The ratings on Morris Township, N.J.-based Honeywell International Inc. (Honeywell) reflect the company's "strong" business risk profile and "modest" financial risk profile. We expect Honeywell's credit measures to improve in 2012; we expect more than 4% organic growth in 2012, potentially supplemented by acquisitions and a 50-basis-point improvement in segment margin. We expect growth to be strongest in the nondefense aerospace market, and for overall demand to be supported by a slow global economic recovery despite a weak outlook for Europe. Despite $1.65 billion of contributions in 2011, Honeywell's underfunded pension status remained sizable at the end of 2011 because, in part, of a lower discount rate. Cash balances of about $4 billion at the end of March 2012 provide
