Honeywell Merger Under Scrutiny
December 20, 2000
FAIRFIELD, CT — The Justice Department has announced that it will review documents concerning the planned $45 billion purchase of Honeywell International Inc. by General Electric Co. The Wall Street Journal reported that antitrust officials will likely file a second request for information, which is often an indication that a deal faces tough review. However, the newspaper quoted sources close to the review as saying an initial evaluation by a Justice Department task force did not identify any major competitive issues. The sources said the Justice Department is expected to focus on a handful of narrow markets for parts, such as auxiliary power units and jet engine controls. They may also want assurances that the companies won’t bundle their products — requiring GE jet engine customers to buy Honeywell avionics, for example.
Publication date: 12/25/2000