Registration number: 367997
GE Capital UK Funding Unlimited Company
Directors' report and audited financial statements
Financial year ended 31 December 2025
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD
GE Capital UK Funding Unlimited Company
Directors’ report and audited Financial Statements
Contents
Directors and other information 1
Directors' report 2 - 9
Statement of Directors’ responsibilities in respect of the Financial Statements 10 - 11
Independent auditor’s report 12 - 20
Statement of Comprehensive Income 21
Statement of Financial Position 22 - 23
Statement of Changes in Equity 24
Cash Flow Statement 25
Notes to the Financial Statements 26 - 70
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD
GE Capital UK Funding Unlimited Company
Directors and other information
Directors T. Geary (resigned 14 March 2025)
M. Power (resigned 14 March 2025)
K. Lynch
S. O'Connor
D Redmond
J. Connor
Secretary H. McAneny
Registered office 86-88 Lower Leeson Street
Dublin 2
D02 A668
Ireland
Independent auditor Deloitte Ireland LLP
Chartered Accountants and Statutory Audit Firm
Deloitte & Touche House
29 Earlsfort Terrace
Dublin 2
Ireland
Principal bankers Barclays Plc
1 Churchill Place
London
E14 5HP
England
JP Morgan Chase & Co.
1 Chase Manhattan Plaza
New York, 10005
United States
Solicitor A & L Goodbody
25 North Wall Quay,
Dublin 1
D01 H104
Ireland
Page 1
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD
GE Capital UK Funding Unlimited Company
Directors' report
The Directors present their annual report and audited Financial Statements (the “Financial Statements”) for the
financial year ended 31 December 2025.
Principal activities, business review and future developments
GE Capital UK Funding Unlimited Company (the “Company”) is incorporated and tax resident in Ireland and
operates as a financial services Company.
The Company is a public unlimited company and a wholly owned subsidiary of General Electric Company,
which operates as GE Aerospace ('GE Aerospace'), a global aerospace leader with the industry's largest and
growing commercial propulsion fleet.
The Company has established a Great British Pound (“GBP”) Commercial Paper (“Commercial Paper” or “CP”)
Programme and a GBP Medium Term Note (“MTN”) Programme (referred as debt securities issued). The MTN is
listed on the London Stock Exchange. The purpose of these programmes is to obtain financing in capital
markets, to fund the operations of GE Aerospace affiliates. GE Capital International Holdings Limited (“GECIHL”),
has guaranteed (assigned from General Electric Capital Corporation ‘GECC’, which now operates as part of GE
Aerospace) the CP and MTN programmes of the Company, thus reducing the risk to any potential investor and
supporting the CP and MTN programme. GE Aerospace (rated A-) (2024: rated BBB+) has also guaranteed the
CP and MTN programmes of the Company thus reducing further the risk to any potential investor and
supporting the CP and MTN programmes (See Note 18). During the year the Company had no requirement for
excess cash and as a result did not participate in the CP market. The Company will continue in business for the
foreseeable future to service existing MTN programmes. The directors are not expecting a change in the
principal activity of the company in the foreseeable future.
The Directors have determined a number of metrics including total assets and the results of the Company to be
key performance indicators. The total assets for the year are set out in the Statements of Financial Position on
page 22. The results for the year are set out in the Statement of Comprehensive Income (‘SOCI’) on page 21 and
the related notes.
The results before taxation of the Company are a loss of USD 21 million for the financial year ended 31
December 2025 (2024: profit of USD 2 million), primarily driven by foreign exchange ('FX') loss USD 19 million
(2024: gain USD 3 million) as a result of the GBP/USD FX rate increasing from 1.252 as at 31 December 2024 to
1.348 as at 31 December 2025 (2024: FX rate decreases from 1.275 as at 31 December 2023 to 1.252 as at 31
December 2024). The increase of USD 52 million (2024: decrease USD 439 million) in total assets is primarily
driven by the movements in the GBP/USD FX rate during the financial year. During the financial year, no fixed
rate debt matured (See Note 18) and no debt failed hedge effectiveness (2024: no fixed rate debt matured and
no debt failed hedge effectiveness).
Dividends
The Directors do not propose a dividend for the financial year (2024: USD nil).
Page 2
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD
GE Capital UK Funding Unlimited Company
Directors' report (continued)
Going concern
The future growth of the Company is dependent on the cash needs of the GE Aerospace. The Directors have
assessed the loan receivable positions and have concluded that the balances remain recoverable. GE
Aerospace does not expect the need for new long-term debt issuances by the Company for the foreseeable
future with the expectation that the current MTN portfolio remains until maturity. The CP programme continues
presently albeit no CP is in issue at year end. The Company has access to the GE Aerospace cash pool should it
be required. As noted above the debt issued by the Company through its CP and MTN arrangements is
guaranteed by GE Aerospace and GECIHL.
The Directors have performed a going concern assessment for a period of 12 months from the date of
approval of these Financial Statements, also considering events reasonably foreseeable beyond this horizon,
which indicates that, taking account of the inflationary impacts in the economy and in light of the Company’s
ability to access the GE Aerospace cash pool facility if required, the Company will have sufficient funds to meet
its liabilities as they fall due for that period.
The Directors are confident that the Company will have sufficient funds to continue in operational existence for
at least 12 months from the date of approval of these Financial Statements and they continue to adopt the
going concern basis of accounting in preparing the annual Financial Statements.
Accordingly, the Directors have also considered the below among other factors in concluding that it remains
appropriate to prepare the Financial Statements on a going concern basis:
• The Company has substantial positive equity and it is a member of a GE Aerospace operated cash pool
arrangement, connected to the GE Aerospace's U.S. cash pool, therefore has the resources to continue in
business.
• GE Aerospace does not expect the need for new long-term debt issuances by the Company for the
foreseeable future.
• GECIHL has guaranteed the Company’s liabilities under its CP and MTN programmes, substantially mitigating
liquidity risk.
• GE Aerospace has also guaranteed the Company’s liabilities under its CP and MTN programmes, substantially
mitigating liquidity risk.
CP and MTN
The following table sets out the year on year increase/(decrease) in MTNs issued, lending from GE Aerospace
affiliates and lending to GE Aerospace affiliates. The Company did not participate in the CP market during the
financial year. The Directors define GE Aerospace affiliates to be subsidiaries, associates and joint ventures of
GE Aerospace. The table has been calculated using the closing Company balances as at the financial year end.
Page 3
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD
GE Capital UK Funding Unlimited Company
Directors' report (continued)
CP and MTN (Continued)
Dec 2025 Dec 2024
Year on year increase / (decrease)
Liabilities
Issued Medium Term Notes (Nominal) 7.7% (1.8)%
Loans from GE Aerospace affiliates (100)% (85.6)%
Assets
Loans to GE Aerospace affiliates 3% (21.2)%
The movement in MTN of USD 75 million is attributable to an FX gain, driven by the increase of GBP/USD foreign
exchange rate from 1.252 as at 31 December 2024 to 1.348 as at 31 December 2025 (2024: the movement in
MTN is driven by the FX loss USD 18 million).
The movement in loan to and from GE Aerospace affiliates is primarily driven by repayments received from GE
Aerospace affiliates, which were used to repay amount owed to GE Aerospace affiliates, with the impact of
movements in the GBP/USD exchange rate during the financial year.
The following table sets out the weighted average maturities of MTN in issue at 31 December 2025 and 31
December 2024. The latest maturity date on the MTN is 2039.
31 December 2025 31 December 2024
Medium Term Notes (fixed) in qualifying hedging relationships
8.02 years 9.02 years
Principal risk and uncertainties
The Company is subject to general economic risk including changes in macroeconomic and market conditions
and market volatility.
The main financial risks that the Company is exposed to are market risk, liquidity risk and credit risk. The
Directors are responsible for the oversight of policies to manage these exposures, as set out in Note 14.
Market risk
The carrying value of financial assets and financial liabilities may change due to interest rate volatility, credit
spread changes and general market conditions. In an effort to ensure appropriate valuations were obtained,
the Company relied on independent pricing providers such as International Data Corporation ("IDC") and
models used by GE Aerospace, which primarily use observable market data as inputs. Such valuations
necessarily involve judgements and uncertainties on the selection of the inputs. Significant judgements and
uncertainties surrounding valuations are discussed further in Note 3.
Foreign exchange risk
The Company has exposure to foreign exchange risk. This risk arose as some operations including loans and
advances to GE Aerospace affiliates and all debt securities issued are in GBP while the functional currency of
the Company is USD. During the financial year, the Company recorded an FX loss of USD 19 million (31
December 2024: gain of USD 3 million) driven by movement in the GBP/USD rates. Foreign exchange risk is
mainly managed by GE Aerospace at the group level.
Page 4
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD
GE Capital UK Funding Unlimited Company
Directors' report (continued)
Principal risk and uncertainties (continued)
Interest rate risk
As a funding Company, it is exposed to interest rate volatility on variable funding arrangements. Through the
use of derivatives, the Company was generally able to reduce interest rate mis-matches and in so doing
reduce their interest rate risk. The Directors continue to monitor interest rate exposure. See Note 14 for an
analysis of interest rate exposure at the financial year end.
Liquidity risk
Liquidity risk is the risk that the Company will encounter difficulty in meeting obligations from its financial
liabilities. The Company has access to the GE Aerospace cash pool of GE Aerospace to fill any short-term
liquidity requirements and to meet undrawn loan commitments. See further analysis of liquidity risk at the
financial year end at Note 14.
Credit risk
GE Aerospace affiliates may experience difficulty in repaying loans. By carrying out comprehensive due
diligence on each borrower the Company has been able to manage its exposure to credit risk and the
Company experienced no defaults during the financial year (2024: no defaults). The closing impairment loss
allowance at 31 December 2025 was USD 1.3 million (2024: USD 2.9 million) for the Company, please see Note
14 for further details. The Directors will continue to monitor the financial strength of its borrowers to ensure the
Company’s exposure to the risk of default is minimized.
Operational risk
Operational risk is the risk of direct or indirect loss arising from a wide variety of causes associated with the
Company’s processes, personnel, technology and infrastructure, and from external factors other than credit,
market and liquidity risks such as those arising from legal requirements and generally accepted standards of
corporate behaviour. Operational risk arises from all of the Company’s operations and is similar to those faced
by all business entities.
The Company seeks to manage operational risk, so as to balance the avoidance of financial losses and
damage to the Company’s reputation with overall cost effectiveness and to avoid control procedures that
restrict initiative and creativity. The Directors are responsible for the development and implementation of
controls to address operational risk.
This responsibility is supported by the development of overall GE Aerospace standards for the management of
operational risk in the following areas:
• requirements for appropriate segregation of duties, including the independent authorisation of transactions;
• requirements for the reconciliation and monitoring of transactions;
• compliance with legal requirements;
• documentation of controls and procedures;
• requirements for the periodic assessment of operational risks faced, and the adequacy of controls and
procedures to address the risks identified;
• training and professional development and
• ethical and business standards.
Page 5
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD
GE Capital UK Funding Unlimited Company
Directors' report (continued)
Principal risk and uncertainties (continued)
Compliance with the Company standards is supported by a programme of periodic reviews to ensure
compliance with GE Aerospace's risk management policies.
The Directors review the development, selection and disclosure of the Company’s critical accounting policies
and estimates, and the application of these policies and estimates.
Directors, Secretary and their interests
The Directors who served during the year and up to the date of signing the directors report were Sarah
O'Connor, David Redmond, Keith Lynch and John Connor listed on page 1. Thomas Geary and Michael Power
resigned as non-executive Directors effective from 14 March 2025. In accordance with the Articles of
Association, the Directors are not required to retire by rotation.
The Secretary is Helena McAneny listed on page 1.
In accordance with the Companies Act 2014, as none of the Directors or secretary holds a disclosable interest
(representing shares in the Company of 1 percent or more in nominal value of GE Aerospace’s issued share
capital) in the shares of GE Aerospace or any GE Aerospace affiliates, there is no requirement to disclose their
shareholdings.
Accounting records
The Directors have reasonable grounds to believe that they have complied with the requirements of Sections
281 to 285 of the Companies Act 2014 with regard to the keeping of adequate accounting records by utilising
accounting personnel with appropriate expertise and by providing adequate resources to the finance function.
The accounting records of the Company are maintained at 86-88 Lower Leeson Street, Dublin 2, D02 A668,
Ireland.
Corporate governance statement
The Directors have put in place a framework for corporate governance which it believes is suitable for the
Company and which enables the Company to operate in an environment of good governance throughout the
financial year.
The Company's internal control procedures are designed to safeguard the Company's net assets, support
effective management of the Company's resources and provide reliable and timely financial reporting both
internally to management and to those charged with governance, and externally to other stakeholders. They
include the following:
− An organisational structure with formally defined lines of responsibility and delegation of authority.
− Established systems and procedures to identify, control and report on principal risk. Exposure to these risks
are monitored by the Directors.
Page 6
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD
GE Capital UK Funding Unlimited Company
Directors' report (continued)
Corporate governance statement (continued)
The preparation and issue of financial reports, including the Company Financial Statements is managed by the
finance function with oversight from the Directors. The Company's financial reporting process is controlled
using documented accounting policies and reporting formats issued by the finance function to all reporting
entities (including subsidiaries) within GE Aerospace in advance of each reporting year end. The finance
function of GE Aerospace supports all reporting entities with guidance in the preparation of financial
information. The process is supported by a network of finance professionals throughout GE Aerospace, who
have responsibility and accountability to provide information in keeping with agreed policies, including the
completion of reconciliations of financial information to processing systems. Its quality is underpinned by
arrangements for the segregation of duties to facilitate independent checks on the integrity of financial data.
The financial information for each entity is subject to a review at reporting entity level by senior management.
The Company’s risk management policies are based on the policies of the ultimate parent GE Aerospace and
are established to identify and analyse the risks faced by the Company, to set appropriate risk limits and
controls, and to monitor risks and adherence to limits.
As the Company has only debt securities listed on the London Stock Exchange, it has availed of an exemption
from the Financial Conduct Authority's requirements to make corporate governance disclosures and from
auditor review thereof. The Company does not have transferable securities as defined by S.I. No. 255/2006 -
European Communities (Takeover Bids (Directive 2004/25/EC)) Regulations 2006 (“Takeover Bids Regulations”)
and therefore the Company is not required to include in its Corporate Governance Statement the disclosures
required by Section 21 thereof.
Financial reporting
The Company is responsible for establishing and maintaining adequate internal control and risk management
systems in relation to the financial reporting process. Such systems are designed to manage rather than
eliminate the risk of error or fraud in achieving the Company’s financial reporting objectives and can only
provide reasonable and not absolute assurance against material misstatement or loss.
The Company is responsible for keeping adequate accounting records which disclose with reasonable
accuracy at any time the financial position of the Company and which enable it to ensure that the Financial
Statements are prepared in accordance with International Financial Reporting Standards as adopted by the
European Union (E.U.) and comply with the Irish Companies Act 2014.
The measures taken by the Directors to secure compliance with the Company’s obligation to keep adequate
accounting records are the use of appropriate systems and procedures and the employment of competent
persons.
The Company has procedures in place to ensure all relevant accounting records are properly maintained and
are readily available, including production of annual Financial Statements. The statutory Financial Statements
of the Company are required to be approved by the Directors of the Company and filed with the London Stock
Exchange and the Companies Registration Office. The statutory Financial Statements are required to be
audited by independent auditor. The Directors evaluate and discuss significant accounting and reporting issues
as the need arises.
Page 7
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD
GE Capital UK Funding Unlimited Company
Directors' report (continued)
Corporate governance statement (continued)
Shareholder meetings
The convening and conduct of shareholder meetings are governed by the Articles of Association of the
Company and the Companies Act 2014. The Company is required to hold an annual general meeting each year
and not more than fifteen months may elapse between the date of one annual general meeting of the
Company and that of the next. The Directors may call general meetings and extraordinary general meetings
may be convened in such manner as provided by the Companies Act 2014.
Subject to the provisions of the Companies Act 2014 allowing a general meeting to be called by shorter notice,
an annual general meeting and a general meeting called for the passing of a special resolution will be called by
at least twenty-one clear days’ notice.
Composition and operation of the Board
The Directors have established an on-going process for identifying, evaluating and managing the significant
risks faced by the Company. This risk management process is regularly reviewed by the Directors. The
Directors review the internal audit programmes and the Financial Statements and there are formal procedures
in place for the internal auditor to report findings and recommendations to the Directors. Any significant
findings or identified risks are examined so that appropriate action can be taken.
The business of the Company is managed by the Directors. They exercise all powers of the Company, except
those that the Companies Act 2014 or the Articles of Association require to be exercised by the shareholders in
a general meeting. Unless otherwise determined by the shareholders in a general meeting, the number of
Directors shall not be less than two. At year end the Board of Directors of the Company is composed of four
Directors, being those listed on page 1 of these Directors' report and audited Financial Statements.
The Directors may meet together for the dispatch of business, adjourn and otherwise regulate their meetings
as they think fit. The quorum necessary for the transaction of the business of the Directors may be fixed by the
Directors and unless so fixed at any other number will be two. Matters arising at any meeting of the Directors
are determined by a majority of votes. A Director may, and the Company’s secretary on the request of a
Director will, at any time call a meeting of the Directors.
Audit committee
In light of the group-level governance arrangements described below, the Company has not established a
separate audit committee under Section 167 of the Companies Act 2014.
The Audit Committee of the Board of Directors of GE Aerospace assists the Board in its oversight of the integrity
of the Financial Statements compliance with legal and regulatory requirements, of the independence and
qualifications of the independent auditor and of the performance of the internal audit function and
independent auditor. The Company is included within the oversight of that GE Aerospace Audit Committee. The
Company is also subject to the oversight of the GE Aerospace internal audit function and included within its risk
assessment and audit programme.
Page 8
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD
GE Capital UK Funding Unlimited Company
Directors' report (continued)
Subsequent events
We are monitoring the recent outbreak of conflict in the Middle East and its potential impact on the commercial
aerospace industry, including possible lower aircraft utilization and higher prices and reduced availability of
fuel, which could adversely affect our airline customers. As of the date of this report, the Company has not
identified any material adverse financial impact from the conflict. Management will continue to monitor
developments and evaluate any effects and related mitigating actions throughout the 2026 financial year.
There have been no other significant post balance sheet events affecting the company since the year end
which require disclosure in or amendment to the financial statements.
Disclosure of information to the auditor
The Directors who held office at the date of approval of this Directors’ report confirm that, so far as they are
each aware, there is no relevant audit information of which the Company’s auditor is unaware; and each
Director has taken all of the steps that he/she ought to have taken as a Director to make himself/herself aware
of any relevant audit information and to establish that the Company’s auditor is aware of that information.
This confirmation is given and should be interpreted in accordance with the provisions of section 330 of the
Companies Act 2014.
Independent Auditor
In accordance with Section 383(2) of the Companies Act 2014, the auditor, Deloitte Ireland LLP, Chartered
Accountants and Statutory Audit Firm will continue in office.
On behalf of the board
.........................................
K. Lynch
Director
.........................................
S. O'Connor
Director
Date 23 April 2026
Page 9
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD
GE Capital UK Funding Unlimited Company
Statement of Directors’ responsibilities in respect of the Financial Statements
for the financial year ended 31 December 2025
The Directors are responsible for preparing the directors report and Financial Statements, in accordance with
applicable law and regulations.
Company law requires the Directors to prepare Financial Statements for each financial year. Under that law
they have elected to prepare the Financial Statements in accordance with International Financial Reporting
Standards (IFRS Accounting Standards) as adopted by the European Union (EU).
Under company law the Directors must not approve the Financial Statements unless they are satisfied that
they give a true and fair view of the assets, liabilities and financial position of the Company and of its profit or
loss for that year.
In preparing these Financial Statements, the Directors are required to:
• select suitable accounting policies and then apply them consistently;
• make judgements and estimates that are reasonable and prudent;
• state whether applicable Accounting Standards have been followed, subject to any material departures
disclosed and explained in the Financial Statements;
• assess the Company’s ability to continue as a going concern, disclosing, as applicable, matters related to
going concern; and
• use the going concern basis of accounting unless they either intend to liquidate the Company or to cease
operations, or have no realistic alternative but to do so.
The Directors are responsible for keeping adequate accounting records which disclose with reasonable
accuracy at any time the assets, liabilities, financial position and profit or loss of the Company and enable
them to ensure that the Financial Statements comply with the Companies Act 2014. They are responsible for
such internal controls as they determine is necessary to enable the preparation of Financial Statements that
are free from material misstatement, whether due to fraud or error, and have general responsibility for taking
such steps as are reasonably open to them to safeguard the assets of the Company and to prevent and detect
fraud and other irregularities. The Directors are also responsible for preparing a directors' report that complies
with the requirements of the Companies Act 2014.
The Directors are responsible for the maintenance and integrity of the corporate and financial information
included on the Company’s website. Legislation in the Republic of Ireland governing the preparation and
dissemination of Financial Statements may differ from legislation in other jurisdictions.
Responsibility Statement in accordance with the UK Financial Conduct Authority's Transparency Rules
Each of the Directors whose names are listed on page 1 of these Financial Statements confirm that, to the best
of each person’s knowledge and belief:
• the Financial Statements, prepared in accordance with IFRS Accounting Standards as adopted by the EU, give
a true and fair view of the assets, liabilities and financial position of the Company as at 31 December 2025 and
its profit for the financial year then ended; and
• the Directors’ report includes a fair review of the development and performance of the business and the
position of the Company, together with a description of the principal risks and uncertainties that it faces.
Page 10
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD
GE Capital UK Funding Unlimited Company
Statement of Directors’ responsibilities in respect of the Financial Statements
for the financial year ended 31 December 2025 (continued)
On behalf of the board
.........................................
K. Lynch
Director
.........................................
S. O'Connor
Director
Date 23 April 2026
Page 11
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD
Continued on next page/
Deloitte Ireland LLP
Chartered Accountants &
Statutory Audit Firm
INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF
GE CAPITAL UK FUNDING UNLIMITED COMPANY
Report on the audit of the financial statements
Opinion on the financial statements of GE Capital UK Funding Unlimited Company (the ‘company’)
In our opinion the financial statements:
give a true and fair view of the assets, liabilities and financial position of the company as at 31 December 2025 and of the
loss for the financial year then ended; and
have been properly prepared in accordance with the relevant financial reporting framework and, in particular, with the
requirements of the Companies Act 2014.
The financial statements we have audited comprise:
the Statement of Comprehensive Income;
the Statement of Financial Position;
the Statement of Changes in Equity;
the Cash Flow Statement; and
the related notes 1 to 25, including material accounting policy information as set out in note 2.
The relevant financial reporting framework that has been applied in their preparation is the Companies Act 2014 and IFRS Accounting
Standards as issued by the International Accounting Standards Board (IASB) and as adopted by the European Union (“the relevant
financial reporting framework”).
Basis for opinion
We conducted our audit in accordance with International Standards on Auditing (Ireland) (ISAs (Ireland)) and applicable law. Our
responsibilities under those standards are described below in the “Auditor's responsibilities for the audit of the financial statements”
section of our report.
We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial
statements in Ireland, including the Ethical Standard issued by the Irish Auditing and Accounting Supervisory Authority (IAASA), as
applied to listed entities, and we have fulfilled our other ethical responsibilities in accordance with these requirements.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
Summary of our audit approach
Key audit matters
The key audit matters that we identified in the current year were:
Application of Hedge Accounting
Recoverability of Loans and Advances to GE Aerospace Affiliates – Expected Credit Loss
Provisioning
Within this report, any new key audit matters are identified with and any key audit matters which
are the same as the prior year identified with .
Materiality
The materiality that we used in the current year was $4,109k which was determined on the basis of
1% of Net Assets.
Scoping
We determined the scope of our audit by obtaining an understanding of the company and its
environment, including the identification of relevant controls. We designed our audit by determining
materiality and assessing the risks of material misstatement in the financial statements. As part of
our risk assessment, we assessed the control environment in place to the extent relevant to our
audit. The risks of material misstatement that have the greatest effect on our audit are identified as
key audit matters in the “Key Audit Matters” section of our report.
/Continued from previous page
INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF
GE CAPITAL UK FUNDING UNLIMITED COMPANY
Continued on next page/
Significant changes in
our approach
No significant changes in our audit approach from prior year.
Conclusions relating to going concern
In auditing the financial statements, we have concluded that the directors’ use of the going concern basis of accounting in the
preparation of the financial statements is appropriate.
Our evaluation of the directors’ assessment of the company’s ability to continue to adopt the going concern basis of accounting
included:
Obtaining an understanding of the company’s business model, objectives, strategy and related business risks and the
manner in which the company is structured and financed;
Reviewing the company’s financial performance, including forecasts, future cash flows, and management’s budgeting
processes;
Challenging the reasonableness of the key assumptions applied by the directors in their assessment;
Held discussions with management on the directors’ going concern assessment, the future plans for the Company and the
feasibility of those plans;
Reviewed all board meeting minutes during the period up to the date of approval of the financial statements, for evidence
of any discussions and/or decisions that could impact the Company’s ability to continue as a going concern;
Reviewed the cash pool agreements and guarantees from GECIHL and GE Aerospace to the Company;
Reviewed the Company activity subsequent to the financial year end; and
Assessed the adequacy of the relevant going concern disclosures made in the financial statements.
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that,
individually or collectively, may cast significant doubt on the company's ability to continue as a going concern for a period of at least
twelve months from when the financial statements are authorised for issue.
Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of
this report.
Key audit matters
Key audit matters are those matters that, in our professional judgment, were of most significance in our audit of the financial
statements of the current financial year and include the most significant assessed risks of material misstatement (whether or not due
to fraud) we identified, including those which had the greatest effect on: the overall audit strategy, the allocation of resources in the
audit; and directing the efforts of the engagement team. These matters were addressed in the context of our audit of the financial
statements as a whole, and in forming our opinion thereon, and we do not provide a separate opinion on these matters.
Application of Hedge Accounting
Key audit matter
description
As of 31 December 2025, the fair value of derivatives held for risk management were:
Derivatives held for risk management in qualifying hedging relationships was net
$(20,506)k (2024: net $(39,768)k).
As of 31 December 2025, the carrying amount of the Debt Securities issued was:
Debt securities issued was $(1,258,334k) (2024: $1,112,829k)
/Continued from previous page
INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF
GE CAPITAL UK FUNDING UNLIMITED COMPANY
Continued on next page/
This is a key audit matter as there is a risk that the incorrect application of IAS 39 hedge accounting
rules and the valuation of underlying derivatives, including any valuation adjustments, could lead to a
material misstatement in the financial statements.
Please refer to note 2 (Material accounting policy information– Derivatives held for risk management
purposes and hedge accounting), note 14 (Financial risk management) note 16 (Financial assets and
liabilities) and note 18 (Debt securities issued) in the financial statements.
How the scope of our
audit responded to the
key audit matter
The procedures we performed, included:
In relation to the application of IAS 39 hedge accounting and in conjunction with our internal valuation
specialists:
We independently assessed the eligibility of the hedge designation by reviewing the hedge
accounting policy.
Furthermore, we reviewed the hedge effectiveness testing to ensure the approach is in line
with the requirements of IAS 39.
We assessed the fair value adjustment to the hedged item as part of our assessment.
We reviewed the classification and adequacy of relevant disclosures in the financial
statements to ensure compliance with IFRS.
With respect to the valuation of derivatives:
We independently valued a sample of derivatives based on the terms of the underlying
contracts and compared to the valuations recorded by the company.
We also reviewed the classification and adequacy of relevant disclosures in the financial statements in
accordance with the IFRS.
Recoverability of Loans and Advances to GE Aerospace Affiliates – Expected Credit Loss Provisioning
Key audit matter
description
As of 31 December 2025, the company holds US $1,325k (2024: US $2,889k) of expected credit losses
against:
Non-current assets: US $1,054,999k (2024: US $979,877k) of loans and advances to GE
aerospace affiliates.
Current assets: US $634,981k (2024: US $661,202k)of loans and advances to GE aerospace
affiliates.
In line with IFRS 9- Financial Instruments, losses on financial assets which are classified at amortised
cost are recognised on an Expected Credit Loss (“ECL”) basis. ECLs are required to incorporate forward
looking information, reflecting management’s view of potential future economic environments.
The complexity involved in the ECL calculations requires management to develop methodologies
involving the use of significant judgements.
/Continued from previous page
INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF
GE CAPITAL UK FUNDING UNLIMITED COMPANY
Continued on next page/
Measurement of the ECL allowance on loans and advances to GE Aerospace affiliates is considered a
key audit matter as the determination of assumptions for ECLs is subjective due to the level of
judgement required to be applied by management. The appropriate accounting treatment for the
impairment of loans and receivables, and the provision of impairment required by IFRS 9 is crucial to
ensuring the financial statements are free from material misstatement. Furthermore, the audit team
have engaged an internal valuation specialist to assess the ECL models.
Please refer to note 2 (Material accounting policy information – Financial assets and liabilities), note
14 (Financial risk management) and note 17 (Loans and advances) in the financial statements.
How the scope of our
audit responded to the
key audit matter
The procedures we performed, included;
We have reviewed the Expected Credit Loss Provision (ECL) model and the methodology
behind the impairment process. Furthermore, we have assessed any adjustments made
within this process.
We gained an understanding on the movements in the ECL balance with reference to the
underlying loan portfolios, credit quality changes and market factors.
We independently valued all intercompany balances and assessed the reliability of the
relevant GE Company for repayment.
We have reviewed supporting documentation for the ECL model and considered the
appropriateness of the approach adopted by management and the reasonableness of the
conclusions concerning the impairment provision.
We have analytically reviewed the movement in the year and compared it to the prior
period. We then assessed abnormal movements.
Deloitte specialists have assessed and reviewed the ECL model to ensure correct application
of IFRS 9.
We reviewed the key controls in place regarding the IFRS 9 model.
Based on the work performed, the ECL recorded in the financial statements is within a range we
consider reasonable.
Our audit procedures relating to these matters were designed in the context of our audit of the financial statements as a whole, and
not to express an opinion on individual accounts or disclosures. Our opinion on the financial statements is not modified with respect
to any of the risks described above, and we do not express an opinion on these individual matters.
Our application of materiality
We define materiality as the magnitude of misstatement in the financial statements that makes it probable that the economic
decisions of a reasonably knowledgeable person would be changed or influenced. We use materiality both in planning the scope of
our audit work and in evaluating the results of our work.
Based on our professional judgement, we determined materiality for the financial statements as a whole as follows:
Materiality
$4,109k (2024 : $4,316k)
Basis for
determining
materiality
1% of Net Assets
/Continued from previous page
INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF
GE CAPITAL UK FUNDING UNLIMITED COMPANY
Continued on next page/
Rationale for the
benchmark applied
We have considered the users of the financial statements (the investors) and have concluded net assets to
be the critical component for determining materiality because it is the key indicator of assessing the
company’s financial position. In determining this benchmark we considered the following: The key balances
within the financial statements;
• Whether there are items on which the attention of the users of the financial statements is focused;
• The nature of the business and the industry and economic environment;
• The ownership and finance structure of the company; and
• Regulatory requirements of the financial statements.
We set performance materiality at a level lower than materiality to reduce the probability that, in aggregate, uncorrected and
undetected misstatements exceed the materiality for the financial statements as a whole.
Performance materiality was set at 70% of materiality for the 2025 audit (2024: 70%). In determining performance materiality, we
considered the following factors:
Our understanding of the entity including nature of the business and the industry;
The reliability of the entity’s internal control over Financial reporting;
The entity’s history of misstatements, both corrected and uncorrected;
Any changes in the business that would affect the auditor's ability to forecast potential misstatements;
Management's lack of willingness to investigate and correct misstatements; and
Whether there is a disproportionate number of risks of material misstatement at the higher end of the spectrum.
We agreed with the Board of Directors that we would report to them all audit differences in excess of $205k (2024 : $205k) as well
as differences below that threshold that, in our view, warranted reporting on qualitative grounds. We also report to the Board of
Directors on disclosure matters that we identified when assessing the overall presentation of the financial statements.
An overview of the scope of our audit
We structured our approach to the audit to reflect how the company is organised, with a primary focus on the key drivers of the
company's main business operations and key risks. Our audit was scoped by obtaining an understanding of the company and its
environment, including the controls operating within the company, and assessing the risks of material misstatement related to the
financial statements of the company. The risks of material misstatement that have the greatest effect on our audit are identified as
key audit matters in the table above. In establishing the overall approach to the audit, we determined the type of work that
required the involvement of specialists, as a result, we engaged tax, IT, valuation and hedge accounting specialists. Furthermore, we
discussed the approach and scope with the component audit team. This ensured that our audit is both effective and risk focused.
The company is primarily involved in obtaining finance in the capital markets to fund the operations of the wider GE Aerospace
Group. The company has established a GBP Commercial Paper ("CP") and a GBP Medium Term Note (‘MTN’) Programme. We have
Net Assets $410,911k
Materiality $4,109k
Board reporting threshold
$205K
Net Assets
Materiality
/Continued from previous page
INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF
GE CAPITAL UK FUNDING UNLIMITED COMPANY
Continued on next page/
conducted our audit based on the books and records maintained by the company at 86-88 Lower Leeson Street, Dublin 2, D02
A668, Ireland.
The company is ultimately a wholly owned subsidiary of GE Aerospace. In establishing the overall scope of the audit, we determined
the type of work that needed to be performed by component auditors for the purposes of this audit. We used the work of Deloitte
member firm in the United States Of America, operating under our instructions, in relation to the testing of the Loans and
Advances, Derivative assets and liabilities and Debt securities issued. We had regular interaction with these component teams
including virtual meetings and review of certain working papers. This, together with the additional procedures performed by
Ireland, gave us the evidence we needed to form our opinion on the financial statements as a whole.
Other information
The other information comprises the information included in the Directors’ Report and Audited Financial Statements, other than the
financial statements and our auditor’s report thereon. The directors are responsible for the other information contained within the
Annual Report and Audited Financial Statements.
Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in
our report, we do not express any form of assurance conclusion thereon.
Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent
with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify
such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material
misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have
performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.
We have nothing to report in this regard.
Responsibilities of directors
As explained more fully in the Statement of Directors’ responsibilities in respect of the Financial Statements, the directors are
responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view and otherwise
comply with the Companies Act 2014, and for such internal control as the directors determine is necessary to enable the preparation
of financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, the directors are responsible for assessing the company’s ability to continue as a going concern,
disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either
intend to liquidate the company or to cease operations, or have no realistic alternative but to do so.
Auditor’s responsibilities for the audit of the financial statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material
misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a
high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (Ireland) will always detect a material
misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the
aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial
statements.
A further description of our responsibilities for the audit of the financial statements is located on IAASA’s website at:
https://iaasa.ie/publications/description-of-the-auditors-responsibilities-for-the-audit-of-the-financial-statements. This description
forms part of our auditor’s report.
/Continued from previous page
INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF
GE CAPITAL UK FUNDING UNLIMITED COMPANY
Continued on next page/
Extent to which the audit was considered capable of detecting irregularities, including fraud
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our
responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our
procedures are capable of detecting irregularities, including fraud is detailed below.
Identifying and assessing potential risks related to irregularities
In identifying and assessing risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws
and regulations, we considered the following:
the nature of the industry and sector, control environment and business performance including the design of the
company’s remuneration policies, key drivers for directors’ remuneration, bonus levels and performance targets;
results of our enquiries of management and the Board of Directors about their own identification and assessment of the
risks of irregularities;
any matters we identified having obtained and reviewed the company’s documentation of their policies and procedures
relating to:
identifying, evaluating and complying with laws and regulations and whether they were aware of any instances of non-
compliance;
detecting and responding to the risks of fraud and whether they have knowledge of any actual, suspected or alleged
fraud;
the internal controls established to mitigate risks of fraud or non-compliance with laws and regulations;
the matters discussed among the audit engagement team and relevant internal specialists, including tax, valuations & IT
specialists regarding how and where fraud might occur in the financial statements and any potential indicators of fraud.
In common with all audits under ISAs (Ireland), we are also required to perform specific procedures to respond to the risk of
management override.
We also obtained an understanding of the legal and regulatory framework that the company operates in, focusing on provisions of
those laws and regulations that had a direct effect on the determination of material amounts and disclosures in the financial
statements. The key laws and regulations we considered in this context included the Companies Act 2014, applicable listing rules and
Tax Legislation.
In addition, we considered provisions of other laws and regulations that do not have a direct effect on the financial statements but
compliance with which may be fundamental to the company’s ability to operate or to avoid a material penalty.
/Continued from previous page
INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF
GE CAPITAL UK FUNDING UNLIMITED COMPANY
Continued on next page/
Audit response to risks identified
As a result of performing the above, we did not identify any key audit matters related to the potential risk of fraud or non-compliance
with laws and regulations.
Our procedures to respond to risks identified included the following:
reviewing the financial statement disclosures and testing to supporting documentation to assess compliance with
provisions of relevant laws and regulations described as having a direct effect on the financial statements;
enquiring of management and the Board of Directors concerning actual and potential litigation and
claims;
performing analytical procedures to identify any unusual or unexpected relationships that may indicate risks of material
misstatement due to fraud;
reading minutes of meetings of those charged with governance and reviewing internal audit reports; and
in addressing the risk of fraud through management override of controls, testing the appropriateness of journal entries
and other adjustments; assessing whether the judgements made in making accounting estimates are indicative of a
potential bias; and evaluating the business rationale of any significant transactions that are unusual or outside the normal
course of business.
We also communicated relevant identified laws and regulations and potential fraud risks to all engagement team members,
including internal specialists and significant component audit team, and remained alert to any indications of fraud or non-
compliance with laws and regulations throughout the audit.
Report on other legal and regulatory requirements
Opinion on other matters prescribed by the Companies Act 2014
Based solely on the work undertaken in the course of the audit, we report that:
We have obtained all the information and explanations which we consider necessary for the purposes of our audit.
In our opinion the accounting records of the company were sufficient to permit the financial statements to be readily and
properly audited.
The financial statements are in agreement with the accounting records.
In our opinion the information given in the directors’ report is consistent with the financial statements.
In our opinion, those parts of the directors’ report specified for our review, which does not include sustainability reporting
when required by Part 28 of the Companies Act 2014, have been prepared in accordance with the Companies Act 2014.
Matters on which we are required to report by exception
Based on the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not
identified material misstatements in the directors’ report.
We have nothing to report in respect of the provisions in the Companies Act 2014 which require us to report to you if, in our opinion,
the disclosures of directors’ remuneration and transactions specified by law are not made.
/Continued from previous page
INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF
GE CAPITAL UK FUNDING UNLIMITED COMPANY
Use of our report
This report is made solely to the company’s members, as a body, in accordance with Section 391 of the Companies Act 2014. Our
audit work has been undertaken so that we might state to the company’s members those matters we are required to state to them
in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to
anyone other than the company and the company’s members as a body, for our audit work, for this report, or for the opinions we
have formed.
David McCaffrey
For and on behalf of Deloitte Ireland LLP
Chartered Accountants and Statutory Audit Firm
Deloitte & Touche House, 29 Earlsfort Terrace, Dublin 2
24 April 2026
GE Capital UK Funding Unlimited Company
Statement of Comprehensive Income
for the financial year ended 31 December 2025
Note
2025
USD'000
2024
USD'000
Interest income
4 56,408 74,571
Interest expense
5
(55,934) (74,152)
Net interest income 474 419
Service and commitment fee expense
6 (336) (326)
Net loss from financial instruments carried at fair value
7 (3,475) (2,932)
Other expenses
(68) -
Movement in impairment loss allowance
14 1,564 956
Foreign exchange (loss)/gain
8
(18,944) 3,492
Other operating (loss)/profit
(21,259) 1,190
(Loss)/profit before income tax
9 (20,785) 1,609
Income tax charge
10
- -
(Loss)/profit for the financial year
(20,785) 1,609
Other comprehensive income - -
Comprehensive income for the year
(20,785) 1,609
Page 21
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD
GE Capital UK Funding Unlimited Company
Statement of Financial Position as at 31 December 2025
Note
31 December
2025
USD'000
31 December
2024
USD'000
Non-current assets
Loans and advances to GE Aerospace affiliates
17
1,054,999 979,877
1,054,999 979,877
Current assets
Cash and cash equivalents
11 - -
Derivative assets held for qualifying hedging relationships
16 28,184 22,612
Loans and advances to GE Aerospace affiliates
17 634,981 661,202
Other assets
- 2,507
663,165 686,321
Total assets 1,718,164 1,666,198
Current liabilities
Loans and advances from GE Aerospace affiliates
17 - (59,084)
Debt securities issued
18 (60,341) (2,703)
Other liabilities
(229) (209)
Current liabilities
(60,570) (61,996)
Net current assets 602,595 624,325
Total assets less current liabilities
1,657,594 1,604,202
Non-current liabilities
Derivative liabilities held for qualifying hedging relationships
16 (48,690) (62,380)
Debt securities issued
18
(1,197,993) (1,110,126)
Total Liabilities (1,307,253) (1,234,502)
Net assets
410,911 431,696
Capital and reserves
Share capital
13 70,495 70,495
Share premium
13 367,244 367,244
Capital contribution
13 103,003 103,003
Undenominated capital reserve
13 18,766 18,766
Accumulated (losses)/profits
(16,627) 4,158
Foreign exchange reserves
13
(131,970) (131,970)
Shareholders' equity
410,911 431,696
Page 22
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD
GE Capital UK Funding Unlimited Company
Statement of Financial Position as at 31 December 2025 (continued)
On behalf of the board
.........................................
K. Lynch
Director
.........................................
S. O'Connor
Director
Date 23 April 2026
Page 23
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD
GE Capital UK Funding Unlimited Company
Statement of Changes in Equity
for the financial year ended 31 December 2025
Share
capital
USD'000
Share
premium
USD'000
Undenominated
capital
reserves
USD'000
Capital
Contribution
USD'000
Accumulated
profits/(losses)
USD'000
Foreign
exchange
Reserve
USD'000
Total
USD'000
Balance at 1 January 2024
70,495 367,244 18,766 103,003 2,549 (131,970) 430,087
Comprehensive income for the year
- - - - 1,609 - 1,609
Balance at 31 December 2024
70,495 367,244 18,766 103,003 4,158 (131,970) 431,696
Balance at 1 January 2025
70,495 367,244 18,766 103,003 4,158 (131,970) 431,696
Comprehensive income for the year
- - - - (20,785) - (20,785)
Balance at 31 December 2025
70,495 367,244 18,766 103,003 (16,627) (131,970) 410,911
Page 24
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD
GE Capital UK Funding Unlimited Company
Cash Flow Statement
for the financial year ended 31 December 2025
Note
31 December
2025
USD'000
31 December
2024
USD'000
Cash flows from operating activities
(Loss)/profit for the financial year
(20,785) 1,609
Adjustments for:
Net interest income
(474) (419)
Foreign exchange and fair value movement on fixed rate debt
securities in qualifying hedging relationships
108,261 (69,872)
Movement in impairment loss allowance
14 (1,564) (956)
Change in other assets
2,507 (2,482)
Change in loans and advances to GE Aerospace affiliates
(75,547) (666,592)
Change in loans and advances from GE Aerospace affiliates
- (403,573)
Change in other liabilities
19 209
Change in accrued interest on debt securities issued
127 (1,261)
12,544 (1,143,337)
Interest received
44,655 99,078
Interest paid
(8,522) (132,405)
Derivative payments
- (20,321)
Net cash provided by/(used in) operating activities 48,677
(1,196,985)
Cash flows from financing activities
Change in derivative assets held for qualifying hedging
relationships
(5,572) (1,001)
Change in derivative liabilities held for qualifying hedging
relationships
(9,951) 54,703
Decrease of cashpool lendings
25,717 1,085,722
(Decrease)/increase of cashpool borrowings
(58,871) 57,561
Net cash flows (used in)/provided by financing activities
(48,677) 1,196,985
Net movement in cash and cash equivalents
- -
Cash and cash equivalents at 1 January
11
- -
Cash and cash equivalents at 31 December
11
- -
Page 25
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD
GE Capital UK Funding Unlimited Company
Notes to the Financial Statements 31 December 2025
1 Basis of preparation
Reporting entity
GE Capital UK Funding Unlimited Company (registration number 367997) is an Irish incorporated, public
unlimited company and is Irish tax resident. The address of the Company’s registered office is 86-88 Lower
Leeson Street, Dublin 2, D02 A668, Ireland. The Financial Statements of the Company are as at and for the
financial year ended 31 December 2025. The Company is primarily involved in obtaining finance in the capital
markets to fund the operations of GE Aerospace. The Company has established a GBP Commercial Paper ("CP")
and a GBP Medium Term Note (“MTN”) Programme. This debt is listed on the London Stock Exchange.
Statement of compliance
The Financial Statements of the Company have been prepared in accordance with IFRS Accounting Standards
as adopted by the EU. The Financial Statements also comply with the requirements of the relevant Irish
legislation including the Companies Act 2014.
Basis of measurement
The Company Financial Statements have been prepared on the historical cost basis except for the following:
• derivative financial instruments are measured at fair value;
• certain fixed rate debt securities issued in qualifying hedging relationships at amortised cost adjusted by the
fair value of the hedged risk; and
• de-designated fixed rate debt securities which were formerly in a qualifying hedging relationship are
measured at adjusted amortised cost with unamortized basis adjustment. When the hedging relationship is
de-designated, the difference between the carrying value of the debt securities and its nominal value is
recorded as a “Day 1 basis adjustment”.
Functional and presentation currency
The Financial Statements are presented in USD which is the functional currency of the Company. Except as
indicated, financial information presented in USD has been rounded to the nearest thousand.
Use of estimates and judgements
The preparation of Financial Statements requires the Directors to make judgements, estimates and
assumptions that affect the application of accounting policies and the reported amounts of assets, liabilities,
income and expenses. Actual results may differ from these estimates.
Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates
are recognised in the period in which the estimate is revised and in any future periods affected. Please see
Note 3 for further details.
Page 26
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD
GE Capital UK Funding Unlimited Company
Notes to the Financial Statements 31 December 2025 (continued)
1 Basis of preparation (continued)
Going concern
The future growth of the Company is dependent on the cash needs of GE Aerospace. The Directors have
assessed the loan receivable positions and have concluded that the balances remain recoverable. GE
Aerospace does not expect the need for new long-term debt issuances by the Company for the foreseeable
future with the expectation that the current MTN portfolio remains until maturity. The CP programme continues
presently albeit no CP is in issue at year end. The company has access to the GE Aerospace cash pool should it
be required. The debt issued by the Company through its CP and MTN arrangements is guaranteed by GE
Aerospace and GECIHL. Maturity dates of debt issued are provided in Note 18.
The Directors have performed a going concern assessment for a period of 12 months from the date of
approval of these Financial Statements, also considering events reasonably foreseeable beyond this horizon,
which indicates that, taking account of the inflationary impacts in the economy and in light of the Company’s
ability to access the group's cash pool facility if required, the Company will have sufficient funds to meet its
liabilities as they fall due for that period.
The Directors are confident that the Company will have sufficient funds to continue in operational existence for
at least 12 months from the date of approval of these Financial Statements and they continue to adopt the
going concern basis of accounting in preparing the annual Financial Statements.
Accordingly, the Directors have also considered the below among other factors in concluding that it remains
appropriate to prepare the Financial Statements on a going concern basis:
• The Company has substantial positive equity and it is a member of a GE Aerospace operated cash pool
arrangement, connected to the GE Aerospace's U.S. cash pool, therefore has the resources to continue in
business.
• GE Aerospace does not expect the need for new long-term debt issuances by the Company for the
foreseeable future.
• GECIHL has guaranteed the Company’s liabilities under its CP and MTN programmes, substantially mitigating
liquidity risk.
• GE Aerospace has also guaranteed the Company’s liabilities under its CP and MTN programmes, substantially
mitigating liquidity risk.
2 Material accounting policy information
The accounting policies set out below have been applied to all periods presented in the Financial Statements.
(a) New currently effective requirements
The below table lists the recent changes to Accounting Standards applying to years commencing on or after 1
January 2025. The Directors have assessed the impact of the below standards and have determined that they
don't have a material impact on the Financial Statements of the Company.
Page 27
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD
GE Capital UK Funding Unlimited Company
Notes to the Financial Statements 31 December 2025 (continued)
2 Material accounting policy information (continued)
Newly effective EU-endorsed standards for current financial year
New standards or amendments Effective Date
The Effects of Changes in Foreign Exchange Rates: Lack of Exchangeability
(Amendment to IAS 21)
1 January 2025
(b) Standards and amendment to standards not yet adopted
A number of new standards, amendments to standards have been issued and have not been applied in
preparing these Financial Statements. The Directors have reviewed the below standards and have determined
that they don't have a material impact on the statements when they are effective. These are set out below:
New standards or amendments Effective Date
Classification and Measurement of Financial Instruments-Amendments to IFRS 9
and IFRS 7
1 January 2026
Annual Improvements to IFRS Accounting Standards- Volume 11 1 January 2026
Contracts Referencing Nature-dependent Electricity to IFRS 9 and IFRS 7 1 January 2026
IFRS 18 Presentation and Disclosure in Financial Statements 1 January 2027
IFRS 19 Subsidiaries without Public Accountability: Disclosures 1 January 2027
Amendments to IFRS 19 Subsidiaries without Public Accountability: Disclosures 1 January 2027
Amendments to IAS 21 The Effects of Changes in Foreign Exchange Rates:
Translation to a Hyperinflationary Presentation Currency
1 January 2027
(c) Foreign currency transactions
Transactions and balances
Transactions in foreign currencies are recorded using a average monthly operating exchange rate. Foreign
exchange gains and losses resulting from the settlement of such transactions and from translation at the
period end of monetary assets and liabilities denominated in foreign currencies are recognised in the SOCI.
Non-monetary items denominated in foreign currencies are translated using the exchange rate on the date of
the initial transaction and recorded at historical cost.
The assets and liabilities of foreign currency are translated into USD at the exchange rates at the reporting
date. The income and expenses of foreign operations are translated into USD at the average monthly rate
during the year, as this is an approximation of the actual rates.
Page 28
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD
GE Capital UK Funding Unlimited Company
Notes to the Financial Statements 31 December 2025 (continued)
2 Material accounting policy information (continued)
(d) Interest
Interest income and expense are recognised in the SOCI using the effective interest rate method. The effective
interest rate is the rate that discounts the estimated future cash payments and receipts through the expected
life of the financial asset or liability (or, where appropriate, a shorter period) to the carrying amount of the
financial asset or liability. When calculating the effective interest rate, the Company estimates future cash
flows considering all contractual terms of the financial instrument but not future credit losses.
The calculation of the effective interest rate includes all fees paid or received, transaction costs, and discounts
or premiums that are an integral part of the effective interest rate. Transaction costs are incremental costs that
are directly attributable to the acquisition, issue or disposal of a financial asset or liability.
Interest income and expense presented in the SOCI include interest on financial assets and liabilities at
amortised cost on an effective interest rate basis together with interest on financial assets and liabilities
designated at fair value through SOCI.
(e) Commission
Commission income and expenses represented in the SOCI include commitment fees on financial assets and
liabilities. However, commission income and expenses that are integral to the effective interest rate on a
financial asset or liability are included in the measurement of the effective interest rate.
(f) Fees
Fees comprise of transaction and service fees, which are expensed as the services are received.
(g) Net gain/(loss) from financial instruments at fair value
Net gain/(loss) from financial instruments at fair value relates to fair value movement on fixed debt securities
issued in qualifying hedging relationships, also relates to fair value movement on derivatives related to interest
rate swaps, gain/(loss) on foreign currency forwards and gain/(loss) on termination of interest rate swaps, for
details see Note 2(i), Note 2(j) and Note 7.
(h) Tax expense
Tax expense comprises current and deferred tax. Current tax and deferred tax are recognised in SOCI except to
the extent that they relate to items recognised directly in equity or in other comprehensive income.
The Company has determined that the Global Minimum Top-Up Tax which it may be required to pay under
Pillar Two legislation- is an income tax in the scope of IAS 12, for further details see Note 10.
Current tax is the expected tax payable or receivable on the taxable income or loss for the year, using tax rates
enacted or substantively enacted at the reporting date, and any adjustment to tax payable in respect of
previous years. Current tax payable also includes any tax liability arising from dividends.
Page 29
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD
GE Capital UK Funding Unlimited Company
Notes to the Financial Statements 31 December 2025 (continued)
2 Material accounting policy information (continued)
(h) Tax expense (continued)
Deferred tax is recognised in respect of temporary differences between the carrying amounts of assets and
liabilities for financial reporting purposes and the amounts used for taxation purposes. Deferred tax is not
recognised for:
• temporary differences on the initial recognition of assets or liabilities in a transaction that is not a business
combination and that affects neither accounting nor taxable profit or loss;
• temporary differences related to investments in subsidiaries to the extent that it is probable that they will not
reverse in the foreseeable future;
• temporary differences arising on the initial recognition of goodwill; and
• differences related to Pillar Two income taxes.
Deferred tax is measured at the tax rates that are expected to be applied to the temporary differences when
they reverse, based on the laws that have been enacted or substantively enacted by the reporting date.
Deferred tax assets and liabilities are offset if there is a legally enforceable right to offset current tax liabilities
against current tax assets, and they relate to taxes levied by the same tax authority on the same taxable
entity, or on different tax entities, but they intend to settle current tax liabilities and assets on a net basis or
their tax assets and liabilities will be realised simultaneously.
Additional taxes that arise from the distribution of dividends by the Company are recognised at the same time
as the liability to pay the related dividend is recognised.
A deferred tax asset is recognised for unused tax losses, tax credits and deductible temporary differences to
the extent that it is probable that future taxable profits will be available against which they can be utilised.
Deferred tax assets are reviewed at each reporting date and are reduced to the extent that it is no longer
probable that the related tax benefit will be realised.
(i) Financial assets and liabilities
Recognition and initial measurement
The Company initially recognise loans and advances, deposits, debt securities issued and subordinated
liabilities on the date on which they are originated. All other financial instruments (including regular-way
purchases and sales of financial assets) are recognised on the trade date, which is the date on which the
Company becomes a party to the contractual provisions of the instrument.
A financial asset or financial liability is measured initially at fair value plus or minus, for an item not at fair value
through profit or loss (‘FVTPL’), transaction costs that are directly attributable to its acquisition or issue. The fair
value of a financial instrument at initial recognition is generally its transaction price.
Page 30
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD
GE Capital UK Funding Unlimited Company
Notes to the Financial Statements 31 December 2025 (continued)
2 Material accounting policy information (continued)
(i) Financial assets and liabilities (continued)
Derecognition
The Company derecognises a financial asset when the contractual rights to the cash flows from the asset
expire, or it transfers the rights to receive the contractual cash flows on the financial asset in a transaction in
which substantially all the risks and rewards of ownership of the financial asset are transferred. Any interest in
transferred financial assets that are created or retained by the Company is recognised as a separate asset or
liability.
The Company derecognises a financial liability when its contractual obligations are discharged or cancelled or
expire.
Classification and subsequent measurement of financial assets and financial liabilities
A financial asset that meets the following conditions are measured at amortised cost:
• the financial asset is held within a business model whose objective is to hold financial assets in order to
collect contractual cash flows.
• the contractual terms of the financial asset give rise on specified dates to cash flows that are solely
payments of principal and interest on the principal amount outstanding.
A financial asset that meets the following conditions are measured subsequently at fair value through other
comprehensive income (FVTOCI):
• the financial asset is held within a business model whose objective is achieved by both collecting contractual
cash flows and selling the financial assets.
• the contractual terms of the financial asset give rise on specified dates to cash flows that are solely
payments of principal and interest on the principal amount outstanding.
The business model of the Company for loans and advances is to hold assets to collect contractual cashflows.
As such, the Company’s loans and advances are measured at amortised cost. All other financial assets are
classified as measured at FVTPL.
The Company does not hold any assets measured at FVOCI.
Financial liabilities are classified as measured at amortised cost or FVTPL. A financial liability is classified as at
FVTPL if it is classified as held-for-trading, it is a derivative or it is designated as such on initial recognition.
Other financial liabilities are measured at amortised cost using the effective interest method.
Modification of financial assets and financial liabilities
If the terms of a financial asset or liability are modified and the cash flows are substantially different, the
original instrument is derecognised and a new instrument recognised.
If the modification of a financial asset measured at amortised cost does not result in derecognition of the
financial asset, then the Company first recalculates the gross carrying amount of the financial asset using the
original effective interest rate of the asset and recognises the resulting adjustment as a modification gain or
loss in SOCI.
Page 31
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD
GE Capital UK Funding Unlimited Company
Notes to the Financial Statements 31 December 2025 (continued)
2 Material accounting policy information (continued)
(i) Financial assets and liabilities (continued)
If the modification of a financial liability is not accounted for as derecognition, then the amortised cost of the
liability is recalculated by discounting the modified cash flows at the original effective interest rate and the
resulting gain or loss is recognised in SOCI. The difference between the carrying amount of the financial liability
is derecognised and the consideration paid is recognised in SOCI.
Offsetting
Financial assets and liabilities are set off and the net amount presented in the Statement of Financial Position
when, and only when, the Company has a current legal right to set off the amounts and intends either to settle
on a net basis or to realise the asset and settle the liability simultaneously. Income and expenses are presented
on a net basis only when permitted under IFRS Accounting Standards.
(j) Fair value measurement
Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly
transaction between market participants at the measurement date. When available, the Company measures
the fair value of an instrument using quoted prices in an active market for that instrument. A market is
regarded as active if quoted prices are readily and regularly available and represent actual occurring market
transactions on an arm’s length basis.
If a market for a financial instrument is not active, the Company establishes fair value using valuation
techniques. Valuation techniques include using recent arm’s length transactions between knowledgeable,
willing parties (if available), reference to the current fair value of other instruments that are substantially the
same, discounted cash flow analyses and option pricing models. The chosen valuation technique makes use of
market inputs, relies as little as possible on estimates specific to the Company, incorporates factors that
market participants would consider in setting a price, and is consistent with accepted economic methodologies
for pricing financial instruments.
Inputs to valuation techniques reasonably represent market expectations and measures the risk return factors
inherent in the financial instrument. The Company calibrate valuation techniques and test them for validity
using prices from observable current market transactions in the same instrument or based on other available
observable market data.
The best evidence of the fair value of a financial instrument at initial recognition is the transaction price, i.e., the
fair value of the consideration given or received, unless the fair value of that instrument is evidenced by
comparison with other observable current market transactions in the same instrument (i.e., without
modification or repackaging) or based on a valuation technique whose variables include only data from
observable markets. When transaction price provides the best evidence of fair value at initial recognition, the
financial instrument is initially measured at the transaction date and any difference between this price and the
value initially obtained from a valuation model is subsequently recognised in the SOCI depending on the
individual facts and circumstances of the transaction but not later than when the valuation is supported wholly
by observable market data or the transaction is closed out.
Page 32
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD
GE Capital UK Funding Unlimited Company
Notes to the Financial Statements 31 December 2025 (continued)
2 Material accounting policy information (continued)
(j) Fair value measurement (continued)
Assets and long positions are measured at a mid-price; liabilities and short positions are measured at an ask
price. Where the Company has positions with offsetting risks, mid-market prices are used to measure the
offsetting risk positions and a bid or ask price adjustment is applied only to the net open position as
appropriate.
Fair values reflect the credit risk of the instrument and include adjustments to take account of the credit risk of
the Company and counterparty where appropriate. Fair value estimates obtained from models are adjusted
for any other factors, such as liquidity risk or model uncertainties; to the extent that the Company believe a
third-party market participant would take them into account in pricing a transaction.
(k) Impairment
Identification and measurement of impairment
The Company uses the expected credit loss (‘ECL’) model to assess impairment on the financial assets
measured at amortised cost. ECLs are a probability-weighted estimate of credit losses. Credit losses are
measured as the present value of all cash shortfalls over the expected life of the financial asset. Note 14
provides further detail of how expected credit losses are measured.
For loans and advances to GE Aerospace affiliates measured at amortised cost, the Company recognises a loss
allowance equal to the ECLs that result from possible default events within the 12 months after the reporting
date if there is not a significant increase in credit risk.
If the credit risk of a financial asset has increased significantly since initial recognition, the Company
recognises lifetime ECLs. Lifetime ECLs are the ECLs that result from all possible default events over the
expected life of a financial instrument.
When determining whether the credit risk of a financial asset has increased significantly since the initial
recognition when estimating ECLs, the Company considers reasonable and supportable information that is
relevant and available without undue cost or effort. This includes both quantitative and qualitative information
and analysis, based on the Company’s historical experience and expert credit assessment and including
forward looking information. Please refer to Note 14 for further details.
The Company considers a debt security to have a low credit risk when its credit risk rating is equivalent to the
globally understood definition of ‘investment grade’. The Company considers this to be BBB- or higher as per
Standard and Poor’s (‘S&P’) rating scale.
Page 33
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD
GE Capital UK Funding Unlimited Company
Notes to the Financial Statements 31 December 2025 (continued)
2 Material accounting policy information (continued)
• (k) Impairment (continued)
The indicators below are used to identify receivables which have experienced a significant increase in credit
risk and should be individually reviewed for impairment. The triggers which would indicate a significant
increase in credit risk are:
The receivable is highlighted by the business as a potential risk and requires further review.
• The borrower has a significant increase in GE Aerospace's Obligor Rating, being defined as a drop of 4
notches in the original grade (outside of investment grade of BBB-).
• Payment are more than 30 days past due.
• Credit-impaired financial assets
At each reporting date, the Company assesses whether financial assets carried at amortised cost are
credit-impaired. Loans and advances are considered to be credit-impaired when one or more events that have
a detrimental impact on the estimated future cash flows of that financial asset have occurred, and does not
expect to collect all principal and interest due according to the contractual terms of the loan agreement(s).
Evidence that a financial asset is credit-impaired include observable data about the following:
• Significant financial difficulty of the borrower.
• Default in the payment of interest or commitment fees which is not rectified within 5 business days of having
received notice from the lender.
• Default in the payment of other amount is due under the terms of the loan agreement which is not rectified
within 5 business days of having received notice from the lender.
• The lender, for economic or contractual reasons relating to the borrower’s financial difficulty, has granted a
concession that the lender would not otherwise consider.
• It is becoming probable that the borrower will enter bankruptcy or other financial reorganisation.
• The borrower is highlighted by the business as a potential risk and requires further review.
Please see Note 14(a) Credit risk for further details.
Presentation of impairment
Impairment losses on financial assets measured at amortised cost are deducted from the gross carrying
amount of the assets in the statement of financial position and the change in impairment losses on financial
assets during the year are presented separately in SOCI.
(l) Cash and cash equivalents
Cash and cash equivalents include cash at bank and highly liquid financial assets with original maturities of
less than three months, which are subject to insignificant risk of changes in their fair value, and are used by the
Company in the management of their short-term commitments. Cash is carried at amortised cost in the
Statement of Financial Position.
Page 34
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD
GE Capital UK Funding Unlimited Company
Notes to the Financial Statements 31 December 2025 (continued)
2 Material accounting policy information (continued)
(m) Derivatives held for risk management purposes and hedge accounting
The Company has elected to continue to apply the hedge accounting requirements of IAS 39 instead of the
requirements of new hedge accounting requirements of IFRS 9.
Derivatives held for risk management purposes include all derivative assets and liabilities that are not classified
as trading assets or liabilities. All derivatives held for risk management purposes are measured at fair value in
the Statement of Financial Position. The Company designate certain derivatives held for risk management as
hedged instruments in qualifying hedging relationships.
Policy applicable for all hedging relationships
On initial designation of the hedge, the Company formally documents the relationship between the hedging
instrument(s) and hedged item(s), including the risk management objective and strategy in undertaking the
hedge, together with the method that will be used to assess the effectiveness of the hedging relationship. The
Company makes an assessment, both on inception of the hedging relationship and on an ongoing basis, of
whether the hedging instrument(s) is (are) expected to be highly effective in offsetting the changes in the fair
value or cash flows of the respective hedged item(s) during the period for which the hedge is designated, and
whether the actual results of each hedge are within a range of 80-125%.
(i) Fair value hedges
When a derivative is designated as the hedging instrument in a hedge of the change in fair value of a
recognised asset or liability or a firm commitment that could affect SOCI, changes in the fair value of the
derivative are recognised immediately in SOCI. The change in fair value of the hedged item attributable to the
hedged risk is recognised in SOCI. If the hedged item would otherwise be measured at cost or amortised cost,
then its carrying amount is adjusted accordingly.
If the hedging derivative expires or is sold, terminated or exercised, or the hedge no longer meets the criteria
for fair value hedge accounting, or the hedge designation is revoked, then hedge accounting is discontinued. If
a hedging relationship is de-designated the basis adjustment on the hedged item is then amortized, using the
effective interest method, over the remaining life of the hedged item.
Any adjustment up to the point of discontinuation to a hedged item for which the effective interest method is
used is amortised to SOCI as an adjustment to the recalculated effective interest rate of the item over its
remaining life.
On hedge discontinuation, any hedging adjustment made previously to a hedged financial instrument for
which the effective interest method is used is amortised to SOCI by adjusting the effective interest rate of the
hedged item from the date on which amortisation begins. If the hedged item is derecognised, then the
adjustment is recognised immediately in SOCI when the item is derecognised.
(ii) Derivatives held for trading
When a derivative is not designated in a qualifying hedge relationship including all foreign currency forwards,
all changes in fair value are recognised immediately through SOCI.
Page 35
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD
GE Capital UK Funding Unlimited Company
Notes to the Financial Statements 31 December 2025 (continued)
2 Material accounting policy information (continued)
(n) Loans and advances
Loans and advances captions in the Statement of Financial Position include loans and advances measured at
amortised cost; they are initially measured at fair value plus or minus incremental direct transaction costs; and
subsequently at their amortised cost using the effective interest method.
The interest rate on loans advanced to/from GE Aerospace affiliates is deemed to be an arms length rate at the
current year end.
(o) Debt securities issued
Debt securities issued are the Company’s source of debt funding.
The Company classify capital instruments as financial liabilities or equity instruments in accordance with the
substance of the contractual terms of the instrument.
Debt securities issued are initially measured at fair value adjusted for directly attributable transaction costs,
and subsequently measured at their amortised cost using the effective interest method, except where the
Company choose to designate at inception the debt securities at fair value through profit or loss.
The Company carry certain debt securities at amortised cost adjusted for the fair value of the interest rate risk
element, with fair value changes recognised immediately through profit or loss in the SOCI.
(p) Segment reporting
An operating segment is a component of the Company that engages in business activities from which it may
earn revenues and incur expenses, including revenues and expenses that relate to transactions with any of the
Company's other components, whose operating results are reviewed regularly by the Directors (being the chief
operating decision maker) to make decisions about resources allocated to each segment and to assess its
performance.
Page 36
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD
GE Capital UK Funding Unlimited Company
Notes to the Financial Statements 31 December 2025 (continued)
3 Use of estimates and judgements
The Directors review the development, selection and disclosure of the Company’s critical accounting policies
and estimates, and the application of these policies and estimates.
A. Judgements
Significant accounting judgements made in applying the Company’s accounting policies include:
(a) Allowances for impairment
Note 2 (k) and Note 14 (a) outline the following:
Establishing the criteria for determining whether credit risk on the financial asset has increased significantly
since initial recognition, determining the methodology for incorporating forward-looking information into the
measurement of ECL and selection and approval of models used to measure ECL as described in Note 14.
B. Sources of estimation uncertainty
Information about assumptions and estimation uncertainties at the reporting date that have a significant risk
of resulting in a material adjustment to the carrying amounts of assets and liabilities within the next financial
year is included in the Note 14 measurement of ECL allowance for loan receivables.
(a) Determining fair values of financial instruments where a quoted market price is unavailable
As indicated in Note 15, all of the derivative instruments are measured at fair value on the respective
Statement of Financial Position and it is usually possible to determine their fair values within a reasonable
range of estimates.
Fair value estimates are made at a specific point in time, based on market conditions and information about
the financial instrument. These estimates are subjective in nature and involve market uncertainties and
matters of judgement (including interest rates, volatility, estimated cash flows) and therefore, cannot be
determined with precision.
The Company has estimated the fair value of its loans and advances to GE Aerospace affiliates taking into
account market risk and the changes in credit quality of its borrowers.
Page 37
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD
GE Capital UK Funding Unlimited Company
Notes to the Financial Statements 31 December 2025 (continued)
3 Use of estimates and judgements (continued)
(b) Valuation of financial assets and liabilities
The Company measure fair values using the following hierarchy of methods:
• Level 1- Quoted market price in an active market for an identical instrument.
• Level 2- Valuation techniques based on observable inputs. This category includes instruments valued using:
quoted market prices in active markets for similar instruments; quoted prices for similar instruments in markets
that are considered less than active; or other valuation techniques where all significant inputs are directly or
indirectly observable from market data.
• Level 3- Valuation techniques using significant unobservable inputs. This category includes all instruments
where the valuation technique includes inputs not based on observable data and the unobservable inputs
could have a significant effect on the instrument’s valuation.
The valuation techniques and significant inputs used in determining the fair values for financial assets and
liabilities classified as Level 1, Level 2 and Level 3 are as follows;
Debt securities- are traded in active markets and are based on quoted market prices or dealer price
quotations. For non-traded securities, the Company determine fair values using valuation techniques.
Valuation techniques include net present value and discounted cash flow models, comparison to similar
instruments for which market observable prices exist. Assumptions and inputs used in valuation techniques
include risk-free and benchmark interest rates, credit spreads and other premia used in estimating discount
rates, bond prices, foreign currency exchange rates, expected price volatilities and correlations. The objective
of valuation techniques is to arrive at a fair value determination that reflects the price of the financial
instrument at the reporting date that would have been determined by market participants acting at arm’s
length.
Derivative assets and liabilities- the Company use widely recognised valuation models for determining the
fair value of common and more simple financial instruments, such as interest rate swaps that use only
observable market data and require little management judgement and estimation. Observable prices and
model inputs are usually available in the market for listed debt securities of the ultimate parent, GE Aerospace,
exchange traded derivatives and simple over the counter derivatives such as interest rate swaps. Availability of
observable market prices and model inputs reduces the need for management judgement and estimation and
also reduces the uncertainty associated with determination of fair values. Availability of observable market
prices and inputs varies depending on the products and markets and is prone to changes based on specific
events and general conditions in the financial markets. Derivatives are shown gross on statement of financial
position as they do not qualify for offset in accordance with IAS 32. In addition there are no master netting
agreements in place. All derivatives are executed with Hedge Management Services, Inc. (HMS) and a credit
valuation adjustment (“CVA”) is calculated to reflect the credit risk of HMS. A debit valuation adjustment (“DVA”)
is calculated to reflect the credit risk of the Company with the bilateral adjustment recorded in the
measurement of the derivatives in the Financial Statements.
Loans and advances from GE Aerospace affiliates- The fair value of loans received is estimated from the
present value of the cash flows, using current market rates for similar loans.
Loans and advances to GE Aerospace affiliates- The fair value of issued loans is estimated from the present
value of the cash flows, using current market rates for similar loans.
Page 38
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD
GE Capital UK Funding Unlimited Company
Notes to the Financial Statements 31 December 2025 (continued)
3 Use of estimates and judgements (continued)
There were no Level 3 assets or liabilities held at 31 December 2025 or 31 December 2024.
Measured at Fair Value
Measured at
Amortised Cost
Level 1 Level 2 Level 3 Total
In million of USD
31 December 2025
Assets
Loans and advances to GE
Aerospace affiliates
- - - 1,690 1,690
Derivative assets held for
qualifying hedging relationships
- 28 - - 28
Other assets
- - - - -
- 28 - 1,690 1,718
In million of USD
Liabilities
Loans and advances from GE
Aerospace affiliates
- - - - -
Debt securities issued*
- - - (1,258) (1,258)
Derivative liabilities held for
qualifying hedging relationships
- (49) - - (49)
- (49) - (1,258) (1,307)
Page 39
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD
GE Capital UK Funding Unlimited Company
Notes to the Financial Statements 31 December 2025 (continued)
3 Use of estimates and judgements (continued)
Measured at Fair Value
Measured at
Amortised Cost
Level 1 Level 2 Level 3 Total
In million of USD
31 December 2024
Assets
Loans and advances to GE
Aerospace affiliates
- - - 1,641 1,641
Derivative assets held for
qualifying hedging relationships
- 23 - - 23
Other assets
- - - 3 3
- 23 - 1,644 1,667
In million of USD
Liabilities
Loans and advances from GE
Aerospace affiliates
- - - (59) (59)
Debt securities issued*
- - - (1,113) (1,113)
Derivative liabilities held for
qualifying hedging relationships
- (62) - - (62)
- (62) - (1,172) (1,234)
*Measured at amortised cost as adjusted for the fair value of hedged risk under hedge accounting rules.
Significant transfers between Level 2 and Level 3 of the fair value hierarchy
During the years ended 31 December 2025 and 31 December 2024, there were no transfers between Level 2
and Level 3 of the fair value hierarchy.
4 Interest income
Interest income is earned on loans made by the Company directly to other GE Aerospace affiliates.
2025
USD'000
2024
USD'000
Interest income on loan and advances to GE Aerospace affiliates
56,408 74,571
56,408
74,571
For the year ended 31 December 2025, the decrease in interest income is primarily driven by the average USD
loan interest rate decrease.
Page 40
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD
GE Capital UK Funding Unlimited Company
Notes to the Financial Statements 31 December 2025 (continued)
5 Interest expense
The following table details the interest expense incurred by the Company during the year.
2025
USD'000
2024
USD'000
Interest expense for financial assets and liabilities:
Debt securities issued;
- in qualifying hedging relationships at adjusted amortised cost
(74,940) (81,756)
Amortisation of fair value component of debt with associated terminated
derivative assets and those no longer in a hedging relationship
20,394 19,312
Interest expense on loans and advances from GE Aerospace affiliates
(1,387) (11,707)
Bank charges
(1) (1)
(55,934)
(74,152)
Interest expense on loans and advances from GE Aerospace affiliates relates to borrowings from GE Aerospace
and Cash Management Services Inc. ("CMS"). For the year ended 31 December 2025, the decrease in interest
expense is primarily driven by an decrease in the average borrowing position during the current financial year.
6 Service and commitment fee expense
2025
USD'000
2024
USD'000
Commitment fee
- (8)
Service fee expense to GE Aerospace affiliates
(336) (318)
(336)
(326)
The Company had a management service agreement in place with GE Treasury Ireland Services UK (“T2K”), an
affiliate Company until 8 March 2024. On 8 March 2024, T2K merged into GE Management services Ireland
Limited ('H83'), and the service agreement has been novated from T2K to H83. Commitment fee expense to GE
Aerospace affiliates relates to loan facility used to fund debt maturities.
Page 41
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD
GE Capital UK Funding Unlimited Company
Notes to the Financial Statements 31 December 2025 (continued)
7 Net loss from financial instruments carried at fair value
2025
USD'000
2024
USD'000
Fair value movement on interest rate swaps
in qualifying hedging relationships
18,041 (54,711)
Fair value movement on fixed rate debt securities issued in qualifying
hedging relationships
(21,516) 51,779
(3,475)
(2,932)
The above table includes the hedge ineffectiveness loss USD 3 million (2024: loss USD 3 million).
8 Foreign exchange (loss)/gain
2025
USD'000
2024
USD'000
Foreign exchange (loss)/gain
(18,944)
3,492
The foreign exchange loss in the current financial year is primarily due to the movement in GBP/USD exchange
rate from 1.252 as at 31 December 2024 to 1.348 as at 31 December 2025 (2024: movement in GBP/USD
exchange rate from 1.275 as at 31 December 2023 to 1.252 as at 31 December 2024).
9 (Loss)/profit before income tax
2025
USD'000
2024
USD'000
Profit before taxation has been arrived at after charging
Directors' remuneration * - 109
Auditor's remuneration
Audit of these Company Financial Statements** 27 27
Other assurance services*** 25 25
Tax advisory services - -
Other non-audit services
- -
The Company had no employees during the year (2024: Nil) and incurred no staff costs as this function was
provided by H83 under the management service agreement.
Page 42
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD
GE Capital UK Funding Unlimited Company
Notes to the Financial Statements 31 December 2025 (continued)
9 (Loss)/profit before income tax (continued)
* Includes short term benefits and post-employment benefits in respect of key management personnel.
Directors' remuneration for the year ended 31 December 2025 was paid by affiliated entities H83, Directors
remuneration has not been included in the service fee charged from this company. A portion of annual
Directors' remuneration attributable to the Company was estimated at USD 45,514 for the year end 31
December 2025 (2024: USD 109,416).
** Auditor's remuneration paid to Deloitte Ireland LLP is USD 26,910 (2024: USD 26,910). Payments to other
Deloitte member firms is USD 15,600 (2024: USD 15,600).
*** Other assurance services cost relates to the interim review per the ISRE 2410 standard and ESEF fees.
10 Income tax charge
2025
USD'000
2024
USD'000
Analysis of charge/(credit) in year
Current tax:
Total current tax
- -
Deferred tax:
Total tax charge in the Income Statement
- -
Factors effecting tax charge/credit for the year
The tax assessed for the year is different to that at the standard rate of corporation tax in Ireland (12.5%). The
differences are explained below.
Reconciliation of effective rate
2025
USD'000
2024
USD'000
(Loss)/profit before taxation
(20,785) 1,609
(Loss)/profit multiplied by the standard rate of corporation tax in Republic of
Ireland of 12.5% (2024:12.5%)
(2,598) 201
Tax effect of:
Additional deductible expenditure (82) (202)
Losses carried forward/(utilized) 2,649 (28)
Non-deductible expenditure 31 29
Total tax charge/(credit) in SOCI
- -
Page 43
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD
GE Capital UK Funding Unlimited Company
Notes to the Financial Statements 31 December 2025 (continued)
10 Income tax charge (continued)
The Company, as the subsidiary of GE Aerospace, is within the scope of the Organisation for Economic
Co-operation and Development (OECD) Pillar Two model rules (“Pillar Two”). The Pillar Two legislation was
enacted in Ireland, the jurisdiction in which the Company is incorporated. Upon enactment, the Pillar Two
taxation regime (specifically the qualifying domestic minimum top-up tax (“QDMTT”) came into effect on 1
January 2024. The Company has applied the exception to recognizing and disclosing information about
deferred tax assets and liabilities related to Pillar Two income taxes, as provided in the Amendments to IAS 12
issued in 2023. The results of the analysis indicated that the Company qualified for applying the transitional
Country-by-Country Reporting (CbCR) Safe Harbour in 2024 and did not incur a top-up tax liability under the
Pillar Two taxation regime, specifically the QDMTT. Based on currently available information and projections,
management expects the Company to not qualify for the transitional CbCR Safe Harbour in 2025 and therefore
may incur a top-up tax liability under the Pillar Two taxation regime in respect of the year ending 31 December
2025. As GE Aerospace’s Pillar 2 effective tax rate in Ireland for the period is expected to be below the Pillar 2
minimum tax rate of 15%, a current tax expense has been recognised in GE Ireland USD Holdings Unlimited
Company (the nominated group filer) for Ireland. GE Ireland USD Holdings Unlimited Company will pay the Irish
Pillar 2 QDMTT and will not recharge to affiliates. The Company’s Ultimate Parent Entity is domiciled in the
United States. Although the United States has not adopted its respective Pillar Two legislation as of 31
December 2025, the exposure to incremental tax payable under any applicable undertaxed profit rule (UTPR) is
not estimated to be significant.
11 Cash and cash equivalents
2025
USD'000
2024
USD'000
- -
There are no restricted cash balances at the financial year end (2024: USD Nil).
There are no cash balances held at 31 December 2025 (2024: USD Nil).
12 Deferred tax asset
A deferred tax asset is recognised only to the extent that it is probable that future taxable profits will be
available against which the asset can be recovered. The Directors have considered the assumptions
underpinning the recognition of a deferred tax asset and have determined that it is appropriate to recognise no
deferred tax asset for the year ending 31 December 2025 (31 December 2024: USD Nil).
The Company has an unrecognised deferred tax asset at the financial year end of USD 23 million (2024: USD
20.3 million) which relates to losses carried forward. These losses may be carried forward indefinitely against
profits of the same trade.
Page 44
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD
GE Capital UK Funding Unlimited Company
Notes to the Financial Statements 31 December 2025 (continued)
13 Share capital, share premium and reserves
31 December
2025
USD'000
31 December
2024
USD'000
Company
Authorised
100,000,000 Ordinary Shares of USD 1.2422 each
124,220 124,220
Allotted (called up and fully paid)
56,750,000 Ordinary Shares of USD 1.2422 each
70,495 70,495
Allotted, called up and fully paid equity shares
Share
Capital
USD'000
Share
premium
USD'000
Undenominated
capital reserves
USD'000
Foreign exchange
reserve
USD'000
Capital
contribution
USD'000
Total
USD'000
Opening at 1 January
2024
70,495 367,244 18,766 (131,970) 103,003 427,538
Balance at 31 December
2024
70,495 367,244 18,766 (131,970) 103,003 427,538
Opening at 1 January
2025
70,495 367,244 18,766 (131,970) 103,003 427,538
Balance at 31 December
2025
70,495 367,244 18,766 (131,970) 103,003 427,538
The Company manages its capital to ensure that it will be able to continue as a going concern. The Company’s
overall strategy remains unchanged from 2024. The capital structure of the Company consists of share capital,
reserves and retained earnings. The Company is not subject to any externally imposed capital requirements.
The holders of ordinary shares are entitled to receive dividends as declared from time to time and are entitled
to one vote per share at meetings of the Company. The ordinary shares rank pari passu in all respects. The
Company did not pay nor declare a dividend on its share capital during the current financial year or prior
financial year.
The opening undenominated capital reserve arises due to the redenomination of issued share capital from GBP
to USD on16 December 2016.
The opening foreign exchange reserve arose due to the retranslation of share capital, share premium and
other reserves at the historic rates prevailing at the dates of transactions following the change in functional
currency of the Company from GBP to USD on 3 December 2015.
Page 45
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD
GE Capital UK Funding Unlimited Company
Notes to the Financial Statements 31 December 2025 (continued)
14 Financial risk management
Introduction and overview
The Company has exposure to the following risks from the use of financial instruments:
(a) credit risk
(b) liquidity risk
(c) market risk
(d) other price risk
This note presents information about the Company's exposure to each of the above risks, the Company's
objectives, policies and processes for measuring and managing risk, and the Company's management of
capital.
Risk management framework
The Directors have overall responsibility for the establishment and oversight of the Company's risk
management framework in line with the overall GE Aerospace risk management framework.
The Company’s risk management policies are based on policies of the Company’s ultimate parent, GE
Aerospace, and are established to identify and analyse the risks faced by the Company, to set appropriate risk
limits and controls, and to monitor risks and adherence to limits. Risk management policies and systems are
reviewed regularly to reflect changes in market conditions, products and services offered.
The Directors are responsible for monitoring compliance with the Company’s risk management policies and
procedures, and for reviewing the adequacy of the risk management framework in relation to the risks faced
by the Company. The Directors are assisted in these functions by GE Aerospace Internal Audit Staff.
(a) Credit risk
Credit risk is the risk of financial loss to the Company if a customer or counterparty to a financial instrument
fails to meet its contractual obligations, and arises principally from the Company's loans and advances to GE
Aerospace affiliates. For risk management reporting purposes the Company considers and consolidates all
elements of credit risk exposure (such as individual obligor risk, default risk and country risk). The Directors
monitor performance of borrowers and continually assess recoverability of loans (see points below). The
Directors set the credit policy to minimise the risk to earnings and capital. All loans and advances made by the
Company are with GE Aerospace affiliates. All loans are uncollateralized.
Page 46
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD
GE Capital UK Funding Unlimited Company
Notes to the Financial Statements 31 December 2025 (continued)
14 Financial risk management (continued)
(a) Credit risk (continued)
Management of credit risk
The Directors are responsible for the oversight of the Company's credit risk in line with the overall GE
Aerospace risk framework, including:
• Following GE Aerospace credit policies covering credit assessment, risk grading and reporting, documentary
and legal procedures, and compliance with regulatory and statutory requirements;
• Establishing the authorization structure for the approval and renewal of credit facilities;
• Reviewing and assessing credit risk. The Directors assess all credit exposures prior to facilities being
committed, and these facilities are subject to periodic review based on the overall risk associated as
determined by Management.
A comprehensive due diligence is carried out on each borrower annually as part of the repricing process.
As at 31 December 2025 the total carrying amount of loans and advances to GE Aerospace affiliates exposed
to credit risk in the Company amounted to USD 1,690 million (2024: USD 1,641 million).
As at 31 December 2025, the loans and advances to Cash Management Services Inc. (CMS) were 63% (2024:
62%) of the total loan portfolio for the Company and the loans and advances to GE Capital Global Holdings, LLC
(RYZ) was 27% (2024: 28%) of the total loan portfolio for the Company. The Directors monitor the performance
of GE Aerospace affiliates to assess the recoverability of the loans in line with the overall GE Aerospace risk
framework. As at 31 December 2025 and 31 December 2024, the Directors consider none of the loans and
advances to GE Aerospace affiliates to be either past due or individually impaired. Impairment loss allowance is
discussed further in this note.
Cash and cash equivalents are held in cashpools with financial institutions rated A to BBB+ (2024: A- to BBB-)
by Standard and Poor’s at the year end.
Loans with renegotiated terms
Loans with renegotiated terms are loans that have been restructured due to the deterioration of the borrower’s
financial position. No loans were renegotiated due to the deterioration of the borrower's financial position
during the financial year ended 31 December 2025 (2024: USD Nil).
Allowances for impairment
The Company establishes an allowance for impairment losses on assets carried at amortised costs based on
the ECL model as described in Note 2. It is considered that all loans and advances are Stage 1, as all loans are
to GE Aerospace affiliates and interest and principal are paid in a timely manner as per the terms of the loan
agreements. No history of default or non repayment in respect of the borrowers. Additionally, the Company
has determined that the credit risk on financial assets has not significantly increased since initial recognition.
Page 47
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD
GE Capital UK Funding Unlimited Company
Notes to the Financial Statements 31 December 2025 (continued)
14 Financial risk management (continued)
a) Credit risk (continued)
Measuring ECL - explanation of inputs, assumptions and estimation techniques:
The ECL is measured on either a 12-month or Lifetime basis depending on whether a significant increase in
credit risk has occurred since initial recognition or whether an asset is considered to be credit-impaired. ECLs
are the discounted product of Probability of Default (PD), Exposure at Default (EAD) and Loss Given Default
(LGD), defined as follows:
The PD represents the likelihood of a borrower defaulting on its financial obligation either in the next 12 months
or the remaining lifetime of the obligation. The PD for the loans in the Company is considered low as all loans
are to GE Aerospace undertakings. S&P’s Credit Model is used to assign a rating to internal GE Aerospace
entities. This model produces outputs on the S&P rating scale. Reviewing S&P’s model documents confirms that
the Credit Model rating output maps directly to the S&P scale. Since the S&P rating is the industry reference,
this is also used to set the GE Aerospace Obligor Rating scale which was directly mapped to the S&P scale,
which in turn assigns a PD.
EAD is based on the amounts the Company expects to be owed at the time of default. For revolving credit
agreements (‘RCAs’), the Company includes the current drawn balance plus any further amount that is
expected to be drawn up to the current contractual limit by the time of default, should it occur.
LGD is assumed to be 60%. For GE Aerospace intercompany loans, given the fact that all these loans are senior
unsecured, an external benchmark is leveraged for the LGD assumption. According to Moody’s Corporate
Default and Recovery dataset, the LGD of 60% is estimated based on the summary statistics from US
Corporate Senior Unsecured Bonds population.
The discount rate used in the ECL calculation is determined to be the original effective interest rate on the loan
(market rate of interest).
GE Aerospace replaced its PD Term Structure Model from the Moody’s Expected Default Frequency (‘EDF’)
model to FHR-TPM model which uses historical Rapid Ratings Financial Health Rating (FHR) scores since 2022.
The model forecasts quarterly cumulative PDs for a horizon of up to 30 years over a range of FHR scores. The
PD forecasts over the first 3 years are based on economic conditions provided by end-users, and thereafter a
through-the-cycle (TTC) mean condition is assumed over the remaining forecasting horizon.
Rapid Ratings is a quantitative rating system that produces the Financial Health Rating (FHR), a score ranging
from 0 (highest risk) to 100 (lowest risk). FHR measures a firm’s overall ability to remain competitive against its
industry peers and exhibits certain discriminating power between low-risk survivors and high-risk defaulters
over a future 12-month period.
Page 48
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD
GE Capital UK Funding Unlimited Company
Notes to the Financial Statements 31 December 2025 (continued)
14 Financial risk management (continued)
(a) Credit risk (continued)
A specifically designed macro scenario with exact response from each industry to this scenario may generate
false precision in the portfolio PD projection, especially when a long period macro forecast is used. The model
will become less accurate if the historical relationship between Firm Risk Indicator ('FRI') and macro variables
breaks in the future. Given these considerations, a simplified fixed-state output provides more intuitive
solutions. The fixed-state scenario generates the Probability of Default term structure ('PDTS') based on a
specified series of discrete state input rather than the continuum of the exact state implied by any macro
forecasts.
The following tables provides information about exposure to credit risk and ECLs for the Company as at 31
December 2025, All loans are considered low-risk. The impairment allowance includes the ECL on loan
commitments.
31 December 2025 S&P rating Gross carrying amount *
Impairment
allowance
Credit-impaired?
USD’000 USD’000
Loans and advances to GE
Aerospace affiliates
A- to B+ 1,714,980 (1,325) No
31 December 2024 S&P rating Gross carrying amount *
Impairment
allowance
Credit-impaired?
USD’000 USD’000
Loans and advances to GE
Aerospace affiliates
BBB+ 1,666,079 (2,889) No
Impairment allowance 31 December 2024 31 December 2025 Movement
USD’000 USD’000 USD’000
Loans and advances to GE Aerospace
affiliates
(2,889) (1,325) 1,564
Impairment allowance 31 December 2023 31 December 2024 Movement
USD’000 USD’000 USD’000
Loans and advances to GE Aerospace
affiliates
(3,845) (2,889) 956
Page 49
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD
GE Capital UK Funding Unlimited Company
Notes to the Financial Statements 31 December 2025 (continued)
14 Financial risk management (continued)
(a) Credit risk (continued)
*The gross carrying amount in the above table includes USD 25 million (2024: USD 25 million) of commitments
made to GE Aerospace for future loan financing.
The decrease in loss allowance is mainly attributable to the decrease in the PD (average PD rate is 0.13% as at
31 December 2025 and 0.29% as at 31 December 2024). As a result, USD 1.6 million impairment allowance
(2024: USD 1 million reversed) is reversed in profit or loss.
Write-off policy
The Company write off loans and advances when they are determined to be uncollectable. All amounts owed
by GE Aerospace undertakings were made to GE Aerospace affiliate companies and payments were received
as they fell due. There were no write-offs during the financial year ended 31 December 2025 (2024: USD Nil).
Fair value adjustment for credit risk
The Company assesses the valuation adjustments required for credit risks associated with derivatives
measured at fair value as at 31 December 2025. All derivatives are executed with an affiliated Company HMS
and a credit valuation adjustment (“CVA”) is calculated to reflect the credit risk of HMS. A debit valuation
adjustment (“DVA”) is calculated to reflect the credit risk of the Company with the bilateral adjustment recorded
in the measurement of the derivative in the Financial Statements. As at 31 December 2025, the bilateral
adjustment for the Company amounted to USD 0.1 million (2024: USD credit 1.5 million) which has been
recorded as debit to “Net loss from financial instruments carried at fair value” in the SOCI.
(b) Liquidity risk
Liquidity risk is the risk that the Company will encounter difficulty in meeting obligations from its financial
liabilities.
Management of liquidity risk
The Company's approach to managing liquidity is to ensure, as far as possible, that it will always have
sufficient liquidity to meet its liabilities when due, under both normal and stressed conditions, without incurring
unacceptable losses or risking damage to the Company's reputation.
GE Aerospace does not expect the need for new long-term debt issuances by the Company for the foreseeable
future with the expectation that the current MTN portfolio remains until maturity. The CP programme continues
presently albeit no CP is in issue at year end. The Company has access to the GE Aerospace cash pool should it
be required.
GECIHL has guaranteed that it will meet the liabilities of the CP and MTN programmes should the Company be
unable to meet these liabilities. GE Aerospace, rated A- has also guaranteed the CP and MTN programmes of
the Company thus reducing further the risk to any potential investor and supporting the CP and MTN
programmes. As part of the Company’s processes, management monitor the ratings of GE Aerospace.
Page 50
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD
GE Capital UK Funding Unlimited Company
Notes to the Financial Statements 31 December 2025 (continued)
14 Financial risk management (continued)
(b) Liquidity risk (continued)
GE Aerospace receives information from other business units regarding the liquidity profile of their financial
assets and financial liabilities and details of other projected cash flows arising from projected future business.
The repayment terms of debt securities issued are outlined in Note 18. GE Aerospace maintains a portfolio of
short-term liquid assets, largely made up of short-term liquid investment securities, loans and advances to
banks and other inter-bank facilities, to ensure that sufficient liquidity is maintained within the Company. The
Company also has access to short term liquidity through their access to the GE Cashpool operated by CMS.
The Directors with the assistance of GE Aerospace monitor the ongoing liquidity requirements of the Company
in detail, and by way of short-term loans from GE Aerospace cover any short term fluctuations and obtain
longer term funding to address any structural liquidity requirements. The overall daily liquidity position is
monitored by GE Aerospace.
At 31 December 2025, the Company held derivative assets for qualifying hedging relationships purposes of
USD 28 million (2024: USD 23 million) and derivative assets for trading purposes of USD nil (2024: USD Nil). The
Company held derivative liabilities for qualifying hedging relationships purposes of USD 49 million (2024: USD
62 million) and derivative liabilities for trading purposes of USD nil (2024: USD Nil).
All derivatives were placed with another GE Aerospace affiliate whose external derivative liabilities are backed
by GE Aerospace’s A- (2024: BBB+) credit rating. The derivative assets and liabilities have been split between
qualifying hedging relationships and not in qualifying hedging relationships, disclosing separately those
derivatives that qualify as hedge under IAS 39 from those that do not.
Residual contractual maturities of financial assets
Note
Carrying
amount
Current
amount
Non-current
amount
In millions of USD
31 December 2025
Non-derivative financial assets
Loans and advances to GE Aerospace affiliates
17
1,690 635 1,055
Cash and cash equivalents
- - -
Other assets
- - -
1,690 635 1,055
Derivative assets
Inflow - held for qualifying hedging relationships
16
28 28 -
Outflow - held for qualifying hedging relationships
16
- - -
28 28 -
1,718 663 1,055
Page 51
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD
GE Capital UK Funding Unlimited Company
Notes to the Financial Statements 31 December 2025 (continued)
14 Financial risk management (continued)
Note
Carrying
amount
Current
amount
Non-current
amount
In millions of USD
31 December 2024
Non-derivative financial assets
Loans and advances to GE Aerospace affiliates
17
1,641 661 980
Cash and cash equivalents
- - -
Other assets
3 3 -
1,644 664 980
Derivative assets
Inflow - held for qualifying hedging relationships
16
23 23 -
Outflow - held for qualifying hedging relationships
16
- - -
23 23 -
1,667 687 980
The above tables show the undiscounted cash flows on the Company’s financial assets on the basis of their
contractual maturity.
Non-current loans to GE Aerospace affiliates represent revolving credit agreements that have a maturity
greater than one year where the lender does not have the ability to demand repayment of the loans.
Page 52
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD
GE Capital UK Funding Unlimited Company
Notes to the Financial Statements 31 December 2025 (continued)
14 Financial risk management (continued)
(b) Liquidity risk (continued)
Residual contractual maturities of financial liabilities
Note
Carrying
amount
Gross
nominal
inflow/
(outflow)
Less than 1
month 1-3 months
3 months to 1
year 1-5 years
More than 5
years
In millions of USD
31 December 2025
Non derivative liabilities
Loans and advances from GE
Aerospace affiliates
17 - - - - - - -
Debt securities issued
18 1,258 (1,646) (60) - (65) (258) (1,263)
Other liabilities
- - - - - - -
1,258 (1,646) (60) - (65) (258) (1,263)
Derivative liabilities
Inflow - held for qualifying
hedging relationships
16 1,272 (1,272) - - - - (1,272)
Outflow - held for qualifying
hedging relationships
16
(1,223) 1,223 - - - - 1,223
49 (49) - - - - (49)
Undrawn loan commitments
- (25) - - (25) - -
1,307 (1,720) (60) - (90) (258) (1,312)
At 31 December 2025, loans and advances from GE Aerospace affiliates represent outstanding principal and interest balances on cashpool borrowings
with a GE Aerospace affiliate.
Page 53
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD
GE Capital UK Funding Unlimited Company
Notes to the Financial Statements 31 December 2025 (continued)
14 Financial risk management (continued)
(b) Liquidity risk (continued)
Residual contractual maturities of financial liabilities
Note
Carrying
amount
Gross
nominal
inflow/
(outflow)
Less than 1
month 1-3 months
3 months to 1
year 1-5 years
More than 5
years
In millions of USD
31 December 2024
Non derivative liabilities
Loans and advances from GE
Aerospace affiliates
17 59 (59) (59) - - - -
Debt securities issued
18 1,113 (1,535) (3) - (60) (240) (1,233)
Other liabilities
- - - - - - -
1,172 (1,594) (62) - (60) (240) (1,233)
Derivative liabilities
Inflow - held for qualifying
hedging relationships
16 - - - - - - -
Outflow - held for qualifying
hedging relationships
16
62 (62) - - - - (62)
62 (62) - - - - (62)
Undrawn loan commitments
- (25) - - (25) - -
1,234 (1,681) (62) - (85) (240) (1,295)
At 31 December 2024, loans and advances from GE Aerospace affiliates represent outstanding principal and interest balances on cashpool borrowings
with a GE Aerospace affiliate.
Page 54
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD
GE Capital UK Funding Unlimited Company
Notes to the Financial Statements 31 December 2025 (continued)
14 Financial risk management (continued)
(b) Liquidity risk (continued)
Residual contractual maturities of financial liabilities (continued)
The previous table shows the undiscounted cash flows on the Company's financial liabilities and unrecognised
loan commitments on the basis of their earliest possible contractual maturity. The Company's expected cash
flows on these instruments may vary significantly from this analysis.
The gross nominal inflow/(outflow) disclosed in the previous table is the contractual, undiscounted cash flow on
the financial liability or commitment. The disclosure for derivatives shows a net amount for derivatives that are
net settled, and a gross inflow and outflow amount for derivatives that have simultaneous gross settlement.
To manage the liquidity risk arising from financial liabilities, the Company holds liquid assets comprising cash
and cash equivalents held in cashpools. Hence, the Company believes that it is not necessary to disclose a
maturity analysis in respect of these assets to enable users to evaluate the nature and extent of liquidity risk.
The cash balances pool with another GE Aerospace affiliate nightly, is payable on demand and is recorded
under loans and advances from GE Aerospace affiliates and/or loans and advances to GE Aerospace affiliates
depending on whether the cash has been borrowed from or lent to the cash pool.
(c) Market risk
Market risk is the risk that changes in market prices, such as foreign exchange rates, interest rate, equity prices
and credit spreads (not relating to changes in the obligor’s / issuer’s credit standing) will affect the Company’s
income or the value of its holdings of financial instruments. The objective of market risk management is to
manage and control market risk exposures within acceptable parameters, while optimising the return on risk.
Exposure to foreign currency risk
The principal market risk faced by the Company relates to currency risk as almost all borrowing and lending is
in GBP while the functional currency is USD. The following table sets out the Company's non-USD monetary
assets and liabilities at 31 December 2025 and the net exposure in original currency and USD of those
monetary assets and liabilities.
31 December 2025 Original Currency Amounts
Currency
Monetary
assets
Monetary
Liabilities
Swaps Net Exposure Rates Net Exposure
’000 ’000 ’000 ’000 ’000 USD’000
GBP 789,372 (933,344) (15,631) (159,602) 1.348 (215,175)
31 December 2024 Original Currency Amounts
Currency
Monetary
Assets
Monetary
Liabilities
Swaps Net Exposure Rates Net Exposure
’000 ’000 ’000 ’000 ’000 USD’000
GBP 789,137 (935,882) (32,278) (179,023) 1.252 (224,173)
Page 55
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD
GE Capital UK Funding Unlimited Company
Notes to the Financial Statements 31 December 2025 (continued)
14 Financial risk management (continued)
(c) Market risk (continued)
A 1% appreciation/depreciation in the GBP/USD exchange rate as at 31 December 2025 would give rise to
approximately a USD 2 million loss/profit based on the net exposure at 31 December 2025 (2024: USD 2
million).
Exposure to interest rate risk
The interest rate on floating rate assets and liabilities are reset quarterly from the initial date of funding.
Therefore, movements in the benchmark interest rate during the quarter can give rise to a mismatch between
interest expense and income. The effect on the company of a 0.5% increase in the benchmark rate for a full
year could give rise to additional profit of approximately USD 2.1 million (2024: USD 2.2 million). A decrease of
0.5% would have an equal and opposite effect. A summary of the Company’s interest rate gap position is as
set out overleaf.
Page 56
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD
GE Capital UK Funding Unlimited Company
Notes to the Financial Statements 31 December 2025 (continued)
14 Financial risk management (continued)
(c) Market risk (continued)
At 31 December 2025, the Company held the following instruments to hedge exposures to change in interest rates.
Carrying
amount
USD’m
Non
Interest
bearing
USD’m
Less than 3
month
USD’m
3-6 month
USD’m
6-12 month
USD’m
1-5 years
USD’m
More than 5
years
USD’m
31 December 2025
Derivative assets held for
qualifying hedging purposes
28 28 - - - - -
Other assets
- - - - - - -
Loans and advances to GE
Aerospace affiliates
1,690 10 455 20 150 1,055 -
1,718 38 455 20 150 1,055 -
Derivative liabilities held for
qualifying hedging purposes
(49) - - - - - (49)
Loans and advances from GE
Aerospace affiliates
- - - - - - -
Debt securities issued
(1,258) (60) - - - - (1,198)
Other liabilities
- - - - - - -
(1,307) (60) - - - - (1,247)
Effect of derivatives held for risk
management (notional)
- - (1,055) - - - 1,055
Sensitivity gap
- - (600) 20 150 1,055 (192)
Average fixed interest rate
- - - - - - 6.71%
Page 57
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD
GE Capital UK Funding Unlimited Company
Notes to the Financial Statements 31 December 2025 (continued)
14 Financial risk management (continued)
(c) Market risk (continued)
At 31 December 2024, the Company held the following instruments to hedge exposures to change in interest rates.
Carrying
amount
USD’m
Non
Interest
bearing
USD’m
Less than 3
month
USD’m
3-6 month
USD’m
6-12 month
USD’m
1-5 years
USD’m
More than 5
years
USD’m
31 December 2024
Derivative assets held for
qualifying hedging purposes
23 23 - - - - -
Other assets
3 3 - - - - -
Loans and advances to GE
Aerospace affiliates
1,641 10 481 20 150 980 -
1,667 36 481 20 150 980 -
Derivative liabilities held for
qualifying hedging purposes
(62) - - - - - (62)
Loans and advances from GE
Aerospace affiliates
(59) - (59) - - - -
Debt securities issued
(1,113) (3) - - - - (1,110)
Other liabilities
- - - - - - -
(1,234) (3) (59) - - - (1,172)
Effect of derivatives held for risk
management (notional)
- - (980) - - - 980
Sensitivity gap
- - (558) 20 150 980 (192)
Average fixed interest rate
- - - - - - 6.71%
Page 58
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD
GE Capital UK Funding Unlimited Company
Notes to the Financial Statements 31 December 2025 (continued)
14 Financial risk management (continued)
(c) Market risk (continued)
The amounts relating to items designated as hedging instruments against debt securities and hedge ineffectiveness were as follows:
In millions of USD
Carrying amount
of the hedged
item: liability
Accumulated amount of
fair value hedge
adjustments on the
hedged item included in
the carrying amount of the
hedged item: liability
Change in fair value used for
recognising hedge
ineffectiveness:Debit/(credit)
in P/L
Hedge
ineffectiveness
recognised in
SOCI: gain/(loss)
Accumulated amount
of fair value hedge
adjustments in SOFP
for hedged items that
have ceased to be
adjusted for gains
and losses on hedging
instruments: liability
31 December 2025
Fixed rate MTN 1,258 156 22 (3) -
31 December 2024
Fixed rate MTN 1,113 144 (52) (3) -
Page 59
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD
GE Capital UK Funding Unlimited Company
Notes to the Financial Statements 31 December 2025 (continued)
14 Financial risk management (continued)
(d) Other price risk
Other price risk is the risk that the fair value of the financial instruments will fluctuate as a result of changes in
market prices (other than those arising from interest rate risk or currency risk), whether caused by factors
specific to an individual instrument, its issuer or factors affecting all instruments traded in the market.
One GE Aerospace affiliate, RYZ, accounted for 39% (2024: 23%) of the Company revenue and another GE
Aerospace affiliate, CMS, accounted for 46% (2024: 66%) of Company revenue.
In addition to the above, the Company entered into lending commitments of USD 25 million (31 December
2024: USD 25 million) with 100% owned GE Aerospace affiliates.
Page 60
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD
GE Capital UK Funding Unlimited Company
Notes to the Financial Statements 31 December 2025 (continued)
15 Accounting classifications and fair values
The table below sets out the carrying amounts and fair values of the Company's financial assets and liabilities.
Fair value through profit or loss Amortised Cost
Held for
qualifying
hedging
relationships
Derivatives not
in qualifying
hedging
relationships
Loans and
receivables Amortised cost
Qualifying hedging relationships
at amortised cost
Total
Carrying
Amount Fair Value*
In millions of USD
31 December 2025
Derivative assets held for
qualifying hedging
relationships
28 - - - - 28 28
Loans and advances to GE
Aerospace affiliates
- - 1,690 - - 1,690 1,650
Other assets
- - - - - - -
28
-
1,690 - - 1,718 1,678
Derivative liabilities held for
qualifying hedging
relationships
(49) - - - - (49) (49)
Loans and advances from GE
Aerospace affiliates
- - - - - - -
Debt securities issued
- - - - (1,258) (1,258) (1,195)
Other liabilities
- - - - - - -
(49)
-
- - (1,258) (1,307) (1,244)
Page 61
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD
GE Capital UK Funding Unlimited Company
Notes to the Financial Statements 31 December 2025 (continued)
15 Accounting classifications and fair values (continued)
Fair value through profit or loss Amortised Cost
Held for
qualifying
hedging
relationships
Derivatives not
in qualifying
hedging
relationships
Loans and
receivables Amortised cost
Qualifying hedging relationships
at amortised cost
Total
Carrying
Amount Fair Value*
In millions of USD
31 December 2024
Derivative assets held for
qualifying hedging
relationships
23 - - - - 23 23
Loans and advances to GE
Aerospace affiliates
- - 1,641 - - 1,641 1,640
Other assets
- - - 3 - 3 3
23
-
1,641 3 - 1,667 1,666
Derivative liabilities held for
qualifying hedging
relationships
(62) - - - - (62) (62)
Loans and advances from GE
Aerospace affiliates
- - - (59) - (59) (59)
Debt securities issued
- - - - (1,113) (1,113) (1,080)
Other liabilities
- - - - - - -
(62)
-
- (59) (1,113) (1,234) (1,201)
*All “Loans and advances to affiliates” are with GE Aerospace affiliates and planned to be held to maturity and are Level 2 inputs. Market risks are key
assumptions in the estimation of the fair value of “ loans and advances to GE Aerospace affiliates”. Derivative assets and liabilities are valued using
internal models. These models maximise the use of market observable inputs including market observable swap rates and spread indicators obtained
from three leading market makers.
Page 62
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD
GE Capital UK Funding Unlimited Company
Notes to the Financial Statements 31 December 2025 (continued)
16 Financial assets and liabilities
Fair value hedging relationships
At 31 December 2025, certain MTNs shown within debt securities issued are in interest rate hedging
relationships valued at USD 1,055 million (31 December 2024: USD 980 million). These are nominal valued with
respect to the hedged interest risk.
Derivatives held for risk management and trading
All derivatives are entered into for risk management purposes. However, those that qualify under IAS 39 for
hedge accounting are disclosed separately from those that are not. All the derivatives are with a GE Aerospace
affiliate, HMS.
31 December
2025
USD'000
31 December
2024
USD'000
Current assets
Derivative assets held for qualifying hedging relationships
28,184 22,612
Non-current liability
Derivative liabilities held for qualifying hedging relationships
(48,690) (62,380)
(20,506) (39,768)
Fair value hedges of interest rate risk
The Company used interest rate swaps to hedge its exposure to changes in the fair value of its fixed rate GBP
debt securities issued. Interest rate swaps were matched to specific issuances of fixed rate notes. At 31
December 2025, the fair value of derivative assets designated as fair value hedges is USD 28 million (31
December 2024: USD 23 million) and the fair value of derivative liabilities designated as fair value hedges is
USD 49 million (31 December 2024: USD 63 million).
The notional amounts of all interest rate swaps outstanding at 31 December 2025 were USD 1,055 million (31
December 2024: USD 980 million).
Page 63
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD
GE Capital UK Funding Unlimited Company
Notes to the Financial Statements 31 December 2025 (continued)
17 Loans and advances
Loans and advances to GE Aerospace affiliates
31 December
2025
USD'000
31 December
2024
USD'000
Amounts falling due with in one year
634,981 661,202
Amounts falling after one year
1,054,999 979,877
1,689,980
1,641,079
The Company had undrawn loan commitments, all to other GE Aerospace affiliates of USD 25 million at 31
December 2025 (2024: USD 25 million). An undrawn commitment is the amount of any given credit facility that
has not been drawn by the borrower. The longest of these commitments is the commitment with GE Aerospace
that has the potential to extend to 2026.
Loans and advances from GE Aerospace affiliates
31 December
2025
USD'000
31 December
2024
USD'000
Amounts falling due with in one year
- 59,084
-
59,084
18 Debt securities issued
31 December
2025
USD'000
31 December
2024
USD'000
Debt securities issued falling due with in one year
60,341 2,703
Debt securities issued falling after one year
1,197,993 1,110,126
1,258,334
1,112,829
31 December
2025
31 December
2024
USD'000 USD'000
Fixed rate debt securities in qualifying hedging relationship 1,258,334 1,112,829
1,258,334 1,112,829
Page 64
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD
GE Capital UK Funding Unlimited Company
Notes to the Financial Statements 31 December 2025 (continued)
18 Debt securities issued (continued)
At 31 December 2025, USD 1,055 million (2024: USD 980 million) of nominal debt securities issued are expected
to be settled more than twelve months after the reporting date.
The above table shows the carrying amount of debt securities issued at years end 31 December 2025 and 31
December 2024. The carrying amount of debt securities issued designated at amortised cost in qualifying
hedging relationships at 31 December 2025 was USD 156 million higher than the contractual amount at
maturity (2024: USD 144 million).
The table below analyses nominal movements in medium term notes.
2025 2024
Medium Term Medium Term
Notes Notes
USD'000 USD'000
Opening balance 979,877 997,481
Maturities - -
Foreign exchange (loss)/gain 75,122 (17,604)
Closing Balance
1,054,999 979,877
The Company has not had any defaults of principal, interest or other breaches with respect to its debt
securities during 2025 or 2024.
Foreign exchange arises due to large gross movements in balances, maturities and issuances have been
translated at the rates of exchange prevailing at the dates of transaction and opening and closing balances
have been translated at the closing rates of exchange as at 31 December 2025 and 31 December 2024.
Page 65
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD
GE Capital UK Funding Unlimited Company
Notes to the Financial Statements 31 December 2025 (continued)
19 Changes in liabilities from financing activities
1 January 2025
Cash
Flows
Non-cash Changes
31 December
2025
FX
Movements
Fair Value Changes
Accrued interest and
fee
31 December 2025 USD’000 USD’000 USD’000 USD’000 USD’000 USD’000
Debt securities issued 1,112,829 - 75,122 12,208 58,175 1,258,334
1 January 2024
Cash
Flows
Non-cash Changes
31 December
2024
FX
Movements
Fair Value Changes
Accrued interest and
fee
31 December 2024 USD’000 USD’000 USD’000 USD’000 USD’000 USD’000
Debt securities issued 1,256,354 - (17,606) (73,315) (52,604) 1,112,829
Page 66
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD
GE Capital UK Funding Unlimited Company
Notes to the Financial Statements 31 December 2025 (continued)
20 Related party disclosures
(a) Transactions with subsidiary undertakings and other affiliate GE Aerospace companies
The Company enters into financial transactions with other GE Aerospace affiliates in the normal course of
business, and such transactions are completed on an arm’s length basis. These include loans and derivative
instruments. In addition, the Company enter into transactions with GE Aerospace and derivative transactions
with HMS. Transactions and balances between the Company and other GE Aerospace affiliates are detailed in
relevant notes.
From 3 December 2015, the guarantee for the CP and MTN programmes is now provided by GECIHL and GE
Aerospace. No fee has been payable from this date for this guarantee.
The below table provides the Company's transactions with related parties including its immediate parent, GE
Ireland USD Holdings Unlimited Company.
Related Party 2025 2024
USD'000 USD'000
Service fee expense
GE Treasury Ireland Services Unlimited Company - (109)
GE Management Services Ireland Limited (336) (209)
Net interest income and expense on loan and advances with GE
Aerospace affiliates
Cash Management Services Inc. 25,286 38,390
GE Ireland CHF Funding Unlimited Company 512 1,212
GE Ireland USD Holdings Unlimited Company 1,029 1,330
GE Capital Global Holdings, LLC 22,677 16,296
General Electric Company 4,992 6,903
GE Aviation Global Holdings B.V. 1,565 (318)
GE Aerospace Ireland, Inc 524 -
(Loss)/gain on derivative instruments
Hedge Management Services, Inc. 18,041 (54,711)
74,290 8,784
The below table lists the related parties that the Company has balances or has transacted with during the
year. Balances and transactions during the year with the immediate parent, GE Ireland USD Holdings Unlimited
Company are included in the below table.
Page 67
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD
GE Capital UK Funding Unlimited Company
Notes to the Financial Statements 31 December 2025 (continued)
20 Related party disclosures (continued)
Related Party
Opening
Balance
1/1/25
Receipts/FV
adjustments
during the
financial year
Repayments/FV
adjustments
during the
financial year
Closing Balance
31/12/2025
USD'000 USD'000 USD'000 USD'000
Service fee accrued
GE Management Services Ireland Limited (208) (229) 208 (229)
Net of loans and advances
Cash Management Services Inc. 956,679 108,436 - 1,065,115
GE Ireland CHF Funding Unlimited
Company
20,218 - (20,218) -
GE Aerospace Ireland, Inc. - 20,190 - 20,190
GE Ireland USD Holdings Unlimited
Company
20,216 - (31) 20,185
GE Capital Global Holdings 454,302 - (105) 454,197
General Electric Company 105,897 - (604) 105,293
GE Aviation Global Holdings 24,682 - 317 24,999
Derivative instruments held
Hedge Management Services, Inc. (39,768) 19,262 - (20,506)
Total 1,542,018 147,659 (20,433) 1,669,244
(b) Compensation of Key Management Personnel
Disclosures are made in Note 9 in accordance with the provisions of IAS 24- Related Party Disclosures and
Company law in respect of the compensation of Key Management Personnel. Under IAS 24- Related Party
Disclosures, “Key Management Personnel” are defined as comprising the Directors (executive and
non-executive) during the year and at year end.
The compensation of key management personnel during the year consists of short-term employment benefits
of USD 43,522 and post-employment benefits of USD 1,992. There are no long-term benefits, termination
benefits or share-based payment during the year. Directors' remuneration for the year ended 31 December
2025 was paid by an affiliated entity as outlined in Note 9. Directors remuneration has not been included in the
service fee charged from this company.
(c) Transactions with key management personnel
There were no loans, quasi-loans or credit transactions outstanding to its key management personnel at any
time during the current or preceding financial year.
Page 68
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD
GE Capital UK Funding Unlimited Company
Notes to the Financial Statements 31 December 2025 (continued)
21 Operating segments
The Company’s business is organised as a single segment and the Company earned all material revenues in
the Republic of Ireland. All of the Company’s revenues arise from the provision of loans to GE Aerospace
affiliates.
2025
Ireland
USD’000
2024
Ireland
USD’000
Revenue from loans and advances to GE Aerospace affiliates
56,408 74,571
Total segment revenue
56,408 74,571
One GE Aerospace affiliate, RYZ, accounted for 39% (2024: 23%) of the Company revenue and another GE
Aerospace affiliate, CMS, accounted for 46% (2024: 66%) of Company revenue. No other GE Aerospace
affiliates accounted for more than 10% of total revenue.
2025
USD’000
2024
USD’000
Reportable segment (loss)/profit before tax
(20,785) 1,609
2025
USD’000
2024
USD’000
Reportable segment assets
1,718,164 1,666,198
Reportable segment liabilities
1,307,253 1,234,502
Loans to CMS, accounted for 62% of segment assets at 31 December 2025 (at 31 December 2024: 61%). Loans
to RYZ, accounted for 26% of segment assets at 31 December 2025 (at 31 December 2024: 27%). No other GE
Aerospace affiliates accounted for more than10% of segment assets.
22 Holding Company
The Company is a wholly owned subsidiary of GE Ireland USD Holdings Unlimited Company, an unlimited
Company incorporated in the Ireland, which is ultimately a wholly owned subsidiary of GE Aerospace, a
company incorporated in the USA.
At the 31 December 2025, the smallest and largest group in which the results of the company are consolidated
is that headed by its ultimate parent undertaking and controlling party, General Electric Company ('GE
Aerospace'), a company registered at 1 Research Circle, Niskayuna, NewYork, 12309, USA, with principal
executive offices at 1 Neumann Way, Evendale, Hamilton County, OH, 45215-1915, USA. The consolidated
Financial Statements of this company are available to the public and may be obtained from the address of the
principal executive offices or at www.geaerospace.com.
Page 69
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD
GE Capital UK Funding Unlimited Company
Notes to the Financial Statements 31 December 2025 (continued)
23 Commitments and contingencies
The Company had commitments to lend USD 25 million at 31 December 2025 (2024: USD 25 million).
In the opinion of the Directors, the Company had no contingent liabilities at 31 December 2025 (2024: Nil).
24 Subsequent events
We are monitoring the recent outbreak of conflict in the Middle East and its potential impact on the commercial
aerospace industry, including possible lower aircraft utilization and higher prices and reduced availability of
fuel, which could adversely affect our airline customers. As of the date of this report, the Company has not
identified any material adverse financial impact from the conflict. Management will continue to monitor
developments and evaluate any effects and related mitigating actions throughout the 2026 financial year.
There have been no other significant post balance sheet events affecting the company since the year end
which require disclosure in or amendment to the financial statements.
25 Approval of financial statements
The Directors approved the Financial Statements on 23 April 2026.
Page 70
Docusign Envelope ID: E929CABD-F67D-4E55-A68A-6B1DD59078BD