GE Capital Finance Overview Highlights Challenges and Commitment to AAA Rating

GE Capital Finance Overview

December 2, 2008
quot;Results are preliminary and unaudited. 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 often contain words such as “expect,” “anticipate,” “intend,” “plan,” believe,” “seek,” or “will.” Forward-looking statements
by their nature address matters that are, to different degrees, uncertain. For us, particular uncertainties that could adversely or positively affect our future results include: the behavior of financial
markets, including fluctuations in interest and exchange rates, commodity and equity prices and the value of financial assets: continued volatility and further deterioration of the capital markets;
the commercial and consumer credit environment; the impact of regulation and regulatory, investigative and legal actions; strategic actions, including acquisitions and dispositions; future
integration of acquired businesses; future financial performance of major industries which we serve, including, without limitation, the air and rail transportation, energy generation, media, real
estate and healthcare industries; 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.“

“This document may also contain non-GAAP financial information. Management uses this information in its internal analysis of results and believes that this information may be informative to
investors in gauging the quality of our financial performance, identifying trends in our results and providing meaningful period-to-period comparisons. For a reconciliation of non-GAAP measures
presented in this document, see the accompanying supplemental information posted to the investor relations section of our website at www.ge.com.”

“In this document, “GE” refers to the Industrial businesses of the Company including GECS on an equity basis. “GE (ex. GECS)” and/or “Industrial” refer to GE excluding Financial Services.”

Overview
• Macro environment is very challenging
• 4Q’08 results are trending toward low end of range … $.50-.52
• In addition, evaluating restructuring and other charges to accelerate cost out
and reviewing losses in current environment
Expecting ~$1.0-1.4B after tax charge
Industrial and financial cost out
• GE Capital is a vital financial services business
1) Safe + conservative in economic environment
2) Creating a financial framework to earn ~$5B in 2009
3) Business model that performs for the long term
4) A strong fit with GE
• GE is well positioned to perform in a difficult 2009
Board approved management plan to sustain dividend at $1.24/share
Including restructuring and other charges, Company earns
~$4B in 4Q … $18B+ in ’08
GE Capital Finance earns ~$9B in ’08
Financial Services earns ~$8B in ’08

CFPA1397 December 2008 Analysts Pitch_V6 2

Additional 4Q items
($ in billions – after tax)
Focus
$1.0-1.4B
Financial Services & Industrial
headcount reductions
Financial Services portfolio exits
Facility consolidations
Structural improvements
Additional losses, higher reserves
Restructuring, higher Approximately ~70% financial
losses & other charges services

4Q items drive:
+ 5% lower base cost in 2009
+ Loss reserves reflecting a tougher environment


GE is committed to the Triple A rating
9/25 Commitment Additional actions
1 Improve liquidity profile 1 Issued $15B of common & preferred stock
– Reduce absolute reliance on CP ( to ~$80B) to accelerate liquidity planning
– Bank lines & cash ≥ CP by 4Q’08
2 Gained access to CPFF & TLGP
– Shrink GECS through originations/collection
– $98B capacity under CPFF incl. GE
management … assuming no issuance in 4Q’08
– $132B guaranteed debt capacity under TLGP
2 3 Refined business model to allow core
Strengthen capital base
– Reduce GECS dividend to parent to 10% growth with cash redeployed from run-off
– 6:1 book leverage w/hybrids by end ’09 portfolio … ’09 LT debt plan to $45B
– Suspend share buyback until 1Q’10
– No increase to GE dividend for ’09 4 Targeting $50B CP balance by YE’09 with
100% bank lines coverage
3
More focused Financial Services 5 Grew deposits base by >$20B in ’08 … plan
– Smaller commercial Real Estate, more debt/ to double size in ’09
less equity
– Reduce high leverage products (mortgages) 6 Committed to 7:1 leverage YE’08
– Shrinking overall portfolio & changing asset mix – Evaluating ~$5B capital infusion to GECS

Substantial actions completed


GE Capital business model
Financial Services value chain

“Factory”
“Raw material” GE Advantage: “Origination”
(capital) GE Advantage:
Low cost Treasury
GE Advantage: Global position
Competitive cost Risk Asset Mgmt. Brand
“AAA” Domain expertise
Talent Tax

Pre-crisis competitive position:

+ Scale ++ Margins and results > banks + FinCo +++ Brand/domain

GE Capital has performed for decades
Will reposition for long term success


GE Capital has a strong franchise
One of the few liquidity sources since 3Q’07 Estimated U.S. market position
• $120B of new financings to U.S. companies, • Middle Market Commercial Lending #1
infrastructure projects and municipalities
• Equipment Lending/Leasing #1
• $245B credit extended to U.S. consumers • Middle Market Corporate Finance #1

• 1Q’08 Merrill Lynch – bought $13B of • Aircraft Financing #1
troubled assets
• Healthcare Financing #1

• 3Q’08 CitiBank – bought $13B of middle • Energy Financing & Project Financing #1
market commercial financings
• Fleet Leasing #1
• Have contributed to support all major U.S. • Franchise Finance #1
airlines and auto companies with financings
as they work through cyclical issues • Commercial Real Estate Lending Top 3

• Dealer Financing #1
• Leading DIP/Bankruptcy lender for
restructuring U.S. companies • Private Label Credit Cards #1

Core is strong + competitively advantaged


GE Capital Finance overview
($ in billions)
Net income
~$50B
$12.2B 4Q volume Our focus
~$9B
Capital 1 Manage current cycle in a safe and
Finance responsible way
– Reposition funding model
’07 ’08E – Manage credit cycle
GECC ENI 537 545
ROI 2.4% 1.7%
ROE 22% 15% 2 Reposition GE Capital as a well-
Challenging year but strong relative performance funded, smaller finance company
– Outperform in 2009
Earnings 3Q’07-3Q’08 3Q assets
GE Capital Services $10.6 $680B – Position business to grow in 2010
JPM 7.9 1.8T and beyond
GS 7.6 1.1T
WF 6.8 620B
BoA 6.2 1.7T
Next 5 12.0 1.1T


Strategy: Diversified FinCo model
Current view of future capacity (2010+) Pre-crisis Post-crisis

Capital Leverage 8:1 ~6:1
~$70-80B
Funding ~$535B ~$470B

CP outstanding ~100B ~$50B
LTD 2016+
LT debt annual capacity $80 – $100B ~ $50B
~$85B
LTD @ ~$50B/yr. Spread L+10 L+100 +

5 yr. maturity ~$250B Capacity to
Growth 10 - 12% continue to
CP backed 100% by bank lines grow
~$50B ROE 20% 15% - 20%

Deposits/alternate funding
Ratings AAA/Aaa AAA/Aaa
~$85B

~$470B
Strong diversified funding plan


U.S. government programs
Programs GE GE impact

• Capacity of $98B … pricing @ slight penalty to market
Commercial paper
funding facility
• Enables GE to support investor liquidity needs and manage
(CPFF) duration
• Serves as liquidity backstop

• GECC capacity of $132B
Temporary • Solidifies debt issuance capacity ($45B) and improves LT debt
liquidity guarantee
program pricing & CP market access
(TLGP) • CDS & cash spreads tightening … reduces refinancing risk
perception

• GE not participating
TARP/TARP capital
purchase plan • $15B GE equity raise provides capital/liquidity flexibility if
markets continue to deteriorate

Programs level playing field


Debt market size
($ in trillions)
CP market – U.S. only • Institutional demand from money funds,
$2.2T $1.8 state & local governments, corporation &
~$1.5 ~$1.5
peak central banks
• CPFF helped stabilize declining market …
rollover risk and liquidity enhanced
2007 2008E 2009+ investor confidence & led to term buying
GECS Global O/S ($B) 101 80 50
GECS US mkt. share ~4% ~4% ~3%

Global IG Term issuances
+$6T
$2.7 Govt.
• TLGP opens GE access to government
~$2.0
market debt buyers through June’09
~$1.3
• Pension funds / insurance companies will
continue to invest in LT debt driving need
2007 2008E 2009E • GECC targeting $45B issuances in ’09 …
GECC issuance ($B) 90 70 ~45
half of ‘07
Market share 3.3% 3.5% <1%

Government programs have helped restart debt
markets … GECC aligning issuance plan to markets


2009 funding plan
($ in billions)
$536
~$514
Focus: Downsize + diversify
~$485
1 CP at $50B by YE’09
100% bank line coverage
LT debt 391
377
354 2 Lower LT debt … $45B issuance in ’09

3 Grow alternative funding to $80B+
Deposits/
Others 57 57 81 +
Comm’l paper 88 80 50 Plan on government programs
ending
3Q'08 4Q'08E* 4Q'09E*
Equity $56 ~$57 ~$62
Origination pricing > cost of funds
Bank lines + ENI ~$45B … 3Q’08 – 4Q’09
cash/CP 85% 100%+ 100%+
* Constant FX

Solid + conservative plan


Commercial paper update
($ in billions)
$101
Limited use of CPFF … helping investors
Int’l 30 ~$80 manage redemptions … plan assumes
15 ~$65 CPFF ends as scheduled
15 ~$50
10 CP markets have improved … more term
U.S. 71 65
buying
50 40
GE maintained good demand, pricing and
term issuance despite market disruption
4Q'07 4Q'08E 1H'09E 4Q'09E
– Portfolio cost at 2.15% as of 11/21
Weighted average yield % – Weighted average maturity restored to
GECC U.S. CP portfolio cost % 55-65 day target
6.0

5.0 Diverse, deep global investor base
4.0 – 1,250 U.S. investors
3.0 – 11 currencies, 15 programs
2.0
100% coverage with cash + bank lines
1.0
Feb- May- Aug- Nov- Feb- May- Aug- Nov-
07 07 07 07 08 08 08 08


Long term debt
($ in billions)
’09 Plan
$29 $39 ~$61
$23 ~$50
$22 • FDIC TLGP eligibility solidifies
Issuance annual debt issuance
Maturities capacity ($45B) and improves
Guaranteed pricing
debt
1H’09 2H’09 ’10E • Pricing to reflect market
Performance vs. 5 yr. cash bonds dynamics
Libor-OAS (bps)
850
FinCo Index
750
650
• Continue to maintain match
550 Bank Index
C
funded book
450
JPM
350
GECC
250 WFC • Opportunistic TLGP issuance
150
50 in 4Q’08 to pre-fund ’09
Jul-08 Jul-08 Aug-08 Sep-08 Oct-08 Nov-08

FinCo Index Bank Index GECC 5yr Spreads
C 5yr Spreads JPM 5yr Spreads WFC 5yr Spreads
Source: Barclays Capital


2009 alternate funding
($ in billions)
~$96 International deposits $4B
Additional +15B
– Drive market share in emerging markets
opportunity – Tap large/developed markets
~$81
~$54B Brokered CD’s : Distributed through multiple
today 18 firms to support asset growth in US banks

~$57 • Industrial Loan Corporation deposits $17B
–Direct origination into ILC
27 –Bank loan group; Distribution Finance
23
Business properties; Franchise Finance
$30 –Originating CD’s to match bank assets
Other 10 18 profile
U.S. Industrial Loan
Corporation 18 10
U.S. Federal • Federal Savings Bank deposits $8B
Savings Bank
1 18 –Direct origination of sales finance assets
11 14
International
Ongoing exploration of thrift opportunities
4Q'07 4Q'08E 4Q'09E with FDIC cooperation

Transition banks to deposit funding


GECC cost of funds
Average USD cost of funds
5.3% Match • Portfolio downsizing reducing impact
~4.6% funded
~4.3% of new higher cost debt … only ~30%
Fixed 5.1% new / roll-over debt
~5.3%
~5.4%
• Match funded portfolio minimizes
Float 5.5% interest rate and currency risk
~3.5% ~2.8%
’07 ’08E ’09E • Floating portfolio rates reducing due
2009 new/roll-over debt costs to benchmark rate cuts
Instrument Amount Spread to Libor (bps.)
• New fixed debt spread …
CP ~$50B (5)-(30) same as ’08YTD substantially offset by benchmark
Deposits/Other ~$25-50B 30-200 based on maturity
rates

LT debt ~$45B 180-200 under TLGP & Costs are competitive
350-400 for 3+ yr. duration

% of Portfolio ~30%


Strong capital base
GECC Debt/Equity w/hybrids* • GECC has lower book leverage than
7.7X most peers
~7X Target
~6X • GECC leverage ratio appropriate for
business model
– Lower loss rates than banks
– Secured portfolio
– Asset management capabilities
– History of successful acquisitions
3Q’08 4Q’08E 4Q’09E
• Achieve 6:1 leverage through
Debt/Equity 8.8X ~8X ~7X
– Retained earnings growth
Debt/Tangible
13.6X ~12.5X ~10.5X – Lower GECC dividends
Equity w/hybrids*
– Portfolio actions
Assets/Tangible
17.0X ~16X ~14X
Equity w/hybrids* • Evaluating ~$5B capital contribution
* ~$8B Hybrids represent sub-debt receiving rating agency equity credit and
have a maturity of 60 years, callable at the end of year 10

$15B capital raised at GE provides flexibility
to strengthen capital as needed


Funding summary
1 Well funded, smaller Finance Company

2 Safer, more diversified funding model …
at competitive cost

3 Participating in applicable government
programs that level playing field …
Currently don’t see need to become
Bank Holding Company


GE Capital Finance portfolio model
What we do What we don’t do
• Underwrite to hold • Did not originate CDO’s, SIV’s, etc.
• Senior secured financings • Did not sell credit default insurance
• Match funding • Do not trade securities
• Diversified Consumer portfolio • Do not trade/hold mezzanine or high yield
• Restructure/work out problem debt/bonds
loans/assets

Actions already taken
U.S. mortgage – exited early
Japan P-loans – exited
UK Private Label CC – agreement to sell
ANZ Mortgage & Auto – exiting
U.S. Consumer – tightened underwriting, reduced credit lines, more collectors
UK Mortgage – tightened underwriting, 2008 volume down ~60%


Comprehensive risk assessment and
capital allocation GE Key risk policies
Policy 5.0 - Delegation
• CRO independent review Board • Maximum single risk approval
with GE CEO authorities - Most <$100MM
• GE Audit committee • Major acquisitions reviewed by
chairman attends 3 • Investments, the Board
GECC Board meetings GE Capital Board
portfolio reviews
of Directors
• 5.0 authorities
Policy 6.0 - Monitoring
• Risk policy, Exposure • Sets portfolio risk limits
GE Corporate database (REM) • Defines risk parameters
risk • BOD investments, portfolio • Sets trigger points – early
management warnings
• Establishes corrective actions
• Capital allocation, portfolio analytics
• Monitors performance
• Portfolio management, emerging issues
Business
• Delegates approval authorities under 5.0
CEO level
• Capital markets execution
• Capital allocation & product leverage implementation
Business • Focused risk organization in each market
“field” level • Product level performance monitoring (6.0)
• Product level delegated authorities (5.0)


Key portfolio risks
(Pre-tax losses - $ in millions)
Estimated
’09 financial Downside case
%
Assets 2009 Assumptions impact Impact Assumptions
U.S. Consumer 7% • 8.5% unemployment 2009 ~$4.2B ~$5.0B 9%
unemployment

UK Mortgage 4% • HPI (17%) 2008
$600 $800 (20%) HPI
• HPI (15%) 2009

Real Estate 14% • Cap rates 50-100 bps. higher $250 $400 +200 bps. highest
- Debt • Cap rates 50-100 bps. higher, historical cap rate
- Equity long-term hold $240 $500
by asset type

GECAS 7% • Global traffic growth down ~$300 ~$550 • (3%) traffic
1-2% 2009 decline (9/11)
• 2 airlines
liquidate

Credit impact is “incremental” and well understood


2009 estimated losses
($ in billions)
Credit losses (pre-tax) Assumptions/drivers
+22%
+64% ~$9.0 • U.S. consumer cycle expected to
~$7.2
peak in 2009 w/ unemployment
$4.4 Consumer estimated at 8.5% by Dec ’09
$3.0 $3.2 $3.2 $3.0
$2.5

Commercial • Mortgages – UK HPI down 15% in
2009
'02 '03 '04 '05 '06 '07 '08E '09E

Reserves ~$6.6
• Commercial cycle tends to lag
~$5.8
$5.2 consumer 12 to 18 months … likely
$4.6 $4.9
$3.9
$3.9
$4.2 Consumer shorter lag this cycle

• Bank loan default rates expected
Commercial to increase from ~3% in ’08 to
7-8% in ’09
'02 '03 '04 '05 '06 '07 '08E '09E
Cov. 2.44% 2.36% 1.85% 1.42% 1.21% 1.10% 1.38% 1.61%


U.S. Consumer
What we do Risk approach

$54B served assets Strong, disciplined underwriting
approach
– Proprietary scoring models

Broad geographic distribution with
Private Label Sales investment grade retailers
credit card Finance
$32 $22 56MM active accounts

Low credit lines … $600 average
PLCC balance

Loss sharing with retail partners

Broad diversification and strong underwriting risk principles


U.S. Consumer
Delinquency Actions
30+ 6.17%
5.44% 5.52% 5.75% 5.55%
5.00% 4.93% Tightened underwriting on new accounts
90+ − Raised approval hurdles — new volume at A/B
1.86% 1.70% 1.74% 1.84% 1.91% 2.08% 2.24%
− Enhanced GE credit scoring to mitigate
weaknesses in FICO
− Lowered initial lines
'04 '05 '06 '07 1Q'08 2Q'08 3Q'08

Account management
Losses / Reserves − Reduced open lines
8.15%
Loss %
6.22% 5.82%
6.44% 6.23% Exited higher risk sales finance markets
4.50% 4.02% Added 1,300 collectors
Coverage %
3.76% 3.62% 3.47% 4.07%
3.08% 3.03% 3.31% Increasing restructuring efforts by 60%

Monitoring new accounts — performing better with
'04 '05 '06 '07 1Q'08 2Q'08 3Q'08
lower delinquency/first payment default rates
Estimated ’09 Reserve coverage ~6%+

Planning for 8.5% U.S. unemployment … 2009 losses $4.2B


Consumer mortgage
Country diversification Portfolio dynamics
$72B Assets Exited U.S. Consumer Mortgage business in 2007
Originate to Hold model
Czech $1.5
Strong GE risk/valuation management
Other $5.8
U.K. $26.9 MI with strong (in country) insurers
Spain $1.4 – AA/A+ rated, separately capitalized and regulated
Mexico $2.4 No mark-to-market risk in GE Money

Poland $5.6
ANZ
$17.0
France Major market assumptions
$11.7
U.K.
• HPI decline 15% in ’09
Asset quality • MI on LTV >80%
9.28 • Portfolio LTV ~ 79% at current market prices
8.12 8.53
7.38 7.26 7.80 • Continue to tighten underwriting – expect ’09 volume to be
30+ 6.89
minimal
4.25 4.15 4.64 Estimated losses increasing from $0.3B to ~$0.6B
90+ 3.39 3.45 3.39 3.75
Australia & New Zealand
Loss % 0.43 0.28 0.15 0.16 0.16 0.38 • Exited October 2008 — Wizard sale in process, remainder of
-
portfolio in liquidation
'04 '05 '06 '07 1Q'08 2Q'08 3Q'08 • Mortgage insured (first dollar loss)

Seeing continued pressure, but manageable


GE Real Estate portfolio
• $41B first mortgages and $10B owner-occupied;
$34B equity
• 58% international
Diversified • ~8,600 properties, 2600 cities, 28 countries
• Average investment size $12MM
• 62% office, multi-family

• Debt – 70% LTV
Strong underwriting, • In house risk teams value each property
asset management • A-/B+ asset quality
– operating mindset • $23.4B in crossed portfolios
• 400+ experienced risk professionals

Real estate is an operating platform
Strong performance through cycles


GE Real Estate debt portfolio $51B
Debt property type Actions

Other RE Storage
Max LTV advance limits reduced
Warehouse
7% 1%
Office
in ’07
11% 30%
$10B owner-occupied in run-off/
restructure
Retail
12%
Rate caps to protect debt service
Apartment
coverage
Hotel
14% 25%
Front end resources moved to
portfolio account management
1.6x debt service coverage; 70% LTV
Protect occupancy
2009 debt maturities - $5.6B ($4B <80% LTV)
- Tenant rollovers
3Q delinquency on Real Estate debt 0.1% - Fund improvements

Solid 1st mortgage portfolio, low LTV’s


GE Real Estate equity portfolio $34B
Property type Actions
Other 6% Hotel 1%
Asset-by-asset portfolio
Warehouse
management
12%
Annual NOI $1.9B
Weighted
Retail
13% Office avg. yield Preserve/improve property cash
54%
6% flow - until markets recover
– Yield covers carrying costs
Apartment
14%
– Depreciate basis $0.9B/yr.
Complete value add strategy
• Diversified portfolio through renovation & lease up
– 3200 properties — A/B+ quality
– Average investment ~$11MM 308 properties sold, $5.0B, through
– 150 markets globally 3Q’08
– Top 10 markets ~36% of portfolio
– Paris 10%, Tokyo 7%, Others <4%

Hold for longer term value


GECAS portfolio $47B
Asset type Assumptions
Cargo
RJs 9% • Planning for 1-2% decline in global
16%
traffic growth in 2009
Wide-body 21%
• Worst year in last downturn (2002)
54% Narrow-body
was 2.5% decline

Actions
• Average age 6 years
1• Pre-placing assets in anticipation of
restructurings at weaker credits
• 85% of narrow-body fleet is high-demand
A320 + 737NG aircraft 2• Advanced placement of roll-off and
• $6B earnings since 2001 skyline helps manage cycle
• No unsecured airline lending 3• 50-seat RJs and 737 classics
Versus entering last cycle (’01) – Redeploy in emerging markets
Today ’01 – Bombardier remarketing JV (RJ)
Placement higher
– Cargo conversion/parts-out (classics)
– Roll-offs 67% 10%
– New orders 100 48 4– Capitalize on opportunity

Proactively position for downturn


Rigorous process for evaluating asset
impairments
(GECS $ in billions)
Assets reviewed for impairment Rigorous process
Primary
3Q’08 assets Frequency acc’ting model • All FAS115 assets reviewed
Real estate owned $37.2 At least annually FAS144 quarterly for other than
Equities (Cost & equity methods) 22.7 At least annually APB18/FAS115 temporary impairment
Retained interest 4.0 Quarterly FAS115
Debt securities 11.7 Quarterly FAS115
($10B Trinity) • Multiple layers of review:
Equipment leased to others At least annually FAS144 – Business unit
- Equipment 33.3
- Aircraft 28.7 – Capital Finance
Goodwill/intangibles 29.9 At least annually FAS142/144 – Corporate accounting
GECS Insurance securities 21.7 Quarterly FAS115 – CAS/Auditors

<2% assets subject to mark-to-market • All equipment coming off lease
3Q’08 assets 3Q’08 assets evaluated for impairment
Equities-trading $1.0 CMBS (FAS159) $0.1
FAS133 hedges – Assets held for sale 7.0 • All annual reviews updated if
Retained interest 2.0 -Money 2.8 there is change in assumptions
(Consumer) -Real Estate 1.2 or circumstance
-Other 3.0

$0.7B of pre-tax impairments 3QYTD’08
Anticipating a similar profile in 2009

Off balance sheet securitization assets
($ in billions)

Collateral type $53.5
Equipment loans 6.6
$50.1
and leases
6.2
Consideration
Commercial
Real Estate 9.2 1 Assumed on balance sheet for
•
loans 8.3 capital/leverage purposes

Credit card 2 True sale of assets
•
receivables 22.8
21.9
$2.3B liquidity/credit support

Trade
2.0
receivables 2.6 3 No SIV, CDO structures
•
Other 12.9
receivables 11.1

2007 3Q’08


Risk summary

Positioned the Company for very difficult credit cycle
+ Reserves 2X versus 2007
+ Substantial resources involved

Credit impact is “incremental” and well understood
+ Always have risk that unemployment is 9% versus
8.5%
+ Do not foresee unplanned or large exposure that
emerges suddenly


Reposition GE Capital as a well-funded
+ focused finance company

– Expect to outperform in 2009

– Position to grow in 2010


Segmentation strategy
Forward
return Core Competitive
dynamics competencies outlook Size ($B)
Core
Core mid-market 2-5% ROI • Underwriting +++ 345
lending + leasing • Direct origination - Likely no FinCo’s
Grow
+ verticals • Asset mgmt. intensive - Fewer captives
• Re-marketing - Bigger banks long term
• Deep domain

GE Banking 90
European & • Enhance value via ++
Emerging Market product development - Strong local franchises
2-4% ROI • Grow deposit base - Lots of options Enhance
banks & JV’s • Operating synergies value

Restructure 90
Various Consumer • Origination —
& Commercial <2% ROI • AAA funding - High leverage Restructure/
platforms - Tend to compete w/ banks run-off


GE Capital Finance
($ in billions)
Earnings 2009 plan basics

~$9 1 Expectations of higher losses and
fewer gains
+10%
~$5
2 Collections and volume plan that
Capital
assumes no 1st half improvements
Finance and take into account customer
refinancing risk

3 Invest @ high ROI’s

4 Execute $2B (pre-tax) cost-out plan
’08E ’09F ’10F
GECC ENI $545 $525 $515 5 Position core business and Bank Co.
Lvg. w/hybrids* ~7x ~6x ~6x for longer term growth
*GECC

Balanced view of 2009 … position for growth in 2010


2009 earnings outlook
Capital
Finance ’09 dynamics
2008 estimated earnings ~$9B

Assets/portfolio ~0-(1.0) • Fewer assets , new business margins

Gains (1.4)-(1.8) • Assuming ~$1B in gains … Real Estate down
~$1B vs. 2008
Losses (1.3)-(2.0) • Higher credit losses/impairments … more
conservative than 10/10 Earnings call guidance
SG&A cost 1.1-1.3 • Lower headcount and indirect spend

Tax (1.0)-(2.0) • Lower tax benefits planned

2009 estimated earnings ~$5B


2009 estimated originations &
collections Net
$30
$10B
($ in billions) $234
Hedge
Net
Net
$11 $204
$12 Net $68
Net $64
$2
$4 $57
$52 $53 $51
$49
Sales/Sec. $45

Cash
collections

Collections/ Volume Collections/ Volume Collections/ Volume Collections/ Volume Collections/ Volume
sales sales sales sales sales
1QE 2QE 3QE 4QE TYE

Commercial volume $60B on book, $260B $10B hedge for re-financing risk and
with revolving credit sales/securitization plan
Consumer volume $145B $25B sales/securitizations, down 20% vs. ’08
Balancing cash flow with originations –$11.3B sales/securitizations in 2H’08


Portfolio margins expand in 2009
Capital Solutions Corporate Finance
Portfolio
Margin % 4.64
4.48 4.50
4.14
6.00
Portfolio
4.28 Margin %* 4.11 4.17
3.77 3.43
New 3.38 3.50
Business 3.30 New 3.15
Margin % * Business 3.17
Margin % 3.27

06A 07A 08E 09E 06A 07A 08E 09E
*NBM = economic yield – leveraged cost of funding *Note: Excludes Capital Gains
• Business pricing actions driving ’08 NBM +47 bps. • Business pricing actions driving ’08 NBM +74 bps.
• Portfolio margins accretive starting 1Q’09 • Portfolio margins accretive starting 1Q’09

3Q YTD volume on-book (ex-flow) 3Q YTD volume on-book (ex-flow)
Volume ($B) NBM ROE Volume ($B) NBM ROE
Equipment Financing 6.9 3.81 21.8 Corporate Lending 8.2 4.38 30.7
Europe Leasing 6.1 4.21 23.2 Sponsor 7.8 5.22 30.8
Canada Leasing 2.4 2.90 33.5 Media/Communications 2.8 4.95 30.9
Fleet 2.2 3.89 20.5 Europe 3.9 3.14 20.7
Franchise Finance 1.6 3.07 20.2

Replacing run-off with higher ROI, lower risk assets


GE Capital Finance SG&A plan
($ in billions)

Focused approach
~$14.5
(~15%) 1 Organization structure … $250MM
~$12.5 Geographic consolidation

2 Sizing and indirect spending … $1.4B
Re-size Real Estate
Lease outside services and legal, sourcing and
consultant costs

3 Business exits … $175MM
12/08E 12/09F Closing/exiting underperforming/non-strategic
platforms

Lean and competitive structure


GE Capital Finance (core)
($ in billions)
Competitive positioning
~$355B
• Verticals leverage GE competencies
~$335B
• Leasing and asset management intensive
platforms advantaged vs. banks
• PLCC and Real Estate equity; selectively
++ harvest
$3-4B
• Direct origination to mid-market
• Core underwriting skills
• Few, if any FinCos
• Bank consolidation … historically positive
Outlook
• New business >2%+ROI
• Re-invest run-off/restructure into higher
'09 '10 '09 '10 return core
ENI Earnings
• Benchmark interest rates going lower …
ROI 1.1% 1.5%+
support asset values

Very attractive AAA FinCo more focused, competitively advantaged


GE Capital global banking
($ in billions)
$100B
Competitive positioning
$90B
• Wholly-owned banks ($85B) + bank JV ($15B)
+ Well positioned in attractive regions
$1.0-1.5B
• CEE, Asia, Latin America

• Deposit funding with potential for growth

Outlook
• High margin new business
'09 '10 '09 '10
ENI Earnings
• Consolidation + partnership potential
ROI 1.5% 1.6%
Deposits/funding 20% 50%

Robust business models in fast growth regions
– Deposit funded + multiple earnings levers


Run-off/restructure redeployment
(ENI - $ in billions)
$102
~$90
Portfolio
Equipment Services
~$70
Consumer mortgages
~$40 ~12 Consumer/Commercial platforms

Game plan
Manage investment down $60B+ by
2008E 2009F 2010F 2011F 2012 … reinvest in core and funding
model
Reduction: $12B $20B $30B
Primarily based on pay down/ term
~$60B investment Opportunistically sell or swap

Reinvest Pay down Maximize value – many attractive
in core CP & LTD platforms for banks longer term

2%-6% ROI Safer Focused organization with
funding model strong leader and clear charter


GE Capital Finance framework
($ in billions)
2010 Net income drivers
+10%
~$5
Margins Cost
• Portfolio run-off • Carryover of
@ 0.3% ROI 2009 actions
2010 loss cycle
• New business + Consumer better Deliver
@ ~3% ROI - Commercial worse cost
Re-mix Manage
credit cycle

2009F 2010F
Favorable competitive dynamics
High margin origination
Create options for further capital redeployment
~80%+ spread income vs. gains


Business model still strong … smaller,
more focused
“Factory”
“Raw material” GE Advantage: “Origination”
(capital) GE Advantage:
Low cost Treasury
GE Advantage: Global position
Competitive cost Risk Asset Mgmt. Brand
“AAA” Domain expertise
Talent Tax

Pre-crisis competitive position:
+ Scale ++ Margins and results > banks + FinCo +++ Brand/domain

1) Solid plan for 2009
2) Diversify + remix + grow for 2010
3) New origination at 2% + ROI
4) Solid GE business


GE is very strong
Portfolio Great Industrial businesses
1 Sustain Infrastructure
“Infrastructure-type” earnings growth
~60%
Energy Technology Big backlog
Energy Aviation Strong services
Oil & Gas Transportation Global diversity
Water Healthcare Technical strength
Ent. Solutions Margin enhancement
~30% Financial Services Media ~10%
2 NBCU performs through
Comm’l. Finance NBCU
GE Money cycles
Verticals Diverse revenue streams
Cost control

Preparing for a very difficult environment …
but remain confident in our businesses


GE dividend
’05 ’06 ’07 ’08E ’09F ’10F
Cash Generation
Ind’l CFOA-CAPX 9.9 11.0 13.0 ~13 13-14 +
Progress down
GECS dividend 7.8 9.8 7.3 2.4 .5 ++ offset by working
capital and capex
Other/dispositions 1.9 3.1 11.8 2.5 2+ = reductions

19.6 23.9 32.1 ~18 ~16 +

Return to Shareholders
Dividend (9.4) (10.4) (11.5) (12.4) (13.4) =
Buyback (5.0) (8.1) (13.9) (3.2) 0 = Historic return
high percentage of
“Surplus” 5.2 5.5 6.7 ~2 2-3 + earnings to Investors
Dividend + buyback
% NI 83 95 115 80 = =

GE plans to sustain 2009 dividend


Summary
• Macro environment is very challenging
• 4Q’08 results are trending toward low end of range … $.50-.52
• In addition, evaluating restructuring and other charges to
accelerate cost out and reviewing losses in current environment
Expecting ~$1.0-1.4B after tax charge
Industrial + Financial cost out
• GE Capital is a vital financial services business
1) Safe + conservative in economic environment
2) Creating a financial framework to earn ~$5B in 2009
3) Business model that performs for the long term
4) GE is committed to GE Capital
• GE is well positioned to perform in a difficult 2009
Board approved management plan to sustain dividend
at $1.24/share


GE Capital Finance Overview Highlights Challenges and Commitment to AAA Rating

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