Honeywell 2003 Annual Report Download - page 345

Aerospace segment profit in 2003 decreased by 7 percent compared with 2002 due
mainly to lower sales of commercial original equipment and higher-margin
commercial after-market spare parts. Aerospace segment profit in 2002 decreased
by 18 percent compared with 2001 due mainly to lower sales of higher-margin
commercial aftermarket products such as avionics upgrades and spare parts and
contract losses. This decrease was partially offset by lower costs primarily
from workforce reductions.
Automation and Control Solutions
(Dollars in Millions) 2003 2002 2001
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Net sales ....................................... $7,464 $6,978 $7,185
% change compared with prior year ............... 7 % (3)% (3)%
Segment profit .................................. $ 843 $ 860 $ 774
% change compared with prior year ............... (2)% 11 % (15)%
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Automation and Control Solutions sales in 2003 increased by 7 percent compared
with 2002 due to favorable effects of foreign exchange of 5 percent and
acquisitions, net of the disposition of our Consumer Products business, of 4
percent, partially offset by the impact of lower prices and volumes of 1 percent
each. Sales increased by 11 percent for our Automation and Control Products
business as the favorable effects of foreign exchange
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