GE Capital will cut another 400 staff from its operations in Australia and New Zealand by the end of this year, the company confirmed yesterday. The cuts, which follow cuts of 335 staff announced in late 2008, and including the loss of jobs following the sale of Wizard Home Loans, takes job cuts at the financier to about 15 per cent of the prior payroll.In line with a reorganisation of the GE Capital business globally the firm is consolidating management of its consumer finance, commercial finance and specialist finance businesses. Some business units will merge, including leasing and fleet management.GE is also reducing leverage, from a ratio of eight to one at the peak of the lending boom to seven to one recently and with a target leverage ratio of six to one by the end of 2009.Steve Sargent, the country chief executive for GE in Australia, will be chief executive of GE Capital. Mike Cutter, managing director of GE Money will report to Sargent.GE said it had assets in Australia and New Zealand of $43 billion, of which about three-quarters is in GE Money and the balance in commercial finance.The firm also said in a media release that it increased net income by 16.8 per cent during 2008. GE did not say what the actual net profit was for the calendar year, but did say earnings in Australia and New Zealand represented more than 10 per cent of the earnings of GE Capital globally.Capital Finance reported a net profit of US$1 billion during the December 2008 quarter and US$8.6 billion during calendar 2008 for General Electric.Sargent acknowledged that the profit of the local business may fall by around 15 per cent over 2009, given the sale and run off of some business units and the low level of new lending.GE is winding down its vehicle financing business in Australia. GE sold the Wizard Home Loans business to Aussie Home Loans last month. Commonwealth Bank will refinance $2 billion of the Wizard Home Loan book but is unlikely to take on any more of the GE home loan portfolio.