Growth as a Process GE is extending its ability to deliver by adding new process capabilities to our operating rigor. Over the past several years we have developed a process that fuels our ability to generate consistent organic growth. We call it Growth as a Process, and it includes six capabilities: 1) Technology, 2) Customers, 3) Globalization, 4) Commercial Excellence, 5) Innovation and 6) Growth Leaders. Our investment in this process is delivering total assets and orders have grown signifi cantly, and we are generating organic revenue growth at twice our historic rate. Today, each of our six businesses is investing in this process. Energy is just one example of how Growth as a Process is delivering organic growth. Here is how this process is bringing value to this specifi c business. TOTAL CONTINUING ASSETS (In $ billions) 2005 480 2006 565 Growth 18% TOTAL ORDERS (In $ billions) 2005 74 2006 90 Growth 21% Sparking growth in our fi nancial services businesses … … as well as our industrial businesses. 2006 9 2005 8 History 4 2007* 2-3X GDP ORGANIC REVENUE GROWTH (V%) *Forecast Delivering consistent growth through the whole company. 26 ge 2006 annual report

Technology investments have helped Energy achieve market lead- ership, diversify product lines and create an installed base for services growth. The demands of today’s power generation industry require increased operating flexibility over a wider range of oper ation. Combining GE’s leading power generation and aircraft engine technologies, the LMS100® delivers a single, economical energy solution with maximum performance, improved thermal We invest in technology to create the best products, content and services — ahead of marketplace demand. 1 Technology ge 2006 annual report 27 efficiency and fast start up times. Part of GE’s ecomagination portfolio, the LMS100 reduces CO2 emissions by more than 30,000 tons over an average peaking season when compared to other typical gas turbine power plants of its size. This reduction in CO2 is equal to the amount of carbon dioxide absorbed by nearly 7,400 acres of forest each year. The LMS100 is just one example of how technology helps us to diversify our product portfolio and win.