Debt Funding Strategy

General Electric Company
22 March 2002

                         GE RESPONDS TO INQUIRIES ABOUT

                             DEBT FUNDING STRATEGY

FAIRFIELD, CONN. - March 21, 2002 - In response to media and investor inquiries,
General Electric Senior Vice President and Chief Financial Officer Keith Sherin
today set forth the Company's approach to managing GE Capital's long-term bond
offerings and debt portfolio.

  • GE's and GE Capital's longstanding triple-A ratings have provided an
    attractive investment source for short- and long-term debt investors around
    the world. GE is committed to maintaining its triple-A ratings and to
    continuing its deep and broad access to global capital markets.

  • GE Capital grew its assets by more than $50 billion during 2001. Because
    much of that growth came during the fourth quarter, GE Capital entered 2002
    with a high proportion of commercial paper in its debt structure.

  • GE and GE Capital will continue to fund a portion of their operations with
    commercial paper. GE and GE Capital have the highest short-term ratings (A1+
    /P1). As a commercial paper issuer, GE Capital is in the process of
    increasing its backup bank lines from $33.5 to $50 billion appropriate to
    current market conditions.

  • GE Capital's target range for commercial paper as a percentage of
    outstanding debt is 25 to 35 percent by the end of 2002. GE Capital began
    the year with $117 billion of commercial paper and currently has $103
    billion of commercial paper - approximately 42 percent of total debt.

  • In the first quarter of 2002, GE Capital has issued $25 billion of
    long-term debt largely in the U.S. market. GE Capital anticipates issuing a
    comparable amount in the second quarter of 2002 using both U.S. and
    international markets as demand warrants.

  • With the $11 billion bond issuance of March 13, GE Capital exhausted its
    existing debt shelf registration; consequently, on March 20, GE Capital
    filed a $50 billion shelf registration. The shelf registration is not an
    offering. It gives GE Capital the capacity and flexibility to issue
    additional long-term debt as $31 billion of existing long-term debt matures
    through the rest of the year and as market conditions and growth warrant.

  • GE will continue to manage its debt portfolio in a strategic and orderly
    way over the course of the year. GE has all the financial resources
    necessary to achieve the growth objectives it has laid out for investors.


  • Sherin said all of the above actions have been factored into GE's earnings
    plans for 2002 and 2003 and the Company remains committed to its earnings
    targets of $1.65-$1.67 before accounting charges, with upside if there is
    economic recovery.

GE (NYSE:GE) is a diversified technology, services and manufacturing company
with a commitment to achieving customer success. GE operates in more than 100
countries and employs approximately 310,000 people worldwide. For more
information, visit the company's Web site at http://www.ge.com.

Caution Concerning Forward-Looking Statements

This document includes certain 'forward-looking statements' within the meaning
of the Private Securities Litigation Reform Act of 1995. These statements are
based on management's current expectations and are subject to uncertainty and
changes in circumstances. Actual results may differ materially from these
expectations due to changes in global political, economic, business,
competitive, market and regulatory factors. More detailed information about
those factors is contained in GE's filings with the Securities and Exchange
Commission.

CONTACT: General Electric

Gary Sheffer, 203/373-3476

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