Honeywell Sells Support Unit to BE Aerospace

June 9, 2008 6:11:00 AM PDT
Honeywell says it will sell a unit that makes aerospace fasteners and provides logistical services to B/E Aerospace for $1.05 billion, including at least $800 million in cash and the rest in B/E common stock. Morristown, N.J-based Honeywell International Inc. said Monday the deal is expected to close in the third quarter.

The Honeywell unit distributes aerospace fasteners and hardware, and provides custom logistics services to original equipment manufacturers, airlines, repair shops, flight service centers and distributors. The business generated 2007 revenue of $524 million.

B/E Aerospace Inc. is based in Wellington, Fla., and says it expects to enter a 30-year contract to become Honeywell's exclusive licensee in this area.


AP Business Writer Jennifer Malloy in New York