Honeywell 2012 Annual Report Download - page 131

Plan was terminated and all shares remaining in the plan on that date were transferred to direct
registration accounts maintained by the Corporation’s stock transfer agent. 20,692 Company
matching shares awarded to participants in 2009 vested in November 2012, and an additional
17,506 shares were credited to participants’ accounts as a result of dividend reinvestment.
Another sub-plan of the Honeywell Global Stock Plan, the UK Sharebuilder Plan, allows an eligible
UK employee to contribute a specified percentage of their taxable earnings that is then invested in
shares. The Company matches those shares and dividends paid are used to purchase additional
shares of Common Stock. The match share percentage for 2012 was 62.50%. Matched shares are
subject to a three-year vesting schedule. Shares taken out of the plan before five years lose their
tax-favored status. For the year ending December 31, 2012, 100,678 shares were credited to
participants’ accounts under the UK Sharebuilder Plan.
The remaining two sub-plans of the Honeywell Global Stock Plan, the Honeywell International
Technologies Employees Share Ownership Plan (Ireland) and the Honeywell Measurex (Ireland)
Limited Group Employee Profit Sharing Scheme, allow eligible employees in Ireland to contribute
specified percentages of base pay, bonus or performance pay that are then invested in Common
Stock. Shares must be held in trust for at least two years and lose their tax-favored status if they
are taken out of the plan before three years. For the year ending December 31, 2012, 19,712
shares of Common Stock were credited to participants’ accounts under these two plans.
The remaining 186,933 shares included in column (c) are shares remaining for future grants under
the 2006 Non-Employee Director Plan.
(4) Equity compensation plans not approved by shareowners that are included in the table are the
Supplemental Non-Qualified Savings Plan for Highly Compensated Employees of Honeywell
International Inc. and its Subsidiaries, and the AlliedSignal Incentive Compensation Plan for
Executive Employees of AlliedSignal Inc. and its Subsidiaries.
The Supplemental Non-Qualified Savings Plan for Highly Compensated Employees of Honeywell
International Inc. and its Subsidiaries is an unfunded, non-tax qualified plan that provides benefits
equal to the employee deferrals and company matching allocations that would have been provided
under Honeywell’s U.S. tax-qualified savings plan if the Internal Revenue Code limitations on
compensation and contributions did not apply. The Company matching contribution is credited to
participants’ accounts in the form of notional shares of Common Stock. The notional shares are
distributed in the form of actual shares of Common Stock when payments are made to participants
under the plan. The number of shares to be issued under this plan based on the value of the
notional shares as of December 31, 2012 is 565,113.
The AlliedSignal Incentive Compensation Plan for Executive Employees of AlliedSignal Inc. and its
Subsidiaries was a cash incentive compensation plan maintained by AlliedSignal Inc. This plan has
expired. Employees were permitted to defer receipt of a cash bonus payable under the plan and
invest the deferred bonus in notional shares of Common Stock. The notional shares are distributed
in the form of actual shares of Common Stock when payments are made to participants under the
plan. No further deferrals can be made under this plan. The number of shares of Common Stock
that remain to be issued under this expired plan as of December 31, 2012 is 29,566.
The Deferred Compensation Plan for Non-Employee Directors of Honeywell International Inc.
provides for mandatory and elective deferral of certain payments to non-employee directors.
Mandatory deferrals are invested in notional shares of Common Stock. Directors may also invest
any elective deferrals in notional shares of Common Stock. Because the notional shares are
distributed in the form of cash when payments are made to directors under the plan, they are not
included in the table above.
(5) Column (b) does not include any exercise price for notional shares allocated to employees under
Honeywell’s equity compensation plans not approved by shareowners because all of these shares
are notionally allocated as a matching contribution under the non-tax qualified savings plans or as
a notional investment of deferred bonuses or fees under the cash incentive compensation and
directors’ plans as described in note 4 and are only settled for shares of Common Stock on a one-
for-one basis.
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