CONTRACT ASSETS (Tables)

9 Months Ended

Sep. 30, 2017

Contractors [Abstract]

Schedule of Contract Assets

(In millions)	September 30, 2017		December 31, 2016
GE
Revenues in excess of billings
Long-term product service agreements(a)	$	15,358	$	12,752
Long-term equipment contract revenues(b)	7,187		5,859
Total revenues in excess of billings	22,545		18,611
Deferred inventory costs(c)	3,818		3,349
Non-recurring engineering costs(d)	2,345		2,185
Other	1,101		1,018
Contract assets	$	29,809	$	25,162

(a) Long-term product service agreement balances are presented net of related billings in excess of revenues of $2,595 million and $3,750 million at September 30, 2017 and December 31, 2016, respectively.

(b) Reflects revenues earned in excess of billings on our long-term contracts to construct technically complex equipment (such as gas power systems).

(c) Represents cost deferral for shipped goods (such as components for wind turbine assembly within our Renewable Energy segment) and other costs for which the revenue recognition criteria has not yet been met.

(d) Includes costs incurred prior to production (such as requisition engineering) for long-term equipment production contracts, primarily within our Aviation segment, which are allocated ratably to each unit produced.