<PAGE>


                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 June 28, 1997
                                                 -------------
                                       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,                               06927
      STAMFORD, CONNECTICUT                             (Zip Code)
 (Address of principal executive offices)

                                 (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 28,  1997,  101 shares of common  stock with a par value of $10,000 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 OF CONTENTS



                                                                         PAGE
                                                                       --------


PART I - FINANCIAL INFORMATION.

Item 1.       Financial Statements ................................        1

Item 2.       Management's Discussion and Analysis of Results
              of Operations .......................................        5

Exhibit 12.   Computation of Ratio of Earnings to Fixed Charges
              and Computation of Ratio of Earnings to Combined
              Fixed Charges and Preferred Stock Dividends .........        8


PART II - OTHER INFORMATION.

Item 6.       Exhibits and Reports on Form 8-K ....................        9

Signatures ........................................................       10

Index to Exhibits .................................................       11





<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
                                   --------------------    --------------------
                                   JUNE 28,    JUNE 29,    JUNE 28,    JUNE 29,
(In millions)                         1997        1996        1997        1996
                                   --------    --------    --------    --------
<S>                                <C>         <C>         <C>         <C>     
EARNED INCOME ..................   $  9,317    $  7,457    $ 18,861    $ 14,702
                                   --------    --------    --------    --------

EXPENSES
Interest .......................      1,862       1,789       3,645       3,524
Operating and administrative ...      3,380       2,366       6,904       4,551
Insurance losses and
  policyholder and annuity
  benefits .....................      2,012       1,558       4,256       3,160
Provision for losses on
  financing receivables ........        337         228         649         441
Depreciation and amortization of
  buildings and equipment and
  equipment on operating leases         567         527       1,137       1,020
Minority interest in net
  earnings of consolidated
  affiliates ...................         21          38          51          82
                                   --------    --------    --------    --------
                                      8,179       6,506      16,642      12,778
                                   --------    --------    --------    --------

EARNINGS
Earnings before income taxes ...      1,138         951       2,219       1,924
Provision for income taxes .....       (340)       (268)       (667)       (591)
                                   --------    --------    --------    --------

NET EARNINGS ...................        798         683       1,552       1,333
Dividends ......................       (320)       (239)       (620)       (464)
Retained earnings at beginning
  of period ....................     11,808       9,943      11,354       9,518
                                   --------    --------    --------    --------
RETAINED EARNINGS AT END
  OF PERIOD ....................   $ 12,286    $ 10,387    $ 12,286    $ 10,387
                                   ========    ========    ========    ========
</TABLE>










See Notes to Condensed, Consolidated Financial Statements.

                                       1
<PAGE>


ITEM 1. FINANCIAL STATEMENTS (Continued).
<TABLE>
<CAPTION>

       GENERAL ELECTRIC CAPITAL SERVICES, INC. AND CONSOLIDATED AFFILIATES

                    CONDENSED STATEMENT OF FINANCIAL POSITION

                                                           JUNE 28, DECEMBER 31,
(In millions)                                                 1997        1996
                                                           --------    --------
                                                         (Unaudited)
<S>                                                        <C>         <C>     
ASSETS
Cash and equivalents ...................................   $  3,011    $  3,234
Investment securities ..................................     64,140      59,872
Financing receivables:
  Time sales and loans, net of deferred income .........     61,446      62,832
  Investment in financing leases, net of deferred income     39,199      39,575
                                                           --------    --------
                                                            100,645     102,407
  Allowance for losses on financing receivables ........     (2,647)     (2,693)
                                                           --------    --------
    Financing receivables - net ........................     97,998      99,714
Other receivables - net ................................     16,756      15,962
Equipment on operating leases (at cost), less
  accumulated amortization of $5,392 and $5,625 ........     17,093      16,134
Intangible assets ......................................      8,517       8,640
Other assets ...........................................     25,176      23,863
                                                           --------    --------
      TOTAL ASSETS .....................................   $232,691    $227,419
                                                           ========    ========


LIABILITIES AND EQUITY
Short-term borrowings ..................................   $ 81,133    $ 77,945
Long-term borrowings:
  Senior ...............................................     44,168      46,680
  Subordinated .........................................        996         996
Insurance liabilities, reserves and annuity benefits ...     63,795      61,327
Other liabilities ......................................     16,091      15,925
Deferred income taxes ..................................      8,426       7,740
                                                           --------    --------
      Total liabilities ................................    214,609     210,613
                                                           --------    --------
Minority interest in equity of consolidated affiliates .      2,596       2,530
                                                           --------    --------

Capital stock ..........................................         11          11
Additional paid-in capital .............................      2,325       2,316
Retained earnings ......................................     12,286      11,354
Unrealized gains on investment securities ..............      1,025         668
Foreign currency translation adjustments ...............       (161)        (73)
                                                           --------    --------
      Total equity .....................................     15,486      14,276
                                                           --------    --------
      TOTAL LIABILITIES AND EQUITY .....................   $232,691    $227,419
                                                           ========    ========
</TABLE>



See Notes to Condensed, Consolidated Financial Statements.

                                       2
<PAGE>


ITEM 1. FINANCIAL STATEMENTS (Continued).
<TABLE>
<CAPTION>

       GENERAL ELECTRIC CAPITAL SERVICES, INC. AND CONSOLIDATED AFFILIATES

                        CONDENSED STATEMENT OF CASH FLOWS

                                   (Unaudited)


                                                             SIX MONTHS ENDED
                                                           --------------------
                                                           JUNE 28,    JUNE 29,
(In millions)                                                 1997        1996
                                                           --------    --------
<S>                                                        <C>         <C>     
CASH FLOWS FROM OPERATING ACTIVITIES
Net earnings ...........................................   $  1,552    $  1,333
Adjustments to reconcile net earnings to cash provided
  from operating activities:
   Provision for losses on financing receivables .......        649         441
   Depreciation and amortization of buildings and
    equipment and equipment on operating leases ........      1,137       1,020
   Other - net .........................................      1,418          93
                                                           --------    --------
     Cash provided from operating activities ...........      4,756       2,887
                                                           --------    --------

CASH FLOWS FROM INVESTING ACTIVITIES
Increase in loans to customers .........................    (21,757)    (23,954)
Principal collections from customers ...................     20,571      25,186
Investment in assets on financing leases ...............     (7,407)     (5,958)
Principal collections on financing leases ..............      7,382       5,319
Net decrease (increase) in credit card receivables .....      1,700        (602)
Buildings and equipment and equipment on operating
  leases:
    - additions ........................................     (2,929)     (2,658)
    - dispositions .....................................      1,119         530
Payments for principal businesses purchased, net of
  cash acquired ........................................       (581)     (1,708)
Purchases of investment securities by insurance
  affiliates and annuity businesses ....................     (9,469)     (6,638)
Dispositions and maturities of investment securities
  by insurance affiliates and annuity businesses .......      8,055       6,175
Other - net ............................................     (2,364)     (1,740)
                                                           --------    --------
     Cash used for investing activities ................     (5,680)     (6,048)
                                                           --------    --------

CASH FLOWS FROM FINANCING ACTIVITIES
Net change in borrowings (maturities 90 days or less) ..      6,203       3,381
Newly issued debt  - short-term (maturities 91-365 days)      2,098       2,473
                   - long-term senior ..................      7,039      10,480
Proceeds - non-recourse, leveraged lease debt ..........       --           429
Repayments and other reductions:
                   - short-term (maturities 91-365 days)    (13,456)    (11,294)
                   - long-term senior ..................       (495)       (627)
Principal payments - non-recourse, leveraged lease debt        (186)       (152)
Proceeds from sales of investment and annuity contracts       2,028         852
Redemption of investment and annuity contracts .........     (2,010)     (1,466)
Dividends paid .........................................       (620)       (464)
Issuance of variable cumulative preferred stock by
  consolidated affiliate ...............................        100        --
                                                           --------    --------
     Cash provided from financing activities ...........        701       3,612
                                                           --------    --------

(DECREASE) INCREASE IN CASH AND EQUIVALENTS ............       (223)        451
CASH AND EQUIVALENTS AT BEGINNING OF PERIOD ............      3,234       1,949
                                                           --------    --------
CASH AND EQUIVALENTS AT END OF PERIOD ..................   $  3,011    $  2,400
                                                           ========    ========
</TABLE>


See Notes to Condensed, Consolidated Financial Statements.

                                       3
<PAGE>


ITEM 1. FINANCIAL STATEMENTS (Continued).

       GENERAL ELECTRIC CAPITAL SERVICES, INC. AND CONSOLIDATED AFFILIATES

              NOTES TO CONDENSED, CONSOLIDATED FINANCIAL STATEMENTS

                                   (UNAUDITED)

1.        The accompanying  condensed quarterly financial  statements  represent
          the adding together 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  Corporation  has  adopted   Statement  of  Financial   Accounting
          Standards ("SFAS") No. 125,  Accounting for Transfers and Servicing of
          Financial  Assets and  Extinguishments  of  Liabilities.  Among  other
          things,  this Statement  distinguishes  transfers of financial  assets
          that are sales from  transfers that are secured  borrowings,  based on
          control  of the  transferred  assets.  SFAS  No.  125  applies  to all
          transactions occurring after December 31, 1996; thus, adoption did not
          have an effect on the  financial  position or results of operations of
          the Corporation.

4.        The Corporation has a noncontrolling investment in the common stock of
          Montgomery  Ward Holding  Corp.  ("MWHC"),  which,  together  with its
          wholly-owned subsidiary,  Montgomery Ward & Co., Incorporated ("MWC"),
          is  engaged in retail  merchandising  and  direct  response  marketing
          (conducted  primarily  through  Signature  Financial/Marketing,   Inc.
          ("Signature"), which markets consumer club and insurance products). At
          June 28, 1997, MWHC and certain of its affiliates were in negotiations
          with lenders to restructure debt and to obtain  additional  financing.
          On July 7, 1997, MWHC, MWC and certain of their affiliates  (excluding
          Signature),  filed for  reorganization  under  Chapter  11 of the U.S.
          Bankruptcy  Code.  As a result,  loans to MWHC and  affiliates  became
          "impaired"  loans,  as  defined  by  generally   accepted   accounting
          principles,  because,  due to the automatic  stay in  bankruptcy,  the
          Corporation is not receiving  current  interest  payments on its loans
          and it is therefore  probable that the  Corporation  will be unable to
          collect all amounts due according to original contractual terms of the
          loan  agreements  (refer to  Management's  Discussion  and Analysis of
          Results of Operations, Other Matters).



                                       4
<PAGE>


ITEM  2.  MANAGEMENT'S DISCUSSION AND ANALYSIS OF RESULTS OF OPERATIONS.

OVERVIEW

Net  earnings  for the first half of 1997 were $1,552  million,  a $219  million
(16%) increase over the first half of 1996.

Earnings  of the  lending,  leasing  and  equipment  management  businesses  are
significantly  influenced by the level of invested assets, the related financing
spreads (the excess of rates earned -- yields -- over rates on  borrowings)  and
the quality of those assets.  The increase in net earnings for these  businesses
principally  resulted from a higher average level of invested  assets as well as
increased  financing spreads,  reflecting both higher yields and lower borrowing
rates.  Earnings growth from the consumer savings and insurance  operations also
contributed to the increase in net earnings,  principally reflecting the effects
of acquisitions during 1996.

The  Specialty  Insurance  segment,  principally  GE  Global  Insurance  Holding
Corporation,  added to the increase in net earnings  primarily  due to increased
premium and investment  income resulting from  origination  volume and continued
growth  in the  investment  portfolios,  in  addition  to a higher  level of net
realized gains on investment  sales.  These  increases were partially  offset by
increases  in  reserves  for  insurance   losses,   primarily   related  to  the
corresponding increase in premium income.

OPERATING RESULTS

EARNED INCOME from all sources increased $4,159 million (28%) to $18,861 million
for the first half of 1997,  compared with $14,702 million for the first half of
1996.

Earned  income from the  equipment  management,  consumer  services,  mid-market
financing,  and specialized  financing businesses increased $3,570 million (33%)
over the comparable  prior-year  period. A significant  portion of this increase
was the  contribution  provided by the  computer  equipment  businesses  and the
consumer  savings and insurance  businesses  acquired  during 1996. The increase
also  reflected a higher average level of invested  assets,  resulting from both
origination volume and acquisitions of portfolios and businesses.  Earned income
was  impacted  by  higher  losses  associated  with  the  Corporation's   equity
investment in Montgomery Ward Holding Corp. ("MWHC"), including the write-off of
the  Corporation's  remaining  common stock  investment  in MWHC (refer to Other
Matters below).  This impact was largely offset by a gain recognized on the sale
of an investment in the stock of a publicly traded company.

Earned income of the Specialty Insurance segment increased $637 million (16%) to
$4,548  million for the first half of 1997 compared with the first half of 1996.
The  increase  primarily  reflected  increased  premium  and  investment  income
resulting  from  origination  volume  and  continued  growth  in the  investment
portfolios,  in addition to a higher level of net realized  gains on  investment
sales in the second quarter of 1997.

INTEREST  EXPENSE for the first half of 1997 was $3,645 million,  3% higher than
for the first half of 1996. The increase reflected the effects of higher average
borrowings used to finance asset growth,  offset by the effects of lower average
interest rates. The composite interest rate on the Corporation's  borrowings for
the first half of 1997 was 6.00% compared with 6.35% in the first half of 1996.

OPERATING AND ADMINISTRATIVE  EXPENSES were $6,904 million for the first half of
1997,  a 52%  increase  over the  first  half of 1996.  The  increase  primarily
reflected the inclusion of costs of sales and services of the computer equipment
businesses  acquired in the third quarter of 1996. The remainder of the increase
primarily  resulted from other costs  associated  with businesses and portfolios
acquired over the past year and higher investment levels.

INSURANCE LOSSES AND  POLICYHOLDER AND ANNUITY BENEFITS  increased 35% to $4,256
million for the first half of 1997,  compared with $3,160  million for the first
half of  1996.  The  increase  primarily  reflected  the  consumer  savings  and
insurance businesses acquired in 1996 and growth in origination volume.

PROVISION FOR LOSSES ON FINANCING  RECEIVABLES increased to $649 million for the
first  half of  1997  from  $441  million  for the  first  half of  1996.  These
provisions  principally  related to  private-label  and bank credit cards in the
Consumer Services segment which are discussed below under Portfolio Quality. The
increase  principally  reflects  higher average  receivable  balances as well as
increased  delinquencies  in the consumer  portfolio,  consistent  with industry
experience.

                                       5
<PAGE>


ITEM  2.  MANAGEMENT'S DISCUSSION AND ANALYSIS OF RESULTS
          OF OPERATIONS (Continued).

DEPRECIATION  AND  AMORTIZATION  OF BUILDINGS  AND  EQUIPMENT  AND  EQUIPMENT ON
OPERATING  LEASES  increased  $117 million (11%) to $1,137 million for the first
half of 1997  compared  with  $1,020  million  for the first  half of 1996.  The
increase was  principally  the result of higher levels of equipment on operating
leases,  primarily reflecting a shift in auto lease volume from financing leases
to operating leases as well as origination volume and acquisition growth.

PROVISION  FOR  INCOME  TAXES was $667  million  for the first  half of 1997 (an
effective  tax rate of 30.1%),  compared with $591 million for the first half of
1996 (an  effective  tax rate of 30.7%).  The higher  provision for income taxes
reflected increased pre-tax earnings subject to statutory rates.

PORTFOLIO QUALITY

THE PORTFOLIO OF FINANCING RECEIVABLES,  before allowance for losses,  decreased
to $100.6  billion at June 28,  1997,  from  $102.4  billion at the end of 1996.
Financing  receivables are the financing segment's largest asset and its primary
source of revenues.  Related allowances for losses at June 28, 1997,  aggregated
$2.6 billion (2.63% of receivables - the same as at the end of 1996) and are, in
management's  judgment,  appropriate given the risk profile of the portfolio.  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 and "reduced  earning"  receivables are commercial  receivables whose
terms have been restructured to a below-market yield. Refer to Other Matters for
a discussion of receivables  related to MWHC and affiliates.  The nonearning and
reduced earning  receivable  balances and the write-off  amounts discussed below
exclude amounts related to MWHC and affiliates.

CONSUMER  RECEIVABLES,  primarily  credit card and personal loans and auto loans
and leases, were $44.4 billion at June 28, 1997, a decrease of $1.8 billion from
the end of 1996.  Nonearning  receivables  increased to $936 million at June 28,
1997, from $926 million at December 31, 1996. Write-offs of consumer receivables
increased to $607 million for the first half of 1997, compared with $397 million
for the first half of 1996.  This increase was primarily  attributable to higher
average  receivable  balances resulting from a combination of origination volume
and  acquisitions of businesses and portfolios as well as higher  delinquencies,
consistent with overall industry experience.

COMMERCIAL  REAL ESTATE LOANS  classified  as financing  receivables  were $12.1
billion at June 28, 1997, the same as at year-end  1996.  Nonearning and reduced
earning  receivables  were $165  million at June 28,  1997,  compared  with $158
million at December 31, 1996.  Write-offs of  commercial  real estate loans were
$15 million for the first half of 1997,  compared with $18 million for the first
half of 1996.  At June 28,  1997,  the  commercial  real estate  portfolio  also
included,  in other  assets,  $1.7  billion of assets  acquired  for resale from
various financial  institutions ($1.6 billion at year-end 1996) and $2.1 billion
of investments in real estate ventures ($2.5 billion at year-end 1996).

OTHER FINANCING  RECEIVABLES,  totaling $44.1 billion at June 28, 1997 (the same
as at December 31,  1996),  consisted of a diverse  commercial,  industrial  and
equipment  loan and lease  portfolio.  Related  nonearning  and  reduced-earning
receivables  were $260 million at June 28, 1997,  compared  with $313 million at
year-end 1996.

The Corporation held loans and leases to commercial  airlines  amounting to $8.4
billion at June 28, 1997, up from $8.2 billion at the end of 1996.


                                       6
<PAGE>


ITEM  2.  MANAGEMENT'S DISCUSSION AND ANALYSIS OF RESULTS
          OF OPERATIONS (Continued).

OTHER MATTERS

The  Corporation  has  a  noncontrolling  investment  in  the  common  stock  of
Montgomery Ward Holding Corp.  ("MWHC"),  which,  together with its wholly-owned
subsidiary,  Montgomery Ward & Co.,  Incorporated  ("MWC"), is engaged in retail
merchandising  and  direct  response  marketing   (conducted  primarily  through
Signature Financial/Marketing,  Inc. ("Signature"),  which markets consumer club
and insurance  products).  At June 28, 1997,  MWHC and certain of its affiliates
were in negotiations  with lenders to restructure debt and to obtain  additional
financing.  On July 7, 1997, MWHC, MWC and certain of their affiliates filed for
reorganization under Chapter 11 of the U.S. Bankruptcy Code.

MWHC  reported  losses from  operations  during the first half of 1997,  and the
Corporation's  investment  was  reduced  for  its  share  of  such  losses.  The
Corporation has also written off its remaining  investment in MWHC common stock,
resulting  in total  pre-tax  losses of $323 million for the first six months of
1997.  In  addition to the  investment  in MWHC common  stock,  the  Corporation
engages in various  ordinary course of business  transactions  with MWHC and its
affiliates. At June 28, 1997, such investments,  primarily  inventory  financing
and  preferred  stock from MWHC and its  affiliates,  amounted to  approximately
$1,060  million,  an increase of $313 million from December 31, 1996,  primarily
resulting  from  increased  inventory  financing.  No  impairment  writedown was
considered  necessary for these  investments as of June 28, 1997;  however,  the
Corporation has suspended income  recognition on these  investments.  Management
will continue to carefully monitor these investments for recoverability.

Subsequent to the MWHC bankruptcy  filing,  the  Corporation  announced a $1,000
million Debtor-In-Possession financing commitment ("the commitment"), subject to
certain  conditions,  to MWHC for the  purchase of  inventory  and other  costs.
Approximately  $300  million  of the  financing,  which  has  an  administrative
priority in  bankruptcy,  has been approved by the  bankruptcy  court,  with the
remainder still subject to court approval.  The Corporation intends to syndicate
a substantial portion of any borrowings under the commitment.

The  Corporation  also  provides  financing to customers of MWHC and  affiliates
through  the  Corporation's  wholly-owned  affiliates,  Montgomery  Ward  Credit
Corporation and Monogram Credit Card Bank of Georgia.  These receivables,  which
represent revolving credit card transactions directly with customers of MWHC and
affiliates,  aggregated approximately $4,559 million at June 28, 1997, including
$1,669  million  that  have  been  sold  with  recourse  by  the   Corporation's
affiliates.  The obligations of customers with respect to these  receivables are
not affected by the Chapter 11 bankruptcy filing.

MWHC and its  affiliates,  under new management in 1997,  are  continuing  their
restructuring   efforts  as  well  as  developing  a  plan  of   reorganization.
Restructuring  plans  are  likely to  include  the  implementation  of a revised
merchandising  strategy  and the closing  and/or  upgrading  of selected  retail
stores.  Signature  is not  included in the Chapter 11  bankruptcy  filing,  and
the possibility of sale of Signature will continue to be evaluated.



                                       7
<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 JUNE 28, 1997

                                   (Unaudited)

                                                                      RATIO OF
                                                                      EARNINGS 
                                                                         TO
                                                                      COMBINED
                                                                        FIXED
                                                           RATIO OF    CHARGES
                                                           EARNINGS      AND
                                                              TO      PREFERRED
                                                             FIXED      STOCK
(Dollar amounts in millions)                                CHARGES   DIVIDENDS
                                                           --------    --------
<S>                                                        <C>         <C>     
Net earnings ...........................................   $  1,552    $  1,552
Provision for income taxes .............................        667         667
Minority interest in net earnings of consolidated
  affiliates ...........................................         51          51
                                                           --------    --------
Earnings before provision for income taxes and
  minority interest ....................................      2,270       2,270
                                                           --------    --------

Fixed charges:
  Interest .............................................      3,694       3,694
  One-third of rentals .................................        112         112
                                                           --------    --------
Total fixed charges ....................................      3,806       3,806
                                                           --------    --------
Less interest capitalized, net of amortization .........         23          23
                                                           --------    --------
Earnings before provision for income taxes and
  minority interest, plus fixed charges ................   $  6,053    $  6,053
                                                           ========    ========

Ratio of earnings to fixed charges .....................       1.59
                                                           ========


Preferred stock dividend requirements ..................               $   --
Ratio of earnings before provision for income taxes to
  net earnings .........................................                   1.43
Preferred stock dividend factor on pre-tax basis .......                   --
Fixed charges ..........................................                  3,806
                                                                       --------
Total fixed charges and preferred stock dividend
  requirements .........................................               $  3,806
                                                                       ========

Ratio of earnings to combined fixed charges and
  preferred stock dividends ............................                   1.59
                                                                       ========
</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.


                                       8
<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.




                                       9
<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 30, 1997                By:          /s/ J.A. Parke
                                        -----------------------------------
                                                    J.A. Parke,
                                          Senior Vice President, Finance
                                           (Principal Financial Officer)


Date:  July 30, 1997               By:           /s/ J.C. Amble
                                        -----------------------------------
                                                     J.C. Amble,
                                           Vice President and Controller
                                           (Principal Accounting Officer)






                                       10
<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 ....................................         8

         27         Financial Data Schedule (filed
                    electronically only)





                                       11