GE Transportation
Solving the world’s toughest
transportation challenges
September 2011
Overview
• GE perspective
• Five keys to rail progress
• Discussion
Preliminary 2009 first quarter results/ 2
GE’s Portfolio
GE Energy $37.5B
Energy
Services
Healthcare $16.9B
GE Capital $47.0B
Aviation $17.6B
Home & Business $25.5B
Solutions, Media
Oil & Gas
Transportation $3.4B
Power & Water
~$150B Revenue
(2010)
$12.6B earnings
$14.7B cash flow
Preliminary 2009 first quarter results/ 3
GE Transportation
• Global HQ: Erie, Penn.
• Established more than
100 years ago
• Global workforce:
~11,000
• Global supplier network:
~1,600 companies
• Industries: Rail, Signaling,
Mining, Marine, Oil Drilling,
Stationary Power, Wind,
Energy Storage
• Revenue: $3.4 billion (2010)
Preliminary 2009 first quarter results/ 4
Core product … eco locomotive
• $400M investment
• 40% lower emissions
• 330,000 gallons of
fuel savings (20 yrs)
• Moves one ton of
freight ~480 miles
on one gallon of fuel
• Enough power to haul 170 “747” Jumbo Jet
airliners
Preliminary 2009 first quarter results/ 5
• Introduced in 2005 … 4,100 locos in use
Global means to be local everywhere
Canada
UK PowerHaul
Egypt
Modernization
Turkey
Kazakhstan/CIS
United States
China
Mexico
Indonesia
Brazil
S. Africa
Australia
~17,000 locomotives in more than 50 countries
~4,500 Evolution Series locomotives sold since launch in
2005
Preliminary 2009 first quarter results/ 6
Much more than locomotives…
Locomotive, Modernizations, Parts & Service
Intelligent Control Systems
Global transportation
systems provider with
applications for rail, mining,
marine, offshore drilling,
power generation, energy
storage & wind industries
Energy Storage
Off-Highway Vehicles
Mining
Marine Propulsion Systems
Drivetrain
Technologies
Wind
Drill Systems
Oil & Gas
Preliminary 2009 first quarter results/ 7
Michigan ITCS
5.
GPS
Satellites
2.
Dispatch Center
4.
Communication Network
3.
Wayside Unit
Wayside Unit
1.
Wayside Communication Network
Preliminary 2009 first quarter results/ 8
Investing in our future
Major investment in new
technologies, products and
services: $600MM (2010-11)
Tier 3 and 4 emission
standards (rail, marine)
Higher speed rail in the U.S.
Battery and energy storage
… $160MM investment …
hybrid applications
Globalization & product
diversification
Preliminary 2009 first quarter results/ 9
Keys to Rail Success
1.
Freight Rail is the Core
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Exports Critical for U.S. Rail
Suppliers
• GE – South Africa launch 2/11 – 10 U.S. locos … 90
assembled in-country with PA high-value kits
• Passage of Pending Free Trade Agreements with Columbia,
Panama and South Korea will further boost domestic supplier
export opportunities
Preliminary 2009 first quarter results/ 12
GE to open locomotive plant in Texas
• Expansion of U.S. operational footprint to Fort
Worth, TX … 900,000 sqft facility
• Up to $100 million investment … 500+ high-tech
manufacturing jobs … production launch in 3Q
2012
• Facility next to key customer BNSF
Preliminary 2009 first quarter results/ 13
Keys to Rail Success
1. Freight Rail is the Core
2. Push New Technology and Innovation
Preliminary 2009 first quarter results/ 14
Thomas Edison patent:
“Locomotive for Electric
Railways,”
1891
WattStation™ EV Charging Station: building on a century of
innovation in designing and manufacturing electrical
Preliminary 2009 first quarter results/ 15
distribution systems
GE Energy Storage
• $160MM investment in battery technology
• Collaboration: GE Global Research, GE Transportation
• Durathon battery benefits:
• High-energy density … fast discharge … small footprint
• Reliability … minimal maintenance … low life cycle cost
• Temperature resistant … -20C to 70C
• Applications: Telecommunications, Utilities, Uninterrupted Power
Supply … foundation for electric vehicle apps in rail, marine and
mining
Advanced manufacturing facility
in Schenectady, NY
Preliminary 2009 first quarter results/ 16
Keys to Rail Success
1. Freight Rail is the Core
2. Push New Technology and Innovation
3. Enhance Infrastructure Investment
Preliminary 2009 first quarter results/ 17
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Preliminary 2009 first quarter results/ 19
Keys to Rail Success
1. Freight Rail is the Core
2. Push New Technology and Innovation
3. Enhance Infrastructure Investment
4. Balance Our Approach
Preliminary 2009 first quarter results/ 20
Investment Must Be Balanced
Preliminary 2009 first quarter results/ 21
Keys to Rail Success
1. Freight Rail is the Core
2. Push New Technology and Innovation
3. Enhance Infrastructure Investment
4. Balance Our Approach
5. Drive Common Goals
Preliminary 2009 first quarter results/ 22
Preliminary 2009 first quarter results/ 23
Preliminary 2009 first quarter results/ 24
Thank You
Preliminary 2009 first quarter results/ 25