Honeywell announced today it has been selected by the
Federal Aviation Administration (FAA) to provide development,
manufacturing, airport installation, training and support for the new
satellite-based precision approach and landing system known as the
Local Area Augmentation System (LAAS).

With contract options, the program could exceed $350 million over
the life of the program; the initial value of the contract is $16.7
million.

“Honeywell’s satellite-based navigation technology will enable the
FAA’s LAAS program to utilize airspace more efficiently, plus provide
new precision approach procedures,” said John Oelschlaeger, Director
of Honeywell’s Satellite Landing Systems Business. “This will result
in improved air travel safety and reduced flight delays for the flying
public, as well as increased operational capacity for airports.”

Traditional navigation aids provide coverage for single runway
ends only and sometimes have installation and frequency availability
constraints. LAAS ground stations alleviate these constraints and a
single LAAS can provide coverage for all runway ends at most airports
where installed.

Honeywell will finalize the system integrity design before
initiating the build, installation and support of 10 LAAS ground
facilities at nine FAA test centers and major airports across North
America. These include:

  • William J. Hughes Technical Center, Atlantic City, N.J.
  • Mike Monroney Aeronautical Center, Oklahoma City (two systems)
  • Memphis International Airport, Memphis, Tenn.
  • Sky Harbor International Airport, Phoenix
  • George Bush Intercontinental Airport, Houston
  • Juneau International Airport, Juneau, Alaska
  • Chicago O’Hare International Airport, Chicago
  • Seattle-Tacoma International Airport, Seattle
  • Honeywell’s engineering facility in Coon Rapids, Minn.

The technology is manufactured by Honeywell’s Defense & Space
Electronic Systems, a Minneapolis-based division of the company’s
Aerospace group. Work is scheduled to begin on the project this year.
The first system is scheduled to be operation by late 2006.

Honeywell International is a diversified technology and
manufacturing leader, serving customers worldwide with control
technologies for buildings, homes and industry; automotive products;
power-generation systems; specialty chemicals; fibers; plastics; and
electronic and advanced materials. Based in Morris Township, N.J.,
Honeywell’s shares are traded on the New York Stock Exchange under the
symbol HON, as well as on the London, Chicago and Pacific Stock
Exchanges. It is one of the 30 stocks that make up the Dow Jones
Industrial Average and is also a component of the Standard & Poor’s
500 Index. Additional information on the company is available at
www.honeywell.com. Based in Phoenix, 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.

This release contains forward-looking statements as defined in
Section 21E of the Securities Exchange Act of 1934, including
statements about future business operations, financial performance and
market conditions. Such forward-looking statements involve risks and
uncertainties inherent in business forecasts as further described in
our filings under the Securities Exchange Act.