Honeywell and Federal-Mogul End Talks Regarding Bendix Friction Materials Business

Honeywell has ended its discussions with Federal-Mogul regarding the possible sale of Honeywell's Bendix friction materials business. After several months of negotiations, the parties were unable to agree on the terms of a deal, said Honeywell officials. The two companies entered into a letter of intent nearly one year ago.

MORRIS TOWNSHIP, NJ — Honeywell has ended its discussions with Federal-Mogul regarding the possible sale of Honeywell’s Bendix friction materials business. After several months of negotiations, the parties were unable to agree on the terms of a deal, said Honeywell officials. The two companies entered into a letter of intent nearly one year ago.

“Our efforts with the automotive friction materials business are now focusing squarely on growth, serving the needs of our worldwide customers and continuing our long history as a global leader in friction materials,” said Chairman and CEO Dave Cote.

The company said the termination of discussions with Federal-Mogul will not impact the 2003 and 2004 financial guidance previously issued by the company.

To learn more about Honeywell, go to: www.honeywell.com.

For additional information about Federal-Mogul, go to: www.federalmogul.com.

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