2001 was a time of transition at GE. We would like to thank Jack Welch – on behalf of our share owners, customers and employees – for his 40 years of excellence at GE. Jack has had a personal impact on thousands of people around the world. In his 21 years as Chairman, he had a profound impact on GE.

Jack has many remarkable talents. But he is, first and foremost, a teacher. In that vein, we renamed our management institute at Crotonville the "John F. Welch Learning Center." Every year, 5,000 GE executives and 1,000 customers from around the world come to work and learn at this center at Crotonville. It is one of the cornerstones of our culture and one of the institutions that makes GE work. Generations of GE leaders and customers will have the opportunity to benefit from Jack's vision and commitment. What a fitting tribute.

Jack left us a financially strong GE, as well as a culture that loves change. This is important because the world we knew in the late 1990s – a world of global growth, political stability and corporate trust – has changed. The U.S. economy began to slow in late 2000 and entered a recession in 2001. The world followed, with Europe and Japan in decline.

This was the backdrop for the terrorist attack on America that left the world stunned. Among the thousands lost in this tragedy were two GE employees. We mourn the loss of Janis Lasden and  William Steckman.

The attack darkened the mood, deepened the recession and made economic recovery even more uncertain. Two industries important to GE – airlines and insurance – were profoundly impacted, and we have rushed to support our customers – our friends in need – through this crisis, and we will continue to do so.

The exuberance of the late 1990s and the inevitable downturn have created difficult times. Entire industries have collapsed, poor business models have been exposed, large companies have filed for bankruptcy and corporate credibility has been called into question.

In these difficult times, we see an opportunity to further differentiate GE. Turbulence challenges a company's character. GE is built to deliver in the most difficult environment, and it is built on trust. We delivered in 2001, and nothing builds trust like such consistent performance.