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Press Release

GE Transportation and BHEL Team-up in Pursuit of 1,000 Locomotive Tender for Indian Railways

October 21, 2008

Erie, Penn. and New Delhi, India (Oct. 21, 2008) - GE Transportation, a unit of General Electric Company (NYSE: GE) and global diesel locomotive technology leader, and Bharat Heavy Electricals Ltd (BHEL) joined forces to compete for a 1,000 diesel locomotive tender issued by Indian Railways. GE was recently shortlisted by the Indian Railways to compete for this tender. GE and BHEL along with Indian Railways intend to form a Joint Venture company for this purpose.

GE Transportation plans to supply diesel locomotives based on the company's global Evolution® Series locomotive platform. The Evolution® Series locomotive is the most technologically advanced, fuel-efficient and low emissions locomotive to-date. With more than 2,800 units in use today, the Evolution Series locomotive is one of GE Transportation's best-selling products worldwide. These locomotives deliver 5% higher fuel efficiency and a 40% reduction in emissions over previous locomotives. GE's locomotive reduces fuel consumption by approx. 300,000 gallons, or more than 1,1 million liters, over the life of the locomotive.

The Evolution Series locomotive serves as one of GE's first products to be certified as part of its "Ecomagination" initiative. Ecomagination is a company wide commitment to developing technology designed to help customers satisfy environmental challenges, to maximize performance and reduce cost.

Should it win the tender, GE is prepared to bring the most advanced rail technology to India. GE's locomotives for India have been designed in the John F. Welch Technology Center in Bangalore, India, and will have a peak output of 6,000 GHP delivering 40% more power at 30% less weight than the locomotives of the same series currently utilized in North America. These locomotives will be up to 5% more fuel-efficient and generate 84% fewer particulate emissions compared to fleets currently in use.

"We are excited about the prospect of expanding our relationship with Indian Railways and to partner with BHEL, one of the leading technology companies in India," said Lorenzo Simonelli, President and CEO of GE Transportation. "BHEL's know-how, customer centricity and local operations will help us deliver our product to Indian Railways in a timely and cost-effective manner."

"GE is known to build the world's most reliable and fuel-efficient diesel locomotives to-date," said K. Ravi Kumar, Chairman and Managing Director of BHEL. "We are proud to expand our successful association with one of the most respected companies in the world to bring best-in-class locomotive technology to our long-time customer, Indian Railways."

For more than 45 years, BHEL has been a leading supplier of propulsion systems and locomotives to Indian Railways. BHEL manufactured approximately 160 electric locomotives and supplied over 4,000 sets of electric propulsion systems to Diesel Locomotive Works.

GE Transportation has established itself as a global technology leader. With close to 4,000 researchers and engineers, GE's John F. Welch Technology Centre in Bangalore, India, is the company's first and largest integrated, multidisciplinary Research and Development Center outside of the United States. GE Transportation maintains a specialized technology team located at the Centre providing advanced engineering design solutions for existing and next generation locomotive platforms in India and around the globe. The team works closely with scientists and engineers from GE's Global Research Center, who are also located at the Centre. Technologists from Global Research provide core technology expertise in electric motors, combustion processes and sophisticated systems modeling to help optimize the design of locomotives for breakthrough power, fuel and emissions performance.

GE Transportation already applied Evolution Series technology to serve its global base of rail customers. On Sept. 1, 2008, GE Transportation delivered the first of three hundred 6,000 GHP China Mainline locomotives to the Ministry of Railways P.R. China. Kazakhstan Temir Zholy (KTZ), Kazakhstan's state-owned national railway company, ordered 310 Evolution-based locomotives in 2006. Rio Tinto Iron Ore received forty heavy haul Evolution Series locomotives to support its mining operations in Australia's Pilbara region in 2008. In addition, GE Transportation introduced its new PowerHaul™ engine and locomotive for the UK and European markets in October 2008.

About GE Transportation

Established more than 100 years ago, GE Transportation, a unit of General Electric Company (NYSE: GE), is a global technology leader and supplier to the railroad, marine, drilling, mining and wind industries. GE provides freight and passenger locomotives, railway signaling and communications systems, information technology solutions, marine engines, motorized drive systems for mining trucks and drills, high-quality replacement parts and value added services. With sales in excess of $4.5 billion, GE Transportation is headquartered in Erie, Pennsylvania, and employs approximately 10,000 employees worldwide. For more information visit www.getransportation.com

About BHEL

Established over 40 years back, BHEL is the largest engineering and manufacturing enterprise in India and caters to core sectors of the Indian economy, viz. power generation and transmission, industry, renewable energy, defense and transportation. BHEL is the single largest partner to the Indian Railways over the past four decades in the supply of propulsion systems to meet Indian Railways production requirement of diesel locomotive, electric locomotive and EMU coaches. BHEL is the only producer in the country for main line locomotives for the Indian Railways. The overall turnover of BHEL is $5.5 billion and an employee strength of 40,000 with about 10,000 engineers. For more information visit www.bhel.com.

Stephan Koller
GE Transportation Communications Manager
[email protected]
1-814-875-3457
1-814-431-3150


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