<PAGE>

                                   FORM 10-Q

                      SECURITIES AND EXCHANGE COMMISSION

                            Washington, D.C. 20549


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

          For the quarterly period ended              June 30, 1999
                                          --------------------------------------

                                      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 1-9983

                           OEC MEDICAL SYSTEMS, INC.
                                 (Registrant)

                     Incorporated in the State of Delaware

               I.R.S. Employer Identification Number 94-2538512


             384 Wright Brothers Drive, Salt Lake City, Utah 84116
                   (Address of Principal Executive Offices)


                          Telephone:  (801) 328-9300

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 requirements
for the past 90 days.

                                 Yes   X    No____
                                     -----

As of July 31, 1999, there were 12,712,293 shares of Common Stock ($.01 par
value) outstanding.
<PAGE>

Part I.       Financial Information
Item 1.       Financial Statements

                           OEC MEDICAL SYSTEMS, INC.
                     CONSOLIDATED STATEMENTS OF OPERATIONS
                                  (unaudited)
           FOR THE QUARTER & SIX MONTHS ENDED JUNE 30, 1999 AND 1998
                   (In thousands, except per share amounts)

<TABLE>
<CAPTION>


                                         Quarter Ended June 30,     Six Months Ended June 30,
                                           1999          1998          1999           1998
                                        -----------------------    --------------------------
<S>                                     <C>           <C>          <C>            <C>
Net sales
 Product                                   $46,677      $39,622       $ 91,218        $75,961
 Service                                     6,264        5,925         12,085         11,181
                                           -------      -------       --------        -------
 Total net sales                            52,941       45,547        103,303         87,142
                                           -------      -------       --------        -------

Cost of sales
 Product                                    26,311       21,961         50,945         42,180
 Service                                     4,591        4,233          9,075          8,211
                                           -------      -------       --------        -------
 Total cost of sales                        30,902       26,194         60,020         50,391
                                           -------      -------       --------        -------
 Gross margin                               22,039       19,353         43,283         36,751
                                           -------      -------       --------        -------

Operating expenses
 Research and development                    3,264        3,274          6,855          6,284
 Marketing and sales                         9,158        7,840         17,739         15,163
 Administrative, general and other           2,621        2,428          5,307          4,723
                                           -------      -------       --------        -------
 Total operating expenses                   15,043       13,542         29,901         26,170
                                           -------      -------       --------        -------

Operating income                             6,996        5,811         13,382         10,581

Interest income                                143          223            331            490
Interest expense                                (8)         (69)           (14)          (145)
                                           -------      -------       --------        -------

Income before income taxes                   7,131        5,965         13,699         10,926

Income tax expense                           2,495        2,090          4,794          3,806
                                           -------      -------       --------        -------
Net income                                 $ 4,636      $ 3,875       $  8,905        $ 7,120
                                           =======      =======       ========        =======

Net income per common share:
 Diluted                                      $.35         $.29           $.67           $.53
 Basic                                        $.37         $.31           $.70           $.56

Common shares:
 Diluted                                    13,298       13,384         13,352         13,391
 Basic                                      12,668       12,689         12,709         12,664
</TABLE>

                           (See Accompanying Notes)

                                       2
<PAGE>

                           OEC MEDICAL SYSTEMS, INC.
                          CONSOLIDATED BALANCE SHEETS
                      JUNE 30, 1999 AND DECEMBER 31, 1998
                    (In thousands, except per share amounts)
<TABLE>
<CAPTION>

                                      ASSETS
                                                                June 30, 1999    December 31, 1998
                                                                --------------   -----------------
                                                                 (unaudited)
<S>                                                                <C>                 <C>
Current Assets:
 Cash and cash equivalents                                         $  8,671            $  4,438
 Securities available for sale                                       11,491              15,222
 Accounts receivable, net of
    allowances of $1,213 and $1,288, respectively                    44,374              44,365
 Inventories, net                                                    45,436              42,579
 Prepaid expenses and other current assets                            1,735               1,079
 Income taxes receivable                                                145                 629
 Deferred income taxes                                                5,536               6,698
                                                                   --------            --------
    Total current assets                                            117,388             115,010

Long-term receivables                                                 1,393               1,520
Property and equipment, net                                          17,228              17,242
Cost in excess of net assets acquired, net of
 accumulated amortization of $10,612 and $10,126, respectively        9,436               9,922
Deferred income taxes                                                   680                 256
Investment in unconsolidated affiliate                                1,320               1,421
Other assets                                                          1,136                 876
                                                                   --------            --------
    Total                                                          $148,581            $146,247
                                                                   ========            ========

                     LIABILITIES AND STOCKHOLDERS' EQUITY

Current Liabilities:
 Accounts payable                                                  $  9,856            $ 12,101
 Accrued salaries and benefits                                        6,047               6,485
 Accrued warranty and installation costs                              2,855               2,702
 Deferred income and customer deposits                                4,680               4,647
 Accrued distributor commissions                                      3,623               3,795
 Other accrued liabilities                                            4,331               4,548
                                                                   --------            --------
    Total current liabilities                                        31,392              34,278
                                                                   --------            --------


Stockholders' Equity:
 Preferred stock, $.01 par value
    Authorized--2,000 shares, none outstanding                           --                  --
 Common stock, $.01 par value
    Authorized--30,000 shares
    Issued--14,103 and 13,976 shares, respectively                      141                 140
 Capital in excess of par value                                      91,140              88,990
 Retained earnings                                                   46,971              38,066
 Treasury stock, 1,445 and 1,200 shares at cost, respectively       (20,741)            (15,036)
 Accumulated other comprehensive income                                (322)               (191)
                                                                   --------            --------
    Total stockholders' equity                                      117,189             111,969
                                                                   --------            --------
      Total                                                        $148,581            $146,247
                                                                   ========            ========
</TABLE>
                           (See Accompanying Notes)

                                       3
<PAGE>

                           OEC MEDICAL SYSTEMS, INC.
                     CONSOLIDATED STATEMENTS OF CASH FLOWS
                FOR THE SIX MONTHS ENDED JUNE 30, 1999 AND 1998
                                (In thousands)
                                  (unaudited)
<TABLE>
<CAPTION>
                                                                          1999       1998
                                                                        --------   --------
<S>                                                                     <C>        <C>
OPERATING ACTIVITIES:
   Net income                                                           $ 8,905    $ 7,120
   Adjustments to reconcile net income
   to net cash provided by operating activities:
       Depreciation and amortization expense                              2,507      1,815
       Deferred income tax expense                                          738        150
       Current tax benefit attributable to stock options exercised          600      1,376
       Non-employee stock option expense                                    147         --
       Changes in current assets and liabilities:
            Accounts receivable, net                                         (9)    (3,351)
            Inventories, net                                             (2,857)    (7,826)
            Prepaid expenses and other current assets                      (656)       848
            Income taxes                                                    484        406
            Other assets                                                   (260)      (228)
            Accounts payable                                             (2,245)     1,507
            Accrued salaries and benefits                                  (438)      (628)
            Accrued warranty and installation costs                         153        227
            Deferred income and customer deposits                            33       (398)
            Accrued legal fees and litigation settlements                    --        220
            Accrued distributor commissions                                (172)      (712)
            Other accrued liabilities                                      (217)      (377)
                                                                        -------    -------
       Net cash provided by operating activities                          6,713        149
                                                                        -------    -------

INVESTING ACTIVITIES:
   Reduction in long-term receivables                                       127        145
   Additions to property and equipment                                   (1,915)    (2,422)
   Sale (purchase) of securities available for sale                       3,731     (2,692)
   Payment for the purchase of unconsolidated affiliate                      --     (1,575)
   Other                                                                   (122)      (121)
                                                                        -------    -------
       Net cash provided (used) by investing activities                   1,821     (6,665)
                                                                        -------    -------

FINANCING ACTIVITIES:
   Common stock issued under benefit plans                                1,404      1,863
   Purchases of treasury stock                                           (5,705)    (2,855)
                                                                        -------    -------
       Net cash used by financing activities                             (4,301)      (992)
                                                                        -------    -------

   Net increase (decrease) in cash and cash equivalents                   4,233     (7,508)
   Cash and cash equivalents at beginning of period                       4,438     17,502
                                                                        -------    -------
   Cash and cash equivalents at end of period                           $ 8,671    $ 9,994
                                                                        =======    =======

SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION:
   Cash paid during the period for interest                             $    14    $    19
   Cash paid during the period for income taxes                         $ 2,955    $ 1,874
</TABLE>

                           (See Accompanying Notes)

                                       4
<PAGE>

                           OEC MEDICAL SYSTEMS, INC.
                  NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                                  (UNAUDITED)
                            JUNE 30, 1999 AND 1998


1.   Interim information is unaudited but, in the opinion of Company management,
     all adjustments necessary for a fair presentation of interim results have
     been included.  The results for the three and six months ended June 30,
     1999 and 1998, are not necessarily indicative of the results to be expected
     for the entire year.  These consolidated financial statements and notes
     should be read in conjunction with the Company's consolidated financial
     statements for the year ended December 31, 1998, filed on Form 10-K on
     March 25, 1999.

2.   Inventories are stated at the lower of cost, utilizing the first-in/first-
     out method, or market.  Inventories consist of the following:
<TABLE>
<CAPTION>
                                                                 June 30,    December 31,
                                                                   1999          1998
                                                                 ---------   -------------
                                                                      (In thousands)
          <S>                                                    <C>         <C>

          Purchased parts and completed subassemblies             $23,117         $21,893
          Work-in-process                                           5,791           5,816
          Finished goods                                            1,071           2,268
          Demonstration equipment                                  13,458          11,476
          Service and repair parts                                  7,000           5,870
                                                                  -------         -------
          Total                                                    50,437          47,323
          Less:  reserves for excess and obsolete inventory        (5,001)         (4,744)
                                                                  -------         -------
          Net                                                     $45,436         $42,579
                                                                  =======         =======
</TABLE>

3.   The Company has adopted Statement of Financial Accounting Standards
     ("SFAS") No. 130, "Reporting Comprehensive Income."  SFAS No. 130
     establishes new rules for the reporting and display of comprehensive income
     and its components, however, it has no impact on the Company's net income.

     The components of comprehensive income are as follows:

<TABLE>
<CAPTION>
                                                           Six Months Ended June 30,      Six Months Ended June 30,
                                                                      1999                          1998
                                                                      ----                          ----
                                                                              (In thousands)
         <S>                                               <C>                           <C>
            Net income                                            $8,905                           $7,120
            Foreign currency translation adjustments                (122)                            (121)
                                                                  ------                           ------
            Total comprehensive income                            $8,783                           $6,999
                                                                  ======                           ======
</TABLE>

     In June 1999, the Financial Accounting Standards Board (FASB) issued
     Statement of Financial Accounting Standards (SFAS) No. 137 "Accounting for
     Derivative Instruments and Hedging Activities Deferral of the Effective
     Date of FASB Statement No. 133." SFAS No. 137 delays the effective date of
     SFAS 133 to fiscal years beginning after June 15, 2000.  The Company will
     adopt the new statement beginning on January 1, 2001.  The Company does not
     believe that SFAS 133, as amended by SFAS 137, will have a significant
     effect on the earnings and financial position of the Company.


4.   On July 7, 1999 the Company agreed to increase its minority equity interest
     in Heartlab, Inc., a medical imaging software development company, by
     investing an additional $1.1 million. The Company agreed to increase the
     investment by up to an additional $0.8 million if Heartlab, Inc. met
     certain profitability criteria over the next year. The Company will
     continue to account for this investment using the equity method of
     accounting.

                                       5
<PAGE>

5.   On August 9, 1999, the Company announced that it had signed a definitive
     agreement to merge its operations with GE Medical Systems (NYSE: GE).  In
     this transaction, Company shareholders will receive $36 per share payable
     in GE stock.  The actual number of shares of GE stock that each Company
     shareholder will receive will be based on the trading prices of GE stock
     for a period of time prior to the closing of the transaction.  This
     transaction, which is subject to Company shareholder and government
     approvals and other customary conditions, is expected to close around year-
     end.  The boards of directors of both GE and the Company have approved the
     merger. In connection with the merger agreement, the Company granted GE an
     option to acquire newly issued shares of the Company common stock,
     representing 15% of its total shares outstanding, at the $36 per share
     transaction price.

                                       6
<PAGE>

                           OEC MEDICAL SYSTEMS, INC.
                ITEM 2: MANAGEMENT'S DISCUSSION AND ANALYSIS OF
                 FINANCIAL CONDITION AND RESULTS OF OPERATIONS


Except for historical information, this discussion contains forward-looking
statements that involve risks and uncertainties that could cause actual results
to differ materially from those projected.  Such risk and uncertainties include
those described in the "Factors That May Affect Future Operations" section on
page 8 of this Form 10-Q.

Results of Operations
---------------------

For the second quarter and six months ended June 30, 1999, OEC Medical Systems,
Inc. had net income of $4.6 million and $8.9 million, respectively, compared
with net income of $3.9 million and $7.1 million, respectively, for the same
periods in 1998. Operating income improved for the second quarter and six months
ended June 30, 1999, from $5.8 million and $10.6 million, respectively, in 1998
to $7.0 million and $13.4 million, respectively, in 1999.

The following table sets forth OEC's operating results as a percentage of net
sales:
<TABLE>
<CAPTION>

                                            Quarter Ended June 30,   Six Months Ended June 30,
                                               1999        1998        1999          1998
                                               ----------------        ------------------
<S>                                         <C>          <C>         <C>           <C>
     Net sales:
         Product                              88.2         87.0        88.3          87.2
         Service                              11.8         13.0        11.7          12.8
                                             -----        -----       -----         -----
              Total net sales                100.0        100.0       100.0         100.0
                                             -----        -----       -----         -----

     Cost of sales:
         Product                              49.7         48.2        49.3          48.4
         Service                               8.7          9.3         8.8           9.4
                                             -----        -----       -----         -----
              Total cost of sales             58.4         57.5        58.1          57.8
                                             -----        -----       -----         -----
         Gross margin                         41.6         42.5        41.9          42.2
                                             -----        -----       -----         -----

     Operating expenses:
     Research and development                  6.2          7.2         6.6           7.2
     Marketing and sales                      17.3         17.2        17.2          17.4
     Administrative, general and other         4.9          5.3         5.1           5.4
                                             -----        -----       -----         -----
              Total operating expenses        28.4         29.7        28.9          30.0
                                             -----        -----       -----         -----

     Operating income                         13.2         12.8        13.0          12.2
                                             -----        -----       -----         -----

     Net income                                8.8          8.5         8.6           8.2
                                             =====        =====       =====         =====
</TABLE>

Sales and Markets
-----------------

Net sales for the quarter and six months ended June 30, 1999, were $52.9 million
and $103.3 million, respectively, compared with net sales of $45.5 million and
$87.1 million for the comparable periods of 1998.  This reflects a 16% and 19%
increase, respectively.  Product sales for the quarter and six months ended June
30, 1999 were $46.7 million and $91.2 million, respectively, compared with
product sales of $39.6 million and $76.0 million, respectively, for the same
periods last year.

The order rate in the second quarter was up 18% over last year, and for the six
months was up 13%, due in part, to particularly strong bookings in Europe, Latin
America and Canada.

During the second quarter, the Company introduced the Series 9800 Mobile C-Arm
in the domestic and European markets.  Strong interest in this product
contributed to the bookings increase in the second quarter.  However, the
Company has encountered transition issues often associated with new product
introductions.  Although the Company

                                       7
<PAGE>

anticipates that these issues will be resolved by the end of August, the Company
may experience a related shortfall in revenue and profits for the third quarter
of 1999.

Service revenue for the quarter and six months ended June 30, 1999 was $6.3
million and $12.1 million, respectively, compared with service revenue of $5.9
million for the same quarter last year and $11.2 million for the six month
period in 1998.

International revenue was up 42% in the second quarter and 50% for the six-month
period, compared to the prior year. The significant increases are partially due
to strong growth in Europe as well as improvements in the economic conditions of
Asia.

Margin Analysis
---------------

OEC's gross margin was 41.6% of net sales for the second quarter and 41.9% for
the six months of 1999 compared to 42.5% and 42.2%, respectively, for the same
periods in 1998.  The decline in margin was due to the increased international
sales that typically have a lower selling price and additional discounting of
the Series 9600 as that product nears the end of its product life cycle.  The
Company expects margins to remain at this level throughout 1999.

Service expenses increased by $0.4 million in the second quarter and $0.9
million for the six months, compared to the same periods in 1998.  The increases
are due to additional personnel and the start-up costs associated with
restructuring the Company's service support in Texas, Iowa and Nebraska.

Operating Expenses
------------------

Research and development costs were flat for the three-month period and up $0.6
million for the six months compared to the prior year.

Marketing and sales expenses increased by $1.3 million or 17% for the quarter
and $2.6 million or 17% for the six months compared to the prior year, primarily
due to additional commission expense associated with the increased revenue and
the start-up costs required for restructuring the Company's product distribution
channel in Texas.

Administrative expenses as a percentage of sales decreased slightly for the
second quarter and first six months of 1999 compared to last year.

Income Taxes
------------

During the second quarter of 1999 and 1998, the Company recorded $2.5 million
and $2.1 million of tax expense, respectively.  The effective tax rate remains
at 35% and it is expected to remain around that level throughout 1999.

Liquidity and Capital Resources
-------------------------------

Cash provided by operations for the six months ended June 30,1999 and 1998 was
$6.7 million and $0.1 million, respectively. During 1999, cash generated from
net income was partially offset by inventory increases and a reduction in
accounts payable.

The Company closed the quarter with $20.2 million in cash and securities
available for sale, up from $19.7 million at year-end.  The Company purchased
30,000 shares of its own stock during the quarter in connection with its
authorized million share stock repurchase program and has purchased 475,000
total shares to date.

At the beginning of the third quarter, the Company increased its minority
interest investment in Heartlab, Inc. by an additional $1.1 million.

                                       8
<PAGE>

Factors That May Affect Future Results
--------------------------------------

Certain statements contained in this document and other written and oral
statements made from time to time by the Company do not relate strictly to
historical or current facts.  As such, they are considered "forward-looking
statements" which provide current expectations or forecasts of future events.
Such statements can be identified by the use of terminology such as
"anticipate," "believe," "estimate," "expect," "intend," "may," and similar
words or expressions.  The Company's forward-looking statements generally relate
to its growth strategies, financial results, product development and regulatory
approval programs, and sales efforts.  One must carefully consider forward-
looking statements and understand that such statements involve a variety of
risks and uncertainties, known and unknown, and actual results may vary
materially.

OEC's future operating results are dependent on its ability to develop,
manufacture and market innovative products that meet customers' needs.  The
process of developing new high technology medical products is complex and
uncertain and requires innovative designs that anticipate customer needs,
technological trends and healthcare shifts. There can be no assurance that the
Company will be able to develop and market new products on a cost-effective and
timely basis, that such products will compete favorably with products developed
by others or that existing technology will not be superseded by new discoveries
or breakthroughs.

In May 1999, the Company introduced its new Series 9800 1k x 1k product
platform, which is the next generation successor to the Company's Series 9600
platform.  As previously reported, the Company has encountered transition issues
often associated with new product introductions.  Although the Company
anticipates that these issues will be resolved by the end of August, the Company
may experience a related shortfall in revenue and profits for the third quarter
1999.

Because of the substantial length of time and expense associated with bringing
new products through development and regulatory approval to the marketplace, the
medical device industry places considerable importance on obtaining patent,
trademark, copyright and trade secret protection for new technologies, products
and processes.  The loss of such protection could have a material adverse effect
on the Company's business.

OEC depends on some significant vendors for certain important component parts
for certain products.  While the Company believes any of these single-source
items could be replaced over time, abrupt disruption in the supply of a part for
a product could have an adverse effect on the Company's production and on its
financial condition and results of operations in cases where the existing
inventory of the components is not adequate to meet the Company's demand for the
component during such disruption.

The testing, marketing and sale of human healthcare products entails an inherent
risk of product liability.  There can be no assurance that product liability
claims will not be asserted against OEC.  Although OEC has product liability
insurance coverage, there can be no assurance that such coverage will provide
adequate coverage against all potential claims.

As a manufacturer of medical devices, OEC is subject to extensive and rigorous
governmental regulation, principally by the FDA and corresponding state and
foreign agencies.  Failure to comply with FDA and other regulations could result
in sanctions being imposed, including restrictions on the marketing of or recall
of the affected products.  OEC's facilities and manufacturing processes have
been periodically inspected by the FDA and other agencies, but remain subject to
further inspections from time to time.  OEC continues to devote substantial
human and financial resources to regulatory compliance and believes that it
remains in substantial compliance with all applicable federal and state
regulations.  Nevertheless, there can be no assurance that the FDA or a state or
foreign agency will agree with OEC's positions, or that its GMP or ISO
compliance will not be challenged at some subsequent point in time.

A portion of the Company's research and development activities, some of its
single-source vendors, its corporate headquarters and other critical business
operations are located near a major earthquake fault.  The ultimate impact on
the Company, significant suppliers and the general infrastructure is unknown,
but operating results could be materially affected in the event of a major
earthquake.

                                       9
<PAGE>

Although OEC believes that it has the product offerings and resources needed for
continuing success, future revenue and margin trends cannot be reliably
predicted and may cause the Company to adjust its operations.  Factors external
to the Company can result in volatility of the Company's common stock price.

Foreign Currency Rate Exposure

The Company has operating subsidiaries located in Europe and utilizes forward
exchange contracts with durations generally less than six months to hedge
against the effect of exchange rate fluctuations of European income.   The
Company's forward exchange contracts are not material.  The Company also has
other customers located throughout the world; however, these customers' invoices
are denominated in U.S. dollars.  As a result, the Company has not incurred
material gains or losses resulting from foreign currency fluctuations.  However,
adverse fluctuations of exchange rates can affect the purchasing power of
international customers that can result in volatility of international demand.

Interest Rate Risk Exposure

The Company has purchased certain debt obligations of the U.S. government and
various corporations with original maturities of less than one year.  As of June
30, 1999, such investments totaled approximately $11.5 million and the
difference between fair market value and amortized cost is immaterial.  Interest
rate risk and default risk underlying these securities is not considered to be
significant.

Other Exposures

The Company has not entered into any speculative derivatives and does not
foresee utilizing such instruments in the future.  The Company does not utilize
commodities in the normal course of its manufacturing process.  Accordingly, the
Company does not believe it has any significant commodity risks or exposures.

Year 2000 Readiness Disclosure

The Company has completed a review of its business information systems with
respect to Year 2000 compliance and will either replace or correct those
computer systems that have been found to have date-related deficiencies.  New
integrated business information systems for the order administration, financial
and manufacturing processes were put in place in 1997.  A few minor corrective
actions are required to make these systems Year 2000 compliant and these
corrections are expected to be complete by the end of the third quarter 1999.
The business information system for the service operations is being replaced
with a planned completion date also by the end of the third quarter 1999.

The Company's products being shipped today have been assessed and found to be
Year 2000 compliant provided that the user perform a reset of the date upon
first use in the Year 2000.  The Company believes that products previously
shipped are either Year 2000 compliant or can be made Year 2000 compliant with
the purchase of an upgrade or a date reset performed upon first use in the Year
2000.

The Company is also assessing facility and telecommunications systems and
systems used to support the product design and manufacturing processes to ensure
that these will be Year 2000 ready.  It is anticipated that any required
corrective actions will be complete by mid fourth quarter 1999.

The Company relies on third party providers for materials and services such as
telecommunications, utilities, financial services and other key services.
Interruption of those materials or services due to Year 2000 issues could affect
the Company's operations.  The Company has completed the process of contacting
its major suppliers and has determined that all major suppliers are in the
process of ensuring Year 2000 compliance.  However, since the Company is
dependent on key third parties, there can be no guarantee that the Company's
efforts will prevent a material adverse impact on its financial position,
results of operations or liquidity in future periods in the event that a
significant number of suppliers and/or customers experience business disruptions
as a result of their lack of Year 2000 readiness.

The Company estimates that it has incurred costs of approximately $4 million, to
date, in external and internal costs to address its Year 2000 readiness issues,
the majority of which are the new business information systems installed in

                                       10
<PAGE>

1997.  The Company currently estimates that it will incur additional costs of
approximately less than $1 million to complete its Year 2000 readiness projects.

Both the Company's cost estimates and completion time frames could be influenced
by its ability to successfully identify all Year 2000 issues, the nature and
amount of corrective action required, the availability and cost of trained
personnel in this area and the Year 2000 success that key third parties and
customers attain.  While these and other unforeseen factors could have a
material adverse impact on the Company's financial position, results of
operations or liquidity in future periods, management believes that it has
implemented an effective Year 2000 compliance program that will minimize the
possible negative consequences to the Company.

Throughout 1999, the Company will determine areas where contingency planning is
needed.  The planning efforts will include, but are not limited to,
identification and mitigation of potential serious business interruptions,
adjustments of inventory levels to meet customer needs, and establishing crisis
response processes to address unexpected problems.

Part II.  Other information

Item 1.  Legal proceedings

There are no significant changes in legal proceedings from the previous stated
position in the Company's Annual Report for 1998 or Form 10K filed with the
Securities & Exchange Commission on March 25, 1999.

Item 5.   Other Information

On August 9, 1999, the Company announced that it had signed a definitive
agreement to merge its operations with GE Medical Systems (NYSE: GE).  In this
transaction, Company shareholders will receive $36 per share payable in GE
stock.  The actual number of shares of GE stock that each Company shareholder
will receive will be based on the trading prices of GE stock for a period of
time prior to the closing of the transaction.  This transaction, which is
subject to Company shareholder and government approvals and other customary
conditions, is expected to close around year-end.  The boards of directors of
both GE and the Company have approved the merger.  In connection with the merger
agreement, the Company granted GE an option to acquire newly issued shares of
the Company common stock, representing 15% of its total shares outstanding, at
the $36 per share transaction price.

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<PAGE>

Item 6.   Exhibits

(a)  The following exhibit (numbered in accordance with Item 601 of SEC
Regulations S-K) is filed as part of this report:

     Exhibit
     Number    Description
     -------

       3.1     Certificate of Incorporation, as amended.  Incorporated by
               reference to the OEC Medical Systems, Inc. Form 10-K, filed March
               30, 1994.

       3.2     By-Laws, as amended May 15, 1997. Incorporated by reference to
               the OEC Medical Systems, Inc. Form 10-Q, filed August 8, 1997.

      10.4     Diasonics, Inc. 1990 Stock Option/Stock Purchase Plan.
               Incorporated by reference to Exhibit 10.79 of the Diasonics, Inc.
               Form S-8, filed on May 1, 1991.

      10.14    Form of Option Agreement used in connection with options having
               service-vesting provisions. Incorporated by reference to the OEC
               Medical Systems, Inc. Form S-8, filed June 12, 1998.

      10.15    Form of Option Agreement used in connection with options having
               milestone provisions. Incorporated by reference to the OEC
               Medical Systems, Inc. Form S-8, filed June 12, 1998.

      10.16    Form of Option Agreement used in connection with automatic option
               grant program for non-employee directors. Incorporated by
               reference to the OEC Medical Systems, Inc. Form S-8, filed June
               12, 1998.

      10.20    Form of Warrant Agreement used in connection with grant to
               independent contractors for the purchase of common shares.
               Incorporated by reference to the OEC Medical Systems, Inc. Form
               10-K, filed March 27, 1997.

      10.24    OEC Medical Systems, Inc. 1993 Employee Incentive Stock
               Acquisition Plan, as amended and re-stated March 31, 1998.
               Incorporated by reference to the OEC Medical Systems, Inc. Form
               S-8, filed June 12, 1998.

      10.25    OEC Medical Systems, Inc. 1998 Stock Option Plan. Incorporated by
               reference to the OEC Medical Systems, Inc. Form S-8, filed June
               12, 1998.

      10.26    Form of Option Agreement used in connection with the granting of
               incentive stock options. Incorporated by reference to the OEC
               Medical Systems, Inc. Form S-8, filed June 12, 1998.

      10.27    Agreement and Plan of Merger among General Electric Company, Ruby
               Merger Corp. and OEC Medical Systems, Inc. dated August 7, 1999.

      10.28    Stock Option Agreement between General Electric Company and OEC
               Medical Systems, Inc. dated August 7, 1999.

      11       Statement of Computation of Per Share Earnings.

      21       List of Subsidiaries. Incorporated by reference to the OEC
               Medical Systems, Inc. Form 10-Q, filed May 13, 1997.

      27       Financial Data Schedule (FDS) for Edgar Filing.

       (b)     Reports on Form 8-K:
               Not Applicable

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<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.


OEC MEDICAL SYSTEMS, INC.
(Registrant)



By:  /s/ Randy W. Zundel
     --------------------------

     Randy W. Zundel
     Chief Financial Officer
     (Principal Accounting Officer)


Date:  August 10, 1999

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