<PAGE>
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 11-K
Annual Report Pursuant to Section 15(d) of the
Securities Exchange Act of 1934
(Mark One)
/x/ Annual report pursuant to Section 15(d) of the Securities Exchange Act
of 1934 (Fee Required)
For the fiscal year ended December 31, 1995
-----------------
OR
/ / Transition report pursuant to Section 15(d) of the Securities Exchange
Act of 1934 (No Fee Required)
For the transition period from to
------ ------
Commission file number 1-35
----
A. Full title of the plan and the address of the plan, if different
from that of the issuer named below:
GE Savings and Security Program
-------------------------------
B. Name of issuer of the securities held pursuant to the plan and the
address of its principal executive office:
General Electric Company
------------------------
3135 Easton Turnpike, Fairfield, Connecticut 06431
--------------------------------------------------
<PAGE>
Required Information
A. Financial Statements and Schedules:
Independent Auditors' Report 3-4
Statements of Net Assets Available for Plan
Benefits as of December 31, 1995 and 1994 5
Statements of Changes in Net Assets Available for
Plan Benefits for the Years Ended December 31,
1995 and 1994 6
Notes to Financial Statements 7-23
Schedule I Item 27a - Schedule of Assets
Held for Investment Purposes as of
December 31, 1995 24-37
B. Exhibits
(23) Consent of Independent Auditors
(99) GE S&S Program Mutual Funds 1995 Annual Report
SIGNATURES
The Plan. Pursuant to the requirements of the Securities Exchange Act
of 1934, the trustees (or other persons who administer the employee benefit
plan) have duly caused this annual report to be signed on its behalf by the
undersigned hereunto duly authorized.
GE Savings and Security Program
--------------------------------------
(Name of Plan)
Date June 28, 1996 P. D. Ameen
------------- --------------------------------------
Vice President and Comptroller
<PAGE>
GE SAVINGS AND SECURITY PROGRAM
Financial Statements and Supplemental Schedule
December 31, 1995 and 1994
(With Independent Auditors' Report Thereon)
<PAGE>
GE SAVINGS AND SECURITY PROGRAM
December 31, 1995 and 1994
Table of Contents
Page
Number(s)
---------
Financial Statements and Supplemental Schedule
Independent Auditors' Report 3-4
Statements of Net Assets Available for Plan
Benefits as of December 31, 1995 and 1994 5
Statements of Changes in Net Assets Available for
Plan Benefits for the Years Ended December 31,
1995 and 1994 6
Notes to Financial Statements 7-23
Schedule I Item 27a - Schedule of Assets
Held for Investment Purposes as of
December 31, 1995 24-37
<PAGE>
INDEPENDENT AUDITORS' REPORT
General Electric Company, as administrator
GE Savings and Security Program:
We have audited the accompanying statements of net assets available for plan
benefits of GE Savings and Security Program (the "Plan") as of December 31, 1995
and 1994, and the related statements of changes in net assets available for plan
benefits for the years then ended. These financial statements are the
responsibility of the Plan's management. Our responsibility is to express an
opinion on these financial statements based on our audits.
We conducted our audits in accordance with generally accepted auditing
standards. Those standards require that we plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statement presentation.
We believe that our audits provide a reasonable basis for our opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the net assets available for plan benefits of the Plan as
of December 31, 1995 and 1994, and the changes in net assets available for plan
benefits for the years then ended, in conformity with generally accepted
accounting principles.
-3-
<PAGE>
General Electric Company, as administrator
GE Savings and Security Program
Page 2
Our audits were made for the purpose of forming an opinion on the basic
financial statements taken as a whole. The supplementary information included in
Schedule I is presented for the purpose of additional analysis and is not a
required part of the basic financial statements, but is supplementary
information required by the Department of Labor's Rules and Regulations for
Reporting and Disclosure under the Employee Retirement Income Security Act of
1974. The Fund Information in note 7 to the financial statements is presented
for purposes of additional analysis rather than to present the net assets
available for plan benefits and changes in net assets available for plan
benefits of each fund. The supplemental schedule and Fund Information have been
subjected to the auditing procedures applied in the audits of the basic
financial statements and, in our opinion, are fairly stated in all material
respects in relation to the basic financial statements, taken as a whole.
March 31, 1996
-4-
<PAGE>
GE SAVINGS AND SECURITY PROGRAM
Statements of Net Assets Available for Plan Benefits
December 31, 1995 and 1994
(in thousands)
Assets 1995 1994
------ ---- ----
Investments at fair value (Cost:
$8,251,764 and $7,690,498, respectively)
(note 3):
General Electric Company common
stock (note 6) $ 5,898,864 $ 4,218,035
Registered investment companies:
S&S Long Term Interest Fund 2,235,430 1,983,952
S&S Program Mutual Fund 1,225,729 880,762
U.S. government and agency debt
obligations 750,090 629,556
Corporate bonds and notes 457,964 447,663
U.S. Savings Bonds (Series E & EE) 266,983 293,510
Short term money market instruments 423,288 426,001
Guaranteed investment contracts -- 74,341
Loans secured by mortgages 74,215 --
----------- -----------
Total investments 11,332,563 8,953,820
Loans to participants (note 4) 345,925 288,411
Accrued dividends and interest 49,980 43,884
Due from brokers 391 73,314
Other assets 15,773 4,782
----------- -----------
Total assets 11,744,632 9,364,211
----------- -----------
Liabilities
-----------
Liability for collateral deposits (note 3) 185,772 114,237
Due to brokers -- 140,933
Other liabilities 9,385 3,409
----------- -----------
Total liabilities 195,157 258,579
----------- -----------
Net assets available for plan benefits
(note 7) $11,549,475 $ 9,105,632
=========== ===========
See accompanying notes to financial statements.
-5-
<PAGE>
GE SAVINGS AND SECURITY PROGRAM
Statements of Changes in Net Assets Available for Plan Benefits
Years Ended December 31, 1995 and 1994
(in thousands)
1995 1994
---- ----
Additions to net assets attributed to:
Investment income:
Interest and dividend income:
General Electric Company common
stock (note 6) $ 130,191 $ 117,277
Registered investment companies 281,159 226,049
Interest 94,841 74,674
------------ ------------
506,191 418,000
Net realized and unrealized appreciation
(depreciation) in value of investments
(note 6) 2,177,950 (402,131)
------------ ------------
2,684,141 15,869
------------ ------------
Contributions and other additions:
Employee contributions 434,813 419,228
Employer contributions 168,213 169,316
Interest on loans to participants 23,360 22,696
------------ ------------
626,386 611,240
------------ ------------
Total additions 3,310,527 627,109
Deductions from net assets attributed to:
Participant withdrawals (866,684) (742,171)
------------ ------------
Net increase (decrease) 2,443,843 (115,062)
Net assets available for plan benefits (note 7):
Beginning of year 9,105,632 9,220,694
------------ ------------
End of year $ 11,549,475 $ 9,105,632
============ ============
See accompanying notes to financial statements.
-6-
<PAGE>
GE SAVINGS AND SECURITY PROGRAM
Notes to Financial Statements
December 31, 1995 and 1994
(1) Description of the Plan
-----------------------
GE Savings and Security Program (the "Plan") is a defined contribution
plan sponsored by General Electric Company and its participating
affiliates (the "Company"). The Plan is subject to applicable provisions
of the Employee Retirement Income Security Act of 1974 ("ERISA"). The
Trustees of the Plan are officers of General Electric Investment Company
(GEIC), a wholly owned subsidiary of General Electric Company. State
Street Bank and Trust Company is the primary custodian for Plan assets.
The following description of the Plan is provided for general information
purposes only. The complete terms of the Plan are provided in the GE
Savings and Security Program document (the "Plan Document"). Benefits,
vesting provisions and effects of plan termination are included in plan
handbooks and other material distributed to participants as required.
Employee Contributions and Investment Funds
-------------------------------------------
Eligible employees of the Company may participate in the Plan by
investing a portion of their earnings (generally up to 7% with Company
partial matching and an additional 10% without any Company matching) in
one or more of the following funds or investments through a trust
established to administer the investment of program funds:
(a) General Electric Company common stock (the "GE Stock Fund" or
"GE common stock").
(b) S&S Long Term Interest Fund (the "LT Fund") -- consists of
investments in long term bonds and short-term notes through a
registered investment company.
(c) S&S Program Mutual Fund (the "Mutual Fund") -- consists
primarily of investments in common stock through a registered
investment company.
-7-
<PAGE>
GE SAVINGS AND SECURITY PROGRAM
Notes to Financial Statements
(d) S&S Short Term Interest Fund (the "ST Fund") -- consists
primarily of investments in securities of the U.S. Government
and its agencies and corporate bonds.
(e) S&S Money Market Fund (the "MM Fund") -- consists of investments
in short term money market instruments.
(f) United States Savings Bonds ("U.S. Bond Fund") -- consists of
individual participants' investments in U.S. Savings Bonds.
Pending accumulation of sufficient individual funds, investments
are made in short term money market instruments.
The S&S Holding Period Interest Fund (the "HP Fund") was terminated
effective January 1, 1995. All remaining assets were transferred to the
S&S Long Term Interest Fund as of the effective date.
Eligible employees may elect to apply either 0.5% or 1.0% of earnings to
purchase life insurance. The benefit obligations of such purchased life
insurance contracts rest with the insurer, Aetna Life Insurance Co.
("Aetna"). In accordance with the Plan documents, life insurance
contracts are specifically allocated to the participants and not included
in the Plan's assets or changes in plan assets. Payments to Aetna of
contributions received from employees for life insurance contracts were
$11,878,000 and $12,028,000 in 1995 and 1994, respectively. Total life
insurance in force amounted to $4,744,578,000 and $4,962,472,000 at
December 31, 1995 and 1994, respectively.
Participants may elect up to twelve times a year to switch their
investment in an investment fund (in increments of 10%) to another
investment fund that is presently available to accept new funds.
-8-
<PAGE>
GE SAVINGS AND SECURITY PROGRAM
Notes to Financial Statements
The Internal Revenue Code sets out maximum limits on participant pre-tax
contributions. The limit was $9,240 for both 1995 and 1994.
Employer Contributions
----------------------
The Plan generally provides for Company matching contributions of 50% of
employees' contributions of up to 7% of their earnings which may be
invested at the election of the participant in any one of the investment
funds available to accept new contributions except for United States
Savings Bonds and life insurance.
Rollovers and Transfers from Other Qualified Plans
--------------------------------------------------
Subject to Company approval, participants may elect rollovers of amounts
attributable to other plans in accordance with the Internal Revenue Code.
For the years ended December 31, 1995 and 1994, transfers from other
qualified plans accounted for $15,115,000 and $11,059,000, respectively,
of total employee contributions included in the statements of changes in
net assets available for plan benefits.
Withdrawals
-----------
Subject to certain limitations prescribed by the Plan and Internal
Revenue Code, participants may elect retirement or other termination
withdrawals in either lump sum or partial payments and currently employed
participants may make up to seven withdrawals per year from their
participant accounts. Partial payments are limited to four per year and a
minimum of $500 each.
-9-
<PAGE>
GE SAVINGS AND SECURITY PROGRAM
Notes to Financial Statements
Loans to Participants
---------------------
The Plan permits participants, under certain circumstances, to borrow at
least $500 from their participant accounts. Subject to certain Internal
Revenue Code and Plan limits, such loans cannot exceed 50% of the
participant's available account value, as defined in the Plan Document
(or, if less, $50,000 adjusted for prior loans). The interest rate
applicable to participant loans is based on the monthly average of the
composite yield on investment grade corporate bonds, as published by
Moody's Investors Service, for the month that is two months before the
month in which the loan is requested.
Effective July 1, 1995, a participant may have no more than two
outstanding loans from the Plan at any time and may not obtain more than
one such loan during any calendar year. Prior to such date, a participant
may have had no more than one outstanding loan from the Plan at any time.
Loans are repaid with interest in equal payments over the term of the
loan by payroll deductions, personal check or other such methods as may
be required. Participants may repay the entire principal amount by check
with written notice and without penalty beginning three months after the
date of the loan.
In the event of a loan default, as defined by the Internal Revenue
Service, the Plan will report the amount of the loan principal and
accrued interest as a withdrawal.
Vesting
-------
Participants are fully vested in their employee and employer
contributions.
-10-
<PAGE>
GE SAVINGS AND SECURITY PROGRAM
Notes to Financial Statements
Plan Termination
----------------
Although the Company has not expressed any intent to do so, it has the
right under the Plan to discontinue its contributions, and to terminate
the Plan subject to the provisions of ERISA. If the Plan is terminated,
each participant's interest will be payable in full according to Plan
provisions.
Administrative Costs
--------------------
Direct administrative costs of the Plan are generally borne by the
Company. Administrative costs include investment management,
recordkeeping, and transaction processing fees.
(2) Summary of Significant Accounting Policies
------------------------------------------
(a) Basis of Accounting
-------------------
The accompanying financial statements have been prepared on the
accrual basis of accounting.
(b) Investments
-----------
Plan investments are stated at fair value. General Electric
Company common stock is valued at the closing price on the New
York Stock Exchange Composite Transactions. Investments in
registered investment companies are valued at the Plan's pro
rata share of the current fair value of the net assets of such
companies. Long term U.S. government, agency and corporate debt,
notes and bonds are valued at current quoted market prices.
Guaranteed investment contracts are carried at contract value
which approximates fair value. Short term money market
instruments, U.S. government, agency and corporate notes are
valued at cost which approximates fair value. U.S. Savings Bonds
are valued at the current cash redemption value published by the
U.S. Treasury Department.
-11-
<PAGE>
GE SAVINGS AND SECURITY PROGRAM
Notes to Financial Statements
Investment transactions are recorded on a trade date basis.
Dividends on General Electric Company common stock are recorded
as of the record date. Interest income is earned from settlement
date and recognized on the accrual basis.
The LT Fund may use various financial instruments, particularly
foreign forward currency contracts, options, and futures,
commonly referred to as derivatives, to manage its risk. The LT
Fund does not engage in trading, market-making or other
speculative activities in the derivatives markets. Established
practices require that derivative financial instruments relate
to specific asset, liability, or equity transactions or to
currency exposures. More detailed information regarding these
financial instruments, as well as the strategies and policies
for their use, is contained in the audited financial statements
of the LT Fund which is distributed annually to participants as
appropriate.
(c) Management Estimates and Assumptions
------------------------------------
The preparation of financial statements in conformity with
generally accepted accounting principles requires management to
make estimates and assumptions that affect reported amounts and
related disclosures. Actual results could differ from those
estimates.
(d) Certain prior year amounts have been reclassified to
conform to current year presentation.
-12-
<PAGE>
GE SAVINGS AND SECURITY PROGRAM
Notes to Financial Statements
(3) Investments
-----------
The Plan held the following individual investments, by fund, whose
aggregate fair value equaled or exceeded 5% of the Plan's net assets at
December 31, 1995 and 1994:
Fair Value
------------
(in thousands)
1995
----
GE common stock 81,928,670 shs. $ 5,898,864
S&S Long Term
Interest Fund 192,875,745 shs. 2,235,430
S&S Program
Mutual Fund 29,757,927 shs. 1,225,729
----------
$ 9,360,023
=========
1994
----
GE common stock 82,706,576 shs. $ 4,218,035
S&S Long Term
Interest Fund 188,588,553 shs. 1,983,952
S&S Program
Mutual Fund 26,220,947 shs. 880,762
---------
$ 7,082,749
=========
Audited financial statements of the LT Fund and the Mutual Fund are
distributed annually to participants as appropriate.
-13-
<PAGE>
GE SAVINGS AND SECURITY PROGRAM
Notes to Financial Statements
The ST Fund, may, from time to time, lend securities to certain unrelated
brokers. The ST Fund receives collateral in the form of cash or
securities, which may be supplemented by letters of credit, in an amount
generally in excess of the market value of securities loaned. The ST Fund
monitors the market value of the securities loaned on a daily basis with
additional collateral obtained or refunded as necessary. The value of
loaned securities, primarily U.S. Treasury obligations, amounted to $186
million and $114 million at December 31, 1995 and 1994, respectively. The
value of cash collateral invested in short term investments is reflected
as a liability in the Plan's financial statements.
(4) Loans to Participants
---------------------
Outstanding loans to participants amounted to $345,925,000 and
$288,411,000 at December 31, 1995 and 1994, respectively. The following
table summarizes the changes in loans to participants.
Year Ended December 31
----------------------
1995 1994
---- ----
(in thousands)
Loans made $ 195,502 $ 126,021
Interest paid by participants 23,360 22,696
--------- ---------
218,862 148,717
--------- ---------
Less: Loan payments
- Reinvested (149,821) (151,223)
- Withdrawals (11,526) (13,432)
--------- ---------
(161,347) (164,655)
--------- ---------
Net increase (decrease)
in loans to participants $ 57,515 $ (15,938)
========= =========
-14-
<PAGE>
GE SAVINGS AND SECURITY PROGRAM
Notes to Financial Statements
(5) Tax Status
----------
The Internal Revenue Service has determined and informed the Company by a
letter dated July 19, 1995, that the Plan is qualified and the trust
established under the Plan is tax-exempt, under the appropriate sections
of the Code.
The portion of a participant's compensation contributed to the Plan as a
pre-tax contribution, and the Company's matching contribution are not
subject to Federal income tax when such contributions are credited to
participant accounts, subject to certain limitations. These amounts and
any investment earnings may be included in the participant's gross
taxable income for the year in which such amounts are withdrawn from the
Plan.
(6) General Electric Company Common Stock
--------------------------------------
The Plan holds shares of General Electric Company common stock and
recorded both dividend income and net realized gains (losses) on sale and
appreciation (depreciation) in value on these securities. Such
gains/appreciation (losses/depreciation) and were $1,725,435,000 and
$(81,332,000) in 1995 and 1994, respectively.
(7) Fund Information - Net Assets Available for Plan Benefits and
Changes In Net Assets Available for Plan Benefits
----------------------------------------------------
The following pages summarize the net assets available for plan benefits
and changes in net assets available for plan benefits for each investment
fund or type of asset of the Plan as of and for the years ended December
31, 1995 and 1994.
-15-
<PAGE>
GE SAVINGS AND SECURITY PROGRAM
Notes to Financial Statements
<TABLE>
Net Assets Available for Plan Benefits
December 31, 1995 (in thousands
except participant unit value)
<CAPTION>
GE LT Mutual ST MM
Assets Stock Fund Fund Fund Fund Fund
- ------ ---------- ---- ---- ---- ----
<S> <C> <C> <C> <C> <C>
Investments, at fair value $ 5,898,864 $ 2,235,430 $ 1,225,729 $ 1,035,855 $ 658,302
Accrued dividends and interest 35,203 12,565 2,186
Receivables for securities sold
but not delivered - - - 391 -
Other assets 15,576 296 416 413 50
--------- --------- --------- --------- -------
Total assets 5,949,643 2,235,726 1,226,145 1,049,224 660,538
--------- --------- --------- --------- -------
Liabilities
- -----------
Liability for collateral deposits - - - 185,772 -
Other liabilities - - - 1,654 7,731
--------- --------- --------- --------- -------
Total liabilities - - - 187,426 7,731
--------- --------- --------- --------- -------
Net assets available for plan benefits $ 5,949,643 $ 2,235,726 $ 1,226,145 $ 861,798 $ 652,807
========= ========= ========= ========= =======
Participant units outstanding 82,145 192,901 29,768 83,346 65,280
Participant unit value $ 72.00 $ 11.59 $ 41.19 $ 10.34 $ 10.00
====== ===== ===== ===== =====
</TABLE>
-16-
<PAGE>
GE SAVINGS AND SECURITY PROGRAM
Notes to Financial Statements
<TABLE>
Net Assets Available for Plan Benefits, Continued
December 31, 1995
(in thousands except participant unit value)
<CAPTION>
Total
HP Investment
Assets U.S. Bonds Fund Funds
- ------ ---------- ---- ----------
<S> <C> <C> <C>
Investments, at fair value $ 275,448 $ - $ 11,329,628
Accrued dividends and interest - - 49,954
Receivables for securities sold
but not delivered - - 391
Other assets - - 16,751
------- ------- ----------
Total assets 275,448 - 11,396,724
------- ------- ----------
Liabilities
- -----------
Liability for collateral deposits 185,772
Other liabilities - - 9,385
------- ------- ----------
Total liabilities - - 195,157
------- ------- ----------
Net assets available for plan benefits $ 275,448 $ - $ 11,201,567**
======= ======= ==========
Participant units outstanding * -
Participant unit value $ * $ -
======= =======
<FN>
*Not applicable as values are determined by individual participants based
upon the time at which investments are made.
** Total for investment funds $ 11,201,567
Loans to participants 345,925
Other program accounts 1,983
----------
Net assets available for plan benefits $ 11,549,475
==========
</TABLE>
-17-
<PAGE>
GE SAVINGS AND SECURITY PROGRAM
Notes to Financial Statements
<TABLE>
Net Assets Available for Plan Benefits
December 31, 1994
(in thousands except participant unit value)
<CAPTION>
GE LT Mutual ST MM
Assets Stock Fund Fund Fund Fund Fund
- ------ ---------- ---- ---- ---- ----
<S> <C> <C> <C> <C> <C>
Investments, at fair value $ 4,218,035 $ 1,983,952 $ 880,762 $ 982,692 $ 536,387
Accrued dividends and interest 32,080 - - 10,666 1,111
Receivables for securities sold
but not delivered - - - 73,314 -
Other assets 5,340 (2,035) (418) (416) (1,800)
--------- --------- ------- --------- -------
Total assets 4,255,455 1,981,917 880,344 1,066,256 535,698
--------- --------- ------- --------- -------
Liabilities
- -----------
Liability for collateral deposits - - - 114,237 -
Payables for securities purchased
but not received - - - 140,933 -
Other liabilities - - - 2,246 -
--------- --------- ------- --------- -------
Total liabilities - - - 257,416 -
--------- --------- ------- --------- -------
Net assets available for plan benefits $ 4,255,455 $ 1,981,917 $ 880,344 $ 808,840 $ 535,698
========= ========= ======= ========= =======
Participant units outstanding 82,811 188,395 26,208 81,372 53,569
Participant unit value $ 51.00 $ 10.52 $ 33.59 $ 9.94 $ 10.00
===== ===== ===== ===== =====
</TABLE>
-18-
<PAGE>
GE SAVINGS AND SECURITY PROGRAM
Notes to Financial Statements
<TABLE>
Net Assets Available for Plan Benefits, Continued
December 31, 1994
(in thousands except participant unit value)
<CAPTION>
Total
HP Investment
Assets U.S. Bonds Fund Funds
- ------ ---------- ---- ----
<S> <C> <C> <C>
Investments, at fair value $ 302,926 $ 51,536 $ 8,956,290
Accrued dividends and interest - 17 43,874
Receivables for securities sold
but not delivered - - 73,314
Other assets - (198) 473
------- ------- ---------
Total assets 302,926 51,355 9,073,951
------- ------- ---------
Liabilities
- -----------
Liability for collateral deposits - - 114,237
Payables for securities purchased
but not received - - 140,933
Other liabilities - 698 2,944
------- ------- ---------
Total liabilities - 698 258,114
------- ------- ---------
Net assets available for plan benefits $ 302,926 $ 50,657 $ 8,815,837**
======= ======= =========
Participant units outstanding * 5,066
Participant unit value $ * $ 10.00
======= =======
<FN>
* Not applicable as values are determined by individual participants
based upon the time at which investments are made.
** Total for investment funds $ 8,815,837
Loans to participants 288,411
Other program accounts 1,384
---------
Net assets available for benefits $ 9,105,632
=========
</TABLE>
-19-
<PAGE>
GE SAVINGS AND SECURITY PROGRAM
Notes to Financial Statements
<TABLE>
Changes in Net Assets Available for Plan Benefits
December 31, 1995 (in thousands)
<CAPTION>
GE LT Mutual ST MM
Stock Fund Fund Fund Fund Fund
---------- ---- ---- ---- ----
<S> <C> <C> <C> <C> <C>
Income on investments:
Interest and dividends $ 130,191 $ 155,386 $ 125,773 $ 55,170 $ 39,626
Net realized and unrealized
appreciation (depreciation)in
value of investments 1,725,197 207,125 198,119 32,912 -
--------- --------- --------- -------- --------
Total investment income 1,855,388 362,511 323,892 88,082 39,626
--------- --------- --------- -------- --------
Contributions:
Employee 220,632 52,236 67,002 56,933 16,538
Employer 103,588 16,161 17,937 20,744 6,234
--------- --------- --------- -------- --------
Total contributions 324,220 68,397 84,939 77,677 22,772
--------- --------- --------- -------- --------
Withdrawals including transfers (339,711) (181,172) (89,239) (83,312) (110,415)
Net loan transactions (5,608) (18,177) (6,557) (10,342) (1,403)
Interfund transfers (140,101) 22,250 32,766 (19,147) 166,529
--------- --------- --------- -------- --------
Total deductions and other
changes in net assets (485,420) (177,099) (63,030) (112,801) 54,711
--------- --------- --------- -------- --------
Net increase (decrease) in net assets
available for plan benefits 1,694,188 253,809 345,801 52,958 117,109
Net assets available for plan benefits,
Beginning of year 4,255,455 1,981,917 880,344 808,840 535,698
--------- --------- --------- -------- --------
End of year $ 5,949,643 $ 2,235,726 $ 1,226,145 $ 861,798 $ 652,807
========= ========= ========= ======== ========
</TABLE>
-20-
<PAGE>
GE SAVINGS AND SECURITY PROGRAM
Notes to Financial Statements
<TABLE>
Changes in Net Assets Available for Plan Benefits, Continued
December 31, 1995 (in thousands)
<CAPTION>
Total
HP Investment
U.S. Bonds Fund Fund
---------- ---- ---------
<S> <C> <C> <C>
Income on investments:
Interest and dividends $ - $ - $ 506,146
Net realized and unrealized appreciation (depreciation)
in value of investments 14,041 - 2,177,394
------- ------- ---------
Total investment income 14,041 - 2,683,540
------- ------- ---------
Contributions:
Employee 21,472 - 434,813
Employer 3,549 - 168,213
------- ------- ---------
Total contributions 25,021 - 603,026
------- ------- ---------
Withdrawals including transfers (51,307) - (855,156)
Net loan transactions (3,593) - (45,680)
Interfund transfers (11,640) (50,657) -
------- ------- ---------
Total deductions and other changes in net assets (66,540) (50,657) (900,836)
------- ------- ---------
Net increase (decrease) in net assets available for plan benefits (27,478) (50,657) 2,385,730
Net assets available for plan benefits,
Beginning of year 302,926 50,657 8,815,837
------- ------- ---------
End of year $ 275,448 $ - $ 11,201,567**
======= ======= ==========
<FN>
** Total for investment funds $ 11,201,567
Net increase in loan activity 57,515
Net decrease in other program accounts 598
----------
Net increase in loan and other program accounts 58,113
Net loan and other program accounts, beginning of year 289,795
----------
o Net assets available for plan benefits $ 11,549,475
==========
</TABLE>
-21-
<PAGE>
GE SAVINGS AND SECURITY PROGRAM
Notes to Financial Statements
<TABLE>
Changes in Net Assets Available for Plan Benefits
December 31, 1994
(in thousands)
<CAPTION>
GE LT Mutual ST MM
Stock Fund Fund Fund Fund Fund
---------- ---- ---- ---- ----
<S> <C> <C> <C> <C> <C>
Income on investments:
Interest and dividends $ 117,277 $ 158,945 $ 67,104 $ 46,680 $ 21,734
Net realized and unrealized
appreciation (depreciation)
in value of investments (82,178) (217,628) (83,595) (33,476) (1)
----------- ----------- ----------- ----------- -----------
Total investment income 35,099 (58,683) (16,491) 13,204 21,733
----------- ----------- ----------- ----------- -----------
Contributions:
Employee 194,037 56,306 61,898 64,396 13,226
Employer 95,449 18,632 17,759 24,306 3,796
----------- ----------- ----------- ----------- -----------
Total contributions 289,486 74,938 79,657 88,702 17,022
----------- ----------- ----------- ----------- -----------
Withdrawals including transfers (262,747) (137,366) (58,820) (91,824) (122,094)
Net loan transactions 19,225 (5,634) 3,759 (5,189) 13,816
Interfund transfers 288,486 (213,909) (39,159) (59,820) 85,670
----------- ----------- ----------- ----------- -----------
Total deductions and other
changes in net assets 44,964 (356,909) (94,220) (156,833) (22,608)
----------- ----------- ----------- ----------- -----------
Net increase (decrease) in net assets
available for plan benefits 369,549 (340,654) (31,054) (54,927) 16,147
Net assets available for plan benefits,
Beginning of year 3,885,906 2,322,571 911,398 863,767 519,551
----------- ----------- ----------- ----------- -----------
End of year $ 4,255,455 $ 1,981,917 $ 880,344 $ 808,840 $ 535,698
=========== =========== =========== =========== ===========
</TABLE>
-22-
<PAGE>
GE SAVINGS AND SECURITY PROGRAM
Notes to Financial Statements
<TABLE>
Changes in Net Assets Available for Plan Benefits, Continued
December 31, 1994
(in thousands)
<CAPTION>
Total
HP Investment
U.S. Bonds Fund Fund
---------- ---- ----------
<S> <C> <C> <C>
Income on investments:
Interest and dividends $ 281 $ 2,871 $ 414,892
Net realized and unrealized appreciation (depreciation)
in value of investments 14,747 - (402,131)
------- -------- ---------
Total investment income 15,028 2,871 12,761
------- -------- ---------
Employee 29,358 7 419,228
Employer 9,374 - 169,316
------- -------- ---------
Total contributions 38,732 7 588,544
------- -------- ---------
Withdrawals including transfers (52,228) (3,653) (728,732)
Net loan transactions (424) (348) 25,205
Interfund transfers (6,438) (54,830) -
------- -------- ---------
Total deductions and other changes in net assets (59,090) (58,831) (703,527)
------- -------- ---------
Net increase (decrease) in net assets available for plan benefits (5,330) (55,953) (102,222)
Net assets available for plan benefits,
Beginning of year 308,256 106,610 8,918,059
------- -------- ---------
End of year $ 302,926 $ 50,657 $ 8,815,837**
======= ======== =========
<FN>
** Total for investment funds $ 8,815,837
Net decrease in loan activity (15,938)
Net increase in other program accounts 3,098
---------
Net decrease in loan and other program accounts (12,840)
Net loan and other program accounts, beginning of year 302,635
---------
Net assets available for plan benefits $ 9,105,632
=========
</TABLE>
-23-
<PAGE>
Schedule I
GE SAVINGS AND SECURITY PROGRAM
<TABLE>
Item 27a - Schedule of Assets Held for Investment Purposes
December 31, 1995
<CAPTION>
Description Cost Market
- ----------- ---- ------
Employer Securities
- -------------------
<S> <C> <C>
Corporate Stocks - Common
General Electric Company (81,928,670 shares) $ 3,040,628,708 $ 5,898,864,240
------------- -------------
Shares of Registered Investment Companies
- -----------------------------------------
S&S Long Term Interest Fund (192,875,745 units) 2,201,976,289 2,235,429,885
S&S Program Mutual Fund (29,757,927 units) 1,107,299,581 1,225,729,002
------------- -------------
Total Registered Investment Companies $ 3,309,275,870 $ 3,461,158,887
------------- -------------
</TABLE>
-24-
<PAGE>
Schedule I, Continued
GE SAVINGS AND SECURITY PROGRAM
<TABLE>
Item 27a - Schedule of Assets Held for Investment Purposes
December 31, 1995
<CAPTION>
Description
- -----------
Debt Securities
- ---------------
Issuer Rate Maturity Cost Market
- ------ ------- -------- ---- ------
<S> <C> <C> <C> <C>
US government securities
- ------------------------
Federal Home Loan Pfd Conv 8.0000% 03/01/02 $ 40,011,302 $ 40,194,559
Federal Home Loan Pfd Conv 7.5000 11/01/08 4,544,234 4,493,030
Federal Home Loan Mortgage Pc Gtd Variable 07/15/06 947,918 1,270,546
Federal Home Loan Mortgage Pc Gtd * 07/15/19 1,947,520 1,884,193
Federal Home Loan Pfd Conv 8.0000 08/01/03 36,105,467 36,379,742
Federal Home Loan Bank Cons Disc Note * 02/02/96 19,900,978 19,900,978
Federal Home Loan Bank Cons Disc Note * 02/20/96 9,924,583 9,924,583
Federal Home Loan Bank Cons Disc Note * 03/05/96 48,129,763 48,129,763
Federal Home Loan Bank Cons Disc Note * 04/15/96 27,954,357 27,954,357
Federal Home Loan Bank Cons Disc Note * 05/14/96 21,375,678 21,375,678
Federal Home Loan Bank Cons Disc Note * 05/15/96 9,799,750 9,799,750
Federal Home Loan Bank Cons Disc Note * 05/21/96 17,045,870 17,045,870
Federal Home Loan Bank Cons Disc Note * 01/02/96 3,799,393 3,799,393
Federal Home Loan Bank Cons Disc Note * 03/19/96 18,874,047 18,874,047
Federal Home Loan Pfd Conv 6.0000 12/01/08 2,992,637 3,066,560
Federal Home Loan Pc Gtd * 09/15/05 256,138 403,021
Federal National Mortgage Association Remic * 11/25/06 8,243,803 7,936,730
Federal Home Loan Bank Cons Discount Note * 01/04/96 16,122,500 16,122,500
Federal Home Loan Bank Cons Discount Note * 01/25/96 24,907,000 24,907,000
Federal Home Loan Bank Cons Discount Note * 02/20/96 15,173,201 15,173,202
Federal Home Loan Bank Cons Discount Note * 02/28/96 11,298,065 11,298,065
Federal Home Loan Bank Cons Discount Note * 06/12/96 9,761,386 9,761,386
FNMA Pool Variable 12/01/27 3,857,540 3,891,511
<FN>
* These are discounted instruments and therefore interest rate does
not apply
</TABLE>
-25-
<PAGE>
Schedule I, Continued
GE SAVINGS AND SECURITY PROGRAM
<TABLE>
Item 27a - Schedule of Assets Held for Investment Purposes
December 31, 1995
<CAPTION>
Description
- -----------
Debt Securities
- ---------------
Issuer Rate Maturity Cost Market
- ------ ------- -------- ---- ------
<S> <C> <C> <C> <C>
US government securities (continued)
- ------------------------
FNMA Pool Variable 12/01/17 $ 1,298,203 $ 1,304,313
FNMA Pool Variable 07/01/22 3,361,230 3,356,064
FNMA Pool 8.0000% 09/01/01 912,792 916,695
FNMA Pool 8.0000 10/01/01 4,300,937 4,319,329
FNMA Pool 8.0000 12/01/01 5,497,219 5,520,726
FNMA Pool 8.0000 01/01/02 69,494 69,791
FNMA Pool 8.0000 05/01/02 7,170,341 7,201,002
FNMA Pool 8.0000 06/01/02 1,246,182 1,251,511
FNMA Pool 8.0000 07/01/02 3,909,446 3,926,163
FNMA Pool 8.0000 11/01/01 1,032,761 1,037,177
FNMA Pool 8.0000 10/01/01 997,509 1,001,775
FNMA Pool 8.0000 11/01/01 338,393 339,840
FNMA Pool 8.0000 11/01/01 1,513,447 1,519,919
FNMA Pool 8.0000 10/01/01 792,530 795,919
FNMA Pool 6.0000 05/01/01 1,165,709 1,202,861
FNMA Pool 8.0000 10/01/01 822,793 826,312
FNMA Pool 8.0000 10/01/01 1,036,656 1,041,088
FNMA Pool 8.0000 10/01/01 1,030,543 1,034,950
FNMA Pool 8.0000 10/01/01 1,030,180 1,034,585
FNMA Pool 8.0000 11/01/01 258,425 259,530
FNMA Pool 8.0000 11/01/01 927,181 931,145
FNMA Pool 8.0000 09/01/01 765,176 768,448
FNMA Pool Variable 10/01/01 2,664,507 2,710,825
FNMA Pool 8.0000 06/01/02 74,530 74,849
<FN>
* These are discounted instruments and therefore interest rate does not
apply
</TABLE>
-26-
<PAGE>
Schedule I, Continued
GE SAVINGS AND SECURITY PROGRAM
<TABLE>
Item 27a - Schedule of Assets Held for Investment Purposes
December 31, 1995
<CAPTION>
Description
- -----------
Debt Securities
- ---------------
Issuer Rate Maturity Cost Market
- ------ ------- -------- ---- ------
<S> <C> <C> <C> <C>
US government securities (continued)
- ------------------------
FNMA Pool 8.0000% 01/01/02 $ 707,236 $ 710,260
FNMA Pool 8.0000 07/01/02 95,945 96,355
FNMA Pool 8.0000 07/01/02 754,596 757,823
FNMA Pool 8.0000 07/01/02 819,984 823,491
FNMA Pool 8.0000 05/01/02 1,077,234 1,081,840
FNMA Pool 8.0000 06/01/02 2,943,203 2,955,789
FNMA Pool 8.0000 07/01/02 1,042,174 1,046,630
FNMA Pool 8.0000 06/01/02 275,027 276,203
FNMA Pool 8.0000 07/01/02 770,088 773,381
FNMA Pool 8.0000 06/01/02 909,934 913,825
FNMA Pool 8.0000 07/01/02 917,222 921,145
FNMA Pool 8.0000 07/01/02 738,482 741,640
GNMA Pool Variable 03/20/25 24,669,279 24,612,698
Mexico United States Variable 07/21/97 8,000,000 8,140,000
Society Student Loan Trust Variable 04/25/03 16,797,820 16,766,417
US Treasury Notes 6.3750 01/15/99 50,435,599 50,626,519
US Treasury Notes 7.0000 04/15/99 45,958,640 46,227,280
US Treasury Notes 5.1250 02/28/98 81,635,253 81,858,960
US Treasury Notes 7.3750 11/15/97 95,163,405 96,163,475
US Treasury Notes 5.8750 07/31/97 9,295,565 9,398,050
US Treasury Notes 5.5000 11/15/98 9,131,211 9,166,793
Total US government securities ------------ ------------
$ 747,327,211 $ 750,089,855
------------ ------------
<FN>
* These are discounted instruments and therefore interest rate does not
apply
</TABLE>
-27-
<PAGE>
Schedule I, Continued
GE SAVINGS AND SECURITY PROGRAM
<TABLE>
Item 27a - Schedule of Assets Held for Investment Purposes
December 31, 1995
<CAPTION>
Description
- -----------
Debt Securities
- ---------------
Issuer Rate Maturity Cost Market
- ------ ------- -------- ---- ------
<S> <C> <C> <C> <C>
Corporate Debt Instruments - Preferred
- --------------------------------------
AT&T Cap Corp MTN 7.5900% 01/31/97 $ 9,998,121 $ 10,212,200
Advanta Cr Card Master Tr Variable 10/01/01 4,093,478 4,090,200
Advanta Cr Card Master Tr II Variable 09/01/00 7,274,130 7,276,255
Cit Rv Grantor Tr 4.9000 07/15/09 5,553,711 5,633,331
Dean Witter Discover & Co Variable 09/29/97 3,996,233 4,000,000
Discover Card MT 1 6.7000 02/16/00 9,049,977 9,267,714
Discover Card MT 1 Variable 10/16/04 3,619,347 3,615,732
Discover Card MT 1 Variable 04/16/02 4,001,469 4,002,480
Electronic Data Sys Corp 6.8500 05/15/00 2,997,876 3,112,320
First Deposit 4.9000 06/15/00 7,499,820 7,490,625
First Dep Master Tr 6.0500 08/15/02 10,476,597 10,637,760
First USA Cr Card MT Variable 02/15/00 8,000,000 8,020,000
First USA Cr Card MT Variable 12/15/99 2,000,000 2,002,500
First USA Cr Card MT Variable 08/15/03 2,617,138 2,613,806
First USA Cr Card MT Variable 10/15/03 1,306,851 1,305,681
First USA Cr Card MT Variable 04/15/03 1,150,000 1,149,276
Fleetwood Cr 6.0000 01/15/08 6,667,983 6,709,882
Fleetwood Cr 1995 Asset Backed 6.5500 05/15/11 3,663,929 3,735,165
Ford Motor Cr MTN Variable 04/19/99 21,992,713 22,022,000
ITT Floorplan Receivables MT Variable 02/15/01 1,801,594 1,800,558
Lehman Brothers Hldgs Inc 6.8750 06/08/98 2,000,000 2,036,860
MBNA Master Credit Card Tr Variable 01/15/02 9,996,635 10,000,000
MBNA Master Credit Card Tr Variable 03/15/00 5,800,000 5,807,250
Merrill Lynch & Co Inc 5.0000 12/15/96 5,000,000 4,975,050
Merrill Lynch Cr Corp Variable 10/05/20 2,538,519 2,539,030
<FN>
* These are discounted instruments and therefore interest rate does
not apply
</TABLE>
-28-
<PAGE>
Schedule I, Continued
GE SAVINGS AND SECURITY PROGRAM
<TABLE>
Item 27a - Schedule of Assets Held for Investment Purposes
December 31, 1995
<CAPTION>
Description
- -----------
Debt Securities
- ---------------
Issuer Rate Maturity Cost Market
- ------ ------- -------- ---- ------
<S> <C> <C> <C> <C>
Corporate Debt Instruments - Preferred (cont'd)
- --------------------------------------
Morgan Stanley Group Inc 7.3200% 01/15/97 $ 3,760,788 $ 3,811,763
Option One Variable 11/20/26 5,672,069 5,667,847
Peoples Bk Cr Card MT Variable 03/15/01 3,998,657 4,001,240
Premier Auto Tr 6.4500 05/02/98 4,902,697 4,934,303
Premier Auto Tr 7.1500 02/04/99 17,409,863 17,536,277
Premier Auto Tr 5.9500 12/06/98 13,994,618 14,074,340
Southern Calif Edison Co 6.1250 07/15/97 4,937,769 5,040,400
Southern Pac Secd Assets Corp Variable 12/26/26 2,015,940 2,014,680
Standard Cr Card MT I 4.6500 03/07/99 12,241,711 12,291,500
Standard Cr Card MT I Variable 05/05/00 12,000,000 12,003,720
Wachovia Credit Card Master Asset Backed Variable 03/15/03 600,000 599,622
------------ ------------
Total Corporate Debt Instruments - Preferred $ 224,630,233 $ 226,031,367
------------ ------------
<FN>
* These are discounted instruments and therefore interest rate does not
apply
</TABLE>
-29-
<PAGE>
Schedule I, Continued
GE SAVINGS AND SECURITY PROGRAM
<TABLE>
Item 27a - Schedule of Assets Held for Investment Purposes
December 31, 1995
<CAPTION>
Description
- -----------
Debt Securities
- ---------------
Issuer Rate Maturity Cost Market
- ------ ------- -------- ---- ------
<S> <C> <C> <C> <C>
Corporate Debt Instruments - All Other
- --------------------------------------
AMR Corp Del 7.7500% 12/01/97 $ 5,061,937 $ 5,134,900
Advanta National Bk Wilmington Mtn Tranche 6.0200 11/13/97 11,873,276 11,941,650
Advanta Corp 5.1250 11/15/96 9,996,826 9,943,600
Arkla Inc 9.8750 04/15/97 3,115,990 3,142,500
Arkla Inc 8.8750 07/15/99 4,389,295 4,451,331
Arkla Inc Mtn 8.7400 05/14/98 4,931,394 4,978,807
Ashland Oil Co 10.1250 04/15/96 5,051,465 5,056,250
Capital One Bk Medium Term Notes 6.4800 08/15/97 16,756,458 16,966,832
Caterpillar Financial Asset 6.1000 06/25/00 914,427 917,524
Chase Manhattan Corp 7.5000 12/01/97 8,165,544 8,271,440
Digital Equipment Corp 7.0000 11/15/97 2,019,723 2,029,420
First USA Bank 6.1250 10/31/97 12,229,199 12,311,250
First USA Bank Wilmington Delaware Variable 11/13/96 2,550,000 2,549,235
General Motors Accep Corp Mtn 8.3500 09/05/96 12,515,467 12,592,676
General Motors Accep Corp Mtn 6.7500 07/10/97 9,229,063 9,358,240
General Motors Accep Corp Mtn 6.7000 04/18/97 7,376,541 7,605,525
General Motors Accep Corp Mtn Variable 11/15/96 10,692,750 10,716,050
Great Atlantic & Pac Tea Inc 9.1250 01/15/98 10,127,855 10,278,938
Great Northern Nekoosa Corp 9.1250 02/01/98 4,539,633 4,571,201
Henderson Land Fin 6.0000 12/08/98 7,619,124 7,780,000
Instituto Nanc San Variable 08/25/00 3,691,066 3,690,750
Magma Copper Co New 12.0000 12/15/01 3,165,690 3,174,188
McDonnell Douglas Fin Corp Variable 05/28/96 1,000,088 1,001,240
<FN>
* These are discounted instruments and therefore interest rate does not
apply
</TABLE>
-30-
<PAGE>
Schedule I, Continued
GE SAVINGS AND SECURITY PROGRAM
<TABLE>
Item 27a - Schedule of Assets Held for Investment Purposes
December 31, 1995
<CAPTION>
Description
- -----------
Debt Securities
- ---------------
Issuer Rate Maturity Cost Market
- ------ ------- -------- ---- ------
<S> <C> <C> <C> <C>
Corporate Debt Instruments - All Other (cont.)
- --------------------------------------
Morgan Stanley Cap I Inc Variable 10/15/04 $ 2,290,469 $ 2,310,511
New American Cap Inc Variable 04/12/00 1,500,000 1,501,875
New American Holdings Inc 12.0000% 12/15/01 14,980,967 15,024,555
Pennzoil Co 6.2500 06/01/01 7,507,881 7,585,070
Petroleos Mexicanos Variable 03/08/99 2,289,911 2,047,000
Public Svc Co NH 8.8750 05/15/96 8,094,999 8,087,440
Royal Caribbean 11.1375 05/15/02 1,986,506 2,002,938
Salomon Inc 6.7000 12/02/98 5,925,000 5,952,551
Tele Communications Inc 7.1130 02/02/98 7,242,081 7,463,155
Tele Communications Inc 9.8750 04/01/98 5,337,630 5,404,500
Time Warner 7.4500 02/01/98 6,031,247 6,167,100
Unisys Corp 9.7500 09/15/96 6,742,455 6,402,000
United Cos Fin Corp 7.0000 07/15/98 3,447,675 3,520,104
------------ ------------
Total Corporate Debt Instruments - All Other $ 230,389,632 $ 231,932,346
------------ ------------
Total Corporate Bonds and Notes $ 455,019,865 $ 457,963,713
------------ ------------
<FN>
* These are discounted instruments and therefore interest rate does not
apply
</TABLE>
-31-
<PAGE>
Schedule I, Continued
GE SAVINGS AND SECURITY PROGRAM
<TABLE>
Item 27a - Schedule of Assets Held for Investment Purposes
December 31, 1995
<CAPTION>
Description
- -----------
US Savings Bonds (Series E and EE)
- ----------------------------------
Issuer Units Cost Market
- ------ ----- ------ -------
<S> <C> <C> <C>
1959 US Savings Bond E Series 188 $ 3,524 $ 29,225
1960 US Savings Bond E Series 144 2,700 21,973
1961 US Savings Bond E Series 124 2,325 18,688
1962 US Savings Bond E Series 173 3,244 25,627
1963 US Savings Bond E Series 211 3,956 30,686
1964 US Savings Bond E Series 257 4,819 36,700
1965 US Savings Bond E Series 328 6,150 41,145
1966 US Savings Bond E Series 432 8,100 51,773
1967 US Savings Bond E Series 777 14,569 92,780
1968 US Savings Bond E Series 1,283 24,056 153,646
1969 US Savings Bond E Series 1,525 28,594 177,300
1970 US Savings Bond E Series 1,859 34,856 208,631
1971 US Savings Bond E Series 2,464 46,200 234,704
1972 US Savings Bond E Series 3,077 57,694 283,889
1973 US Savings Bond E Series 4,674 87,638 418,535
1974 US Savings Bond E Series 7,660 143,625 651,902
1975 US Savings Bond E Series 10,107 189,506 829,943
1976 US Savings Bond E Series 13,781 258,394 1,092,182
1977 US Savings Bond E Series 19,885 372,844 1,496,804
1978 US Savings Bond E Series 32,983 618,431 2,132,505
1979 US Savings Bond E Series 55,718 1,044,713 3,530,139
1980 US Savings Bond EE Series 21,377 1,068,850 3,524,566
1981 US Savings Bond EE Series 21,274 1,063,700 3,128,467
1982 US Savings Bond EE Series 24,537 1,226,850 3,330,636
1983 US Savings Bond EE Series 44,066 2,203,300 5,167,660
</TABLE>
-32-
<PAGE>
Schedule I, Continued
GE SAVINGS AND SECURITY PROGRAM
<TABLE>
Item 27a - Schedule of Assets Held for Investment Purposes
December 31, 1995
<CAPTION>
US Savings Bonds (Series E and EE) (continued)
- ----------------------------------------------
Issuer Units Cost Market
- ------ ----- ------ -------
<S> <C> <C> <C>
1984 US Savings Bond EE Series 45,319 $ 2,265,950 $ 4,974,443
1985 US Savings Bond EE Series 60,298 3,014,900 6,357,328
1986 US Savings Bond EE Series 135,557 6,777,850 13,186,677
1987 US Savings Bond EE Series 146,271 7,313,550 12,152,568
1988 US Savings Bond EE Series 176,504 8,825,200 13,801,497
1989 US Savings Bond EE Series 255,371 12,768,550 18,495,404
1990 US Savings Bond EE Series 261,090 13,054,500 17,790,976
1991 US Savings Bond EE Series 277,664 13,883,200 17,577,944
1992 US Savings Bond EE Series 466,860 23,343,000 27,470,092
1993 US Savings Bond EE Series 809,897 40,494,850 44,745,500
1994 US Savings Bond EE Series 722,042 36,102,100 38,274,073
1995 US Savings Bond EE Series 499,006 24,950,300 25,446,563
------------ ------------ ------------
Total U.S. Savings Bonds 4,124,783 $201,312,588 $266,983,171
------------ ------------
</TABLE>
-33-
<PAGE>
Schedule I, Continued
GE SAVINGS AND SECURITY PROGRAM
<TABLE>
Item 27a - Schedule of Assets Held for Investment Purposes
December 31, 1995
<CAPTION>
Description
- -----------
Issuer Rate Maturity Cost Market
- ------ ------- -------- ---- ------
<S> <C> <C> <C> <C>
Interest Bearing Cash
- ---------------------
Abbey National PLC 5.6300 2/23/96 $ 29,751,341 $ 29,751,341
Bank America 5.8400 1/02/96 2,740,000 2,740,000
Bank of Montreal 5.8430 1/02/96 3,300,000 3,300,000
Bank of Montreal 6.2500 1/02/96 3,420,000 3,420,000
CS First Boston Inc 5.7800 1/03/96 3,298,940 3,298,940
Dresdner Bk Ag 5.6600 2/16/96 29,783,033 29,783,033
First Union Corp 5.5500 3/28/96 29,942,931 29,942,931
Kredietbank 5.7000 1/05/96 27,372,653 27,372,653
Merrill Lynch & Co Inc 5.7200 1/03/96 29,380,661 29,380,661
National Australia Fdg 5.7000 1/12/96 28,330,572 28,330,572
San Paolo 6.4000 1/02/96 2,179,612 2,179,612
State Street Cayman Island time deposit 5.8750 1/02/96 4,710,000 4,710,000
------------ ------------
Total Interest Bearing Cash $194,209,743 $194,209,743
------------ ------------
</TABLE>
-34-
<PAGE>
Schedule I, Continued
GE SAVINGS AND SECURITY PROGRAM
<TABLE>
Item 27a - Schedule of Assets Held for Investment Purposes
December 31, 1995
<CAPTION>
Description
- -----------
Issuer Rate Maturity Cost Market
- ------ ------- -------- ---- ------
<S> <C> <C> <C> <C>
Certificates of Deposit
- -----------------------
Algemene Bk Nederland Nv 5.6500 3/27/96 $ 29,350,000 $ 29,350,000
Bank of Montreal 5.8000 1/25/96 28,600,000 28,600,000
Bank of Nova Scotia 5.7800 1/22/96 23,100,000 23,100,000
Bayerische Hypotheken Bank 5.8000 1/08/96 30,000,000 30,000,000
Deutsche Bk Ag 5.7500 1/08/96 29,390,000 29,390,000
Royal Bank of Canada 5.6900 1/02/96 30,940,000 30,940,000
Societe Generale 5.6600 3/07/96 30,000,000 30,000,000
West Deutsche Landesbank 5.6700 1/04/96 27,600,000 27,600,000
------------ ------------
Total Certificates of Deposit $228,980,000 $228,980,000
------------ ------------
<FN>
* These are discounted instruments and therefore interest rate does not
apply
</TABLE>
-35-
<PAGE>
Schedule I, Continued
GE SAVINGS AND SECURITY PROGRAM
<TABLE>
Item 27a Schedule of Assets Held for Investment Purposes
December 31, 1995
<CAPTION>
Issuer Rate Maturity Cost Market
- ------ -------- -------- ---- -----------
<S> <C> <C> <C> <C>
Non-Interest bearing cash $ 97,995 $ 97,995
------------- -------------
Total short term money market instruments $ 423,287,738 $ 423,287,738
------------- -------------
Loans Secured by Mortgages
- --------------------------
Advanta Mortgage Loan Trust 6.3000% 07/25/25 $ 5,561,398 $ 5,471,983
Advanta Mortgage Loan Trust Variable 04/25/26 8,075,648 8,109,422
Advanta Mortgage Loan Trust Variable 10/25/26 2,545,096 2,545,812
EquiCredit Corporation Home Equity Loan 5.8000 03/15/09 9,774,069 9,556,463
Federal Deposit Insurance Corporation
Remic Trust Variable 01/25/25 20,451,677 20,426,110
Home Equity Loan 4.6500 12/20/08 4,866,684 4,794,046
Salomon Brothers Mortgage Securities II
Incorporated 8.1250 11/01/12 1,601,904 1,571,679
Structured Asset Securities Corporation 6.8750 08/25/26 5,859,069 5,899,618
Transportation Lease Funding Corporation
IV Equipment Lease Trust 6.0000 09/15/01 4,830,713 4,863,119
The Money Store Home Equity Loan Trust 5.6750 02/15/09 11,345,825 10,977,085
------------- --------------
Total Loans Secured by Mortgages $ 74,912,08 $ 74,215,337
------------- --------------
Total investments $ 8,251,764,063 $ 11,332,562,941
============= ==============
</TABLE>
-36-
<PAGE>
Schedule I, Continued
GE SAVINGS AND SECURITY PROGRAM
<TABLE>
Item 27a Schedule of Assets Held for Investment Purposes
December 31, 1995
<CAPTION>
Loans to Participants Rate Term Cost Market
- --------------------- -------- -------- ---- ------
<S> <C> <C> <C> <C>
Various 6.97-12.5% 12-54 months, or $ 345,925,486 $ 345,925,486
5-15 years for ============= ============
principal residence
loans
</TABLE>
-37-
Exhibit 23
Consent of Independent Auditors
The Board of Directors
General Electric Company
We consent to incorporation by reference in the Registration Statements
(Nos. 33-4239, 33-24679 and 33-47500) on Form S-8 of General Electric
Company of our report dated March 31, 1996, relating to the financial
statements and supplemental schedule of GE Savings and Security Program as
of and for the years ended December 31, 1995, and 1994, which appears in
the December 31, 1995 annual report on Form 11-K of General Electric
Company.
KPMG Peat Marwick LLP
New York, New York
June 28, 1996
<PAGE>
[GRAPHIC]
GE LOGO
S&S PROGRAM
[GRAPHIC]
GE INVESTMENTS' MANAGERS
MUTUAL FUNDS ANNUAL REPORT & S&SP DISCLOSURE DOCUMENT
_________________
DECEMBER 31, 1995
<PAGE>
UNDERSTANDING YOUR REPORT
PAGE
____
CHAIRMAN'S LETTER 1
DALE FREY ON MARKET EVENTS
REVIEW OF PERFORMANCE AND SCHEDULES OF INVESTMENTS
S&S PROGRAM MUTUAL FUND 2
S&S LONG TERM INTEREST FUND 9
PORTFOLIO MANAGERS DISCUSS YOUR FUNDS' RESULTS IN 1995
FINANCIAL STATEMENTS 19
FINANCIAL HIGHLIGHTS AND STATEMENTS OF ASSETS AND
LIABILITIES, OPERATIONS, AND CHANGES IN NET ASSETS
NOTES 24
NOTES TO THE FINANCIAL STATEMENTS
INDEPENDENT AUDITORS' REPORT 28
THE ACCOUNTANT'S OPINION
SCHEDULES OF INVESTMENTS
S&S SHORT TERM
INTEREST FUND 30
S&S MONEY MARKET FUND 33
SUPPLEMENTAL INFORMATION 34
ILLUSTRATIONS OF THE RELATIVE MARKET VALUE OF
INVESTMENTS OFFERED UNDER THE S&S PROGRAM BASED
ON HISTORICAL EARNINGS.
DISCLOSURE STATEMENT 36
INFORMATION ABOUT THE S&S PROGRAM INVESTMENT ALTERNATIVES.
S&S MUTUAL FUNDS' INVESTMENT TEAM 48
SHAREHOLDER INQUIRIES INSIDE BACK COVER
HOW YOU CAN OBTAIN MORE INFORMATION
_______________________________________________________________________________
ON THE COVER: GE Investments' portfolio managers are pictured making a trade
in one of our newly upgraded trading rooms. During 1995,
GE Investments made technological improvements in an effort
to create state-of-the-art trading facilities.
<PAGE>
A LETTER FROM THE CHAIRMAN
DEAR SHAREHOLDER:
This past year marks some exciting changes at GE Investments, the investment
manager for the S&S Mutual Funds. We have devoted significant efforts
and resources to upgrading our trading areas with the latest equipment
for trading, news and information to assure that our analysts stay on top
of the markets. In the same spirit of change, you will note some improvements
to this year's annual report and disclosure statement. We have organized
the report to be more interesting and informative for you. For example, we
added helpful fund information on the inside front cover to guide you through
the report. We also expanded our reviews of performance to include more fund
highlights.
PERFORMANCE HIGHLIGHTS
After weak financial performance in 1994, U.S. financial markets rebounded
tremendously in 1995. The S&S Funds followed this trend. S&S Program
Mutual Fund had the best year in its history with a total return of 36.8%.
This return also put the Fund in the top 15% of
its peers, as measured by Lipper Analytical Services, an independent mutual
fund rating service.
[GRAPHIC]
Photo of Dale F. Frey
S&S Long Term Interest Fund also had one of its best years ever in 1995, with
a total return of 18.3%. This return put the Fund in the top 20% of its
peers, as measured by Lipper Analytical Services.
The average total returns for each applicable Lipper category, and complete
details on each fund's performance can be found on the fund performance
review pages contained in this annual report.
MARKET OVERVIEW
Strong corporate earnings were reported throughout 1995, along with low
inflation, and decreasing interest rates. Merger and acquisition activity
topped $450 billion for the year, and cash flows into equity mutual funds
exceeded $100 billion, setting records for both measures. These factors drove
the S&P 500 up 37.6% for the year.
Bonds recovered after the worst market in history in 1994, reacting well to
indications of an economy under control. 1995 returns were 18.5%, as measured
by the Lehman Brothers Aggregate Index. The Lehman Brothers Municipal Bond
Index, returned 17.5% for the year, a strong performance considering that tax
reform concerns hovered over the Tax Exempt market throughout
the year.
International equity market performance, as measured by the MSCI EAFE Index,
lagged the U.S. equity markets with a return of 11.2% for the year. This
underperformance was primarily driven by Japan, where weak economic prospects
and impending "bad debt" problems at financial institutions, held Japanese
equities to only a 0.7% gain in 1995. European markets posted a respectable
return of 21.8% for the year. European companies continue to represent
excellent global values as cost cutting efforts begin to pay off.
MARKET OUTLOOK
All in all, 1995 was a terrific year for the financial markets. Looking
forward, the potential certainly exists for a short-term market correction
given current high market valuation levels. Over the long-term however, low
interest rates, controlled inflation, and stable economic growth should
result in continuation of long term growth in the financial markets.
It was a pleasure to serve your investment needs in 1995, and we look forward
to helping you meet your financial objectives in 1996.
/s/ Dale F. Frey
_______________
Dale F. Frey
Chairman of the Board and President
GENERAL ELECTRIC INVESTMENT CORPORATION
-1-
<PAGE>
S&S PROGRAM MUTUAL FUND
Q&A
GENE BOLTON IS RESPONSIBLE FOR THE OVERALL MANAGEMENT OF THE U.S. EQUITY
OPERATION AT GE INVESTMENTS WITH TOTAL ASSETS OF OVER $18 BILLION. HIS
RESPONSIBILITIES INCLUDE OVERSEEING THE PORTFOLIO MANAGEMENT TEAM OF
THE S&S PROGRAM MUTUAL FUND LISTED ON PAGE 48. GENE JOINED GE IN
1964. AFTER COMPLETING GE'S FINANCIAL MANAGEMENT PROGRAM HE HELD A
NUMBER OF FINANCIAL AND STRATEGIC PLANNING POSITIONS IN THE U.S. AND EUROPE.
JOINING GE INVESTMENTS IN 1984 AS CHIEF FINANCIAL OFFICER, HE MOVED TO
EQUITIES AS A PORTFOLIO MANAGER IN 1986 AND WAS NAMED TO HIS PRESENT POSITION
IN 1991. GENE IS A TRUSTEE OF THE GE PENSION TRUST AND GE'S EMPLOYEE SAVINGS
PROGRAM, AS WELL AS CHAIRMAN OF THE ASSET ALLOCATION COMMITTEE OF GE
INVESTMENTS. HE ALSO SERVES AS A TRUSTEE OF THE INVESTMENT MANAGEMENT
WORKSHOP, SPONSORED BY THE ASSOCIATION FOR INVESTMENT MANAGEMENT AND
RESEARCH. GENE IS A GRADUATE OF MUNDELEIN COLLEGE WITH A B.A.
IN BUSINESS MANAGEMENT.
Q HOW DID THE S&S PROGRAM MUTUAL FUND PERFORM COMPARED TO ITS BENCHMARK IN
1995?
A The S&S Program Mutual Fund had a return of 36.8% in 1995. Our Lipper peer
group of 481 Growth and Income funds had an average return of 31.4% for the
same period. The S&P 500 returned 37.6%.
Q WHY DID THE FUND OVER/UNDER PERFORM PEERS & BENCHMARK?
A The S&S Program Mutual Fund slightly underperformed the S&P 500 in 1995 due
to our 4-5% cash position. The S&P 500 did better than 85% of active U.S.
equity managers. Therefore, by staying close to the S&P 500 performance, we
managed to outperform the majority of our peers. Our large overweighting in
financial stocks was a significant plus as these were among the best
performing stocks in 1995. We benefited particularly from large holdings in
Federal National Mortgage Association and Travelers, two well run companies
that were strong in the declining interest rate environ-ment of 1995. Another
area where we were overweighted and did well was in capital goods. Well
managed companies like Allied Signal and United Technologies were strong
performers, as were restructuring companies like Lockheed Martin and Eastman
Kodak. Our underweighting in technology hurt performance early in the year
but helped us in the fourth quarter when that sector had a significant
correction.
[GRAPHIC]
Photo of Gene Bolton
Q HOW DO YOU PICK STOCKS?
A Our analysis has shown that individual stock selection is the area where we
add the most value to our Fund. Thus we manage the Fund on a bottom up,
stock by stock basis, building our industry and sector weightings based on
where we find the most attractive stocks. We place heavy emphasis on
research, taking a very fundamental approach to investing. We make a
concerted effort to understand each company that we invest in, including
their growth potential, earnings drivers, as well as the strength of their
management team. We believe contact with management is very important, and
often have several companies per week coming into our offices to tell us
their story and let us question them about their growth plans and earnings
outlook. The other key element of our investment approach is to pay close
attention to valuation levels. Even the best companies may not be attractive
investments if their valuation levels become excessive. We watch earnings
growth progression and valuation levels very carefully and will sell a stock
when it reaches our valuation target or if earnings fundamentals begin to
deteriorate.
Q WHAT SECTORS HAVE YOU LIKED?
A We continue to be overweighed in the financial and capital goods sectors.
These sectors are where we are finding the most attractive stocks on a
valuation basis using our bottom-up stock selection disciplines. The
financial stocks we own have good historical growth rates and in our belief,
strong managements.
In our view, they also have attractive valuation levels considering their
past and future projected growth rates. The long term decline in interest
rates has also helped these companies do well. The capital goods stocks we
own have also shown superior growth and have attractive valuations compared
to other companies with similar growth prospects. These companies are
globally diversified and we believe they are very competitive world wide.
They have instituted cost cutting and productivity initiatives and are
generating strong cash flow. They should benefit from worldwide
infrastructure building and are not dependent on debt-laden consumers to
achieve their forecasted growth rates.
Q WHAT IS THE OUTLOOK FOR THE FUND IN THE UPCOMING YEARS?
A We expect 1996 to be a year of increased volatility in the stock market.
Returns are likely to be much more modest in the coming years than the
double-digit returns we've enjoyed in the past, but we still believe the
stock market will outperform other asset classes over the long term. With
stock market valuations high on a historical basis, stock selection should be
the key to good performance in 1996. We will continue to emphasize this
approach, and we believe the Fund is well positioned for a strong year in
terms of relative performance.
-2-
<PAGE>
S&S PROGRAM MUTUAL FUND
COMPARISON OF CHANGE IN VALUE OF A $10,000 INVESTMENT
[GRAPHIC]
Line Chart
Data for Line Chart to Follow:
<TABLE>
<CAPTION>
S&S MUTUAL
PROGRAM S&P 500
_______________________________
<S> <C> <C>
1985 10,000 10,000
1986 11,670 11,840
1987 11,647 12,456
1988 13,394 14,536
1989 17,425 19,085
1990 16,937 18,475
1991 21,883 24,110
1992 23,655 25,966
1993 26,376 28,589
1994 25,912 28,989
1995 35,447 39,889
</TABLE>
AVERAGE ANNUAL TOTAL RETURN
FOR THE PERIODS ENDING DECEMBER 31, 1995
<TABLE>
<CAPTION>
ONE FIVE TEN
YEAR YEAR YEAR
<S> <C> <C> <C>
S&S Program Mutual 36.77% 15.91% 13.48%
S&P 500 37.61% 16.61% 14.82%
</TABLE>
INVESTMENT PROFILE
A Fund designed for investors who seek long-term growth of capital and
income. The Fund invests principally in domestic common stocks or in
securities convertible into common stocks. Cash, preferred stocks, bonds and
foreign securities can also be held.
<TABLE>
<CAPTION>
*LIPPER PERFORMANCE COMPARISON
BASED ON 12/31/95 TOTAL RETURNS
GROWTH AND INCOME PEER GROUP
One Five Ten
Year Year Year
<S> <C> <C> <C>
Fund's rank in peer group: 72 83 42
Number of Funds in peer group: 481 206 123
Peer group average total return: 31.36% 15.51% 12.81%
Lipper categories in peer group: GROWTH AND INCOME,
S&P 500 INDEX
</TABLE>
*SEE NOTES TO PERFORMANCE FOR EXPLANATION OF PEER CATEGORIES.
TOP TEN LARGEST HOLDINGS
AS A PERCENTAGE OF NET ASSET VALUE
AT DECEMBER 31, 1995
American Telephone & Telegraph 2.32%
Pepsico Inc. 1.92%
Royal Dutch Petroleum Co. 1.89%
Exxon Corp. 1.82%
Federal National Mortgage Assoc. 1.68%
International Business Machines 1.65%
Philip Morris Cos. Inc. 1.65%
Merck & Co. Inc. 1.48%
GTE Corp. 1.35%
Travelers Group Inc. 1.32%
SEE PAGE 17 FOR NOTES TO PERFORMANCE. PAST PERFORMANCE IS NO
GUARANTEE OF FUTURE RESULTS.
-3-
<PAGE>
SCHEDULE OF INVESTMENTS
(DOLLARS IN THOUSANDS -- DECEMBER 31, 1995
_____________________________________________________________________________
S&S PROGRAM MUTUAL FUND
[GRAPHIC]
PIE CHART
Data For Pie Chart To Follow:
Cash & Other 1.9%
Financial Services 15.6%
Capital Goods 13.7%
Consumer 32.6%
Technology 8.4%
Utilities 10.3%
Energy & Basic
Materials 15.2%
Transportation 2.3%
<TABLE>
<CAPTION>
NUMBER
OF SHARES VALUE
<S> <C> <C>
___________________________________________________________
COMMON STOCK-96.8%
___________________________________________________________
AEROSPACE-2.9%
Boeing Co. 75,120 $5,888
General Dynamics Corp. 29,004 1,715
General Motors Corp.
(Class H) 66,758 3,279
Lockheed Martin Corp. 216,649 17,115
McDonnell Douglas Corp. 141,043 12,976
Raytheon Co. 115,929 5,478
Rockwell International Corp. 64,110 3,390
United Technologies Corp. 168,676 16,003
65,844
AUTOMOTIVE--2.0%
Eaton Corp. 55,931 2,999
Ford Motor Co. 521,150 15,113
General Motors Corp. 325,106 17,190
Goodyear Tire & Rubber Co. 212,006 9,620
Stewart & Stevenson
Services Inc. 61,855 1,562
46,484
[GRAPHIC]
ICON FOR BANKS & FINANCIAL SERVICES
BANKS & FINANCIAL SERVICES--9.8%
American Express Co. 412,649 17,073
Bank of New York Inc. 176,502 8,604
BankAmerica Corp. 83,918 5,434
Barnett Banks Inc. 17,155 1,012
BayBanks Inc. 36,300 3,567
Beneficial Corp. 221,247 10,316
Block H & R Inc. 13,087 530
Boatmen's Bancshares Inc. 139,141 5,687
Chemical Banking Corp. 74,501 4,377
CitiCorp. 298,400 20,067
Countrywide Credit
Industries 128,000 2,784
Dean Witter Discover & Co. 269,573 12,670
Edwards A G Inc. 67,647 1,615
Federal National
Mortgage Assoc 313,300 38,888
First Chicago Corp. 171,506 6,775
First Interstate BanCorp. 54,206 7,399
Mellon Bank Corp. 109,341 5,877
Morgan (J P ) & Co. Inc. 180,216 14,462
Nationsbank Corp. 55,091 3,836
Rollins Inc. 21,002 465
Standard Federal
Bancorporation 38,112 1,501
State Street Boston Corp. 86,040 3,872
Student Loan Marketing Assoc. 10,479 690
T. Rowe Price & Associates 36,034 1,775
Transamerica Corp. 50,183 3,657
Travelers Group Inc. 487,061 30,624
United States BanCorp. 156,739 5,270
Wells Fargo & Co. 33,426 7,220
226,047
BROADCASTING, ENTERTAINMENT & MEDIA--4.4%
Capital Cities/ABC Inc. 93,557 11,543
Carmike Cinemas Inc. 7,472 168
Carnival Corp. (Class A) 41,959 1,023
Circus Circus Enterprises Inc. 63,668 1,775
Comcast Corp. (Class A) 398,457 7,247 (a)
Disney (Walt) Co. 76,446 4,510
Donnelley (R.R.) & Sons Co. 253,125 9,967
Dun & Bradstreet Corp. 140,822 9,118
Gannett Inc. 220,761 13,549
Interpublic Group Cos. Inc. 127,425 5,527
Knight Ridder Inc. 18,260 1,141
Readers Digest Assoc
Inc. (Class A) 10,523 539
Reuters Holdings PLC
ADR (Class B) 247,908 13,666
Tele-Communications Inc. 211,663 5,689 (a)
Tele-Communications Inc.
(Class A) 289,557 5,755 (a)
______________
See Notes To Schedules Of Investments And Finacial Statments
-4-
<PAGE>
SCHEDULE OF INVESTMENTS
(DOLLARS IN THOUSANDS) -- DECEMBER 31, 1995
_____________________________________________________________________________
<CAPTION>
NUMBER
OF SHARES VALUE
___________________________________________________________
<S> <C> <C>
Time Warner Inc. 167,483 6,344
Viacom Inc. (Class B) 82,415 3,904 (a)
101,465
BUILDING MATERIALS & CONSTRUCTION--0.1%
Masco.Corp. 43,462 1,363
Sherwin Williams Co. 39,969 1,629
2,992
CHEMICAL--3.0%
Air Products & Chemicals Inc. 182,029 9,602
Airgas Inc. 36,919 1,228 (a)
Du Pont de Nemours (E.I.) 419,281 29,297
Eastman Chemical Co. 66,056 4,137
FMC Corp. 26,528 1,794 (a)
Grace (WR) & Co. 40,765 2,410
IMC Global Inc. 90,816 3,712
Lubrizol Corp. 125,921 3,510
Morton International Inc. 255,026 9,149
Olin Corp. 22,107 1,641
WitCo Corp. 107,750 3,152
69,632
[GRAPHIC]
Icon for Consumer Related
CONSUMER RELATED--11.8%
Albertsons Inc. 21,134 695
American Stores Co. 240,568 6,435
Anheuser Busch Cos. Inc. 283,854 18,983
Archer-Daniels Midland Co. 244,857 4,407
Armstrong World
Industries Inc. 90,329 5,600
Catalina Marketing Corp. 15,519 974
Coca Cola Co. 10,877 808
Colgate Palmolive Co. 199,494 14,015
Conagra Inc. 128,309 5,293
CPC International Inc. 113,851 7,813
Dole Food Inc. 73,086 2,558
Duracell International Inc. 16,359 847
Eastman Kodak Co. 356,276 23,871
General Mills Inc. 86,350 4,987
Kellogg Co. 55,268 4,269
Marriot International Inc. 18,084 692
McDonalds Corp. 335,363 15,133
Nestle S.A. 7,459 8,251
Penney J C Inc. 54,118 2,577
Pepsico.Inc. 794,349 44,384
Philip Morris Cos. Inc. 420,873 38,089
Procter & Gamble Co. 266,655 22,132
Ralston Purina Co. 42,003 2,620
Rubbermaid Inc. 35,062 894
Sara Lee Corp. 72,201 2,301
Scholastic Corp. 9,373 729 (a)
Stanhome Inc. 46,115 1,343
SysCo.Corp. 73,661 2,394
Tambrands Inc. 30,331 1,448
Timken Co. 89,533 3,425
Tyson Foods Inc. (Class A) 43,462 1,135
Wal Mart Stores Inc. 1,110,788 24,854
273,956
DIVERSIFIED MANUFACTURING--5.3%
Allied Signal Inc. 642,031 30,496
Canadian Pacific Ltd 268,600 4,868
Dover Corp. 321,790 11,866
Hanson PLC ADR 350,308 5,342
ITT Corp. (new) 65,835 3,489
ITT Industries Inc. 65,835 1,580
Loews Corp. 203,031 15,913
Minnesota Mining &
Manufacturing 373,476 24,743
Tecumseh Products Co.
(Class A) 24,539 1,270
Tenneco Inc. 139,805 6,938
Textron Inc. 208,071 14,045
Trinova Corp. 42,534 1,218
121,768
[GRAPHIC]
ICON FOR DRUGS, HEALTHCARE & COSMETICS
DRUGS, HEALTHCARE & COSMETICS--11.1%
Abbott Laboratories 552,852 23,082
Allergan Inc. 308,393 10,023
American Home Products Corp. 211,299 20,496
American Medical Response 36,477 1,185 (a)
Arbor Drugs Inc. 65,813 1,382
Arrow International Inc. 82,548 3,281
Avon Products Inc. 69,991 5,276
Baxter International Inc. 203,075 8,504
Bristol-Myers Squibb Co. 336,115 28,864
Cardinal Health Inc. 24,760 1,356
Dentsply International Inc. 25,158 1,006
Eli Lilly & Co. 294,996 16,594
FHP International Corp. 186,495 5,315 (a)
Gillette Co. 24,008 1,251
International Flavours 24,141 1,159
Johnson & Johnson 327,714 28,061
______________
See Notes To Schedules Of Investments And Finacial Statments
-5-
<PAGE>
S&S PROGRAM MUTUAL FUND
(DOLLARS IN THOUSANDS)
_____________________________________________________________________________
<CAPTION>
NUMBER
OF SHARES VALUE
___________________________________________________________
<S> <C> <C>
Lincare Holdings Inc. 20,162 $504 (a)
Living Centers of America Inc. 26,042 911
Merck & Co. Inc. 519,957 34,187
Pfizer Inc. 374,316 23,582
Pharmacia & Upjohn Inc. 223,900 8,676
Schering Plough Corp. 208,381 11,409
Smithkline Beecham PLC ADR 358,708 19,908
Warner Lambert Co. 12,380 1,202
257,214
[GRAPHIC]
ICON FOR ELECTRICAL & ELECTRONICS
ELECTRICAL & ELECTRONICS--8.0%
ADT Ltd. 172,346 2,585 (a)
Airtouch Communications 443,422 12,527 (a)
AMP Inc. 352,076 13,511
Applied Materials Inc. 182,206 7,174 (a)
BBC Brown Boveri 8,401 9,759
EG & G Inc. 177,740 4,310
Emerson Electric Co. 328,811 26,880
General Instrument Corp. 22,328 522 (a)
General Signal Corp. 166,643 5,395
Hewlett Packard Co. 341,376 28,590
Hubbell Inc. (Class B) 295,128 19,404
Intel Corp. 301,407 17,105
Molex Inc. (Class A) 53,057 1,625
Motorola Inc. 173,584 9,894
Northern Telecom Ltd. 73,439 3,158
Perkin Elmer Corp. 90,197 3,405
Philips Electronics N.V. 226,199 8,115
Sensormatic Electronics Corp. 22,726 395
Ucar International Inc. 47,398 1,600 (a)
Varian Associates Inc. 205,860 9,830
VLSI Technology Inc. 12,601 229 (a)
186,013
ELECTRIC UTILITIES--2.7%
CMS Energy Corp. 84,537 2,526
Dominion Resources Inc. 137,417 5,668
Illinova Corp. 72,953 2,189
NIPSCO.Industries Inc. 105,671 4,042
PacifiCorp. 323,027 6,864
Pinnacle West Capital Corp. 175,883 5,057
Portland General Corp. 71,494 2,082
Public Service Co. Colorado 83,874 2,967
Public Service Co. New Mexico 197,416 3,479 (a)
Southern Co. 496,170 12,218
Unicom Corp. 433,341 14,192
61,284
[GRAPHIC]
Icon for Energy & Energy Related
ENERGY & ENERGY RELATED-10.3%
Amerada Hess Corp. 25,114 1,331
Amoco Corp. 321,657 23,119
Anadarko Petroleum Co. 107,926 5,841
Atlantic Richfield Co. 58,495 6,478
Baker Hughes Inc. 212,183 5,172
Burlington Resources Inc. 265,505 10,421
Chevron Corp. 89,710 4,710
Dresser Industries Inc. 86,040 2,097
Eastern Enterprises 90,108 3,176
Elf Aquitaine ADR 44,921 1,651
Exxon Corp. 526,058 42,150
FPL Group Inc. 189,943 8,809
Mobil Corp. 168,853 18,912
Occidental Petroleum Corp. 110,668 2,365
Phillips Petroleum Co. 52,217 1,782
Royal Dutch Petroleum Co. 309,763 43,715
Santa Fe Energy Resources Inc. 95,768 922 (a)
Schlumberger Ltd. 335,496 23,233
Texaco Inc. 278,378 21,853
Unocal Corp. 273,508 7,966
USX Marathon Group 131,316 2,561
238,264
FOREST PRODUCTS, PAPER & PACKAGING--1.7%
Avery Dennison Corp. 35,371 1,773
International Paper Co. 76,490 2,897
Kimberly Clark Corp. 146,598 12,131
Mead Corp. 172,744 9,026
Owens Illinois Inc. 174,557 2,531 (a)
Weyerhaeuser Co. 275,321 11,908
40,266
INDUSTRIAL PRODUCTS & SERVICES--0.9%
Browning-Ferris
Industries Inc. 123,490 3,643
Corning Inc. 44,214 1,415
Ecolab Inc. 25,733 772
Flightsafety International
Inc. 16,846 846
Waste Management International
PLC ADR 50,360 541 (a)
______________
See Notes To Schedules Of Investments And Finacial Statments
-6-
<PAGE>
SCHEDULE OF INVESTMENTS
(DOLLARS IN THOUSANDS) -- DECEMBER 31, 1995
_____________________________________________________________________________
<CAPTION>
NUMBER
OF SHARES VALUE
___________________________________________________________
<S> <C> <C>
Wheelabrator Technologies
Inc. 92,761 $1,554
WMX Technologies Inc. 435,508 13,011
21,782
INSURANCE--5.0%
American International
Group Inc. 299,373 27,692
Chubb Corp. 29,520 2,856
CMAC Investment Corp. 38,643 1,700
CNA Financial Corp. 14,193 1,611
General Reinsurance Corp. 84,132 13,040
ITT Hartford Group Inc. 65,835 3,185
Jefferson Pilot Corp. 6,544 479
Lincoln National Corp. 202,412 10,880
Marsh & McLennan Cos 105,760 9,386
Navigators Group Inc. 12,344 218
Providian Corp. 247,466 10,084
Reliastar Financial Corp. 68,355 3,033
St. Paul Cos. Inc. 257,635 14,331
TIG Holdings Inc. 455,360 12,978
UNUM Corp. 63,005 3,465 (a)
114,938
MACHINERY & MACHINE TOOLS--1.1%
Caterpillar Inc. 67,426 3,961
Cooper Industries Inc. 85,377 3,138
Deere & Co. 364,942 12,864
Ingersoll Rand Co. 142,767 5,015
24,978
MERCHANDISING--2.6%
American Greetings Corp.
(Class A) 105,141 2,904
Charming Shoppes Inc. 286,272 823
Circuit City Stores Inc. 123,932 3,424
CUC International Inc. 8,401 287 (a)
Dayton Hudson Corp. 64,110 4,808
Federated Department
Stores Inc. 304,722 8,380 (a)
Home Depot Inc. 185,301 8,871
Limited Inc. 53,764 934
May Department Stores Co. 44,214 1,868
Melville Corp. 29,756 915
Price Costco Inc. 223,458 3,408
Sears Roebuck & Co. 466,458 18,192
TJX Cos. Inc. 11,054 209
Toys 'R Us 197,371 4,293 (a)
59,316
METALS--0.8%
Barrick Gold Corp. 127,646 3,367
Freeport McMoran Copper
Gold (Class A) 158,153 4,428
Inco Ltd. 46,866 1,558
Newmont Mining Corp. 111,233 5,033
Nucor Corp. 34,796 1,988
Reynolds Metals Co. 16,492 934
17,308
NATURAL GAS--0.5%
Enserch Corp. 175,706 2,855
Nabors Industries Inc. 189,766 2,111 (a)
Petroleum Geo Services ADR 11,319 283 (a)
Sonat Inc. 140,424 5,003
Tosco Corp. 40,588 1,547
11,799
OFFICE EQUIPMENT & SUPPLIES--4.3%
Amdahl Corp. 85,819 729
Apple Computer 43,153 1,376
Automatic Data Processing Inc. 154,970 11,507
Cisco Systems Inc. 46,646 3,481 (a)
Compaq Computer Corp. 77,286 3,710 (a)
Computer Associates
International Inc. 147,852 8,409
Equifax Inc. 646,939 13,828
First Data Corp. 219,744 14,695
International Business
Machines 415,479 38,120
Microsoft Corp. 21,002 1,843 (a)
Pitney Bowes Inc. 49,962 2,348
100,046
REAL ESTATE--0.0%
Castle & Cooke Inc. (new) 24,362 408
TELEPHONE & UTILITIES-6.5%
American Telephone & Telegraph 828,172 53,624
Bellsouth Corp. 319,048 13,879
Cellular Communications Inc. 61,457 3,058
Frontier Corp. 46,380 1,391
______________
See Notes To Schedules Of Investments And Finacial Statments
-7-
<PAGE>
S&S PROGRAM MUTUAL FUND
(DOLLARS IN THOUSANDS)
_____________________________________________________________________________
<CAPTION>
NUMBER
OF SHARES VALUE
___________________________________________________________
<S> <C> <C>
GTE Corp. 708,759 31,185
International Cabletel Inc. 264,400 6,478 (a)
MCI Communications Corp. 320,154 8,364
NYNEX Corp. 189,545 10,235
Pacific Telesis Group 155,235 5,220
SBC Communications Inc. 189,324 10,886
Sprint Corp. 49,033 1,955
U.S. West Inc. 137,196 4,905
151,180
TRANSPORTATION--2.0%
AMR Corp. 121,587 9,028
Burlington Northern Santa Fe 139,893 10,912
CSX Corp. 130,874 5,971
Delta Air Lines Inc. 31,215 2,306
Pittston Services Group 25,158 789
Union Pacific Corp. 276,205 18,230
47,236
TOTAL COMMON STOCK
(COST $1,733,647) 2,240,220
<CAPTION>
PRINCIPAL
AMOUNT VALUE
<S> <C> <C>
________________________________________________________
BONDS AND NOTES-0 3%
________________________________________________________
Ames Department Stores Inc.
0.99% 01/01/97 $79 0 (a)
BanCo.Nacional de MexiCo.SA
7.00% 12/15/99 3,008 2,422 (b)
Cemex
4.25% 11/01/97 2,258 1,908 (b)
Exide Corp.
2.90% 12/15/05 2,287 1,635 (b)
Valhi Inc.
9.25% 10/20/07 1,459 567
TOTAL BONDS AND NOTES
(COST $8,007) 6,532
CONVERTIBLE BONDS--0.3%
___________________________________________________________
ADT Operations Inc.
6.50% 07/06/10 1,009 483
AMR Corp.
Federated Department Stores Inc.
5.00% 10/01/03 925 922
TOTAL CONVERTIBLE BONDS
(COST $6,914) $7,196
<CAPTION>
NUMBER
OF SHARES VALUE
<S> <C> <C>
___________________________________________________________
CONVERTIBLE PREFERRED STOCK--0.7%
___________________________________________________________
Citicorp, 10.75% 8,287 1,522
Ford Motor Co.
(Series A), 8.40% 44,967 4,261
International Paper
Capital Trust, 5.25% 30,375 1,374 (b)
Occidental Petroleum
Corp., 7.75% 84,802 4,664 (b)
Reynolds Metals Co., 7.00% 24,052 1,218
Santa Fe Energy Resources
Inc. (Series A) 8.25% 54,295 1,038
St. Paul Capital LLC, 6.00% 5,877 331
Unocal Corp., 7.00% 28,695 1,571 (b)
TOTAL CONVERTIBLE PREFERRED STOCK
(COST $14,324) 15,979
TOTAL INVESTMENTS IN SECURITIES
(COST $1,762,892) 2,269,927
<CAPTION>
PRINCIPAL
AMOUNT VALUE
________________________________________________________
<S> <C> <C>
SHORT TERM INVESTMENTS-1.7%
________________________________________________________
U.S. GOVERNMENT AGENCIES-0.9%
Federal National Mortgage Assoc
5.67% 01/19/96 $20,000 19,943 (d)
REPURCHASE AGREEMENT-0.8%
State Street Bank and Trust Co.
5 75% 01/02/96 18,960 18,960
(dated 12/29/95, proceeds
$18,972, collateralized by
$19,346 United States Treasury
Note 9 25%, 2/01/16)
TOTAL SHORT TERM INVESTMENTS
(COST $38,903) 38,903
OTHER ASSETS AND LIABILITIES,
NET 0.2% 5,707
__________
NET ASSETS--100% $2,314,537
__________
__________
</TABLE>
[GRAPHIC]
Sample Icon
ICONS REPRESENT THE TOP FIVE INDUSTRY WEIGHTINGS IN THE S&S
PROGRAM MUTUAL FUND AT 12/31/95.
______________
See Notes To Schedules Of Investments And Finacial Statments
-8-
<PAGE>
S&S LONG TERM INTEREST FUND
Q&A
BOB MACDOUGALL LEADS THE TAXABLE FIXED INCOME TEAM AT GE INVESTMENTS. ASSETS
UNDER MANAGEMENT EXCEED $14 BILLION. HIS RESPONSIBILITIES INCLUDE MANAGING
THE S&S LONG TERM INTEREST FUND. BOB JOINED GE INVESTMENTS IN 1986 AS MUTUAL
FUND PORTFOLIO MANAGER AND WAS NAMED TO HIS PRESENT POSITION IN 1992.
PREVIOUSLY HE WAS WITH GE'S CORPORATE TREASURY OPERATION MANAGING THE
COMPANY'S $2 BILLION PORTFOLIO OF MARKETABLE SECURITIES AND SUPPORTING THE
TREASURER IN THE AREAS OF DEBT MANAGEMENT AND CAPITAL STRUCTURE PLANNING.
PRIOR TO THAT, BOB HELD VARIOUS FINANCIAL MANAGEMENT POSITIONS SINCE JOINING
GE IN 1973. HE HOLDS BACHELOR'S AND MASTER'S DEGREES IN BUSINESS
ADMINISTRATION FROM THE UNIVERSITY OF MASSACHUSETTS.
Q HOW DID THE S&S LONG TERM INTEREST FUND PERFORM
COMPARED TO ITS BENCHMARKS IN 1995?
A GE S&S Long Term Interest Fund achieved a total return of 18.3% in 1995.
This compares with a 16.6% average return for 157 mutual funds in our Lipper
peer group of Intermediate Bond Funds. The Lehman Brothers Aggregate Bond
Index had a return of 18.5%.
Q HOW DID MARKET EVENTS IN 1995 IMPACT THE FUND?
A The bond market has been on a roller coaster the last
couple of years. From February 1994 until February
[GRAPHIC]
BOB MACDOUGALL
1995, the Federal Reserve was tightening monetary policy to slow economic
growth. In July 1995 the Fed moved to an accommodative posture and lowered
short term rates. The market, anticipating this shift, rallied from early in
the year with long rates falling to 5.95% in December.
The defensive position which we established to preserve capital in 1994 kept
us from fully participating in the rally during the first quarter of 1995.
Favorable sector allocation and good individual security selection allowed us
to recoup the shortfall.
Q DESCRIBE YOUR SECTOR ALLOCATION PROCESS.
A The U.S. bond market is comprised of three primary
sectors: governments, corporate bonds and mortgage backed securities (e.g.
Ginnie Maes). While similar in the sense they generate yield and have price
sensitivity to changes in interest rates, these sectors do not perform in
lockstep. We diversify our portfolio across all three sectors to reduce risk
but also seek to add performance by over/under weighting based on our outlook
on relative value. In 1995, demand for incremental yield caused the corporate
sector to perform the best. Mortgages, on the other hand, underperformed
treasuries due to investor concern over homeowner's ability to pay off their
mortgages and refinance in a falling interest rate environment.
Q HOW ARE YOU POSITIONED AT THE START OF 1996?
A The current economic expansion will soon be entering its fifth year. Both
fiscal and monetary policy seem restrictive. Inflation is well controlled.
We believe (hope) there will be less volatility in the market with return
consisting primarily of income with little or no price appreciation. In that
environment we will tend to be overweighted in mortgage backed securities
and, to a lesser extent, corporates to pick up incremental yield over
Treasuries.
-9-
<PAGE>
S&S LONG TERM INTEREST FUND
_____________________________________________________________________________
COMPARISON OF CHANGE IN VALUE OF A $10,000 INVESTMENT
[GRAPHIC]
Line Chart
Data for line chart to follow:
S&S LONG TERM INTEREST FUND
<TABLE>
<CAPTION>
S&S LONG TERM INTEREST FUND
_________________________________
S&S
LONG TERM LB AGGREGATE
_________________________________
<S> <C> <C>
1985 10,000 10,000
1986 11,830 11,530
1987 11,913 11,853
1988 12,794 12,789
1989 14,650 14,644
1990 16,027 15,962
1991 18,591 18,515
1992 19,874 19,886
1993 21,821 21,814
1994 21,276 21,182
1995 25,169 25,100
</TABLE>
<TABLE>
<CAPTION>
AVERAGE ANNUAL TOTAL RETURN
FOR THE PERIODS ENDING DECEMBER 31, 1995
<S> <C> <C> <C>
One Five Ten
Year Year Year
S&S Long Term 18.34% 9.46% 9.68%
LB Aggregate 18.47% 9.48% 9.63%
</TABLE>
INVESTMENT PROFILE
A Fund designed for investors who seek a high interest rate of return over
a long-term period consistent with prudent management and preservation
of capital. The Fund invests principally in obligations of the U.S.
Government, corporate bonds, notes and other types of fixed income
investments.
*LIPPER PERFORMANCE COMPARISON
BASED ON 12/31/95 TOTAL RETURNS
INTERMEDIATE BOND PEER GROUP
<TABLE>
<CAPTION>
One Five Ten
Year Year Year
<S> <C> <C> <C>
Fund's rank in peer group: 32 11 1
Number of Funds in peer group: 157 37 10
Peer group average total return: 16.62% 8.88% 8.87%
Lipper categories in peer group INTERMEDIATE INVESTMENT
GRADE CORP.
</TABLE>
*SEE NOTES TO PERFORMANCE FOR EXPLANATION OF PEER CATEGORIES.
<TABLE>
<CAPTION>
QUALITY RATINGS AS OF DECEMBER 31, 1995
PERCENT OF
MOODY'S RATINGS + MARKET VALUE
<S> <C>
AAA 76.71%
AA 1.63%
A 10.10%
Baa 7.25%
Ba 3.92%
NR .39%
</TABLE>
+MOODY'S INVESTORS SERVICE, INC. IS A NATIONALLY RECOGNIZED
STATISTICAL RATING ORGANIZATION.
SEE PAGE 17 FOR NOTES TO PERFORMANCE. PAST PERFORMANCE IS NO
GUARANTEE OF FUTURE RESULTS.
-10-
<PAGE>
SCHEDULE OF INVESTMENTS
(DOLLARS IN THOUSANDS) -- DECEMBER 31, 1995
_____________________________________________________________________________
S&S LONG TERM INTEREST FUND
[GRAPHIC]
PIE CHART
Data for Pie chart to follow:
Short Term 6.2%
U.S. Government 24.8%
Mortgage-Backed 31.4%
Asset Backed 13.5%
Corporate Notes 24.1%
DUE TO SECURITY LENDING ACTIVITY, THE ABOVE PORTFOLIO BREAKDOWNS
ARE BASED ON TOTAL MARKET VALUE OF INVESTMENTS.
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT VALUE
_________________________________________________________________
<S> <C> <C>
BONDS AND NOTES-119.6%
_________________________________________________________________
U.S. TREASURIES-31.6%
U.S. Treasury Bonds
6.25% 08/15/23 $25,200 $25,928
6.875% 08/15/25 44,700 50,413 (j)
7.50% 11/15/24 3,350 4,027
7.625% 02/15/25 54,960 67,206 (j)
8.125% 08/15/19 26,100 32,816 (j)
9.25% 02/15/16 5,500 7,560 (j)
12.00% 05/15/05 - 08/15/13 45,215 68,190 (j)
256,140
U.S. TREASURY NOTES
5.50% 11/15/98 40,000 40,294
5.625% 11/30/00 25,114 25,342
5.75% 09/30/97 - 10/31/97 52,700 53,190 (j)
5.875% 08/15/98 46,300 47,031 (j)
6.00% 08/31/97 24,400 24,701
6.125% 05/15/98 - 09/30/00 157,878 162,200 (j)
6.25% 08/31/00 12,900 13,345
6.50% 04/30/99 - 08/15/05 61,900 65,657 (j)
6.75% 04/30/00 86,800 91,343 (j)
7.50% 02/15/05 88,163 99,928 (j)
7.875% 11/15/04 28,335 32,798 (j)
8.00% 05/15/01 58,500 65,483
721,312
TOTAL U.S. TREASURIES
(COST $931,780) 977,452
Asset Backed-17.2%
Advanta Credit Card Master Trust Corp.
6.098% 09/01/00 26,830 26,838 (e)
6.188% 12/31/00 12,180 12,199 (e)
6.218% 10/01/01 14,400 14,436 (e)
6.313% 08/31/99 6,100 6,123 (e)
Advanta Mortgage Loan Trust Corp.
6.30% 07/25/25 5,831 5,738
6.30% 01/25/96 3,734 3,743 (e)
6.31% 04/25/26 9,925 9,952 (e)
AT & T Universal Card Master Trust
5.95% 10/17/02 5,670 5,729
Caterpillar Financial Asset Trust
6.10% 06/25/00 3,296 3,309
Discover Card Master Trust
6.128% 04/16/02 20,000 20,012 (e)
6.288% 10/16/04 17,500 17,577 (e)
6.70% 02/16/00 6,690 6,813
First USA Credit Card Master Trust
6.078% 10/15/01 30,000 29,981 (e)
6.108% 04/15/03 8,050 8,045 (e)
6.118% 06/17/02 14,200 14,200 (e)
6.158% 12/15/99 6,820 6,829 (e)
6.288% 10/15/03 4,600 4,620 (e)
6.308% 08/15/03 9,300 9,349 (e)
Fleetwood Credit Grantor Trust
6.55% 05/16/11 7,699 7,818
General Motors Acceptance Corp.
5.55% 05/15/97 973 973
Household Affinity Credit Card Trust
6.088% 05/15/01 24,000 23,962 (e)
6.138% 09/15/00 12,000 12,004 (e)
Household Finance Corp.
8.15% 03/19/96 7,749 7,780
ITT Floorplan Receivables
6.138% 02/15/01 36,539 36,550 (e)
MBNA Master Credit Card Trust
5.86% 03/15/00 42,700 42,754 (e)
6.088% 03/15/01 14,300 14,282 (e)
6.108% 01/16/02 29,200 29,200 (e)
Merrill Lynch Credit Corp.
6.338% 11/15/20 9,082 9,082 (e)
Morgan Stanley Capital Inc.
6.388% 10/15/04 8,166 8,238 (e)
______________
See Notes To Schedules Of Investments And Finacial Statments
-11-
<PAGE>
S&S LONG TERM INTEREST FUND
(DOLLARS IN THOUSANDS)
_____________________________________________________________________________
<CAPTION>
PRINCIPAL
AMOUNT VALUE
_________________________________________________________________
<S> <C> <C>
Option One
6.306% 11/20/26 $6,254 $6,254 (e)
Peoples Bank Credit Card Master Trust
6.088% 03/15/01 20,200 20,206 (e)
Premier Auto Trust
5.95% 12/06/98 2,470 2,483
6.169% 11/02/99 3,955 3,952 (e)
Signet Master Trust
6.098% 09/15/00 4,000 4,003 (e)
Southern Pacific Secured Assets Corp.
6.125% 10/25/25 7,104 7,099 (e)
Standard Credit Card Master Trust
5.82% 05/08/00 40,000 40,012 (e)
6.55% 10/07/07 7,600 7,821
6.75% 06/07/00 7,820 8,033
TMS Trust
6.458% 06/15/25 26,270 26,309 (e)
Wachovia Credit Card Master Trust
6.108% 03/15/03 9,300 9,294 (e)
TOTAL ASSET BACKED
(COST $532,866) 533,602
CORPORATE NOTES-30.8%
Advanta Corp Medium Term Notes
6.01% 11/29/96 21,000 21,021 (e)
Aetna Life Assurance
17.02% 09/15/96
(Cost $6,769 - 12/31/85) 11,584 11,140 (d,h)
American Airlines
9.71% 01/02/07 7,913 9,198
American Home Products
7.70% 02/15/00 5,200 5,564
Arkla Inc.
8.875% 07/15/99 5,025 5,390
9.875% 04/15/97 4,770 4,996
Banco Nacional De Comercio Corp.
7.25% 02/02/04 5,100 3,946
Bank of China
8.25% 03/15/14 5,000 4,999
Banque Paribas
8.35% 06/15/07 4,250 4,792
BBV International Finance Ltd.
7.00% 12/01/25 3,885 3,881
BCH Cayman Islands
8.25% 06/15/04 6,175 6,783
Bell Telephone Co.
8.35% 12/15/30 9,625 12,090
Capital One Bank
6.212% 03/20/96 25,400 25,413 (e)
6.43% 06/29/98 7,050 7,141
6.48% 08/15/97 5,700 5,755
Central Maine Power Co.
7.40% 06/02/98 1,475 1,501
Chesapeake & Potomac Telephone Co.
8.375% 10/01/29 6,000 7,514
China International Trust & Investment Corp.
9.00% 10/15/06 2,870 3,258
Citicorp
9.75% 08/01/99 5,000 5,624
Cleveland Electric Illuminating Co.
7.42% 08/01/01 10,000 9,905
CoAmerica Bank
7.50% 01/17/96 9,700 9,713
Columbia/HCA Healthcare
8.36% 04/15/24 8,200 9,624
Dean Witter Discover & Co.
5.93% 09/29/97 12,000 12,000 (e)
Delta Air Lines Inc.
7.79% 12/01/98 9,000 9,421
9.875% 01/01/98 5,625 6,042
Dresdner Bank AG
7.25% 09/15/15 4,240 4,522
Duty Free International Inc.
7.00% 01/15/04 4,500 4,346
Equitable Life Assured Society
7.70% 12/01/15 4,200 4,258
Finova Capital Corp.
6.375% 10/15/00 6,300 6,401
6.75% 11/15/04 8,100 8,303
First USA Bank
5.93% 11/13/96 9,000 8,997 (e)
Ford Motor Credit Co.
7.25% 05/15/99 8,625 9,003
Ford Motor Credit Medium Term Note
5.98% 04/19/99 76,000 76,076 (e)
______________
See Notes To Schedules Of Investments And Finacial Statments
-12-
<PAGE>
SCHEDULE OF INVESTMENTS
(DOLLARS IN THOUSANDS) -- DECEMBER 31, 1995
_____________________________________________________________________________
<CAPTION>
PRINCIPAL
AMOUNT VALUE
_________________________________________________________________
<S> <C> <C>
Foster Technology Inc.
6.75% 11/15/05 $4,200 $4,329
General Motors Acceptance Corp.
5.93% 11/15/96 38,900 38,958 (e)
7.50% 01/29/98 13,000 13,479
7.65% 02/03/97 14,000 14,312
8.375% 01/19/99 9,500 10,194
General Motors Corp.
8.89% 08/18/03 4,300 4,956
Great Atlantic & Pacific Tea Inc.
9.125% 01/15/98 5,550 5,851
Hanson Overseas B V
6.75% 09/15/05 2,800 2,900
Harnischfeger Industries
7.25% 12/15/25 6,450 6,506
HSBC Finance Nederland B.V.
7.40% 04/15/03 4,950 5,190 (b)
Hydro Quebec
8.05% 07/07/24 5,875 6,708
8.25% 04/15/26 4,000 4,542
11.75% 02/01/12 9,610 14,143
Istituto Banca San Paolo
6.275% 08/25/00 13,000 12,968(e)
ITT Corporation (new)
6.25% 11/15/00 6,300 6,365
Joy Technologies Inc.
10.25% 09/01/03 8,150 9,230
K Mart Funding Corp.
9.44% 07/01/18 4,000 3,349
KFW International Finance Inc.
8.20% 06/01/06 10,500 12,255
Landeskreditbank Baden
7.875% 04/15/04 8,220 9,222
Lehman Brothers Holdings Inc.
6.875% 06/08/98 2,450 2,495
8.375% 02/15/99 4,800 5,104
Lehman Brothers Inc.
7.125% 07/15/02 8,400 8,685
Liberty Mutual Insurance Co.
8.20% 05/04/07 8,250 9,148 (b)
8.50% 05/15/25 2,350 2,616 (b)
Long Island Lighting Co.
9.75% 05/01/21 10,500 10,801
Markel Corp.
7.25% 11/01/03 4,200 4,321
Massachusetts Mutual Life Insurance
13.064% 12/16/96
(Cost $8,548 - 12/31/85) 14,407 13,626 (h)
McDonnell Douglas Finance Corp.
6.135% 05/28/96 3,800 3,805 (e)
Merrill Lynch & Co. Inc.
6.032% 05/19/98 40,100 40,100 e)
6.033% 05/19/98 3,900 3,900 (e)
6.64% 09/19/02 6,000 6,162
Methanex Corp.
7.40% 08/15/02 3,960 4,144
Metropolitan Life Insurance Co.
7.80% 11/01/25 6,100 6,355 (b)
Morgan Stanley Group Inc.
6.082% 05/18/98 26,600 26,645 (e)
Multiva Mexico Trust Corp.
9.75% 06/09/97 4,700 4,136 (b)
Nationsbank Corp.
7.55% 01/09/96 9,700 9,700 (e)
Nationwide CSN Trust
9.875% 02/15/25 8,000 9,325 (b)
New American Capital Inc.
7.688% 04/12/00 8,700 8,711 (b,e)
Newfoundland Province Canada
9.875% 06/01/20 10,000 13,343
News America Holdings Inc.
9.125% 10/15/99 5,000 5,527
10.125% 10/15/12 12,100 14,643
Niagara Mohawk Power Corp.
8.77% 01/01/18 4,000 3,600
North Atlantic Energy Corp.
9.05% 06/01/02 13,849 14,316
Ontario Province Canada
7.00% 08/04/05 5,310 5,653
Oryx Energy Co.
10.00% 06/15/99 3,150 3,418
Paramount Communications Inc.
5.875% 07/15/00 3,200 3,157
Petroleos Mexicanos
6.813% 03/08/99 7,915 7,044 (b)
______________
See Notes To Schedules Of Investments And Finacial Statments
-13-
<PAGE>
S&S LONG TERM INTEREST FUND
(DOLLARS IN THOUSANDS)
_____________________________________________________________________________
<CAPTION>
PRINCIPAL
AMOUNT VALUE
_________________________________________________________________
<S> <C> <C>
Prudential Insurance Co. America
8.30% 07/01/25 $2,150 $2,308 (b)
Public Service Co.
8.875% 05/15/96 5,150 5,206
Quaker Oats Co.
6.71% 07/13/05 4,100 4,222
7.28% 08/29/05 4,050 4,334
Republic of Italy
6.875% 09/27/23 4,700 4,590
7.87% 09/27/01 4,125 2,886 (d)
7.939% 03/27/02 4,125 2,794 (d)
7.975% 03/27/01 4,100 2,973 (d)
8.019% 09/27/02 4,125 2,696 (d)
8.975% 03/27/13 4,125 1,166 (d)
8.985% 09/27/13 3,250 889 (d)
RHG Finance Corp.
8.875% 10/01/05 3,000 3,143
RJR Nabisco Inc.
8.75% 08/15/05 3,000 3,073
Royal Caribbean
11.375% 05/15/02 1,900 2,085
Smurfit Capital
7.50% 11/20/25 12,000 12,517
Societe Nationale Des Chemins
8.875% 12/01/24 4,000 5,044 (b)
St. George Bank Ltd.
7.15% 10/15/05 4,900 5,072 (b)
Swiss Bank Corp.
7.50% 07/15/25 3,500 3,830
Taubman Realty Group L.P.
8.00% 06/15/99 10,550 11,055
Tele-Communications Inc.
6.43% 03/09/98 5,350 5,399
7.13% 02/02/98 5,050 5,163
8.75% 08/01/15 5,250 5,820
9.25% 04/15/02 4,200 4,772
Time Warner Entertainment Co. L.P.
10.15% 05/01/12 6,875 8,522
Time Warner Inc.
7.75% 06/15/05 4,175 4,346
7.95% 02/01/00 4,200 4,428
Toledo Edison Co.
7.38% 03/31/00 10,750 10,481
Tosco Corp.
7.00% 07/15/00 3,700 3,767
Unisys Corp.
10.625% 10/01/99 9,800 8,673
United Air Lines Inc.
9.75% 08/15/21 1,300 1,560
10.67% 05/01/04 3,040 3,667
11.21% 05/01/14 3,875 5,129
United Co. Financial Corp.
7.00% 07/15/98 3,600 3,673
USX Marathon Group
8.875% 09/15/97 10,000 10,477
Viacom Inc.
7.75% 06/01/05 14,700 15,611
Woolworth Corp.
7.00% 06/01/00 6,375 6,487
TOTAL CORPORATE NOTES
(COST $926,644) 952,412
MORTGAGE-BACKED-40.0%
Federal Home Loan Mortgage Corp.
6.25% 11/01/12 394 393
6.50% 11/01/03
- 08/01/25 118,879 119,116
6.50% TBA 38,410 38,614 (c)
6.75% 10/01/03
- 03/01/06 627 635
7.00% 02/01/09
- 08/01/25 13,870 14,130
7.00% TBA 159,200 160,593 (c)
7.25% 04/01/04 1,858 1,890
7.50% 12/01/05
- 06/01/23 36,683 37,641
7.75% 05/01/08 982 1,019
8.00% 04/15/20
- 07/01/25 6,861 7,178
8.00% 08/01/08 7,482 7,753 (b)
8.00% TBA 25,970 26,911 (c)
8.00% 12/01/00
- 05/01/09 15,161 15,712 (i)
8.25% 05/01/12 785 816
8.50% 04/01/12 294 308
8.50% 12/01/99
- 11/01/10 19,660 20,542 (i)
8.75% 08/01/05
- 05/01/08 7,925 8,279
9.00% 10/01/09
- 11/01/16 10,792 11,430
472,960
Federal National Mortgage Assoc.
6.00% 12/01/08
- 07/01/09 18,760 18,566
6.50% 06/01/14 14,967 15,074
______________
See Notes To Schedules Of Investments And Finacial Statments
-14-
<PAGE>
SCHEDULE OF INVESTMENTS
(DOLLARS IN THOUSANDS) -- DECEMBER 31, 1995
_____________________________________________________________________________
<CAPTION>
PRINCIPAL
AMOUNT VALUE
_________________________________________________________________
<S> <C> <C>
7.00% 07/01/23 $58 $59
8.00% 08/01/24 1 1
8.50% 08/01/11
- 12/01/24 7,515 7,882
9.00% 07/01/07
- 07/01/25 79,723 84,256
125,838
Government National Mortgage Assoc.
7.50% 02/15/22
- 08/15/24 38,159 39,306
7.50% 03/20/25 22,790 23,211 (i)
8.00% 07/15/16
- 12/15/25 144,292 150,509
8.25% 05/15/08 499 527
9.00% 07/15/09
- 12/15/19 114,622 124,043
9.50% 12/15/09
- 11/15/20 16,921 18,565
356,161
Collateralized Mortgage Obligations
Aetna Commercial Mortgage Trust
6.422% 12/26/30 10,270 10,296
American Housing Trust
14,174% 01/25/21 5 2,191 (g)
American Southwest Financial Securities Corp.
0.70% 01/18/09 38,387 1,218 (g)
1.078% 01/18/09 52,957 2,921 (g)
7.30% 10/17/01 6,109 6,351
Asset Securitization Corp.
7.10% 08/13/29 10,236 10,724
Community Program Loan Trust
4.50% 10/01/18 23,460 20,718
DLJ Mortgage Acceptance Corp.
6.65% 12/17/27 6,536 6,658 (b)
6.85% 12/17/27 6,127 6,244 (b)
FDIC REMIC Trust
6.15% 01/25/25 199 198 (e)
7.85% 09/25/25 14,150 14,595
Federal Home Loan Mortgage Corp.
3.50% 11/15/07 20,697 17,353
1089.16% 09/15/22 122 2,433
Federal National Mortgage Assoc.
2.21% 07/25/10 41,000 5,586 (g)
2.335% 07/25/10 10,660 1,223 (g)
2.525% 07/25/10 25,882 2,483 (g)
8.00% 07/01/24 26,382 5,936 (g)
8.921% 10/01/24 26,120 21,875 (d,f)
9.967% 08/25/23 12,121 10,227 (d,f)
Federal National Mortgage Assoc. REMIC
6.25% 07/25/07 3,500 3,512
6.965% 07/25/10 10,190 10,534
LB Commercial Conduit Mortgage Trust
2.37% 05/25/05 89,838 10,286 (g)
7.144% 08/25/04 8,615 8,874
Merrill Lynch Mortgage Investor's Inc.
7.115% 05/25/15 10,899 11,192
7.523% 06/15/21 9,837 10,101
Mid-State Trust
8.33% 04/01/30 31,287 33,828
Residential Resources Inc.
8.00% 10/01/18 4,710 4,866
Salomon Brothers Mortgage Securities Inc.
8.125% 11/01/12 5,784 6,015
Sawgrass Finance REMIC Trust
6.45% 01/20/06 11,550 11,725
Vornado Finance Corp.
6.36% 12/01/00 23,125 23,067 (b)
283,230
TOTAL MORTGAGE-BACKED
(COST $1,215,338) 1,238,189
TOTAL BONDS AND NOTES
(COST $3,606,628) 3,701,655
<CAPTION>
Number
Expiration Date/ of
Strike Price Contracts Value
____________________________________________________________________________
CALL OPTIONS PURCHASED-0.0%
____________________________________________________________________________
<S> <C> <C> <C>
U.S. Treasury Note Jan. 96/103.25 5,140,000 166
(cost $67)
TOTAL INVESTMENTS IN SECURITIES
(COST $3,606,695) $3,701,821
______________
See Notes To Schedules Of Investments And Finacial Statments
-15-
<PAGE>
S&S LONG TERM INTEREST FUND
(DOLLARS IN THOUSANDS)
_____________________________________________________________________________
<CAPTION>
PRINCIPAL
AMOUNT VALUE
_________________________________________________________________
<S> <C> <C>
SHORT TERM INVESTMENTS-8.0%
_________________________________________________________________
U.S. GOVERNMENT AGENCIES, CERTIFICATES OF
DEPOSITS AND TIME DEPOSITS-7.8%
Algemene Bank Nederland N.V.
7.39% 01/12/96 $9,520 $9,520
Bank of Nova Scotia
5.844% 01/04/96 23,900 23,900
Deutsche Bank AG
5.82% 01/05/96 60,000 60,000
Dresdner Bank AG
5.844% 01/03/96 6,100 6,100
Federal Farm Credit Bank
5.72% 01/02/96 3,300 3,299 (d)
Federal Home Loan Bank
5.40% 01/11/96 23,680 23,644 (d)
5.75% 01/02/96 5,000 4,999
Federal Home Loan Mortgage Corp.
5.60% 01/03/96 41,210 41,197 (d)
5.75% 01/02/96 22,680 22,678
Federal National Mortgage Assoc.
5.33% 05/22/96 10,000 9,790 (d)
Goldman Sachs Group LP
6.05% 01/03/96 20,000 19,993
San Paolo
6.40% 01/02/96 9,250 9,248
State Street Cayman Islands
5.875% 01/02/96 6,600 6,600
240,968
REPURCHASE AGREEMENT-0.2%
State Street Bank and Trust Co.
5.75% 01/02/96 6,500 6,500
(dated 12/29/95, proceeds
$6,504, collateralized by $6,634
United States Treasury Note,
9.25%, 2/01/16)
TOTAL SHORT TERM INVESTMENTS
(COST $247,468) 247,468
OTHER ASSETS AND
LIABILITIES, NET (27.6%) (853,267)
_________
NET ASSETS - 100% $3,096,022
_________
_________
OTHER INFORMATION
_________________________________________________________________
The S&S Long Term Interest Fund had the following Long Futures
Contract open at December 31, 1995:
<CAPTION>
NUMBER
EXPIRATION OF UNDERLYING UNREALIZED
DESCRIPTION DATE CONTRACTS FACE VALUE GAIN
_______________________________________________________________________________
<S> <C> <C> <C> <C>
U.S. Treasury March 1996 783 $95,110 $2,154
</TABLE>
______________
See Notes To Schedules Of Investments And Finacial Statments
-16-
<PAGE>
NOTES TO PERFORMANCE (UNAUDITED)
Total returns assume changes in share price and reinvestment of dividends
and capital gains. Investment returns and principal value on an investment
will fluctuate and you may have a loss or gain when you sell your shares.
The Standard & Poor's Composite Index of 500 Stocks (S&P 500), and the Lehman
Brothers Aggregate Bond Index, are unmanaged indices and do not reflect the
actual cost of investing in the instruments that comprise each index. The S&P
500 Index is a composite of the prices of 500 widely held U.S. stocks
recognized by investors to be representative of the stock market in general.
The Lehman Brothers Aggregate Bond Index is a composite index of short,
medium, and long-term bond performance and is widely recognized as a
barometer of the bond market in general. The results shown for these indices
assume reinvestment of net dividends or interest.
The peer universe of funds used in our peer ranking calculation is based on
the blend of Lipper peer categories, as shown. This blend is the same as the
category blend used by the Wall Street Journal. The actual number of funds
and numerical rankings in these universes could differ since the Wall Street
Journal excludes certain funds which do not meet their net asset or
shareholder publication thresholds. Lipper is an independent mutual fund
rating service located in Summit, Jersey.
The Funds' portfolios are actively managed and their composition will vary
over time. Nationally recognized ranking services may compare a Fund's
performance to, or rank it within, a universe of mutual funds with investment
objectives and policies similar, but not necessarily identical to, the Funds.
Such comparisons or rankings are made on the basis of several factors,
including: objectives and policies, management style and strategy, and
portfolio composition. These comparisons may change over time if any of those
factors change.
The specific holdings cited throughout the report are for illustrative
purposes only and may not represent current or future investments of the
Funds. They are not intended to constitute a recommendation to purchase or
sell any particular security. See the GE S&S Program Disclosure Statement for
complete descriptions of investment objectives policies and permissible
investments.
-17-
<PAGE>
NOTES TO SCHEDULES OF INVESTMENTS (DOLLARS IN THOUSANDS)
(a) Non-income producing security.
(b) Pursuant to Rule 144A of Securities Act of 1933, these securities
may be resold in transactions exempt from registration, normally to
qualified institutional buyers. At December 31, 1995, these securities
amounted to $13,574 and $108,671 or 0.6% and 3.5% of net assets for the
S&S Program Mutual Fund and S&S Long Term Interest Fund, respectively.
(c) Settlement is on a delayed delivery or when issued basis with final
maturity to be announced (TBA) in the future.
(d) Coupon amount represents effective yield.
(e) Floating rate coupon. The stated rate represents the rate at
December 31, 1995.
(f) Principal only securities represent the right to receive the
monthly principal payments on an underlying pool of mortgages.
No payments of interest on the pool are passed through to the
principal only holder.
(g) Interest only securities represent the right to receive the monthly
interest payments on an underlying pool of mortgages. Payments of
principal on the pool reduce the value of the interest only holding.
(h) Restricted securities. Securities are not registered under the
Securities Act of 1933, or have contractual or legal restrictions
to resale. Dates of acquisition and costs are shown in parentheses
after the titles of the restricted securities. The Funds do not
intend to register these securities and therefore should not bear
any costs of registration. These restricted securities are fair
valued by officers of the Funds under procedures authorized by
the Trustees. At December 31, 1995, the fair value of these
restricted securities represented $24,766 or 0.8% of net assets
of S&S Long Term Interest Fund.
(i) Adjustable rate mortgage coupon. The stated rate represents the rate
at December 31, 1995.
(j) All or a portion of security out on loan.
ABBREVIATIONS:
ADR - American Depository Receipt
ARM - Adjustable Rate Mortgage
REMIC - Real Estate Mortgage Investment Conduit
-18-
<PAGE>
FINANCIAL HIGHLIGHTS
(SELECTED DATA BASED ON A SHARE OUTSTANDING DURING THE YEAR ENDED DECEMBER 31)
<TABLE>
<CAPTION>
S&S PROGRAM MUTUAL FUND 1995 1994 1993 1992 1991
________________________________________________________________________________________________________
<S> <C> <C> <C> <C> <C>
Net asset value, beginning of year $33.59 $37.01 $37.21 $37.97 $31.87
INCOME (LOSS) FROM INVESTMENT OPERATIONS:
Net investment income 1.00 1.00 1.04 1.09 1.18
Net realized and unrealized
gains (losses) on investments 11.33 (1.65) 3.23 2.00 8.13
________________________________________________________________________________________________________
TOTAL INCOME (LOSS) FROM
INVESTMENT OPERATIONS 12.33 (0.65) 4.27 3.09 9.31
________________________________________________________________________________________________________
LESS DISTRIBUTIONS FROM:
Net investment income 1.00 1.00 1.04 1.09 1.18
Net realized gains 3.73 1.71 3.43 2.76 2.03
Tax basis return of capital 0.00 0.06 0.00 0.00 0.00
________________________________________________________________________________________________________
TOTAL DISTRIBUTIONS 4.73 2.77 4.47 3.85 3.21
________________________________________________________________________________________________________
NET ASSET VALUE, END OF YEAR $41.19 $33.59 $37.01 $37.21 $37.97
________________________________________________________________________________________________________
TOTAL RETURN 36.77% (1.76%) 11.47% 8.14% 29.21%
RATIOS / SUPPLEMENTAL DATA:
Net assets, end of year
(in thousands) $2,314,537 $1,717,813 $1,805,194 $1,570,664 $1,367,091
Ratio of net investment income
to average net assets 2.48% 2.70% 2.67% 2.91% 3.24%
Ratio of expenses to average
net assets 0.12% 0.13% 0.11% 0.11% 0.14%
Portfolio turnover rate 47% 33% 37% 40% 29%
</TABLE>
________________
See Notes to Financial Statements
-19-
<PAGE>
FINANCIAL HIGHLIGHTS
(SELECTED DATA BASED ON A SHARE OUTSTANDING DURING THE YEAR ENDED DECEMBER 31)
<TABLE>
<CAPTION>
S&S Long Term Interest Fund 1995 1994 1993 1992 1991
___________________________________________________________________________________________
<S> <C> <C> <C> <C> <C>
Net asset value, beginning of year $10.52 $11.64 $11.82 $12.03 $11.28
INCOME (LOSS) FROM
INVESTMENT OPERATIONS:
Net investment income 0.80 0.74 0.77 0.89 0.97
Net realized and unrealized
gains (losses) on investments 1.07 (1.03) 0.36 (0.10) 0.75
___________________________________________________________________________________________
TOTAL INCOME (LOSS) FROM
INVESTMENT OPERATIONS 1.87 (0.29) 1.13 0.79 1.72
___________________________________________________________________________________________
LESS DISTRIBUTIONS FROM:
Net investment income 0.80 0.74 0.77 0.89 0.97
Net realized gains 0.00 0.09 0.54 0.11 0.00
___________________________________________________________________________________________
TOTAL DISTRIBUTIONS 0.80 0.83 1.31 1.00 0.97
___________________________________________________________________________________________
NET ASSET VALUE, END OF YEAR $11.59 $10.52 $11.64 $11.82 $12.03
___________________________________________________________________________________________
TOTAL RETURN 18.34% (2.50%) 9.80% 6.92% 16.03%
RATIOS / SUPPLEMENTAL DATA:
Net assets, end of year
(in thousands) $3,096,022 $2,806,433 $3,238,094 $3,053,167 $2,523,428
Ratio of net investment income
to average net asset 7.18% 6.66% 6.36% 7.55% 8.60%
Ratio of expenses to
average net assets 0.11% 0.11% 0.07% 0.07% 0.06%
Portfolio turnover rate 314% 219% 154% 45% 65%
</TABLE>
____________________
See Notes To Financial Statements
-20-
<PAGE>
STATEMENTS OF ASSETS AND LIABILITIES
DECEMBER 31, 1995 (AMOUNTS IN THOUSANDS)
<TABLE>
<CAPTION>
S&S PROGRAM
MUTUAL FUND
<S> <C>
ASSETS
Investments in securities, at market
(Cost $1,762,892 and $3,606,695, respectively) $2,269,927
Short term investments (at amortized cost) 38,903
Cash 51
Foreign currency (Cost $35 and
$2, respectively) 35
Receivable for investments sold 2,218
Dividends receivable 4,508
Interest receivable 106
Tax reclaim receivable 88
Variation margin receivable 0
___________________________________________________________________
TOTAL ASSETS 2,315,836
___________________________________________________________________
LIABILITIES
Distributions payable to shareholders 0
Payable upon return of securities loaned 0
Payable for investments purchased 92
Payable for fund shares repurchased 202
Payable to GEIC 1,005
___________________________________________________________________
TOTAL LIABILITIES 1,299
___________________________________________________________________
NET ASSETS $2,314,537
___________________________________________________________________
NET ASSETS CONSIST OF:
Capital paid in 1,815,716
Undistributed net investment income 67
Accumulated net realized loss (8,281)
Net unrealized appreciation on:
Investments 507,035
Futures 0
Foreign currency transactions 0
___________________________________________________________________
NET ASSETS $2,314,537
___________________________________________________________________
Shares outstanding ($25.00 and $10.00 par value,
respectively) 56,190
Net asset value, offering and redemption
price per share $41.19
</TABLE>
<TABLE>
<CAPTION>
S&S LONG TERM
INTEREST FUND
<S> <C>
ASSETS
Investments in securities, at market
(Cost $1,762,892 and $3,606,695, respectively) $3,701,821
Short term investments (at amortized cost) 247,468
Cash 905
Foreign currency (Cost $35 and
$2, respectively) 2
Receivable for investments sold 0
Dividends receivable 0
Interest receivable 42,101
Tax reclaim receivable 292
Variation margin receivable 269
___________________________________________________________________
TOTAL ASSETS 3,992,858
___________________________________________________________________
LIABILITIES
Distributions payable to shareholders 626
Payable upon return of securities loaned 665,696
Payable for investments purchased 225,492
Payable for fund shares repurchased 3,698
Payable to GEIC 1,324
___________________________________________________________________
TOTAL LIABILITIES 896,836
___________________________________________________________________
NET ASSETS $3,096,022
___________________________________________________________________
NET ASSETS CONSIST OF:
Capital paid in 3,029,136
Undistributed net investment income 61
Accumulated net realized loss (30,464)
Net unrealized appreciation on:
Investments 95,126
Futures 2,154
Foreign currency transactions 9
___________________________________________________________________
NET ASSETS $3,096,022
___________________________________________________________________
Shares outstanding ($25 00 and $10 00 par value,
respectively) 267,039
Net asset value, offering and redemption
price per share $11.59
</TABLE>
__________________
See Notes to Financial Statements
-21-
<PAGE>
STATEMENTS OF
OPERATIONS DECEMBER 31, 1995 (AMOUNTS IN THOUSANDS)
<TABLE>
<CAPTION>
S&S PROGRAM
MUTUAL FUND
<S> <C>
INVESTMENT INCOME
INCOME:
Dividends $47,809
Interest 5,879
Less: Foreign taxes withheld (362)
______________________________________________________________
TOTAL INCOME 53,326
______________________________________________________________
EXPENSES:
Administrative expenses 1,152
Shareholder servicing agent expenses 510
Transfer agent expenses 392
Custody and accounting 297
Professional fees 65
Registration, filing, printing and
miscellaneous expenses 1
______________________________________________________________
TOTAL EXPENSES 2,471
______________________________________________________________
NET INVESTMENT INCOME 50,909
______________________________________________________________
NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS
REALIZED GAIN (LOSS) ON:
Investments 188,328
Futures 0
Written options 0
Foreign currency transactions 18
INCREASE (DECREASE) IN UNREALIZED APPRECIATION/
DEPRECIATION ON:
Investments 387,558
Futures 0
Foreign currency transactions (28)
______________________________________________________________
Net realized and unrealized gain (loss)
on investments 575,876
______________________________________________________________
NET INCREASE IN NET ASSETS
RESULTING FROM OPERATIONS $ 626,785
______________________________________________________________
</TABLE>
<TABLE>
<CAPTION>
S&S LONG TERM
INTEREST FUND
<S> <C>
INVESTMENT INCOME
INCOME:
Dividends $ 0
Interest 217,579
Less: Foreign taxes withheld 0
______________________________________________________________
TOTAL INCOME 217,579
______________________________________________________________
EXPENSES:
Administrative expenses 1,346
Shareholder servicing agent expenses 535
Transfer agent expenses 806
Custody and accounting 498
Professional fees 76
Registration, filing, printing and
miscellaneous expenses 21
______________________________________________________________
TOTAL EXPENSES 3,282
______________________________________________________________
NET INVESTMENT INCOME 214,297
______________________________________________________________
NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS
REALIZED GAIN (LOSS) ON:
Investments 75,866
Futures 19,173
Written options 255
Foreign currency transactions (1,617)
INCREASE (DECREASE) IN UNREALIZED APPRECIATION/
DEPRECIATION ON:
Investments 191,174
Futures 2,154
Foreign currency transactions (136)
______________________________________________________________
Net realized and unrealized gain (loss)
on investments 286,869
______________________________________________________________
NET INCREASE IN NET ASSETS
RESULTING FROM OPERATIONS $ 501,166
______________________________________________________________
</TABLE>
_________________
See Notes to Financial Statements
-22-
<PAGE>
STATEMENTS OF CHANGES IN NET ASSETS
FOR THE YEARS ENDED DECEMBER 31, 1995 AND 1994 (AMOUNTS IN THOUSANDS)
<TABLE>
<CAPTION>
S&S PROGRAM
MUTUAL FUND
1995 1994
______________________________________________________________________
<S> <C> <C>
INCREASE IN NET ASSETS
OPERATIONS:
Net investment income $50,909 $47,291
Net realized gain (loss) on investments,
futures, written options and foreign
currency transactions 188,346 80,642
Net increase (decrease) in unrealized
appreciation/depreciation 387,530 (159,779)
______________________________________________________________________
Net increase (decrease)
from operations 626,785 (31,846)
______________________________________________________________________
DISTRIBUTIONS TO UNITHOLDERS FROM:
Net investment income (50,794) (47,424)
Net realized gains (189,197) (81,231)
Tax basis return of capital 0 (2,712)
______________________________________________________________________
TOTAL DISTRIBUTIONS (239,991) (131,367)
______________________________________________________________________
Increase (decrease) in net assets from
operations and distributions 386,794 (163,213)
______________________________________________________________________
SHARE TRANSACTIONS:
Proceeds from sale of shares 139,552 11,599
Value of distributions reinvested 221,934 121,318
Cost of shares redeemed (151,556) (57,085)
______________________________________________________________________
Net increase (decrease) from
share transactions 209,930 75,832
______________________________________________________________________
TOTAL INCREASE (DECREASE) IN NET ASSETS 596,724 (87,381)
NET ASSETS
Beginning of year 1,717,813 1,805,194
______________________________________________________________________
End of year $2,314,537 $1,717,813
______________________________________________________________________
UNDISTRIBUTED (OVERDISTRIBUTED) NET INVESTMENT
INCOME, END OF YEAR $67 $40
______________________________________________________________________
CHANGES IN FUND SHARES
______________________________________________________________________
Shares sold 3,396 323
Issued for distributions reinvested 5,404 3,609
Shares redeemed (3,745) (1,578)
______________________________________________________________________
NET INCREASE (DECREASE) IN FUND SHARES 5,055 2,354
</TABLE>
<TABLE>
<CAPTION>
S&S LONG TERM
INTEREST FUND
1995 1994
___________________________________________________________________
<S> <C> <C>
INCREASE IN NET ASSETS
OPERATIONS:
Net investment income $214,297 $195,503
Net realized gain (loss) on investments,
futures, written options and foreign
currency transactions 93,677 (123,753)
Net increase (decrease) in unrealized
appreciation/depreciation 193,192 (149,666)
___________________________________________________________________
Net increase (decrease)
from operations 501,166 (77,916)
___________________________________________________________________
DISTRIBUTIONS TO UNITHOLDERS FROM:
Net investment income (214,631) (195,502)
Net realized gains 0 (24,774)
Tax basis return of capital 0 0
___________________________________________________________________
TOTAL DISTRIBUTIONS (214,631) (220,276)
___________________________________________________________________
Increase (decrease) in net assets from
operations and distributions 286,535 (298,192)
___________________________________________________________________
SHARE TRANSACTIONS:
Proceeds from sale of shares 173,063 53,081
Value of distributions reinvested 206,902 213,085
Cost of shares redeemed (376,911) (399,635)
___________________________________________________________________
Net increase (decrease) from
share transactions 3,054 (133,469)
___________________________________________________________________
TOTAL INCREASE (DECREASE) IN NET ASSETS 289,589 (431,661)
NET ASSETS
Beginning of year 2,806,433 3,238,094
___________________________________________________________________
End of year $3,096,022 $2,806,433
___________________________________________________________________
UNDISTRIBUTED (OVERDISTRIBUTED) NET INVESTMENT
INCOME, END OF YEAR $61 $(827)
___________________________________________________________________
CHANGES IN FUND SHARES
___________________________________________________________________
Shares sold 15,429 5,027
Issued for distributions reinvested 18,554 19,518
Shares redeemed (33,615) (36,173)
___________________________________________________________________
NET INCREASE (DECREASE) IN FUND SHARES 368 (11,628)
___________________________________________________________________
</TABLE>
______________
See Notes to Financial Statements
-23-
<PAGE>
NOTES TO FINANCIAL STATEMENTS (DECEMBER 31, 1995)
1. ORGANIZATION OF THE FUNDS
The S&S Program Mutual Fund and S&S Long Term Interest Fund
(the "Funds") are registered under the Investment Company Act of 1940
(as amended) ("the 1940 Act") as diversified, open-end management investment
companies and are authorized to issue an unlimited number of shares. The
Funds are two of the investment options offered under the GE Savings &
Security Program ("Program"). The Program, through a trust, owns 53% of the
S&S Program Mutual Fund and 72% of the S&S Long Term Interest Fund. The Funds
operate as Employees' Securities Companies (as defined in the 1940 Act) and
as such are exempt from certain provisions of the 1940 Act.
2. SUMMARY OF SIGNIFICANT
ACCOUNTING POLICIES
The following summarizes the significant accounting policies of the Funds:
SECURITY VALUATION AND TRANSACTIONS
Securities for which exchange quotations are readily available are valued at
the last sale price, or if no sales occurred on that day, at the quoted bid
price. Certain fixed income securities are valued by a dealer or by a
pricing service based upon a computerized matrix system, which considers
market transactions and dealer supplied valuations.
Futures contracts are valued at the settlement price established each day by
the board of trade or exchange on which they are principally traded. Options
traded on an exchange are valued using the last sale price or, in the absence
of a sale, the last offering price. Options traded over-the-counter are
valued using dealer-supplied valuations. Forward foreign currency contracts
are valued at the mean between the bid and the offered forward rates as last
quoted by a recognized dealer.
Short Term investments maturing within 60 days are valued at amortized cost
or original cost plus accrued interest, each of which approximates market
value.
Portfolio positions which cannot be valued as set forth above are valued at
fair value determined under procedures approved by the Trustees.
Transactions are accounted for as of the trade date. Cost is determined and
gains and losses are based upon the specific identification method for both
financial statement and federal tax purposes.
The Funds may purchase or sell securities on a when-issued or forward
commitment basis. Payment and delivery may take place a month or more after
the date of the transaction. The price of the underlying securities and the
date when the securities will be delivered and paid for are fixed at the time
the transaction is negotiated. This may increase the risk if the other party
involved in the transaction fails to deliver and causes a Fund to
subsequently invest at less advantageous yields. In connection with such
purchases the Funds are required to hold collateral (cash, U.S. Government
securities or other liquid, high grade debt obligations) with the Funds'
custodian sufficient to cover the purchase price, unless they enter into an
offsetting contract for the sale of equal securities and value.
FOREIGN CURRENCY
Accounting records of the Funds are maintained in U.S. dollars. Investment
securities and other assets and liabilities and purchases and sales of
investment securities are denominated in foreign currency and translated to
U.S. dollars at the prevailing exchange rate on the respective dates of such
transactions.
The Funds do not isolate that portion of the results of operations resulting
from changes in foreign exchange rates on investments from the fluctuations
arising from changes in market prices of securities held. Such fluctuations
are included with the net realized and unrealized gain or loss from
investments. Reported net realized exchange gains or losses from foreign
currency transactions represent sale of foreign currencies, currency gains or
losses between the trade date and the settlement date on securities
transactions, realized gains and losses on forward foreign currency
contracts, and the difference between the amounts of dividends, interest, and
foreign withholding taxes recorded on the Fund's books, and the U.S. dollar
equivalent of the amounts actually received or paid. Net unrealized foreign
exchange gains and losses arise from
-24-
<PAGE>
NOTES TO FINANCIAL STATEMENTS
changes in the value of assets and liabilities other than investments in
securities at fiscal year end, as a result of changes in the exchange rate.
INCOME TAXES
It is each Fund's policy to comply with all sections of the Internal Revenue
Code applicable to regulated investment companies and to distribute all of
its taxable income and gains to its shareholders and therefore no provision
for federal income tax has been made. Each Fund is treated as a separate
taxpayer for federal income tax purposes.
Capital loss carryovers are available to offset future realized capital
gains. To the extent that these carryover losses are used to offset future
capital gains, it is probable that the gains so offset will not be
distributed to shareholders because they would be taxable as ordinary income.
At December 31, 1995, the S&S Long Term Interest Fund had a capital loss
carryover of $28,222,638. The carryforward expires on December 31, 2002.
INVESTMENT INCOME
Corporate actions (including cash dividends) are recorded net of
nonreclaimable tax withholdings on the ex-dividend date, except for certain
foreign securities for which corporate actions are recorded as soon as such
information is available. Interest income is recorded on the accrual basis.
All discounts and premiums on taxable bonds are amortized to call or maturity
date, whichever is shorter using the effective yield method.
EXPENSES
Expenses of the Funds which are directly identifiable to a specific Fund are
allocated to that Fund. Expenses which are not readily identifiable to a
specific Fund are allocated in such a manner as deemed equitable, taking into
consideration the nature and type of expense and the relative sizes of the
Funds. All expenses of the Funds are paid by the Investment Advisor and
reimbursed by the Funds.
The preparation of financial statements in conformity with generally accepted
accounting principles requires management to make estimates and assumptions
that affect the reported amounts of assets and liabilities at the date of the
financial statements and the reported amounts of revenues and expenses
during the reporting period. Actual results could differ from those estimates.
DISTRIBUTIONS TO SHAREHOLDERS
The S&S Long Term Interest Fund declares investment income dividends daily
(paid monthly). The S&S Program Mutual Fund declares and pays dividends of
net investment income annually. Both Funds declare and pay net realized
capital gain distributions annually. The character of income and gains to be
distributed are determined in accordance with income tax regulations which
may differ from generally accepted accounting principles. Reclassifications
are made to the Portfolios' capital accounts to reflect income and gains
available for distribution (or available capital loss carryovers) under
income tax regulations. The calculation of net investment income per share
in the Financial Highlights table excludes these adjustments.
FORWARD FOREIGN CURRENCY CONTRACTS
A forward foreign currency contract ("Forward") is an agreement between two
parties to buy and sell a currency at a set price on a future date. The
market value of the Forward fluctuates with changes in currency exchange
rates. The Forward is marked-to-market daily and the change in the market
value is recorded by the Fund as an unrealized gain or loss. When the
Forward is closed, the Fund records a realized gain or loss equal to the
difference between the value at the time it was opened and the value at the
time it was closed. The Fund could be exposed to risk if a counterparty is
unable to meet the terms of the contract or if the value of the currency
changes unfavorably. The Fund may enter into Forwards in connection with
planned purchases and sales of securities, to hedge specific receivables or
payables against changes in future exchange rates or to hedge the U.S. dollar
value of portfolio securities denominated in a foreign currency.
REPURCHASE AGREEMENTS
The Funds' custodian takes possession of the collateral pledged for
investments in repurchase agreements on behalf of the Funds. It is the
policy of the Funds to value the underlying collateral daily on a
mark-to-market basis to determine that
-25-
<PAGE>
NOTES TO FINANCIAL STATEMENTS
the value, including accrued interest, is at least equal to the repurchase
price. In the event of default of the obligation to repurchase, the Funds
have the right to liquidate the collateral and apply the proceeds in
satisfaction of the obligation.
FUTURES AND OPTIONS
The Funds may invest in futures contracts and may purchase and write options.
These investments involve, to varying degrees, elements of market risk and
risks in excess of the amount recognized in the Statement of Assets and
Liabilities. The face or contract amounts reflect the extent of the
involvement the Funds have in the particular classes of instruments. Risks
may be caused by an imperfect correlation between movements in the price of
the instruments and the price of the underlying securities and interest
rates. Risks also may arise if there is an illiquid secondary market for the
instruments, or due to the inability of counterparties to perform. The Funds
will invest in these instruments to hedge against the effects of changes in
value of portfolio securities due to anticipated changes in interest rates
and/or market conditions, to equitize a cash position, for duration
management, or when the transactions are economically appropriate to the
reduction of risk inherent in the management of the Fund involved.
Upon entering into a futures contract, the Fund is required to deposit either
cash or securities in an amount (initial margin) equal to a certain
percentage of the contract value. Subsequent payments (variation margin) are
made or received by the Fund each day. The variation margin payments are
equal to the daily changes in the contract value and are recorded as
unrealized gains and losses. The Fund recognizes a realized gain or loss
when the futures contract is closed. The Fund will realize a gain or loss
upon the expiration or closing of the option transaction. When an option is
exercised, the proceeds on sales for a written call option, the purchase cost
for a written put option, or the proceeds on the sale of the security for a
purchased put or cost of the security for a call option is adjusted by the
amount of premium received or paid.
SECURITY LENDING
The Funds may loan securities to well known and recognized U.S. and foreign
brokers and banks and receive a lenders fee. These fees are included in
interest income. The loans of securities will be collateralized by cash,
letters of credit or U.S. Government Securities. The collateral will be
segregated and maintained at all times with the custodian and must be equal
to the current value of the securities loaned. In the event the counterparty
(borrower) does not meet its contracted obligation to return the securities,
the Fund may be exposed to the risk of loss of reacquiring the loaned
securities at prevailing market prices.
OTHER
There are certain additional risks involved when investing in foreign
securities that are not inherent in domestic securities. These risks may
involve foreign currency exchange rate fluctuations, adverse political and
economic developments and the imposition of unfavorable foreign governmental
laws and restrictions.
3. COMPENSATION PAID TO AFFILIATES
ADVISORY AND ADMINISTRATION COSTS
During 1995 the Funds incurred expenses for the cost of services directed by
General Electric Company's wholly owned subsidiary, General Electric
Investment Corporation ("GEIC"), as Investment Advisor and for services GEIC
rendered as shareholder servicing agent. These expenses are included as
administrative expenses and shareholder servicing agent fees in the Statement
of Operations. The Trustees received no compensation as trustees for the
Funds.
-26-
<PAGE>
NOTES TO FINANCIAL STATEMENTS
4. AGGREGATE UNREALIZED APPRECIATION AND
DEPRECIATION
(DOLLARS IN THOUSANDS)
Aggregate gross unrealized appreciation/depreciation of investments for each
Fund at December 31, 1995, were as follows:
<TABLE>
<CAPTION>
GROSS GROSS NET
UNREALIZED UNREALIZED UNREALIZED
APPRECIATION DEPRECIATION APPRECIATION
_________________________________________________________________
<S> <C> <C> <C>
S&S Program
Mutual Fund $526,808 $19,773 $507,035
S&S Long Term
Interest Fund 102,553 7,427 95,126
</TABLE>
The aggregate cost of each Fund's investments was substantially
the same for book and federal income tax purposes at
December 31, 1995.
5.OPTIONS
(DOLLARS IN THOUSANDS)
During the year ended December 31, 1995 the following option
contracts were written:
<TABLE>
<CAPTION
S&S LONG TERM INTEREST FUND
__________________________________________________________
NUMBER
OF CONTRACTS PREMIUM
__________________________________________________________
<S> <C> <C>
Balance as of
December 31, 1994 0 $0
Written 171,975 828
Closed and Expired (119,875) (600)
Exercised (52,100) (228)
_______ ______
Balance as of
December 31, 1995 0 $0
_______ ______
_______ ______
</TABLE>
6. INVESTMENT TRANSACTIONS
(DOLLARS IN THOUSANDS)
The cost of purchases and the proceeds from sales of
investments, other than U.S. Government obligations,
short-term investments and options, for the year ended
December 31, 1995, were:
<TABLE>
<CAPTION>
PURCHASES SALES
_______________________________________________________
<S> <C> <C>
S&S Program
Mutual Fund $945,318 $904,776
S&S Long Term
Interest Fund 4,017,788 4,252,460
</TABLE>
The cost of purchases and the proceeds from sales of
long-term U.S. Government obligations for the year ended
December 31, 1995, were:
<TABLE>
<CAPTION>
PURCHASES SALES
_______________________________________________________
<S> <C> <C>
S&S Program
Mutual Fund $5,623 $28,016
S&S Long Term
Interest Fund 6,979,709 6,713,406
</TABLE>
7. SECURITY LENDING
At December 31, 1995, the S&S Long Term Interest Fund loaned securities
having a value, including accrued interest, of approximately $659,616,027 and
received $672,646,783 in cash and letters of credit as collateral for the
loans. Cash collateral received is invested in high grade liquid debt
obligations and short term investments at December 31, 1995.
-27-
<PAGE>
INDEPENDENT AUDITORS' REPORT
[GRAPHIC]
Logo for KPMG Peat Marwick LLP
TO THE BOARD OF TRUSTEES AND SHAREHOLDERS
OF THE GE S&S MUTUAL FUNDS:
We have audited the accompanying statements of assets and liabilities of the
GE S&S Program Mutual Fund and GE S&S Long Term Interest Fund, including the
schedules of investments, as of December 31, 1995, and the related statements
of operations for the year then ended, the statements of changes in net
assets for each of the years in the two-year period then ended, and the
financial highlights for each of the years in the five-year period then
ended. These financial statements and financial highlights are the
responsibility of the Funds' management. Our responsibility is to express an
opinion on these financial statements and financial highlights based on our
audits.
We conducted our audits in accordance with generally accepted auditing
standards. Those standards require that we plan and perform the audit to
obtain reasonable assurance about whether the financial statements and
financial highlights are free of material misstatement. An audit includes
examining, on a test basis, evidence supporting the amounts and disclosures
in the financial statements. Our procedures included confirmation of
securities owned as of December 31, 1995, by correspondence with the custodian
and brokers. An audit also includes assessing the accounting principles
used and significant estimates made by management, as well as evaluating the
overall financial statement presentation. We believe that our audits provide
a reasonable basis for our opinion.
In our opinion, the financial statements and financial highlights referred to
above present fairly, in all material respects, the financial position of GE
S&S Program Mutual Fund and GE S&S Long Term Interest Fund as of December 31,
1995, the results of their operations for the year then ended, the changes in
their net assets for each of the years in the two-year period then ended, and
their financial highlights for each of the years in the five-year period then
ended, in conformity with generally accepted accounting principles.
/s/ KPMG Peat Marwick LLP
- -------------------------
KPMG Peat Marwick LLP
New York, New York
February 8, 1996
-28-
<PAGE>
GE S&S PROGRAM SUPPLEMENTARY INFORMATION
INTRODUCTION
The following information is provided for participants in the GE Savings
& Security Program and supplements the description of the Program as
it appears in the GE Employee Benefits Summary Plan Description booklet,
as amended (GE Benefits Handbook).
The Schedules of Investments for the S&S Short Term Interest Fund and
S&S Money Market Fund have been included as an additional feature.
Following the Schedules of Investments are two tables designed to
illustrate the relative market value of investments offered under the
Program. Performance data information is based upon historical earnings
and is not intended to indicate future performance. The notes are an
integral part of these tables.
The Supplemental Information and Schedules of Investments have not been
audited.
-29-
<PAGE>
SCHEDULE OF INVESTMENTS
(DOLLARS IN THOUSANDS) -- DECEMBER 31, 1995
(UNAUDITED)
_____________________________________________________________________________
S&S SHORT TERM INTEREST FUND
_____________________________________________________________
<TABLE>
<CAPTION>
Principal
Amount Value
_____________________________________________________________
<S> <C> <C>
BONDS AND NOTES-119.3%
_____________________________________________________________
U.S. TREASURIES-34.0%
U.S. Treasury Notes
5.125% 02/28/98 $82,000 $ 81,859 (j)
5.50% 11/15/98 9,100 9,167
5.875% 07/31/97 9,305 9,398 (j)
6.375% 01/15/99 49,100 50,627 (j)
7.00% 04/15/99 44,000 46,227
7.375% 11/15/97 92,660 96,163 (j)
TOTAL U.S. TREASURIES
(COST $291,619) 293,441
ASSET BACKED--28.2%
Advanta Credit Card Master Trust Corp.
6.098% 09/01/00 7,274 7,276 (e)
6.218% 10/01/01 4,080 4,090 (e)
Advanta Mortgage Loan Trust Corp.
6.125% 10/25/26 2,547 2,546 (e)
6.30% 07/25/25 5,561 5,472
6.31% 04/25/26 8,087 8,109 (e)
Caterpillar Financial Asset Trust
6.10% 06/25/00 914 918
CIT RV Grantor Trust
4.90% 07/15/09 5,725 5,633
Discover Card Master Trust
6.128% 04/16/02 4,000 4,002 (e)
6.288% 10/16/04 3,600 3,616 (e)
6.70% 02/16/00 9,100 9,268
EQCC Home Equity Loan Trust
5.80% 03/15/09 9,756 9,556
First Deposit Master Trust
4.90% 06/15/00 7,500 7,490
6.05% 08/15/02 10,500 10,638
First USA Credit Card Master Trust
6.108% 04/15/03 1,150 1,149 (e)
6.158% 12/15/99 2,000 2,002 (e)
6.238% 02/15/00 8,000 8,020 (e)
6.288% 10/15/03 1,300 1,306 (e)
6.308% 08/15/03 2,600 2,614 (e)
S&S Short Term Interest Fund
Fleetwood Credit Grantor Trust
6.00% 01/15/08 6,712 6,710
6.55% 05/16/11 3,678 3,735
HFC Home Equity Loan
4.65% 12/20/08 4,867 4,794
ITT Floorplan Receivables
6.138% 02/15/01 1,800 1,801 (e)
MBNA Master Credit Card Trust
5.86% 03/15/00 5,800 5,807 (e)
6.108% 01/16/02 10,000 10,000 (e)
Merrill Lynch Credit Corp.
6.338% 10/15/20 2,539 2,539 (e)
Morgan Stanley Capital Inc.
6.388% 10/15/04 2,290 2,311 (e)
Option One
6.306% 11/20/26 5,668 5,668 (e)
Peoples Bank Credit Card Master Trust
6.088% 03/15/01 4,000 4,001 (e)
Premier Auto Trust
5.95% 12/06/98 14,000 14,075
6.45% 05/02/98 4,890 4,934
7.15% 02/04/99 17,140 17,536
Society Student Loan Trust
6.20% 07/25/03 16,766 16,766 (e)
Southern Pacific Secured Assets Corp.
6.125% 10/25/25 2,016 2,015 (e)
Standard Credit Card Master Trust
4.65% 03/07/99 12,400 12,292
5.82% 05/08/00 12,000 12,004 (e)
Structured Asset Securities Corp.
6.87% 08/25/26 5,818 5,900
The Money Store Home Equity Trust
5.675% 02/15/09 11,346 10,977
TLFC IV Equipment Lease Trust
6.40% 09/15/01 4,831 4,863
Wachovia Credit Card Master Trust
6.108% 03/15/03 600 600 (e)
TOTAL ASSET BACKED
(COST $242,808) 243,033
______________
See Notes To Schedules Of Investments And Finacial Statments
-30-
<PAGE>
SCHEDULE OF INVESTMENTS
(DOLLARS IN THOUSANDS) -- DECEMBER 31, 1995
(UNAUDITED)
_____________________________________________________________________________
<CAPTION>
Principal
Amount Value
_____________________________________________________________
<S> <C> <C>
CORPORATE NOTES-33.9%
A T & T Capital Corp.
7.59% 01/31/97 $10,000 $10,212
Advanta Corp.
5.125% 11/15/96 10,000 9,943
6.02% 11/13/97 11,900 11,942
AMR Corp.
7.75% 12/01/97 5,000 5,135
Arkla Inc.
8.74% 05/14/98 4,750 4,979
8.875% 07/15/99 4,150 4,451
9.875% 04/15/97 3,000 3,143
Ashland Oil Co
10.125% 04/15/96 5,000 5,056
Capital One Bank
6.48% 08/15/97 16,805 16,967
Chase Manhattan Corp.
7.50% 12/01/97 8,000 8,272
Dean Witter Discover & Co.
5.93% 09/29/97 4,000 4,000 (e)
Digital Equipment Corp.
7.00% 11/15/97 2,000 2,029
Electronic Data Systems Corp.
6.85% 05/15/00 3,000 3,112 (b)
First USA Bank
5.93% 11/13/96 2,550 2,549 (e)
6.125% 10/30/97 12,250 12,312
Ford Motor Credit Medium Term Note
5.98% 04/19/99 22,000 22,022 (e)
General Motors Acceptance Corp.
5.93% 11/15/96 10,700 10,716 (e)
6.70% 04/18/97 7,500 7,606
6.75% 07/10/97 9,200 9,358
8.35% 09/05/96 12,375 12,593
Great Atlantic & Pacific Tea Inc.
9.125% 01/15/98 9,750 10,279
Great Northern Nekoosa Corp.
9.125% 02/01/98 4,300 4,571
Henderson Land Finance
6.00% 12/08/98 8,000 7,780
Istituto Banca San Paolo
6.275% 08/25/00 3,700 3,691 (e)
Lehman Brothers Holdings Inc.
6.875% 06/08/98 2,000 2,037
Magma Copper Co.
12.00% 12/15/01 2,850 3,174
McDonnell Douglas Finance Corp.
6.135% 05/28/96 1,000 1,001 (e)
Merrill Lynch & Co. Inc.
5.00% 12/15/96 5,000 4,975
Mexico United Mexican States
11.188% 07/21/97 . 8,000 8,140 (b)
Morgan Stanley Group Inc.
7.32% 01/15/97 3,750 3,812
New American Capital Inc.
7.688% 04/12/00 1,500 1,502 (b,e)
News America Holdings Inc.
12.00% 12/15/01 13,500 15,025
Pennzoil Co.
10.625% 06/01/01 6,700 7,585
Petroleos Mexicanos
6.813% 03/08/99 2,300 2,047 (b)
Public Service Co.
8.875% 05/15/96 8,000 8,087
Royal Caribbean
11.375% 05/15/02 1,825 2,003
Salomon Inc.
6.70% 12/01/98 5,925 5,953
Southern California Edison Co.
6.125% 07/15/97 5,000 5,040
Tele-Communications Inc.
7.13% 02/02/98 7,300 7,463
9.875% 04/01/98 5,000 5,405
Time Warner Inc.
7.45% 02/01/98 6,000 6,167
Unisys Corp.
9.75% 09/15/96 6,600 6,402
United Co. Financial Corp.
7.00% 07/15/98 3,450 3,520
TOTAL CORPORATE NOTES
(COST $289,868) 292,056
MORTGAGE-BACKED--23.2%
Federal Home Loan Mortgage Corp.
6.00% 12/01/08 3,088 3,067
7.50% 11/01/08 4,374 4,493
8.00% 03/01/02
- 08/01/03 74,202 76,574
84,134
__________________
See Notes to Schedules of Investments
-31-
<PAGE>
S&S SHORT TERM INTEREST FUND
(DOLLARS IN THOUSANDS) -- DECEMBER 31, 1995
(UNAUDITED)
_____________________________________________________________________________
</TABLE>
<TABLE>
<CAPTION>
Principal
Amount Value
_____________________________________________________________
<S> <C> <C>
Federal National Mortgage Assoc.
6.00% 05/01/01 $1,207 $1,203
7.746% 07/01/22 3,301 3,356 (i)
8.00% 09/01/01
- 07/01/02 43,766 44,969
8.195% 12/01/27 3,747 3,892 (i)
8.476% 12/01/17 1,261 1,304 (i)
8.885% 10/01/21 2,578 2,711 (i)
57,435
Government National Mortgage Assoc.
7.50% 03/20/25 24,167 24,613 (i)
Collateralized Mortgage Obligations
FDIC REMIC Trust
6.15% 01/25/25 20,452 20,426 (e)
Federal Home Loan Mortgage Corp.
5.904% 07/15/19 1,969 1,884 (d,f)
Federal Home Loan Mortgage Corp. REMIC
543.498% 09/15/05 31 403 (g)
1002.00% 07/15/06 65 1,271 (g)
Federal National Mortgage Assoc. REMIC
6.085% 11/25/06 8,944 7,937 (d,f)
Salomon Brothers Mortgage Securities Inc.
8.125% 11/01/12 1,511 1,572
33,493
TOTAL MORTGAGE-BACKED
(COST $198,897) 199,675
TOTAL INVESTMENTS IN SECURITIES
(COST $1,023,192) 1,028,205
SHORT TERM INVESTMENTS--0.9%
_____________________________________________________________
CERTIFICATES OF DEPOSITS AND TIME DEPOSITS-0.9%
Bank of Montreal NY
6.25% 01/02/96 3,420 3,420
San Paolo
6.40% 01/02/96 2,180 2,180
State Street Cayman Islands
5.875% 01/02/96 2,000 2,000
TOTAL SHORT TERM INVESTMENTS
(COST $7,600) 7,600
OTHER ASSETS AND LIABILITIES
NET (20.2%) ($174,208)
___________
NET ASSETS--100% $861,597
___________
___________
</TABLE>
__________________
See Notes to Schedules of Investments
-32-
<PAGE>
SCHEDULE OF INVESTMENTS
(DOLLARS IN THOUSANDS) -- DECEMBER 31, 1995
(UNAUDITED)
_____________________________________________________________________________
S&S MONEY MARKET FUND
<TABLE>
<CAPTION>
Principal
Amount Value
_____________________________________________________________
<S> <C> <C>
SHORT TERM INVESTMENTS-100.8%
_____________________________________________________________
U.S. GOVERNMENTS (d)-38.9%
Federal Home Loan Bank
5.34% 05/15/96
- 05/21/96 $27,410 $ 26,846
5.35% 05/14/96 21,810 21,376
5.38% 04/15/96 28,400 27,954
5.40% 03/15/96 48,670 48,130
5.43% 02/20/96 10,000 9,924
5.57% 02/02/96 20,000 19,901
154,131
Federal Home Loan Mortgage Corp.
5.46% 03/19/96 19,100 18,874
5.75% 01/02/96 3,800 3,800
22,674
Federal National Mortgage Assoc.
5.27% 06/12/96 10,000 9,761
5.50% 02/20/96 15,290 15,173
5.55% 02/28/96 11,400 11,298
5.58% 01/04/96
- 01/25/96 41,130 41,030
77,262
TOTAL U.S. GOVERNMENTS
(COST $254,067) 254,067
COMMERCIAL PAPER--26.7%
Abbey National PLC
5.63% 02/23/96 30,000 29,751
Dresdner Bank AG
5.66% 02/16/96 30,000 29,783
First Union Corp.
5.55% 03/28/96 30,350 29,943
Kredietbank
5.70% 01/05/96 27,390 27,373
Merrill Lynch & Co. Inc.
5.72% 01/03/96 29,390 29,381
National Australia Funding
5.70% 01/12/96 28,380 28,330
TOTAL COMMERCIAL PAPER
(COST $174,561) 174,561
CERTIFICATES OF DEPOSIT-35.1%
Algemene Bank Nederland N.V.
5.65% 03/27/96 29,350 $29,350
Bank of Montreal NY
5.80% 01/25/96 28,600 28,600
Bank of Nova Scotia
5.78% 01/22/96 23,100 23,100
Bayerische Hypotheken Bank
5.80% 01/08/96 30,000 30,000
Deutsche Bank AG
5.75% 01/08/96 29,390 29,390
Royal Bank of Canada
5.69% 01/02/96 30,940 30,940
Societe Generale
5.66% 03/07/96 30,000 30,000
West Deutsche Landesbank
5.67% 01/04/96 27,600 27,600
TOTAL CERTIFICATES OF DEPOSIT
(COST $228,980) 228,980
TIME DEPOSITS--0.1%
State Street Cayman Islands
5.875% 01/02/96
(Cost $650) 650 650
TOTAL SHORT TERM INVESTMENTS
(COST $658,258) 658,258
OTHER ASSETS AND LIABILITIES,
NET (0.8%)% (5,508)
NET ASSETS--100% $652,750
</TABLE>
__________________
See Notes to Schedules of Investments
-33-
<PAGE>
GE S&S PROGRAM SUPPLEMENTAL INFORMATION
(UNAUDITED)
INVESTMENT AT $100 PER MONTH
The first table illustrates the cumulative value at each year end of an
assumed investment in the amount of $100 per month. The table covers an
investment beginning January 1, 1993, in U.S. Savings Bonds ("Bonds"),
GE Common Stock ("Stock"), S&S Program Mutual Fund ("Mutual Fund"), S&S
Short Term Interest Fund ("ST Fund"), S&S Long Term Interest Fund("LT Fund"),
and S&S Money Market Fund ("MM Fund").
VALUE OF INVESTMENT OF $100 PER MONTH (a)
Investment Beginning January 1, 1993
<TABLE>
<CAPTION>
Bonds Stock Mutual Fund
_______________________ _______________________ ___________________________
Cumulative Redemption Market Value Value
Amount Value Including Including
At Year Invested Cumulative Including Cumulative Reinvested Cumulative Reinvested
Ended In Each Accrued Accrued Reinvested Dividends Reinvested Distributions
Dec. 31 Media Interest Interest Dividends (b)(c) Distributions (b)(d)
_______________________________________________________________________________________________________________
<S> <C> <C> <C> <C> <C> <C> <C>
1993 $1,200 $18 $1,218 $ 11 $1,358 $126 $1,264
1994 2,400 91 2,491 61 2,609 303 2,436
1995 3,600 215 3,815 159 5,268 778 4,702
<CAPTION>
ST Fund LT Fund MM Fund
_______________________ _______________________ ___________________________
Cumulative Value Value
Amount Including Cumulative Including Value
At Year Invested Cumulative Reinvested Reinvested Reinvested Cumulative Including
Ended In Each Accrued Interest Distributions Distributions Accrued Reinvested
Dec. 31 Media Interest (b) (d) (b) (d) (b) (d) Interest Interest
_______________________________________________________________________________________________________________
<S> <C> <C> <C> <C> <C> <C> <C>
1993 $1,200 $36 $1,232 $91 $1,242 $21 $1,221
1994 2,400 145 2,468 235 2,447 105 2,505
1995 3,600 358 3,999 473 4,148 297 3,897
</TABLE>
NOTES:
(a) The Program provides for Proportionate Company Payments in
addition to Employee Contributions. The amounts shown are simply for
illustrative purposes and do not reflect any such Proportionate Company
Payments.
(b) Cumulative values include the year-end market value of Stock and
the share price of Mutual Fund, ST Fund, and LT Fund Shares purchased
through the reinvestment of income and dividends, as the case may be.
Capital gains distributions of $3.43, $1.71, and $3.73 per unit were
paid on Mutual Fund Shares in 1993, 1994 and 1995, respectively, and
capital gain distributions of $0.54, $0.09, and $0.00 per share were
paid on LT Fund Shares in 1993, 1994 and 1995, respectively.
(c) The market value of Stock is based on the closing price as of year
end, as reported by the Consolidated Tape of New York Stock Exchange
listed shares.
(d) The value of Mutual Fund, ST Fund, and LT Fund Shares is based on
the Share Price as of year end. Share Price, which is equal to the net
asset value per share, is determined in accordance with Section III of
the Rules of the Funds.
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<PAGE>
GE S&S PROGRAM SUPPLEMENTAL INFORMATION
(UNAUDITED)
$1,000 INVESTMENT
This table illustrates the value at year end of an assumed investment of
$1,000 made on January 1, 1993 in Bonds, Stock, Mutual Fund, ST Fund, LT
Fund, and MM Fund.
VALUE OF INVESTMENT OF $1,000
Investment Made on January 1, 1993
<TABLE>
<CAPTION>
Bonds Stock Mutual Fund
_______________________ _______________________ ___________________________
Redemption Market Value Value
Value Including Including
At Year Cumulative Including Cumulative Reinvested Cumulative Reinvested
Ended Accrued Accrued Reinvested Dividends Reinvested Distributions
Dec. 31 Interest Interest Dividends (b)(c) Distributions (b)(d)
_______________________________________________________________________________________________________________
<S> <C> <C> <C> <C> <C> <C>
1993 $39 $1,039 $22 $1,259 $120 $1,115
1994 91 1,091 57 1,260 204 1,095
1995 126 1,126 98 1,831 358 1,498
<CAPTION>
ST Fund LT Fund MM Fund
_______________________ _______________________ ___________________________
Value Value Redemption
Including Including Value
At Year Cumulative Reinvested Cumulative Reinvested Cumulative Including
Ended Accrued Interest Reinvested Distributions Accrued Reinvested
Dec. 31 Interest (b)(d) Distributions (b)(d) Interest Interest
_______________________________________________________________________________________________________________
<S> <C> <C> <C> <C> <C> <C>
1993 $57 $1,052 $114 $1,078 $33 $1,033
1994 117 1,070 193 1,052 77 1,077
1995 191 1,187 276 1,244 143 1,143
</TABLE>
GE S&S Program Mutual Fund and S&S Long Term Interest Fund Operating
Expenses (as a percentage of average net assets) for the year ended
December 31, 1995:
<TABLE>
<CAPTION>
MUTUAL FUND LT FUND
__________________________________________________________________________
<S> <C> <C>
Management Expenses .06% .05%
Other Expenses .06% .06%
____ ____
Total Fund operating expenses .12% .11%
____ ____
____ ____
</TABLE>
The following expenses would be paid on a $1,000 investment assuming 5%
annual return:
<TABLE>
<CAPTION>
1 YEAR 3 YEARS 5 YEARS 10 YEARS
__________________________________________________________________________
<S> <C> <C> <C> <C>
Mutual Fund $1 $4 $7 $15
LT Fund 1 4 6 14
</TABLE>
The purpose of this table is to assist the investor in understanding the
expenses that an investor in the Fund will bear indirectly. This example
should not be considered a representation of past or future expenses. Actual
expenses may be greater or lesser than those shown.
-35-
<PAGE>
GE S&S PROGRAM DISCLOSURE STATEMENT
GE SAVINGS AND SECURITY
PROGRAM
THE GE SAVINGS AND SECURITY PROGRAM (THE "S&SP") IS DESIGNED TO COMPLY WITH
SECTION 404(C) OF THE EMPLOYEE RETIREMENT INCOME SECURITY ACT, WHICH SETS
FORTH CERTAIN RIGHTS AND RESPONSIBILITIES FOR FIDUCIARIES. IN THE S&SP, YOU -
NOT THE COMPANY, THE TRUSTEES OR ANYONE ELSE - CONTROL YOUR OWN INVESTMENTS.
YOU HAVE A DIVERSE CHOICE OF INVESTMENT OPTIONS AND THE ABILITY TO MAKE
FREQUENT CHANGES, DEPENDING ON YOUR PERSONAL SAVINGS STRATEGY. AS A RESULT,
THE FIDUCIARIES OF THE S&SP WILL NOT BE LIABLE FOR LOSSES OCCURRING TO YOUR
ACCOUNT BECAUSE OF YOUR INVESTMENT CONTROL.
THIS DOCUMENT SETS FORTH INFORMATION ABOUT THE INVESTMENT ALTERNATIVES
AVAILABLE TO PARTICIPANTS OF THE S&SP AND IS BEING PROVIDED TO ASSIST THEM IN
MAKING INFORMED INVESTMENT DECISIONS. THIS DOCUMENT IS INTENDED TO CONSTITUTE
PART OF THE INFORMATION REQUIRED TO BE PROVIDED TO PARTICIPANTS BY SECTION
404(C) OF THE EMPLOYEE RETIREMENT INCOME SECURITY ACT AND TITLE 29 OF THE
CODE OF FEDERAL REGULATIONS SECTION 2550.404C-1. FOR A DESCRIPTION OF CERTAIN
INFORMATION AVAILABLE TO PARTICIPANTS OF THE S&SP, SEE "ADDITIONAL
INFORMATION" BELOW. THE TERM "PARTICIPANTS" WHEN USED HEREIN REFERS TO
PARTICIPANTS AND/OR BENEFICIARIES OF THE S&SP, AS THE CASE MAY BE.
The S&SP provides employees of General Electric Company (the "Company")
and its participating affiliates an opportunity for convenient, regular and
substantial personal savings. Subject to certain restrictions more fully
described in the GE Benefits Handbook, the S&SP enables employees to invest
their savings in one or more of the following investment media:
a. Common Stock of the Company ("Stock");
b. GE S&S Program Mutual Fund
(the "Mutual Fund");
c. GE S&S Short Term Interest Fund (the "ST Fund");
d. GE S&S Long Term Interest Fund (the "LT Fund");
e. GE S&S Money Market Fund (the "MM Fund" and,
collectively with the Mutual Fund,
the ST Fund, and the LT Fund, the "Funds");
f. United States Savings Bonds ("Bonds"); and
g. Life Insurance.
DESCRIPTION OF INVESTMENT
ALTERNATIVES
I. BONDS
The Bonds in which participants may invest are Series "EE" Savings Bonds
issued by the U.S. Treasury. Such purchase may be made only from the
participant's after-tax savings. The option to purchase Bonds under the S&SP
is subject to numerous restrictions which are more fully described in the GE
Benefits Handbook.
II. STOCK
The participants may invest in shares of Stock. The Stock held in a
participant's account will increase or decrease in value depending on how
well the Stock performs in the stock market. Participants should be aware
that an investment in stock of any company, including the Stock, may be
subject to greater market volatility than investing in a diversified
portfolio of securities. There are no restrictions on the exercise of voting,
tender or similar rights appurtenant to a
-36-
<PAGE>
GE S&S PROGRAM DISCLOSURE STATEMENT
participant's investment in Stock. The option to purchase Stock under the
S&SP is more fully described in the GE Benefits Handbook.
It is the policy of the Trustees of the S&SP that information relating to
participant transactions and voting with respect to Stock in the S&SP shall
be maintained in confidence. While participants may easily access information
relating to their own accounts, third party access to participant information
is restricted through the use of PIN numbers. In addition, those individuals
whose jobs require them to have access to S&SP records are instructed
concerning the confidential nature of this information. The Trustees of the
S&SP (c/o General Electric Investment Corporation, 3003 Summer Street,
Stamford, CT 06905 (203-326-2300)) are responsible for monitoring compliance
with the procedures established to provide for the confidentiality of this
information.
RESALE OF SHARES ACQUIRED PURSUANT TO THE PLAN.
Officers of the Company may reoffer or resell Stock acquired pursuant to
the S&SP only in connection with a separate registration statement which has
been declared effective under the Securities Act of 1933, as amended (the
"1933 Act"), an amendment to the current Registration Statement on Form S-8
of the S&SP, or pursuant to an available exemption under the 1933 Act,
including the exemption provided by Rule 144 or any successor provisions
thereunder (hereinafter referred to as "Rule 144"), subject to certain
limitations set forth in Rule 144 but without regard to the two-year
holding period provided for under Rule 144. Officers of the Company who
acquire Stock pursuant to the S&SP should consult with their assigned
counsel to ascertain whether or not their position within the Company
requires compliance with the resale restrictions described above.
III. LIFE INSURANCE
Any participant may elect to apply 1% or 1/2% of his or her earnings to
the purchase of life insurance. Such purchase shall be from the participant's
after-tax savings. The option to purchase life insurance under the S&SP and
the benefits payable thereunder are more fully described in the GE Benefits
Handbook.
IV. INVESTMENTS IN THE FUNDS
A. INVESTMENT OBJECTIVES AND POLICIES
1. GE S&S PROGRAM MUTUAL FUND
The moneys received by the Mutual Fund will be invested principally
in common stock and in securities convertible into common
stock. Purchases will be made principally on the basis of opportunities for
long-term growth of capital and income. The Mutual Fund may keep a portion of
its assets in cash or invest the same in short-term obligations, including
repurchase agreements. Investments may also be made in preferred stocks and
in debt securities when such investments appear consistent with the long-term
objectives of the Mutual Fund. Securities may be sold without regard to the
length of time they have been held; however, they will not be purchased for
trading purposes.
Although the Mutual Fund is expected to invest primarily in securities
issued by U.S. companies, the Mutual Fund may also invest in foreign
securities, including securities of foreign issuers in the form of depositary
receipts. Additional instruments in which the Mutual Fund may invest include,
but are not limited to, securities rated lower than investment grade,
non-publicly traded securities, illiquid securities and securities that are
not registered under the the 1933 Act, but that can be sold to -qualified
institutional buyers' in accordance with Rule 144A under the 1933 Act
-37-
<PAGE>
GE S&S PROGRAM DISCLOSURE STATEMENT
("Rule 144A Securities"). In addition, the Mutual Fund may engage in certain
investment techniques and strategies, which may include entering into
securities transactions on a when-issued or delayed-delivery basis. These
instruments, investment techniques and strategies have risks and special
considerations associated with them that are described below under "Risk
Factors and Special Considerations."
2. GE S&S SHORT TERM INTEREST FUND
The moneys received by the ST Fund will be invested in debt obligations
of the U.S. Government and its instrumentalities, banks and corporations, and
contracts with insurance companies. Investments will be made principally with
the objective of preserving principal and achieving a market-related interest
rate of return. Nevertheless, the ST Fund may keep a portion of its assets in
cash or invest the same in appropriate short-term obligations or in
intermediate-term obligations when such investments appear consistent with
the objective of the ST Fund. Securities may be sold without regard to the
length of time held; however, they will not be purchased for trading
purposes.
3. GE S&S LONG TERM INTEREST FUND
The LT Fund portfolio will be invested with the objective of achieving a
high interest rate of return over a long-term period consistent with a degree
of risk determined by the Trustees of the LT Fund to be acceptable for the LT
Fund from time to time in their absolute discretion and consistent with
prudent investment management and preservation of capital. The moneys
received by the LT Fund will be invested in debt securities consisting of
corporate bonds and debentures acquired in the public market or in private
transactions, real estate sale-leasebacks and real estate mortgages secured
by net credit leases, obligations of the U.S. Government and its
instrumentalities, contracts with insurance companies, preferred stock and
other types of fixed income investments. In order to meet the requirements of
the LT Fund, the LT Fund may keep a portion of its assets in cash or in
appropriate short-term or intermediate-term obligations. The LT Fund may
participate in any available futures market with respect to the above
investments in order to reduce uncertainties associated with interest rate
fluctuations to the extent such participation is permitted by law and
consistent with the objectives of the LT Fund. The Trustees of the LT Fund
shall comply with the limitations on gross income and the requirements with
respect to the categories and diversification of LT Fund assets as are
applicable to regulated investment companies under the Internal Revenue
Code of 1986, as amended, and shall comply with the requirements
applicable to registered investment companies under the Investment
Company Act of 1940, as amended (the "1940 Act"), unless expressly excepted
therefrom. Any requirements with respect to categories and diversification
shall be determined by reference to the market value of the LT Fund at the
time of acquisition of the proposed investments. The LT Fund portfolio
will be diversified.
Additional instruments in which the LT Fund may invest include, but are
not limited to, obligations issued by foreign companies or foreign
governments or their agencies or instrumentalities, securities rated lower
than investment grade, non-publicly traded securities, repurchase agreements,
illiquid securities, Rule 144A Securities, securities of supranational
agencies, zero coupon obligations, floating and variable rate instruments,
mortgage related securities, ARMs, CMOs, government stripped mortgage related
securities, asset-backed and receivable-backed securities and money market
instruments. The LT Fund may also invest in indexed securities, the value of
which is linked to currencies, interest rates, commodities, indexes or other
financial indicators. In addition, the LT
-38-
<PAGE>
GE S&S PROGRAM DISCLOSURE STATEMENT
Fund may engage in certain investment techniques and strategies, which may
include purchasing and writing put and call options on securities, purchasing
put and call options on securities indexes, entering into interest rate,
financial and bond index futures contracts or related options that are traded
on a U.S. or foreign exchange or board of trade or in the over-the-counter
market, engaging in forward currency transactions, purchasing and writing put
and call options on foreign currencies, entering into securities transactions
on a when-issued or delayed-delivery basis, entering into mortgage dollar rolls
and lending portfolio securities. These other instruments, investment
techniques and strategies have risks and special considerations associated with
them that are described below under "Risk Factors and Special Considerations."
4. GE S&S MONEY MARKET FUND
The investment objective of the MM Fund is to seek as high a level of
current income as is consistent with the preservation of capital and
liquidity within the standards prescribed by the Trustees of General Electric
Savings & Security Trust. The moneys received by the MM Fund will be invested
in money market instruments and in other debt securities maturing in one year
or less. Such instruments may include debt obligations of the U.S. Government
and its instrumentalities, debt obligations of banks, savings and loan
associations and corporations, and investments in other money market funds.
Such instruments may also include commercial paper and notes, including those
with floating or variable rates of interest, debt obligations of foreign
branches of foreign banks, debt obligations issued or guaranteed by one or
more foreign governments or any of their political subdivisions, agencies or
instrumentalities, including obligations of supranational entities, debt
securities issued by foreign issuers, and repurchase agreements.
Nevertheless, the Fund may keep a portion of its assets in cash. The MM Fund
may participate in any available futures market with respect to the above
investments in order to reduce uncertainties associated with interest rate
fluctuations to the extent such participation is permitted by law and
consistent with the objectives of the MM Fund.
The MM Fund, in addition to investing as described above, may hold Rule
144A Securities. In addition, the MM Fund may engage in certain investment
techniques and strategies, which may include entering into reverse repurchase
agreements, entering into securities transactions on a when-issued or
delayed-delivery basis and lending portfolio securities. These other
instruments, investment techniques and strategies have risks and special
considerations associated with them that are described below under "Risk
Factors and Special Considerations."
B. INVESTMENT RESTRICTIONS
1. THE MUTUAL FUND
Investments by the Mutual Fund shall be subject to the following
restrictions:
a. Moneys in the Mutual Fund will not be used in the underwriting
of securities or for the purchase of real estate, interests in real
estate, investment trusts, commodities or commodity contracts, or
invested in companies for the purpose of exercising control or
management, or invested in securities of registered investment
companies.
b. Moneys in the Mutual Fund will not be lent to
others, although they may be applied to the purchase of bonds and
debt securities of a type publicly distributed or customarily
purchased by institutional investors.
-39-
<PAGE>
GE S&S PROGRAM DISCLOSURE STATEMENT
c. The Mutual Fund will not acquire any securities if immediately
after such acquisition and as a result thereof (a) the Mutual Fund
would hold more than 10% of the outstanding voting securities of any
issuer, (b) more than 5% of the value of the total assets in the
Mutual Fund would be represented by the securities of any one issuer
(except securities of the U.S. Government and its instrumentalities),
(c) more than 25% of the value of the total assets in the Mutual Fund
would be invested in any particular industry, (d) more than 5% of the
value of the total assets in the Mutual Fund would be invested in
issuers which (including predecessors) have not been in continuous
operation for at least three years.
d. The Mutual Fund will not invest in securities of the Company or
its affiliates, or in securities of the investment manager, and will
not during the existence of any underwriting syndicate purchase any
securities for which its investment manager is acting as principal
underwriter.
e. The Mutual Fund will not purchase from or sell any of its
portfolio securities to the Company or its affiliates or its
investment manager or any officer or director of either.
f. The Mutual Fund will not engage in margin transactions or short
sales or participate in a joint trading account.
g. The Mutual Fund will not invest in puts, calls or similar
options.
h. The Mutual Fund will not mortgage or pledge any of its assets,
except the Mutual Fund may borrow money from the GE Savings and
Security Trust and secure repayment by pledging assets of the Mutual
Fund.
2. THE ST FUND, THE LT FUND AND THE MM FUND
The ST Fund, the LT Fund and the MM Fund will not:
a. purchase securities on margin or sell short or participate in a
joint trading account;
b. deal in options to buy or sell securities except to the extent
permitted by law;
c. borrow money or property except as a temporary measure to meet
the cash or administrative needs of such Funds. In no event will the
amount of such borrowings exceed 10% of such Funds' total assets
taken at market value at the time of such borrowing;
d. make cash loans to others except through the purchase of debt
securities in accordance with such Funds' investment objectives;
e. invest directly in real estate (except as specified in
Paragraph A.3. above with respect to investments of the LT Fund) or
invest in interests in oil, gas or other mineral lease or production
agreements;
f. act as an underwriter of securities for other issuers except
that such Fund may acquire securities under circumstances where if
they are later resold it may be deemed to be an underwriter under
the 1933 Act;
-40-
<PAGE>
GE S&S PROGRAM DISCLOSURE STATEMENT
g. purchase securities for the purpose of exercising control or
management;
h. pledge, mortgage or hypothecate any of its assets except, that,
to secure borrowings permitted by subparagraph c, it may pledge
securities which, together with all such securities previously so
pledged, at the time of pledge, do not exceed 10% of such Funds'
total assets;
i. unless otherwise permitted by law, purchase from or sell
directly to any of its officers or Trustees or General Electric
Investment Corporation ("GEIC") or the officers or directors of
GEIC, or any other affiliate (as defined by the 1940 Act) of such
Fund or any affiliate of such affiliate, portfolio securities or
other property of such Fund; or
j. unless otherwise permitted by law, invest in securities of the
Company or its affiliates, or in securities of an investment manager
of such Fund and will not during the existence of any underwriting
syndicate purchase any securities for which its investment manager
is acting as principal underwriter.
In addition to the foregoing, the LT Fund will not:
a. purchase any security if as a result of such purchase more than
25% of its total assets would be invested in a particular industry;
b. purchase any security if as a result of such purchase more than 25%
of its total assets would be subject to legal or contractual
restrictions on resale; or
c. invest in the securities of registered investment companies.
C. RISK FACTORS AND SPECIAL
CONSIDERATIONS
Investing in the Funds involves risk factors and special considerations,
such as those described below:
GENERAL. An investment in any Fund should not be considered to be a
complete investment program.
DEBT INSTRUMENTS. Each of the Funds is authorized to invest in debt
instruments. A debt instrument held by a Fund will be affected by general
changes in interest rates that will in turn result in increases or decreases
in the market value of those obligations. The market value of debt
instruments in a Fund's portfolio can be expected to vary inversely to
changes in prevailing interest rates. In periods of declining interest rates,
the yield of a Fund holding a significant amount of debt instruments will
tend to be somewhat higher than prevailing market rates, and in periods of
rising interest rates, the Fund's yield will tend to be somewhat lower. In
addition, when interest rates are falling, money received by such a Fund from
the continuous sale of its shares will likely be invested in portfolio
instruments producing lower yields than the balance of its portfolio, thereby
reducing the Fund's current yield. In periods of rising interest rates, the
opposite result can be expected to occur.
CERTAIN INVESTMENT GRADE OBLIGATIONS. The Mutual Fund, the ST Fund and
the LT Fund may each invest in obligations rated BBB by S&P or Baa by
Moody's. Although obligations rated BBB by S&P or Baa by Moody's are
considered investment grade, they may be viewed as being subject
-41-
<PAGE>
GE S&S PROGRAM DISCLOSURE STATEMENT
to greater risks than other investment grade obligations. Obligations rated BBB
by S&P are regarded as having only an adequate capacity to pay principal and
interest and those rated Baa by Moody's are considered medium-grade
obligations that lack outstanding investment characteristics and have
speculative characteristics as well.
LOW-RATED SECURITIES. The Mutual Fund, the ST Fund and the LT Fund are
authorized to invest in securities rated lower than investment grade
(sometimes referred to as "junk bonds"). Low-rated and comparable unrated
securities (collectively referred to as "low-rated" securities) likely have
quality and protective characteristics that, in the judgment of a rating
organization, are outweighed by large uncertainties or major risk exposures
to adverse conditions, and are predominantly speculative with respect to the
issuer's capacity to pay interest and repay principal in accordance with the
terms of the obligation. Securities in the lowest rating categories may be in
default or may present substantial risks of default.
Although the market values of low-rated securities tend to react less to
fluctuations in interest rate levels than the market values of higher-rated
securities, the market values of certain low-rated securities tend to be more
sensitive to individual corporate developments and changes in economic
conditions than higher-rated securities. In addition, low-rated securities
generally present a higher degree of credit risk. Issuers of low-rated
securities are often highly leveraged and may not have more traditional
methods of financing available to them, so that their ability to service
their debt obligations during an economic downturn or during sustained
periods of rising interest rates may be impaired. The risk of loss due to
default by these issuers is significantly greater because low-rated
securities generally are unsecured and frequently are subordinated to the
prior payment of senior indebtedness. A Fund may incur additional expenses to
the extent that it is required to seek recovery upon a default in the payment
of principal or interest on its portfolio holdings. The existence of limited
markets for low-rated securities may diminish a Fund's ability to obtain
accurate market quotations for purposes of valuing the securities held by the
Fund and calculating the Fund's net asset value.
NON-PUBLICLY TRADED AND ILLIQUID SECURITIES. The Mutual Fund, the ST Fund
and the LT Fund may each invest in non-publicly traded securities and
illiquid securities. Non-publicly traded securities may be less liquid than
publicly traded securities. Although these securities may be resold in private
ly negotiated transactions, the prices realized from these sales could be
less than those originally paid by a Fund. In addition, companies whose
securities are not publicly traded are not subject to the disclosure and
other investor protection requirements that may be applicable if their
securities were publicly traded. A Fund's investments in illiquid securities
are subject to the risk that should the Fund desire to sell any of these
securities when a ready buyer is not available at a price that GEIC deems
representative of their value, the value of the Fund's net assets could be
adversely affected.
REPURCHASE AND REVERSE REPURCHASE AGREEMENTS. The Mutual Fund, the ST
Fund, the LT Fund and the MM Fund may enter into repurchase agreements. A
Fund entering into a repurchase agreement will bear a risk of loss in the
event that the other party to the transaction defaults on its obligations and
the Fund is delayed or prevented from exercising its rights to dispose of the
underlying securities. A Fund will be, in particular, subject to the risk of
a possible decline in the value of the underlying securities during the
period in which the Fund seeks to assert its right to them, the risk of
incurring expenses associat-
-42-
<PAGE>
GE S&S PROGRAM DISCLOSURE STATEMENT
ed with asserting those rights and the risk of losing all or a part
of the income from the agreement.
The MM Fund may enter into reverse repurchase agreements. A reverse
repurchase agreement involves the risk that the money market value of the
securities retained by the MM Fund may decline below the price of the
securities the Fund has sold but is obligated to repurchase under the
agreement. In the event the buyer of securities under a reverse repurchase
agreement files for bankruptcy or becomes insolvent, the MM Fund's use of the
proceeds of the agreement may be restricted pending a determination by the
party, or its trustee or receiver, whether to enforce the Fund's obligation
to repurchase the securities.
WARRANTS. The Mutual Fund may invest in warrants. Because a warrant,
which is a security permitting, but not obligating, its holder to subscribe
for another security, does not carry with it the right to dividends or voting
rights with respect to the securities that the warrant holder is entitled to
purchase, and because a warrant does not represent any rights to the assets
of the issuer, a warrant may be considered more speculative than certain
other types of investments. In addition, the value of a warrant does not
necessarily change with the value of the underlying security and a warrant
ceases to have value if it is not exercised prior to its expiration date.
Warrants acquired by the Mutual Fund in units or attached to securities may
be deemed to be without value.
INVESTMENT IN FOREIGN SECURITIES. Each Fund may invest in securities
issued by foreign companies and foreign governments or their agencies or
instrumentalities. Investing in securities issued by foreign companies and
governments involves considerations and potential risks not typically
associated with investing in obligations issued by the U.S. Government and
U.S. corporations. Less information may be available about foreign companies
than about U.S. companies, and foreign companies generally are not subject to
uniform accounting, auditing and financial reporting standards or to other
regulatory practices and requirements comparable to those applicable to U.S.
companies. The values of foreign investments are affected by changes in
currency rates or exchange control regulations, restrictions or prohibitions
on the repatriation of foreign currencies, application of foreign tax laws,
including withholding taxes, changes in governmental administration or
economic monetary policy (in the United States or abroad) or changed
circumstances in dealings between nations. Costs are also incurred in
connection with conversions between various currencies. In addition, foreign
brokerage commissions are generally higher than those charged in the United
States and foreign securities markets may be less liquid, more volatile and
less subject to governmental supervision than in the United States.
Investments in foreign countries could be affected by other factors not
present in the United States, including expropriation, confiscatory taxation,
lack of uniform accounting and auditing standards, limitations on the use or
removal of funds or other assets (including the withholding of dividends),
and potential difficulties in enforcing contractual obligations, and could be
subject to extended clearance and settlement periods.
A Fund's unit value may change significantly when the currencies, other
than the U.S. dollar, in which the Fund's portfolio investments are
denominated strengthen or weaken against the U.S. dollar. Currency exchange
rates generally are determined by the forces of supply and demand in the
foreign exchange markets and the relative merits of investments in different
countries as seen from an international perspec-
-43-
<PAGE>
GE S&S PROGRAM DISCLOSURE STATEMENT
tive. Currency exchange rates can also be affected unpredictably by
intervention by U.S. or foreign governments or central banks or by
currency controls or political developments in the United States or abroad.
COVERED OPTION WRITING. The ST Fund and the LT Fund may purchase and
write put and call options on securities. Upon the exercise of a put option
written by the ST Fund or the LT Fund, the Fund may suffer a loss equal to the
difference between the price at which the Fund is required to purchase the
underlying security and its market value at the time of the option exercise,
less the premium received for writing the option. Upon the exercise of a call
option written by the ST Fund or the LT Fund, the Fund may suffer a loss equal
to the excess of the security's market value at the time of the option's
exercise over the Fund's acquisition cost of the security, less the premium
received from writing the option. In addition, no assurance can be given that
the ST Fund or the LT Fund will be able to effect closing purchase transactions
at a desired time. The ability of the ST Fund and the LT Fund to engage in
closing transactions with respect to options depends on the existence of a
liquid secondary market. Although the ST Fund and the LT Fund will generally
purchase or write securities options only if a liquid secondary market
appears to exist for the option purchased or sold, no such secondary market
may exist or the market may cease to exist.
The ST Fund and the LT Fund will engage in hedging transactions only when
deemed advisable by GEIC. Successful use by the ST Fund and the LT Fund of
options will depend on GEIC's ability to predict correctly movements in the
direction of the securities underlying the option used as a hedge. Losses
incurred in hedging transactions and the costs of these transactions will
affect the Fund's performance.
SECURITIES INDEX OPTIONS. The ST Fund and the LT Fund may each purchase
options on securities indexes. Securities index options are subject to
position and exercise limits and other regulations imposed by the exchange on
which they are traded. The ability of the ST Fund and the LT Fund to engage
in closing purchase transactions with respect to securities index options
depends on the existence of a liquid secondary market. Although the ST Fund
and the LT Fund will generally purchase or write securities index options
only if a liquid secondary market for the options purchased or sold appears
to exist, no such secondary market may exist, or the market may cease to
exist at some future date, for some options. No assurance can be given that a
closing purchase transaction can be effected when GEIC desires that the ST
Fund or the LT Fund engage in such a transaction.
FUTURES AND OPTIONS ON FUTURES. The ST Fund and the LT Fund may invest in
financial and bond index futures or related options. The uses of futures
contracts and options on futures contracts as a hedging device involves
several risks. No assurance can be given that a correlation will exist
between price movements in the underlying securities or index and price
movements in the securities that are the subject of the hedge. Positions in
futures contracts and options on futures contracts may be closed out only on
the exchange or board of trade on which they were entered, and no assurance
can be given that an active market will exist for a particular contract or
option at any particular time. Losses incurred in hedging transactions and
the costs of these transactions will affect the Fund's performance.
FORWARD CURRENCY TRANSACTIONS. The ST Fund and the LT Fund may engage in
forward currency transactions. In entering into forward currency contracts,
the ST Fund and the LT Fund will be subject to a number of risks and special
con-
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GE S&S PROGRAM DISCLOSURE STATEMENT
siderations. The market for forward currency contracts, for example, may
be limited with respect to certain currencies. The existence of a limited
market may in turn restrict the Fund's ability to hedge against the risk of
devaluation of currencies in which the Fund holds a substantial quantity of
securities. The successful use of forward currency contracts as a hedging
technique draws upon GEIC's special skills and experience with respect to
those instruments and will usually depend upon GEIC's ability to forecast
interest rate and currency exchange rate movements correctly. Should interest
or exchange rates move in an unexpected manner, the ST Fund and the LT Fund
may not achieve the anticipated benefits of forward currency contracts or may
realize losses and thus be in a less advantageous position than if those
strategies had not been used. Many forward currency contracts are subject to
no daily price fluctuation limits so that adverse market movements could
continue with respect to those contracts to an unlimited extent over a period
of time. In addition, the correlation between movements in the prices of
those contracts and movements in the prices of the currencies hedged or used
for cover will not be perfect.
GEIC's ability to dispose of the ST Fund's or the LT Fund's positions in
forward currency contracts depends on the availability of active markets in
those instruments, and GEIC cannot now predict the amount of trading interest
that may exist in the future in forward currency contracts. Forward currency
contracts may be closed out only by the parties entering into an offsetting
contract. As a result, no assurance can be given that the ST Fund or the LT
Fund will be able to utilize these contracts effectively for the intended
purposes.
OPTIONS ON FOREIGN CURRENCIES. The ST Fund and the LT Fund may purchase
and write put and call options on foreign currencies. Like the writing of
other kinds of options, the writing of an option on a foreign currency
constitutes only a partial hedge, up to the amount of the premium received;
the ST Fund or the LT Fund could also be required, with respect to any option
it has written, to purchase or sell foreign currencies at disadvantageous
exchange rates, thereby incurring losses. The purchase of an option on a
foreign currency may constitute an effective hedge against fluctuation in
exchange rates, although in the event of rate movements adverse to the Fund's
position, the Fund could forfeit the entire amount of the premium plus
related transaction costs.
INSTRUMENTS AND STRATEGIES INVOLVING SPECIAL RISKS. Certain instruments
in which the Funds can invest and certain investment strategies that the
Funds may employ could expose the Funds to various risks and special
considerations. The instruments presenting risks to a Fund that holds the
instruments include Rule 144A Securities, depositary receipts, securities of
supranational agencies, securities of other investment funds, floating and
variable rate instruments, zero coupon obligations, mortgage related
securities, ARMs, CMOs, government stripped mortgage related securities and
asset-backed and receivable-backed securities. Among the risks that some, but
not all, of these instruments involve are lack of liquid secondary markets
and the risk of prepayment of principal. The investment strategies involving
special risks to some or all of the Funds include engaging in when-issued or
delayed-delivery securities transactions, entering into mortgage dollar rolls
and lending portfolio securities. Among the risks that some, but not all, of
these strategies involve are the increased exposure to fluctuations in market
value of the securities and certain credit risks.
D. INVESTMENT ADVISOR
GEIC, located at 3003 Summer Street, Stamford, Connecticut 06905, serves
as the invest-
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<PAGE>
GE S&S PROGRAM DISCLOSURE STATEMENT
ment advisor of each Fund. GEIC is a wholly owned subsidiary of
the Company and is a registered investment advisor under the Investment
Advisers Act of 1940, as amended.
INVESTMENT INSTRUCTIONS
Participants in the S&SP elect the investment media in which they wish to
invest and may change their investment options or their rate of savings in
accordance with the procedures set forth in the GE Benefits Handbook.
Participants may transfer savings from one investment option to another up to
12 times each calendar year. For more information regarding investment
instructions, see the GE Benefits Handbook.
FEES AND EXPENSES
The fees and expenses of each of the investment alternatives are set
forth in the Annual Report of the S&SP. There are no transaction fees charged
to the Funds or to a participant's account balance in connection with
purchases or sales of interests in investment alternatives.
ADDITIONAL INFORMATION
The Trustees of the S&SP are responsible for providing certain additional
information to you, either directly or upon your request. The information
provided directly to you is contained in the Annual Report of the S&SP and
includes (i) a description of the annual operating expenses of each
investment alternative with respect to which expenses are incurred and the
aggregate amount of such expenses expressed as a percentage of average net
assets, (ii) copies of available financial statements relating to the
investment alternatives, (iii) a list of the securities comprising the
portfolio of each Fund and the value of such securities, and, with respect to
each asset which is a fixed rate investment contract issued by a bank,
savings and loan association or insurance company, the name of the issuer,
the term and the rate of return on the contract, and (iv) the investment
performance of each Fund. The information available to you upon your request
is information concerning the value of units in each of the Funds or shares
of the Company, as well as the value of such units or shares held in a
participant's account, which may be obtained at anytime by calling
1-800-432-4313. The address and telephone number of the Trustees of the S&SP
are c/o General Electric Investment Corporation, 3003 Summer Street,
Stamford, CT 06905 (203-326-2300).
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<PAGE>
S&S MUTUAL FUND
INVESTMENT TEAM
_______________________________________________________________________________
PORTFOLIO MANAGERS
S&S PROGRAM MUTUAL FUND
Eugene K. Bolton
David B. Carlson
Peter J. Hathaway
A. John Kohlhepp
Paul C. Reinhardt
Christopher Smith
S&S LONG TERM INTEREST FUND
Robert A. MacDougall
TRUSTEES
Dale F. Frey
CHAIRMAN OF THE BOARD AND PRESIDENT,
GENERAL ELECTRIC INVESTMENT CORPORATION
Eugene K. Bolton
Michael J. Cosgrove
Ralph R. Layman
Alan M. Lewis
John H. Myers
Donald W. Torey
OFFICERS OF GENERAL ELECTRIC
INVESTMENT CORPORATION
SECRETARY
Alan M. Lewis
INVESTMENT ADVISOR
General Electric Investment Corporation
INDEPENDENT AUDITORS
KPMG Peat Marwick LLP
CUSTODIAN
State Street Bank & Trust Company
SHAREHOLDER SERVICING AGENT
Address all inquiries OUTSIDE the S&SP to:
GE Investments
P.O. Box 8309
Boston, MA 02266-8309
Address all inquiries INSIDE the S&SP to:
GE S&SP Transaction Processing Center
P.O. Box 44079
Jacksonville, FL 32231-4079
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<PAGE>
GE S&S PROGRAM SERVICES
SERVICES FOR OUR SHAREHOLDERS
OUTSIDE THE SAVINGS AND SECURITY PROGRAM (S&SP)
Shares held OUTSIDE the S&SP were previously distributed to you in the form
of securities. Your account balance is evidenced by annual or quarterly
statements of account issued by GE Investments in Stamford, CT.
GE INQUIRY CENTER 1-800-242-0134 or Dial Comm 8*225-4040
DAILY VALUE, YIELDS/ 1-800-843-3359
PERFORMANCE
AUDIO RESPONSE SYSTEM:
To obtain information and process account transactions on
your Funds held OUTSIDE the S&SP:
* Call 1-800-242-0134 or Dial Comm 8* 225-4040
* Press 1 on your touch-tone phone to gain access.
* Press 3 for information on your Funds held outside the S&SP.
* Select from the options illustrated to the left.
PERSONALIZED SERVICES:
Please press zero (0) on your touch-tone phone, or if you have a
rotary dial phone please hold to speak directly to an Inquiry
Specialist in order to obtain the the following information on
your Funds held OUTSIDE the S&SP:
* Account Balance Information
* Statement Information
* 1099 Information
* Change of Address
* Change of Income Election
* Duplicate Statements
* Outstanding Check Information
_______________________________________________________________
1 2 3
INFORMATION SPECIFIC ACCOUNT TRANSACTION
ONLY INFORMATION PROCESSING
_______________________________________________________________
1 1 1
TRANSFER ACCOUNT FUND
BY MAIL BALANCE EXCHANGES
_______________________________________________________________
2 2 2
REDEEM LAST REDEMPTIONS
BY MAIL TRANSACTION
_______________________________________________________________
3 3 3
CHANGE DUPLICATE DUPLICATE
ADDRESS STATEMENT TAX FORMS
_______________________________________________________________
4
PRICE QUOTES
LAST BUSINESS
DAY & PERSONAL
PRICE PORTFOLIO
_______________________________________________________________
INSIDE THE S&SP
Shares held INSIDE the S&SP have been credited to your account by the S&SP,
as the result of payroll deductions and investment earnings. If you are a
current employee, the annual -Your Personal Share' statement summarizes your
account balance.
S&SP participants can obtain information and process account transactions on
their Funds held INSIDE the Program by calling:
GE S&SP TRANSACTION DAILY VALUE, YIELDS/
PROCESSING CENTER 1-800-432-4313 PERFORMANCE 1-800-843-3359
<PAGE>
______________
BULK RATE
U.S. POSTAGE
PAID
BOSTON, MA
PERMIT NO. 54201
______________
GE S&S Funds
3003 Summer Street
Stamford, CT 06904-7900
[GRAPHIC]
GE LOGO
______________________________________________________________________
Distributed by GE Investment Services Inc., member NASD and SIPC
