Auxiliary Power Unit Can Reduce Fuel Consumption by 5 Percent

PHOENIX, Sept. 16, 2009 -- Honeywell (NYSE: HON) announced today that it will provide Auxiliary Power Units (APUs) to China Southern Airlines for new Airbus A320 and Boeing Next-Generation 737 aircraft, as well as supply APU materials, spares and service on existing China Southern aircraft in a contract valued at more than $65 million for 192 aircraft.

China Southern selected Honeywell’s 131-9A APU, the most commonly used APU for single-aisle commercial transport, operating on more than 1,700 aircraft. An APU is a small turbine engine that provides bleed air for main engine starting and electrical power for cockpit and galley systems. Honeywell’s 131-9A averages more than 10,000 hours between unscheduled repair events, a more than 60 percent improvement over other APUs in its class size.

“With a de-rate modification that reduces fuel consumption by 5 percent, further reducing emissions and total cost of ownership over the APU lifetime, the Honeywell APU can offer operational savings of more than $10,000 in fuel savings per aircraft, per year,” said Mike Madsen, Honeywell Aerospace Vice President, Airlines. “It also provides a 10 percent power advantage over other APUs, which allows it to cool or heat the cabin two minutes faster.”

Honeywell’s APU on-aircraft maintenance costs are up to 36 percent less than other APUs because of the simple design.

Honeywell will provide its 131-9A APU to China Southern for 20 new Airbus A320s to be delivered over the next three years. The long-term supply agreement covers 36 existing A320s, 71 existing B737s, as well as 20 new A320s and 65 new B737s.

Based in Phoenix, Arizona, Honeywell’s aerospace business is a leading global provider of integrated avionics, engines, systems and service solutions for aircraft manufacturers, airlines, business and general aviation, military, space and airport operations.

Honeywell International (www.honeywell.com) is a Fortune 100 diversified technology and manufacturing leader, serving customers worldwide with aerospace products and services; control technologies for buildings, homes and industry; automotive products; turbochargers; and specialty materials. Based in Morris Township, N.J., Honeywell’s shares are traded on the New York, London, and Chicago Stock Exchanges. For more news and information on Honeywell, please visit www.honeywellnow.com.

This release contains certain statements that may be deemed “forward-looking statements” within the meaning of Section 21E of the Securities Exchange Act of 1934. All statements, other than statements of historical fact, that address activities, events or developments that we or our management intends, expects, projects, believes or anticipates will or may occur in the future are forward-looking statements. Such statements are based upon certain assumptions and assessments made by our management in light of their experience and their perception of historical trends, current conditions, expected future developments and other factors they believe to be appropriate. The forward-looking statements included in this release are also subject to a number of material risks and uncertainties, including but not limited to economic, competitive, governmental, and technological factors affecting our operations, markets, products, services and prices. Such forward-looking statements are not guarantees of future performance, and actual results, developments and business decisions may differ from those envisaged by such forward-looking statements.

Media Contact:
Karen Crabtree
602-365-5255
karen.crabtree@honeywell.com
Honeywell Aerospace Media Center