MORRIS PLAINS, N.J.,
May 12, 2016 /PRNewswire/ --
Honeywell (NYSE: HON) announced today its intention to spin off its
Resins and Chemicals business into a standalone, publicly-traded
company named AdvanSix Inc. Honeywell will file a Form 10 relating
to the transaction with the Securities and Exchange Commission
shortly. Completion of the transaction is expected to occur by
early 2017 and is subject to certain customary conditions,
including, among others, assurance that the spin-off of AdvanSix
will be tax-free to Honeywell shareowners, the effectiveness of
appropriate filings with the U.S. Securities and Exchange
Commission, and final approval by Honeywell's Board of Directors.
There is no impact to financial guidance at this
time.
"Our $1.3 billion Resins and
Chemicals business enjoys a leading position in the industries it
serves and a global cost advantage. It is favorably positioned to
continue to achieve global growth as a standalone enterprise, with
added flexibility to make capital investments that enhance its
offerings and service to customers," said Honeywell Chairman and
CEO, Dave Cote. "Following the
spin-off, Honeywell and AdvanSix will each have a more focused
business and be better positioned to invest more in growth
opportunities and execute strategic plans best suited to its
respective business. The transaction will create added value for
our shareowners, who will receive AdvanSix shares tax-free in
addition to the Honeywell shares they already own."
"Today's announcement represents another step in the evolution
of the Honeywell portfolio, as we continue to focus on driving
breakthrough growth through advanced software capabilities and
technology differentiation, with high-value product offerings that
help us to win in the marketplace," added Cote. "We have a
well-balanced and successful capital deployment strategy, which
includes acquisitions and divestitures, capital expenditures,
dividends, and share repurchase, all of which drive additional
value to our shareowners over the long-term."
Upon completion of the spin-off, AdvanSix will be an
independent, global, leading manufacturer of Nylon 6, a polymer
resin used to produce engineered plastics, fibers, filaments, and
films that, in turn, are used in end products such as automotive
and electronic components, carpets, sports apparel, fishing nets,
and food and industrial packaging. AdvanSix also produces
Sulf-N® ammonium sulfate fertilizers and chemical
intermediates, including phenol, acetone, and Nadone®
cyclohexanone, and is the largest single-site producer of
caprolactam.
Erin Kane will serve as President
and Chief Executive Officer of AdvanSix upon completion of the
transaction. Kane currently serves as Vice President and General
Manager of the Resins and Chemicals business, a position she has
held since October 2014. She joined Honeywell in 2002 and has
held numerous marketing, management, and business director roles in
Resins and Chemicals and other businesses within
Honeywell. Prior to joining Honeywell, Kane held Six Sigma and
process engineering positions at Elementis Specialties and Kvaerner
Process.
"Erin is uniquely qualified to lead the new, independent
company. She has extensive experience in managing the global
Resins and Chemicals business, having served in a number of
business roles with increasing responsibility over the last eight
years. As head of the Resins and Chemicals business over the
last two years, she helped the business expand its product
portfolio while maintaining the operational and cost advantages
that it enjoys," added Cote. "Her deep industry experience and
business acumen, combined with the experience she has honed in
general management, marketing, and operational positions while at
Honeywell, will allow Erin to provide strong leadership for the new
company."
Honeywell (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; turbochargers; and performance
materials. For more news and information on Honeywell, please visit
www.honeywell.com/newsroom.
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
economic and industry 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. 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.
Contacts:
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Media
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Investor
Relations
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Robert C.
Ferris
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Mark
Macaluso
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(973)
455-3388
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(973)
455-2222
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rob.ferris@honeywell.com
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mark.macaluso@honeywell.com
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SOURCE Honeywell