about consolidation matters.
 
 
(2)
 
 
 

 
GENERAL ELECTRIC COMPANY
Condensed Statement of Earnings
                                                         
                                         
Financial
   
Consolidated
   
GE(a)
 
Services (GECC)
Nine Months Ended September 30
   
2012 
   
2011 
   
V%
     
2012 
   
2011 
   
V%
   
2012 
   
2011 
   
V%
Revenues and other income
                                                       
Sales of goods and services
 
$
73,069 
 
$
68,037 
   
7%
   
$
73,574 
 
$
68,293 
   
8%
 
$
90 
 
$
116 
   
(22)%
Other income
   
1,737 
   
4,805 
           
1,827 
   
4,962 
         
– 
   
– 
     
GECC earnings from continuing operations
   
– 
   
– 
           
5,593 
   
4,924 
         
– 
   
– 
     
GECC revenues from services
   
33,226 
   
36,474 
           
– 
   
– 
         
34,179 
   
37,375 
     
   Total revenues and other income
   
108,032 
   
109,316 
   
(1)%
     
80,994 
   
78,179 
   
4%
   
34,269 
   
37,491 
   
(9)%
                                                         
Costs and expenses
                                                       
Cost of sales, operating and administrative
                                                       
   expenses
   
81,464 
   
77,188 
           
68,310 
   
62,333 
         
14,275 
   
15,699 
     
Interest and other financial charges
   
9,548 
   
11,297 
           
960 
   
1,032 
         
8,989 
   
10,738 
     
Investment contracts, insurance losses and
                                                       
   insurance annuity benefits
   
2,155 
   
2,201 
           
– 
   
– 
         
2,271 
   
2,314 
     
Provision for losses on financing receivables
   
2,728 
   
2,893 
           
– 
   
– 
         
2,728 
   
2,893 
     
   Total costs and expenses
   
95,895 
   
93,579 
   
2%
     
69,270 
   
63,365 
   
9%
   
28,263 
   
31,644 
   
(11)%
                                                         
Earnings from continuing operations
                                                       
   before income taxes
   
12,137 
   
15,737 
   
(23)%
     
11,724 
   
14,814 
   
(21)%
   
6,006 
   
5,847 
   
3%
Benefit (provision) for income taxes
   
(1,686)
   
(5,271)
           
(1,319)
   
(4,437)
         
(367)
   
(834)
     
Earnings from continuing operations
   
10,451 
   
10,466 
   
-%
     
10,405 
   
10,377 
   
-%
   
5,639 
   
5,013 
   
12%
Earnings (loss) from discontinued
                                                       
   operations, net of taxes
   
(733)
   
164 
           
(733)
   
164 
         
(881)
   
166 
     
Net earnings
   
9,718 
   
10,630 
   
(9)%
     
9,672 
   
10,541 
   
(8)%
   
4,758 
   
5,179 
   
(8)%
Less net earnings (loss) attributable to
                                                       
   noncontrolling interests
   
88 
   
209 
           
42 
   
120 
         
46 
   
89 
     
Net earnings attributable
                                                       
    to the Company
   
9,630 
   
10,421 
   
(8)%
     
9,630 
   
10,421 
   
(8)%
   
4,712 
   
5,090 
   
(7)%
Preferred stock dividends declared
   
– 
   
(1,031)
           
– 
   
(1,031)
         
– 
   
– 
     
Net earnings attributable to
                                                       
   GE common shareowners
 
$
9,630 
 
$
9,390 
   
3%
   
$
9,630 
 
$
9,390 
   
3%
 
$
4,712 
 
$
5,090 
   
(7)%
                                                         
                                                         
Amounts attributable to the Company:
                                                       
Earnings from continuing operations
 
$
10,363 
 
$
10,257 
   
1%
   
$
10,363 
 
$
10,257 
   
1%
 
$
5,593 
 
$
4,924 
   
14%
Earnings (loss) from discontinued
                                                       
   operations, net of taxes
   
(733)
   
164 
           
(733)
   
164 
         
(881)
   
166 
     
Net earnings attributable
                                                       
   to the Company
 
$
9,630 
 
$
10,421 
   
(8)%
   
$
9,630 
 
$
10,421 
   
(8)%
 
$
4,712 
 
$
5,090 
   
(7)%
                                                         
Per-share amounts - earnings from
                                                       
   continuing operations
                                                       
Diluted earnings per share
 
$
 0.98 
 
$
 0.87 
   
13%
                                     
Basic earnings per share
 
$
 0.98 
 
$
 0.87 
   
13%
                                     
                                                         
Per-share amounts - net earnings
                                                       
Diluted earnings per share
 
$
 0.91 
 
$
 0.88 
   
3%
                                     
Basic earnings per share
 
$
 0.91 
 
$
 0.88 
   
3%
                                     
                                                         
Total average equivalent shares
                                                       
Diluted shares
   
10,590 
   
10,626 
   
-%
                                     
Basic shares
   
10,552 
   
10,595 
   
-%
                                     
                                                         
Dividends declared per common share
 
$
 0.51 
 
$
 0.44 
   
16%
                                     
                                                         
                                                         
Amounts attributable to the Company:
                                                       
Earnings from continuing operations
 
$
10,363 
 
$
10,257 
   
1%
                                     
Adjustment (net of tax): Non-operating
                                                       
   pension costs/(income)
   
1,036 
   
516 
                                           
Operating earnings (non-GAAP measure)
 
$
11,399 
 
$
10,773 
   
6%
                                     
                                                         
Operating earnings – diluted earnings
                                                       
   per share
 
$
1.07 
 
$
0.92 
   
16%
                                     
Operating earnings excluding the effects of
                                                       
   the preferred stock redemption - diluted
                                                       
   earnings per share
 
$
1.07 
 
$
0.99 
   
8%
                                     
                                                         
(a)  
Refers to the Industrial businesses of the Company including GECC on an equity basis.
 
Dollar amounts and share amounts in millions; per-share amounts in dollars; unaudited. Supplemental data are shown for “GE” and “GECC.” Transactions between GE and GECC have been eliminated from the “Consolidated” columns. See Note 1 to the 2011 consolidated financial statements at www.ge.com/ar2011 for further information about consolidation matters.
 
 
 
(3)
 
 

GENERAL ELECTRIC COMPANY
Summary of Operating Segments (unaudited)
 
       
 
Three months ended September 30
 
Nine months ended September 30
(Dollars in millions)
 
2012 
   
2011 
   
V%
   
2012 
   
2011 
   
V%
                                   
Revenues(a)
                                 
   Energy Infrastructure
$
12,180 
 
$
10,855 
   
12%
 
$
35,267 
 
$
30,706 
   
15%
   Aviation
 
4,781 
   
4,835 
   
(1)%
   
14,527 
   
13,935 
   
4%
   Healthcare
 
4,307 
   
4,332 
   
(1)%
   
13,107 
   
12,920 
   
1%
   Transportation
 
1,409 
   
1,287 
   
9%
   
4,244 
   
3,421 
   
24%
   Home & Business Solutions
 
2,120 
   
2,094 
   
1%
   
6,415 
   
6,236 
   
3%
      Total industrial segment revenues
 
24,797 
   
23,403 
   
6%
   
73,560 
   
67,218 
   
9%
   GE Capital
 
11,369 
   
12,015 
   
(5)%
   
34,269 
   
37,491 
   
(9)%
      Total segment revenues
 
36,166 
   
35,418 
   
2%
   
107,829 
   
104,709 
   
3%
   Corporate items and eliminations(a)
 
183 
   
(54)
   
F
   
203 
   
4,607 
   
(96)%
Consolidated revenues and other income from
                                 
   continuing operations
$
36,349 
 
$
35,364 
   
3%
 
$
108,032 
 
$
109,316 
   
(1)%
                                   
Segment profit(a)
                                 
   Energy Infrastructure
$
1,695 
 
$
1,503 
   
13%
 
$
4,974 
 
$
4,436 
   
12%
   Aviation
 
924 
   
862 
   
7%
   
2,708 
   
2,662 
   
2%
   Healthcare
 
620 
   
608 
   
2%
   
1,899 
   
1,850 
   
3%
   Transportation
 
265 
   
196 
   
35%
   
779 
   
531 
   
47%
   Home & Business Solutions
 
61 
   
38 
   
61%
   
218 
   
218 
   
-%
      Total industrial segment profit
 
3,565 
   
3,207 
   
11%
   
10,578 
   
9,697 
   
9%
   GE Capital
 
1,679 
   
1,519 
   
11%
   
5,593 
   
4,924 
   
14%
      Total segment profit
 
5,244 
   
4,726 
   
11%
   
16,171 
   
14,621 
   
11%
                                   
Corporate items and eliminations(a)
 
(1,019)
   
(703)
   
(45)%
   
(3,529)
   
1,105 
   
U
GE interest and other financial charges
 
(294)
   
(356)
   
17%
   
(960)
   
(1,032)
   
7%
GE provision for income taxes
 
(477)
   
(378)
   
(26)%
   
(1,319)
   
(4,437)
   
70%
                                   
Earnings from continuing operations
                                 
   attributable to the Company
 
3,454 
   
3,289 
   
5%
   
10,363 
   
10,257 
   
1%
                                   
Earnings (loss) from discontinued operations,
                                 
   net of taxes, attributable to the Company
 
37 
   
(65)
   
F
   
(733)
   
164 
   
U
                                   
Consolidated net earnings attributable
                                 
    to the Company
$
3,491 
 
$
3,224 
   
8%
 
$
9,630 
 
$
10,421 
   
(8)%
                                   
                                   
(a)  
Segment revenues includes both revenues and other income related to the segment. Segment profit excludes results reported as discontinued operations, earnings attributable to noncontrolling interests of consolidated subsidiaries, GECC preferred stock dividends declared and accounting changes. Segment profit excludes or includes interest and other financial charges and income taxes according to how a particular segment’s management is measured – excluded in determining segment profit, which we sometimes refer to as “operating profit,” for Energy Infrastructure, Aviation, Healthcare, Transportation and Home & Business Solutions; included in determining segment profit, which we sometimes refer to as “net earnings,” for GE Capital. Results of our run-off insurance operations previously reported in Corporate items and eliminations are now reported in GE Capital.
 
 
 
(4)
 
 

GENERAL ELECTRIC COMPANY
Summary of Operating Segments (unaudited)
Additional Information
                                   
       
 
Three months ended September 30
 
Nine months ended September 30
(Dollars in millions)
 
2012 
   
2011 
   
V%
   
2012 
   
2011 
   
V%
                                   
Energy Infrastructure
                                 
                                   
   Revenues
$
12,180 
 
$
10,855 
   
12%
 
$
35,267 
 
$
30,706 
   
15%
                                   
   Segment profit
$
1,695 
 
$
1,503 
   
13%
 
$
4,974 
 
$
4,436 
   
12%
                                   
   Revenues
                                 
      Energy
$
8,872 
 
$
7,566 
   
17%
 
$
25,473 
 
$
21,857 
   
17%
      Oil & Gas
 
3,650 
   
3,520 
   
4%
   
10,724 
   
9,558 
   
12%
                                   
   Segment profit
                                 
      Energy
$
1,210 
 
$
1,087 
   
11%
 
$
3,674 
 
$
3,319 
   
11%
      Oil & Gas
 
534 
   
453 
   
18%
   
1,469 
   
1,242 
   
18%
                                   
GE Capital
                                 
                                   
   Revenues
$
11,369 
 
$
12,015 
   
(5)%
 
$
34,269 
 
$
37,491 
   
(9)%
                                   
   Segment profit
$
1,679 
 
$
1,519 
   
11%
 
$
5,593 
 
$
4,924 
   
14%
                                   
   Revenues
                                 
      Commercial Lending and Leasing (CLL)
$
4,124 
 
$
4,512 
   
(9)%
 
$
12,707 
 
$
13,786 
   
(8)%
      Consumer
 
3,911 
   
4,028 
   
(3)%
   
11,600 
   
13,023 
   
(11)%
      Real Estate
 
948 
   
935 
   
1%
   
2,660 
   
2,834 
   
(6)%
      Energy Financial Services
 
401 
   
221 
   
81%
   
1,086 
   
931 
   
17%
      GE Capital Aviation Services (GECAS)
 
1,249 
   
1,265 
   
(1)%
   
3,897 
   
3,917 
   
(1)%
                                   
   Segment profit (loss)
                                 
      CLL
$
568 
 
$
688 
   
(17)%
 
$
1,879 
 
$
1,943 
   
(3)%
      Consumer
 
749 
   
803 
   
(7)%
   
2,485 
   
3,086 
   
(19)%
      Real Estate
 
217 
   
(82)
   
F
   
494 
   
(775)
   
F
      Energy Financial Services
 
132 
   
79 
   
67%
   
325 
   
330 
   
(2)%
      GECAS
 
251 
   
208 
   
21%
   
877 
   
835 
   
5%

 
 
(5)
 
 

GENERAL ELECTRIC COMPANY
Condensed Statement of Financial Position (unaudited)
                             
Financial
 
Consolidated
   
GE(a)
   
Services (GECC)
(Dollars in billions)
 
9/30/12
   
12/31/11
     
9/30/12
   
12/31/11
     
9/30/12
   
12/31/11
                                       
Assets
                                     
   Cash & marketable securities
$
134.2 
 
$
131.9 
   
$
8.4 
 
$
8.4 
   
$
126.4 
 
$
124.1 
   Receivables
 
19.3 
   
19.5 
     
11.7 
   
11.8 
     
– 
   
– 
   Inventories
 
16.0 
   
13.8 
     
15.9 
   
13.7 
     
0.1 
   
0.1 
   Financing receivables - net
 
262.6 
   
279.9 
     
– 
   
– 
     
271.6 
   
288.8 
   Property, plant & equipment - net
 
67.4 
   
65.7 
     
15.1 
   
14.3 
     
52.3 
   
51.4 
   Investment in GECC
 
– 
   
– 
     
77.4 
   
77.1 
     
– 
   
– 
   Goodwill & intangible assets
 
84.9 
   
84.7 
     
56.2 
   
55.9 
     
28.7 
   
28.8 
   Other assets
 
110.6 
   
119.3 
     
38.3 
   
36.7 
     
78.6 
   
88.9 
   Assets of businesses held for sale
 
2.7 
   
0.7 
     
– 
   
– 
     
2.7 
   
0.7 
   Assets of discontinued operations
 
1.2 
   
1.7 
     
– 
   
0.1 
     
1.2 
   
1.7 
                                       
Total assets
$
698.9 
 
$
717.2 
   
$
223.0 
 
$
218.0 
   
$
561.6 
 
$
584.5 
                                       
Liabilities and equity
                                     
   Borrowings and bank deposits
$
431.5 
 
$
453.4 
   
$
12.1 
 
$
11.6 
   
$
420.4 
 
$
443.1 
   Investment contracts, insurance liabilities
                                     
      and insurance annuity benefits
 
28.3 
   
29.8 
     
– 
   
– 
     
28.8 
   
30.2 
   Other liabilities
 
109.0 
   
114.0 
     
87.4 
   
88.8 
     
28.4 
   
31.6 
   Liabilities of businesses held for sale
 
0.2 
   
0.3 
     
– 
   
– 
     
0.2 
   
0.3 
   Liabilities of discontinued operations
 
1.8 
   
1.6 
     
0.1 
   
0.2 
     
1.8 
   
1.5 
   GE shareowners' equity
 
122.6 
   
116.4 
     
122.6 
   
116.4 
     
81.3 
   
77.1 
   Noncontrolling interests
 
5.5 
   
1.7 
     
0.8 
   
1.0 
     
0.7 
   
0.7 
                                       
Total liabilities and equity
$
698.9 
 
$
717.2 
   
$
223.0 
 
$
218.0 
   
$
561.6 
 
$
584.5 
                                       
                                       
 
(a)
Refers to the Industrial businesses of the Company including GECC on an equity basis.
 
Supplemental consolidating data are shown for "GE" and "GECC." Transactions between GE and GECC have been eliminated from the "Consolidated" columns. See Note 1 to the 2011 consolidated financial statements at www.ge.com/ar2011 for further information about consolidation matters.
 
 
 
(6)
 
 

GENERAL ELECTRIC COMPANY
Financial Measures That Supplement GAAP



We sometimes use information derived from consolidated financial information but not presented in our financial statements prepared in accordance with U.S. generally accepted accounting principles (GAAP). Certain of these data are considered “non-GAAP financial measures” under the U.S. Securities and Exchange Commission rules. These non-GAAP financial measures supplement our GAAP disclosures and should not be considered an alternative to the GAAP measure. We have referred to operating earnings, operating earnings per share (EPS), operating EPS excluding the effects of the 2011 preferred stock redemption, total revenues excluding the effects of foreign exchange (FX), Industrial segment organic revenue growth, GE Capital ending net investment (ENI) excluding cash and equivalents and cash generated from GE Industrial operating activities (Industrial CFOA). The reconciliations of these measures to the most comparable GAAP measures follow.

Operating Earnings and Operating Earnings Per Share
                 
(Dollars in millions; except earnings per share)
Three Months Ended September 30
   
2012 
   
2011 
   
V%
                 
Earnings from continuing operations attributable to GE
$
 3,454 
 
$
 3,289 
   
5%
Adjustment (net of tax): non-operating pension costs/(income)
 
 348 
   
 172 
     
Operating earnings
$
 3,802 
 
$
 3,461 
   
10%
                 
Earnings per share – diluted(a)
               
Continuing earnings per share
$
 0.33 
 
$
 0.23 
   
43%
Adjustment (net of tax): non-operating pension costs/(income)
 
 0.03 
   
 0.02 
     
Operating earnings per share
 
 0.36 
   
 0.24 
   
50%
                 
Less: Effects of the preferred stock redemption
 
 - 
   
 0.08 
     
Operating EPS excluding the effects of the 2011 preferred stock redemption
$
 0.36 
 
$
 0.32 
   
13%
                 
                 
 
Nine Months Ended September 30
(Dollars in millions; except earnings per share)
 
2012 
   
2011 
   
V%
                 
Earnings from continuing operations attributable to GE
$
 10,363 
 
$
 10,257 
   
1%
Adjustment (net of tax): non-operating pension costs/(income)
 
 1,036 
   
 516 
     
Operating earnings
$
 11,399 
 
$
 10,773 
   
6%
                 
Earnings per share – diluted(a)
               
Continuing earnings per share
$
 0.98 
 
$
 0.87 
   
13%
Adjustment (net of tax): non-operating pension costs/(income)
 
 0.10 
   
 0.05 
     
Operating earnings per share
 
 1.07 
   
 0.92 
   
16%