Honeywell 2004 Annual Report Download - page 120

Item 9. Changes in and Disagreements with Accountants on Accounting and Financial Disclosure
Not Applicable.
Item 9A. Controls and Procedures
Honeywell management, including the Chief Executive Officer and Chief Financial Officer, conducted an evaluation of the
effectiveness of our disclosure controls and procedures as of the end of the period covered by this Annual Report on Form 10-K.
Based upon that evaluation, the Chief Executive Officer and the Chief Financial Officer concluded that such disclosure controls and
procedures were effective as of the end of the period covered by this Annual Report on Form 10-K in alerting them on a timely basis
to material information relating to Honeywell required to be included in Honeywell's periodic filings under the Exchange Act. There
have been no changes that have materially affected, or are reasonably likely to materially affect, Honeywell's internal control over
financial reporting that have occurred during the period covered by this Annual Report on Form 10-K.
Management's Report on Internal Control Over Financial Reporting
Honeywell management is responsible for establishing and maintaining adequate internal control over financial reporting as
defined in Rules 13a-15(f) and 15d-15(f) under the Securities Exchange Act of 1934. Honeywell's internal control over financial
reporting is a process designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of
financial statements for external purposes in accordance with generally accepted accounting principles. Honeywell's internal control
over financial reporting includes those policies and procedures that:
(i) pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and
dispositions of Honeywell's assets;
(ii) provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in
accordance with generally accepted accounting principles, and that receipts and expenditures of the company are being made
only in accordance with authorizations of Honeywell's management and directors; and
(iii) provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use or disposition of
Honeywell's assets that could have a material effect on the financial statements.
Because of its inherent limitations, internal control over financial reporting may not prevent or detect misstatements. Also,
projections of any evaluation of effectiveness to future periods are subject to the risk that controls may become inadequate because of
changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.
Management assessed the effectiveness of Honeywell's internal control over financial reporting as of December 31, 2004. In
making this assessment, management used the criteria set forth by the Committee of Sponsoring Organizations of the Treadway
Commission (COSO) in Internal Control-Integrated Framework.
Based on this assessment, management determined that Honeywell maintained effective internal control over financial reporting as
of December 31, 2004.
Management's assessment of the effectiveness of Honeywell's internal control over financial reporting as of December 31, 2004
has been audited by PricewaterhouseCoopers LLP, an independent registered public accouting firm, as stated in their report which is
included in “Item 8. Financial Statements and Supplementary Data.”
92