Honeywell 2007 Annual Report Download - page 144

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 to ensure information required to be disclosed in the reports
that Honeywell files or submits under the Exchange Act is recorded, processed, sumarized, and reported within
the time periods specified in the Securities and Exchange Commission rules and forms. 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, 2007. 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, 2007.
The effectiveness of Honeywell's internal control over financial reporting as of December 31, 2007 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."
102