The unexpected retirement of United Technologies CEO Louis Chenevert was precipitated in part by what company directors viewed as his excessive attention to private interests, The Wall Street Journal reported on Saturday.
Two weeks after making a brief stop in Taiwan to oversee the construction of a luxury 110-foot yacht, Chenevert abruptly departed the industrial giant. The Journal reports that pressure had been building on the CEO from the board of directors, who felt that he was less engaged at his job than he should have been.
Sources within the company told the publication that a board member inquired about Chenevert's priorities, and why he seemed less involved in UTX's operational matters. Ultimately, the 20-year UTX veteran decided to retire, and directors opted to accept his resignation in a three-hour pre-Thanksgiving meeting.
Edward Kangas, then United Technologies' lead independent director, questioned Chenevert directly after he stopped in Taiwan to check in on the construction of his latest yacht, The Journal reported.
"It wasn't a crisis. It was just a growing issue and concern which caused me, with counsel from the board, to discuss with Louis his priorities—personal and business," Kangas told the Journal in an interview.
pedro,.......You're giving Louie too much credit. He became COO of UTC in 2006. He was in command when UTC acquired Clipper Wind which turned into a $500.M loss for UTC. Greg Hayes said that Clipper Wind was a mistake........Kid
Using 3kWh / mile, that works out to about 60¢/ mile. A gasoline powered car is about 8 1/2 ¢ / mile with $2.60 / gal / fuel. Clearly, saving $ on fuel is not a benefit of EV's.....Kid
Another former employee of United Technologies Corp. has been arrested by federal authorities and accused of trying to take sensitive documents relating to military aerospace programs to another country.
In a criminal complaint unsealed Tuesday at U.S. District Court in Bridgeport, authorities say that Yu Long, 36, attempted to bring to China defense documents that were labeled with warnings against copying them or taking them outside the country.
In August, Long returned from a trip to China with documents detailing his former employment as a scientist and engineer with the defense contractor; $10,000 in cash, which he had not declared; and paperwork to apply for work with a state-controlled aerospace research center in China, the complaint said.
Three months later, Long planned another trip to China, this time packing three documents related to a defense industry group researching the affordability of certain aerospace metals, federal officials said. Authorities say they found the papers in Long's checked baggage on Nov. 7 when he was in Newark meeting a connecting flight to China.
ctb,.........UAC / Pratt and UTC had been in fuel cells since 1962. The PC-3A fuel cell was used on the Apollo missions. The Apollo fuel cell ran on 99.9 % pure hydrogen and 99.9% pure oxygen and produced the highest efficiencies for fuel cells, even to this day. Even better, the government funded the programs. The commercialization of fuel cells was another initiative that was subsidized by the American Gas Association. Later Toshiba became a partner. The UTC fuel cells are probably the best out there, but, not profitable. So, it was a good divesture. George David had minimal influence in the evolution of UTC fuel cells........Kid
coolguy,.....I saw Louie bawling his eyes out, depositing $172.M in the bank . He said he will name his yacht "Monkey Business".........Kid
NEW YORK — In his first analyst meeting as chief executive of United Technologies Corp., Gregory Hayes said Thursday the company has a strong future, even as it released earnings projections that were far short of what Wall Street expected.
Hayes presented a business update to a group of analysts, but he also spent a good deal of time clearing the air of rumors, like whether the company will sell Sikorsky or try to break its latest aircraft engine into the larger plane market.
"So what am I going to do?" Hayes said rhetorically. "Not much different, maybe a little."
Hayes quickly dismissed the idea that the company would sell Sikorsky Aircraft Company, which has thinner profit margins than other United Technologies division. Hayes highlighted that Sikorsky has four of the six largest Pentagon helicopter programs, and landed major new programs this year.
"We are not going to sell Sikorsky," Hayes told analysts, many of whom raised the possibility of a sale in research notes following the management shakeup that put Hayes in charge two weeks ago. In the same presentation, however, Hayes pledged to take a "disciplined and dispassionate" look at the company's portfolio.
"I say Sikorsky is not for sale," he said. "It's not for sale today, … but there are no sacred cows."
To the question of whether United Technologies could possibly split into two companies, one for aerospace and another for commercial building systems, Hayes said that is not in the cards. The size of the company allows it to invest $10 billion into a new Pratt engine, as it has, or make large acquisitions like Goodrich Corp.
But he wouldn't close the door all the way to a split: "If we can't leverage those scale opportunities then perhaps they shouldn't be together."
Hayes also said that Pratt & Whitney, which is expected to have lower profits next year, would not be adding a larger version of its PurePower engine to target the market for larger aircraft.
"We are not going to build a new engine in the wide-body space," Hayes said.
While much of the outlook showed the new chief executive staying the course, the profit numbers the company released were short of Wall Street expectations.
For the last quarter of 2014, United Technologies said it should earn $1.60 a share, almost a dime less than what Wall Street had expected the company to earn.
And for 2015, higher pension costs and the effects of a strengthening dollar will weigh on next year's earnings. The company expects to earn $7.10 per share, a mark that is higher than this year but nearly 20 cents short of what a survey of analysts expected the company to earn next year. United Technologies said sales would be about $65 billion next year.
Hayes directly addressed the lackluster performance of the company's stock. "The returns on this company's stock have not been good in the past couple of years," Hayes said. "We have underperformed, full stop."
Hayes said the company would be more aggressive and forceful in the mergers and acquisitions arena, for which the company has set aside $1 billion next year.
"There are opportunities," he said. "There are bigger deals that can and should be done." And if those deals cannot be done, he will add those funds to the $2 billion to $3 billion the company plans to spend on buying back the company's shares.
Hayes also addressed his predecessor, saying former chief executive Louis Chênevert "has left quite a legacy. I have a great team and a great company. … He has left us with a great hand."
Alain Bellemare, chief executive of UTC Propulsion & Aerospace Systems, the division that includes Pratt & Whitney, said the engine maker would have a tough year in 2015.
Sales are projected to increase, but profits will be down for three reasons: higher sales of new engines, which the company loses money on; lower sales of military engines; and higher pension expenses.
Hayes said one of the first calls he made as chief executive was to Gov. Dannel P. Malloy.
"Connecticut will remain the home of UTC well into the future," Hayes said. "It ain't low cost, we've said that before. But it has a very good workforce."
MMM has increased their div 20%, BA..15%.........UTX must raise the div at least 10% so that it will not disappoint. Hayes is a financial guy, he certainly knows this. Pratt salary has 7 furlough days scheduled for 2015, Pratt will meet their numbers. If Pratt fails to deliver, there will be more crew members for Louie's yacht. I think that airborne has already signed up to crew. W2B will be in the galley doing the cooking along with some occasional whining. I have a stop in today on my private UTX holdings, I'm not going to lose a profit capture.....Kid
A group of golfing buddies, all in their 40's, discussed where they should meet for lunch. Finally, it was agreed that they would meet at Hooters, because it wasn't far from the course, the waitresses were young, good looking, showed lots of cleavage and wore short-shorts.
Ten years later, at age 50, the golfing buddies once again discussed where they should meet for lunch. Finally, it was agreed that they would meet at Hooters, because the food and service was good, they had many televisions to watch the games on and the beer selection was excellent.
Ten years later, at age 60, the gang again discussed where they should meet for lunch. Finally, it was agreed that they would meet at Hooters, because there was plenty of parking, they could dine in peace, and it was a good value for the money.
Ten years later, at age 70, they discussed where they should meet for lunch. Finally, it was agreed that they would meet at Hooters, because the restaurant was wheelchair accessible and had a toilet for the disabled.
Ten years later, at age 80, the friends discussed where they should meet for lunch. Finally, it was agreed that they would meet at Hooters, because they had never been there before.
Facing continuing financial challenges as it rolls out new commercial and military engines, Pratt & Whitney will furlough thousands of salaried workers for seven days next year to control costs.
The engine maker's vice president of human resources said employees will see a temporary pay adjustment for seven holidays that they would have otherwise been paid for.
"We won't see the benefit of our new programs for a few years and, as a result, our business continues to face significant near-term financial challenges," Vice President of Human Relations Nadia Villeneuve said in a memo obtained by The Courant.
Pratt & Whitney, a division of United Technologies Corp., has about 9,000 employees in Connecticut, two-thirds of which are salaried workers.
The company has spent billions to develop its latest quiet and fuel-efficient commercial aircraft engine, which has continued to be costly as the company works those engines onto the wings of six different types of aircraft.
And while the company will build thousands of new engines in coming years, which will increase sales significantly, profits on commercial engine sales only comes once they require maintenance and replacement parts. United Technologies executives expect the particular mix of new commercial engine sales next year to result in a $125 million reduction in operating profits.
The furloughs build on cost-cutting actions the company has taken in recent years to prepare for this mix of low-profit commercial sales combined with slower than initially expected military engine orders. To cut costs the company has also laid off and bought out workers, reduced contract and temporary employees, and cut travel expenditures, Villeneuve said in the memo.
The furloughs will be implemented at Pratt & Whitney locations worldwide, except in areas where they are precluded by local law or business conditions. In those areas, the company will find other ways to cut costs. The company has about 33,000 salaried and hourly employees worldwide.
The days that salaried U.S. employees will not work are the Monday after Easter, April 6; the Friday of Memorial Day weekend, May 22; the Monday of the Fourth of July weekend, July 6; the Friday of Labor Day weekend, Sept. 4; the Monday of Columbus Day weekend, Oct. 12; the Wednesday before Thanksgiving, Nov. 25; and Christmas Eve, Dec. 24.
Just registered a car in FL, my insurance with the same company that I had in CT is more expensive in FL. I asked why and the rep said that it was due to higher fraud activity in FL. Billboards are loaded with ads for lawyers, injury, accident, divorce,etc. "First, you have to kill all the lawyers.".....Kid
What's black and brown and looks good on a lawyer?..........A Doberman
What's the difference between a lawyer and a prostitute?....A prostitute stops screwing you when you're dead.
Dec 19 (Reuters) - Pratt & Whitney said on Friday its engine for Airbus' A320neo family of narrowbody airplanes has won certification from the Federal Aviation Administration.
The certification marks a key milestone for the engine and the A320neo, which is scheduled to enter into service in the 2015 fourth quarter. Pratt's engine powered the A320neo when it took its maiden test flight in September. Pratt is a unit of United Technologies Corp.
The Airbus jet is viewed as the most critical commercial platform for Pratt's new geared turbofan engine that is designed to be more fuel efficient than older models.
Airbus has tallied more than 3,300 orders for the A320neo family of jets as of November, according to the company's website.
Pratt said with enhancements, its engine is expected to help deliver 20 percent fuel-burn savings per seat for the A320neo by 2020.
"I had no problem then just as I have no problem now. I have made my money and the problem I have now is spending it. It is a good problem to have. Also I am ahead on the trades I have made. Been a good year for me.".......W2B, ..You were supposed to share your trades concurrently with this board so could be as successful as you. Some of us would be willing to help you with your "spending the money" problem......Kid
Flyer,......I looked at EMR after you gave it a "superb" rating. In the past two years, UTX is up 43%, EMR is up 19%, UTX P/E is 17, EMR is 21, UTX dividend yield is 2.1%,EMR is 1.7%. EMR has a filing that talks of currency headwinds. So, if EMR is superb, what is UTX? I look for future investment opportunities, but am near my comfort level of how many stocks I own and trade. EMR will not be on my list of future candidates.......Kid
airborne,... "Florida is God's waiting room." That's what I told my dentist in CT, he said, "That's OK as long as you don't go to the front of the line"............Kid.