3- And General Electric will be a leader. We've got the best large screen system now, which we sell industrially. Q. What about video tape? A. We don't make them, but we're talking about when we should introduce them. Talk to Stan Gault. We'll be there with a video tape system at the right time. These things always take longer than you think. For example... video discs. It's taken a long time. You always have to get a product down to a certain price before it takes off. Q. Mr. Jones and others talk of the post-industrial society. It sounds nice, but what's it mean? Still haven't found a really good description. A. I'm like you. A bit cynical, or I should say skeptical, on the subject, like you. But here again look at strategic planning. Our job here is to look way down the road. It takes a long time if you're going to really profit by change rather than be submerged in a tide of events. You've got to change a mix of businesses gradually. GE can't change overnight. No large corporation can. You've got to identify the trends and change gradually. What the post-industrial society means in the relative mix of the GNP is a fast growth in services and a relatively slower growth in physical volume. Q. But isn't this already happening? A. But it will be increasing. It behooves us, therefore, to take a look and see what effect these changes will have on our business mix ten or 15 years out. (Example of Information Services Division in past) Due to the changing relative importance of the environment in peoples' minds, you have a dynamic changing spectrum of industrial processes and materials brought in by these same trends we're talking about. Hence, the interest, for example, in plastics down through the years relative to metals. Q. Aren't these plastics sensitive though to petroleum prices? A. Yes, but relatively speaking, price-wise the amount of petroleum in a piece of plastic is small. Our people can always bid for their share and get it. Q. What about nuclear power? A. Ten years ago few would have forecast where we are, with the barriers that have been thrown up in the path of nuclear power. We know there will be a gradual decline of oil and natural gas production in the U. S. It comes down to the fact if in this century we're going to provide jobs for our growing work force, we must have energy from now technologically feasible sources. And that's coal and nuclear (Discussion of energy needs of nation.) Nuclear is inevitable, even though it's in in a slow phase now. In fact, many people have been misled in this. We now have a 33% reserve margin in electricity. Because of the