DOCUMENT AND ENTITY INFORMATION
DOCUMENT AND ENTITY INFORMATION | 9 Months Ended |
Sep. 30, 2020shares | |
Cover [Abstract] | |
Document type | 10-Q |
Document Quarterly Report | true |
Document period end date | Sep. 30, 2020 |
Document Transition Report | false |
Entity File Number | 1-8974 |
Entity registrant name | Honeywell International Inc |
Entity Incorporation, State or Country Code | DE |
Entity Tax Identification Number | 22-2640650 |
Entity Address, Address Line One | 300 South Tryon Street |
Entity Address, City or Town | Charlotte, |
Entity Address, State or Province | NC |
Entity Address, Postal Zip Code | 28202 |
City Area Code | 704 |
Local Phone Number | 627-6200 |
Entity Listings [Line Items] | |
Entity current reporting status | Yes |
Entity Interactive Data Current | Yes |
Entity filer category | Large Accelerated Filer |
Document Fiscal Year Focus | 2020 |
Entity Small Business | false |
Entity Emerging Growth Company | false |
Entity Shell Company | false |
Entity common stock shares outstanding | 701,685,768 |
Document Fiscal Period Focus | Q3 |
Current fiscal year end date | --12-31 |
Amendment flag | false |
Entity central index key | 0000773840 |
Common Stock [Member] | |
Entity Listings [Line Items] | |
Title of 12(b) Security | Common Stock, par value $1 per share* |
Trading Symbol | HON |
NEW YORK STOCK EXCHANGE | NYSE |
1.300% Senior Notes due 2023 [Member] | |
Entity Listings [Line Items] | |
Title of 12(b) Security | 1.300% Senior Notes due 2023 |
Trading Symbol | HON 23A |
NEW YORK STOCK EXCHANGE | NYSE |
0.000% Senior Notes due 2024 [Member] | |
Entity Listings [Line Items] | |
Title of 12(b) Security | 0.000% Senior Notes due 2024 |
Trading Symbol | HON 24A |
NEW YORK STOCK EXCHANGE | NYSE |
2.250% Senior Notes due 2028 [Member] | |
Entity Listings [Line Items] | |
Title of 12(b) Security | 2.250% Senior Notes due 2028 |
Trading Symbol | HON 28A |
NEW YORK STOCK EXCHANGE | NYSE |
0.750% Senior Notes due 2032 [Member] | |
Entity Listings [Line Items] | |
Title of 12(b) Security | 0.750% Senior Notes due 2032 |
Trading Symbol | HON 32 |
NEW YORK STOCK EXCHANGE | NYSE |
CONSOLIDATED STATEMENT OF OPERA
CONSOLIDATED STATEMENT OF OPERATIONS - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Consolidated Statement of Operations | ||||
Net Sales | $ 7,797 | $ 9,086 | $ 23,737 | $ 27,213 |
Costs, expenses and other | ||||
Cost of products and services sold | 5,383 | 6,038 | 16,193 | 18,011 |
Selling, general and administrative expenses | 1,103 | 1,296 | 3,524 | 4,046 |
Other (income) expense | 62 | (311) | (546) | (901) |
Interest and other financial charges | 101 | 96 | 264 | 266 |
Cost, operating and non-operating expenses | 6,649 | 7,119 | 19,435 | 21,422 |
Income before taxes | 1,148 | 1,967 | 4,302 | 5,791 |
Tax expense (benefit) | 367 | 319 | 816 | 1,151 |
Net income | 781 | 1,648 | 3,486 | 4,640 |
Less: Net income attributable to the noncontrolling interest | 23 | 24 | 66 | 59 |
Net income attributable to Honeywell | $ 758 | $ 1,624 | $ 3,420 | $ 4,581 |
Earnings per share of common stock - basic (in dollars per share) | $ 1.08 | $ 2.26 | $ 4.85 | $ 6.33 |
Earnings per share of common stock - assuming dilution (in dollars per share) | $ 1.07 | $ 2.23 | $ 4.81 | $ 6.25 |
Products [Member] | ||||
Consolidated Statement of Operations | ||||
Net Sales | $ 5,885 | $ 6,793 | $ 17,933 | $ 20,496 |
Costs, expenses and other | ||||
Cost of products and services sold | 4,315 | 4,775 | 12,852 | 14,244 |
Services [Member] | ||||
Consolidated Statement of Operations | ||||
Net Sales | 1,912 | 2,293 | 5,804 | 6,717 |
Costs, expenses and other | ||||
Cost of products and services sold | $ 1,068 | $ 1,263 | $ 3,341 | $ 3,767 |
CONSOLIDATED STATEMENT OF COMPR
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Statement of Comprehensive Income [Abstract] | ||||
Net income | $ 781 | $ 1,648 | $ 3,486 | $ 4,640 |
Other comprehensive income (loss), net of tax | ||||
Foreign exchange translation adjustment | (82) | 163 | (237) | 177 |
Prior service (credit) cost recognized | (20) | (20) | (60) | (59) |
Pension and other postretirement benefit adjustments | (20) | (20) | (60) | (59) |
Cash flow hedges recognized in other comprehensive income (loss) | (54) | 62 | 50 | 110 |
Less: Reclassification adjustment for gains (losses) included in net income | (30) | 47 | (8) | 86 |
Changes in fair value of effective cash flow hedges | (24) | 15 | 58 | 24 |
Other comprehensive income (loss), net of tax | (126) | 158 | (239) | 142 |
Comprehensive income | 655 | 1,806 | 3,247 | 4,782 |
Less: Comprehensive income attributable to the noncontrolling interest | 29 | 19 | 68 | 56 |
Comprehensive income attributable to Honeywell | $ 626 | $ 1,787 | $ 3,179 | $ 4,726 |
CONSOLIDATED BALANCE SHEET
CONSOLIDATED BALANCE SHEET - USD ($) $ in Millions | Sep. 30, 2020 | Dec. 31, 2019 |
Current assets: | ||
Cash and cash equivalents | $ 14,036 | $ 9,067 |
Short-term Investments | 972 | 1,349 |
Accounts receivable - net | 6,878 | 7,493 |
Inventories | 4,705 | 4,421 |
Other current assets | 1,609 | 1,973 |
Total current assets | 28,200 | 24,303 |
Investments and long-term receivables | 673 | 588 |
Property, plant and equipment - net | 5,419 | 5,325 |
Goodwill | 15,666 | 15,563 |
Other intangible assets - net | 3,494 | 3,734 |
Insurance recoveries for asbestos related liabilities | 374 | 392 |
Deferred income taxes | 154 | 86 |
Other assets | 9,479 | 8,688 |
Total assets | 63,459 | 58,679 |
Current liabilities: | ||
Accounts payable | 5,270 | 5,730 |
Commercial paper and other short-term borrowings | 3,550 | 3,516 |
Current maturities of long-term debt | 985 | 1,376 |
Accrued liabilities | 7,379 | 7,476 |
Total current liabilities | 17,184 | 18,098 |
Long-term debt | 17,687 | 11,110 |
Deferred income taxes | 1,474 | 1,670 |
Postretirement benefit obligations other than pensions | 309 | 326 |
Asbestos related liabilities | 1,845 | 1,996 |
Other liabilities | 6,640 | 6,766 |
Redeemable noncontrolling interest | 7 | 7 |
SHAREOWNERS' EQUITY | ||
Capital - common stock issued | 958 | 958 |
Capital - additional paid in capital | 7,155 | 6,876 |
Common stock held in treasury, at cost | (25,806) | (23,836) |
Accumulated other comprehensive loss | (3,436) | (3,197) |
Retained earnings | 39,203 | 37,693 |
Total Honeywell shareowners' equity | 18,074 | 18,494 |
Noncontrolling interest | 239 | 212 |
Total shareowners' equity | 18,313 | 18,706 |
Total liabilities, redeemable noncontrolling interest, and shareowners' equity | $ 63,459 | $ 58,679 |
CONSOLIDATED STATEMENT OF CASH
CONSOLIDATED STATEMENT OF CASH FLOWS - USD ($) | 9 Months Ended | |
Sep. 30, 2020 | Sep. 30, 2019 | |
Cash flows from operating activities: | ||
Net income | $ 3,486,000,000 | $ 4,640,000,000 |
Less: Net income attributable to the noncontrolling interest | 66,000,000 | 59,000,000 |
Net income attributable to Honeywell | 3,420,000,000 | 4,581,000,000 |
Adjustments to reconcile net income attributable to Honeywell to net cash provided by operating activities: | ||
Depreciation | 480,000,000 | 500,000,000 |
Amortization | 268,000,000 | 319,000,000 |
Repositioning and other charges | 486,000,000 | 306,000,000 |
Net payments for repositioning and other charges | (652,000,000) | (157,000,000) |
Pension and other postretirement income | (633,000,000) | (484,000,000) |
Pension and other postretirement benefit payments | (37,000,000) | (50,000,000) |
Stock compensation expense | 118,000,000 | 112,000,000 |
Deferred income taxes | (289,000,000) | (298,000,000) |
Reimbursement receivables charge | 350,000,000 | 0 |
Other | (369,000,000) | 98,000,000 |
Changes in assets and liabilities, net of the effects of acquisitions and divestitures: | ||
Accounts receivable | 615,000,000 | (78,000,000) |
Inventories | (284,000,000) | (276,000,000) |
Other current assets | 246,000,000 | (68,000,000) |
Accounts payable | (460,000,000) | (89,000,000) |
Accrued liabilities | 167,000,000 | (133,000,000) |
Net cash provided by (used for) operating activities | 3,426,000,000 | 4,283,000,000 |
Cash flows from investing activities: | ||
Expenditures for property, plant and equipment | (615,000,000) | (504,000,000) |
Proceeds from disposals of property, plant and equipment | 17,000,000 | 41,000,000 |
Increase in investments | (2,371,000,000) | (3,218,000,000) |
Decrease in investments | 2,634,000,000 | 3,318,000,000 |
Receipts (payments) from settlements of derivative contracts | (75,000,000) | 245,000,000 |
Other | 0 | (4,000,000) |
Net cash provided by (used for) investing activities | (410,000,000) | (122,000,000) |
Cash flows from financing activities: | ||
Proceeds from issuance of commercial paper and other short-term borrowings | 8,577,000,000 | 10,292,000,000 |
Payments of commercial paper and other short-term borrowings | (8,512,000,000) | (10,293,000,000) |
Proceeds from issuance of common stock | 163,000,000 | 425,000,000 |
Proceeds from issuance of long-term debt | 10,105,000,000 | 2,725,000,000 |
Payments of long-term debt | (4,237,000,000) | (120,000,000) |
Repurchases of common stock | (2,149,000,000) | (3,650,000,000) |
Cash dividends paid | (1,921,000,000) | (1,798,000,000) |
Other | (54,000,000) | (72,000,000) |
Net cash provided by (used for) financing activities | 1,972,000,000 | (2,491,000,000) |
Effect of foreign exchange rate changes on cash and cash equivalents | (19,000,000) | (49,000,000) |
Net increase (decrease) in cash and cash equivalents | 4,969,000,000 | 1,621,000,000 |
Cash and cash equivalents at beginning of period | 9,067,000,000 | 9,287,000,000 |
Cash and cash equivalents at end of period | $ 14,036,000,000 | $ 10,908,000,000 |
CONSOLIDATED STATEMENT OF SHARE
CONSOLIDATED STATEMENT OF SHAREOWNERS EQUITY - USD ($) | Total | Common Stock [Member] | Additional Paid-in Capital [Member] | Treasury Stock [Member] | Retained Earnings [Member] | AOCI Attributable to Parent [Member] | Noncontrolling Interest [Member] |
Balance at beginning of period at Dec. 31, 2018 | $ 6,452,000,000 | $ (19,771,000,000) | $ 33,978,000,000 | $ (3,437,000,000) | $ 178,000,000 | ||
Issued for employee savings and option plans | 242,000,000 | $ 286,000,000 | |||||
Stock Issued During Period Shares For Employee Savings And Option Plans | 7,000,000 | ||||||
Stock-based compensation expense | 112,000,000 | ||||||
Treasury Stock, Shares beginning balance at Dec. 31, 2018 | (228,000,000) | ||||||
Reacquired stock or repurchases of common stock | $ (3,650,000,000) | ||||||
Reacquired stock or repurchases of common stock, shares | (22,100,000) | ||||||
Treasury Stock, Shares ending balance at Sep. 30, 2019 | (243,100,000) | ||||||
Net income attributable to Honeywell | $ 4,581,000,000 | 4,581,000,000 | |||||
Acquisitions, divestitures, and other | 1,000,000 | ||||||
Dividends on common stock | (1,784,000,000) | ||||||
Foreign exchange translation adjustment | 177,000,000 | 177,000,000 | (3,000,000) | ||||
Pension and other postretirement benefit adjustments | (59,000,000) | (59,000,000) | |||||
Changes in fair value of effective cash flow hedges | 24,000,000 | 24,000,000 | |||||
Net Income attributable to noncontrolling interest | $ 59,000,000 | 59,000,000 | |||||
Dividends Paid | (38,000,000) | ||||||
Cash dividends per share of common stock | $ 2.460 | ||||||
Balance at end of period at Sep. 30, 2019 | $ 18,306,000,000 | $ 958,000,000 | 6,806,000,000 | $ (23,135,000,000) | 36,775,000,000 | (3,295,000,000) | 197,000,000 |
Common Stock, Shares, Issued, Ending Balance at Sep. 30, 2019 | 957,600,000 | 957,600,000 | |||||
Balance at beginning of period at Jun. 30, 2019 | 6,780,000,000 | (22,156,000,000) | 35,741,000,000 | (3,453,000,000) | 190,000,000 | ||
Issued for employee savings and option plans | (11,000,000) | $ 21,000,000 | |||||
Stock Issued During Period Shares For Employee Savings And Option Plans | 900,000 | ||||||
Stock-based compensation expense | 37,000,000 | ||||||
Treasury Stock, Shares beginning balance at Jun. 30, 2019 | (238,100,000) | ||||||
Reacquired stock or repurchases of common stock | $ (1,000,000,000) | ||||||
Reacquired stock or repurchases of common stock, shares | (5,900,000) | ||||||
Treasury Stock, Shares ending balance at Sep. 30, 2019 | (243,100,000) | ||||||
Net income attributable to Honeywell | $ 1,624,000,000 | 1,624,000,000 | |||||
Acquisitions, divestitures, and other | 1,000,000 | ||||||
Dividends on common stock | (590,000,000) | ||||||
Foreign exchange translation adjustment | 163,000,000 | 163,000,000 | (5,000,000) | ||||
Pension and other postretirement benefit adjustments | (20,000,000) | (20,000,000) | |||||
Changes in fair value of effective cash flow hedges | 15,000,000 | 15,000,000 | |||||
Net Income attributable to noncontrolling interest | $ 24,000,000 | 24,000,000 | |||||
Dividends Paid | (13,000,000) | ||||||
Cash dividends per share of common stock | $ 0.820 | ||||||
Balance at end of period at Sep. 30, 2019 | $ 18,306,000,000 | $ 958,000,000 | 6,806,000,000 | $ (23,135,000,000) | 36,775,000,000 | (3,295,000,000) | 197,000,000 |
Common Stock, Shares, Issued, Ending Balance at Sep. 30, 2019 | 957,600,000 | 957,600,000 | |||||
Shares outstanding | 714,500,000 | ||||||
Balance at beginning of period at Dec. 31, 2019 | $ 18,706,000,000 | 6,876,000,000 | (23,836,000,000) | 37,693,000,000 | (3,197,000,000) | 212,000,000 | |
Issued for employee savings and option plans | 161,000,000 | $ 179,000,000 | |||||
Stock Issued During Period Shares For Employee Savings And Option Plans | 3,700,000 | ||||||
Stock-based compensation expense | 118,000,000 | ||||||
Treasury Stock, Shares beginning balance at Dec. 31, 2019 | (246,500,000) | ||||||
Reacquired stock or repurchases of common stock | $ (2,149,000,000) | ||||||
Reacquired stock or repurchases of common stock, shares | (13,100,000) | ||||||
Treasury Stock, Shares ending balance at Sep. 30, 2020 | (255,900,000) | ||||||
Net income attributable to Honeywell | 3,420,000,000 | 3,420,000,000 | |||||
Acquisitions, divestitures, and other | (6,000,000) | ||||||
Dividends on common stock | (1,910,000,000) | ||||||
Foreign exchange translation adjustment | (237,000,000) | (237,000,000) | 2,000,000 | ||||
Pension and other postretirement benefit adjustments | (60,000,000) | (60,000,000) | |||||
Changes in fair value of effective cash flow hedges | 58,000,000 | 58,000,000 | |||||
Net Income attributable to noncontrolling interest | $ 66,000,000 | 66,000,000 | |||||
Dividends Paid | (35,000,000) | ||||||
Cash dividends per share of common stock | $ 2.700 | ||||||
Balance at end of period at Sep. 30, 2020 | $ 18,313,000,000 | $ 958,000,000 | 7,155,000,000 | $ (25,806,000,000) | 39,203,000,000 | (3,436,000,000) | 239,000,000 |
Common Stock, Shares, Issued, Ending Balance at Sep. 30, 2020 | 957,600,000 | 957,600,000 | |||||
Balance at beginning of period at Jun. 30, 2020 | 7,104,000,000 | (25,685,000,000) | 39,080,000,000 | (3,310,000,000) | 219,000,000 | ||
Issued for employee savings and option plans | 11,000,000 | $ 43,000,000 | |||||
Stock Issued During Period Shares For Employee Savings And Option Plans | 900,000 | ||||||
Stock-based compensation expense | 40,000,000 | ||||||
Treasury Stock, Shares beginning balance at Jun. 30, 2020 | (255,800,000) | ||||||
Reacquired stock or repurchases of common stock | $ (164,000,000) | ||||||
Reacquired stock or repurchases of common stock, shares | (1,000,000) | ||||||
Treasury Stock, Shares ending balance at Sep. 30, 2020 | (255,900,000) | ||||||
Net income attributable to Honeywell | $ 758,000,000 | 758,000,000 | |||||
Acquisitions, divestitures, and other | 0 | ||||||
Dividends on common stock | (635,000,000) | ||||||
Foreign exchange translation adjustment | (82,000,000) | (82,000,000) | 6,000,000 | ||||
Pension and other postretirement benefit adjustments | (20,000,000) | (20,000,000) | |||||
Changes in fair value of effective cash flow hedges | (24,000,000) | (24,000,000) | |||||
Net Income attributable to noncontrolling interest | $ 23,000,000 | 23,000,000 | |||||
Dividends Paid | (9,000,000) | ||||||
Cash dividends per share of common stock | $ 0.900 | ||||||
Balance at end of period at Sep. 30, 2020 | $ 18,313,000,000 | $ 958,000,000 | $ 7,155,000,000 | $ (25,806,000,000) | $ 39,203,000,000 | $ (3,436,000,000) | $ 239,000,000 |
Common Stock, Shares, Issued, Ending Balance at Sep. 30, 2020 | 957,600,000 | 957,600,000 | |||||
Shares outstanding | 701,700,000 |
BASIS OF PRESENTATION
BASIS OF PRESENTATION | 9 Months Ended |
Sep. 30, 2020 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation [Text Block] | Note 1. Basis of Presentation In the opinion of management, the accompanying unaudited Consolidated Financial Statements reflect all adjustments, consisting only of normal recurring adjustments, necessary to present fairly the financial position of Honeywell International Inc. and its consolidated subsidiaries (“Honeywell” or “the Company”) at September 30, 2020 and December 31, 2019, the cash flows for the nine months ended September 30, 2020 and September 30, 2019 and the results of operations for the three and nine months ended September 30, 2020 and September 30, 2019. The results of operations for the three and nine months ended September 30, 2020 and cash flows for the nine months ended September 30, 2020 should not necessarily be taken as indicative of the entire year. |
SUMMARY OF SIGNIFICANT ACCOUNTI
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 9 Months Ended |
Sep. 30, 2020 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies [Text Block] | Note 2. Summary of Significant Accounting Policies The accounting policies of the Company are set forth in Note 1 to the Company's Consolidated Financial Statements contained in the Company’s 2019 Annual Report on Form 10-K. The Company includes herein certain updates to those policies. Reclassifications —Certain prior year amounts have been reclassified to conform to the current year presentation. Recent Accounting Pronouncements —The Company considers the applicability and impact of all Accounting Standards Updates (ASUs) issued by the Financial Accounting Standards Board (FASB). ASUs not listed below were assessed and determined to be either not applicable or are expected to have minimal impact on our consolidated results of operations, financial position and cash flows (Consolidated Financial Statements). In December 2019, the FASB issued an accounting standard update to simplify the accounting for income taxes. The standard's amendments include changes in various subtopics of accounting for income taxes including, but not limited to, accounting for "hybrid" tax regimes, tax basis step-up in goodwill obtained in a transaction that is not a business combination, intraperiod tax allocation exception to incremental approach, ownership changes in investments, interim-period accounting for enacted changes in tax law, and year-to-date loss limitation in interim-period tax accounting. The guidance is effective for fiscal years beginning after December 15, 2020 with early adoption permitted, including the interim periods within those years. The Company is currently evaluating impacts of these amendments on the Company's Consolidated Financial Statements, and related notes to the Financial Statements. The Company does not expect the adoption of this standard to have a material impact on the Company's Consolidated Financial Statements. In June 2016, the FASB issued an accounting standard that requires companies to utilize an impairment model (current expected credit loss, or CECL) for most financial assets measured at amortized cost and certain other financial instruments, which include, but are not limited to, trade and other receivables. This accounting standard replaced the incurred loss model with a model that reflects expected credit losses and requires consideration of a broader range of reasonable and supportable information to estimate those losses. Effective January 1, 2020, the Company adopted this standard. The adoption of this standard did not have a material impact on the Company's Consolidated Financial Statements. |
REPOSITIONING AND OTHER CHARGES
REPOSITIONING AND OTHER CHARGES | 9 Months Ended |
Sep. 30, 2020 | |
Restructuring and Related Activities [Abstract] | |
Repositioning and Other Charges | Note 3. Repositioning and Other Charges A summary of repositioning and other charges follows: Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Severance $ 113 $ 41 $ 433 $ 147 Asset impairments 5 15 11 26 Exit costs 17 33 47 62 Reserve adjustments (11) (3) (42) (7) Total net repositioning charge 124 86 449 228 Asbestos related litigation charges, net of insurance and reimbursements 13 9 33 26 Probable and reasonably estimable environmental liabilities, net of reimbursements 6 6 20 59 Other 1 (5) (16) (7) Total net repositioning and other charges $ 144 $ 96 $ 486 $ 306 The following table summarizes the pretax distribution of total net repositioning and other charges by classification: Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Cost of products and services sold $ 91 $ 75 $ 286 $ 204 Selling, general and administrative expenses 53 21 200 102 $ 144 $ 96 $ 486 $ 306 The following table summarizes the pretax impact of total net repositioning and other charges by segment: Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Aerospace $ 33 $ 12 $ 151 $ 32 Honeywell Building Technologies 29 28 87 36 Performance Materials and Technologies 34 28 139 61 Safety and Productivity Solutions 15 6 32 54 Corporate 33 22 77 123 $ 144 $ 96 $ 486 $ 306 In the three months ended September 30, 2020, the Company recognized gross repositioning charges totaling $135 million including severance costs of $113 million related to workforce reductions of 3,113 manufacturing and administrative positions across all of the Company's segments, with a majority of the workforce reductions in Aerospace and Performance Materials and Technologies. The workforce reductions primarily related to the Company aligning its cost structure with the current slowdown in demand for many of the Company's products and services due to the global recession. In the three months ended September 30, 2019, the Company recognized gross repositioning charges totaling $89 million including severance costs of $41 million related to workforce reductions of 1,123 manufacturing and administrative positions across the Company's segments. The workforce reductions primarily related to cost savings actions taken in connection with our productivity and ongoing functional transformation initiatives. The repositioning charges included exit costs of $33 million primarily related to termination fees associated with the early cancellation of supply agreements for certain raw materials in Performance Materials and Technologies and Honeywell Building Technologies and current period exit costs incurred for previously approved repositioning projects. In the nine months ended September 30, 2020, the Company recognized gross repositioning charges totaling $491 million including severance costs of $433 million related to workforce reductions of 13,042 manufacturing and administrative positions across the Company's segments, with a majority of the workforce reductions in Aerospace and Performance Materials and Technologies. The workforce reductions primarily related to the Company aligning its cost structure with the current slowdown in demand for many of the Company's products and services due to the global recession, and the Company's productivity and ongoing functional transformation initiatives. The repositioning charges included exit costs of $47 million primarily related to current period exit costs incurred for previously approved repositioning projects. Also, $42 million of previously established reserves, primarily for severance, were returned to income mainly as a result of higher attrition than anticipated in prior severance actions resulting in lower severance payments. In the nine months ended September 30, 2019, the Company recognized gross repositioning charges totaling $235 million including severance costs of $147 million related to workforce reductions of 3,436 manufacturing and administrative positions across the Company's segments. The workforce reductions primarily related to cost savings actions taken in connection with the Company's productivity and functional transformation initiatives and to site transitions in Aerospace to more cost-effective locations. The repositioning charges included exit costs of $62 million primarily related to current period exit costs incurred for previously approved repositioning projects, termination fees associated with the early cancellation of supply agreements for certain raw materials in Performance Materials and Technologies and Honeywell Building Technologies and closure obligations associated with site transitions. The following table summarizes the status of the Company's total repositioning reserves: Severance Asset Exit Total December 31, 2019 $ 555 $ — $ 96 $ 651 Charges 433 11 47 491 Usage - cash (343) — (56) (399) Usage - noncash — (11) — (11) Foreign currency translation 9 — — 9 Adjustments (40) — (2) (42) September 30, 2020 $ 614 $ — $ 85 $ 699 Certain repositioning projects will recognize exit costs in future periods when the actual liability is incurred. Such exit costs incurred in the nine months ended September 30, 2020 and 2019 were $32 million and $21 million, respectively. |
OTHER (INCOME) EXPENSE
OTHER (INCOME) EXPENSE | 9 Months Ended |
Sep. 30, 2020 | |
Other Income and Expenses [Abstract] | |
Other (Income) expense [Text Block] | Note 4. Other (Income) Expense Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Interest income $ (20) $ (64) $ (86) $ (194) Pension ongoing income – non-service (238) (180) (711) (549) Other postretirement income – non-service (13) (12) (40) (35) Equity income of affiliated companies (17) (13) (44) (33) Loss (gain) on sale of non-strategic business and assets — — — (1) Foreign exchange (1) (43) (16) (97) Reimbursement receivables charge 350 — 350 — Other (net) 1 1 1 8 $ 62 $ (311) $ (546) $ (901) |
INCOME TAXES
INCOME TAXES | 9 Months Ended |
Sep. 30, 2020 | |
Income Tax Disclosure [Abstract] | |
Income Tax Disclosure [Text Block] | Note 5. Income Taxes The effective tax rate was lower than the U.S. federal statutory rate of 21% and decreased during 2020 compared to 2019 primarily due to the favorable resolution of a foreign tax matter related to the previously completed spin-off transactions, tax law changes in India, and the resolution of certain U.S. tax matters offset by a non-cash charge related to the reduction of the aggregate carrying value of certain receivables with no corresponding tax benefit. |
EARNINGS PER SHARE
EARNINGS PER SHARE | 9 Months Ended |
Sep. 30, 2020 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | Note 6. Earnings Per Share Three Months Ended September 30, Nine Months Ended September 30, Basic 2020 2019 2020 2019 Net income attributable to Honeywell $ 758 $ 1,624 $ 3,420 $ 4,581 Weighted average shares outstanding 702.6 717.6 704.8 723.5 Earnings per share of common stock $ 1.08 $ 2.26 $ 4.85 $ 6.33 Three Months Ended September 30, Nine Months Ended September 30, Assuming Dilution 2020 2019 2020 2019 Net income attributable to Honeywell $ 758 $ 1,624 $ 3,420 $ 4,581 Average Shares Weighted average shares outstanding 702.6 717.6 704.8 723.5 Dilutive securities issuable - stock plans 7.0 9.1 6.8 9.3 Total weighted average shares outstanding 709.6 726.7 711.6 732.8 Earnings per share of common stock $ 1.07 $ 2.23 $ 4.81 $ 6.25 The diluted earnings per share calculations exclude the effect of stock options when the options’ exercise price exceed the average market price of the common shares during the period. For the three and nine months ended September 30, 2020, the weighted average number of stock options excluded from the computations were 7.1 million and 6.4 million. For the three and nine months ended September 30, 2019, the weighted average number of stock options excluded from the computations were 2.9 million and 3.2 million. These stock options were outstanding at the end of each of the respective periods. As of September 30, 2020 and 2019, total shares outstanding were 701.7 million and 714.5 million and as of September 30, 2020 and 2019, total shares issued were 957.6 million. |
REVENUE RECOGNITION AND CONTRAC
REVENUE RECOGNITION AND CONTRACTS WITH CUSTOMERS | 9 Months Ended |
Sep. 30, 2020 | |
Revenue from Contract with Customer [Abstract] | |
Revenue from Contract with Customer [Text Block] | Note 7. Revenue Recognition and Contracts with Customers Honeywell generates revenue from a comprehensive offering of products and services, including software and technologies, that are sold to a variety of customers in multiple end markets. See the following table and related discussions by operating segment for details. Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Aerospace Commercial Aviation Original Equipment $ 406 $ 772 $ 1,527 $ 2,265 Commercial Aviation Aftermarket 774 1,452 2,807 4,234 Defense and Space 1,482 1,320 4,232 3,894 2,662 3,544 8,566 10,393 Honeywell Building Technologies Products 751 823 2,163 2,476 Building Solutions 554 592 1,600 1,778 1,305 1,415 3,763 4,254 Performance Materials and Technologies UOP 461 717 1,572 2,030 Process Solutions 1,135 1,283 3,379 3,818 Specialty Products 261 256 786 790 Fluorine Products 395 414 1,130 1,339 2,252 2,670 6,867 7,977 Safety and Productivity Solutions Safety and Retail 599 558 1,612 1,653 Productivity Solutions and Services 322 307 877 926 Warehouse and Workflow Solutions 445 383 1,457 1,361 Sensing & Internet-of-Things (IoT) 212 209 595 649 1,578 1,457 4,541 4,589 Net sales $ 7,797 $ 9,086 $ 23,737 $ 27,213 Aerospace – A global supplier of products, software and services for aircrafts that it sells to original equipment manufacturers (OEM) and other customers in a variety of end markets including: air transport, regional, business and general aviation aircraft, airlines, aircraft operators and defense and space contractors. Aerospace products and services include auxiliary power units, propulsion engines, environmental control systems, integrated avionics, wireless connectivity services, electric power systems, engine controls, flight safety, communications, navigation hardware, data and software applications, radar and surveillance systems, aircraft lighting, management and technical services, advanced systems and instruments, satellite and space components, aircraft wheels and brakes, repair and overhaul services and thermal systems. Aerospace also provides spare parts, repair, overhaul and maintenance services (principally to aircraft operators) for the aftermarket. Honeywell Forge solutions are designed to identify and resolve problems faster, making fleet management and flight operations more efficient. Honeywell Building Technologies – A global provider of products, software, solutions and technologies that enable building owners and occupants to ensure their facilities are safe, energy efficient, sustainable and productive. Honeywell Building Technologies products and services include advanced software applications for building control and optimization; sensors, switches, control systems and instruments for energy management; access control; video surveillance; fire products; remote patient monitoring systems; and installation, maintenance and upgrades of systems. Honeywell Forge solutions are designed to digitally manage buildings to use space intelligently, cut operating expenses and reduce maintenance. Performance Materials and Technologies – A global provider in developing and manufacturing high-quality performance chemicals and materials, process technologies and automation solutions, including Honeywell Forge connected solutions. The segment comprises UOP, Process Solutions and Advanced Materials. UOP provides process technology, products, including catalysts and adsorbents, equipment, and consulting services that enable customers to efficiently produce gasoline, diesel, jet fuel, petrochemicals and renewable fuels for the petroleum refining, gas processing, petrochemical, and other industries. Process Solutions provides automation control, instrumentation, advanced software and related services for the oil and gas, refining, pulp and paper, industrial power generation, chemicals and petrochemicals, biofuels, life sciences, and metals, minerals and mining industries. Through its smart energy products, Process Solutions enables utilities and distribution companies to deploy advanced capabilities to improve operations, reliability and environmental sustainability. Advanced Materials manufactures a wide variety of high-performance products, including materials used to manufacture end products such as bullet-resistant armor, nylon, computer chips and pharmaceutical packaging, and provides reduced and low global-warming-potential (GWP) materials based on hydrofluoro-olefin technology. In the industrial environment, Honeywell Forge solutions enable integration and connectivity to provide a holistic view of operations and turn data into clear actions to maximize productivity and efficiency. Honeywell Forge's cybersecurity capabilities help identify risks and act on cyber-related incidents, together enabling improved operations and protecting processes, people and assets. Safety and Productivity Solutions – A global provider of products and software that improve productivity, workplace safety and asset performance to customers around the globe. Safety products include personal protection equipment, apparel, gear, and footwear designed for work, play and outdoor activities; gas detection technology; and cloud-based notification and emergency messaging. Productivity Solutions products and services include mobile devices and software for computing, data collection and thermal printing; supply chain and warehouse automation equipment, software and solutions; custom-engineered sensors, switches and controls for sensing and productivity solutions; and software-based data and asset management productivity solutions. Honeywell Forge solutions digitally automate processes to improve efficiency while reducing downtime and safety costs. For a summary by disaggregated product and services sales for each segment, refer to Note 14 Segment Financial Data of Notes to Consolidated Financial Statements. The Company recognizes revenues from performance obligations to customers that are satisfied at a point in time and over time. The disaggregation of the Company's revenue based off timing of recognition is as follows: Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Products, transferred point in time 61 % 62 % 61 % 61 % Products, transferred over time 15 13 15 14 Net product sales 76 75 76 75 Services, transferred point in time 7 8 8 9 Services, transferred over time 17 17 16 16 Net service sales 24 25 24 25 Net sales 100 % 100 % 100 % 100 % Contract Balances The Company records progress on satisfying performance obligations to customers, and the related billings and cash collections, on the Consolidated Balance Sheet in Accounts receivable - net and Other assets (unbilled receivables (contract assets) and billed receivables) and Accrued liabilities and Other liabilities (customer advances and deposits (contract liabilities)). Unbilled receivables (contract assets) arise when the timing of cash collected from customers differs from the timing of revenue recognition, such as when contract provisions require specific milestones to be met before a customer can be billed. Unbilled receivable balance increases when the revenue associated with the contract is recognized prior to billing and decreases when billed in accordance with the terms of the contract. Contract liabilities increases when customers remit contractual cash payments in advance of the Company satisfying performance obligations under contractual arrangements, including those with performance obligations to be satisfied over a period of time. Contract liabilities decreases when revenue is recorded, either when a milestone is met triggering the contractual right to bill or when the performance obligation is satisfied. Contract balances are classified as assets or liabilities on a contract-by-contract basis at the end of each reporting period. The following table summarizes the Company's contract assets and liabilities balances: 2020 2019 Contract assets - January 1 $ 1,602 $ 1,548 Contract assets - September 30 1,819 1,812 Change in contract assets - increase (decrease) $ 217 $ 264 Contract liabilities - January 1 $ (3,501) $ (3,378) Contract liabilities - September 30 (3,666) (3,188) Change in contract liabilities - decrease (increase) $ (165) $ 190 Net change $ 52 $ 454 The net change for the nine months ended September 30, 2020 and September 30, 2019 was primarily driven by the recognition of revenue associated with respective contracts prior to billing. For the three and nine months ended September 30, 2020, the Company recognized revenue of $351 million and $1,554 million that was previously included in the beginning balance of contract liabilities. For the three and nine months ended September 30, 2019, the Company recognized revenue of $215 million and $1,195 million that was previously included in the beginning balance of contract liabilities. When contracts are modified to account for changes in contract specifications and requirements, the Company considers whether the modification either creates new or changes the existing enforceable rights and obligations. Contract modifications that are for goods or services that are not distinct from the existing contract, due to the significant integration with the original good or service provided, are accounted for as if they were part of that existing contract. The effect of a contract modification on the transaction price and the Company's measure of progress for the performance obligation to which it relates, is recognized as an adjustment to revenue (either as an increase in or a reduction of revenue) on a cumulative catch-up basis. When the modifications include additional performance obligations that are distinct and at relative stand-alone selling price, they are accounted for as a new contract and performance obligation, which are recognized prospectively. Performance Obligations A performance obligation is a promise in a contract to transfer a distinct good or service to the customer, and is defined as the unit of account. A contract’s transaction price is allocated to each distinct performance obligation and recognized as revenue when, or as, the performance obligation is satisfied. When the Company's contracts with customers require highly complex integration or manufacturing services that are not separately identifiable from other promises in the contracts and, therefore, not distinct, then the entire contract is accounted for as a single performance obligation. In situations when the Company's contract includes distinct goods or services that are substantially the same and have the same pattern of transfer to the customer over time, they are recognized as a series of distinct goods or services. For any contracts with multiple performance obligations, the Company allocates the contract’s transaction price to each performance obligation based on the estimated relative standalone selling price of each distinct good or service in the contract. For product sales, each product sold to a customer typically represents a distinct performance obligation. In such cases, the observable standalone sales are used to determine the standalone selling price. Performance obligations are satisfied as of a point in time or over time. Performance obligations are supported by contracts with customers, providing a framework for the nature of the distinct goods, services or bundle of goods and services. The timing of satisfying the performance obligation is typically indicated by the terms of the contract. The following table outlines the Company's remaining performance obligations disaggregated by segment: September 30, 2020 Aerospace $ 9,717 Honeywell Building Technologies 5,537 Performance Materials and Technologies 6,532 Safety and Productivity Solutions 3,858 $ 25,644 Performance obligations recognized as of September 30, 2020 will be satisfied over the course of future periods. The Company's disclosure of the timing for satisfying the performance obligation is based on the requirements of contracts with customers. However, from time to time, these contracts may be subject to modifications, impacting the timing of satisfying the performance obligations. Performance obligations expected to be satisfied within one year and greater than one year are 54% and 46%, respectively. The timing of satisfaction of the Company's performance obligations does not significantly vary from the typical timing of payment. Typical payment terms of the Company's fixed-price over time contracts include progress payments based on specified events or milestones, or based on project progress. For some contracts we may be entitled to receive an advance payment. The Company has applied the practical expedient for certain revenue streams to exclude the value of remaining performance obligations for (i) contracts with an original expected term of one year or less or (ii) contracts for which we recognize revenue in proportion to the amount we have the right to invoice for services performed. |
ACCOUNTS RECEIVABLE - NET
ACCOUNTS RECEIVABLE - NET | 9 Months Ended |
Sep. 30, 2020 | |
Receivables [Abstract] | |
Accounts Receivable - Net | Note 8. Accounts Receivable - Net September 30, 2020 December 31, 2019 Trade $ 7,064 $ 7,639 Less - Allowance for doubtful accounts (186) (146) $ 6,878 $ 7,493 |
INVENTORIES
INVENTORIES | 9 Months Ended |
Sep. 30, 2020 | |
Inventory Disclosure [Abstract] | |
Inventories | Note 9. Inventories September 30, 2020 December 31, 2019 Raw materials $ 1,081 $ 1,056 Work in process 850 817 Finished products 2,774 2,593 4,705 4,466 Reduction to LIFO cost basis — (45) $ 4,705 $ 4,421 During the third quarter of 2020, the Company changed the method of valuing inventory from the last-in, first-out (LIFO) method to the first-in, first-out (FIFO) method for inventories within our Performance Materials and Technologies segment not previously valued using FIFO. The Company believes the FIFO method is preferable and better reflects the current value of inventory reported in the Consolidated Balance Sheet. The cumulative effect of this change in accounting principle was $7 million and was recorded as a reduction to Cost of products sold for the three months ended September 30, 2020. The inventories subject to this change totaled approximately 6 percent of consolidated inventories. This change was not material to the Consolidated Financial Statements, therefore prior periods were not adjusted retrospectively. |
LEASES
LEASES | 9 Months Ended |
Sep. 30, 2020 | |
Leases [Abstract] | |
Lessee, Operating Leases [Text Block] | Note 10. Leases The Company's operating and finance lease portfolio is described in Note 14, Leases of the Notes to its Consolidated Financial Statements in our 2019 Annual Report on Form 10-K. Supplemental cash flow information related to leases was as follows: Nine Months Ended September 30, 2020 2019 Net right-of-use assets obtained in exchange for lease obligations: Operating leases 155 118 Finance leases 24 17 Supplemental balance sheet information related to leases was as follows: September 30, 2020 December 31, 2019 Operating leases Other assets $ 725 $ 673 Accrued liabilities 179 171 Other liabilities 597 534 Total operating lease liabilities $ 776 $ 705 Financing leases Property, plant and equipment $ 360 $ 361 Accumulated depreciation (171) (152) Property, plant and equipment - net $ 189 $ 209 Current maturities of long-term debt 61 59 Long-term debt 135 156 Total financing lease liabilities $ 196 $ 215 |
LONG-TERM DEBT AND CREDIT AGREE
LONG-TERM DEBT AND CREDIT AGREEMENTS | 9 Months Ended |
Sep. 30, 2020 | |
Debt Disclosure [Abstract] | |
Long-term Debt | Note 11. Long-term Debt and Credit Agreements September 30, 2020 December 31, 2019 0.65% Euro notes due 2020 $ — $ 1,123 4.25% notes due 2021 800 800 1.85% notes due 2021 1,500 1,500 0.483% notes due 2022 2,500 — 2.15% notes due 2022 600 600 Floating rate notes due 2022 1,100 600 1.30% Euro notes due 2023 1,454 1,404 3.35% notes due 2023 300 300 0.00% Euro notes due 2024 582 — 2.30% notes due 2024 750 750 1.35% notes due 2025 1,250 — 2.50% notes due 2026 1,500 1,500 2.25% Euro notes due 2028 872 842 2.70% notes due 2029 750 750 1.95% notes due 2030 1,000 — 0.75% Euro notes due 2032 582 — 5.70% notes due 2036 441 441 5.70% notes due 2037 462 462 5.375% notes due 2041 417 417 3.812% notes due 2047 445 445 2.80% notes due 2050 750 — Industrial development bond obligations, floating rate maturing at various dates through 2037 22 22 6.625% debentures due 2028 201 201 9.065% debentures due 2033 51 51 Other (including capitalized leases and debt issuance costs), 8.0% weighted average maturing at various dates through 2025 343 278 18,672 12,486 Less: current portion (985) (1,376) $ 17,687 $ 11,110 On August 19, 2020, the Company issued $2.5 billion 0.483% Senior Notes due 2022 and $500 million Floating Rate Senior Notes due 2022 (collectively, the “2022 Callable Notes”). The $500 million Floating Rate Senior Notes due 2022 were issued at a variable interest rate equal to the three-month LIBOR plus the applicable margin of 0.23%. The Company may redeem the 2022 fixed rate notes at any time and from time to time at our option in whole or in part, and the Company may redeem the 2022 floating rate notes at any time and from time to time on or after August 19, 2021 in whole or in part. The 2022 Callable Notes are senior unsecured and unsubordinated obligations of the Company and rank equally with all of the Company's existing and future senior unsecured debt and senior to all of the Company's subordinated debt. The 2022 Callable Notes resulted in gross proceeds of $3.0 billion, offset by $10 million in discount and closing costs related to the offering. The Company used the proceeds of the offering to repay $3.0 billion of borrowings under the delayed draw term loan facility, referenced below. On May 18, 2020, the Company issued $1.25 billion 1.35% Senior Notes due 2025, $1.0 billion 1.95% Senior Notes due 2030, and $750 million 2.80% Senior Notes due 2050 (collectively, the "2020 Notes") to replace $3.0 billion of undrawn commitments under the $6.0 billion delayed draw term loan facility, referenced below. The 2020 Notes are senior unsecured and unsubordinated obligations of the Company and rank equally with all of the Company's existing and future senior unsecured debt and senior to the Company's subordinated debt. The offering provided gross proceeds of $3.0 billion, offset by $27 million in discount and closing costs related to the offering. On March 10, 2020, the Company issued €500 million 0.00% Senior Notes due 2024 and €500 million 0.75% Senior Notes due 2032 (collectively, the "2020 Euro Notes"). The 2020 Euro Notes are senior unsecured and unsubordinated obligations of Honeywell and rank equally with all of Honeywell's existing and future senior unsecured debt and senior to all of Honeywell's subordinated debt. The offering provided gross proceeds of $1.1 billion, offset by $9 million in discount and closing costs related to the offering. For issuances described above, unless otherwise noted, all debt issuance costs are deferred and recognized as a direct deduction to the related debt liability and are amortized to interest expense over the debt term. On March 26, 2020, the Company entered into a Delayed Draw Term Loan Agreement (the “Term Loan Agreement”) with a syndicate of banks. The Term Loan Agreement provided for a two-year, delayed draw term loan facility in the aggregate principal amount of $6.0 billion. Effective May 22, 2020, the Company permanently reduced the undrawn commitments under the Term Loan Agreement by an aggregate amount of $3.0 billion. On June 24, 2020, the Company drew on the remaining $3.0 billion of commitments under the Term Loan Agreement at a variable interest rate equal to the one-month LIBOR plus the applicable margin of 1.25%. The draw provided gross proceeds of $3.0 billion offset by $7 million in closing costs related to the borrowing. On August 20, 2020 the Company prepaid the outstanding principal amount of $3.0 billion. As of September 30, 2020, there are no outstanding borrowings or commitments remaining under the Term Loan Agreement. On February 21, 2020, the Company paid its 0.65% Euro notes due 2020. On April 10, 2020, the Company entered into a $1.5 billion 364-Day Credit Agreement (the "364-Day Credit Agreement") with a syndicate of banks. This 364-Day Credit Agreement is maintained for general corporate purposes. The 364-Day Credit Agreement replaces the previously reported 364-day credit agreement dated as of April 26, 2019, which was terminated on April 10, 2020. As of September 30, 2020, there are no outstanding borrowings under the 364-Day Credit Agreement. |
FINANCIAL INSTRUMENTS AND FAIR
FINANCIAL INSTRUMENTS AND FAIR VALUE MEASURES | 9 Months Ended |
Sep. 30, 2020 | |
Fair Value Disclosures [Abstract] | |
Financial Instruments and Fair Value Measures | Note 12. Financial Instruments and Fair Value Measures Our credit, market, foreign currency and interest rate risk management policies are described in Note 15, Financial Instruments and Fair Value Measures of Notes to Consolidated Financial Statements in our 2019 Annual Report on Form 10-K. The following table sets forth the Company’s financial assets and liabilities accounted for at fair value on a recurring basis: September 30, 2020 December 31, 2019 Assets: Foreign currency exchange contracts $ 357 $ 291 Available for sale investments 1,160 1,523 Interest rate swap agreements 230 38 Cross currency swap agreements 10 51 Liabilities: Foreign currency exchange contracts $ 34 $ 21 Interest rate swap agreements — 13 The foreign currency exchange contracts, interest rate swap agreements, and cross currency swap agreements are valued using broker quotations, or market transactions in either the listed or over-the-counter markets. As such, these derivative instruments are classified within level 2. The Company also holds investments in commercial paper, certificates of deposits, and time deposits that are designated as available for sale and are valued using published prices based off observable market data. As such, these investments are classified within level 2. The Company also holds available for sale investments in U.S. government and corporate debt securities valued utilizing published prices based on quoted market pricing, which are classified within level 1. The carrying value of cash and cash equivalents, trade accounts and notes receivables, payables, commercial paper (of which $694 million and $3,513 million was Euro denominated as of September 30, 2020 and December 31, 2019, respectively) and short-term borrowings approximates fair value. The following table sets forth the Company’s financial assets and liabilities that were not carried at fair value: September 30, 2020 December 31, 2019 Carrying Fair Carrying Fair Assets Long-term receivables $ 148 $ 143 $ 129 $ 127 Liabilities Long-term debt and related current maturities $ 18,672 $ 20,084 $ 12,486 $ 13,578 The following table sets forth the amounts on the Consolidated Balance Sheet related to cumulative basis adjustments for fair value hedges: Line in the Consolidated Balance Sheet of Hedged Item Carrying Amount of the Hedged Item Cumulative Amount of Fair Value Hedging Adjustment Included in the Carrying Amount of the Hedged Item September 30, 2020 December 31, 2019 September 30, 2020 December 31, 2019 Long-term debt $ 4,180 $ 3,975 $ 230 $ 25 The Company determined the fair value of the long-term receivables by utilizing transactions in the listed markets for identical or similar assets. As such, the fair value of these receivables is considered level 2. The Company determined the fair value of the long-term debt and related current maturities utilizing transactions in the listed markets for identical or similar liabilities. As such, the fair value of the long-term debt and related current maturities is considered level 2. Interest rate swap agreements are designated as hedge relationships with gains or losses on the derivative recognized in Interest and other financial charges offsetting the gains and losses on the underlying debt being hedged. For the three and nine months ended September 30, 2020, we recognized $13 million of expense and $206 million of gains in earnings on interest rate swap agreements. For the three and nine months ended September 30, 2019, the Company recognized $55 million and $118 million of gains in earnings on interest rate swap agreements. Gains and losses are fully offset by losses and gains on the underlying debt being hedged. The Company economically hedges its exposure to changes in foreign exchange rates principally with forward contracts. These contracts are marked-to-market with the resulting gains and losses recognized in earnings offsetting the gains and losses on the non-functional currency denominated monetary assets and liabilities being hedged. For the three and nine months ended September 30, 2020, we recognized $136 million and $69 million of expense in Other (income) expense. For the three and nine months ended September 30, 2019, the Company recognized $182 million and $231 million of income in Other (income) expense. As of September 30, 2020, cash collateral received that has not been offset against our derivatives of $323 million was recorded in Accrued liabilities and Other assets. The following tables summarize the location and impact to the Consolidated Statement of Operations related to fair value and cash flow hedging relationships: Three Months Ended September 30, 2020 Revenue Cost of Products Sold Selling, General and Administrative Expenses Other (Income) Expense Interest and Other Financial Charges $ 7,797 $ 4,315 $ 1,103 $ 62 $ 101 Gain or (loss) on cash flow hedges: Foreign Currency Exchange Contracts: Amount reclassified from accumulated other comprehensive income into income (1) (1) (1) (35) — Amount excluded from effectiveness testing recognized in earnings using an amortization approach — 4 — 8 — Gain or (loss) on fair value hedges: Interest Rate Swap Agreements: Hedged items — — — — 13 Derivatives designated as hedges — — — — (13) Three Months Ended September 30, 2019 Revenue Cost of Products Sold Selling, General and Administrative Expenses Other (Income) Expense Interest and Other Financial Charges $ 9,086 $ 4,775 $ 1,296 $ (311) $ 96 Gain or (loss) on cash flow hedges: Foreign Currency Exchange Contracts: Amount reclassified from accumulated other comprehensive income into income 1 9 — 53 — Amount excluded from effectiveness testing recognized in earnings using an amortization approach — 6 — 9 — Gain or (loss) on fair value hedges: Interest Rate Swap Agreements: Hedged items — — — — (55) Derivatives designated as hedges — — — — 55 Nine Months Ended September 30, 2020 Revenue Cost of Products Sold Selling, General and Administrative Expenses Other (Income) Expense Interest and Other Financial Charges $ 23,737 $ 12,852 $ 3,524 (546) $ 264 Gain or (loss) on cash flow hedges: Foreign currency exchange contracts: Amount reclassified from accumulated other comprehensive income into income (2) 29 (4) (37) — Amount excluded from effectiveness testing recognized in earnings using an amortization approach — 12 — 25 — Gain or (loss) on fair value hedges: Interest rate swap agreements: Hedged items — — — — (206) Derivatives designated as hedges — — — — 206 Nine Months Ended September 30, 2019 Revenue Cost of Products Sold Selling, General and Administrative Expenses Other (Income) Expense Interest and Other Financial Charges $ 27,213 $ 14,244 $ 4,046 $ (901) $ 266 Gain or (loss) on cash flow hedges: Foreign currency exchange contracts: Amount reclassified from accumulated other comprehensive income into income 2 33 1 77 — Amount excluded from effectiveness testing recognized in earnings using an amortization approach — 17 — 27 — Gain or (loss) on fair value hedges: Interest rate swap agreements: Hedged items — — — — (118) Derivatives designated as hedges — — — — 118 The following table summarizes the amounts of gain or (loss) on net investment hedges recognized in Accumulated other comprehensive income (loss): Three Months Ended September 30, Nine Months Ended September 30, Derivatives Net Investment Hedging Relationships 2020 2019 2020 2019 Euro-denominated long-term debt $ (126) $ 131 $ (64) $ 157 Euro-denominated commercial paper (25) 136 30 163 Cross currency swap (42) 39 (61) 44 Foreign currency exchange contracts (28) 23 (46) 28 |
ACCUMULATED OTHER COMPREHENSIVE
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) | 9 Months Ended |
Sep. 30, 2020 | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
Accumulated Other Comprehensive Income (Loss) | Note 13. Accumulated Other Comprehensive Income (Loss) Changes in Accumulated Other Comprehensive Income (Loss) by Component Foreign Pension Changes in Total Balance at December 31, 2019 $ (2,566) $ (675) $ 44 $ (3,197) Other comprehensive income (loss) before reclassifications (227) — 50 (177) Amounts reclassified from accumulated other comprehensive income (10) (60) 8 (62) Net current period other comprehensive income (loss) (237) (60) 58 (239) Balance at September 30, 2020 $ (2,803) $ (735) $ 102 $ (3,436) Foreign Pension Changes in Total Balance at December 31, 2018 $ (2,709) $ (761) $ 33 $ (3,437) Other comprehensive income (loss) before reclassifications 188 — 110 298 Amounts reclassified from accumulated other comprehensive income (11) (59) (86) (156) Net current period other comprehensive income (loss) 177 (59) 24 142 Balance at September 30, 2019 $ (2,532) $ (820) $ 57 $ (3,295) |
SEGMENT FINANCIAL DATA
SEGMENT FINANCIAL DATA | 9 Months Ended |
Sep. 30, 2020 | |
Segment Reporting [Abstract] | |
Segment Financial Data | Note 14. Segment Financial Data Honeywell globally manages our business operations through four reportable operating segments. Segment information is consistent with how management reviews the businesses, makes investing and resource allocation decisions and assesses operating performance. Honeywell’s senior management evaluates segment performance based on segment profit. Each segment’s profit is measured as segment income (loss) before taxes excluding general corporate unallocated expense, interest and other financial charges, stock compensation expense, pension and other postretirement income (expense), repositioning and other charges, and other items within Other (income) expense. Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Net sales Aerospace Products $ 1,623 $ 2,213 $ 5,335 $ 6,462 Services 1,039 1,331 3,231 3,931 Total 2,662 3,544 8,566 10,393 Honeywell Building Technologies Products 972 1,091 2,807 3,283 Services 333 324 956 971 Total 1,305 1,415 3,763 4,254 Performance Materials and Technologies Products 1,803 2,129 5,510 6,437 Services 449 541 1,357 1,540 Total 2,252 2,670 6,867 7,977 Safety and Productivity Solutions Products 1,487 1,360 4,281 4,314 Services 91 97 260 275 Total 1,578 1,457 4,541 4,589 $ 7,797 $ 9,086 $ 23,737 $ 27,213 Segment profit Aerospace $ 617 $ 908 $ 2,082 $ 2,653 Honeywell Building Technologies 282 297 794 868 Performance Materials and Technologies 442 582 1,373 1,790 Safety and Productivity Solutions 219 195 610 598 Corporate (7) (54) (73) (202) Total segment profit 1,553 1,928 4,786 5,707 Interest and other financial charges (101) (96) (264) (266) Stock compensation expense (a) (40) (37) (118) (112) Pension ongoing income (b) 197 150 593 449 Other postretirement income (b) 13 12 40 35 Repositioning and other charges (c) (144) (96) (486) (306) Other (d) (330) 106 (249) 284 Income before taxes $ 1,148 $ 1,967 $ 4,302 $ 5,791 (a) Amounts included in Selling, general and administrative expenses. (b) Amounts included in Cost of products and services sold and Selling, general and administrative expenses (service costs) and Other income/expense (non-service cost components). |
PENSION BENEFITS
PENSION BENEFITS | 9 Months Ended |
Sep. 30, 2020 | |
Retirement Benefits, Description [Abstract] | |
Pension Benefits | Note 15. Pension Benefits Net periodic pension benefit costs for the Company's significant defined benefit plans include the following components: U.S. Plans Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Service cost $ 25 $ 21 $ 74 $ 63 Interest cost 116 153 346 460 Expected return on plan assets (284) (279) (851) (837) Amortization of prior service (credit) (11) (11) (32) (33) $ (154) $ (116) $ (463) $ (347) Non-U.S. Plans Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Service cost $ 6 $ 4 $ 17 $ 16 Interest cost 26 34 78 106 Expected return on plan assets (84) (81) (249) (248) Amortization of prior service (credit) — — — — $ (52) $ (43) $ (154) $ (126) During the three months ended September 30, 2020, the Company did not purchase any Honeywell shares from the Honeywell U.S. Pension Plan Master Trust. During the nine months ended September 30, 2020, the Company repurchased $100 million of outstanding Honeywell shares from the Honeywell U.S. Pension Plan Master Trust. During the three and nine months ended September 30, 2019, the Company repurchased $100 million and $300 million of outstanding Honeywell shares from the Honeywell U.S. Pension Plan Master Trust. |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 9 Months Ended |
Sep. 30, 2020 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Note 16. Commitments and Contingencies Environmental Matters Our environmental matters are described in Note 20 Commitments and Contingencies of Notes to Consolidated Financial Statements in our 2019 Annual Report on Form 10-K. The following table summarizes information concerning our recorded liabilities for environmental costs: December 31, 2019 $ 709 Accruals for environmental matters deemed probable and reasonably estimable 127 Environmental liability payments (166) Other (4) September 30, 2020 $ 666 Environmental liabilities are included in the following balance sheet accounts: September 30, 2020 December 31, 2019 Accrued liabilities $ 222 $ 222 Other liabilities 444 487 $ 666 $ 709 The Company does not currently possess sufficient information to reasonably estimate the amounts of environmental liabilities to be recorded upon future completion of studies, litigation or settlements, and neither the timing nor the amount of the ultimate costs associated with environmental matters can be determined although they could be material to our consolidated results of operations and operating cash flows in the periods recognized or paid. However, considering our past experience and existing reserves, the Company does not expect that environmental matters will have a material adverse effect on its consolidated financial position. In conjunction with the Resideo Technologies, Inc. (Resideo) spin-off, the Company entered into an indemnification and reimbursement agreement with a Resideo subsidiary, pursuant to which Resideo’s subsidiary has an ongoing obligation to make cash payments to Honeywell in amounts equal to 90 percent of Honeywell’s annual net spending for environmental matters at certain sites as defined in the agreement. The amount payable to Honeywell in any given year is subject to a cap of $140 million, and the obligation will continue until the earlier of December 31, 2043, or December 31 of the third consecutive year during which the annual payment obligation is less than $25 million. Reimbursements associated with this agreement are collected from Resideo quarterly and were $70 million in the nine months ended September 30, 2020. On July 28, 2020, the Company and Resideo agreed to a second amendment of the indemnification and reimbursement agreement to extend the payment due date to October 30, 2020 for the reimbursement amount of $35 million (originally due on April 30, 2020). The Company had previously agreed to extend the payment date for such amount to July 30, 2020. As the Company incurs costs for environmental matters deemed probable and reasonably estimable related to the sites covered by the indemnification and reimbursement agreement, a corresponding receivable from Resideo for 90 percent of such costs is also recorded. This receivable amount recorded in the nine months ended September 30, 2020 was $107 million. As of September 30, 2020, Other Current Assets and Other Assets include $140 million and $482 million, respectively for the short-term and long-term portion of the receivable amount due from Resideo under the indemnification and reimbursement agreement. Asbestos Matters Honeywell is named in asbestos related personal injury claims related to North American Refractories Company (NARCO), which was sold in 1986, and Bendix Friction Materials (Bendix) business, which was sold in 2014. The following tables summarize information concerning NARCO and Bendix asbestos-related balances: Asbestos-Related Liabilities Bendix NARCO Total December 31, 2019 $ 1,499 $ 858 $ 2,357 Accrual for update to estimated liability 45 14 59 Asbestos related liability payments (143) (67) (210) September 30, 2020 $ 1,401 $ 805 $ 2,206 Insurance Recoveries for Asbestos-Related Liabilities Bendix NARCO Total December 31, 2019 $ 153 $ 281 $ 434 Probable insurance recoveries related to estimated liability — — — Insurance receipts for asbestos-related liabilities (10) (7) (17) Insurance receivables settlements — (1) (1) September 30, 2020 $ 143 $ 273 $ 416 NARCO and Bendix asbestos-related balances are included in the following balance sheet accounts: September 30, 2020 December 31, 2019 Other current assets $ 42 $ 42 Insurance recoveries for asbestos-related liabilities 374 392 $ 416 $ 434 Accrued liabilities $ 361 $ 361 Asbestos-related liabilities 1,845 1,996 $ 2,206 $ 2,357 NARCO Products – Honeywell’s predecessor, Allied Corporation owned NARCO from 1979 to 1986. When the NARCO business was sold, Honeywell’s predecessor entered into a cross-indemnity agreement with NARCO which included an obligation to indemnify the purchaser for asbestos claims. Such claims arise primarily from alleged occupational exposure to asbestos-containing refractory brick and mortar for high-temperature applications. NARCO ceased manufacturing these products in 1980, and the first asbestos claims were filed in the tort system against NARCO in 1983. Claims filings and related costs increased dramatically in the late 1990s through 2001, which led to NARCO filing for bankruptcy in January 2002. Once NARCO filed for bankruptcy, all then current and future NARCO asbestos claims were stayed against both NARCO and Honeywell pending the reorganization of NARCO. Following the bankruptcy filing, in December 2002 Honeywell recorded a total NARCO asbestos liability of $3.2 billion, which was comprised of three components: (i) the estimated liability to settle pre-bankruptcy petition NARCO claims and certain post-petition settlements ($2.2 billion, referred to as “Pre-bankruptcy NARCO Liability”), (ii) the estimated liability related to then unasserted NARCO claims for the period 2004 through 2018 ($950 million, referred to as “NARCO Trust Liability”), and (iii) other NARCO bankruptcy-related obligations totaling $73 million. When the NARCO Trust Liability of $950 million was established in 2002, the methodology for estimating the potential liability was based primarily on: (a) epidemiological projections of the future incidence of disease for the period 2004 through 2018, a fifteen-year period; (b) historical claims rates in the tort system for the five-year period prior to the bankruptcy filing date; and (c) anticipated NARCO Trust payment values set forth in the then current draft of the NARCO Trust Distribution Procedures. The methodology required estimating, by disease, three critical inputs: (i) likely number of claims to be asserted against the NARCO Trust in the future, (ii) percentage of those claims likely to receive payment, and (iii) payment values. The Company utilized outside asbestos liability valuation specialists to support its preparation of the NARCO Trust Liability estimate, which was based on a commonly accepted methodology used by numerous bankruptcy courts addressing 524(g) trusts. In 2002, when the Company first established its initial liability, NARCO asbestos claims resolution shifted from the tort system to an anticipated NARCO Trust framework, where claims would be processed in accordance with established NARCO Trust Distribution Procedures, including strict medical and exposure criteria for a plaintiff to receive compensation. The Company believed at the time that the NARCO Trust’s claims filing and resolution experience after the NARCO Trust became operational would be significantly different from pre-bankruptcy tort system experience in light of these more rigorous claims processing requirements in the NARCO Trust Distribution Procedures and Honeywell’s active oversight of claims processing and approval. Given these anticipated differences, the Company believed that a 15-year time period was the appropriate horizon for establishing a probable and reasonably estimable liability for then unasserted NARCO claims as it represented its best estimate of the time period it would take for the NARCO Trust to be approved by the Bankruptcy Court, become fully operational and generate sufficiently reliable claims data (i.e., a data set which is statistically representative) to enable the Company to update its NARCO Trust Liability. The NARCO Trust Distribution Procedures were finalized in 2006, and the Company updated its NARCO Trust Liability to reflect the final terms and payment values. The original 15-year period (from 2004 through 2018) for unasserted claims did not change as asbestos claims filings continued to be stayed against both Honeywell and NARCO. The 2006 update resulted in a range of the estimated liability for unasserted claims of $743 million to $961 million, and the Company believed that no amount within this range was a better estimate than any other amount. In accordance with ASC 450 – Contingencies (ASC 450), the Company recorded the low end of the range of $743 million (the "2006 NARCO Trust Liability Estimate") which resulted in a reduction of $207 million in our NARCO Trust Liability. NARCO emerged from bankruptcy on April 30, 2013, at which time a federally authorized 524(g) trust was established for the evaluation and resolution of all existing and future NARCO asbestos claims. Both Honeywell and NARCO are protected by a permanent channeling injunction barring all present and future individual actions in state or federal courts and requiring all asbestos-related claims based on exposure to NARCO asbestos-containing products to be made against the NARCO Trust. The NARCO Trust Agreement and the NARCO Trust Distribution Procedures are the principal documents setting forth the structure of the NARCO Trust. These documents establish Honeywell’s evergreen funding obligations. Honeywell is obligated to fund NARCO asbestos claims submitted to the NARCO Trust which qualify for payment under the Trust Distribution Procedures (Annual Contribution Claims), subject to an annual cap of $145 million. However, the initial $100 million of claims processed through the NARCO Trust (the "Initial Claims Amount") will not count against the annual cap and any unused portion of the Initial Claims Amount will roll over to subsequent years until fully utilized. These documents also establish the material operating rules for the NARCO Trust, including Honeywell audit rights and the criteria claimants must meet to have a valid claim paid. These claims payment criteria include providing the NARCO Trust with adequate medical evidence of the claimant’s asbestos-related condition and credible evidence of exposure to a specific NARCO asbestos-containing product. Further, the NARCO Trust is eligible to receive cash dividends from Harbison-Walker International Inc (HWI), the reorganized and renamed entity that emerged, fully operational, from the NARCO bankruptcy. The NARCO Trust is required to use any funding received from HWI to pay Annual Contribution Claims until those funds are exhausted. It is only at this point that Honeywell’s funding obligation to the Trust is triggered. Thus, there is an unrelated primary source for funding that affects Honeywell’s funding of the NARCO Trust Liability. Once operational, the NARCO Trust began to receive, process and pay claims that had been previously stayed pending the Trust becoming operational. As the NARCO Trust began to pay claims in 2014, the Company began to assert our on-going audit rights to review and monitor the claims processor’s adherence to the established requirements of the NARCO Trust Distribution Procedures. While doing so, the Company identified several issues with the way the Trust was implementing the NARCO Trust Distribution Procedures. In 2015, Honeywell filed suit against the NARCO Trust in Bankruptcy Court alleging breach of certain provisions of the NARCO Trust Agreement and NARCO Trust Distribution Procedures. The parties agreed to dismiss the proceeding without prejudice pursuant to an 18-month Standstill Agreement, which expired in October 2017. Notwithstanding its expiration, claims processing continues, and Honeywell continues to negotiate and attempt to resolve remaining disputed issues (that is, instances where Honeywell believes the NARCO Trust is not processing claims in accordance with established NARCO Trust Distribution Procedures). Honeywell reserves the right to seek judicial intervention should negotiations fail. After the NARCO Trust became effective in 2013, the $743 million NARCO Trust Liability was then comprised of: (i) liability for unasserted claims; and (ii) liability for claims asserted after the NARCO Trust became operational but not yet paid. Although we know the number of claims filed with the NARCO Trust each year, the Company is not able to determine at this time the portion of the NARCO Trust Liability which represents asserted versus unasserted claims due to the lack of sufficiently reliable claims data because of the claims processing issues described previously. Honeywell continues to maintain the 2006 NARCO Trust Liability Estimate (the $743 million accrual less payments made by Honeywell to the NARCO Trust for Annual Contribution Claims since the beginning of the fourth quarter of 2019), as there has not been sufficiently reliable claims data history to enable the Company to update that liability. As of December 31, 2019, all cash dividends paid to the NARCO Trust by HWI had been used to pay Annual Contribution Claims. In the nine months ended September 30, 2020, Honeywell funded $54 million to the NARCO Trust for the payment of Annual Contribution Claims. As of September 30, 2020, the Company's total NARCO asbestos liability of $805 million reflects Pre-bankruptcy NARCO Liability of $145 million and NARCO Trust Liability of $660 million (the $743 million accrual for the 2006 NARCO Trust Liability Estimate was reduced by $83 million of payments by Honeywell to the NARCO Trust for Annual Contribution Claims since HWI cash dividend funding was fully exhausted in the fourth quarter of 2019 and there have been no further dividends from HWI). Through September 30, 2020, Pre-bankruptcy NARCO Liability has been reduced by approximately $2 billion since first established in 2002, largely related to settlement payments. The remaining Pre-bankruptcy NARCO Liability principally represents estimated amounts owed pursuant to settlement agreements reached during the pendency of the NARCO bankruptcy proceedings that provide for the right to submit claims to the NARCO Trust subject to qualification under the terms of the settlement agreements and Trust Distribution Procedures. The other NARCO bankruptcy related obligations were paid in 2013 and no further liability is recorded. Honeywell continues to evaluate the appropriateness of the 2006 NARCO Trust Liability Estimate. Despite becoming effective in 2013, the NARCO Trust has experienced delays in becoming fully operational. Violations of the Trust Distribution Procedures and the resulting disputes and challenges, a standstill pending dispute resolution, and limited claims payments, have all contributed to the lack of sufficient normalized data based on actual claims processing experience in the Trust since it became operational. As a result, Honeywell has not been able to further update the NARCO Trust Liability aside from deducting Honeywell payments to the NARCO Trust for Annual Contribution Claims. The 2006 NARCO Trust Liability Estimate continues to be appropriate because of the unresolved pending claims in the Trust, some portion of which will result in payouts in the future, and because new claims continue to be filed with the NARCO Trust. When sufficiently reliable claims data exists, the Company will update its estimate of the NARCO Trust Liability and it is possible that a material change may need to be recognized. Our insurance receivable of $273 million as of September 30, 2020, corresponding to the estimated liability for asserted and unasserted NARCO asbestos claims, reflects coverage which reimburses Honeywell for portions of NARCO-related indemnity and defense costs and is provided by a large number of insurance policies written by dozens of insurance companies in both the domestic insurance market and the London excess market. Honeywell conducts analyses to estimate the probable amount of insurance that is recoverable for asbestos claims. While the substantial majority of our insurance carriers are solvent, some of our individual carriers are insolvent, which has been considered in our analysis of probable recoveries. Honeywell made judgments concerning insurance coverage that Honeywell believes are reasonable and consistent with Honeywell's historical dealings and Honeywell's knowledge of any pertinent solvency issues surrounding insurers. Bendix Products —Bendix manufactured automotive brake linings that contained chrysotile asbestos in an encapsulated form. Claimants consist largely of individuals who allege exposure to asbestos from brakes from either performing or being in the vicinity of individuals who performed brake replacements. The following tables present information regarding Bendix-related asbestos claims activity: Nine Months Ended Years Ended Claims Activity 2020 2019 2018 Claims unresolved at the beginning of period 6,480 6,209 6,280 Claims filed 1,621 2,659 2,430 Claims resolved (1,680) (2,388) (2,501) Claims unresolved at the end of period 6,421 6,480 6,209 Disease Distribution of Unresolved Claims September 30, December 31, 2020 2019 2018 Mesothelioma and other cancer claims 3,404 3,399 2,949 Nonmalignant claims 3,017 3,081 3,260 Total claims 6,421 6,480 6,209 Honeywell has experienced average resolution values per claim excluding legal costs as follows: Years Ended December 31, 2019 2018 2017 2016 2015 (in whole dollars) Malignant claims $ 50,200 $ 55,300 $ 56,000 $ 44,000 $ 44,000 Nonmalignant claims $ 3,900 $ 4,700 $ 2,800 $ 4,485 $ 100 It is not possible to predict whether resolution values for Bendix-related asbestos claims will increase, decrease or stabilize in the future. The Company's Consolidated Financial Statements reflect an estimated liability for resolution of asserted (claims filed as of the financial statement date) and unasserted Bendix-related asbestos claims and excludes the Company’s ongoing legal fees to defend such asbestos claims which will continue to be expensed as they are incurred. The Company has valued Bendix asserted and unasserted claims using average resolution values for the previous five years. The Company updates the resolution values used to estimate the cost of Bendix asserted and unasserted claims during the fourth quarter each year. Honeywell reflects the inclusion of all years of epidemiological disease projection through 2059 when estimating the liability for unasserted Bendix-related asbestos claims. Such liability for unasserted Bendix-related asbestos claims is based on historic and anticipated claims filing experience and dismissal rates, disease classifications, and resolution values in the tort system for the previous five years. The Company's insurance receivable corresponding to the liability for settlement of asserted and unasserted Bendix asbestos claims reflects coverage which is provided by a large number of insurance policies written by dozens of insurance companies in both the domestic insurance market and the London excess market. Based on our ongoing analysis of the probable insurance recovery, insurance receivables are recorded in the financial statements simultaneous with the recording of the estimated liability for the underlying asbestos claims. This determination is based on the Company's analysis of the underlying insurance policies, the Company's historical experience with our insurers, the Company's ongoing review of the solvency of its insurers, judicial determinations relevant to our insurance programs, and the Company's consideration of the impacts of any settlements reached with its insurers. On October 31, 2018, David Kanefsky, a Honeywell shareholder, filed a putative class action complaint in the U.S. District Court for the District of New Jersey alleging violations of the Securities Exchange Act of 1934 and Rule 10b-5 related to the prior accounting for Bendix asbestos claims. An Amended Complaint was filed on December 30, 2019, and on February 7, 2020, we filed a Motion to Dismiss. On May 18, 2020, the court denied our Motion to Dismiss. We believe the claims have no merit. Garrett Matter In conjunction with the Garrett spin-off, the Company entered into a binding indemnification and reimbursement agreement (“Garrett Indemnity”) with a Garrett subsidiary, pursuant to which Garrett’s subsidiary has an ongoing obligation to make cash payments to Honeywell in amounts equal to (i) 90% of Honeywell’s asbestos-related liability payments primarily related to the Bendix business in the United States, as well as certain environmental-related liability payments and accounts payable and non-United States asbestos-related liability payments, including the legal costs of defending and resolving such liabilities, less (ii) 90% of Honeywell’s net insurance receipts and, as may be applicable, certain other recoveries associated with such liabilities. The amount payable to Honeywell in respect of such liabilities arising in any given year is subject to a cap of approximately Euro 150 million (equivalent to $175 million at the time the Garrett Indemnity was entered into). The obligation under the terms of the Garrett Indemnity continues until the earlier of December 31, 2048, or December 31 of the third consecutive year during which the annual obligation is less than the Euro equivalent, at the fixed exchange rate at the time the indemnification and reimbursement agreement was entered into, of $25 million. Prior to the Garrett filing described below, on June 12, 2020, the Company and Garrett entered into an amendment of the Garrett Indemnity in connection with Garrett’s amendment of its 2018 credit agreement. These amendments provided Garrett with temporary financial covenant relief with respect to the total leverage and interest coverage ratios, for a period that could extend to as late as June 30, 2022. Garrett’s payments to the Company under the Garrett Indemnity were deferred to the extent Garrett is (or to the extent such payments would cause Garrett to be) out of compliance with the original financial covenants and resume to the extent Garrett is in compliance with such original financial covenants. Any deferred amounts were to be paid to the extent Garrett was in compliance with such original financial covenants and had available capacity to make such payments pursuant to the terms of the indemnification and reimbursement agreement and its current credit agreement. The receivable amount recorded in connection with the Garrett Indemnity in the nine months ended September 30, 2020 was $38 million. Amounts associated with the Garrett Indemnity are scheduled under the agreement to be collected from Garrett quarterly, and because of the extension referenced above and below, such amounts were $36 million in the nine months ended September 30, 2020. In conjunction with the spin-off, Honeywell also entered into a binding tax matters agreement with Garrett and a Garrett subsidiary (the “Tax Matters Agreement”). The Tax Matters Agreement generally provides that Garrett is responsible and must indemnify Honeywell for all ordinary operating taxes, including income taxes, sales taxes, value-added taxes ("VAT") and payroll taxes, relating to Garrett for all periods, including periods prior to the spin-off, to the extent not paid prior to the spin-off date. In addition, among other items, as a result of the mandatory transition tax imposed by the Tax Cuts and Jobs Act, Garrett is required to make payments to Honeywell in the amount representing the net tax liability of Honeywell under the mandatory transition tax attributable to Garrett. As of September 30, 2020, the Company’s receivables prior to the adjustments described herein from Garrett and/or certain of its subsidiaries were collectively as follows: September 30, 2020 Garrett Indemnification and Reimbursement $ 1,121 Tax Matters Agreement 273 Other Receivables, net 13 Total Reimbursement Receivables $ 1,407 Garrett Litigation and Bankruptcy Proceedings On December 2, 2019, Garrett Motion Inc. and Garrett ASASCO Inc. filed a Summons with Notice and commenced a lawsuit in the Commercial Division of the Supreme Court of the State of New York, County of New York (the “State Court”), seeking to invalidate the Garrett Indemnity. Garrett seeks damages and a declaratory judgment based on various claims set forth in the Summons with Notice. On January 15, 2020, Garrett filed its complaint in the action, which asserted the same claims, and on March 5, 2020, we filed a Motion to Dismiss. To date, Garrett has not filed a response to the Motion to Dismiss. On June 12, 2020, given the challenges of operating in the COVID-19 environment, Honeywell and Garrett entered into a litigation status agreement pursuant to which (i) the parties agreed to make good faith efforts to limit near-term litigation spend on this matter, and (ii) the Company agreed to extend both the $2 million payment owed by Garrett to the Company on May 1, 2020 under the Garrett Indemnity and the $18 million payment owed by Garrett to the Company on April 1, 2020 under the Tax Matters Agreement until December 31, 2020 (which amounts, as previously disclosed, had been deferred to May 31, 2020). On July 17, 2020, the Company received a notice from Garrett asserting that Honeywell has caused material breaches of the Tax Matters Agreement and that the Tax Matters Agreement is unenforceable. On September 23, 2020, Garrett removed the existing State Court litigation against Honeywell to the Bankruptcy Court (as defined below). Honeywell moved to dismiss all of Garrett’s claims on October 13, 2020. Honeywell’s motion to dismiss is currently set for a hearing on November 18, 2020, subject to further direction from the Bankruptcy Court. Honeywell strongly believes that Garrett's allegations have no merit, nor are they material to Honeywell. We believe we have fully complied with our obligations under the indemnification and reimbursement agreement and the Tax Matters Agreement and that both agreements are valid and enforceable. On September 20, 2020, Garrett and 36 of its affiliates filed voluntary petitions for relief under Chapter 11 of the United States Bankruptcy Code in the United States Bankruptcy Court for the Southern District of New York (the “Bankruptcy Court”). Based on its bankruptcy filings, Garrett is proposing to sell its business while in bankruptcy, and Garrett entered into a Share and Asset Purchase Agreement, dated as of September 20, 2020 (the “Proposed Stalking Horse Bid”), with KPS Capital Partners, LP (“KPS”) and filed proposed bidding procedures for an auction and other procedures related to the proposed sale. As most recently amended, the Proposed Stalking Horse Bid contemplates a proposed purchase of Garrett’s business for $2.6 billion and includes as part of the sale certain claims and causes of action against Honeywell and others arising out of the spin-off, with details related to this aspect of its proposed sale structure to be forthcoming. Garrett also entered into a restructuring support agreement (“RSA”) with holders of approximately 61% of its outstanding senior secured debt which contemplates that Garrett will file and seek approval of a restructuring plan that implements the sale of Garrett’s business, pays Garrett’s secured creditors in full and pays at least 90% of Garrett's unsecured notes obligations from the cash from the sale, provides Garrett’s current stockholders an opportunity to co-invest up to $350 million in the purchase of common stock of a new company organized by KPS to purchase Garrett’s business on same terms as KPS, and includes as part of the sale certain claims and causes of action against Honeywell and others arising out of the spin-off, with details related to this aspect of its proposed sale structure to be forthcoming. On October 23, 2020, the Bankruptcy Court approved “stalking horse” bidding protections for KPS, including a $63 million termination fee and expense reimbursement (subject to a limit of $21 million). The Proposed Stalking Horse Bid and restructuring plan remain subject to Bankruptcy Court approval. KPS’s purchase of Garrett's business remains subject to competing bids and Bankruptcy Court approval, as well as customary regulatory approvals and other customary conditions. Garrett’s operations are expected to proceed, without interruption, during the bankruptcy proceedings. In October 2020, Honeywell signed a coordination agreement with Oaktree Capital Management, L.P. ("Oaktree") and Centerbridge Partners, L.P. ("Centerbridge"), which since has also been signed by equity holders representing approximately 50% of Garrett’s outstanding common stock. The coordination agreement supports a proposed plan of reorganization (the “Plan”) that would allow Honeywell to recover over time a significant portion of the receivable amounts owed to Honeywell (the “Alternative Proposal”). As currently contemplated, the Alternative Proposal provides that, if the Plan is approved, Honeywell would receive an initial payment of $275 million in cash and new series B preferred stock of reorganized Garrett. In total, the Alternative Proposal would provide for cash payments totaling $1.45 billion comprising the initial cash payment of $275 million and $1.175 billion paid over a twelve-year period ending December 31, 2034 (unless a discounted amount is paid earlier pursuant to certain put, call or acceleration provisions). These cash payments would be paid in full and final satisfaction of Garrett’s obligations to Honeywell under the indemnification and reimbursement agreement and tax matters agreement. Under the Alternative Proposal, both agreements would be terminated in connection with Bankruptcy Court confirmation of the Alternative Proposal. In addition, under the Alternative Proposal, Garrett’s secured creditors and unsecured notes obligations would be paid in full, and equity would be reinstated. The Alternative Proposal remains subject to various conditions and milestones, as well as Bankruptcy Court approval, and Garrett has not accepted the Alternative Proposal to date. There can be no assurance that a plan of reorganization incorporating the terms contemplated by the Alternative Proposal will be approved and confirmed by the Bankruptcy Court. Garrett is early in the bankruptcy proceedings and the ultimate outcome of such proceedings is uncertain. We regularly review the aggregate carrying value of the receivable amounts due in connection with the Garrett Indemnity and the Tax Matters Agreement. Following Garrett’s bankruptcy filing, Honeywell's review has taken into account, among other things, the potential enterprise value of the Garrett business based on publicly available information, Garrett’s implied enterprise value under the Alternative Proposal (which supports our independent assessment), the possibility that there will be additional bids and/or other plan proposals that Honeywell believes should reflect the enterprise value of Garrett’s business, and the significant uncertainties associated with the potential outcomes of the Garrett bankruptcy proceedings. Based on such review, we currently believe that we will be able to recover a significant portion, but potentially not all, of the receivable amounts owed to us under the agreements with Garrett. As such, and based on the assumption that the Bankruptcy Court will approve a plan that reflects an enterprise value for Garrett that meets or exceeds Honeywell's best estimate, Honeywell has recorded an adjustment of $350 million to lower the aggregate carrying balance of the receivable amounts due in connection with the Garrett Indemnity and the Tax Matters Agreement. Honeywell recorded a corresponding, non-cash charge in our statement of operations in the third quarter of 2020 in the amount of $350 million. This amount represents the difference between the approximately $1.4 billion carrying value of the undiscounted receivables owed to Honeywell by Garrett under these agreements and the present value of amounts owed to us over the full term of these existing agreements. The ultimate outcome of the bankruptcy process is uncertain. Depending on the transaction and/or plan of reorganization ultimately approved and confirmed by the Bankruptcy Court, the amount collected could be more or less than such reduced amount of the remaining receivable amounts recorded in our financial statements. There are currently two competing proposals, the Proposed Stalking Horse Bid and the Alternative Proposal (the "Competing Proposals") which bot |
SUMMARY OF SIGNIFICANT ACCOUN_2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 9 Months Ended |
Sep. 30, 2020 | |
Accounting Policies [Abstract] | |
Reclassifications | Reclassifications —Certain prior year amounts have been reclassified to conform to the current year presentation. |
Recent Accounting Pronouncements | Recent Accounting Pronouncements —The Company considers the applicability and impact of all Accounting Standards Updates (ASUs) issued by the Financial Accounting Standards Board (FASB). ASUs not listed below were assessed and determined to be either not applicable or are expected to have minimal impact on our consolidated results of operations, financial position and cash flows (Consolidated Financial Statements). In December 2019, the FASB issued an accounting standard update to simplify the accounting for income taxes. The standard's amendments include changes in various subtopics of accounting for income taxes including, but not limited to, accounting for "hybrid" tax regimes, tax basis step-up in goodwill obtained in a transaction that is not a business combination, intraperiod tax allocation exception to incremental approach, ownership changes in investments, interim-period accounting for enacted changes in tax law, and year-to-date loss limitation in interim-period tax accounting. The guidance is effective for fiscal years beginning after December 15, 2020 with early adoption permitted, including the interim periods within those years. The Company is currently evaluating impacts of these amendments on the Company's Consolidated Financial Statements, and related notes to the Financial Statements. The Company does not expect the adoption of this standard to have a material impact on the Company's Consolidated Financial Statements. In June 2016, the FASB issued an accounting standard that requires companies to utilize an impairment model (current expected credit loss, or CECL) for most financial assets measured at amortized cost and certain other financial instruments, which include, but are not limited to, trade and other receivables. This accounting standard replaced the incurred loss model with a model that reflects expected credit losses and requires consideration of a broader range of reasonable and supportable information to estimate those losses. Effective January 1, 2020, the Company adopted this standard. The adoption of this standard did not have a material impact on the Company's Consolidated Financial Statements. |
REPOSITIONING AND OTHER CHARG_2
REPOSITIONING AND OTHER CHARGES (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Restructuring and Related Activities [Abstract] | |
Repositioning and other charges | A summary of repositioning and other charges follows: Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Severance $ 113 $ 41 $ 433 $ 147 Asset impairments 5 15 11 26 Exit costs 17 33 47 62 Reserve adjustments (11) (3) (42) (7) Total net repositioning charge 124 86 449 228 Asbestos related litigation charges, net of insurance and reimbursements 13 9 33 26 Probable and reasonably estimable environmental liabilities, net of reimbursements 6 6 20 59 Other 1 (5) (16) (7) Total net repositioning and other charges $ 144 $ 96 $ 486 $ 306 |
Pretax distribution of total net repositioning and other charges by income statement classification | The following table summarizes the pretax distribution of total net repositioning and other charges by classification: Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Cost of products and services sold $ 91 $ 75 $ 286 $ 204 Selling, general and administrative expenses 53 21 200 102 $ 144 $ 96 $ 486 $ 306 |
Pretax Impact of Total Net Repositioning and Other Charges by Segment | The following table summarizes the pretax impact of total net repositioning and other charges by segment: Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Aerospace $ 33 $ 12 $ 151 $ 32 Honeywell Building Technologies 29 28 87 36 Performance Materials and Technologies 34 28 139 61 Safety and Productivity Solutions 15 6 32 54 Corporate 33 22 77 123 $ 144 $ 96 $ 486 $ 306 |
Total Repositioning Reserves | The following table summarizes the status of the Company's total repositioning reserves: Severance Asset Exit Total December 31, 2019 $ 555 $ — $ 96 $ 651 Charges 433 11 47 491 Usage - cash (343) — (56) (399) Usage - noncash — (11) — (11) Foreign currency translation 9 — — 9 Adjustments (40) — (2) (42) September 30, 2020 $ 614 $ — $ 85 $ 699 |
OTHER (INCOME) EXPENSE (Tables)
OTHER (INCOME) EXPENSE (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Other Income and Expenses [Abstract] | |
Other (income) expense [Table Text Block] | Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Interest income $ (20) $ (64) $ (86) $ (194) Pension ongoing income – non-service (238) (180) (711) (549) Other postretirement income – non-service (13) (12) (40) (35) Equity income of affiliated companies (17) (13) (44) (33) Loss (gain) on sale of non-strategic business and assets — — — (1) Foreign exchange (1) (43) (16) (97) Reimbursement receivables charge 350 — 350 — Other (net) 1 1 1 8 $ 62 $ (311) $ (546) $ (901) |
EARNINGS PER SHARE (Tables)
EARNINGS PER SHARE (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Earnings Per Share [Abstract] | |
Earnings per share basic | Three Months Ended September 30, Nine Months Ended September 30, Basic 2020 2019 2020 2019 Net income attributable to Honeywell $ 758 $ 1,624 $ 3,420 $ 4,581 Weighted average shares outstanding 702.6 717.6 704.8 723.5 Earnings per share of common stock $ 1.08 $ 2.26 $ 4.85 $ 6.33 |
Earnings per share diluted | Three Months Ended September 30, Nine Months Ended September 30, Assuming Dilution 2020 2019 2020 2019 Net income attributable to Honeywell $ 758 $ 1,624 $ 3,420 $ 4,581 Average Shares Weighted average shares outstanding 702.6 717.6 704.8 723.5 Dilutive securities issuable - stock plans 7.0 9.1 6.8 9.3 Total weighted average shares outstanding 709.6 726.7 711.6 732.8 Earnings per share of common stock $ 1.07 $ 2.23 $ 4.81 $ 6.25 |
REVENUE RECOGNITION AND CONTR_2
REVENUE RECOGNITION AND CONTRACTS WITH CUSTOMERS (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Revenue from Contract with Customer [Abstract] | |
Disaggregation of Revenue [Table Text Block] | See the following table and related discussions by operating segment for details. Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Aerospace Commercial Aviation Original Equipment $ 406 $ 772 $ 1,527 $ 2,265 Commercial Aviation Aftermarket 774 1,452 2,807 4,234 Defense and Space 1,482 1,320 4,232 3,894 2,662 3,544 8,566 10,393 Honeywell Building Technologies Products 751 823 2,163 2,476 Building Solutions 554 592 1,600 1,778 1,305 1,415 3,763 4,254 Performance Materials and Technologies UOP 461 717 1,572 2,030 Process Solutions 1,135 1,283 3,379 3,818 Specialty Products 261 256 786 790 Fluorine Products 395 414 1,130 1,339 2,252 2,670 6,867 7,977 Safety and Productivity Solutions Safety and Retail 599 558 1,612 1,653 Productivity Solutions and Services 322 307 877 926 Warehouse and Workflow Solutions 445 383 1,457 1,361 Sensing & Internet-of-Things (IoT) 212 209 595 649 1,578 1,457 4,541 4,589 Net sales $ 7,797 $ 9,086 $ 23,737 $ 27,213 Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Products, transferred point in time 61 % 62 % 61 % 61 % Products, transferred over time 15 13 15 14 Net product sales 76 75 76 75 Services, transferred point in time 7 8 8 9 Services, transferred over time 17 17 16 16 Net service sales 24 25 24 25 Net sales 100 % 100 % 100 % 100 % |
Contract with Customer Asset and Liability [Table Text Block] | The following table summarizes the Company's contract assets and liabilities balances: 2020 2019 Contract assets - January 1 $ 1,602 $ 1,548 Contract assets - September 30 1,819 1,812 Change in contract assets - increase (decrease) $ 217 $ 264 Contract liabilities - January 1 $ (3,501) $ (3,378) Contract liabilities - September 30 (3,666) (3,188) Change in contract liabilities - decrease (increase) $ (165) $ 190 Net change $ 52 $ 454 |
Revenue Remaining Performance Obligation Expected Timing of Satisfaction [Table Text Block] | The following table outlines the Company's remaining performance obligations disaggregated by segment: September 30, 2020 Aerospace $ 9,717 Honeywell Building Technologies 5,537 Performance Materials and Technologies 6,532 Safety and Productivity Solutions 3,858 $ 25,644 |
ACCOUNTS RECEIVABLE - NET (Tabl
ACCOUNTS RECEIVABLE - NET (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Receivables [Abstract] | |
Schedule of Accounts Receivables | September 30, 2020 December 31, 2019 Trade $ 7,064 $ 7,639 Less - Allowance for doubtful accounts (186) (146) $ 6,878 $ 7,493 |
INVENTORIES (Tables)
INVENTORIES (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Inventory Disclosure [Abstract] | |
Inventories | September 30, 2020 December 31, 2019 Raw materials $ 1,081 $ 1,056 Work in process 850 817 Finished products 2,774 2,593 4,705 4,466 Reduction to LIFO cost basis — (45) $ 4,705 $ 4,421 |
LEASES (Tables)
LEASES (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Leases [Abstract] | |
Lease, Cost [Table Text Block] | .Supplemental cash flow information related to leases was as follows: Nine Months Ended September 30, 2020 2019 Net right-of-use assets obtained in exchange for lease obligations: Operating leases 155 118 Finance leases 24 17 Supplemental balance sheet information related to leases was as follows: September 30, 2020 December 31, 2019 Operating leases Other assets $ 725 $ 673 Accrued liabilities 179 171 Other liabilities 597 534 Total operating lease liabilities $ 776 $ 705 Financing leases Property, plant and equipment $ 360 $ 361 Accumulated depreciation (171) (152) Property, plant and equipment - net $ 189 $ 209 Current maturities of long-term debt 61 59 Long-term debt 135 156 Total financing lease liabilities $ 196 $ 215 |
LONG-TERM DEBT AND CREDIT AGR_2
LONG-TERM DEBT AND CREDIT AGREEMENTS (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Debt Disclosure [Abstract] | |
Long-Term Debt | September 30, 2020 December 31, 2019 0.65% Euro notes due 2020 $ — $ 1,123 4.25% notes due 2021 800 800 1.85% notes due 2021 1,500 1,500 0.483% notes due 2022 2,500 — 2.15% notes due 2022 600 600 Floating rate notes due 2022 1,100 600 1.30% Euro notes due 2023 1,454 1,404 3.35% notes due 2023 300 300 0.00% Euro notes due 2024 582 — 2.30% notes due 2024 750 750 1.35% notes due 2025 1,250 — 2.50% notes due 2026 1,500 1,500 2.25% Euro notes due 2028 872 842 2.70% notes due 2029 750 750 1.95% notes due 2030 1,000 — 0.75% Euro notes due 2032 582 — 5.70% notes due 2036 441 441 5.70% notes due 2037 462 462 5.375% notes due 2041 417 417 3.812% notes due 2047 445 445 2.80% notes due 2050 750 — Industrial development bond obligations, floating rate maturing at various dates through 2037 22 22 6.625% debentures due 2028 201 201 9.065% debentures due 2033 51 51 Other (including capitalized leases and debt issuance costs), 8.0% weighted average maturing at various dates through 2025 343 278 18,672 12,486 Less: current portion (985) (1,376) $ 17,687 $ 11,110 |
FINANCIAL INSTRUMENTS AND FAI_2
FINANCIAL INSTRUMENTS AND FAIR VALUE MEASURES (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Fair Value Disclosures [Abstract] | |
Schedule of Fair Value Assets and Liabilities Measured on Recurring Basis [Table Text Block] | The following table sets forth the Company’s financial assets and liabilities accounted for at fair value on a recurring basis: September 30, 2020 December 31, 2019 Assets: Foreign currency exchange contracts $ 357 $ 291 Available for sale investments 1,160 1,523 Interest rate swap agreements 230 38 Cross currency swap agreements 10 51 Liabilities: Foreign currency exchange contracts $ 34 $ 21 Interest rate swap agreements — 13 |
Financial assets and liabilities that were not carried at fair value | The following table sets forth the Company’s financial assets and liabilities that were not carried at fair value: September 30, 2020 December 31, 2019 Carrying Fair Carrying Fair Assets Long-term receivables $ 148 $ 143 $ 129 $ 127 Liabilities Long-term debt and related current maturities $ 18,672 $ 20,084 $ 12,486 $ 13,578 |
Amounts recorded on the Consolidated Balance Sheet related to cumulative basis adjustments for fair value hedges [Table Text Block] | The following table sets forth the amounts on the Consolidated Balance Sheet related to cumulative basis adjustments for fair value hedges: Line in the Consolidated Balance Sheet of Hedged Item Carrying Amount of the Hedged Item Cumulative Amount of Fair Value Hedging Adjustment Included in the Carrying Amount of the Hedged Item September 30, 2020 December 31, 2019 September 30, 2020 December 31, 2019 Long-term debt $ 4,180 $ 3,975 $ 230 $ 25 |
Schedule of Cash Flow Hedging Instruments, Statements of Financial Performance and Financial Position, Location [Table Text Block] | The following tables summarize the location and impact to the Consolidated Statement of Operations related to fair value and cash flow hedging relationships: Three Months Ended September 30, 2020 Revenue Cost of Products Sold Selling, General and Administrative Expenses Other (Income) Expense Interest and Other Financial Charges $ 7,797 $ 4,315 $ 1,103 $ 62 $ 101 Gain or (loss) on cash flow hedges: Foreign Currency Exchange Contracts: Amount reclassified from accumulated other comprehensive income into income (1) (1) (1) (35) — Amount excluded from effectiveness testing recognized in earnings using an amortization approach — 4 — 8 — Gain or (loss) on fair value hedges: Interest Rate Swap Agreements: Hedged items — — — — 13 Derivatives designated as hedges — — — — (13) Three Months Ended September 30, 2019 Revenue Cost of Products Sold Selling, General and Administrative Expenses Other (Income) Expense Interest and Other Financial Charges $ 9,086 $ 4,775 $ 1,296 $ (311) $ 96 Gain or (loss) on cash flow hedges: Foreign Currency Exchange Contracts: Amount reclassified from accumulated other comprehensive income into income 1 9 — 53 — Amount excluded from effectiveness testing recognized in earnings using an amortization approach — 6 — 9 — Gain or (loss) on fair value hedges: Interest Rate Swap Agreements: Hedged items — — — — (55) Derivatives designated as hedges — — — — 55 Nine Months Ended September 30, 2020 Revenue Cost of Products Sold Selling, General and Administrative Expenses Other (Income) Expense Interest and Other Financial Charges $ 23,737 $ 12,852 $ 3,524 (546) $ 264 Gain or (loss) on cash flow hedges: Foreign currency exchange contracts: Amount reclassified from accumulated other comprehensive income into income (2) 29 (4) (37) — Amount excluded from effectiveness testing recognized in earnings using an amortization approach — 12 — 25 — Gain or (loss) on fair value hedges: Interest rate swap agreements: Hedged items — — — — (206) Derivatives designated as hedges — — — — 206 Nine Months Ended September 30, 2019 Revenue Cost of Products Sold Selling, General and Administrative Expenses Other (Income) Expense Interest and Other Financial Charges $ 27,213 $ 14,244 $ 4,046 $ (901) $ 266 Gain or (loss) on cash flow hedges: Foreign currency exchange contracts: Amount reclassified from accumulated other comprehensive income into income 2 33 1 77 — Amount excluded from effectiveness testing recognized in earnings using an amortization approach — 17 — 27 — Gain or (loss) on fair value hedges: Interest rate swap agreements: Hedged items — — — — (118) Derivatives designated as hedges — — — — 118 |
Schedule of Net Investment Hedges in Accumulated Other Comprehensive Income (Loss) [Table Text Block] | The following table summarizes the amounts of gain or (loss) on net investment hedges recognized in Accumulated other comprehensive income (loss): Three Months Ended September 30, Nine Months Ended September 30, Derivatives Net Investment Hedging Relationships 2020 2019 2020 2019 Euro-denominated long-term debt $ (126) $ 131 $ (64) $ 157 Euro-denominated commercial paper (25) 136 30 163 Cross currency swap (42) 39 (61) 44 Foreign currency exchange contracts (28) 23 (46) 28 |
ACCUMULATED OTHER COMPREHENSI_2
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
Changes in Accumulated Other Comprehensive Income by Component | Changes in Accumulated Other Comprehensive Income (Loss) by Component Foreign Pension Changes in Total Balance at December 31, 2019 $ (2,566) $ (675) $ 44 $ (3,197) Other comprehensive income (loss) before reclassifications (227) — 50 (177) Amounts reclassified from accumulated other comprehensive income (10) (60) 8 (62) Net current period other comprehensive income (loss) (237) (60) 58 (239) Balance at September 30, 2020 $ (2,803) $ (735) $ 102 $ (3,436) Foreign Pension Changes in Total Balance at December 31, 2018 $ (2,709) $ (761) $ 33 $ (3,437) Other comprehensive income (loss) before reclassifications 188 — 110 298 Amounts reclassified from accumulated other comprehensive income (11) (59) (86) (156) Net current period other comprehensive income (loss) 177 (59) 24 142 Balance at September 30, 2019 $ (2,532) $ (820) $ 57 $ (3,295) |
SEGMENT FINANCIAL DATA (Tables)
SEGMENT FINANCIAL DATA (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Segment Reporting [Abstract] | |
Segment Financial Data | Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Net sales Aerospace Products $ 1,623 $ 2,213 $ 5,335 $ 6,462 Services 1,039 1,331 3,231 3,931 Total 2,662 3,544 8,566 10,393 Honeywell Building Technologies Products 972 1,091 2,807 3,283 Services 333 324 956 971 Total 1,305 1,415 3,763 4,254 Performance Materials and Technologies Products 1,803 2,129 5,510 6,437 Services 449 541 1,357 1,540 Total 2,252 2,670 6,867 7,977 Safety and Productivity Solutions Products 1,487 1,360 4,281 4,314 Services 91 97 260 275 Total 1,578 1,457 4,541 4,589 $ 7,797 $ 9,086 $ 23,737 $ 27,213 Segment profit Aerospace $ 617 $ 908 $ 2,082 $ 2,653 Honeywell Building Technologies 282 297 794 868 Performance Materials and Technologies 442 582 1,373 1,790 Safety and Productivity Solutions 219 195 610 598 Corporate (7) (54) (73) (202) Total segment profit 1,553 1,928 4,786 5,707 Interest and other financial charges (101) (96) (264) (266) Stock compensation expense (a) (40) (37) (118) (112) Pension ongoing income (b) 197 150 593 449 Other postretirement income (b) 13 12 40 35 Repositioning and other charges (c) (144) (96) (486) (306) Other (d) (330) 106 (249) 284 Income before taxes $ 1,148 $ 1,967 $ 4,302 $ 5,791 (a) Amounts included in Selling, general and administrative expenses. (b) Amounts included in Cost of products and services sold and Selling, general and administrative expenses (service costs) and Other income/expense (non-service cost components). |
Reconciliation of Operating Profit Loss From Segments to Consolidated | Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Net sales Aerospace Products $ 1,623 $ 2,213 $ 5,335 $ 6,462 Services 1,039 1,331 3,231 3,931 Total 2,662 3,544 8,566 10,393 Honeywell Building Technologies Products 972 1,091 2,807 3,283 Services 333 324 956 971 Total 1,305 1,415 3,763 4,254 Performance Materials and Technologies Products 1,803 2,129 5,510 6,437 Services 449 541 1,357 1,540 Total 2,252 2,670 6,867 7,977 Safety and Productivity Solutions Products 1,487 1,360 4,281 4,314 Services 91 97 260 275 Total 1,578 1,457 4,541 4,589 $ 7,797 $ 9,086 $ 23,737 $ 27,213 Segment profit Aerospace $ 617 $ 908 $ 2,082 $ 2,653 Honeywell Building Technologies 282 297 794 868 Performance Materials and Technologies 442 582 1,373 1,790 Safety and Productivity Solutions 219 195 610 598 Corporate (7) (54) (73) (202) Total segment profit 1,553 1,928 4,786 5,707 Interest and other financial charges (101) (96) (264) (266) Stock compensation expense (a) (40) (37) (118) (112) Pension ongoing income (b) 197 150 593 449 Other postretirement income (b) 13 12 40 35 Repositioning and other charges (c) (144) (96) (486) (306) Other (d) (330) 106 (249) 284 Income before taxes $ 1,148 $ 1,967 $ 4,302 $ 5,791 (a) Amounts included in Selling, general and administrative expenses. (b) Amounts included in Cost of products and services sold and Selling, general and administrative expenses (service costs) and Other income/expense (non-service cost components). |
PENSION BENEFITS (Tables)
PENSION BENEFITS (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Retirement Benefits [Abstract] | |
Defined Benefit Plans Disclosure | Net periodic pension benefit costs for the Company's significant defined benefit plans include the following components: U.S. Plans Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Service cost $ 25 $ 21 $ 74 $ 63 Interest cost 116 153 346 460 Expected return on plan assets (284) (279) (851) (837) Amortization of prior service (credit) (11) (11) (32) (33) $ (154) $ (116) $ (463) $ (347) Non-U.S. Plans Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Service cost $ 6 $ 4 $ 17 $ 16 Interest cost 26 34 78 106 Expected return on plan assets (84) (81) (249) (248) Amortization of prior service (credit) — — — — $ (52) $ (43) $ (154) $ (126) |
COMMITMENTS AND CONTINGENCIES (
COMMITMENTS AND CONTINGENCIES (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Commitments and Contingencies Disclosure [Abstract] | |
Loss Contingency | The following table summarizes information concerning our recorded liabilities for environmental costs: December 31, 2019 $ 709 Accruals for environmental matters deemed probable and reasonably estimable 127 Environmental liability payments (166) Other (4) September 30, 2020 $ 666 |
Environmental liabilities are included in the following balance sheet accounts: | Environmental liabilities are included in the following balance sheet accounts: September 30, 2020 December 31, 2019 Accrued liabilities $ 222 $ 222 Other liabilities 444 487 $ 666 $ 709 |
Asbestos Related Liabilities | Asbestos-Related Liabilities Bendix NARCO Total December 31, 2019 $ 1,499 $ 858 $ 2,357 Accrual for update to estimated liability 45 14 59 Asbestos related liability payments (143) (67) (210) September 30, 2020 $ 1,401 $ 805 $ 2,206 |
Insurance Recoveries for Asbestos Related Liabilities | Insurance Recoveries for Asbestos-Related Liabilities Bendix NARCO Total December 31, 2019 $ 153 $ 281 $ 434 Probable insurance recoveries related to estimated liability — — — Insurance receipts for asbestos-related liabilities (10) (7) (17) Insurance receivables settlements — (1) (1) September 30, 2020 $ 143 $ 273 $ 416 |
NARCO and Bendix asbestos related balances are included in the following balance sheet accounts | NARCO and Bendix asbestos-related balances are included in the following balance sheet accounts: September 30, 2020 December 31, 2019 Other current assets $ 42 $ 42 Insurance recoveries for asbestos-related liabilities 374 392 $ 416 $ 434 Accrued liabilities $ 361 $ 361 Asbestos-related liabilities 1,845 1,996 $ 2,206 $ 2,357 |
The following tables present information regarding Bendix related asbestos claims activity | Nine Months Ended Years Ended Claims Activity 2020 2019 2018 Claims unresolved at the beginning of period 6,480 6,209 6,280 Claims filed 1,621 2,659 2,430 Claims resolved (1,680) (2,388) (2,501) Claims unresolved at the end of period 6,421 6,480 6,209 |
Disease distribution of claims | Disease Distribution of Unresolved Claims September 30, December 31, 2020 2019 2018 Mesothelioma and other cancer claims 3,404 3,399 2,949 Nonmalignant claims 3,017 3,081 3,260 Total claims 6,421 6,480 6,209 |
Average resolution values per asbestos claim | Honeywell has experienced average resolution values per claim excluding legal costs as follows: Years Ended December 31, 2019 2018 2017 2016 2015 (in whole dollars) Malignant claims $ 50,200 $ 55,300 $ 56,000 $ 44,000 $ 44,000 Nonmalignant claims $ 3,900 $ 4,700 $ 2,800 $ 4,485 $ 100 |
Indemnification And Reimbursement Agreement | As of September 30, 2020, the Company’s receivables prior to the adjustments described herein from Garrett and/or certain of its subsidiaries were collectively as follows: September 30, 2020 Garrett Indemnification and Reimbursement $ 1,121 Tax Matters Agreement 273 Other Receivables, net 13 Total Reimbursement Receivables $ 1,407 |
REPOSITIONING AND OTHER CHARG_3
REPOSITIONING AND OTHER CHARGES (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Component of Operating Other Cost and Expense [Abstract] | ||||
Total net repositioning charge | $ 124 | $ 86 | $ 449 | $ 228 |
Asbestos related litigation charges, net of insurance and reimbursements | 13 | 9 | 33 | 26 |
Probable and reasonably estimable environmental liabilities, net of reimbursements | 6 | 6 | 20 | 59 |
Other | 1 | (5) | (16) | (7) |
Total net repositioning and other charges | 144 | 96 | 486 | 306 |
Severance | ||||
Component of Operating Other Cost and Expense [Abstract] | ||||
Total net repositioning charge | 113 | 41 | 433 | 147 |
Asset impairments | ||||
Component of Operating Other Cost and Expense [Abstract] | ||||
Total net repositioning charge | 5 | 15 | 11 | 26 |
Exit costs | ||||
Component of Operating Other Cost and Expense [Abstract] | ||||
Total net repositioning charge | 17 | 33 | 47 | 62 |
Reserve adjustments | ||||
Component of Operating Other Cost and Expense [Abstract] | ||||
Total net repositioning charge | $ (11) | $ (3) | $ (42) | $ (7) |
REPOSITIONING AND OTHER CHARG_4
REPOSITIONING AND OTHER CHARGES 2 (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Pretax Distribution Of Total Net Repositioning And Other Charges By Income Statement Classification [Line Items] | ||||
Total net repositioning charges | $ 144 | $ 96 | $ 486 | $ 306 |
Cost of products and services sold [Member] | ||||
Pretax Distribution Of Total Net Repositioning And Other Charges By Income Statement Classification [Line Items] | ||||
Total net repositioning charges | 91 | 75 | 286 | 204 |
Selling, general and administrative expenses [Member] | ||||
Pretax Distribution Of Total Net Repositioning And Other Charges By Income Statement Classification [Line Items] | ||||
Total net repositioning charges | $ 53 | $ 21 | $ 200 | $ 102 |
REPOSITIONING AND OTHER CHARG_5
REPOSITIONING AND OTHER CHARGES 3 (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Pretax Impact Of Total Net Repositioning And Other Charges By Segment [Line Items] | ||||
Total net repositioning charges | $ 144 | $ 96 | $ 486 | $ 306 |
Corporate | ||||
Pretax Impact Of Total Net Repositioning And Other Charges By Segment [Line Items] | ||||
Total net repositioning charges | 33 | 22 | 77 | 123 |
Aerospace | ||||
Pretax Impact Of Total Net Repositioning And Other Charges By Segment [Line Items] | ||||
Total net repositioning charges | 33 | 12 | 151 | 32 |
Honeywell Building Technologies | ||||
Pretax Impact Of Total Net Repositioning And Other Charges By Segment [Line Items] | ||||
Total net repositioning charges | 29 | 28 | 87 | 36 |
Performance Materials and Technologies | ||||
Pretax Impact Of Total Net Repositioning And Other Charges By Segment [Line Items] | ||||
Total net repositioning charges | 34 | 28 | 139 | 61 |
Safety and Productivity Solutions | ||||
Pretax Impact Of Total Net Repositioning And Other Charges By Segment [Line Items] | ||||
Total net repositioning charges | $ 15 | $ 6 | $ 32 | $ 54 |
REPOSITIONING AND OTHER CHARG_6
REPOSITIONING AND OTHER CHARGES 4 (Details) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020USD ($)Employees | Sep. 30, 2019USD ($)Employees | Sep. 30, 2020USD ($)Employees | Sep. 30, 2019USD ($)Employees | |
Net Repositioning And Other Charges [Line Items] | ||||
Restructuring and Related Cost, Incurred Cost | $ 124 | $ 86 | $ 449 | $ 228 |
Net repositioning and other charges Paragraph Details [Abstract] | ||||
Gross Repositioning Charge | $ 135 | $ 89 | $ 491 | $ 235 |
Number of employees severed | Employees | 3,113 | 1,123 | 13,042 | 3,436 |
Severance | ||||
Net Repositioning And Other Charges [Line Items] | ||||
Restructuring and Related Cost, Incurred Cost | $ 113 | $ 41 | $ 433 | $ 147 |
Asset impairments | ||||
Net Repositioning And Other Charges [Line Items] | ||||
Restructuring and Related Cost, Incurred Cost | 5 | 15 | 11 | 26 |
Exit costs | ||||
Net Repositioning And Other Charges [Line Items] | ||||
Restructuring and Related Cost, Cost Incurred to Date | 32 | 21 | 32 | 21 |
Restructuring and Related Cost, Incurred Cost | 17 | 33 | 47 | 62 |
Reserve adjustments | ||||
Net Repositioning And Other Charges [Line Items] | ||||
Restructuring and Related Cost, Incurred Cost | $ (11) | $ (3) | $ (42) | $ (7) |
REPOSITIONING AND OTHER CHARG_7
REPOSITIONING AND OTHER CHARGES 5 (Details) | 9 Months Ended |
Sep. 30, 2020USD ($) | |
Restructuring Reserve [Line Items] | |
Balance at beginning of period, | $ 651,000,000 |
Charges | 491,000,000 |
Usage - cash | (399,000,000) |
Usage - noncash | (11,000,000) |
Foreign currency translation | 9,000,000 |
Adjustments | (42,000,000) |
Balance at end of period, | 699,000,000 |
Severance | |
Restructuring Reserve [Line Items] | |
Balance at beginning of period, | 555,000,000 |
Charges | 433,000,000 |
Usage - cash | (343,000,000) |
Usage - noncash | 0 |
Foreign currency translation | 9,000,000 |
Adjustments | (40,000,000) |
Balance at end of period, | 614,000,000 |
Asset impairments | |
Restructuring Reserve [Line Items] | |
Balance at beginning of period, | 0 |
Charges | 11,000,000 |
Usage - cash | 0 |
Usage - noncash | (11,000,000) |
Foreign currency translation | 0 |
Adjustments | 0 |
Balance at end of period, | 0 |
Exit costs | |
Restructuring Reserve [Line Items] | |
Balance at beginning of period, | 96,000,000 |
Charges | 47,000,000 |
Usage - cash | (56,000,000) |
Usage - noncash | 0 |
Foreign currency translation | 0 |
Adjustments | (2,000,000) |
Balance at end of period, | $ 85,000,000 |
OTHER (INCOME) EXPENSE (Details
OTHER (INCOME) EXPENSE (Details) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Other Income and Expenses [Line Items] | ||||
Interest Income | $ (20,000,000) | $ (64,000,000) | $ (86,000,000) | $ (194,000,000) |
Equity income of affiliated companies | (17,000,000) | (13,000,000) | (44,000,000) | (33,000,000) |
Loss (gain) on sale of non-strategic business and assets | 0 | 0 | 0 | (1,000,000) |
Foreign exchange | (1,000,000) | (43,000,000) | (16,000,000) | (97,000,000) |
Reimbursement Receivables Charge | 350,000,000 | 0 | 350,000,000 | 0 |
Other net | 1,000,000 | 1,000,000 | 1,000,000 | 8,000,000 |
Other (Income) Expense, Total | 62,000,000 | (311,000,000) | (546,000,000) | (901,000,000) |
Pension Plans, Defined Benefit [Member] | ||||
Other Income and Expenses [Line Items] | ||||
Ongoing income - non-service | (238,000,000) | (180,000,000) | (711,000,000) | (549,000,000) |
Other Postretirement Benefits Plans, Defined Benefit [Member] | ||||
Other Income and Expenses [Line Items] | ||||
Ongoing income - non-service | $ (13,000,000) | $ (12,000,000) | $ (40,000,000) | $ (35,000,000) |
EARNINGS PER SHARE (Details)
EARNINGS PER SHARE (Details) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Earnings Per Share [Abstract] | ||||
Net income attributable to Honeywell | $ 758 | $ 1,624 | $ 3,420 | $ 4,581 |
Weighted average shares outstanding | 702,600,000 | 717,600,000 | 704,800,000 | 723,500,000 |
Earnings per share of common stock - basic (in dollars per share) | $ 1.08 | $ 2.26 | $ 4.85 | $ 6.33 |
Assuming dilution | ||||
Net income attributable to Honeywell | $ 758 | $ 1,624 | $ 3,420 | $ 4,581 |
Average shares | ||||
Weighted average shares outstanding | 702,600,000 | 717,600,000 | 704,800,000 | 723,500,000 |
Dilutive securities issuable - stock plans | 7,000,000 | 9,100,000 | 6,800,000 | 9,300,000 |
Total weighted average shares outstanding | 709,600,000 | 726,700,000 | 711,600,000 | 732,800,000 |
Earnings per share of common stock - assuming dilution (in dollars per share) | $ 1.07 | $ 2.23 | $ 4.81 | $ 6.25 |
Earnings Per Share Paragraph Details [Abstract] | ||||
Stock options excluded from diluted computations | 7,100,000 | 2,900,000 | 6,400,000 | 3,200,000 |
Shares outstanding | 701,700,000 | 714,500,000 | 701,700,000 | 714,500,000 |
Common Stock Shares Issued | 957,600,000 | 957,600,000 | 957,600,000 | 957,600,000 |
REVENUE RECOGNITION AND CONTR_3
REVENUE RECOGNITION AND CONTRACTS WITH CUSTOMERS (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Disaggregation of Revenue [Line Items] | ||||
Net Sales | $ 7,797 | $ 9,086 | $ 23,737 | $ 27,213 |
Disaggregation of revenue, timing of recognition - percentage | 100.00% | 100.00% | 100.00% | 100.00% |
Products [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Net Sales | $ 5,885 | $ 6,793 | $ 17,933 | $ 20,496 |
Disaggregation of revenue, timing of recognition - percentage | 76.00% | 75.00% | 76.00% | 75.00% |
Products [Member] | Transferred At Point In Time [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Disaggregation of revenue, timing of recognition - percentage | 61.00% | 62.00% | 61.00% | 61.00% |
Products [Member] | Transferred Over Time [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Disaggregation of revenue, timing of recognition - percentage | 15.00% | 13.00% | 15.00% | 14.00% |
Services [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Net Sales | $ 1,912 | $ 2,293 | $ 5,804 | $ 6,717 |
Disaggregation of revenue, timing of recognition - percentage | 24.00% | 25.00% | 24.00% | 25.00% |
Services [Member] | Transferred At Point In Time [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Disaggregation of revenue, timing of recognition - percentage | 7.00% | 8.00% | 8.00% | 9.00% |
Services [Member] | Transferred Over Time [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Disaggregation of revenue, timing of recognition - percentage | 17.00% | 17.00% | 16.00% | 16.00% |
Aerospace | ||||
Disaggregation of Revenue [Line Items] | ||||
Net Sales | $ 2,662 | $ 3,544 | $ 8,566 | $ 10,393 |
Aerospace | Commercial Aviation Original Equipment [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Net Sales | 406 | 772 | 1,527 | 2,265 |
Aerospace | Commercial Aviation Aftermarket [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Net Sales | 774 | 1,452 | 2,807 | 4,234 |
Aerospace | Defense and Space [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Net Sales | 1,482 | 1,320 | 4,232 | 3,894 |
Honeywell Building Technologies | ||||
Disaggregation of Revenue [Line Items] | ||||
Net Sales | 1,305 | 1,415 | 3,763 | 4,254 |
Honeywell Building Technologies | Products [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Net Sales | 751 | 823 | 2,163 | 2,476 |
Honeywell Building Technologies | Building Solutions [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Net Sales | 554 | 592 | 1,600 | 1,778 |
Performance Materials and Technologies | ||||
Disaggregation of Revenue [Line Items] | ||||
Net Sales | 2,252 | 2,670 | 6,867 | 7,977 |
Performance Materials and Technologies | UOP [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Net Sales | 461 | 717 | 1,572 | 2,030 |
Performance Materials and Technologies | Process Solutions [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Net Sales | 1,135 | 1,283 | 3,379 | 3,818 |
Performance Materials and Technologies | Specialty Products [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Net Sales | 261 | 256 | 786 | 790 |
Performance Materials and Technologies | Fluorine Products [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Net Sales | 395 | 414 | 1,130 | 1,339 |
Safety and Productivity Solutions | ||||
Disaggregation of Revenue [Line Items] | ||||
Net Sales | 1,578 | 1,457 | 4,541 | 4,589 |
Safety and Productivity Solutions | Safety and Retail [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Net Sales | 599 | 558 | 1,612 | 1,653 |
Safety and Productivity Solutions | Productivity Solutions and Services [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Net Sales | 322 | 307 | 877 | 926 |
Safety and Productivity Solutions | Warehouse and Workflow Solutions [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Net Sales | 445 | 383 | 1,457 | 1,361 |
Safety and Productivity Solutions | Sensing & Internet-of-Things (IoT) | ||||
Disaggregation of Revenue [Line Items] | ||||
Net Sales | $ 212 | $ 209 | $ 595 | $ 649 |
REVENUE RECOGNITION AND CONTR_4
REVENUE RECOGNITION AND CONTRACTS WITH CUSTOMERS 2 (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Jan. 01, 2020 | Jan. 01, 2019 | |
Change in Contract with Customer, Asset and Liability [Abstract] | ||||||
Contract Assets | $ 1,819 | $ 1,812 | $ 1,819 | $ 1,812 | $ 1,602 | $ 1,548 |
Change in Contract Assets - Increase (Decrease) | 217 | 264 | ||||
Contract Liabilities | (3,666) | (3,188) | (3,666) | (3,188) | $ (3,501) | $ (3,378) |
Change in Contract Liabilities - (Increase) Decrease | (165) | 190 | ||||
Net Change | 52 | 454 | ||||
Contract liability, revenue recognized | $ 351 | $ 215 | $ 1,554 | $ 1,195 |
REVENUE RECOGNITION AND CONTR_5
REVENUE RECOGNITION AND CONTRACTS WITH CUSTOMERS 3 (Details) $ in Millions | 9 Months Ended |
Sep. 30, 2020USD ($) | |
Revenue, Performance Obligation [Abstract] | |
Revenue Performance Obligation Description of Timing | Performance obligations recognized as of September 30, 2020 will be satisfied over the course of future periods. The Company's disclosure of the timing for satisfying the performance obligation is based on the requirements of contracts with customers. However, from time to time, these contracts may be subject to modifications, impacting the timing of satisfying the performance obligations. Performance obligations expected to be satisfied within one year and greater than one year are 54% and 46%, respectively. |
Revenue Performance Obligation Description of Payment Terms | The timing of satisfaction of the Company's performance obligations does not significantly vary from the typical timing of payment. Typical payment terms of the Company's fixed-price over time contracts include progress payments based on specified events or milestones, or based on project progress. For some contracts we may be entitled to receive an advance payment. |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Performance obligation, amount | $ 25,644 |
Within One Year [Member] | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Performance obligation, percentage | 54.00% |
Greater Than One Year [Member] | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Performance obligation, percentage | 46.00% |
Aerospace | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Performance obligation, amount | $ 9,717 |
Honeywell Building Technologies | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Performance obligation, amount | 5,537 |
Performance Materials and Technologies | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Performance obligation, amount | 6,532 |
Safety and Productivity Solutions | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Performance obligation, amount | $ 3,858 |
ACCOUNTS RECEIVABLE - NET (Deta
ACCOUNTS RECEIVABLE - NET (Details) - USD ($) $ in Millions | Sep. 30, 2020 | Dec. 31, 2019 |
Accounts Receivable, after Allowance for Credit Loss, Current [Abstract] | ||
Trade | $ 7,064 | $ 7,639 |
Less - Allowance for doubtful accounts | (186) | (146) |
Accounts receivable, Net | 6,878 | 7,493 |
Accounts Notes And Other Receivables Paragraph Details [Abstract] | ||
Unbilled contracts receivable | $ 1,779 | $ 1,586 |
INVENTORIES (Details)
INVENTORIES (Details) - USD ($) | Sep. 30, 2020 | Dec. 31, 2019 |
Inventory Disclosure [Abstract] | ||
Raw materials | $ 1,081,000,000 | $ 1,056,000,000 |
Work in process | 850,000,000 | 817,000,000 |
Finished products | 2,774,000,000 | 2,593,000,000 |
Inventory, Gross | 4,705,000,000 | 4,466,000,000 |
Reduction to LIFO cost basis | 0 | (45,000,000) |
Inventories | $ 4,705,000,000 | $ 4,421,000,000 |
INVENTORIES 2 (Details)
INVENTORIES 2 (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Cost of products and services sold | $ 5,383 | $ 6,038 | $ 16,193 | $ 18,011 |
Products [Member] | ||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Cost of products and services sold | $ 4,315 | $ 4,775 | $ 12,852 | $ 14,244 |
Change In Accounting Principle Other [Member] | ||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Percentage of LIFO Inventory | 6.00% | 6.00% | ||
Change In Accounting Principle Other [Member] | Products [Member] | Performance Materials and Technologies | ||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Cost of products and services sold | $ (7) |
LEASES (Details)
LEASES (Details) - USD ($) $ in Millions | 9 Months Ended | |
Sep. 30, 2020 | Sep. 30, 2019 | |
Right Of Use Assets Obtained In Exchange For Lease [Abstract] | ||
Operating leases | $ 155 | $ 118 |
Finance leases | $ 24 | $ 17 |
LEASES 2 (Details)
LEASES 2 (Details) - USD ($) $ in Millions | Sep. 30, 2020 | Dec. 31, 2019 |
Assets and Liabilities, Lessee [Abstract] | ||
Other assets | $ 725 | $ 673 |
Accrued liabilities | 179 | 171 |
Other liabilities | 597 | 534 |
Total operating lease liabilities | 776 | 705 |
Property, plant and equipment | 360 | 361 |
Accumulated depreciation | (171) | (152) |
Property, plant and equipment - net | 189 | 209 |
Current maturities of long-term debt | 61 | 59 |
Long-term debt | 135 | 156 |
Total financing lease liability | $ 196 | $ 215 |
LONG-TERM DEBT AND CREDIT AGR_3
LONG-TERM DEBT AND CREDIT AGREEMENTS (Details) € in Millions | 9 Months Ended | ||
Sep. 30, 2020USD ($) | Sep. 30, 2020EUR (€) | Dec. 31, 2019USD ($) | |
Debt Instrument [Line Items] | |||
Total long-term debt, including current portion | $ 18,672,000,000 | $ 12,486,000,000 | |
Less current portion | (985,000,000) | (1,376,000,000) | |
Long-term Debt and Lease Obligation | 17,687,000,000 | 11,110,000,000 | |
0.65% Euro notes due 2020 [Member] | |||
Debt Instrument [Line Items] | |||
Senior Notes | $ 0 | 1,123,000,000 | |
Debt Instrument, Interest Rate, Stated Percentage | 0.65% | 0.65% | |
4.25% notes due 2021 [Member] | |||
Debt Instrument [Line Items] | |||
Senior Notes | $ 800,000,000 | 800,000,000 | |
Debt Instrument, Interest Rate, Stated Percentage | 4.25% | 4.25% | |
1.85% notes due 2021 [Member] | |||
Debt Instrument [Line Items] | |||
Senior Notes | $ 1,500,000,000 | 1,500,000,000 | |
Debt Instrument, Interest Rate, Stated Percentage | 1.85% | 1.85% | |
0.483% notes due 2022 [Member] | |||
Debt Instrument [Line Items] | |||
Senior Notes | $ 2,500,000,000 | 0 | |
Debt Instrument, Interest Rate, Stated Percentage | 0.483% | 0.483% | |
2.15% notes due 2022 [Member] | |||
Debt Instrument [Line Items] | |||
Senior Notes | $ 600,000,000 | 600,000,000 | |
Debt Instrument, Interest Rate, Stated Percentage | 2.15% | 2.15% | |
Floating rate notes due 2022 [Member] | |||
Debt Instrument [Line Items] | |||
Senior Notes | $ 1,100,000,000 | 600,000,000 | |
Loans Receivable, Basis Spread on Variable Rate | 0.23% | 0.23% | |
Debt Instrument, Face Amount | $ 500,000,000 | ||
Term Loan Due 2022 | |||
Debt Instrument [Line Items] | |||
Senior Notes | 3,000,000,000 | ||
Gross proceeds | 3,000,000,000 | ||
Discount and closing costs related to the offering | $ 7,000,000 | ||
Loans Receivable, Basis Spread on Variable Rate | 1.25% | 1.25% | |
Early Repayment of Senior Debt | $ 3,000,000,000 | ||
1.30% Euro notes due 2023 [Member] | |||
Debt Instrument [Line Items] | |||
Senior Notes | $ 1,454,000,000 | 1,404,000,000 | |
Debt Instrument, Interest Rate, Stated Percentage | 1.30% | 1.30% | |
3.35% notes due 2023 [Member] | |||
Debt Instrument [Line Items] | |||
Senior Notes | $ 300,000,000 | 300,000,000 | |
Debt Instrument, Interest Rate, Stated Percentage | 3.35% | 3.35% | |
0.00% Euro notes due 2024 [Member] | |||
Debt Instrument [Line Items] | |||
Senior Notes | $ 582,000,000 | € 500 | 0 |
Debt Instrument, Interest Rate, Stated Percentage | 0.00% | 0.00% | |
2.30% notes due 2024 [Member] | |||
Debt Instrument [Line Items] | |||
Senior Notes | $ 750,000,000 | 750,000,000 | |
Debt Instrument, Interest Rate, Stated Percentage | 2.30% | 2.30% | |
1.35% notes due 2025 [Member] | |||
Debt Instrument [Line Items] | |||
Senior Notes | $ 1,250,000,000 | 0 | |
Debt Instrument, Interest Rate, Stated Percentage | 1.35% | 1.35% | |
2.50% notes due 2026 [Member] | |||
Debt Instrument [Line Items] | |||
Senior Notes | $ 1,500,000,000 | 1,500,000,000 | |
Debt Instrument, Interest Rate, Stated Percentage | 2.50% | 2.50% | |
2.25% Euro notes due 2028 [Member] | |||
Debt Instrument [Line Items] | |||
Senior Notes | $ 872,000,000 | 842,000,000 | |
Debt Instrument, Interest Rate, Stated Percentage | 2.25% | 2.25% | |
2.70% notes due 2029 [Member] | |||
Debt Instrument [Line Items] | |||
Senior Notes | $ 750,000,000 | 750,000,000 | |
Debt Instrument, Interest Rate, Stated Percentage | 2.70% | 2.70% | |
1.95% notes due 2030 [Member] | |||
Debt Instrument [Line Items] | |||
Senior Notes | $ 1,000,000,000 | 0 | |
Debt Instrument, Interest Rate, Stated Percentage | 1.95% | 1.95% | |
0.750% Euro notes due 2032 [Member] | |||
Debt Instrument [Line Items] | |||
Senior Notes | $ 582,000,000 | € 500 | 0 |
Debt Instrument, Interest Rate, Stated Percentage | 0.75% | 0.75% | |
5.70% notes due 2036 [Member] | |||
Debt Instrument [Line Items] | |||
Senior Notes | $ 441,000,000 | 441,000,000 | |
Debt Instrument, Interest Rate, Stated Percentage | 5.70% | 5.70% | |
5.70% notes due 2037 [Member] | |||
Debt Instrument [Line Items] | |||
Senior Notes | $ 462,000,000 | 462,000,000 | |
Debt Instrument, Interest Rate, Stated Percentage | 5.70% | 5.70% | |
5.375% notes due 2041 [Member] | |||
Debt Instrument [Line Items] | |||
Senior Notes | $ 417,000,000 | 417,000,000 | |
Debt Instrument, Interest Rate, Stated Percentage | 5.375% | 5.375% | |
3.812% notes due 2047 [Member] | |||
Debt Instrument [Line Items] | |||
Senior Notes | $ 445,000,000 | 445,000,000 | |
Debt Instrument, Interest Rate, Stated Percentage | 3.812% | 3.812% | |
2.80% notes due 2050 [Member] | |||
Debt Instrument [Line Items] | |||
Senior Notes | $ 750,000,000 | 0 | |
Debt Instrument, Interest Rate, Stated Percentage | 2.80% | 2.80% | |
Industrial development bond obligations, floating rate maturing at various dates through 2037 [Member] | |||
Debt Instrument [Line Items] | |||
Industrial development bond | $ 22,000,000 | 22,000,000 | |
6.625% debentures due 2028 [Member] | |||
Debt Instrument [Line Items] | |||
Junior Subordinated Notes | $ 201,000,000 | 201,000,000 | |
Debt Instrument, Interest Rate, Stated Percentage | 6.625% | 6.625% | |
9.065% debentures due 2033 [Member] | |||
Debt Instrument [Line Items] | |||
Junior Subordinated Notes | $ 51,000,000 | 51,000,000 | |
Debt Instrument, Interest Rate, Stated Percentage | 9.065% | 9.065% | |
Other Including Capitalized Leases And Debt Issuance Costs 8.0% Weighted Average Maturing At Various Dates Through 2025 | |||
Debt Instrument [Line Items] | |||
Other long term debt | $ 343,000,000 | $ 278,000,000 | |
Debt, Weighted Average Interest Rate | 8.00% | 8.00% | |
The 2020 Euro Notes [Member] | |||
Debt Instrument [Line Items] | |||
Gross proceeds | $ 1,100,000,000 | ||
Discount and closing costs related to the offering | 9,000,000 | ||
The 2020 Notes [Member] | |||
Debt Instrument [Line Items] | |||
Gross proceeds | 3,000,000,000 | ||
Discount and closing costs related to the offering | 27,000,000 | ||
The 2022 Callable Notes [Member] | |||
Debt Instrument [Line Items] | |||
Gross proceeds | 3,000,000,000 | ||
Discount and closing costs related to the offering | 10,000,000 | ||
Syndicate Of Banks [Member] | $1.5B 364-Day Credit Agreement [Member] | |||
Line of Credit Facility [Line Items] | |||
Line of credit facility, current borrowing capacity | 1,500,000,000 | ||
Line of credit facility, remaining borrowing capacity | 1,500,000,000 | ||
Syndicate Of Banks [Member] | Term Loan Agreement [Member] | |||
Line of Credit Facility [Line Items] | |||
Line of credit facility, borrowing capacity of prior agreement | 6,000,000,000 | ||
Amount of permanent reduction of the Unused Commitments | $ 3,000,000,000 |
FINANCIAL INSTRUMENTS AND FAI_3
FINANCIAL INSTRUMENTS AND FAIR VALUE MEASURES (Details) - USD ($) | Sep. 30, 2020 | Dec. 31, 2019 |
Fair Value Measurements Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale investments | $ 1,160,000,000 | $ 1,523,000,000 |
Foreign currency exchange contracts [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Amount of hedged item | 694,000,000 | 3,513,000,000 |
Foreign currency exchange contracts [Member] | Fair Value Measurements Recurring [Member] | Significant Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Fair Value Of Derivative Asset | 357,000,000 | 291,000,000 |
Derivative Fair Value Of Derivative Liability | 34,000,000 | 21,000,000 |
Interest rate swap agreements [Member] | Fair Value Measurements Recurring [Member] | Significant Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Fair Value Of Derivative Asset | 230,000,000 | 38,000,000 |
Derivative Fair Value Of Derivative Liability | 0 | 13,000,000 |
Cross currency swap agreements [Member] | Fair Value Measurements Recurring [Member] | Significant Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Fair Value Of Derivative Asset | $ 10,000,000 | $ 51,000,000 |
FINANCIAL INSTRUMENTS AND FAI_4
FINANCIAL INSTRUMENTS AND FAIR VALUE MEASURES 2 (Details) - USD ($) $ in Millions | Sep. 30, 2020 | Dec. 31, 2019 |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term Debt | $ 18,672 | $ 12,486 |
Carrying Value [Member] | Significant Observable Inputs (Level 2) | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term receivables | 148 | 129 |
Long-term debt and related current maturities | 18,672 | 12,486 |
Estimated Fair Value [Member] | Significant Observable Inputs (Level 2) | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term receivables | 143 | 127 |
Long-term debt and related current maturities | $ 20,084 | $ 13,578 |
FINANCIAL INSTRUMENTS AND FAI_5
FINANCIAL INSTRUMENTS AND FAIR VALUE MEASURES 3 (Details) - Long-term Debt [Member] - Designated as Hedging Instrument [Member] - USD ($) $ in Millions | Sep. 30, 2020 | Dec. 31, 2019 |
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Carrying Amount of the Hedged Item | $ 4,180 | $ 3,975 |
Cumulative Amount of Fair Value Hedging Adjustment Included in the Carrying Amount of the Hedged Item | $ 230 | $ 25 |
FINANCIAL INSTRUMENTS AND FAI_6
FINANCIAL INSTRUMENTS AND FAIR VALUE MEASURES 4 (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Fair Value Disclosures [Abstract] | ||||
Gain (loss) on interest rate swap agreements | $ (13) | $ 55 | $ 206 | $ 118 |
Foreign exchange mark-to-market (ncome) expense | 136 | $ (182) | 69 | $ (231) |
Cash collateral received | $ 323 | $ 323 |
FINANCIAL INSTRUMENTS AND FAI_7
FINANCIAL INSTRUMENTS AND FAIR VALUE MEASURES 5 (Details) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Revenue | $ 7,797,000,000 | $ 9,086,000,000 | $ 23,737,000,000 | $ 27,213,000,000 |
Cost of products and services sold | 5,383,000,000 | 6,038,000,000 | 16,193,000,000 | 18,011,000,000 |
SG&A | 1,103,000,000 | 1,296,000,000 | 3,524,000,000 | 4,046,000,000 |
Other (income) expense | 62,000,000 | (311,000,000) | (546,000,000) | (901,000,000) |
Interest and other financial charges | 101,000,000 | 96,000,000 | 264,000,000 | 266,000,000 |
Designated as Hedging Instrument [Member] | Foreign currency exchange contracts [Member] | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Gain or (loss) on net investment hedges recognized in Accumulated other comprehensive income (loss) | (28,000,000) | 23,000,000 | (46,000,000) | 28,000,000 |
Designated as Hedging Instrument [Member] | Gain or (loss) on cash flow hedges [Member] | Foreign currency exchange contracts [Member] | Revenue [Member] | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Amount reclassified from accumulated other comprehensive income into income | (1,000,000) | 1,000,000 | (2,000,000) | 2,000,000 |
Amount excluded from effectiveness testing recognized in earnings using an amortization approach | 0 | 0 | 0 | 0 |
Designated as Hedging Instrument [Member] | Gain or (loss) on cash flow hedges [Member] | Foreign currency exchange contracts [Member] | Cost of Products Sold [Member] | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Amount reclassified from accumulated other comprehensive income into income | (1,000,000) | 9,000,000 | 29,000,000 | 33,000,000 |
Amount excluded from effectiveness testing recognized in earnings using an amortization approach | 4,000,000 | 6,000,000 | 12,000,000 | 17,000,000 |
Designated as Hedging Instrument [Member] | Gain or (loss) on cash flow hedges [Member] | Foreign currency exchange contracts [Member] | SG&A [Member] | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Amount reclassified from accumulated other comprehensive income into income | (1,000,000) | 0 | (4,000,000) | 1,000,000 |
Amount excluded from effectiveness testing recognized in earnings using an amortization approach | 0 | 0 | 0 | 0 |
Designated as Hedging Instrument [Member] | Gain or (loss) on cash flow hedges [Member] | Foreign currency exchange contracts [Member] | Other (income) Expense [Member] | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Amount reclassified from accumulated other comprehensive income into income | (35,000,000) | 53,000,000 | (37,000,000) | 77,000,000 |
Amount excluded from effectiveness testing recognized in earnings using an amortization approach | 8,000,000 | 9,000,000 | 25,000,000 | 27,000,000 |
Designated as Hedging Instrument [Member] | Gain or (loss) on cash flow hedges [Member] | Foreign currency exchange contracts [Member] | Interest and Other Financial Charges [Member] | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Amount reclassified from accumulated other comprehensive income into income | 0 | 0 | 0 | 0 |
Amount excluded from effectiveness testing recognized in earnings using an amortization approach | 0 | 0 | 0 | 0 |
Designated as Hedging Instrument [Member] | Gain or (loss) on fair value hedges | Interest Rate Swap [Member] | Revenue [Member] | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Hedged items | 0 | 0 | 0 | 0 |
Derivatives designated as hedges | 0 | 0 | 0 | 0 |
Designated as Hedging Instrument [Member] | Gain or (loss) on fair value hedges | Interest Rate Swap [Member] | Cost of Products Sold [Member] | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Hedged items | 0 | 0 | 0 | 0 |
Derivatives designated as hedges | 0 | 0 | 0 | 0 |
Designated as Hedging Instrument [Member] | Gain or (loss) on fair value hedges | Interest Rate Swap [Member] | SG&A [Member] | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Hedged items | 0 | 0 | 0 | 0 |
Derivatives designated as hedges | 0 | 0 | 0 | 0 |
Designated as Hedging Instrument [Member] | Gain or (loss) on fair value hedges | Interest Rate Swap [Member] | Other (income) Expense [Member] | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Hedged items | 0 | 0 | 0 | 0 |
Derivatives designated as hedges | 0 | 0 | 0 | 0 |
Designated as Hedging Instrument [Member] | Gain or (loss) on fair value hedges | Interest Rate Swap [Member] | Interest and Other Financial Charges [Member] | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Hedged items | 13,000,000 | (55,000,000) | (206,000,000) | (118,000,000) |
Derivatives designated as hedges | (13,000,000) | 55,000,000 | 206,000,000 | 118,000,000 |
Designated as Hedging Instrument [Member] | Euro denominated long-term debt [Member] | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Gain or (loss) on net investment hedges recognized in Accumulated other comprehensive income (loss) | (126,000,000) | 131,000,000 | (64,000,000) | 157,000,000 |
Designated as Hedging Instrument [Member] | Net Investment Euro Denominated Commercial Paper [Member] | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Gain or (loss) on net investment hedges recognized in Accumulated other comprehensive income (loss) | (25,000,000) | 136,000,000 | 30,000,000 | 163,000,000 |
Designated as Hedging Instrument [Member] | Net Investment Cross Currency Swap [Member] | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Gain or (loss) on net investment hedges recognized in Accumulated other comprehensive income (loss) | (42,000,000) | 39,000,000 | (61,000,000) | 44,000,000 |
Products [Member] | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Revenue | 5,885,000,000 | 6,793,000,000 | 17,933,000,000 | 20,496,000,000 |
Cost of products and services sold | $ 4,315,000,000 | $ 4,775,000,000 | $ 12,852,000,000 | $ 14,244,000,000 |
ACCUMULATED OTHER COMPREHENSI_3
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) (Details) - USD ($) | 9 Months Ended | |
Sep. 30, 2020 | Sep. 30, 2019 | |
Accumulated Other Comprehensive Income Loss [Line Items] | ||
Balance at beginning of period | $ 18,706,000,000 | |
Balance at end of period | 18,313,000,000 | $ 18,306,000,000 |
Foreign Exchange Translation Adjustment [Member] | ||
Accumulated Other Comprehensive Income Loss [Line Items] | ||
Balance at beginning of period | (2,566,000,000) | (2,709,000,000) |
Other comprehensive income (loss) before reclassifications | (227,000,000) | 188,000,000 |
Amounts reclassified from accumulated other comprehensive income | (10,000,000) | (11,000,000) |
Net current period other comprehensive income (loss) | (237,000,000) | 177,000,000 |
Balance at end of period | (2,803,000,000) | (2,532,000,000) |
Pension and Other Postretirement Benefits Adjustments [Member] | ||
Accumulated Other Comprehensive Income Loss [Line Items] | ||
Balance at beginning of period | (675,000,000) | (761,000,000) |
Other comprehensive income (loss) before reclassifications | 0 | 0 |
Amounts reclassified from accumulated other comprehensive income | (60,000,000) | (59,000,000) |
Net current period other comprehensive income (loss) | (60,000,000) | (59,000,000) |
Balance at end of period | (735,000,000) | (820,000,000) |
Changes in Fair Value of Cash Flow Hedges [Member] | ||
Accumulated Other Comprehensive Income Loss [Line Items] | ||
Balance at beginning of period | 44,000,000 | 33,000,000 |
Other comprehensive income (loss) before reclassifications | 50,000,000 | 110,000,000 |
Amounts reclassified from accumulated other comprehensive income | 8,000,000 | (86,000,000) |
Net current period other comprehensive income (loss) | 58,000,000 | 24,000,000 |
Balance at end of period | 102,000,000 | 57,000,000 |
AOCI Attributable to Parent [Member] | ||
Accumulated Other Comprehensive Income Loss [Line Items] | ||
Balance at beginning of period | (3,197,000,000) | (3,437,000,000) |
Other comprehensive income (loss) before reclassifications | (177,000,000) | 298,000,000 |
Amounts reclassified from accumulated other comprehensive income | (62,000,000) | (156,000,000) |
Net current period other comprehensive income (loss) | (239,000,000) | 142,000,000 |
Balance at end of period | $ (3,436,000,000) | $ (3,295,000,000) |
SEGMENT FINANCIAL DATA (Details
SEGMENT FINANCIAL DATA (Details) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020USD ($) | Sep. 30, 2019USD ($) | Sep. 30, 2020USD ($) | Sep. 30, 2019USD ($) | |
Segment Reporting Information [Line Items] | ||||
Number of Operating Segments | 4 | |||
Net Sales | $ 7,797 | $ 9,086 | $ 23,737 | $ 27,213 |
Total segment profit | 1,553 | 1,928 | 4,786 | 5,707 |
Products [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net Sales | 5,885 | 6,793 | 17,933 | 20,496 |
Services [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net Sales | 1,912 | 2,293 | 5,804 | 6,717 |
Corporate | ||||
Segment Reporting Information [Line Items] | ||||
Total segment profit | (7) | (54) | (73) | (202) |
Aerospace | ||||
Segment Reporting Information [Line Items] | ||||
Net Sales | 2,662 | 3,544 | 8,566 | 10,393 |
Aerospace | Operating Segments [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net Sales | 2,662 | 3,544 | 8,566 | 10,393 |
Total segment profit | 617 | 908 | 2,082 | 2,653 |
Aerospace | Operating Segments [Member] | Products [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net Sales | 1,623 | 2,213 | 5,335 | 6,462 |
Aerospace | Operating Segments [Member] | Services [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net Sales | 1,039 | 1,331 | 3,231 | 3,931 |
Honeywell Building Technologies | ||||
Segment Reporting Information [Line Items] | ||||
Net Sales | 1,305 | 1,415 | 3,763 | 4,254 |
Honeywell Building Technologies | Operating Segments [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net Sales | 1,305 | 1,415 | 3,763 | 4,254 |
Total segment profit | 282 | 297 | 794 | 868 |
Honeywell Building Technologies | Operating Segments [Member] | Products [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net Sales | 972 | 1,091 | 2,807 | 3,283 |
Honeywell Building Technologies | Operating Segments [Member] | Services [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net Sales | 333 | 324 | 956 | 971 |
Performance Materials and Technologies | ||||
Segment Reporting Information [Line Items] | ||||
Net Sales | 2,252 | 2,670 | 6,867 | 7,977 |
Performance Materials and Technologies | Operating Segments [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net Sales | 2,252 | 2,670 | 6,867 | 7,977 |
Total segment profit | 442 | 582 | 1,373 | 1,790 |
Performance Materials and Technologies | Operating Segments [Member] | Products [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net Sales | 1,803 | 2,129 | 5,510 | 6,437 |
Performance Materials and Technologies | Operating Segments [Member] | Services [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net Sales | 449 | 541 | 1,357 | 1,540 |
Safety and Productivity Solutions | ||||
Segment Reporting Information [Line Items] | ||||
Net Sales | 1,578 | 1,457 | 4,541 | 4,589 |
Safety and Productivity Solutions | Operating Segments [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net Sales | 1,578 | 1,457 | 4,541 | 4,589 |
Total segment profit | 219 | 195 | 610 | 598 |
Safety and Productivity Solutions | Operating Segments [Member] | Products [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net Sales | 1,487 | 1,360 | 4,281 | 4,314 |
Safety and Productivity Solutions | Operating Segments [Member] | Services [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net Sales | $ 91 | $ 97 | $ 260 | $ 275 |
SEGMENT FINANCIAL DATA 2 (Detai
SEGMENT FINANCIAL DATA 2 (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Reconciliation of Operating Profit (Loss) from Segments to Consolidated [Abstract] | ||||
Total segment profit | $ 1,553 | $ 1,928 | $ 4,786 | $ 5,707 |
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | ||||
Interest and other financial charges | (101) | (96) | (264) | (266) |
Repositioning and other charges | (144) | (96) | (486) | (306) |
Income before taxes | 1,148 | 1,967 | 4,302 | 5,791 |
Segment Reconciling Items [Member] | ||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | ||||
Interest and other financial charges | (101) | (96) | (264) | (266) |
Stock compensation expense | (40) | (37) | (118) | (112) |
Repositioning and other charges | (144) | (96) | (486) | (306) |
Other | (330) | 106 | (249) | 284 |
Income before taxes | 1,148 | 1,967 | 4,302 | 5,791 |
Segment Reconciling Items [Member] | Pension [Member] | ||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | ||||
Pension ongoing income | 197 | 150 | 593 | 449 |
Segment Reconciling Items [Member] | Other Postretirement [Member] | ||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | ||||
Pension ongoing income | 13 | 12 | 40 | 35 |
Corporate | ||||
Reconciliation of Operating Profit (Loss) from Segments to Consolidated [Abstract] | ||||
Total segment profit | (7) | (54) | (73) | (202) |
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | ||||
Repositioning and other charges | $ (33) | $ (22) | $ (77) | $ (123) |
PENSION BENEFITS (Details)
PENSION BENEFITS (Details) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Defined Benefit Plan Disclosure [Line Items] | ||||
Payments for Repurchase of Common Stock | $ 2,149,000,000 | $ 3,650,000,000 | ||
United States, Defined Benefit [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Payments for Repurchase of Common Stock | $ 100,000,000 | 100,000,000 | 300,000,000 | |
Service cost | $ 25,000,000 | 21,000,000 | 74,000,000 | 63,000,000 |
Interest cost | 116,000,000 | 153,000,000 | 346,000,000 | 460,000,000 |
Expected return on plan assets | (284,000,000) | (279,000,000) | (851,000,000) | (837,000,000) |
Amortization of prior service (credit) | (11,000,000) | (11,000,000) | (32,000,000) | (33,000,000) |
Net periodic benefit (income) | (154,000,000) | (116,000,000) | (463,000,000) | (347,000,000) |
Non-US, Defined Benefit [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | 6,000,000 | 4,000,000 | 17,000,000 | 16,000,000 |
Interest cost | 26,000,000 | 34,000,000 | 78,000,000 | 106,000,000 |
Expected return on plan assets | (84,000,000) | (81,000,000) | (249,000,000) | (248,000,000) |
Amortization of prior service (credit) | 0 | 0 | 0 | 0 |
Net periodic benefit (income) | $ (52,000,000) | $ (43,000,000) | $ (154,000,000) | $ (126,000,000) |
COMMITMENTS AND CONTINGENCIES_2
COMMITMENTS AND CONTINGENCIES (Details) - USD ($) $ in Millions | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2020 | Dec. 31, 2019 | |
Accrual for Environmental Loss Contingencies [Roll Forward] | |||
Beginning of period | $ 709 | ||
Accruals for environmental matters deemed probable and reasonably estimable | 127 | ||
Environmental liability payments | (166) | ||
Other | (4) | ||
End of period | 666 | ||
Loss Contingency, Classification of Accrual [Abstract] | |||
Accrued liabilities | $ 222 | $ 222 | |
Other liabilities | 444 | 487 | |
Total environmental liabilities | $ 666 | $ 666 | $ 709 |
COMMITMENTS AND CONTINGENCIES 2
COMMITMENTS AND CONTINGENCIES 2 (Details) | 9 Months Ended |
Sep. 30, 2020USD ($) | |
Asbestos Related Liabilities [Member] | |
Loss Contingency Accrual [Roll Forward] | |
Asbestos Related Liabilities, Beginning of Period | $ 2,357,000,000 |
Accrual for update to estimated liability | 59,000,000 |
Asbestos related liability payments | (210,000,000) |
Asbestos Related Liabilities, End of Period | 2,206,000,000 |
Asbestos Related Liabilities Insurance Recoveries [Line Items] | |
Insurance Recoveries, beginning of period | 434,000,000 |
Probable insurance recoveries related to estimated liability | 0 |
Insurance receipts for asbestos related liabilities | (17,000,000) |
Insurance receivables settlements | (1,000,000) |
Insurance recoveries, end of period | 416,000,000 |
Bendix Asbestos Loss Contingency Liability [Member] | |
Loss Contingency Accrual [Roll Forward] | |
Asbestos Related Liabilities, Beginning of Period | 1,499,000,000 |
Accrual for update to estimated liability | 45,000,000 |
Asbestos related liability payments | (143,000,000) |
Asbestos Related Liabilities, End of Period | 1,401,000,000 |
Asbestos Related Liabilities Insurance Recoveries [Line Items] | |
Insurance Recoveries, beginning of period | 153,000,000 |
Probable insurance recoveries related to estimated liability | 0 |
Insurance receipts for asbestos related liabilities | (10,000,000) |
Insurance receivables settlements | 0 |
Insurance recoveries, end of period | 143,000,000 |
Narco Asbestos Loss Contingency Liability [Member] | |
Loss Contingency Accrual [Roll Forward] | |
Asbestos Related Liabilities, Beginning of Period | 858,000,000 |
Accrual for update to estimated liability | 14,000,000 |
Asbestos related liability payments | (67,000,000) |
Asbestos Related Liabilities, End of Period | 805,000,000 |
Asbestos Related Liabilities Insurance Recoveries [Line Items] | |
Insurance Recoveries, beginning of period | 281,000,000 |
Probable insurance recoveries related to estimated liability | 0 |
Insurance receipts for asbestos related liabilities | (7,000,000) |
Insurance receivables settlements | (1,000,000) |
Insurance recoveries, end of period | $ 273,000,000 |
COMMITMENTS AND CONTINGENCIES 3
COMMITMENTS AND CONTINGENCIES 3 (Details) - USD ($) $ in Millions | Sep. 30, 2020 | Dec. 31, 2019 |
Loss Contingency, Narco and Bendix Asbestos Related Balances by Balance Sheet Caption [Line Items] | ||
Insurance recoveries for asbestos related liabilities | $ 374 | $ 392 |
Asbestos related liabilities | 1,845 | 1,996 |
Asbestos Related Liabilities [Member] | ||
Loss Contingency, Narco and Bendix Asbestos Related Balances by Balance Sheet Caption [Line Items] | ||
Other current assets | 42 | 42 |
Insurance recoveries for asbestos related liabilities | 374 | 392 |
Total assets | 416 | 434 |
Accrued liabilities | 361 | 361 |
Asbestos related liabilities | 1,845 | 1,996 |
Total liabilities | $ 2,206 | $ 2,357 |
COMMITMENTS AND CONTINGENCIES 4
COMMITMENTS AND CONTINGENCIES 4 (Details) - USD ($) $ in Millions | 9 Months Ended | ||||
Sep. 30, 2020 | Dec. 31, 2019 | Dec. 31, 2013 | Dec. 31, 2006 | Dec. 31, 2002 | |
Asbestos Related Liabilities [Member] | |||||
Loss Contingency By Nature Of Contingency [Line Items] | |||||
Loss Contingency Accrual | $ 2,206 | $ 2,357 | |||
Loss Contingency, Receivable | 416 | 434 | |||
Bendix Asbestos Loss Contingency Liability [Member] | |||||
Loss Contingency By Nature Of Contingency [Line Items] | |||||
Loss Contingency Accrual | 1,401 | 1,499 | |||
Loss Contingency, Receivable | 143 | 153 | |||
Narco Asbestos Loss Contingency Liability [Member] | |||||
Loss Contingency By Nature Of Contingency [Line Items] | |||||
Loss Contingency Accrual | 805 | 858 | |||
Loss Contingency, Receivable | 273 | $ 281 | |||
Estimated liability | $ 3,200 | ||||
Change in NARCO Trust liability. | $ (207) | ||||
Annual Trust Cap | 145 | ||||
Exceptions To Cap [Abstract] | |||||
Value Not Included In Cap | 100 | ||||
Narco Asbestos Loss Contingency Liability [Member] | Minimum [Member] | |||||
Loss Contingency By Nature Of Contingency [Line Items] | |||||
Estimated liability | 743 | ||||
Narco Asbestos Loss Contingency Liability [Member] | Maximum [Member] | |||||
Loss Contingency By Nature Of Contingency [Line Items] | |||||
Estimated liability | 961 | ||||
Pre-bankruptcy NARCO Liability [Member] | |||||
Loss Contingency By Nature Of Contingency [Line Items] | |||||
Loss Contingency Accrual | 145 | ||||
Estimated liability | 2,200 | ||||
Change in NARCO Trust liability. | (2,000) | ||||
NARCO Trust Liability [Member] | |||||
Loss Contingency By Nature Of Contingency [Line Items] | |||||
Loss Contingency Accrual | 660 | ||||
Estimated liability | $ 743 | $ 743 | 950 | ||
Other NARCO bankruptcy-related obligations [Member] | |||||
Loss Contingency By Nature Of Contingency [Line Items] | |||||
Estimated liability | $ 73 | ||||
Annual Contribution Claims [Member] | |||||
Loss Contingency By Nature Of Contingency [Line Items] | |||||
Change in NARCO Trust liability. | (83) | ||||
Exceptions To Cap [Abstract] | |||||
Settlement payments | $ 54 |
COMMITMENTS AND CONTINGENCIES 5
COMMITMENTS AND CONTINGENCIES 5 (Details) - Bendix Asbestos Loss Contingency Liability [Member] - claim | 9 Months Ended | 12 Months Ended | |
Sep. 30, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Loss Contingency Claims [Abstract] | |||
Claims unresolved at the beginning of period | 6,480 | 6,209 | 6,280 |
Claims filed during the period | 1,621 | 2,659 | 2,430 |
Claims resolved during the period | (1,680) | (2,388) | (2,501) |
Claims unresolved at the end of period | 6,421 | 6,480 | 6,209 |
COMMITMENTS AND CONTINGENCIES 6
COMMITMENTS AND CONTINGENCIES 6 (Details) - Bendix Asbestos Loss Contingency Liability [Member] - claim | Sep. 30, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Loss Contingency Disease Distribution Of Unresolved Claims [Line Items] | ||||
Mesothelioma and other cancer claims | 3,404 | 3,399 | 2,949 | |
Nonmalignant claims | 3,017 | 3,081 | 3,260 | |
Total claims | 6,421 | 6,480 | 6,209 | 6,280 |
COMMITMENTS AND CONTINGENCIES 7
COMMITMENTS AND CONTINGENCIES 7 (Details) - $ / claims | 12 Months Ended | ||||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Resolution Values Per Claim [Line Items] | |||||
Malignant claims | 50,200 | 55,300 | 56,000 | 44,000 | 44,000 |
Nonmalignant claims | 3,900 | 4,700 | 2,800 | 4,485 | 100 |
COMMITMENTS AND CONTINGENCIES 8
COMMITMENTS AND CONTINGENCIES 8 (Details) € in Millions, $ in Millions | 9 Months Ended | 10 Months Ended | 12 Months Ended | |
Sep. 30, 2020USD ($) | Oct. 30, 2020USD ($) | Dec. 31, 2020USD ($) | Sep. 30, 2020EUR (€) | |
Garrett Indemnification And Reimbursement Receivables [Member] | ||||
Loss Contingencies [Line Items] | ||||
Reimbursement Receivables | $ 1,400 | |||
Resideo [Member] | Environmental Liabilities [Member] | ||||
Loss Contingencies [Line Items] | ||||
Indemnification and reimbursement agreement annual cap | 140 | |||
Indemnification and reimbursement agreement minimum amount | 25 | |||
Reimbursements from indemnification and reimbursement agreement | 70 | |||
Reimbursement receivable indemnification and reimbursement agreement | 107 | |||
Indemnity and reimbursement receivable recorded In Other Current Assets | 140 | |||
Indemnity and reimbursement receivable recorded In Other Assets | 482 | |||
Resideo [Member] | Environmental Liabilities [Member] | Forecast [Member] | Original Due Date April 30, 2020 [Member] | ||||
Loss Contingencies [Line Items] | ||||
Reimbursements from indemnification and reimbursement agreement | $ 35 | |||
Garrett [Member] | Bendix Asbestos Loss Contingency Liability [Member] | ||||
Loss Contingencies [Line Items] | ||||
Indemnification and reimbursement agreement annual cap | 175 | € 150 | ||
Indemnification and reimbursement agreement minimum amount | 25 | |||
Reimbursements from indemnification and reimbursement agreement | 36 | |||
Reimbursement receivable indemnification and reimbursement agreement | 38 | |||
Garrett [Member] | Bendix Asbestos Loss Contingency Liability [Member] | Garrett Indemnification And Reimbursement [Member] | ||||
Loss Contingencies [Line Items] | ||||
Reimbursement Receivables | 1,121 | |||
Garrett [Member] | Bendix Asbestos Loss Contingency Liability [Member] | Garrett Tax Matters Agreement [Member] | ||||
Loss Contingencies [Line Items] | ||||
Reimbursement Receivables | 273 | |||
Garrett [Member] | Bendix Asbestos Loss Contingency Liability [Member] | Garrett Other Receivables [Member] | ||||
Loss Contingencies [Line Items] | ||||
Reimbursement Receivables | 13 | |||
Garrett [Member] | Bendix Asbestos Loss Contingency Liability [Member] | Garrett Indemnification And Reimbursement Receivables [Member] | ||||
Loss Contingencies [Line Items] | ||||
Reimbursement Receivables | $ 1,407 | |||
Garrett [Member] | Bendix Asbestos Loss Contingency Liability [Member] | Forecast [Member] | Original Due Date April 1, 2020 [Member] | Garrett Tax Matters Agreement [Member] | ||||
Loss Contingencies [Line Items] | ||||
Reimbursement receivable indemnification and reimbursement agreement | $ 18 | |||
Garrett [Member] | Bendix Asbestos Loss Contingency Liability [Member] | Forecast [Member] | Original Due Date May 1, 2020 [Member] | Garrett Indemnification And Reimbursement [Member] | ||||
Loss Contingencies [Line Items] | ||||
Reimbursement receivable indemnification and reimbursement agreement | $ 2 |
COMMITMENTS AND CONTINGENCIES 9
COMMITMENTS AND CONTINGENCIES 9 (Details) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Garrett Bankruptcy Proposals [Line Items] | ||||
Reimbursement Receivables Charge | $ 350,000,000 | $ 0 | $ 350,000,000 | $ 0 |
Garrett Indemnification And Reimbursement Receivables [Member] | ||||
Garrett Bankruptcy Proposals [Line Items] | ||||
Reimbursement Receivables Charge | 350,000,000 | |||
Reimbursement Receivables | 1,400,000,000 | 1,400,000,000 | ||
Share And Asset Purchase Agreement [Member] | ||||
Garrett Bankruptcy Proposals [Line Items] | ||||
Proposed Purchase Price | 2,600,000,000 | 2,600,000,000 | ||
Current Stockholders Common Stock Co-investment Amount | 350,000,000 | 350,000,000 | ||
Bidding Protections Termination Fee | 63,000,000 | |||
Bidding Protections Expense Reimbursement Maximum Amount | 21,000,000 | |||
Oaktree And Centerbridge Coordination Agreement [Member] | ||||
Garrett Bankruptcy Proposals [Line Items] | ||||
Cash Received By Honeywell | 1,450,000,000 | 1,450,000,000 | ||
Oaktree And Centerbridge Coordination Agreement [Member] | Initial Payment [Member] | ||||
Garrett Bankruptcy Proposals [Line Items] | ||||
Cash Received By Honeywell | 275,000,000 | 275,000,000 | ||
Oaktree And Centerbridge Coordination Agreement [Member] | Payment Over Time [Member] | ||||
Garrett Bankruptcy Proposals [Line Items] | ||||
Cash Received By Honeywell | $ 1,175,000,000 | $ 1,175,000,000 |