GE 2009 Annual Report Download - page 37

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GE 2009 ANNUAL REPORT 35
TECHNOLOGY INFRASTRUCTURE
(In millions) 2009 2008 2007
REVENUES $42,474 $46,316 $42,801
SEGMENT PROFIT $ 7,489 $ 8,152 $ 7,883
REVENUES
Aviation $18,728 $19,239 $16,819
Enterprise Solutions 3,957 4,710 4,462
Healthcare 16,015 17,392 16,997
Transportation 3,827 5,016 4,523
SEGMENT PROFIT
Aviation $ 3,923 $ 3,684 $ 3,222
Enterprise Solutions 704 691 697
Healthcare 2,420 2,851 3,056
Transportation 473 962 936
Technology Infrastructure revenues decreased 8%, or $3.8 billion,
in 2009 as lower volume ($4.1 billion), the stronger U.S. dollar
($0.4 billion) and an update at Transportation of our estimate of
product service costs in maintenance service agreements
($0.3 billion) were partially offset by higher prices ($0.5 billion) and
higher other income ($0.5 billion), primarily including gains on the
ATI-Singapore acquisition, dissolution of the joint venture with
FANUC Ltd. and the Times Microwave Systems disposition. The
decrease in volume was across all businesses in the segment.
The effects of the stronger U.S. dollar were at Healthcare, Enterprise
Solutions and Aviation. Higher prices, primarily at Aviation, were
partially offset by lower prices at Healthcare.
Segment profit decreased 8% to $7.5 billion in 2009, compared
with $8.2 billion in 2008, as the effects of lower volume ($1.0 bil-
lion) and lower productivity ($0.4 billion) were partially offset by
higher prices ($0.5 billion) and higher other income ($0.4 billion),
primarily including gains on the ATI-Singapore acquisition, dissolu-
tion of the joint venture with FANUC Ltd. and the Times Microwave
Systems disposition. The decrease in volume was across all
businesses in the segment. Lower productivity at Transportation
and Enterprise Solutions was partially offset by Aviation.
Technology Infrastructure revenues rose 8%, or $3.5 billion,
in 2008 on higher volume ($3.0 billion), the effects of the weaker
U.S. dollar ($0.3 billion) and higher prices ($0.2 billion). The increase
in volume reflected the effects of acquisitions and increased
sales of military and commercial engines and services at Aviation;
increased sales in the international diagnostic imaging, clinical
systems and life sciences businesses of Healthcare; increased
equipment sales at Transportation; and increases at Sensing and
Inspection Technologies and Digital Energy at Enterprise Solutions.
The effects of the weaker U.S. dollar were primarily at Healthcare
and Enterprise Solutions. Higher prices were primarily at Aviation
and Transportation, partially offset by lower prices at Healthcare.
Segment profit rose 3% to $8.2 billion in 2008, compared
with $7.9 billion in 2007, as the effects of productivity ($0.5 bil-
lion), higher volume ($0.4 billion) and higher prices ($0.2 billion)
more than offset the effects of higher material and other costs
($0.9 billion). The effects of productivity were primarily at
Healthcare and Aviation. Volume increases were primarily at
Aviation and Transportation. The increase in material costs was
primarily at Aviation and Transportation, partially offset by a
decrease at Healthcare. Labor and other costs increased across
all businesses of the segment.
Technology Infrastructure orders were $41.6 billion in 2009,
down from $47.2 billion in 2008. The $38.6 billion total backlog at
year-end 2009 comprised unfilled product orders of $26.7 billion
(of which 45% was scheduled for delivery in 2010) and product
services orders of $11.9 billion scheduled for 2010 delivery.
Comparable December 31, 2008, total backlog was $37.6 billion, of
which $28.4 billion was for unfilled product orders and $9.2 billion,
for product services orders. See Corporate Items and Eliminations
for a discussion of items not allocated to this segment.
NBC UNIVERSAL revenues decreased 9%, or $1.5 billion, in 2009 as
lower revenues in our broadcast television business ($1.1 billion),
reflecting the lack of a current-year counterpart to the 2008
Olympics broadcasts and the effects of lower advertising revenues,
lower revenues in film ($0.8 billion) and lower earnings and higher
impairments related to associated companies and investment
securities ($0.4 billion) were partially offset by the gain relating to
A&E Television Network (AETN) ($0.6 billion) and higher revenues
in cable ($0.3 billion). Segment profit of $2.3 billion decreased 28%,
or $0.9 billion, as lower earnings in film ($0.6 billion), lower earnings
and higher impairments related to associated companies and
investment securities ($0.4 billion), lack of current-year counter-
part to 2008 proceeds from insurance claims ($0.4 billion) and
lower earnings in our broadcast television business ($0.2 billion)
were partially offset by the gain related to AETN ($0.6 billion) and
higher earnings in cable ($0.2 billion).
NBC Universal revenues increased $1.6 billion, or 10%, to
$17.0 billion in 2008, as revenues from the Olympics broadcasts
($1.0 billion) and higher revenues in cable ($0.6 billion) and film
($0.4 billion) were partially offset by lower earnings and higher
impairments related to associated companies and investment
securities ($0.3 billion) and lower revenues from our television
business ($0.1 billion). Segment profit of $3.1 billion in 2008 was
flat compared with 2007, as higher earnings from cable ($0.3 bil-
lion) and proceeds from insurance claims ($0.4 billion) were offset
by lower earnings and impairments related to associated
companies and investment securities ($0.3 billion), losses from
the Olympics broadcasts ($0.2 billion), and lower earnings from
our television business ($0.1 billion) and film ($0.1 billion). See
Corporate Items and Eliminations for a discussion of items not
allocated to this segment.
As of December 31, 2009, our NBC Universal business has
been classified as held for sale. For additional information, see
Note 2.