GE Consumer Finance and Shenzhen Development Bank Enter Strategic Alliance; Investment Marks SDB's and GE's Commitment to Grow the Consumer Finance Business in China

Business Wire, Oct 20, 2005

SHENZHEN, China -- GE Consumer Finance ("GECF"), the global consumer lending unit of General Electric Company (NYSE: GE), and Shenzhen Development Bank (SZSE 000001, "SDB"), the first publicly traded bank in China, today announced that they have entered into a Strategic Cooperation Agreement to develop consumer finance opportunities in China.

As part of the agreement, GECF will acquire newly issued shares in SDB valued at US$100 million. In association with the equity investment, GECF will agree to cooperate with SDB to provide expertise in retail consumer finance, including management expertise, risk processes, product development and systems. The transaction is subject to approval by Chinese regulatory authorities as well as SDB's shareholders.

"China represents an exciting long-term growth opportunity for our financial services businesses" said Steve Bertamini, President GE Capital Asia. "Shenzhen Development Bank has national distribution, a commitment to growing their retail business and an experienced management team. We believe they are an ideal local partner to complement our global experience as a leading provider of retail banking and consumer finance products and services."

"We are very pleased to form this alliance with GE Consumer Finance and look forward to working together to build SDB's consumer business," said Frank Newman, Chairman, Shenzhen Development Bank. "It further builds on our strategy of combining the best local talent with the best international expertise to create a premier Chinese financial institution."

China is one of the world's fastest growing consumer finance markets. The consumer credit industry is in its infancy, and as it currently represents only 15% of the total lending market in China, impressive growth potential is anticipated. "Reliable, secure and responsible access to credit will be an important contributor to the growth of the consumer credit industry in China" said Stuart Sinclair, President GE Consumer Finance Greater China. "GECF has a strong track record of growing successful businesses in both emerging and developed consumer finance markets worldwide. GE and SDB will also explore opportunities in commercial banking in the future."

"The consumer credit and retail banking markets are an important part of our growth strategy in China," said Jeffrey R. Williams, President, Shenzhen Development Bank. "The alliance with GECF allows us to grow the business more quickly with a world-class partner known for its consumer finance offerings and strong global risk management standards."

ABOUT SHENZHEN DEVELOPMENT BANK

Shenzhen Development Bank, the first joint-stock owned company to list on the Shenzhen Stock Exchange (SZSE 000001), is a national bank headquartered in Shenzhen, China, a city known for its progressive approach to business. With RMB 210.5 billion in assets, SDB provides a broad range of services to commercial, retail, and government customers, through 237 branches and sub-branches. SDB has 7000 employees in 18 major cities across China. The bank is approximately 72% owned by tradable shares held by the public; 17.9% is owned by Newbridge Asia AIV III, L.P.

ABOUT GE CONSUMER FINANCE

GE Consumer Finance is a unit of General Electric Company and a leading global provider of banking and financial services to consumers, retailers, and auto dealers in 47 countries around the world. GE Consumer Finance, based in Stamford, Connecticut (USA), offers a range of financial products, including credit cards, personal loans, bank cards, auto loans and leases, mortgages, corporate travel and purchasing cards, debt consolidation and home equity loans, and credit insurance. GE Consumer Finance has more than 118 million customers and more than US$151 billion in assets. More information can be found at http://geconsumerfinance.com.

ABOUT GE

GE (NYSE:GE) is Imagination at Work -- a diversified technology, media and financial services company focused on solving some of the world's toughest problems. With products and services ranging from aircraft engines, power generation, water processing and security technology to medical imaging, business and consumer financing, media content and advanced materials, GE serves customers in more than 100 countries and employs more than 300,000 people worldwide. For more information, visit the company's Web site at www.ge.com.