STAMFORD, Conn. & SEATTLE--(BUSINESS WIRE)--May 24, 2004--GE Commercial Finance, the business-to-business financial services unit of General Electric (NYSE: GE), today agreed to purchase approximately $2 billion in assets from Boeing Capital Corporation.
The agreement is subject to normal regulatory review and expected to close in the second quarter of 2004.
The acquisition by GE Commercial Finance includes secured loans as well as financing and operating leases on various kinds of equipment, such as trucks, manufacturing equipment, corporate aircraft and marine vessels. The assets, most of which are in the United States, will be folded into units of GE Commercial Finance that handle equipment, transportation and energy financing and leasing.
"This agreement brings us over 170 customers, and we look forward to doing a terrific job for them," said Mike Neal, president and CEO, GE Commercial Finance. "The acquisition of a seasoned, balanced equipment portfolio is very much in line with our growth plans for 2004."
Boeing Capital President Walt Skowronski said: "We are extremely pleased with the outcome of the transaction with GE Commercial Finance. This further advances our strategic priority to support the sale of Boeing products and services by arranging, structuring or providing financing. While the commercial finance business has been a solid contributor to our success, we believe it will be better positioned for growth within the GE Commercial Finance portfolio."
GE Commercial Finance is one of General Electric's largest "growth engines." With lending products, growth capital, revolving lines of credit, equipment leasing of every kind, cash flow programs, asset financing, expertise in the middle market segment and more, GE Commercial Finance plays a key role for client businesses in 35 countries. This includes healthcare, manufacturing, communications, construction, energy, aviation, motor vehicle fleets, infrastructure and equipment, as well as many other industries. GE Commercial Finance has assets of over US$220 billion and is headquartered in Stamford, Connecticut, USA. General Electric (NYSE: GE) is a diversified technology, media and financial services company dedicated to creating products that make life better.
Headquartered in Seattle, Washington, Boeing Capital Corporation is a wholly owned subsidiary of The Boeing Company. Boeing is the world's leading aerospace company, with 2003 revenues of $52 billion and more than 155,000 employees worldwide.
--30--KK/ny*
CONTACT:
GE Commercial Finance
John Oliver, 203-357-4346
Mobile: 203-984-7757
or
Boeing Capital Corp.
Russ Young, 425-393-1534
Jeff Wilson
GE Capital Corporate Finance
[email protected]
1-203-749-6340