Honeywell International Inc. (HON) announced that it has been selected by Commercial Aircraft Corporation of China Ltd. (“COMAC”) to supply its 131-9[C9C] Auxiliary Power Unit (APU) and associated equipment for the C919 single-aisle commercial airliner.
The new APU design reflects Honeywell’s highly successful 131-9 family of APUs, which have more than 51 million hours in commercial service on narrow-body aircraft such as the Boeing 737 and the Airbus A320.
The 131-9[C9C] APU will result in a reliability of more than 10,000 hours between unscheduled maintenances and the lowest fuel burn rates available in its class. This will lead to lower cost of operations for a C919 aircraft of more than $20,000 a year. Incorporating its two-stage axial turbine design, the 131-9[C9C] is expected to exceed C919 requirements. The APU will deliver the lowest levels of ramp noise worldwide via noise reduction technologies embedded in engine design.
Honeywell is a leading supplier of electronics, consumable hardware, engine controls, environmental controls, landing systems, power systems, propulsion engines, aerospace services and space products and systems for the aerospace industry, including commercial and regional airlines, air cargo carriers, as well as original equipment manufacturers (OEMs) of commercial, regional, military aircraft and spacecraft.
Honeywell’s attractive portfolio has the potential to earn consistent above-average returns. The company’s focus on working capital management, free cash flow generation and balance sheet strength remain positive attributes in the current weak environment.
The company is a global leader in refrigerants, aerosols and foam-insulation blowing agents used to replace ozone-depleting chlorofluorocarbon and hydro chlorofluorocarbons. These same products also improve the energy efficiency of homes, appliances and commercial refrigeration systems.
Honeywell International Inc. is a diversified technology and manufacturing company, serving customers worldwide with aerospace products and services, control, sensing and security technologies for buildings, homes and industry, turbochargers, automotive products, specialty chemicals, electronic and advanced materials, process technology for refining and petrochemicals and energy efficient products and solutions for homes, business and transportation.
We currently have a Neutral recommendation on HON.
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