Green is Green Mark Little Senior Vice President GE Global Research November 2006

2 GE Company Proprietary GE: More than a century of innovation 114-Year-Old, High-Tech, Growth Company $150 Billion in Annual Revenues Only Company Listed in Dow Jones Index Today That Was in Original List in ,000+ Employees Worldwide

3 GE Company Proprietary Six businesses, each with a number of business units aligned for growth. Commercial Finance Healthcare Infrastructure NBC Universal Consumer Finance Industrial

4 GE Company Proprietary GE Global Research: market-focused R&D c First US industrial lab Began 1900 in Schenectady, NY Founding principle … improve businesses through technology One of the world’s most diverse industrial labs Cornerstone of GE’s commitment to technology

5 GE Company Proprietary Global brains Global Research Center Niskayuna, NY China Technology Center Shanghai, China John Welch Technology Center Bangalore, India Global Research – Europe Munich, Germany Qatar Innovation Center 2,600 research employees 26,000 GE technologists worldwide GE technology spend: $5.2B

The Energy Challenge

7 GE Company Proprietary Global energy trends and challenges … Population … more electricity demand everywhere Security … heightened concerns Environment … driving today’s and tomorrow’s decisions

8 GE Company Proprietary Power gen landscape … next 10 years N. America China Rest of Asia India W. Europe Middle East & Africa Latin America E. Europe & FSU Total capacity additions – GW (2006 – 2015) Nuclear Renewables Hydro Coal Gas/Oil TOTAL Year Avg Annual Cap Adds (GW) Source: GE Energy Forecast

9 GE Company Proprietary Power Generation Cost of Electricity ¢/kWh CO 2 g/kWh: *00 *Near zero with sequestration Market Adopting Portfolio Approach

10 GE Company Proprietary This environment drives technology development High fuel prices … require higher efficiency Energy security … requires more diverse solutions More stringent environmental standards … require lower emissions, increased use of renewables and nuclear

11 GE Company Proprietary Portfolio of affordable, reliable & environmentally responsible technologies Energy technology objectives Driving cost of electricity down Efficiency Reliability Emissions EfficientDiverse Nuclear Coal Gas Wind Oil Geothermal Biomass Hydro Solar Nuclear Coal Gas Wind Oil Geothermal Biomass Hydro Solar +

12 GE Company Proprietary Doubling our research investment Introducing more ecomagination products Reducing greenhouse gas emissions Make customers true partners Keeping the public informed

13 GE Company Proprietary Green technology winning in the market Wind Next-gen blades Advanced drive trains Innovative controls '02‘06 $200 MM $3B +

14 GE Company Proprietary Evolution Advanced Cooling System GEVO 12 Engine Reduced fuel consumption AND reduced emissions Reduces emissions by 40% compared to existing locomotives Increased fuel efficiency by 3% - Saves 9,000 gallons of fuel per locomotive per year* Common Control Architecture *Assumes average of 300,000 gallons of fuel consumption per year Green technology winning in the market

GE’s best bets on energy technologies

16 GE Company Proprietary Gasifier Radiant Syngas Cooler Particulate Removal Mercury Removal Sulfur Removal Future CO 2 Capture Gas Turbine Electricity Transmission & Distribution Steam Turbine HRSG Cleaner coal Converts coal to synthesis gas … cleaned prior to burning Produces useful by-products Driving down cost and emissions –CAPEX approaching pulverized coal –Criteria emissions approaching natural gas IGCC (Integrated Gasification Combined Cycle)

17 GE Company Proprietary Nuclear Simplified design, increased output, smaller footprint … will reduce CAPEX and OPEX, and shorten construction schedule Part of the US Department of Energy 2010 Program, design certification submitted to NRC, selected by NuStart, Entergy & Dominion On plan for 2007 Combined Operation License applications Improved safety & security Modular & passive design Advanced new nuclear … ESBWR

18 / GE Global Research 3% of Electricity Production Significant Growth … ~25% CAGR (’95 – ’13) ~40% Global Power Capital Spending Global Renewable Installed Capacity (GWs) Growing Demand for Renewables … World Requiring Renewable Energy Solutions Wind 12GW >50% of Growth US … 20 % Wind ‘20 UK … 20% Renewables ‘20 Germany … 20% Renewables ‘15 EU … 12% Renewables ‘10 China … 30 GW Wind ‘20 Spain … 20 GW Wind ‘11 India … 12 GW Wind ‘12 ‘05‘04 Wind Solar Biopower Small Hydro Geothermal Aggressive Global Targets Source: REN update

19 GE Company Proprietary Renewables … Wind Complete range of products  Arklow demonstration project … 7 x 3.6s  Largest commercial operation 1.5 MW platform Full power conversion Simplified servicing Larger farms with easier grid integration Future: 2.5/100 MW Capacity factor leadership High reliability Advanced controls Future: MW Leading cost of energy Utilize GE technology strengths Among the most proven and utilized technology Over 4,700 units worldwide 97%+ availability 2.5 MW platform 3.6 MW offshore

20 GE Company Proprietary Breakthrough technology – Nano – Concentrators – Other … Tomorrow Integrated systems Optimize – Reduced material – Increase efficiency – Mfg processes COE 30 ¢/kWh And Beyond COE 18 ¢/kWh Today COE 10 ¢/kWh Renewables … Solar Driving cost down

21 GE Company Proprietary Longer-term Best Bets Enabling technology to deal with environmental challenges Waste to energy Liquid fuels GE Company Proprietary CO 2 Capture Hydrogen

22 GE Company Proprietary Future of Energy Technology Socio-economic trends demanding technology developments Government, academia, industry all have a role No silver bullet – a portfolio approach to technologies

23 GE Company Proprietary Green is green: energy technology that is… Good for our customers Good for the environment Good for our shareholders

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