2012 HON NBAA Presentation

8/12/2019 2012 HON NBAA Presentation

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NBAA 2012 Market UpdateOctober 2012


2/11

Honeywell NBAA Presentation - October 20122

Forward Looking Statements

This report contains forward-looking statements within the meaning of Section

21E of the Securities Exchange Act of 1934. All statements, other thanstatements of fact, that address activities, events or developments that we or

our management intend, expect, project, believe or anticipate will or may occur

in the future are forward-looking statements. Forward-looking statements are

based on managements assumptions and assessments in light of past

experience and trends, current economic and industry conditions, expected

future developments and other relevant factors. They are not guarantees of

future performance, and actual results, developments and business decisions

may differ from those envisaged by our forward-looking statements. Our

forward-looking statements are also subject to risks and uncertainties, which

can affect our performance in both the near- and long-term. We identify the

principal risks and uncertainties that affect our performance in our Form 10-K

and other filings with the Securities and Exchange Commission.


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2012 Business Aviation Outlook

26thYear Of Survey, 21stPublic Report Release

1,500 Corp Flight Depts From Around The World

- Aircraft Manufacturers And Other Sources

5 Yr Purchase Plans Steady Relative To 2011

- In Line With Pre-Recession Levels

International Demand Gains Share

Modest Delivery Growth In 2012-2013 Over 2011

- Current Development Programs Boost Outlook In

2013 And Beyond

Long-Term Outlook: Moderate Recovery

- Up To 10,000 Aircraft Worth $250B Projected From2012-2022


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Five Year Purchase Plans For New Jets

0%

10%

20%

30%

40%

50%

FleetReplacement&ExpansionPercenta

ge

Additions Replacements

32%33%

25%

23%

24% 25% 26%24%

14%

30%

22%23%21%

13%14%14%

40%

30%30%30%

2012 Purchase Plans Steady At 30 , OperatorsRemain Cautious About Slower Economic Growth


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Purchase Expectations By Region

0%

20%

40%

60%

80%

Asia Middle East/ Africa

Europe LatinAmerica

NorthAmerica

BRICCountries

2009

2010

2011

2012

BRIC Countries Purchase Plans Still Worlds HighestLat Am And E. Europe Offset Softness In APAC & AME


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Tradit ional Corpo rate And Charter Operator B ase

Regional Demand: New Jets In Next 5 Years

International Share Of Demand 47%

North America

53%

Europe

18%

Latin America

18%

Asia Pac

7%

Africa/

ME

5%


7/11Honeywell NBAA Presentation - October 20127

New Jet Purchase Plans By Aircraft Class

2012 DollarsUni ts

Big Cabin = Large thru VHS-ULR Segments

Mid Cabin = Medium thru Sup er-Midsize Segments

Small Cabin = Very Light , Light , Light-Medium

Big Cabin Jets Account For 42 Of Unit MentionsAnd 69 Of Dollar Value



$0

$5,000

$10,000

$15,000

$20,000

$25,000

$30,000

Constant2

012$M

History Forecast

Very High Speed/

Ultra Long Range

Ultra Long Range

Long Range

Large

Medium-Large

MediumLight-Medium

LightVery Light

Business Jet Forecast Delivery Value

$250 Billion From 2012 To 2022



Business Jet Forecast - Delivery Units

0

200

400

600

800

1000

1200

AircraftUnits

Very High Speed/Ultra Long Range

Ultra Long Range

Long Range

Large

Medium-Large

Medium

Light-Medium

Light

Very Light

~10,000 Aircraft From 2012 To 2022

History Forecast



NBAA 2012 Outlook Largely Unchanged, Again

End Of Delivery Down Cycle - 2012 Will Post Modest Growth

- Less Volatility In OEM Rates, But Recently Improved Order Rates Face Economic Headwinds

- Large Cabin Class Aircraft Still Faring Better

Operator Survey Signals Fairly Steady Purchasing Activity In 2013

- Economic Growth Expectations Are Positive But Weakened - Especially In The U.S. And W. Europe

- International Share Of Demand Continues Slow Expansion

- Emerging Economies Have Highest Purchase Plans

- Modest Recovery In New Aircraft Deliveries In 2012 - Stronger Growth In Value Of Deliveries

- Similar Levels Of Industry Deliveries Projected In 2013 - Order Rates Key To Sustaining Momentum

Pipeline Of New Models Still Important For Longer Term Growth

Recovery In Fleet Utilization On Hold, Slow Improvement In Used Aircraft

- U.S. And European Flight Activity Growth Suspended, Growth Continues In Emerging Regions

- International Flight Growth Remains Above Domestic Rates

- Late model Used Jet Inventory Has Crept Up, Overall Used Inventory Is Slowly Declining

Survey Supports Steady New Jet Demand In Near Term,Operational Gains Lost Momentum, Slow Recovery In Mid Term

2012 HON NBAA Presentation

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