United Tech to decide on breakup of businesses by end of 2018
LOS ANGELES — Aero parts maker United Technologies Corp. (UTC) is exploring a breakup of its business portfolio, including jet engines, elevators and air-conditioners, Chief Executive Greg Hayes said at the Barclays investor conference in Miami on Wednesday.
Hayes said a decision on whether UTC, which makes Otis Elevators, Pratt & Whitney aircraft engines and Carrier airconditioners, would be a more “valuable property together” or “better off in three separate businesses” by the end of 2018.
The CEO’s comment comes nearly a month after he indicated that a review was possible only after the closure of its acquisition of avionics and interiors maker Rockwell Collins, Inc. by the third quarter of 2018.
Hayes said on Wednesday if the company were to split, its aerospace business would have about $ 45 billion to $ 50 billion in sales, Otis elevators unit about $ 12 billion to $ 13 billion, and the climate- control business about $ 17 billion to $ 18 billion. —