GE Power & Renewable Energy Investor Meeting

March 8, 2017

CAUTION CONCERNING FORWARD-LOOKING STATEMENTS: This document contains "forward-looking statements" – that is, statements related to future events that by their nature address matters that are, to different degrees, uncertain. For details on the uncertainties that may cause our actual future results to be materially different than those expressed in our forward-looking statements, see http://www.ge.com/investor-relations/disclaimer-caution-concerning-forward-looking-statements as well as our annual reports on Form 10-K and quarterly reports on Form 10-Q. We do not undertake to update our forward-looking statements. This document also includes certain forward-looking projected financial information that is based on current estimates and forecasts. Actual results could differ materially. GE update

1 Acquisition integration: Alstom, Baker Hughes

2 2017-2018 cost program

3 U.S. tax reform

4 Today’s agenda

2 1 Acquisition integration update Alstom Learnings from Alstom integration (Earnings per share) $.18-.20 1| Integration: Co-locate the teams to drive shared vision around day 1 business continuity  150+ integration resources co-located at BHI site $.09-.10

$.05 ex FX 2| Operations: Provide clarity on synergy baseline & targets … ensure accountability

 Baseline established … targets by function/region '16 '17E '18F  Delivered $1.5B synergies in 2016 vs. $1.1B target … 3| People & Culture: Visit the regions to engage employee base offset with higher restructuring cost and communicate the vision  Original ~$1.9B synergy investment estimate now  Regional integration leaders touched 60+ sites closer to ~$1.5B  Making GE more competitive: broader gas offerings, Cost Growth steam, power extended scope, grid 2020F synergy  Incremental growth opportunities: Steam, HRSGs estimate ~$1.2B ~$0.4B

Best practices from Alstom foundation of BHI integration approach 3 Baker Hughes, a GE Company – update

• Preparing carve-out and audited financials

• Working cooperatively with DOJ and other global regulators

• Finalizing Form S-4 / Registration Statement for mailing in Q2 2017

• BHI stockholder vote expected end of Q2 2017

Targeting mid-2017 close … timing on track

4 2 2017-2018 cost plan Plan 2016 Industrial cost-a) $102B reported cost (Communicated in December 2016) ($ in billions) including non-op pension & $98 $98 restructuring ~3-5%/yr. ~100 bps./yr.

Segment Product Variable + costs Service Organic Margin Costs ~$73 growth expansion ~$82 • Sustain run rate … ~3-5% organic growth + ~50 bps. margin expansion Structural costs: “fixed” costs primarily related to support • Margin expansion enabled by product/service cost Structural Seg. SG&A functions, R&D, and other productivity, acquisition integration, material Vast majority costs programs; Corporate on an ~$13 ~$25 deflation, NPI cycle Corp ~$2 100% operating loss basis • $1B of cost out between 2017-2018 External Management reporting view view  Working comprehensive program to accelerate cost out  All businesses have structural cost out as AEIP metric 5 (a- Corporate on operating loss basis excluding non-op pension and gains + restructuring + other items 2017 operating framework

1 Operating EPS-a) $1.60-1.70 • Organic growth of 3-5% • Margin expansion ~100 bps. • Corporate $1.8-2.0B • Alstom EPS ~$.09-.10 • Restructuring = gains • Tax rate headwind (mid-teens)

2 FCF + dispositions $16-20B • CFOA $18-21B-b); Capital dividend $6-7B • Pension funding ~$1.8B-b) • Dispositions-b) of ~$4B; Net P&E of $3-4B

3 Cash returned to investors $19-21B • Dividend of ~$8B • Buyback of ~$11-13B

(a- Industrial operating and Vertical EPS 6 (b- Deal taxes are excluded from CFOA and included in dispositions; pension funding excluded from CFOA but included in FCF + dispositions 3 U.S. tax reform … now is the time

Current U.S. tax code  Highest corporate tax rate in developed world (35%) combined with foreign earnings lockout … creates outsized incentives for foreign investment and manufacturing

What GE supports  Territorial tax system like the one used by virtually every other OECD country … allows U.S. companies to compete for foreign business on a level playing field  Corporate tax rate in line with the OECD average (low 20s)  Sensible transition tax that leads to increased investment  Like ~160 other countries, a border adjustable system that creates incentives for domestic investment and manufacturing

House GOP blueprint is the best starting point

7 4 Today’s agenda ($ in billions) GE Power Renewable Energy + Revenue $26.8 ++ ++ Revenue $9.0 $5.0 ++ Op Profit $0.6 Op Profit

2016 2017E 2016 2017E

Key topics Key topics  Navigating flat HDGT market  2.X, 3.X new product launches  Winning with our HA technology  LM acquisition integration  Continued execution on Alstom  Global market expansion  Driving growth in services & digital  Services expansion … repower  Executing on cost out and cash  Executing on cost out and cash

Leading franchise … right size for market Goal: #1 market share, 10%+ margins

8 GE POWER Today’s agenda 8:45-10:30am - GE Power

Steve Bolze: GE POWER Paul McElhinney: POWER SERVICES

Joe Mastrangelo: GAS POWER SYSTEMS Ganesh Bell: POWER DIGITAL SOLUTIONS

Andreas Lusch: STEAM POWER John Lammas: TECHNOLOGY

10:30-10:45am - Break 10:45-11:15am - GE Renewable Energy 11:15am - Q&A

10 GE Power … 125 year old start-up

11 New exclusive HA development agreement

• Pursue development of 3 GWs+ new US HA combined-cycle plants • Multiple plants configured with GE power islands (Gas turbines, steam turbines, HRSGs + other equipment) • Up to $1B plus equipment value … Services opportunities incremental • Expected to be effective March 31, 2017

HA momentum continues … project development throughout 2017 & 2018

12 This is GE Power GE Power global impact: ‘16 financials • 1,500+ GW installed base … 30% of world’s electricity Revenue $27B • Technology efficiency leader … 50% land-based gas Op profit $ $5B • Expansive global reach … >140 countries Op profit % 18.6% • ~70% of revenue outside of U.S. Total backlog $85B • 92K digital assets under management

GE HITACHI POWER WATER & GAS POWER POWER STEAM POWER NUCLEAR DIGITAL PROCESS SYSTEMS SERVICES SYSTEMS ENERGY SOLUTIONS TECHNOLOGIES Disposition on track for mid-year close

‘16 revenue* $10B $15B $2B $1B $0.4B** $2B

*Segments don’t include eliminations 13 ** Included in other businesses The Power transformation HA

Delivering on significant investment for portfolio repositioning

• Alstom integration on track … above pro forma on profit, cash, synergies Alstom • Winning with the new HA … best new product launch in last 20 years • Services upgrade growth … 4X over 2 years

• Power Digital Solutions … industry leader Services

Navigating a flat HDGT industry with some volatility • Planning for continued softness in ‘17 … 4Q’16 softer than we thought Digital • GE Power #1 units position since 1980 … industry leading margins

Capturing more cost out & cash generation opportunities Metem • Big 2017 focus with actions underway … incentives aligned • Utilizing Alstom integration discipline • Another year of $1B+ working capital release FastWorks

Global industry leader … focused on organic growth, cost out & cash Mfg. Adv. 14 Long-term power industry fundamentals remain solid ~2-3% generation growth Levelized cost of electricity (LCOE) Thousands of TWh/y ~31 $/MWh with locational variation Efficiency gain 0 50 100 150 CAGR % ~24 9 ~5.0% Rooftop PV * Renewables 6 Utility PV + Battery 3 ~2.0% * Nuclear 3 1 Wind * + Battery Oil 1 Gas Peaker 10 ~0.8% * * Coal 9 Nuclear * Intermittent Coal Dispatchable 7 ~3.0% * Gas 5 US lowest reference Gas CC * 00 * Generation ‘16 Generation ‘26F *

• Gas & renewables lead growth • Gas is the most economical energy source today • Majority still central power … coal 1/3 of 2026 generation • Renewables approaching LCOE parity … not dispatchable • Electrification of Things … EV’s contribute to growth • 2025 storage costs in line with peaker LCOE Energy mix shifting to gas & renewables Market pays premium for dispatchability

Sources: GE Power & GE Renewable Energy Marketing, IEA, IHS, BNEF, Lazard 15 Notes: 1) Generation excludes oil recip & battery generation. 2) Efficiency gain results from electricity intensity reduction, Battery LCOE based on 2025 projected costs Short-term volatility … navigating pockets of growth Industry volatility Gas plant orders (select countries) New plant orders (GW/y) Avg. GW/y 400 10.0 China China ~300GW/Yr. 3,600 kWh/capita 10.5 300 Battery 2% U.S.A. 10.8 US 12,000 kWh/capita 8.4

Saudi Arabia 5.0 200 56% Saudi 9,300 kWh/capita 4.8

Renewables Japan 3.0 Nuc. 4% Japan 100 12% 7,400 kWh/capita 3.0

Gas Coal boom Mexico 2.3 Avg. last 5 years Gas 15-yr avg =68 GW/yr 26% Mexico 2,100 kWh/capita 2.6

Gas Avg. next 5 years 0 (forecast) 0.7 '95 '00 '05 '10 '15 ‘17-’26F Indonesia Indonesia 800 kWh/capita 2.0 • Coal new build down but still 36 GWs 0.8 Malaysia Malaysia • Gas flat over time with some peaks & valleys … 68 GWs 4,400 kWh/capita 1.2 • Renewable capacity increasing with high intermittency World avg. = 3,000 kWh/capita Gas generation remains stable in the long-term … positioned to win in short-term

Sources: GE Power Marketing, Platts, McCoy Power Reports, BNEF, IHS, MAKE 16 Note: New plant orders includes utility scale and distributed solar PV, partial coverage of smaller sizes of GT,ST and Hydro – excludes oil recip. Engines, Storage and Industrial Mechanical Drive; 2016 data is still preliminary Power financial context … changing the trajectory ($ in billions) $21.5 $26.8 With Alstom Revenue $20.4 $19.3 $20.6 $20.6 $20.6 $5.0 What’s different going forward? $4.5 $4.5 $0.6 Alstom $4.4 $4.3 • Alstom catalyst for growth … technology, plant, services, cost $4.6 $4.4 Op profit • More focus on total cost out & cash

‘12 ‘13 ‘14 ‘15 ‘16 • HA coming down learning curve … broader service platform Headwinds Tailwinds – HA launch + Service growth • Digital reaching critical scale – Industry over + Project margin capacity/pricing expansion – Oil & Gas impact + SG&A …  2 pts.

Earnings growth through increasing cost out & sustained execution 17 Executing on Alstom integration

GE Power Alstom op profit & synergies Year 1 Power accomplishments ($ in millions)  Backlog up 18% … ~2X historical orders rate

++  Synergies … $330MM faster than plan & new growth

++  Expanded EPC capability … increasing content – All new gas bids with Alstom technology … Power Island $564  Service margin accretion ahead of schedule

$(80)  Steam #1 in the world ... share, efficiency, profitability

‘15 ‘16 ‘17E ‘18F  Free cash flow positive in year 1

Synergies $1,107 ~$1,450 ~$1,900  Opportunities to scale cost out across Power

Proving to be a good investment … a new GE Power 18 GE Power game plan ($ in billions) + ~5% Strategic priorities

Revenue $26.8 ++ 1 Deliver organic growth • Winning in highest tech segments $5 with expanded scope • Mid single-digit Services … AGP & broader upgrades, non-Gas, oOEM • Digital growth investments paying off Op profit 2 Aggressive cost out • Product cost/project execution • Structural cost ‘16 ‘17E 3 Improving cash conversion • Working capital efficiency & capital Op profit % 18.6% + >150 bps allocation

19 1 Organic revenue growth Path to deliver

~5% Enabled by Alstom Recent wins Global Gas growth with extended scope

• Deliver $/kW sold >$450/kW ... +74% since Alstom acquisition  Iraq • Maintain HA & Fast Power leadership Execute Steam backlog 

• Deliver project margin Hinkley Continue mid single-digit Services growth • Expanded upgrades 2X in ‘17 … changing mix

‘17E • Steam, boiler, generator … double-digit in ‘17  Uniper Organic revenue growth Accelerate Digital • Execute backlog … 50% + revenue growth in ‘17

• Convert new accounts  NYPA

Growing revenue in a flat market … Alstom & technology enabled

20 Digital transformation of electricity Reimagining electricity … intersection of energy & digital

GE Power software orders More data than any other industry ($ in millions) + ~1.7x 2TB data per plant/day

2% of all data is being utilized $533

75% of plant downtimes are predictable $269

$10 trillion by 2060

‘15 ‘16 ‘17E

Distributed Energy

Market Operational Behind Generation Trading Transmission Distribution the Meter 21 Digital Power Plant It’s real and it’s happening now 40+ Power customers in last 18 months 25% O&M Costs

3% 5% 25% Efficiency Reliability O&M costs 22 2 Aggressive cost out for margin accretion

Margin rates Path to deliver Op profit % Product cost excellence • Sourcing … should cost with expanded supply base 20.9% >150 bps 18.6% • Increasing factory utilization & labor/service productivity • Vertical integration of key components • Rigorous project execution $250MM structural cost out • Layers from 119 • 0-based discretionary costs • HQ simplification/horizontal integration • Driving contingency of additional $250MM+ cost out ‘15 ‘16 ‘17E Smart program investments Ex. Alstom 22.3% 21.5% + • Continued product leadership • Targeted programs for cost out (ERP, Sourcing, Mfg.)

23 Driving cost competitiveness Product cost leadership Vertical integration Simplification

Renegotiating key contracts Insourcing for factory utilization Optimizing scale while Establishing strategic alignments/ Reduced shop rate costs minimizing bureaucracy partners (Overhead cost per hour) Eliminate structural overlap

Driving variable cost productivity Recapturing parts & service margin Reducing management layers Leveraging GE Brilliant Factory tools $65MM cost out in ‘17 Bigger jobs, more local & additive technology empowerment

HA product cost success Disciplined M&A SG&A % of sales

30%  Metem Q2‘16 Doosan Q3‘16 10.6% in 1st year 9.7% < 10% 10%  Rest of in 2nd year

ost turbine c

Hot

reduction Gas ‘15 ‘16 ‘17E 7HA.02 7HA.02 Path Precision cooling hole HRSG cost out NPI ‘16 ‘17E technology Total Power est employees 62K 57K 

Strong cost out focus across GE Power 24 3 Improving cash conversion  Working capital management delivering ~$1.2B cash flow in 2017

+ >15 pts. Efficiency metric Impact Key driver Progress Orders > revenue ~$0.1B Project inflows > outflows Inventory  1/3+ turn ~$0.3B Lead time & cycle-time reductions

Accounts  5+ days to pay ~$0.5B Aligned supplier terms payable

Accounts  5+ days ~$0.3B Billings/collections receivable ‘17E Core FCF* Conversion  Disciplined P&E investment for high returning programs

Working all levers to drive FCF conversion improvement

* Free cash flow % adjusted for one time impacts from Alstom severance & tax cash payments 25 Driving inventory & payables improvement $1,297MM $436MM $322MM $459MM $81MM Total oppty Oppty Verified Executing Executed

Inventory balance Top 5 projects ($ in millions) ‘17 impact ($ in billions) 1. Reduce LM6 FGI exposure $7.3 • Reduce product variants & modular design $98.0 $7.0 • Reduce LT … engine, gen & MSD deliver to site $6.8 $6.5 2. SMI … maximize reuse of excess material • Cross functional approach … design to reapply 90.0 • Build tools & process to leverage pow gen pool 1Q'16 2Q'16 3Q'16 4Q'16 3. GPS build & sales plan alignment Top project owners • Establish model for inventory exposure 85.0 ($ in millions) • Embed in operating rhythms … monitor releases Shane L. $376 Kevin C. $89 4. Supplier alignment with market terms James K. $261 Francois C. $75 • Shift trigger point from RTS to delivery 85.0 James S./Aman J. $230 James S. $27 • Control through T&C language

Aman J. $113 Kevin C./Francois C. $18 5. Rotor lead-time/cycle-time reduction Mike C. $98 • Value stream mapping 80.0 • Lean lead-time reduction projects

 $1.3B opportunity pipeline for $800MM working capital improvement  Weekly cash review rhythm 26 Delivering 2017 ($ in billions) + ~5% 1 Deliver organic revenue growth 5% • Planning ~40GW market … flat Revenue $26.8 ++ • 100-105 GTs with more scope • 155-165 F-class AGPs $5 2 Alstom at deal model

Op profit 3 Aggressive cost out • >150 bps op profit rate accretion • ~$250MM structural cost out

‘16 ‘17E 4 Improving cash conversion • ~$1.2B working capital generation Op profit % 18.6% + >150 bps

 Double-digit earnings growth with >150 bps margin accretion

 Building incremental pipeline of cost actions as contingency 27 Joe Mastrangelo GAS POWER SYSTEMS Gas Power Systems overview

Key metrics Dynamics ($ in billions) + Forecasting flat gas market $10 $10 1 HA 45% GW sold … faster than anticipated

Revenue 2 Customers seeking integrated solutions Technological capability + financing

‘15 ‘16 ‘17E 3 Increased Fast Power demand Backlog ($B) $11 $13 ~flat Financing/geopolitical limit predictability $/kW orders 268 467 ~flat

% Project type 4 “Ecosystem” complexity increasing Renewables intermittency + LCOE position Gas Turbine (GT) only 73% 55% ~30% Power Island 25% 43% ~67% 5 Driving higher returns Turnkey 2% 2% ~3% Investments delivering … continued cost out

29 An integrated Gas Power Systems business Orders GE share ~100 GW/year opportunity ‘14-‘16 trend Differentiated performance

~40–45 GW $14B • HA platform … core growth Utility Traditional McCoy Power Gen segment + • Alstom capability …  $/kW sold • Broad technology portfolio …  GWs

~20–25 GW • GE Store ... financing & technology Bottoming Alstom capability $3B Cycle ++ Investment focus ~15–25 GW Industrial Fast Power + Combined $5B Power Heat & Power ++ • 65% efficiency roadmap … LCOE focus Gen • Critical GT upgrades … HA flow-down

~15–20 GW $4B • Digital Thread … enables cost out Recips Distributed Power + • Strategic partnerships … capital efficiency

30 HA platform launch on-track

Program overview Leading & delivering

2016 accomplishments 2017 outlook EDF Bouchain … world record in efficiency  26 unit shipments, +1 vs • 23 unit shipments 99.5% reliability … Base load in 23 minutes outlook • Margin improvement 5,200+ hours th 105+ starts  10 unit profitable • Continued performance  50/60Hz models fully improvement Bhikki … first HA in Pakistan validated 62%+ combined-cycle efficiency 17 months HA unit backlog 1/1/17 PO to power

Exelon … 2x7HA.02 successful full-load validation … May/June COD Exceeds design parameters GAS TURBINE HRSG STEAM TURBINE GENERATOR Sergipe … LATAM’s largest Gas Power Plant first HA turnkey self-implement project 32 23 22 43 $1B 2016 order

Creating $4B+/year HA franchise with strong returns 31 Filling short-term supply shortfalls Fast Power overview Recent wins

H class Intermediate TM2500+ Indonesia distributed 1st site w/in 3 months grid Non-packaged scope 20% 40% 30% 515 8 20 70% Packaged scope 80% 60% MW Sites TMs

1st site w/in 6 months Opp’ty to PO >12 months 6-12 months <6 months Argentina capacity additions PO to power 24-36 months 12-18 months 3-9 months 755 7 15  Shorter schedule MW Sites Aero  Faster construction Iraq 1st site w/in 4 months  Convertible revenue summer peak power  Project financing 120 1 4  Build in advance of order MW Sites TMs

Plant capability, fast fulfillment + financing critical to winning 32 Avenues for continued growth Distributed power Intermediate applications

Power & heat with storage Power and steam cogeneration

 Flexible operation  Flexible steam or power  Lower cost of ownership  +10% steam, lower fuel

190 20 90%+ 225 3 56% MW J920 efficiency MW 6F.01 efficiency

Large recip peaking power Urban peaking power

 5 minute start-up  Reshaping “duck curve”  Smooth grid volatility  Power closer to demand

51 6 47% 55 2 40% MW J920 efficiency MW LM6000 efficiency

Diverse portfolio meeting new market requirements 33 Improving cost competitiveness Operational examples DM Labor Indirect deflation productivity deflation 7F stage one nozzle cooling holes • Build 2nd sources • Applied to service AGPs 25-30% 3% 4% 9% • Detailed cost models Cost reduction

7HA.02 rotor cycle-time reduction Rooftops 14 week ~30% • Value stream mapping • Single-piece flow • $50MM improved working capital • New shop floor layout Cycle reduction 123 reduction 90 Multi-head robotic welding • Fully automated • High quality 3D welds 70% 50% • SOA robotics • High temp gas lines Less cycle Less cost 4Q’15 4Q’17E Alstom factory capacity Additive DLN fuel nozzle tip • 65% more fuel flexibility • 14 month development 8,400+ 77% $60MM • 45% less emissions • Operating at 1,500° F Shipped 65% benefit Additive E-class combustor ring • Rapid development and testing • Four part assembly to 30% ‘16 ‘17E • 25% improved life a single printed part Cost reduction

34 Positioned for the future

Contributions: GE Alstom 2017 imperatives

Gas Turbine Heat Recovery Steam Generator 1 Continue $/kW sold focus Grid Solutions Steam Turbine 2 Prioritized investment plan

3 Deliver higher returns

Stronger working capital Gas Turbine Steam Turbine 4 performance Generator Generator

Strong fundamentals … manage volatility 35 Andreas Lusch STEAM POWER SYSTEMS

36 Steam Power Systems overview

Key metrics Business imperatives ($ in billions) ++ 1 Organic growth $3.2 • Increase penetration in Asia, India, & SSA • Grow partnership with Chinese EPCs to win globally • OEM for Power Services business <$2 Orders 2 Lead with technology '15 '16 '17E • Advanced Ultra-Supercritical steam plant Pro forma • Delivering technology for gas combined-cycle and services + • Introducing Digital in the Steam segment $2.0 <$2 (~$50MM orders)

3 Cost & cash Revenue • Radical footprint change & 12% structural cost reduction • 25% product cost out by end of 2017 '15 '16 '17E Pro forma • $600MM working capital reduction 37 Integrated offerings  Integrated packages (EP) Our Steam business  Power block/turbine island (EPC)  Full turnkey (EPC) Boiler island • Boilers for all fuels: Coal, Oil, Gas • Two-pass tower and AQCS CFB technology • Flue-gas • Coal mills desulfurization • NOx control: SCR Systems • Particulate control Turbine island • Mercury control • Steam turbine • Generator • Condensers/heaters Digital • Performance optimization • Boiler optimization • FlexiLoad 30% 30% • Fuel analyzer of the world’s of the steam turbine world’s capacity boilers

38 Integrated offerings  TGP (turbine generator package) Nuclear conventional island excellence  Full turnkey turbine island

Turbine & generator • HP/IP turbine • LP turbine Pumps • Generator • Feedwater pump • Condensate Heat exchanger extraction pump • MSR • Main circulating • Condensers pump

50% of steam turbines for nuclear power plants

39 Strong positioning in the Steam segment ($ in billions) $1.9B $800MM $220MM $165MM

HINKLEY POINT (UK) HASSYAN (DUBAI) TELANGANA (INDIA) HUBCO 2 (PAKISTAN) Customer: EDF Energy Customer: ACWA Customer: NTPC Customer: NWEPDI Two conventional power islands / ARABELLE™ 4x66OMW USC Integrated Power Package (i.PP) 2x800MW USC Steam Turbine Generator Islands 2x66OMW Steam Turbines, Generators, Boilers

1 Backlog growth 2 China EPC relationship 3 Technology excellence ++ ++ $5.7 • 4 deals in pipeline for Advanced Ultra- Supercritical steam plant (50% efficiency) $4.7 $1.1 • Creating digital space in steam industry • Driving Services growth, 18 retrofits $0.0 & 24% cost out in China alone ‘15 ‘16 ‘17E ‘15 ‘16 ‘17E

Partner of choice for Chinese EPCs + enabling $4B Steam services orders 40 Investing for competitiveness

Asia footprint Structural costs redesign Product cost out 5 of 6 factories in China & India … local, highly competitive manufacturing ~4,000 Organized the portfolio around ~3,000 North America & ~2,500 6 integrated steam platforms Western Europe headcount ‘15 ‘16 ‘17E Europe 2,200 China  ~25% 2,600 India Executives in growth regions 2,000 A year ago 2017 Asia Launched program to drive Middle East 200 20% 50% & Africa cost out for competitiveness 400  3 layers,  600 managers  ~10% ~ Employees ~ In growth Structural costs  $65MM in ‘17 Achieved in 2016 worldwide regions 8,000 70% SG&A from 12% to 9.5%

41 How we win World’s most efficient Leader in project coal plants execution & risk management

RDK8 (Germany) 47.5% Customer: EnBW efficiency

Tanjung Bin 4 (Malaysia) + Customer: Malakoff A-USC adds 1½% points efficiency & lowers emissions by 3% + +

Medupi (South Africa) + Customer: Eskom Suite of Apps Performance Optimization, Boiler Optimization, FlexiLoad, & Fuel Analyzer #1 Steam business in the world* 42 *Includes new build & services Paul McElhinney POWER SERVICES

43 Power Services growing Key metrics Better together ($ in billions)  50 years of organic growth with Alstom acquisition + $14.8  Servicing 40% of the world’s electricity generation Revenue $10.9  Expanding beyond the gas turbine to total plant, and beyond GE equipment

Business imperatives ‘15 ‘16 ‘17E Alstom integration Services  $57 $61 ++ backlog  Growth through technology + N. America gas price − W. Europe utilization  New growth initiatives + Efficiency/emissions − Renewables growth mandates  Cost competitiveness, working capital improvement

44 1 Alstom integration Key metrics Alstom value creation

+  Exceeded year-one deal model on profit and cash … $3.9B integration on track

Revenue  Accelerating path to 10 pts margin improvement … ahead of schedule

‘16 ‘17E  Alstom product cost down 10% … footprint rationalization, field services optimization, sourcing

Synergies $440MM ++  Integrated CSA and Digital into all Alstom offerings

45 2 Growth through technology Upgrades growth Growth beyond AGPs 1,000+ Gas upgrades  Alstom IB, combined technologies  2%+ efficiency, extended life 470

Upgrades 275 Steam upgrades  GE IB, combined technologies  2%+ efficiency, lower product cost AGPs 104 145 155-165 ‘15 ‘16 ‘17E Clear customer value proposition Fleet360 total plant solutions  Output, efficiency, flexibility, reliability, emissions  Plant outcomes incl. GT/ST/Boiler  Sustain gas growth … continued investment in NPI  Improved performance/economics  Expand upgrades to rotors, steam, total plant Analytics: Lifing, M&D, Digital Other upgrades up 2.5X+  Advanced analytics for plant  Lower $/upgrade; accretive to Power margins  Improved productivity on full plant

Broadening service portfolio with new upgrades & Predix 46 AGP dynamics

Upgrades volume & industry dynamics  7F AGP product pivot … Flex and Lite offerings to 155-165 capture mid merit and peaker markets 145

104  “Upgrade the upgrades” … tech package to upgrade 7F standard AGPs 78 AGPs 54  9F AGP start in ‘15 … significant ramp up in ‘17 and beyond driven by MEA, Europe and Asia

‘13 ‘14 ‘15 ‘16 ‘17E  H technology designed for continuous upgrades … bring IB to newest technology Penetration % 6% 10% 16% 21% ~27%

% of PS  Alstom GT AGPs … good start in ‘16, 7% 8% 9% 8% ~8% revenue continue to expand in Europe in ‘17

47 Steam upgrade … Enhanced Steam Path (ESP)

++  Capitalizing on GE & Alstom technology ESPs 55 ++ to improve value proposition Cross-fleet 26 ++ OEM 29  Reducing product cost by 20% ‘16 ‘17E

Revenue $0.3B ++  Significant cross-fleet growth driven by China, India & MEA ESP outcomes  Improve efficiency ~2-8%  Flexibility  start time ~50%  Improving performance with Digital …  Availability …  2%+ APM, OO, NeuCo to enhance total plant

48 3 New growth initiatives … cross-fleet

Cross-fleet (oOEM) orders $2.0B+ 1 Built on Alstom capability

++ 2 Enhanced with GE technology $0.9B

3 ~500 dedicated engineers

‘16 ‘17E ‘20F 4 Smart NPI investment Recent wins

5 Digital & total plant solutions differentiator • $130MM 12-year CSA • $55MM steam retrofit • Siemens/MHI gas plants • Ansaldo steam turbines

New segment with attractive margins 49 4 Structural cost & productivity

Reducing our structural cost Predix-enabled cost reduction

Headcount Repairs shops 20,200 56 17,350 48 -- -- FieldVision

Outage labor  17% ‘15 ‘16 ‘17E ‘15 ‘16 ‘17E Baseline  SG&A consolidation  Field resource optimization  Repair network optimization  Outage standards & performance tracking  Cross-training on outage execution  Continuous improvement via data analytics  Engineering efficiency  Digital Thread driven productivity

50 Ganesh Bell POWER DIGITAL SOLUTIONS

@ganeshbell 51 Digital transformation of electricity

Business Self- models under generation 2-way grid threat

Behind the Distributed ~$1.3T $2T+ $387B meter energy

Industry value Societal impact APM $500MM+ Customers investing Digital is a “innovation dollars” Board priority into software companies

52 Building a new digital franchise

GE Assets Our Workers Our Customers Vision: Complete industrial Every industrial Customers’ settings worker customers Key differentiators

Digital 1 Purpose-built for IIoT Portfolio

2 Full digital Industrial stack

3 Digital Twin ... core IP

4 Open – all assets & workers

5 Installed base & data

53 APM impact in power & utilities

• Enterprise level visibility & system of operations • 92,000 assets under management • 65% critical failure-mode coverage, increasing every quarter

Enterprise-wide software agreement 16 power plants in New York state 5,600 MW of coverage 1,400 miles transmission & distribution

Fleet-wide software agreement 16 power plants 500+ GT units 40,000 MW of coverage

“Killer” app for Industrial Internet - $387B in electricity 54 Presentation Title

March 8, 2017 Confidential. Not to be copied, distributed, or reproduced without prior approval. Presentation Title

March 8, 2017 Confidential. Not to be copied, distributed, or reproduced without prior approval. 8 March 2017 57 Presentation Title

March 8, 2017 Confidential. Not to be copied, distributed, or reproduced without prior approval. Apps delivering outcomes

60% ⇡ operating hours and starts

Achieved top quartile in heat rate and ⇡ production costs $5MM Revenue ~3% output * ⇡ per 32K hrs*

10–17% ⇣ NOx 0.5% ⇣ heat rate

€2.28MM cost reduction & avoidance per year

Early detection failures > £3MM per year

Digital Analytics Twin + catalog

* Projected estimates based on GE modeling and historical PJM energy pricing. 59 New business models with customers

Software as a Service (SaaS) Outcome as a Service (OaaS)

Exelon Apps Business Enterprise-wide Efficiency Predix IoT & applications Gas 1.5% 1.3 GW plant optimization Operations 0.5% (furnace oil) optimization Steam 1% Operations 38 GW of power plants

optimization Exelon 62 sites, 2K assets Asset 4% improvement Upgrades Upgrades

1% + services apps performance in efficiency Asset Goals h reliability, performance h Wind forecasting, Predix $240MM value for i Nuclear SCRAMs customers over 10 yrs. Predix

Executing on the largest deployment of IIoT 5-10x value capture for GE

60 Power Digital financials

Orders Growth drivers $0.9B >70% 1 growth Delivering outcomes to maximize services growth

$0.5B 2 Driving incremental productivity by combining physics + analytics

3 Winning from edge to cloud … Predix operating system for industrials

‘16 ‘17E Leading in enterprise digital 4 transformation 92,000 40+ Assets under New Predix solution management customers

61 John Lammas POWER TECHNOLOGY

62 Maintaining leadership in gas HA investment in technology paying off HA test campaigns  New tech retrofittable into existing HAs 9HA.01 7HA.01 7HA.02 9HA.02  Fully validated technologies available for … 2014 2015 2016 2017 2018 • GE F-class new units & upgrades 2017 catalog (GT only): 7HA.01 289MW, 7HA.02 372MW, 9HA.01 446MW, 9HA.02 544MW • GT 24/26, 13E2 upgrades • New offering in the intermediate space

HA tech for the intermediate space New materials Advanced cooling 3 new compressors Hi mach low loss diffuser HA application of “FastWorks”  4 HDGTs tested in 3 years, fastest ever!  Design/validation cycle reduced 50%  Lessons learned & new tech’s at each step Design automation tools  Architecture design for output/efficient growth 3 new combustion systems Next gen turbine aero

Efficient delivery of record breaking products, flowing down technology 63 HA efficiency growth with technology Model & efficiency Technologies ~2013 14 stage 3D compressor 4-stage turbine 9HA.01, 7HA.01, 7HA.02 “Staged” combustion Flowpath sealing 62  63%

Titanium S1 comp blade Turbine aero $1.8B $1.8B

investment Micromixer* Micro-channel Advanced Cooled LSB Ultra-Low k TBC >600C bottoming 9HA.02 cooling sealing cycle Today +0.6 pts 63  64% +25% 10-30% less +50F “Skin” cooling >1400F lower leakage Tested 7HA.01 Tested 7HA.02 Alstom Tech

Combustion Forward leaning HAs Unsteady Advanced High-temp Rotor cladding CMCs aero blade cooling additive $400MM Pr > 25 investment  65% +3000F Tfire Maximum +0.7 pts h 20-40% flow reuse +400F over metal ~2020F less cooling

64% by the end of the decade, 65% early/mid next decade, HA “architecture” change not required

* Most techs applicable to the GE fleet, example micromixer on the LM900 64 Leveraging the GE Store Performance & life Performance, life & speed Advanced materials, coatings, Combustor & cooling technologies • Combustion dynamics & emissions • Thermal barrier coatings technology • Micro channel cooling • Staged and micro-mixing systems • High temperature additive • Additive manufacturing • Single-crystal alloys • Combustor coating • Cooling features and technology • Pressure gain combustion • Ceramic matrix composites (for future growth)

Performance & availability Profitability & competitiveness Compressor Product cost • Computational aerodynamics • Handbook & PO variance report • Force response/damping analytics • Advanced manufacturing • Field-replaceable blades • Should-cost process & derivatives • Multiple-stage inlet control • “Positioning for growth” supplier summits • Titanium compressor blading • Negotiation advantage

Contributing to the store Aviation GE Oil & Gas GE Global Research Corporate… Borrowing from the store Audit Staff, etc. 65 Impact of Additive Improving the state-of-the-art Performance Processing sciences Near future Example HA • Removes traditional turbine shroud constraints 2x shorter cycle • New “near surface” cooling 30% part cost out

Alloys 2016 Speed to market Tested in • Model to part directly Greenville +200°F • ~18 months cycle capability 2018 In production on 7HA.02 Design 20% Cost Flow savings • Eliminate casting tooling Parts consolidation • Metal only where needed 20% cost out $1.5MM Value

Additive delivering 1 pt. of combined-cycle efficiency to 65% 66 Product Lifecycle Management enabling the Digital Thread

Preserve technology excellence Focus on cost reduction Sustain growth in service

NPI Forward Superior customer Asset Product Transform insight Productivity/ Industrial oOEM cycle time lean outcomes utilization cost out into productivity Improve margin Internet/Predix

 Design cycle reduced 14 months  Virtual mfg 50% cycle reduction  Services bill of material management  35% error reduction  $25MM engineering spend reduction  Common parts catalog ‘16 $24MM saving  80% GT model based  Should cost enabler  2 day outage time reduction

Single Digital Thread, design through production to services … 10MM parts in PLM today

67 Steve Bolze GE POWER

68 GE Power takeaways for the day

• Well positioned in a BIG and essential global industry • Alstom has been a huge accelerator in our transformation • Gas Power is a better & more diverse business than ever • Steam is outperforming our expectations and improves our services capabilities • Servicing 40% of the world’s electricity with $60B+ backlog & a strong innovation pipeline • Digital as the next big lever for productivity and new market opportunities • Continuous investment for world-class engineering capabilities & supply chain scale • More opportunities on cost efficiency & cash generation • GE Store makes us more competitive & differentiated

World’s preeminent Power franchise

69 Delivering 2017 ($ in billions) + ~5% AEIP framework 50% Financial / 50% Strategic Revenue $26.8 ++ Financial goals Op profit Working capital $5 Organic revenue growth Free cash flow Structural cost

Strategic goals Op profit 1.1 Alstom integration & growth 1.5 Growth in Digital 2.2 Organic growth 2.6 Improve cash entitlement ‘16 ‘17E 3.3 Sustained services growth 3.7 Deliver BD … close Water 4.4 Product cost out Op profit % 18.6% + >150 bps

Power team aligned to deliver for investors

70 GE POWER We’ll never be satisfied until the entire world has power.

71 RENEWABLE ENERGY

72 Today’s agenda 10:45-11:15am - GE Renewable Energy

Jérôme Pécresse: GE RENEWABLE ENERGY

Pete McCabe: ONSHORE WIND & MARGIN EXPANSION

11:15am Q&A

73 Jérôme Pécresse GE RENEWABLE ENERGY GE Renewable Energy ($ in billions) Onshore Wind Offshore Wind Hydro

$7.9B $0.1B $0.9B

$9B 80+ 12,000 400GW 25% 30,000+ 13,000 REVENUE COUNTRIES GLOBAL INSTALLED BASE OF WORLD’S HYDRO WIND TURBINES TURBINES IN 2016 EMPLOYEES INSTALLED BASE INSTALLED ON PREDIX

Unleashing limitless energy for our customers and the world

75 GE Store accelerates growth GGO EFS Local expertise/intel, Project financing • Creates better value proposition for customers advocacy, support magnet, creates mega-deals competitive • Makes GE more local advantage • Speeds up technology development & digital industrial ENERGY GE DIGITAL ADVANCED/ • Enables system-wide solutions ADDITIVE CONNECTIONS Predix, Digital Grid, controls, power Thread, MANUFACTURING • Deepens customer relationships conversion, “wing- Marketing DIGITAL INDUSTRIAL to-wing” systems ENERGY ECOSYSTEM CULTURE & SIMPLIFICATION MULTI-MODAL FACTORIES Haiphong, Tianjin, GRC Taubate: RE + O&G, Next-gen materials, Trans, EC, Power silicon carbide converters, field service automation POWER & O&G Commercial engagement

76 Renewables are mainstream power generation

Renewables and Gas lead growth 3% 2% Gas Engines Battery

26% 23% Solar GT Plants ~300 GW/year 2% Average LCOE trends Other Ren 12% $/MWh Fossil 160 Wind Steam Wind Onshore 19% 4% 140 Hydro Solar PV 9% Hydro Standard Nuclear 120 Fossil 100 80 Renewables 56% 60 of new global capacity 40 Legend: over next 10 years 20 LCOE parity in 2016 0 LCOE parity by 2025 2015 2030 2040

Cost of renewables without subsidies near parity with fossil fuel

77 Source: GE, BNEF, IEA Global onshore and offshore wind outlook Installs (GW) Key trends/observations

Offshore 4 3 4 7 8 Installed Policy Onshore 54 56 56 51 55 base CAGR • Tariffs vs. auctions/tenders … increases price pressure • Government budget pressures … subsidies  (wind & fossil) China 10.5% Landscape India 8.9% • Cost of electricity at parity in many countries • Install growth shifting from EU & US to Asia & LATAM South Asia 22.6% • Consolidation ongoing among OEMs North Asia 13.7% • Offshore becoming meaningful part of the segment LatAm 17.3% • Increasing renewable penetration drives needs for NAM 7.2% baseload power (gas/hydro)

SSA 34.5% GE performance (2016) • 7.5GW of global orders, +26% vs. ‘15 MENAT 21.7% • 57GW global installed base Russia-CIS 35.7% • Orders from 35 countries Europe 5.2% • First time orders in Greece and Saudi Arabia

2016 2017 2018 2019 2020 • First US offshore wind farm – Block Island

Favorable wind industry fundamentals globally … drives need for local strategy

78 Source: GE Mktg, MAKE, AWEA, IHS Renewable Energy 2020 … a GE growth story Goal: • ~$15B, multi-fuel business • ~20% revenue from Services • ~10%+ margin rate • Strong returns • Accretive to GE brand LM Wind Global growth Digital & Services

+Margin expansion ~$15B

$9B

* 2016 Rev 2020F Rev

*Subject to regulatory approval and deal closing 79 Pete McCabe ONSHORE WIND & MARGIN EXPANSION

80 US onshore wind installs shaped by PTC phase-out and repowering opportunity Annual wind industry installs Key trends/observations (GW) GE performance (2016) 10.5 • Segment share gain 2 points* 9.8 • 3.7GW installed 9.0 • $5.6B orders in US; ~90% new 2X platform products 8.2 7.8 • 2X product cost 50% down learning curve

Policy • PTC phase-out, declining value from ‘16: 100-80-60-40% • Treasury guidance supports installs through ‘23

Landscape • Electricity demand  ~1.5% / year (‘16-‘25) • ~$2.0B repowering opportunity • Wind & PV expected to account for ~50% new adds '16 '17E '18F '19F '20F

Supportive, stable policy & repowering drive growth through 2020

81 Source: GE Mktg, MAKE, AWEA, IHS *according to AWEA Driving wind margin expansion Extend 2MW and 3MW platforms to meet global needs Technology to enhance competitiveness

LCOE (c/kWh) Blades 30% LCOE Towers reduction Electrical

Drivetrain 2MW platform … 3MW platform … Controls BOP 28K+ turbines in 20+ countries 2K+ turbines in 20+ countries Services Digital, Life • Platforms customizable to meet regional needs (23 local models in ‘17 Optimization vs. 14 in ‘15) to be more locally competitive and maintain cost • Driving speed, cost-out and flexibility through local content, people, common components and supply chain … $600MM+ product cost- out from 2015 through 2017 • Continuous infusion of technology to drive performance increase and 2016 2019F 5% YoY cost reduction

Grow margins and markets with global platforms & cutting edge technologies

82 2 Gearbox vibrations the INDUSTRIAL Asset manager • Fix lost production INTERNET platform • Increase farm AEP @ Turbine Edge Built for massive industrial data volumes 3 and powerful analytics, to speed Low wind operational and business innovation Trader 1 • Adjust trade in minutes Turbine trip • Higher revenue

4 Intermittent grid Remote operations • Auto-reset in seconds • Higher availability 5 Underperforming sector Diagnostic engineer 6 Cyber threat • Verify anomaly same day • Reduce unplanned costs

Site crew • Inspection at next outage @ Wind Farm Edge • Reduce planned costs

83 Hydro Onshore Focus to win in target geographies Offshore

Europe EXPAND China BUILD ASIA ACCELERATE LATAM REVIVE REGIONS

 Product competitiveness  Deep hydro relationships • Strong opportunity in India, Japan, • Win large deals  Services offerings  China wind segment expanding Australia, Thailand • Differentiate with finance  Offshore demand  Emerging offshore opportunities • GE positioned to win mega-deals • Local supply chain enabling  Work with EPCs on their global • EPC (turnkey) + Digital targeted Brazil opportunities expansion differentiator • Competing in Chile, Argentina

OURFOCUS and Mexico

Max Bögl $2B ~$2B Yalong Hydro AGL Energy (Silverton) CER Energia Wind AG  Hydro retrofit deal across  Australia 200MW  Brazil 205MW  Germany, China  3.4MW turbine ~$1.7B  82 2.5-116 wind turbines 3.4MW turbine  Modernization of 6 x 550MW  GE financing  90-meter towers  World’s tallest  Supported from Tianjin facility  First ever deal with GE ~$1B RECENT WINS RECENT wind turbine $0.9B with pump storage $0.6B ~$0.5B $0.2B ASIA (including Europe (including ASEAN, Japan, Korea, Russia/CIS) China Australia and India) LATAM

ORDERS 2016 2017E 2016 2017E 2016 2017E 2016 2017E

Build scale and win share in key regions 84 Digital Services & Digital Wind RE Services revenue RE Digital revenue Farm

~2X Digital Digital ~1.5X Solar ++ Hydro ++ Plant Plant $0.9B $140MM 2016 2017E 2016 2017E GE’s Services focus Customer outcomes  Created Services Center of Excellence Remote operating 70 13,000 380GW  Capitalize on repower opportunity center to Predix wind farms installed turbines on Predix of installed base  Increase installed base capture 20% automatic turbine resets • 33% productivity increase • 80% issues resolved in under 10 mins  Lower LCOE through operational excellence Business Optimization for Asset Performance Management  Enhance performance through Digital • 3% revenue increase for global power utility and upgrades • 95% accuracy in forecasting • 2% power performance increase  Build out local capabilities • 41 sites deployed • 12 OEMs being monitored • $40MM incremental value of fleet life • 800 turbines across 20 sites

Building RE Services + Digital franchise to accelerate growth

85 A little bit about LM Wind Power

• Since 1978, LM Wind Power has produced more DENMARK than 185,000 blades corresponding to a Headquarters Engineering Test Center capacity of approximately 77GW CANADA Production facilities: 1 POLAND • Contributing to saving more than 147 million Production facilities: 1 CHINA Production facilities: 3 tons of CO2 per year USA TURKEY Production facilities: 2 SPAIN Production facilities: 1 • 9,000+ employees, 13 manufacturing facilities Production facilities: 2 in 8 countries on 4 continents INDIA • Rotor solutions are supplied to 30 global and Production facilities: 2 national wind turbine manufacturers, for Onshore and Offshore wind BRAZIL Production facilities: 1

LM Wind Power: a leading blade supplier to the wind industry.

86 LM strategic fit in GE Renewable Energy ($ in billions) Key metrics Strategic opportunity ~$1.7B 20+% Vertical integration of rotating blades … ~20% of total cost price IRR + Blades critical to turbine performance and cost + Lock in capacity for growth $2.3B $0.8B + Drive cost reduction Margin recapture + Value of + Retention of 3rd party customers synergy external sales + Control over new tech IP

Revenue Support broader GE Wind growth strategy

++ ++ + Commercial … increase GE local content capability $1.2 $0.8 + More India, China exposure

‘15 ‘16 ‘18F + Strong and growing blade supplier to other OEMs + Supports onshore and offshore segments EBITDA $0.1 $0.2 ++

Deal expected to close 2Q’17-a) … $.01 accretive to GE EPS in ‘18

(a- Subject to regulatory approval and deal closing 87 Hydro and Offshore Wind

5 Haliade 150-6MW installed in Block Island HYDRO OFFSHORE

• Lead in large segment: recent wins include 14 units • Execute Block Island: opened US offshore segment as 1st OEM (760MW) across Canada, Pakistan and China … continue the … reached completion & operations of 30MW trend • Execute Merkur: St. Nazaire factory ramp-up to produce 66 • Serve the global installed base: ~350MW installed, units, with strong early cash collection build/enhance retrofit & services offering; develop full suite of • Find new deals in expanding geographies: Europe, but also digital capabilities US, China, Taiwan and Japan • Bring small hydro product to market: steady growth in • Drive cost out of turbine: utilize GE Onshore principles small, developing competitive offering & scale … GRC improving turbine reliability • Simplify business and reduce cost structure • Focus on product development: plan to get to the next level • Contribute to GE Store: converting China/Brazil of LCOE to be competitive in the future manufacturing sites to multi-modal for GE2GE production

Make Hydro a solid GE business Invest today to be a top 3 player in offshore wind

88 Alstom integration update What went well Synergies  Synergies execution @ $196MM … $52MM above plan $196MM Synergies exceeded  GE Store contribution … Offshore/Energy Connections $144MM 2016 plan by delivering  Commercial reach improved … 29 add´l countries in ’16  One GE Renewable Energy culture built 36% above target 2016

What we need to focus on Keys to success in 2017 • Continue to aggressively reduce cost (product and base) • Base costs: continue good execution, mainly in Hydro • Enhance competitiveness of Hydro business • Sourcing: strong focus on usage consolidation, • Engage GE Store on project execution (project transformation and scale management CoE, GRC) • Technology: exit of the Alstom onshore wind platform and engineering consolidation • GE2GE: multi-modal factories

Good progress … need to focus on continuous improvement

89 2017 GE Renewable Energy financials 2017 Trends Renewable Energy dynamics + • Orders shifting growth to international markets Orders $10B ++ due to PTC Safe Harbor phase down in 2017 Revenue $9B • Drivers of organic growth in ‘17:  US segment smaller, offset by repower Op. profit $576MM ++  New geographies 2016 2017E  Delivery of larger units (in MW) Op. profit % ~6% + • Driving aggressive cost out actions: Environment  Product cost out + PTC extension to 2020 & global growth  Vertical integration  Alstom/LM synergies + Strong repower demand … Services & Digital opportunity  $100MM base cost reduction … down ~150 bps – Auctions become rule, h competitive intensity (solar) • Intense focus on cash generation – Slowdown in very large hydro new builds

Renewable Energy a GE growth engine in 2017 & beyond

90 Key messages  Renewables is mainstream & critical segment in future of power generation  Our 2020 goal: $15B revenue, double-digit margins, strong returns  20% revenue in Services, 70% outside US  Global growth, margin expansion keys to success  Hydro turnaround underway  Committed to/investing in Offshore – future growth segment  Digital is creating value for customers today; key lever for services business  LM expected to close 2Q 2017, will have immediate strategic impact-a)

A global growth business delivering high return on investment

-a) Subject to regulatory approval and deal closing 91