The company reported full-year 2011 results including:
• 2011 sales of $36.5 billion, up approximately 13% over 2010
   – 8% organic sales growth, again reflecting strong end markets, successful new product launches, and continued expansion in high growth regions
• 2011 proforma earnings (excluding the impact of pension mark-to-market adjustments)  of $4.05 per share, up 35% over $3.00 in 2010; Reported EPS of $2.61 in 2011 versus $2.59 in the prior year
   – Pension mark-to-market adjustment of $1.44 per share calculated using 791.6 million weighted average shares outstanding assuming dilution
• 2011 cash flow from operations of $2.8 billion, includes $1.7 billion cash pension contribution in the year
   – 2011 free cash flow of approximately $3.7 billion, prior to $1.7 billion cash pension contribution

“Honeywell had a terrific 2011,” said Honeywell Chairman and CEO Dave Cote. “We executed across the portfolio with record organic sales growth and segment margins. Our 2011 performance reflects the operational and financial disciplines that underpin the transformation that has taken place at the company over the last 10 years. We deployed the Honeywell 5 Initiatives – Growth, Productivity, Cash, People, and our Enablers, and created a common One Honeywell culture committed to continuous improvement. As a result, we built a better set of businesses with Great Positions in Good Industries, a terrific performance track record, a great leadership team with a truly global focus, a very full pipeline of new products and technologies, and our key process initiatives that are gaining momentum. We’ve come a long way, and we feel even better about our future.”

“While we expect a more challenging macro environment ahead in 2012, primarily driven by softness in Europe impacting the short-cycle businesses, we’re confident that Honeywell is well positioned to continue to outperform,” continued Cote.  “Our long-cycle businesses are accelerating, with Commercial Aerospace OE, UOP, Building Solutions & Distribution, and Process Solutions all having substantial backlog, in total just under $16 billion. While we expect growth to moderate in the first half of 2012, we’re confident that we can drive strong sales conversion leading to higher segment margins over the course of the year.  The investments we’ve made, coupled with our execution track record and disciplined playbook, will be key to our continued outperformance in 2012 and beyond.”

For more information, read the press release or listen to a replay of the Investor Conference Call.

• 3Q11 sales were up 14% to $9.3 billion versus $8.1 billion in 3Q10
    – 8% organic growth reflects continued strength in end markets
• 3Q11 earnings of $1.10 per share, an increase of 45% over $0.76 in 3Q10
    – Segment profit growth and margin expansion in all segments
    – Includes $0.04 benefit from lower tax rate; tax rate favorability expected to be offset in 4Q11
    – Includes $0.33 repositioning and other actions funded by the gain on sale of the divested Consumer Products Group (CPG) business ($0.23, discontinued operations) and OPEB curtailment ($0.10) in the quarter, which will better position the company for 2012 and beyond
• 3Q11 cash flow from operations of $0.7 billion, includes $400 million cash pension contribution
    – 3Q11 free cash flow (cash flow from operations less capital expenditures) of $884 million, excludes $400 million cash pension contribution

The company is raising its 2011 sales and EPS outlook and now expects:
• 2011 sales of $36.5 – 36.7 billion, up approximately 13% over 2010
    – Excludes the divested CPG business, treated as discontinued operations
• 2011 proforma earnings per share of $4.00 – 4.05, up 33 – 35% over 2010
    – Mark-to-market pension adjustments in both periods excluded
• 2011 free cash flow guidance of approximately $3.5 billion, prior to any cash pension contribution

“Honeywell’s strong third quarter results are a continuation of the momentum we’ve seen across our businesses in 2011,” said Honeywell Chairman and CEO Dave Cote.  “Our third quarter sales growth reflects a particularly robust Commercial Aerospace upcycle, with growth in both original equipment and aftermarket sales. It also highlights the company’s extensive innovation pipeline and increasing presence in high growth regions in all our businesses. Our long-cycle backlog continues at near record levels, with sustained strong orders growth particularly at UOP, ACS Solutions, and Commercial Aerospace. Further, our short-cycle businesses, such as Turbo Technologies, Advanced Materials, and ACS Products are performing well overall.” 

“Despite signals of slower economic growth, we expect positive organic growth to continue the rest of this year and into 2012,” concluded Cote. “The repositioning actions we took in the third quarter, funded by non-operational gains, better position our businesses for 2012 and beyond. These repositioning tailwinds, combined with our great positions in good industries, execution track record, and disciplined playbook, will be keys to our continued outperformance.”

For more information, read the press release, watch Chairman and CEO Dave Cote discuss the company’s financial performance on CNBC, or listen to a replay of the Investor Conference Call.

Honeywell announced the launch of the Solstice™ brand name for its low-global-warming-potential (GWP) materials. The brand will be used for the family of stationary and mobile refrigerants, blowing agents, propellants and solvents that Honeywell continues to develop and commercialize for its customers. Solstice products are based on Honeywell’s new hydrofluoro-olefin technology and help customers lower their carbon footprint without sacrificing end-product performance.

The brand name will include HFO-1234yf, a new mobile air conditioning refrigerant, and HFO-1234ze, a new blowing agent and propellant.  The Solstice brand reflects the products’ break-through environmental properties, including their insulating capabilities for foam and their superior cooling capabilities for automotive air conditioning and refrigerant applications.

Read more about Honeywell’s low-GWP products.

Honeywell will invest $33 million in its Baton Rouge, Louisiana, manufacturing facility – one of the leading suppliers of refrigerants in the U.S. – to produce a low-global-warming material used in insulation and aerosols.

This investment will provide the Baton Rouge facility with the ability to produce Honeywell’s new low-global-warming-potential (GWP) blowing agent and propellant (technical name: HFO-1234ze) on a commercial scale. Production of HFO-1234ze at the facility is scheduled to begin in late 2013.

The investment will also preserve about 200 jobs and create 11 new ones, along with another 98 temporary jobs to be created during the construction phase.

HFO-1234ze has been accepted for use and sale in foam and aerosols by the U.S. Environmental Protection Agency. It is also currently used in Europe and Japan, with the majority of demand coming from Europe.

Honeywell’s Baton Rouge facility was built in 1945 and continues to serve as one of Honeywell’s main manufacturing sites for its Specialty Materials business. Products made at the Baton Rouge facility are shipped to customers around the world.

For more information, read the press release or more about Honeywell’s low-GWP products.

Honeywell Chairman and CEO Dave Cote discussed the strong performance in each of Honeywell’s four businesses, the first transatlantic flight which was powered by the company’s biofuels, and U.S. debt and deficit on “Countdown to the Closing Bell” with host Liz Claman on Fox Business News.

During the interview, Cote said each of Honeywell’s four main businesses – Aerospace, Automation and Control Solutions, Transportation Systems, and Specialty Materials – is growing.

“Right now, everything is doing well.  That’s the part that I find interesting – despite all of the dire news that we keep reading, if I take a look at order rates across the board in all of our businesses and all of our regions, everything’s doing pretty darn well right now,” said Cote.  “Whether it’s aerospace where we see growth, anything having to do with controls, which is a big part of our energy efficiency portfolio, the materials side, the chemicals, anything going into petrochemical plants, and turbochargers – all of them are doing very well.”

Cote, a member of the U.S. Commission on Fiscal Responsibility and Reform, also discussed how politics is holding up economic progress in the U.S.

“It’s important for government to recognize that they don’t just regulate business – they enable business.  And too often it seems like government views themselves as the regulator as opposed to the enabler. I wouldn’t mind more discussion about how to enable business, like with energy prices.”

For more information, watch the interview.

Honeywell tripled production capacity for its low-global-warming-potential (GWP) product HFO-1234ze to meet the growing need for the material, which is used in multiple foam and aerosol applications.

The production expansion was made at Honeywell’s small-scale HFO-1234ze manufacturing facility at its Buffalo Research Lab in Buffalo, N.Y. It was achieved through equipment upgrades and overall productivity improvements during the last 18 months.

HFO-1234ze was accepted for use in foam and aerosols by the U.S. Environmental Protection Agency in June 2010. Earlier this year, the agency allowed HFO-1234ze to be sold in the U.S.

Read more information about Honeywell’s low-GWP products.

Honeywell launched its “Digital Dashboard,” a new Website, which is accessible from the homepage of www.Honeywell.com, and iPad “App” that highlights the company’s differentiated technologies, Great Positions in Good Industries, alignment with key macro trends, and strong financial track record.  The online and mobile format improves access and is more useful and contemporary than glossy annual reports, allowing for a greater variety and quantity of content to be presented in a more compelling and updated way.

The new Website and App feature current stock price information, the latest company news, and hundreds of interactive facts, statistics, animations, photos, and videos that will better help the investment community, customers, employees, government officials, and community leaders understand the breadth and depth of Honeywell’s four businesses – Aerospace, Automation and Control Solutions, Transportation Systems, and Specialty Materials – as well as the company’s terrific growth and financial performance.

For more information, read the press release, visit www.honeywell.com, or download the corporate App from the iTunes App Store.

Honeywell’s new low-global-warming-potential product, HFO-1234ze, has been accepted for use in foam and aerosol applications by the U.S. Environmental Protection Agency.

The new product, hydrofluoroolefin HFO-1234ze, is non-flammable, non-ozone depleting and has a global warming potential (GWP) of 6.  Earlier in 2010, Honeywell launched another low-GWP product, HFO-1234yf, for use in automobile air conditioners.

Honeywell pioneered the development of hydrofluoroolefins (HFOs), which are a family of unique products that offer similar performance properties to today’s most widely used refrigerants, blowing agents and aerosol propellants, but with the added benefit of having very low global warming potential. HFO-1234ze is currently used in Europe and Japan in a variety of foam and aerosol applications.

For more information, read the press release.

Honeywell Chairman and CEO Dave Cote appeared on CNBC’s Closing Bell news program to discuss Honeywell’s financial outlook, global economic conditions, and his position on the U.S. Commission on Fiscal Responsibility and Reform with host Maria Bartiromo.

“We’re seeing a rebound. It’s been kind of surprising, but with the exception of commercial aerospace sales, everything else seems to be coming back,” says Cote.  “We saw improvements in the U.S., Europe, Asia, China, India, and the Middle East – it was really across the board and it’s one of the reasons why I’m encouraged. Still, we’re staying cautious in our outlook.” 

Honeywell expects 2010 sales of $32.4-32.9 billion, earnings in the range of $2.40-2.50 per share on a reported basis ($3.14-3.24, excluding non-cash pension expense), and free cash flow of $3.1-3.3 billion (cash flow from operations of $3.8-4.0 billion).

For more information, read the online CNBC article and watch the interview.

Honeywell and DuPont announced a manufacturing joint venture to produce a new refrigerant for use in automotive air conditioning systems. The new refrigerant has 99.7 percent lower global warming potential (GWP) than the current refrigerant.

Under the agreement, DuPont and Honeywell will share financial and technological resources with the intent to jointly design, construct and operate a world-scale manufacturing facility for the new refrigerant, known as HFO-1234yf. The product meets European Union regulatory requirements for lower GWP refrigerants for automobile air conditioning systems. DuPont and Honeywell developed the product jointly but will market and sell it separately.

Today’s automotive air conditioners use hydrofluorocarbon HFC-134a, which has a GWP of 1430. The European Union’s Mobile Air Conditioning Directive requires that, starting in 2011, all new vehicle models use a refrigerant with a GWP below 150, and by 2017, all new automobiles sold in Europe will be required to use a low-GWP refrigerant. The new refrigerant, developed by DuPont and Honeywell, has a GWP of 4, which is 97 percent less GWP than the new regulation requires.

For more information, read the press release.