The ratings on Honeywell International Inc. reflect substantial operating diversity, solid competitive positions, a strong financial profile, and a moderate financial policy. The firm provides aerospace products and services (about 40% of revenues), automation and control technologies for buildings (30%), specialty materials (15%; nylon, fluorine products, specialty chemicals, performance fibers, and electronic materials), and transportation and power products (15%). In the wake of the Sept. 11, 2001, terrorist attacks against the U.S., commercial aerospace intermediate-term business prospects deteriorated significantly. Weaker air traffic, losses at airlines, grounded aircraft, lower passenger confidence, and a slower global economy will clearly constrain orders for new planes. Fewer jetliners in service and lower aircraft use will also impact Honeywell's higher-margin aftermarket products and services. The
