RESTRUCTURING CHARGES AND SEPARATION COSTS

9 Months Ended

Sep. 30, 2025

Restructuring and Other Charges. The Company has undertaken or committed to various restructuring initiatives, including workforce

reductions and the consolidation of manufacturing and service facilities. Restructuring and other charges primarily include employee-related

termination benefits associated with workforce reductions, facility exit costs, asset write-downs, and cease-use costs. We expect the

majority of costs to be incurred within two years of the commitment of a restructuring initiative.

This table is inclusive of all restructuring charges and the charges are shown below for the business where they originated. Separately, in

our reported segment results, major restructuring programs are excluded from measurement of segment operating performance for internal

and external purposes; those excluded amounts are reported in Restructuring and other charges. See Note 23 for further information.


RESTRUCTURING AND OTHER CHARGES	Three months ended September 30		Nine months ended September 30
	2025	2024	2025	2024
Workforce reductions	$74	$48	$144	$159
Plant closures and associated costs and other asset write-downs	5	160	37	251
Acquisition/disposition net charges and other	8	(1)	17	7
Total restructuring and other charges	$86	$207	$197	$417

Cost of equipment and services	$14	$148	$92	$268
Selling, general, and administrative expenses	72	59	105	149
Total restructuring and other charges	$86	$207	$197	$417

Power	$34	$192	$58	$289
Wind	—	15	52	117
Electrification	22	—	49	17
Other	28	—	38	(6)
Total restructuring and other charges(a)	$86	$207	$197	$417

(a) Includes $14 million and $144 million for the three months ended and $56 million and $237 million for the nine months ended

September 30, 2025 and 2024, respectively, primarily of non-cash impairment, accelerated depreciation, and other charges not

reflected in the liability table below.

Liabilities associated with restructuring activities were primarily related to workforce reductions and were recorded in All other current

liabilities, All other liabilities, and Non-current compensation and benefits.

Total restructuring and other charges incurred for the three and nine months ended September 30, 2025 and 2024 primarily relate to

programs to simplify the organizational structure of, reduce operating costs in, and to right-size the businesses. On July 21, 2025, we

approved a restructuring plan (the Plan) accelerating previously announced enterprise transformation activities to reduce general and

administrative costs. We anticipate that the Plan will be substantially complete by mid-2026, subject to local law requirements, including

mandatory information and consultation with employee representatives in applicable locations. We expect to incur approximately

$250 million to $275 million in costs in connection with the Plan, primarily consisting of termination benefits associated with a reduction in

the workforce, with approximately $200 million to $225 million of the costs resulting in future cash expenditures. We estimate the savings

on the Plan to be approximately $250 million, with savings beginning in 2026.

The estimates of the costs that we expect to incur in connection with the Plan, and the timing thereof, are subject to a number of

assumptions, including local law requirements in various jurisdictions, and actual amounts may differ from the estimates discussed above.

In addition, we may incur other costs or cash expenditures not currently contemplated due to unanticipated events that may occur, including

in connection with the implementation of the Plan. In the third quarter of 2025, we incurred $81 million of costs related to the Plan.

In the third quarter of 2024, in order to transform and optimize our global footprint, we announced the restructuring of our Hydro Power

business, as a result we recognized $146 million of charges, which primarily relates to a non-cash pre-tax impairment charge of property,

plant and equipment. See Note 6 for further information.

Separation Costs. In connection with the Spin-Off, the Company recognized separation costs (benefits) of $43 million and $27 million for

the three months ended and $122 million and $(64) million for nine months ended September 30, 2025 and 2024, respectively, in our

Consolidated and Combined Statement of Income (Loss). Separation costs include system implementations, advisory fees, one-time stock

option grant, and other one-time costs, which are primarily recorded in Selling, general, and administrative costs. In addition, in the second

quarter of 2024, in connection with GE retaining certain renewable energy U.S. tax equity investments as part of the Spin-Off, the Company

recognized a $136 million benefit related to deferred intercompany profit from historical equipment sales to the related investees, recorded

in Cost of equipment. See Note 11 for further information.