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GE'S FIRST QUARTER EPS FROM CONTINUING OPERATIONS UP 13 PERCENT; OPERATING CASH FLOW REACHES $600 MILLION

 FAIRFIELD, Conn., April 13 /PRNewswire/ -- General Electric Company (NYSE: GE) today issued the following:
 GE's net earnings per share for the first quarter of 1993 were $1.36, up 11 percent from the $1.23 reported in the first quarter of 1992, Chairman John F. Welch, Jr. said today. Net earnings were $1.160 billion in the first quarter of 1993, up 10 percent from $1.058 billion in 1992's comparable period.
 Net earnings from continuing operations, which exclude the discontinued Aerospace businesses, were $1.085 billion in 1993, up 13 percent from 1992's comparable $964 million. Per share, earnings from continuing operations amounted to $1.27, up 13 percent from 1992's comparable first quarter earnings of $1.12 per share. Revenues from continuing operations in 1993's first quarter were $12.9 billion, up 3 percent from $12.4 billion for the first quarter of 1992.
 Commenting on the results, Mr. Welch said: "The good growth in earnings was broad based as double-digit increases were reported by GE Capital Services (formerly GE Financial Services), Transportation Systems, Motors, NBC, Power Systems, Appliances and Plastics. Decreased earnings at Aircraft Engines reflected an increase in product development costs and restructuring costs necessary to meet market conditions. GE's operating margin in the first quarter 1993 increased to 12 percent compared with 11.5 percent last year."
 The company continued its strong cash flow performance in 1993's first quarter. GE's cash flows from continuing operation activities increased by about $750 million to $600 million. Cycle-time improvement programs enabled the manufacturing businesses overall to sustain their good rates of improvement in inventory turnover.
 Net earnings from discontinued operations were $75 million, down 20 percent from $94 million for the first quarter of 1992 on somewhat lower revenues. On April 2, 1993, GE's Aerospace businesses were transferred to a new company controlled by the share owners of Martin Marietta. This transfer will be reflected in second quarter results.
 Mr. Welch stated: "GE's double-digit earnings increase in the first quarter positioned the Company for another strong year of earnings growth. The speed initiatives across all businesses are translating into increased earnings and a stronger balance sheet."
 GENERAL ELECTRIC COMPANY
 Segment Analysis
 Following is a comparison of revenues and operating profit by industry segment for the first quarters of 1993 and 1992.
 GE Capital Services: Net earnings were 22 percent ahead of last year's quarter. All five GECS business segments posted increases with the largest growth in Specialty Insurance and Specialty Financing as a result of premium and asset growth.
 Broadcasting: Operating profit was up sharply mainly as a result of lower programming and overhead costs. Revenues were somewhat higher, principally because of advertising revenues from the 1993 Super Bowl.
 Industrial: Operating profit was much higher on somewhat higher revenues principally as a result of sharply higher 1993 locomotive shipments. Segment operating profit was also favorably affected by continuing productivity improvements in all businesses, especially Motors and Electrical Distribution and Control.
 Power Systems: Operating profit was much improved on slightly lower revenues, principally as a result of productivity from cycle-time improvements. Revenues were slightly lower because of the effects of timing of sales in the United States.
 Materials: Achieved a good increase in operating profit on flat revenues as material cost decreases, productivity and strength in the North American markets more than offset price weakness in the European resins business.
 Appliances: Operating profit showed a good increase despite flat revenues on good productivity performance and sales growth in North America. U.S. order rates for core products were higher, substantially in line with industry trends, offsetting continued weakness in European markets.
 Technical Products And Services: Operating profit was down somewhat on much lower revenues, reflecting principally the effects of transfers and dispositions of former Communications and Services businesses other than GE Information Services. Operating profit at Medical Systems was slightly higher on flat revenues.
 Aircraft Engines: Operating profit was sharply lower than last year, principally the result of increased product development costs and provisions during 1993's first quarter to cover costs of downsizing to meet market conditions in the troubled commercial airline industry. The 1993 revenues were flat, as revenues from the newly consolidated Wales Engine Maintenance Services business offset slightly lower product shipments.
 All Other: Revenues and operating profits were much higher than last year, principally as a result of increased licensing revenues.
 Discontinued Aerospace Businesses: Reported net earnings of $75 million ($.09 per share), compared with $94 million in the 1992 period. Sales were down somewhat in 1993.
 -0- 4/13/93
 /CONTACT: Bruce Bunch of General Electric Company, 203-373-2039, or at home, 203-263-5595/
 (GE)


CO: General Electric Company ST: Connecticut IN: ARO CPR SU: ERN

TS -- NY053 -- 5246 04/13/93 13:02 EDT
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Publication:PR Newswire
Date:Apr 13, 1993
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