UNITED STATES SECURITIES AND EXCHANGE COMMISSION

                             WASHINGTON, D.C. 20549

                           --------------------------
                                    FORM 10-Q
                           --------------------------

                                     -------
           |X| QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
                                     -------
                         SECURITIES EXCHANGE ACT OF 1934

                   For the quarterly period ended July 1, 2000
                                  ------------

                                       OR

                                     -------
            TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE

                                     -------
                         SECURITIES EXCHANGE ACT OF 1934

                        For the transition period from to
                                  -------------



                         Commission file number 0-14804



                     General Electric Capital Services, Inc.

             (Exact name of registrant as specified in its charter)

           Delaware                                               06-1109503
(State or other jurisdiction of                                (I.R.S. Employer
 incorporation or organization)                              Identification No.)

260 Long Ridge Road, Stamford, Connecticut                           06927
(Address of principal executive offices)                          (Zip Code)

                                 (203) 357-4000
               (Registrant's telephone number, including area code)

Indicate by check mark whether the registrant (1) has filed all reports required
to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during
the  preceding 12 months (or for such  shorter  period that the  registrant  was
required  to file  such  reports),  and  (2) has  been  subject  to such  filing
requirements for the past 90 days. Yes |X| No

At July 26,  2000,  1,012 shares of common stock with a par value of $1,000 were
outstanding.

REGISTRANT MEETS THE CONDITIONS SET FORTH IN GENERAL INSTRUCTION H(1)(a) AND (b)
OF FORM 10-Q AND IS THEREFORE FILING THIS FORM 10-Q WITH THE REDUCED  DISCLOSURE
FORMAT.


<PAGE>

<TABLE>
<CAPTION>

                                TABLE OF CONTENTS

                                                                                                          Page

                                                                                                   -------------------
PART I - FINANCIAL INFORMATION

<S>           <C>                                                                                     <C>
Item 1.       Financial Statements ...........................................................             1

Item 2.       Management's Discussion and Analysis of Results of Operations ..................             6

Exhibit 12.   Computation of Ratio of Earnings to Fixed Charges and Computation of Ratio of
              Earnings to Combined Fixed Charges and Preferred Stock Dividends ...............             9


PART II - OTHER INFORMATION

Item 6.       Exhibits and Reports on Form 8-K ...............................................             10

Signatures    ................................................................................             11


</TABLE>
<PAGE>


                         PART I - FINANCIAL INFORMATION

Item 1.  Financial Statements

<TABLE>
<CAPTION>
       GENERAL ELECTRIC CAPITAL SERVICES, INC. AND CONSOLIDATED AFFILIATES
              Condensed Statement of Current and Retained Earnings
                                   (Unaudited)

                                                                    Three Months Ended                    Six Months Ended
                                                             ----------------------------------    --------------------------------
                                                                 July 1,           June 26,          July 1,           June 26,
(In millions)                                                     2000               1999              2000              1999
                                                             ----------------    --------------    --------------    --------------
Revenues
<S>                                                          <C>                 <C>               <C>               <C>
Revenues from services ..................................    $         14,065    $      11,417     $      27,513     $       22,160
Sales of goods ..........................................               2,405            1,961             4,638              3,601
                                                             ----------------    --------------    --------------    --------------
                                                                       16,470           13,378            32,151             25,761
                                                             ----------------    --------------    --------------    --------------

Expenses
Interest ................................................              2,811             2,237             5,381              4,350
Operating and administrative ............................              4,706             3,859             9,536              7,497
Cost of goods sold ......................................              2,238             1,806             4,308              3,317
Insurance losses and policyholder and annuity benefits ..              3,852             2,705             6,782              5,324
Provision for losses on financing receivables ...........                421               442               942                821
Depreciation and amortization of buildings and equipment
  and equipment on operating leases......................                692               823             1,656              1,508
Minority interest in net earnings of consolidated affiliates .            53                45               103                 83
                                                             ----------------    --------------    --------------    --------------
                                                                      14,773            11,917            28,708            22,900
                                                             ----------------    --------------    --------------    --------------
Earnings
Earnings before income taxes ............................              1,697             1,461             3,443             2,861
Provision for income taxes...............................               (420)             (369)             (956)             (737)
                                                             ----------------    --------------    --------------    --------------
Net Earnings ............................................              1,277             1,092             2,487             2,124
Dividends ...............................................               (441)             (409)             (882)             (795)
Retained earnings at beginning of period ................             18,621            15,721            17,852            15,075
                                                             ----------------    --------------    --------------    --------------
Retained earnings at end of period ......................    $        19,457     $      16,404     $      19,457     $      16,404
                                                             ================    ==============    ==============    ==============


</TABLE>









See Notes to Condensed, Consolidated Financial Statements.

                                       1
<PAGE>

<TABLE>
<CAPTION>

       GENERAL ELECTRIC CAPITAL SERVICES, INC. AND CONSOLIDATED AFFILIATES
                    Condensed Statement of Financial Position

                                                                                      July 1,          December 31,
 (In millions)                                                                         2000                1999
                                                                                 -----------------   -----------------
                                                                                    (Unaudited)
 Assets
<S>                                                                               <C>                <C>
 Cash and equivalents ......................................................      $        10,571    $        6,931
 Investment securities .....................................................               83,209            80,485

 Financing receivables:
    Time sales and loans, net of deferred income............................               98,823            93,625
    Investment in financing leases, net of deferred income..................               48,521            47,783
                                                                                 -----------------   -----------------
                                                                                          147,344           141,408
    Allowance for losses on financing receivables ..........................               (3,930)           (3,779)
                                                                                 -----------------   -----------------
       Financing receivables - net .........................................              143,414           137,629
 Other receivables - net ...................................................               29,335            30,681
 Inventories ...............................................................                1,315             1,209
 Equipment on operating leases (at cost), less accumulated amortization of
    $7,712 and $7,392 ......................................................               24,530            23,605
 Intangible assets .........................................................               15,457            14,748
 Other assets ..............................................................               53,405            49,730
                                                                                 -----------------   -----------------
         Total assets ......................................................     $        361,236    $      345,018
                                                                                 =================   =================
 Liabilities and share owners' equity
 Short-term borrowings .....................................................     $        121,327    $      129,259
 Long-term borrowings:
    Senior .................................................................               75,899            69,770
    Subordinated ...........................................................                  996               996
 Insurance liabilities, reserves and annuity benefits ......................              106,667            86,776
 Other liabilities .........................................................               22,856            24,550
 Deferred income taxes .....................................................                8,603             8,955
                                                                                 -----------------   -----------------
         Total liabilities .................................................              336,348           320,306
                                                                                 -----------------   -----------------
 Minority interest in equity of consolidated affiliates ....................                4,012             4,391
                                                                                 -----------------   -----------------
 Accumulated unrealized (losses) / gains on investment securities - net ....                 (670)              170
 Accumulated foreign currency translation adjustments ......................                 (594)             (384)
                                                                                 -----------------   -----------------
 Accumulated non-owner changes in share owners' equity .....................               (1,264)             (214)
 Capital stock .............................................................                   11                11
 Additional paid-in capital ................................................                2,672             2,672
 Retained earnings .........................................................               19,457            17,852
                                                                                 -----------------   -----------------
         Total share owners' equity ........................................               20,876            20,321
                                                                                 -----------------   -----------------
         Total liabilities and share owners' equity ........................     $        361,236    $      345,018
                                                                                 =================   =================

</TABLE>




See Notes to Condensed, Consolidated Financial Statements.

                                       2
<PAGE>

<TABLE>
<CAPTION>

       GENERAL ELECTRIC CAPITAL SERVICES, INC. AND CONSOLIDATED AFFILIATES
                        Condensed Statement of Cash Flows
                                   (Unaudited)

                                                                                          Six Months Ended
                                                                                -------------------------------------
                                                                                   July 1,             June 26,
 (In millions)                                                                       2000                1999
                                                                               -----------------   ------------------
 Cash Flows From Operating Activities
<S>                                                                            <C>                 <C>
 Net earnings ..............................................................   $        2,487      $        2,124
 Adjustments to reconcile net earnings to cash provided from operating
   activities:
      Provision for losses on financing receivables ........................              942                 821
      Depreciation and amortization of buildings and equipment and equipment
        on operating leases ................................................            1,656               1,508
      Other - net ..........................................................           (4,243)              2,400
                                                                               -----------------   ------------------
         Cash from operating activities ....................................              842               6,853
                                                                               -----------------   ------------------
 Cash Flows From Investing Activities
 Increase in loans to customers ............................................          (49,503)            (40,346)
 Principal collections from customers - loans ..............................           46,849              35,456
 Investment in equipment for financing leases ..............................           (9,160)             (7,949)
 Principal collections from customers - financing leases ...................            7,218               6,426
 Net change in credit card receivables .....................................             (623)                858
 Buildings and equipment and equipment on operating leases:
      - additions ..........................................................           (5,693)             (4,165)
      - dispositions .......................................................            3,231               3,788
 Payments for principal businesses purchased, net of cash acquired .........             (315)             (5,978)
 Purchases of securities by insurance and annuity businesses ...............          (17,083)            (11,525)
 Dispositions and maturities of securities by insurance and annuity businesses         13,264              11,236
 Other - net ...............................................................            1,183              (2,860)
                                                                               -----------------   ------------------
         Cash used for investing activities ................................          (10,632)            (15,059)
                                                                               -----------------   ------------------
 Cash Flows From Financing Activities
 Net change in borrowings (maturities 90 days or less) .....................              525               6,212
 Newly issued debt  -  short-term (maturities 91-365 days) .................            3,859               2,541
                     -  long-term (longer than one year) ...................           15,455              11,855
 Proceeds - non-recourse, leveraged lease debt .............................              383                 320
 Repayments and other reductions:
                    -  short-term (maturities 91-365 days) .................          (16,896)            (10,249)
                    -  long-term (longer than one year) ....................           (1,555)             (1,130)
 Principal payments - non-recourse, leveraged lease debt ...................             (118)               (228)
 Proceeds from sales of investment contracts ...............................            4,139               3,644
 Cash received upon assumption of Toho Mutual Life Insurance Company
   insurance liabilities ...................................................           13,177                   -
 Redemption of investment contracts ........................................           (4,657)             (3,464)
 Dividends paid ............................................................             (882)               (795)
 Issuance of variable cumulative preferred stock by consolidated affiliates                 -                 300
                                                                               -----------------   ------------------
         Cash from financing activities ....................................           13,430               9,006
                                                                               -----------------   ------------------
 Increase in Cash and Equivalents ..........................................            3,640                 800
 Cash and Equivalents at Beginning of Period ...............................            6,931               3,342
                                                                               -----------------   ------------------
 Cash and Equivalents at End of Period .....................................   $       10,571      $        4,142
                                                                               =================   ==================

See Notes to Condensed, Consolidated Financial Statements.

</TABLE>
                                       3
<PAGE>


       GENERAL ELECTRIC CAPITAL SERVICES, INC. AND CONSOLIDATED AFFILIATES
              Notes to Condensed, Consolidated Financial Statements
                                   (Unaudited)

1.   The accompanying  condensed  quarterly financial  statements  represent the
     consolidation  of  General  Electric   Capital   Services,   Inc.  and  all
     majority-owned  and  controlled   affiliates   (collectively   called  "the
     Corporation" or "GECS"). All significant  transactions among the parent and
     consolidated  affiliates  have been  eliminated.  Certain prior period data
     have been reclassified to conform to the current period presentation.

2.   The condensed  consolidated  quarterly financial  statements are unaudited.
     These  statements  include all adjustments  (consisting of normal recurring
     accruals) considered necessary by management to present a fair statement of
     the results of operations,  financial  position and cash flows. The results
     reported in these condensed consolidated financial statements should not be
     regarded as necessarily  indicative of results that may be expected for the
     entire year.

3.  The  Financial   Accounting   Standards  Board  ("FASB")  has  issued,  then
subsequently  amended,  Statement of Financial Accounting Standards ("SFAS") No.
133, Accounting for Derivative Instruments and Hedging Activities, effective for
the  Corporation on January 1, 2001. Upon adoption,  all derivative  instruments
(including certain derivative  instruments  embedded in other contracts) will be
recognized in balance sheets at fair value, and changes in such fair values must
be recognized  immediately in earnings unless specific hedging criteria are met.
Changes  in the  values of  derivatives  meeting  these  hedging  criteria  will
ultimately  offset  related  earnings  effects of the hedged  items;  effects of
qualifying  changes  in  fair  value  are  to  be  recorded  in  equity  pending
recognition  in  earnings.  Management  has not  determined  the total  probable
effects on its financial  statements  of adopting SFAS No. 133, as amended,  and
does not believe that an estimate of such effects  would be  meaningful  at this
time.

4.   A summary of changes in share  owners'  equity that do not result  directly
     from transactions with share owners is provided below.

<TABLE>
<CAPTION>
                                                                                          Three Months Ended
                                                                                  ------------------------------------
                                                                                     July 1,            June 26,
(In millions)                                                                          2000               1999
                                                                                 -----------------   -----------------
<S>                                                                               <C>                <C>
 Net earnings ..............................................................      $       1,277      $        1,092
 Unrealized losses on investment securities - net ..........................               (771)             (1,445)
 Foreign currency translation adjustments ..................................               (100)                (27)
                                                                                 -----------------   -----------------
   Total ...................................................................      $         406       $        (380)
                                                                                 =================   =================

</TABLE>
<TABLE>
<CAPTION>                                                                                          Six Months Ended
                                                                                 -------------------------------------
                                                                                     July 1,            June 26,
                                                                                      2000                1999
                                                                                 -----------------   -----------------
<S>                                                                               <C>                 <C>
 Net earnings ..............................................................      $       2,487       $       2,124
 Unrealized losses on investment securities - net ..........................               (840)             (1,889)
 Foreign currency translation adjustments ..................................               (210)                (99)
                                                                                 -----------------   -----------------
Total ......................................................................      $       1,437       $         136
                                                                                 =================   =================
</TABLE>

5.   On March 1, 2000, the insurance  policies and related assets of Toho Mutual
     Life Insurance Company were transferred to GE Edison Life Insurance Company
     ("GE Edison"),  a subsidiary of GE Financial  Assurance  Holdings,  Inc., a
     wholly-owned,   indirect   subsidiary  of  GECS.  Total  cash,   investment
     securities  and time  sales  and  loans  acquired  by GE  Edison  was $19.7
     billion, and restructured insurance contracts and other liabilities assumed
     were $21.5 billion.

                                       4
<PAGE>


6. Revenues and net earnings of the Corporation,  by operating segment,  for the
three and six months ended July 1, 2000 and June 26, 1999 were as follows:
<TABLE>
<CAPTION>

                                                  Three Months Ended                  Six Months Ended
                                          ----------------------------------- ----------------------------------
                                             July 1,           June 26,         July 1,           June 26,
 (In millions)                                 2000              1999             2000              1999
                                          ----------------  ----------------- --------------  ------------------
 Revenues

<S>                                         <C>               <C>              <C>            <C>
 Consumer Services .....................    $      6,263      $        4,462   $     11,774   $        8,843
 Equipment Management ..................           3,664               4,088          7,397            7,647
 Mid-Market Financing ..................           1,307               1,128          2,563            2,127
 Specialized Financing .................           1,406               1,012          3,122            1,812
 Specialty Insurance ...................           3,025               2,633          5,627            5,219
 All other .............................             805                  55          1,668              113
                                          ----------------  ----------------- --------------  ------------------
   Total revenues ......................    $     16,470      $       13,378  $      32,151   $       25,761
                                          ================  ================= ==============  ==================
 Net Earnings

 Consumer Services .....................    $        352      $          229  $         636   $          450
 Equipment Management ..................             167                 222            318              432
 Mid-Market Financing ..................             147                 128            299              242
 Specialized Financing .................             414                 283          1,012              478
 Specialty Insurance ...................             293                 307            491              657
 All other .............................             (96)                (77)          (269)            (135)
                                          ----------------  ----------------- --------------  ------------------
   Total net earnings ..................    $      1,277      $        1,092  $       2,487    $       2,124
                                          ================  ================= ==============  ==================
</TABLE>


                                       5
<PAGE>


Item 2.  Management's Discussion and Analysis of Results of Operations

Overview

Net  earnings  for the first six  months of 2000  were  $2,487  million,  a $363
million (17%) increase over the first six months of 1999. The results  reflected
the globalization and diversity of the Corporation's businesses. The improvement
in earnings  was largely  attributable  to higher  levels of asset gains and the
effects of continued asset growth,  principally from  acquisitions of businesses
and portfolios.

Operating Results

Total  Revenues  from all  sources  increased  $6,390  million  (25%) to $32,151
million for the first six months of 2000,  compared with $25,761 million for the
first six months of 1999.  This increase  primarily  reflected a combination  of
acquisition and core growth in the Consumer  Services  segment,  asset gains and
core  growth  in the  Specialized  Financing  segment,  and core  growth  in the
Specialty Insurance and Mid-Market Financing segments.

Interest expense for the first six months of 2000 was $5,381 million, 24% higher
than for the first six months of 1999. The increase  reflected  higher  interest
rates and higher average  borrowings used to finance asset growth. The composite
interest rate on the  Corporation's  borrowings for the first six months of 2000
was 5.67% compared with 5.22% in the first six months of 1999.

Operating  and  administrative  expenses  were $9,536  million for the first six
months of 2000, a 27% increase  over the first six months of 1999.  The increase
primarily  reflected   increases  in  insurance   commissions  and  other  costs
associated with businesses and portfolios acquired over the past year. Excluding
the effects of other costs  associated with  businesses and portfolios  acquired
over the past year,  operating and administrative  expenses would have increased
less than 10%.

Cost of goods sold is associated with activities of the  Corporation's  computer
equipment  distribution  business and retail  operation.  This cost  amounted to
$4,308  million for the first six months of 2000,  compared with $3,317  million
for the  first  six  months  of  1999.  The  increase  primarily  reflected  the
consolidation of the retail operation.

Insurance losses and policyholder and annuity benefits  increased $1,458 million
to $6,782 million for the first six months of 2000,  compared with the first six
months of 1999.  The  increase  primarily  reflected  the  effects  of growth in
premium  volume,  and a  higher  loss  ratio  within  the  reinsurance  business
attributable  to an  increase in  property-related  incurred  losses,  partially
offset by improved market conditions in the mortgage insurance business.

Provision for losses on financing receivables was $942 million for the first six
months of 2000  compared  with $821  million  for the first six  months of 1999.
These provisions  principally  related to credit cards,  personal loans and auto
loans and auto leases in the  Consumer  Services  segment,  which are  discussed
below under Portfolio Quality.

Depreciation  and  amortization  of buildings  and  equipment  and  equipment on
operating  leases  increased  $148  million to $1,656  million for the first six
months of 2000  compared  with $1,508  million for the first six months of 1999.
The  increase  was  principally  the  result of higher  shorter-lived  levels of
equipment on operating leases, primarily reflecting acquisition growth.

Provision for income taxes was $956 million for the first six months of 2000 (an
effective  tax rate of  27.8%),  compared  with $737  million  for the first six
months of 1999 (an effective tax rate of 25.8%).  The higher  effective tax rate
primarily reflected increased earnings taxed at statutory rates.

                                       6
<PAGE>


Operating Segments

Revenues and net earnings of the  Corporation,  by  operating  segment,  for the
three and six months  ended July 1, 2000 and June 26,  1999 are  summarized  and
discussed below.

<TABLE>
<CAPTION>

                                                  Three Months Ended                  Six Months Ended
                                          ----------------------------------- ----------------------------------
                                             July 1,           June 26,         July 1,           June 26,
 (In millions)                                 2000              1999             2000              1999
                                          ----------------  ----------------- --------------  ------------------
 Revenues

<S>                                         <C>               <C>              <C>            <C>
 Consumer Services .....................    $      6,263      $        4,462   $     11,774   $        8,843
 Equipment Management ..................           3,664               4,088          7,397            7,647
 Mid-Market Financing ..................           1,307               1,128          2,563            2,127
 Specialized Financing .................           1,406               1,012          3,122            1,812
 Specialty Insurance ...................           3,025               2,633          5,627            5,219
 All other .............................             805                  55          1,668              113
                                          ----------------  ----------------- --------------  ------------------
   Total revenues ......................    $     16,470      $       13,378  $      32,151   $       25,761
                                          ================  ================= ==============  ==================
 Net Earnings

 Consumer Services .....................    $        352      $          229  $         636   $          450
 Equipment Management ..................             167                 222            318              432
 Mid-Market Financing ..................             147                 128            299              242
 Specialized Financing .................             414                 283          1,012              478
 Specialty Insurance ...................             293                 307            491              657
 All other .............................             (96)                (77)          (269)            (135)
                                          ----------------  ----------------- --------------  ------------------
   Total net earnings ..................    $      1,277      $        1,092  $       2,487    $       2,124
                                          ================  ================= ==============  ==================
</TABLE>


Consumer Services revenues  increased 33% and net earnings increased 41% for the
first  six  months of 2000  compared  with the  first  six  months of 1999.  The
increase  in  revenues  was led by  acquisition-related  and core  growth in the
consumer savings and insurance, U.S. consumer credit card, and non-U.S. consumer
finance  businesses,  partially  offset by the  effects of asset  reductions  in
automobile  financing  activities.  The  increase in net  earnings  was led by a
combination  of core  growth  in the U.S.  consumer  credit  card  business  and
acquisition-related growth in the consumer savings and insurance business.

Equipment  Management  revenues  decreased  3% for the first six months of 2000,
compared with the corresponding  period in 1999, primarily as a result of volume
declines in the European information  technology products and services business,
partially offset by acquisition-related growth in fleet services and core growth
in aviation  services.  Net earnings  decreased  26% for the first six months of
2000, compared with the corresponding period in 1999, primarily  attributable to
volume  declines in the European  information  technology  products and services
business and reduced asset gains in the railcar  business,  partially  offset by
core growth in aviation services.

Mid-Market  Financing  revenues grew 21% and net earnings  increased 24% for the
first  six  months  of 2000,  compared  with the  corresponding  period in 1999,
primarily as a result of core growth from increased originations.

Specialized  Financing  revenues rose 72%, while net earnings increased 112%, in
the  first  six  months of 2000  compared  with the  first  six  months of 1999.
Revenues  principally  reflect  increases in asset gains as well as  origination
growth.  Net earnings growth is principally the result of operating strength led
by gains on sale of equity investments.

Specialty  Insurance revenues grew 8% in the first six months of 2000,  compared
with the  corresponding  period in 1999, as a result of increased premium income
associated with origination  volume. Net earnings decreased 25% in the first six
months of 2000,  compared  with the  corresponding  period in 1999,  principally
reflecting  increased frequency and severity of  property-related  losses in the
reinsurance business.

All Other growth in revenues and increase in net loss were  primarily the result
of the consolidation of the retail operation.

                                       7
<PAGE>

Portfolio Quality

Financing  receivables  are the  financing  businesses'  largest asset and their
primary  source of revenues.  The  portfolio of  financing  receivables,  before
allowance for losses,  increased to $147.3 billion at July 1, 2000,  from $141.4
billion at the end of 1999,  primarily  reflecting  the  effects of  acquisition
growth and  higher  origination  volume,  partially  offset by foreign  currency
translation on European financing receivables.  The related allowance for losses
at July 1, 2000  amounted to $3.9 billion  ($3.8 billion at the end of 1999) and
represents  management's  best  estimate  of  probable  losses  inherent  in the
portfolio given its strength and diversity,  and current economic circumstances.
A discussion about the quality of certain elements of the portfolio of financing
receivables follows. "Nonearning" receivables are those that are 90 days or more
delinquent  (or  for  which   collection  has  otherwise  become  doubtful)  and
"reduced-earning"  receivables are commercial  receivables whose terms have been
restructured to a below-market yield.

Consumer  financing  receivables,  primarily  credit card and personal loans and
auto loans and leases,  were $49.5  billion at July 1, 2000,  a decrease of $2.9
billion from the end of 1999.  Nonearning  receivables  remained  steady at $0.9
billion,  1.9% of total  consumer  financing  receivables,  at July 1,  2000 and
December 31, 1999.  Write-offs of consumer receivables increased to $0.8 billion
for the first six months of 2000  compared  with $0.6  billion for the first six
months of 1999.  This  increase  was  primarily  attributable  to the effects of
higher   average   revolving   product   receivable   balances   resulting  from
acquisitions.

Other  financing  receivables,  totaling  $97.8  billion at July 1, 2000  ($89.1
billion at December 31, 1999), consisted of a diverse commercial, industrial and
equipment  loan and lease  portfolio.  Related  nonearning  and  reduced-earning
receivables  were $1.0  billion at July 1, 2000,  compared  with $0.9 billion at
year-end 1999.

Statement of Financial Position

The  Corporation's  assets  increased  by  $16.2  billion  from the end of 1999,
largely a result of acquisition of certain assets and liabilities of Toho Mutual
Life  Insurance  Company  ("Toho"),  an entity that was insolvent when acquired.
That  acquisition  included  approximately $13.2 billion  in  cash,  as  well as
financing receivables and other assets, in exchange for assuming Toho's existing
policyholder  liabilities.  The significant cash position of Toho at the date of
acquisition reflected the liquidity needs of the business including policyholder
redemptions  that  have  occurred  through  July  1,  2000 and are  expected  to
continue over the remainder of the six month period following the acquisition.

Statement of Cash Flows

The  Corporation's  cash and  equivalents  increased by $3.6 billion  during the
first half of 2000 to $10.6 billion, principally as a result of cash acquired in
connection with the Toho  acquisition.  Cash provided from operating  activities
amounted to $0.8 billion during the first six months of 2000, compared with $6.9
billion  during  the first half of 1999.  The  decrease  in cash from  operating
activities  compared  with last year was largely  attributable  to  policyholder
redemptions  associated  with the Toho  acquisition  and a smaller  decrease  in
mortgages held for resale. Cash from financing activities totaled $13.4 billion,
primarily  as  a  result  of  policyholder   liabilities  assumed  in  the  Toho
acquisition, the effect of which was partially offset by net reductions in debt.
The principal use of cash during the period was for investing  activities ($10.6
billion),  a majority of which was  attributable  to  investments in securities,
financing receivables and equipment on operating leases.

Subsequent Event

On July 12, 2000, Union Bank of Switzerland  (UBS) and Paine Webber Group,  Inc.
(PaineWebber) announced that they had entered into a definitive merger agreement
(the  UBS  merger  agreement).   The  Corporation  holds  31,523,600  shares  of
PaineWebber  common stock and would  realize a pretax gain of about $1.4 billion
if the  merger is  completed  under the terms of the UBS merger  agreement.  The
Corporation has agreed with UBS to vote in favor of the merger. Fifty percent of
the Corporation's  holdings of PaineWebber  securities are classified as trading
securities; changes in the share price of those securities will be recognized in
earnings  prior to  consummation.  Thus,  for example,  an increase in the share
price  of  PaineWebber  from  June 30,  2000,  to the  price  in the UBS  merger
agreement would result in recognition of approximately $0.4 billion of the total
pretax gain. The UBS merger  agreement is subject to a number of conditions that
are not within the control of the  Corporation,  resolution of which will affect
the amount and timing of proceeds,  if any,  realized from the  transaction.  At
this time, management is unable to predict the outcome of these matters.

                                       8
<PAGE>

                                                                     EXHIBIT 12
<TABLE>
<CAPTION>

       GENERAL ELECTRIC CAPITAL SERVICES, INC. AND CONSOLIDATED AFFILIATES
                Computation of Ratio of Earnings to Fixed Charges
                                       and
 Computation of Ratio of Earnings to Combined Fixed Charges and Preferred Stock Dividends
                          Six months Ended July 1, 2000
                                   (Unaudited)


                                                                                                        Ratio of
                                                                                                       Earnings to
                                                                                                      Combined Fixed
                                                                                     Ratio of          Charges and
                                                                                    Earnings to      Preferred Stock
 (Dollar Amounts In millions)                                                      Fixed Charges        Dividends
                                                                                 -----------------   -----------------
<S>                                                                                <C>                 <C>
 Net earnings ................................................................     $       2,487       $       2,487
 Provision for income taxes ..................................................               956                 956
 Minority interest in net earnings of consolidated affiliates ................               103                 103
                                                                                 -----------------   -----------------

 Earnings before provision for income taxes and minority interest ............             3,546               3,546
 Fixed charges:
    Interest .................................................................             5,546               5,546
    One-third of rentals .....................................................               206                 206
                                                                                 -----------------   -----------------

 Total fixed charges .........................................................             5,752               5,752
 Less interest capitalized, net of amortization ..............................               (54)                (54)
                                                                                 -----------------   -----------------

 Earnings before provision for income taxes and minority interest, plus fixed
    charges ..................................................................     $       9,244       $       9,244
                                                                                 =================   =================

 Ratio of earnings to fixed charges ..........................................              1.61
                                                                                 =================

 Preferred stock dividend requirements .......................................                        $         -
 Ratio of earnings before provision for income taxes to net earnings .........                                  1.38
                                                                                                     -----------------

 Preferred stock dividend factor on pre-tax basis ............................                                  -
 Fixed charges ...............................................................                                 5,752
                                                                                                     -----------------

 Total fixed charges and preferred stock dividend requirements ...............                         $       5,752
                                                                                                     =================

 Ratio of earnings to combined fixed charges and preferred stock dividends ...                                  1.61
                                                                                                     =================
</TABLE>


For purposes of computing the ratios,  fixed charges  consist of interest on all
indebtedness and one-third of rentals, which management believes is a reasonable
approximation of the interest factor of such rentals.

                                       9
<PAGE>


                           PART II--OTHER INFORMATION

Item 6.  Exhibits and Reports on Form 8-K.

     a.  Exhibits.

         Exhibit      12.  Computation of ratio of earnings to fixed charges and
                      computation of ratio of earnings to combined fixed charges
                      and preferred stock dividends.

         Exhibit 27. Financial Data Schedule (filed electronically only).

     b.  Reports on Form 8-K.

         None.


                                       10
<PAGE>


                                   SIGNATURES

Pursuant  to the  requirements  of the  Securities  Exchange  Act of  1934,  the
registrant  has duly  caused  this  report  to be  signed  on its  behalf by the
undersigned thereunto duly authorized.

                                         GENERAL ELECTRIC CAPITAL SERVICES, INC.
                                         ---------------------------------------
                                                                    (Registrant)


Date: July 26, 2000            By:        /s/ J.A. Parke
                                       -------------------------------------
                                          J.A. Parke,
                            Executive Vice President and Chief Financial Officer
                                      (Principal Financial Officer)



Date: July 26, 2000            By:         /s/ J.C. Amble
                                       -------------------------------------
                                           J.C. Amble,
                                       Vice President and Controller
                                       (Principal Accounting Officer)

                                       11
<PAGE>

       GENERAL ELECTRIC CAPITAL SERVICES, INC. AND CONSOLIDATED AFFILIATES

                                INDEX TO EXHIBITS


EXHIBIT NO.                                                             PAGE
-----------                                                           --------

   12       Computation   of  ratio  of  earnings  to  fixed
            charges  and computation of ratio of earnings to
            combined fixed charges and preferred stock dividends ...     13


   27       Financial Data Schedule (filed electronically only)




                                       12