10-K

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549

Form 10-K

x ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934
For the fiscal year ended December 31, 2015
OR
o TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934
For the transition period from to
Commission file number 1-8974

Honeywell International Inc.

(Exact name of registrant as specified in its charter)

Delaware	22-2640650
(State or other jurisdiction of incorporation or organization)	(I.R.S. Employer Identification No.)
115 Tabor Road Morris Plains, New Jersey	07950
(Address of principal executive offices)	(Zip Code)

Registrant’s telephone number, including area code (973) 455-2000

Securities registered pursuant to Section 12(b) of the Act:

Title of Each Class	Name of Each Exchange on Which Registered
Common Stock, par value $1 per share*	New York Stock Exchange
91/2% Debentures due June 1, 2016	New York Stock Exchange

* The common stock is also listed on the London Stock Exchange.

Securities registered pursuant to Section 12(g) of the Act: None

Indicate by check mark if the Registrant is a well-known seasoned issuer, as defined in Rule 405 of the Securities Act.

Yes x No o

Indicate by check mark if the Registrant is not required to file reports pursuant to Section 13 or Section 15(d) of the Exchange Act. Yes o No x

Indicate by check mark whether the Registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the Registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes x No o

Indicate by check mark whether the Registrant has submitted electronically and posted on its corporate Website, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§ 232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files). Yes x No o

Indicate by check mark if disclosure of delinquent filers pursuant to Item 405 of Regulation S-K is not contained herein, and will not be contained, to the best of Registrant’s knowledge, in definitive proxy or information statements incorporated by reference in Part III of this Form 10-K or any amendment to this Form 10-K. o

Indicate by check mark whether the Registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company. See definition of “accelerated filer,” “large accelerated filer,” and “smaller reporting company” in Rule 12b-2 of the Exchange Act. (Check One):

Large accelerated filer x      Accelerated filer o      Non-accelerated filer o      Smaller reporting company o      

Indicate by check mark whether the Registrant is a shell company (as defined in Rule 12b-2 of the Act). Yes o No x

The aggregate market value of the voting stock held by nonaffiliates of the Registrant was approximately $80.9 billion at June 30, 2015.

There were 769,322,910 shares of Common Stock outstanding at January 29, 2016.

Documents Incorporated by Reference

Part III: Proxy Statement for Annual Meeting of Shareowners to be held April 25, 2016.

TABLE OF CONTENTS

	Item		Page
Part I	1.	Business	1
		Executive Officers of the Registrant	5
	1A.	Risk Factors	6
	1B.	Unresolved Staff Comments	11
	2.	Properties	11
	3.	Legal Proceedings	11
	4.	Mine Safety Disclosures	11
Part II.	5.	Market for Registrant’s Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities	12
	6.	Selected Financial Data	14
	7.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	15
	7A.	Quantitative and Qualitative Disclosures About Market Risks	31
	8.	Financial Statements and Supplementary Data	32
	9.	Changes in and Disagreements with Accountants on Accounting and Financial Disclosure	83
	9A.	Controls and Procedures	83
	9B.	Other Information	83
Part III.	10.	Directors and Executive Officers of the Registrant	84
	11.	Executive Compensation	84
	12.	Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters	85
	13.	Certain Relationships and Related Transactions	85
	14.	Principal Accounting Fees and Services	85
Part IV.	15.	Exhibits and Financial Statement Schedules	85
Signatures			86

PART I.

Item 1. Business

Honeywell International Inc. (Honeywell or the Company) is a diversified technology and manufacturing company, serving customers worldwide with aerospace products and services, turbochargers, control, sensing and security technologies for buildings, homes and industry, specialty chemicals, electronic and advanced materials, process technology for refining and petrochemicals, and energy efficient products and solutions for homes, business and transportation. Honeywell was incorporated in Delaware in 1985.

Our Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, Current Reports on Form 8-K and any amendments to those reports, are available free of charge on our website (www.honeywell.com) under the heading Investor Relations (see SEC Filings & Reports) immediately after they are filed with, or furnished to, the Securities and Exchange Commission (SEC). In addition, in this Form 10-K, the Company incorporates by reference certain information from parts of its Proxy Statement for the 2016 Annual Meeting of Stockholders, which we expect to file with the SEC on or about March 10, 2016, and which will also be available free of charge on our website.

Major Businesses

We globally manage our business operations through three operating segments: Aerospace, Automation and Control Solutions (ACS), and Performance Materials and Technologies (PMT). Financial information related to our operating segments is included in Note 21 Segment Financial Data of Notes to Financial Statements.

The major products/services, customers/uses and key competitors of each of our operating segments are:

Aerospace

Aerospace is a leading global supplier of aircraft engines, integrated avionics, systems and service solutions, and related products and services for aircraft manufacturers, airlines, aircraft operators, military services, and defense and space contractors. Aerospace is also a leading manufacturer of turbochargers to improve the performance and efficiency of passenger cars and commercial vehicles. Aerospace products and services include auxiliary power units, propulsion engines, environmental control systems, connectivity, electric power systems, engine controls, flight safety, communications, navigation, radar and surveillance systems, aircraft lighting, management and technical services, logistics services, advanced systems and instruments, aircraft wheels and brakes, repair and overhaul services, turbochargers and thermal systems. Aerospace sells its products to original equipment manufacturers (OEMs) in the air transport, regional, business and general aviation aircraft, and automotive and truck manufacturers segments, and provides spare parts and repair and maintenance services (principally to aircraft operators) for the aftermarket.

Automation and Control Solutions

ACS is a leading global provider of products, software and technologies for environmental and energy solutions; sensors, switches and controls for sensing and productivity solutions; security and fire safety products; industrial safety products; and building solutions and services for homes, commercial buildings and industrial facilities. ACS products and services include controls and displays for heating, cooling, indoor air quality, ventilation, humidification, combustion, lighting and home automation; advanced software applications for home/building control and optimization; sensors, switches, control systems and instruments for measuring pressure, air flow, temperature and electrical current; products, services and solutions for measurement, regulation, control and metering of gases and electricity; metering and communications systems for water utilities and industries; security, fire and gas detection; personal protection equipment; access control; video surveillance; remote patient monitoring systems; software and products for high performance data collection including rugged

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mobile computers and printers, bar code scanners and voice technologies; and installation, maintenance and upgrades of systems that keep buildings safe, comfortable and productive.

Performance Materials and Technologies

PMT is a global leader in developing and manufacturing advanced materials, process technologies and automation solutions. UOP provides process technology, products, including catalysts and adsorbents, equipment and consulting services to efficiently produce gasoline, diesel, jet fuel, petrochemicals and renewable fuels for the petroleum refining, gas processing, petrochemical, and other industries. Process Solutions is a pioneer in automation control, instrumentation, services and advanced software for the oil and gas, refining, pulp and paper, industrial power generation, chemicals and petrochemicals, biofuels, life sciences, and metals, minerals and mining industries. Advanced Materials manufactures a wide variety of high-performance products, including fluorocarbons, hydrofluoroolefins, caprolactam, resins, ammonium sulfate fertilizer, phenol, specialty films, waxes, additives, advanced fibers, customized research chemicals and intermediates, and electronic materials and chemicals.

Competition

We are subject to competition in substantially all product and service areas. Some of our key competitors are:

• Aerospace: Borg-Warner (automotive), Garmin, General Electric, Rockwell Collins, Thales and United Technologies

• ACS: 3M, Johnson Controls, Schneider, Siemens and Zebra-Motorola

• PMT: Albemarle, BASF, Dow, Dupont, Emerson and Sinopec

Our businesses compete on a variety of factors, such as price, quality, reliability, delivery, customer service, performance, applied technology, product innovation and product recognition. Brand identity, service to customers and quality are important competitive factors for our products and services, and there is considerable price competition. Other competitive factors include breadth of product line, research and development efforts and technical and managerial capability. While our competitive position varies among our products and services, we believe we are a significant competitor in each of our major product and service classes. Many of our competitors have substantial financial resources and significant technological capabilities. In addition, some of our products compete with the captive component divisions of OEMs.

Aerospace Sales

Our sales to aerospace customers were 39%, 39%, and 40% of our total sales in 2015, 2014 and 2013. Our sales to commercial aerospace OEMs were 8%, 6%, and 7% of our total sales in 2015, 2014 and 2013. In addition, our sales to commercial aftermarket customers of aerospace products and services were 12%, 11%, and 11% of our total sales in 2015, 2014 and 2013.

U.S. Government Sales

Sales to the U.S. Government (principally by Aerospace), acting through its various departments and agencies and through prime contractors, amounted to $3,743 million, $3,693 million and $3,856 million in 2015, 2014 and 2013, which included sales to the U.S. Department of Defense, as a prime contractor and subcontractor, of $2,680 million, $2,792 million and $3,066 million in 2015, 2014 and 2013. U.S. defense spending decreased in 2015 compared to 2014. We do not expect our overall operating results to be significantly affected by any proposed changes in 2016 federal defense spending due principally to the varied mix of the government programs which impact us (OEMs’ production, engineering development programs, aftermarket spares and repairs and overhaul programs), increases in direct foreign defense and space market sales, as well as our diversified commercial businesses.

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Backlog

Our total backlog at December 31, 2015 and 2014 was $18,183 million and $18,313 million. We anticipate that approximately $11,601 million of the 2015 backlog will be filled in 2016. We believe that backlog is not necessarily a reliable indicator of our future sales because a substantial portion of the orders constituting this backlog may be canceled at the customer’s option.

International Operations

We are engaged in manufacturing, sales, service and research and development globally. U.S. exports and non-U.S. manufactured products are significant to our operations. U.S. exports comprised 14% of our total sales in each of 2015, 2014 and 2013. Non-U.S. manufactured products and services, mainly in Europe and Asia, were 39% of our total sales in 2015, and 41% in 2014 and 2013.

Manufactured Products and Systems and Performance of Services	Year Ended December 31, 2015
	Aerospace			ACS			PMT
	(% of Total Sales)
U.S. Exports		22	%		3	%		20	%
Non-U.S.		29	%		48	%		40	%

Raw Materials

The principal raw materials used in our operations are generally readily available. Although we occasionally experience disruption in raw materials supply, we experienced no significant problems in the purchase of key raw materials or commodities in 2015. We are not dependent on any one supplier for a material amount of our raw materials, except related to R240 (a key component in foam blowing agents), a raw material used in PMT.

The costs of certain key raw materials, including cumene, natural gas, R240, sulfur, fluorspar, ethylene and perchloroethylene in PMT and nickel, steel, titanium and other metals in Aerospace, are expected to continue to fluctuate. We will continue to attempt to offset raw material cost increases with formula or long-term supply agreements, price increases and hedging activities where feasible. We do not presently anticipate that a shortage of raw materials will cause any material adverse impacts during 2016.

Patents, Trademarks, Licenses and Distribution Rights

Our segments are not dependent upon any single patent or related group of patents, or any licenses or distribution rights. In our judgment, our intellectual property rights are adequate for the conduct of our business. We believe that, in the aggregate, the rights under our patents, trademarks and licenses are generally important to our operations, but we do not consider any individual patent, trademark or any licensing or distribution rights related to a specific process or product to be of material importance in relation to our total business.

Research and Development

The Company’s principal research and development activities are in the U.S., India, Europe and China. Research and development (R&D) expense totaled $1,856 million, $1,892 million and $1,804 million in 2015, 2014 and 2013. R&D expense was 5% of sales in 2015, 2014 and 2013. Customer-sponsored (principally by the U.S. Government) R&D activities amounted to an additional $998 million, $1,034 million and $969 million in 2015, 2014 and 2013.

Environment

We are subject to various federal, state, local and foreign government requirements regarding protection of human health and the environment. We believe that, as a general matter, our policies, practices and procedures are properly designed to prevent unreasonable risk of environmental damage, and of resulting financial liability, in connection with our business. Some risk of environmental

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damage is, however, inherent in some of our operations and products, as it is with other companies engaged in similar businesses.

We are and have been engaged in the handling, manufacture, use and disposal of many substances classified as hazardous by one or more regulatory agencies. We believe that, as a general matter, our policies, practices and procedures are properly designed to prevent unreasonable risk of environmental damage and personal injury, and that our handling, manufacture, use and disposal of these substances are in accord with environmental and safety laws and regulations. It is also possible that future knowledge or other developments, such as improved capability to detect substances in the environment or increasingly strict environmental laws and standards and enforcement policies, could bring into question our current or past handling, manufacture, use or disposal of these substances.

Among other environmental requirements, we are subject to the federal Superfund and similar state and foreign laws and regulations, under which we have been designated as a potentially responsible party that may be liable for cleanup costs associated with current and former operating sites and various hazardous waste sites, some of which are on the U.S. Environmental Protection Agency’s National Priority List. Although there is a possibility that a responsible party might have to bear more than its proportional share of the cleanup costs if it is unable to obtain appropriate contribution from other responsible parties, to date we have not had to bear significantly more than our proportional share in multi-party situations taken as a whole.

We do not believe that existing or pending climate change legislation, regulation, or international treaties or accords are reasonably likely to have a material effect in the foreseeable future on the Company’s business or markets that it serves, nor on its results of operations, capital expenditures or financial position. We will continue to monitor emerging developments in this area.

Employees

We have approximately 129,000 employees at December 31, 2015, of whom approximately 49,000 are located in the United States.

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Executive Officers of the Registrant

The executive officers of Honeywell, listed as follows, are elected annually by the Board of Directors. There are no family relationships among them.

Name, Age, Date First Elected an Executive Officer	Business Experience
David M. Cote, 63 2002(a)	Chairman of the Board and Chief Executive Officer since July 2002.
Darius Adamczyk, 50 2014	President and Chief Executive Officer Performance Materials and Technologies since April 2014. President of Honeywell Process Solutions from April 2012 to April 2014. President of Honeywell Scanning & Mobility from July 2008 to April 2012.
Katherine L. Adams, 51 2009	Senior Vice President and General Counsel since April 2009.
Roger Fradin, 62 2004	Vice Chairman since April 2014. President and Chief Executive Officer Automation and Control Solutions from January 2004 to April 2014.
Alexandre Ismail, 50 2009	President and Chief Executive Officer Automation and Control Solutions since April 2014. President Energy, Safety and Security from May 2013 to April 2014. President and Chief Executive Officer Transportation Systems from April 2009 to May 2013.
Mark R. James, 54 2007	Senior Vice President Human Resources, Procurement and Communications since November 2007.
Andreas C. Kramvis, 63 2008	Vice Chairman since April 2014. President and Chief Executive Officer Performance Materials and Technologies from March 2008 to April 2014.
Timothy O. Mahoney, 59 2009	President and Chief Executive Officer Aerospace since September 2009.
Krishna Mikkilineni, 56 2010	Senior Vice President Engineering, Operations and Information Technology since April 2013. Senior Vice President Engineering and Operations from April 2010 to April 2013 and President Honeywell Technology Solutions from January 2009 to April 2013.
Thomas A. Szlosek, 52 2014	Senior Vice President and Chief Financial Officer since April 2014. Vice President of Corporate Finance from April 2013 to April 2014. Chief Financial Officer of Automation and Control Solutions from February 2007 to April 2013.

(a) Also a Director.

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Item 1A. Risk Factors

Cautionary Statement about Forward-Looking Statements

We describe many of the trends and other factors that drive our business and future results in Item 7. Management’s Discussion and Analysis of Financial Condition, Results of Operations and in other parts of this report (including this Item 1A). Such discussions contain forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934.

Forward-looking statements are those that address activities, events or developments that management intends, expects, projects, believes or anticipates will or may occur in the future. They are based on management’s assumptions and assessments in light of past experience and trends, current economic and industry conditions, expected future developments and other relevant factors. They are not guarantees of future performance, and actual results, developments and business decisions may differ significantly from those envisaged by our forward-looking statements. We do not undertake to update or revise any of our forward-looking statements. Our forward-looking statements are also subject to risks and uncertainties that can affect our performance in both the near-and long-term. These forward-looking statements should be considered in light of the information included in this Form 10-K, including, in particular, the factors discussed below. These factors may be revised or supplemented in subsequent reports on Forms 10-Q and 8-K.

Risk Factors

Our business, operating results, cash flows and financial condition are subject to the principal risks and uncertainties set forth below, any one of which could cause our actual results to vary materially from recent results or from our anticipated future results.

Macroeconomic and Industry Risks

Industry and economic conditions may adversely affect the markets and operating conditions of our customers, which in turn can affect demand for our products and services and our results of operations.

• Aerospace—Operating results of Aerospace are directly tied to cyclical industry and economic conditions, as well as changes in customer buying patterns of aftermarket parts, supplier stability, factory transitions and capacity constraints. The operating results of our Commercial Original Equipment and Commercial Aftermarket business units may be adversely affected by downturns in the global demand for air travel which impacts new aircraft production or the delay or cancellation of new aircraft orders, delays in launch schedules for new aircraft, the retirement of aircraft and global flying hours, which impact business and general aviation aircraft utilization rates. Operating results in our Defense and Space Systems business unit may be affected by the mix of U.S. and foreign government appropriations for defense and space programs. Operating results in our Transportation Systems business unit may be affected by the level of production and demand for automobiles and trucks equipped with turbochargers, regulatory changes regarding automobile and truck emissions and fuel economy, consumer demand and spending for automotive aftermarket products and delays in launch schedules for new automobile and truck platforms.

• ACS—Operating results may be adversely impacted by downturns in the level of global residential and commercial construction (including retrofits and upgrades), capital spending and operating expenditures on building and process automation, industrial plant capacity utilization and expansion, and inventory levels in distribution channels.

• PMT—Operating results may be adversely impacted by downturns in the capacity utilization for chemical, industrial, refining, petrochemical and semiconductor plants, our customers’ availability of capital for refinery construction and expansion, raw material demand and supply volatility, and our ability to maximize our facilities’ production capacity and minimize downtime. In particular, the volatility in oil and natural gas prices have and will continue to impact our customers’ operating levels and capital spending and thus demand for our products and

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services. Pricing of certain chemical products are driven by raw materials that are correlated to the price of oil, hence revenue could be significantly impacted by volatility in the price of oil.

An increasing percentage of our sales and operations is in non-U.S. jurisdictions and is subject to the economic, political, regulatory, foreign exchange and other risks of international operations.

Our international operations, including U.S. exports, represent more than half of the Company’s sales. Risks related to international operations include exchange control regulations, wage and price controls, antitrust regulations, employment regulations, foreign investment laws, import, export and other trade restrictions (such as embargoes), violations by our employees of anti-corruption laws (despite our efforts to mitigate these risks), changes in regulations regarding transactions with state-owned enterprises, nationalization of private enterprises, acts of terrorism, and our ability to hire and maintain qualified staff and maintain the safety of our employees in these regions. Instability and uncertainties arising from the global geopolitical environment and the cost of compliance with increasingly complex and often conflicting regulations worldwide can impair our flexibility in modifying product, marketing, pricing or other strategies for growing our businesses, as well as our ability to improve productivity and maintain acceptable operating margins.

Operating outside of the United States also exposes us to foreign exchange risk, which we monitor and seek to reduce through hedging activities. However, foreign exchange hedging activities bear a financial cost and may not always be available to us or successful in eliminating such volatility. Finally, we generate significant amounts of cash outside of the United States that is invested with financial and non-financial counterparties. While we employ comprehensive controls regarding global cash management to guard against cash or investment loss and to ensure our ability to fund our operations and commitments, a material disruption to the counterparties with whom we transact business could expose Honeywell to financial loss.

Risks related to our defined benefit pension plans may adversely impact our results of operations and cash flow.

Significant changes in actual investment return on pension assets, discount rates, and other factors could adversely affect our results of operations and require cash pension contributions in future periods. Changes in discount rates and actual asset returns different than our anticipated asset returns can result in significant non-cash actuarial gains or losses which we record in the fourth quarter of each fiscal year, and, if applicable, in any quarter in which an interim re-measurement is triggered. With regard to cash pension contributions, funding requirements for our pension plans are largely dependent upon interest rates, actual investment returns on pension assets and the impact of legislative or regulatory changes related to pension funding obligations.

Operational Risks

Raw material price fluctuations, the ability of key suppliers to meet quality and delivery requirements, or catastrophic events can increase the cost of our products and services, impact our ability to meet commitments to customers and cause us to incur significant liabilities.

The cost of raw materials is a key element in the cost of our products, particularly in PMT (cumene, fluorspar, R240, natural gas, perchloroethylene, sulfur and ethylene) and Aerospace (nickel, steel, titanium and other metals). Our inability to offset material price inflation through increased prices to customers, formula or long-term fixed price contracts with suppliers, productivity actions or through commodity hedges could adversely affect our results of operations.

Many major components, product equipment items and raw materials, particularly in Aerospace, are procured or subcontracted on a single or sole-source basis. Although we maintain a qualification and performance surveillance process and we believe that sources of supply for raw materials and components are generally adequate, it is difficult to predict what effects shortages or price increases may have in the future. Our ability to manage inventory and meet delivery requirements may be

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constrained by our suppliers’ inability to scale production and adjust delivery of long-lead time products during times of volatile demand. Our inability to fill our supply needs would jeopardize our ability to fulfill obligations under commercial and government contracts, which could, in turn, result in reduced sales and profits, contract penalties or terminations, and damage to customer relationships.

We may be unable to successfully execute or effectively integrate acquisitions, and divestitures may not occur as planned.

We regularly review our portfolio of businesses and pursue growth through acquisitions and seek to divest non-core businesses. We may not be able to complete transactions on favorable terms, on a timely basis or at all. In addition, our results of operations and cash flows may be adversely impacted by (i) the failure of acquired businesses to meet or exceed expected returns, (ii) the failure to integrate multiple acquired businesses into Honeywell simultaneously and on schedule and/or to achieve expected synergies, (iii) the inability to dispose of non-core assets and businesses on satisfactory terms and conditions, and (iv) the discovery of unanticipated liabilities or other problems in acquired businesses for which we lack contractual protections, insurance or indemnities or, with regard to divested businesses, claims by purchasers to whom we have provided contractual indemnification.

Our future growth is largely dependent upon our ability to develop new technologies and introduce new products that achieve market acceptance in increasingly competitive markets with acceptable margins.

Our future growth rate depends upon a number of factors, including our ability to (i) identify emerging technological trends in our target end-markets, (ii) develop and maintain competitive products and defend our market share against an ever-expanding number of competitors including many new and non- traditional competitors, (iii) enhance our products by adding innovative features that differentiate our products from those of our competitors and prevent commoditization of our products, (iv) develop, manufacture and bring compelling new products to market quickly and cost-effectively, and (v) attract, develop and retain individuals with the requisite technical expertise and understanding of customers’ needs to develop new technologies and introduce new products.

The failure of our technologies or products to gain market acceptance due to more attractive offerings by our competitors could significantly reduce our revenues and adversely affect our competitive standing and prospects.

Failure to increase productivity through sustainable operational improvements, as well as an inability to successfully execute repositioning projects, may reduce our profitability or adversely impact our businesses.

Our profitability and margin growth are dependent upon our ability to drive sustainable improvements. In addition, we seek productivity and cost savings benefits through repositioning actions and projects, such as consolidation of manufacturing facilities, transitions to cost-competitive regions and product line rationalizations. Risks associated with these actions include delays in execution of the planned initiatives, additional unexpected costs and adverse effects on employee morale. We may not realize the full operational or financial benefits we expect, the recognition of these benefits may be delayed and these actions may potentially disrupt our operations.

As a supplier of military and other equipment to the U.S. Government, we are subject to unusual risks, such as the right of the U.S. Government to terminate contracts for convenience and to conduct audits and investigations of our operations and performance.

U.S. Government contracts are subject to termination by the government, either for the convenience of the government or for our failure to perform consistent with the terms of the applicable contract. Our contracts with the U.S. Government are also subject to government audits that may recommend downward price adjustments and other changes. When appropriate and prudent, we have made adjustments and paid voluntary refunds in the past and may do so in the future.

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We are also subject to government investigations of business practices and compliance with government procurement regulations. If, as a result of any such investigation or other government investigations (including violations of certain environmental, employment or export laws), Honeywell or one of its businesses were found to have violated applicable law, it could be suspended from bidding on or receiving awards of new government contracts, suspended from contract performance pending the completion of legal proceedings and/or have its export privileges suspended.

Our operations and the prior operations of predecessor companies expose us to the risk of material environmental liabilities.

Mainly because of past operations and operations of predecessor companies, we are subject to potentially material liabilities related to the remediation of environmental hazards and to claims of personal injuries or property damages that may be caused by hazardous substance releases and exposures. We continue to incur remedial response and voluntary clean-up costs for site contamination and are a party to lawsuits and claims associated with environmental and safety matters, including past production of products containing hazardous substances. Additional lawsuits, claims and costs involving environmental matters are likely to continue to arise in the future. Various federal, state, local and foreign governments regulate the discharge of materials into the environment and can impose substantial fines and criminal sanctions for violations, and require installation of costly equipment or operational changes to limit emissions and/or decrease the likelihood of accidental hazardous substance releases. In addition, changes in laws, regulations and enforcement of policies, the discovery of previously unknown contamination or new technology or information related to individual sites, the establishment of stricter state or federal toxicity standards with respect to certain contaminants, or the imposition of new clean-up requirements or remedial techniques could require us to incur additional costs in the future that would have a negative effect on our financial condition or results of operations.

Cybersecurity incidents could disrupt business operations, result in the loss of critical and confidential information, and adversely impact our reputation and results of operations.

Global cybersecurity threats and incidents can range from uncoordinated individual attempts to gain unauthorized access to information technology (IT) systems to sophisticated and targeted measures known as advanced persistent threats, directed at the Company, its products, its customers and/or its third party service providers including cloud providers. Our customers, including the U.S. government, are increasingly requiring cybersecurity protections and mandating cybersecurity standards in our products and we may incur additional costs to comply with such demands. While we have experienced, and expect to continue to experience, these types of threats and incidents, none of them to date have been material to the Company. We seek to deploy comprehensive measures to deter, prevent, detect, respond and mitigate these threats (including access controls, data encryption, vulnerability assessments, product software designs which we believe are less susceptible to cyber attacks, continuous monitoring of our IT networks and systems and maintenance of backup and protective systems. Despite these efforts, cybersecurity incidents, depending on their nature and scope, could potentially result in the misappropriation, destruction, corruption or unavailability of critical data and confidential or proprietary information (our own or that of third parties) and the disruption of business operations. Cybersecurity incidents aimed at the software imbedded in our products could lead to third party claims that our product failures have caused a similar range of damages to our customers, and this risk is enhanced by the increasingly connected nature of our products. The potential consequences of a material cybersecurity incident include reputational damage, litigation with third parties, fines levied by the Federal Trade Commission, diminution in the value of our investment in research, development and engineering, and increased cybersecurity protection and remediation costs, which in turn could adversely affect our competitiveness and results of operations.

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Legal and Regulatory Risks

Our U.S. and non-U.S. tax liabilities are dependent, in part, upon the distribution of income among various jurisdictions in which we operate.

Our future results of operations could be adversely affected by changes in the effective tax rate as a result of a change in the mix of earnings in countries with differing statutory tax rates, changes in tax laws, regulations and judicial rulings (or changes in the interpretation thereof), changes in generally accepted accounting principles, changes in the valuation of deferred tax assets and liabilities, changes in the amount of earnings permanently reinvested offshore, the results of audits and examinations of previously filed tax returns and continuing assessments of our tax exposures and various other governmental enforcement initiatives. Our tax expense includes estimates of tax reserves and reflects other estimates and assumptions, including assessments of future earnings of the Company which could impact the valuation of our deferred tax assets. Changes in tax laws or regulations, including multi- jurisdictional changes enacted in response to the guidelines provided by the Organization for Economic Co-operation and Development (OECD) to address base erosion and profit shifting, will increase tax uncertainty and may adversely impact our provision for income taxes.

Changes in legislation or government regulations or policies can have a significant impact on our results of operations.

The sales and margins of each of our segments are directly impacted by government regulations including safety, performance and product certification regulations. Within Aerospace, the operating results of Commercial Original Equipment and Commercial Aftermarket may be impacted by, among other things, mandates of the Federal Aviation Administration and other similar international regulatory bodies requiring the installation of equipment on aircraft. Our Defense and Space business unit may be affected by changes in government procurement regulations, while emissions, fuel economy and energy efficiency standards for motor vehicles can impact Transportation Systems. Within ACS, the demand for and cost of providing products, services and solutions can be impacted by fire, security, safety, health care, environmental and energy efficiency standards and regulations. PMT’s results of operations can be affected by environmental, safety and energy efficiency standards and regulations. Growth in all our businesses within emerging markets may be adversely impacted by the inability to acquire and retain qualified employees where local employment law mandates may be restrictive.

We cannot predict with certainty the outcome of litigation matters, government proceedings and other contingencies and uncertainties.

We are subject to a number of lawsuits, investigations and disputes (some of which involve substantial amounts claimed) arising out of the conduct of our business, including matters relating to commercial transactions, government contracts, product liability (including asbestos), prior acquisitions and divestitures, employment, employee benefits plans, intellectual property, antitrust, import and export matters and environmental, health and safety matters. Our potential liabilities are subject to change over time due to new developments, changes in settlement strategy or the impact of evidentiary requirements, and we may become subject to or be required to pay damage awards or settlements that could have a material adverse effect on our results of operations, cash flows and financial condition. While we maintain insurance for certain risks, the amount of our insurance coverage may not be adequate to cover the total amount of all insured claims and liabilities. The incurrence of significant liabilities for which there is no or insufficient insurance coverage could adversely affect our results of operations, cash flows, liquidity and financial condition.

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Item 1B. Unresolved Staff Comments

Not applicable.

Item 2. Properties

We have approximately 1,328 locations, of which 319 are plants. Our properties and equipment are in good operating condition and are adequate for our present needs. We do not anticipate difficulty in renewing existing leases as they expire or in finding alternative facilities.

Item 3. Legal Proceedings

We are subject to a number of lawsuits, investigations and claims (some of which involve substantial amounts) arising out of the conduct of our business. See a discussion of environmental, asbestos and other litigation matters in Note 19 Commitments and Contingencies of Notes to Financial Statements.

Item 4. Mine Safety Disclosures

Not applicable.

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Part II.

Item 5. Market for Registrant’s Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities

Honeywell’s common stock is listed on the New York Stock Exchange. Market and dividend information for Honeywell’s common stock is included in Note 24 Unaudited Quarterly Financial Information of Notes to Financial Statements.

The number of record holders of our common stock at December 31, 2015 was 53,230.

Honeywell purchased 1,724,212 shares of its common stock, par value $1 per share, in the quarter ending December 31, 2015. Under the Company’s previously reported $5 billion share repurchase program, $2.2 billion remained available as of December 31, 2015 for additional share repurchases. Honeywell presently expects to repurchase outstanding shares from time to time to generally offset the dilutive impact of employee stock based compensation plans, including option exercises, restricted unit vesting and matching contributions under our savings plans. The amount and timing of future repurchases may vary depending on market conditions and the level of our operating, financing and other investing activities.

The following table summarizes Honeywell’s purchase of its common stock for the three months ended December 31, 2015:

Issuer Purchases of Equity Securities
Period	Total Number of Shares Purchased		Average Price Paid per Share			Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs		Approximate Dollar Value of Shares that May Yet be Purchased Under Plans or Programs (Dollars in millions)
October 2015		1,567,882		$	93.89		1,567,882		$	2,207
December 2015		156,330		$	98.02		156,330		$	2,192

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Performance Graph

The following graph compares the five-year cumulative total return on our common stock to the total returns on the Standard & Poor’s (S&P) 500 Stock Index and a composite of S&P’s Industrial Conglomerates and Aerospace and Defense indices, on a 65%/35% weighted basis (the Composite Index). The weighting of the components of the Composite Index are based on our segments’ relative contribution to total segment profit. The selection of the Industrial Conglomerates component of the Composite Index reflects the diverse and distinct range of non-aerospace businesses conducted by Honeywell. The annual changes for the five-year period shown in the graph are based on the assumption that $100 had been invested in Honeywell stock and each index on December 31, 2010 and that all dividends were reinvested.

COMPARISON OF CUMULATIVE FIVE YEAR TOTAL RETURN

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HONEYWELL INTERNATIONAL INC.

This selected financial data should be read in conjunction with Honeywell’s Consolidated Financial Statements and related Notes included elsewhere in this Annual Report as well as the section of this Annual Report titled Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations.

Item 6. Selected Financial Data

	Years Ended December 31,
	2015			2014			2013			2012			2011
	(Dollars in millions, except per share amounts)
Results of Operations
Net sales		$	38,581		$	40,306		$	39,055		$	37,665		$	36,529
Amounts attributable to Honeywell:
Income from continuing operations less net income attributable to the noncontrolling interest			4,768			4,239			3,924			2,926			1,858
Income from discontinued operations(1)			—			—			—			—			209
Net income attributable to Honeywell			4,768			4,239			3,924			2,926			2,067
Earnings Per Common Share
Basic:
Income from continuing operations			6.11			5.40			4.99			3.74			2.38
Income from discontinued operations			—			—			—			—			0.27
Net income attributable to Honeywell			6.11			5.40			4.99			3.74			2.65
Assuming dilution:
Income from continuing operations			6.04			5.33			4.92			3.69			2.35
Income from discontinued operations			—			—			—			—			0.26
Net income attributable to Honeywell			6.04			5.33			4.92			3.69			2.61
Dividends per share			2.15			1.87			1.68			1.53			1.37
Financial Position at Year-End
Property, plant and equipment-net			5,789			5,383			5,278			5,001			4,804
Total assets			49,316			45,451			45,435			41,853			39,808
Short-term debt			6,514			2,637			2,028			1,101			674
Long-term debt			5,554			6,046			6,801			6,395			6,881
Total debt			12,068			8,683			8,829			7,496			7,555
Redeemable noncontrolling interest			290			219			167			150			—
Shareowners’ equity			18,418			17,784			17,579			13,065			10,902

(1) For the year ended December 31, 2011, income from discontinued operations included a $178 million, net of tax gain, resulting from the sale of the Consumer Products Group business.

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Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations

(Dollars in millions, except per share amounts)

The following Management’s Discussion and Analysis of Financial Condition and Results of Operations (MD&A) is intended to help the reader understand the results of operations and financial condition of Honeywell International Inc. and its consolidated subsidiaries (Honeywell or the Company) for the three years ended December 31, 2015. All references to Notes relate to Notes to Financial Statements in Item 8. Financial Statements and Supplementary Data.

EXECUTIVE SUMMARY

In 2015, Honeywell successfully navigated a challenging macro-economic climate by combining strategic growth in our diverse portfolio and our well-known cost discipline with a marked acceleration of our capital deployment strategy. Earnings per share of common stock–assuming dilution, grew 13% to $6.04 per share in 2015 and net income attributable to Honeywell grew 12% to $4,768 million. Our balanced long-term focus on enhancing shareowner value resulted in segment margin expansion of 220 basis points versus 2014 without sacrificing seed planting intended to ensure future growth, including maintaining R&D spending at 5% of sales, new product introductions aligned with global macroeconomic trends in energy, safety and security and productivity, $216 million of repositioning investments to improve our operations and increased investment in High Growth Regions. Honeywell Operating System (HOS) Gold and Honeywell User Experience (HUE) initiatives intensified throughout the company, driving productivity through sustainable improvements to our factories, footprints and supply chain.

In 2015 we deployed capital of over $10 billion, including the following:

• Mergers and Acquisitions—we deployed over $5 billion during 2015, acquiring businesses that will be integrated into each of our three operating segments. These acquisitions all share a technology focus and increase our existing deep alignment with enduring macro trends such as energy efficiency, clean energy generation, safety and security, urbanization and customer productivity.

• Dividend—after a 15% dividend rate increase in 2014, we again increased our annual dividend rate by 15% in 2015, as we seek to grow the dividend faster than earnings.

• Share Repurchases—we continue to opportunistically repurchase our shares with the goal of generally keeping share count flat and seeking to offset the dilutive impact of employee stock based compensation plans. In 2015, we repurchased 18.8 million shares for $1.9 billion.

• Capital Investment in Facilities—we invested over $1 billion in high return capital expenditures, focused on revenue growth projects such as our Solstice low global-warming potential refrigerant products for the automotive industry and catalyst products in UOP.

CONSOLIDATED RESULTS OF OPERATIONS

Net Sales

	2015				2014				2013
Net sales		$	38,581			$	40,306			$	39,055
% change compared with prior period			(4	)%			3	%

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The change in net sales is attributable to the following:

	2015 Versus 2014		2014 Versus 2013
Volume		1%		3%
Price		(1)%		—
Acquisitions/Divestitures		(1)%		1%
Foreign Currency Translation		(4)%		—
Other		1%		(1)%
		(4)%		3%

A discussion of net sales by segment can be found in the Review of Business Segments section of this MD&A. The foreign currency translation impact is principally driven by the weakening of the Euro and Canadian Dollar against the U.S. Dollar.

Cost of Products and Services Sold

	2015				2014				2013
Cost of products and services sold		$	26,747			$	28,957			$	28,364
% change compared with prior period			(8	)%			2	%
Gross Margin percentage			30.7	%			28.2	%			27.4	%

Cost of products and services sold decreased in 2015 compared with 2014 principally due to a decrease in direct and indirect material costs of approximately $1,460 million (driven primarily by the favorable impact of foreign currency translation, productivity, lower raw materials pass-through pricing and the absence of the Friction Materials business, partially offset by higher sales volume), a decrease in labor costs of approximately $450 million and higher pension income of approximately $230 million.

Gross margin percentage increased in 2015 compared with 2014 principally due to higher gross margin in all of our business segments (approximately 2.0 percentage point impact collectively) and increased pension income allocated to cost of products and services sold (approximately 0.5 percentage point impact).

Cost of products and services sold increased in 2014 compared with 2013 principally due to an increase in direct material and labor costs of approximately $645 million (driven by higher sales volume and acquisitions, net of divestitures) and an increase in pension and other postretirement benefit expense of approximately $35 million, partially offset by a decrease in repositioning and other charges of approximately $40 million.

Gross margin percentage increased in 2014 compared with 2013 principally due to higher gross margin in all of our business segments (approximately 0.7 percentage point impact collectively) and lower repositioning and other charges (approximately 0.1 percentage point impact), partially offset by higher pension and other postretirement benefit expense (approximately 0.1 percentage point impact).

Selling, General and Administrative Expenses

	2015				2014				2013
Selling, general and administrative expense		$	5,006			$	5,518			$	5,190
% of sales			13.0	%			13.7	%			13.3	%

Selling, general and administrative expenses (SG&A) decreased in 2015 compared with 2014 primarily driven by the favorable impact from foreign currency translation, increased pension income, decreased indirect costs and benefits from repositioning, partially offset by increased labor costs (primarily merit increases and investment for growth).

SG&A increased in 2014 compared with 2013 primarily driven by an increase in labor costs (primarily acquisitions, incentive compensation, merit increases and investment for growth) and an increase in pension and other postretirement benefit expense, partially offset by a decrease in repositioning charges.

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Tax Expense

	2015				2014				2013
Tax expense		$	1,739			$	1,489			$	1,450
Effective tax rate			26.4	%			25.6	%			26.8	%

For discussion of changes in the effective tax rate, see Note 5 Income Taxes in the Notes to Financial Statements.

The effective tax rates for 2015, 2014 and 2013 are lower than the U.S. statutory rate of 35% primarily due to lower tax rates on non-U.S. earnings, the vast majority of which we intend to permanently reinvest outside the United States.

The Company currently expects the effective tax rate for 2016 to be approximately 26.5%. The effective tax rate can vary from quarter to quarter due to unusual or infrequently occurring items, the resolution of income tax audits, changes in tax laws or other items such as pension mark-to-market adjustments.

Net Income Attributable to Honeywell

	2015			2014			2013
Net income attributable to Honeywell		$	4,768		$	4,239		$	3,924
Earnings per share of common stock–assuming dilution		$	6.04		$	5.33		$	4.92

Earnings per share of common stock–assuming dilution increased in 2015 compared with 2014 primarily driven by increased segment profit in each of our business segments and lower pension and other postretirement expense, partially offset by increased tax expense and lower other income (principally due to the absence of a realized gain related to the prior year sale of marketable equity securities).

Earnings per share of common stock–assuming dilution increased in 2014 compared with 2013 primarily due to increased segment profit in each of our business segments and lower repositioning and other charges, partially offset by higher pension and other postretirement expense and increased tax expense.

BUSINESS OVERVIEW

Our consolidated results are principally impacted by:

• Change in global economic growth rates and industry conditions and demand in our key end markets;

• Overall sales mix, in particular the mix of Aerospace original equipment and aftermarket sales and the mix of ACS products, distribution and services sales;

• The impact of fluctuations in foreign currency exchange rates (in particular the Euro), relative to the U.S. Dollar;

• The extent to which cost savings from productivity actions are able to offset or exceed the impact of material and non-material inflation; and

• The impact of the pension discount rate and asset returns on pension expense, including mark-to-market adjustments, and funding requirements.

Our 2016 areas of focus are supported by the Honeywell Enablers, including HOS Gold, are generally applicable to each of our operating segments and include:

• Driving profitable growth through R&D, technological excellence and optimized manufacturing capability to deliver innovative products that customers value;

• Expanding margins by maintaining and improving the Company’s cost structure through manufacturing and administrative process improvements, repositioning, and other actions, which will drive productivity and enhance the flexibility of the business as it works to proactively respond to changes in end market demand;

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• Driving strong cash flow conversion through effective working capital management which will enable the Company to deploy capital for strategic acquisitions, capital expenditures and returning cash to shareholders;

• Driving organic growth through expansion of our localized footprint in high growth regions, including China, India, Eastern Europe, the Middle East and Latin America;

• Executing disciplined, rigorous M&A and integration processes to deliver inorganic growth through previously announced acquisitions while also identifying appropriate acquisitions to further deploy our capital effectively;

• Aligning and prioritizing capital expenditures for long-term growth, while considering short-term demand volatility;

• Actively monitoring trends in the oil and gas industry end markets, principally the demand from midstream and downstream customers for products and services provided by Process Solutions and UOP;

• Monitoring both suppliers and customers for signs of liquidity constraints, limiting exposure to any resultjing inability to meet delivery commitments or pay amounts due, and identifying alternate sources of supply as necessary;

• Proactively managing raw material costs through formula and long-term supply agreements and hedging activities, where feasible and prudent; and

• Controlling corporate and other non-operating costs, including costs incurred for asbestos and environmental matters, pension and other post-retirement expenses and tax expense.

Review of Business Segments

	Years Ended December 31,									% Change
										2015 Versus 2014			2014 Versus 2013
	2015			2014			2013
Aerospace Sales
Commercial Original Equipment		$	2,905		$	2,607		$	2,651		11	%		(2	)%
Commercial Aftermarket			4,656			4,578			4,459		2	%		3	%
Defense and Space			4,715			4,754			4,870		(1	)%		(2	)%
Transportation Systems			2,961			3,659			3,755		(19	)%		(3	)%
Total Aerospace Sales			15,237			15,598			15,735
Automation and Control Solutions Sales
Energy Safety & Security			9,544			9,738			8,756		(2	)%		11	%
Building Solutions & Distribution			4,565			4,749			4,709		(4	)%		1	%
Total Automation and Control Solutions Sales			14,109			14,487			13,465
Performance Materials and Technologies Sales
UOP			2,976			3,195			2,962		(7	)%		8	%
Process Solutions			2,749			3,122			3,091		(12	)%		1	%
Advanced Materials			3,510			3,904			3,802		(10	)%		3	%
Total Performance Materials and Technologies Sales			9,235			10,221			9,855
Net Sales		$	38,581		$	40,306		$	39,055

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Aerospace

	2015			2014			Change			2013			Change
Net sales		$	15,237		$	15,598		(2	)%		$	15,735		(1	)%
Cost of products and services sold			11,068			11,699						11,889
Selling, general and administrative expenses			643			712						705
Other			308			272						271
Segment profit		$	3,218		$	2,915		10	%		$	2,870		2	%

Factors Contributing to Year-Over-Year Change	2015 vs. 2014						2014 vs. 2013
	Sales			Segment Profit			Sales			Segment Profit
Organic growth/ Operational segment profit		2	%		8	%		2	%		8	%
Foreign currency translation		(3	)%		(4	)%		—			—
Acquisitions, divestitures and other, net		(1	)%		6	%		(3	)%		(6	)%
Total % Change		(2	)%		10	%		(1	)%		2	%

2015 compared with 2014

Aerospace sales decreased primarily due to the unfavorable impact from foreign currency translation and the Friction Materials divestiture, partially offset by an increase in organic sales, as discussed below, and a decrease in incentives predominantly to air transport and regional aviation original equipment manufacturers (OEM Incentives).

• Commercial Original Equipment sales increased by 11% (increased 5% organic) primarily driven by a decrease in OEM Incentives and higher business and general aviation engine shipments.

• Commercial Aftermarket sales increased by 2% (increased 2% organic) primarily driven by higher repair and overhaul activities, partially offset by lower retrofits, modifications and upgrades for business and general aviation customers.

• Defense and Space sales decreased by 1% (flat organic) primarily due to lower U.S. government revenue, partially offset by growth in international programs.

• Transportation Systems sales decreased by 19% (increased 3% organic) primarily due to the unfavorable impact from foreign currency translation and the Friction Materials divestiture, partially offset by continued growth from new platform launches and higher global turbo gas penetration.

Aerospace segment profit increased primarily due to an 8% increase in operational segment profit and a 6% favorable impact of acquisitions, divestitures and other (predominantly the absence of higher prior year OEM Incentives), as discussed above, partially offset by a 4% unfavorable impact of foreign currency translation. The increase in operational segment profit is primarily driven by productivity, net of inflation, and favorable pricing, partially offset by continued investments for growth. Cost of products and services sold decreased primarily due to the favorable impact of foreign currency translation, the Friction Materials divestiture, and productivity, net of inflation, partially offset by continued investments for growth.

2014 compared with 2013

Aerospace sales decreased primarily due to the Friction Materials divestiture and an increase in OEM incentives, partially offset by an increase in organic sales, as discussed below.

• Commercial Original Equipment sales decreased by 2% (increased by 3% organic) primarily due to an increase in OEM Incentives to air transport and regional original equipment manufacturers (OEMs), partially offset by higher air transport volumes, consistent with the OEMs’ higher production rates, and business and general aviation engine shipments.

• Commercial Aftermarket sales increased by 3% driven primarily by higher sales of spare parts to air transport and regional customers, partially offset by a decline in retrofits, modifications and

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	upgrades and lower repair and overhaul activities for our business and general aviation customers.
•	Defense and Space sales decreased by 2% primarily due to lower U.S. government services revenue and the absence of a prior year royalty gain, partially offset by growth in international programs.
•	Transportation Systems sales decreased by 3% (increased by 5% organic) primarily due to the Friction Materials divestiture, partially offset by continued growth from new platform launches, higher global turbo gas penetration and increased commercial vehicle demand in Europe.

Aerospace segment profit increased primarily due to an 8% increase in operational segment profit, partially offset by a 6% unfavorable impact from acquisitions, divestitures and other (predominantly higher OEM Incentives and the absence of a prior year royalty gain), as discussed above. The increase in operational segment profit is driven primarily by favorable price and productivity, net of inflation. Cost of products and services sold decreased primarily due to the factors discussed above (excluding price).

Automation and Control Solutions

	2015			2014			Change			2013			Change
Net sales		$	14,109		$	14,487		(3	)%		$	13,465		8	%
Cost of products and services sold			9,133			9,447						8,872
Selling, general and administrative expenses			2,373			2,584						2,358
Other			290			256						252
Segment profit		$	2,313		$	2,200		5	%		$	1,983		11	%

Factors Contributing to Year-Over-Year Change	2015 vs. 2014						2014 vs. 2013
	Sales			Segment Profit			Sales			Segment Profit
Organic growth/ Operational segment profit		2	%		9	%		4	%		9	%
Foreign currency translation		(6	)%		(5	)%		(1	)%		(1	)%
Acquisitions and divestitures, net		1	%		1	%		5	%		3	%
Total % Change		(3	)%		5	%		8	%		11	%

2015 compared with 2014

ACS sales decreased primarily due to the unfavorable impact of foreign currency translation, partially offset by organic sales growth and growth from acquisitions, net of divestitures.

• Sales in Energy, Safety & Security decreased by 2% (increased by 2% organic) principally due to the unfavorable impact of foreign currency translation partially offset by organic sales growth and acquisitions, net of divestitures. Organic sales growth was primarily due to increased sales volumes, most significantly in Security and Fire across all regions, as well as Sensing & Productivity Solutions.

• Sales in Building Solutions & Distribution decreased by 4% (increased by 2% organic) principally due to the unfavorable impact of foreign currency translation. Organic sales growth was primarily due to increased sales volume in Americas Distribution partially offset by softness in the project installation and U.S. energy retrofit businesses, which is expected to continue.

ACS segment profit increased due to an increase in operational segment profit and acquisitions, net of divestitures partially offset by the unfavorable impact of foreign currency translation. The increase in operational segment profit is primarily due to the positive impact of price and productivity net of inflation and higher organic sales volumes partially offset by continued investments for growth. Cost of products and services decreased primarily due to the favorable impact of foreign currency translation and productivity partially offset by higher organic sales volume and inflation.

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2014 compared with 2013

ACS sales increased primarily due to growth from acquisitions, net of divestitures and organic sales growth, partially offset by the unfavorable impact of foreign currency translation.

• Sales in Energy, Safety & Security increased by 11% (4% organic) principally due to (i) acquisitions, net of divestitures, (ii) higher global sales volumes in our Environmental & Energy Solutions business driven by strong U.S. residential market conditions and new product introductions, (iii) increases in sales volumes in our Security and Fire and Industrial Safety businesses driven by organic growth in all regions and (iv) increases in sales volumes in our Sensing & Productivity Solutions business in the second half of 2014.

• Sales in Building Solutions & Distribution increased by 1% (2% organic) principally due to increased sales volumes in our Americas Distribution business partially offset by softness in the U.S. energy retrofit business. Building Solutions backlog increased in 2014.

ACS segment profit increased due to an increase in operational segment profit and acquisitions, net of divestitures, partially offset by the unfavorable impact of foreign currency translation. The increase in operational segment profit is primarily the result of higher sales volumes as discussed above, and the positive impact of price and productivity, net of inflation partially offset by continued investment for growth. Cost of products and services sold increased primarily due to higher sales volume, acquisitions, net of divestitures and inflation, partially offset by productivity and the favorable impact of foreign currency translation.

Performance Materials and Technologies

	2015			2014			Change			2013			Change
Net sales		$	9,235		$	10,221		(10	)%		$	9,855		4	%
Cost of products and services sold			6,262			7,221						6,974
Selling, general and administrative expenses			902			1,049						1,025
Other			136			134						131
Segment profit		$	1,935		$	1,817		6	%		$	1,725		5	%

Factors Contributing to Year-Over-Year Change	2015 vs. 2014						2014 vs. 2013
	Sales			Segment Profit			Sales			Segment Profit
Organic growth/ Operational segment profit		(6	)%		10	%		5	%		6	%
Foreign currency translation		(4	)%		(4	)%		(1	)%		(1	)%
Total % Change		(10	)%		6	%		4	%		5	%

2015 compared with 2014

Performance Materials and Technologies (PMT) sales decreased due to a decrease in organic sales volumes and the unfavorable impact of foreign currency translation.

• UOP sales decreased 7% (decreased 6% organic) driven primarily by lower gas processing revenues due to a significant slowdown in customer projects, which is expected to continue, and decreased equipment, engineering and licensing revenues partially offset by increased catalyst revenues.

• Process Solutions sales decreased 12% (decreased 3% organic) driven primarily by the unfavorable impact of foreign currency translation and lower volumes primarily due to weakness in projects and field products, which is expected to moderate during 2016.

• Advanced Materials sales decreased 10% (decreased 7% organic) primarily driven by lower raw material pass-through pricing and unplanned plant outages in Resins and Chemicals partially offset by increased volumes in Fluorine Products. We anticipate volatility in raw materials pass-through pricing to continue in 2016 primarily in Resins and Chemicals where sales fluctuate with the market price of certain raw materials, which are correlated to the price of oil.

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PMT segment profit increased due to an increase in operational segment profit partially offset by the unfavorable impact of foreign currency translation. The increase in operational segment profit is primarily due to price and productivity net of inflation partially offset by lower organic sales volumes and continued investments for growth. Cost of products and services sold decreased primarily due to the favorable impacts of inflation, foreign currency translation, lower organic sales volumes and productivity, partially offset by continued investments for growth.

2014 compared with 2013

PMT sales increased due to an increase in organic sales partially offset by the unfavorable impact of foreign currency translation.

• UOP sales increased by 8% driven primarily by higher catalyst and gas processing volumes partially offset by lower equipment and service revenues in the first nine months. Catalyst sales decreased in the fourth quarter due to the timing of shipments as well as stronger volume growth in the fourth quarter of 2013 as compared to 2014 which was partially offset by increased licensing revenues.

• Sales in our Process Solutions business increased by 1% (4% organic) driven primarily by volume growth in advanced solutions software and services and field products partially offset by unfavorable foreign currency translation, predominately in the fourth quarter. Project and service orders and backlog increased in 2014.

• Advanced Materials sales increased by 3% primarily driven by increased volume in Fluorine Products and Resins and Chemicals, partially offset by unfavorable pricing most significantly in Fluorine Products and lower raw materials pass-through pricing in Resins and Chemicals. We anticipate lower raw materials pass-through pricing to continue in 2015 primarily in Resins and Chemicals where sales fluctuate with the market price of certain raw materials, which are correlated to the price of oil.

PMT segment profit increased due to an increase in operational segment profit partially offset by the unfavorable impact of foreign currency translation. The increase in operational segment profit is primarily due to higher sales volumes, as discussed above, and productivity, net of inflation partially offset by unfavorable Advanced Materials pricing, continued investment for growth and unfavorable foreign currency translation. Cost of products and services sold increased primarily due to higher volume and continued investment for growth partially offset by productivity, net of inflation and the favorable impact of foreign currency translation.

Repositioning Charges

See Note 3 Repositioning and Other Charges of Notes to Financial Statements for a discussion of our repositioning actions and related charges incurred in 2015, 2014 and 2013. These repositioning actions are expected to generate incremental pretax savings of $175 million to $200 million in 2016 compared with 2015 principally from planned workforce reductions. Cash spending related to our repositioning actions was $118 million, $161 million and $160 million in 2015, 2014 and 2013, and was funded through operating cash flows. In 2016, we expect cash spending for repositioning actions to be approximately $175 million and to be funded through operating cash flows.

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LIQUIDITY AND CAPITAL RESOURCES

The Company continues to manage its businesses to maximize operating cash flows as the primary source of liquidity. In addition to our available cash and operating cash flows, additional sources of liquidity include committed credit lines, short-term debt from the commercial paper market, long-term borrowings, and access to the public debt and equity markets. We continue to balance our cash and financing uses through investment in our existing core businesses, acquisition activity, share repurchases and dividends.

Cash Flow Summary

Our cash flows from operating, investing and financing activities, as reflected in the Consolidated Statement of Cash Flows, are summarized as follows:

	Years Ended December 31,
	2015				2014				2013
Cash provided by (used for):
Operating activities		$	5,454			$	5,024			$	4,335
Investing activities			(6,514	)			(1,876	)			(1,959	)
Financing activities			102				(2,272	)			(433	)
Effect of exchange rate changes on cash			(546	)			(339	)			(155	)
Net increase in cash and cash equivalents		$	(1,504	)		$	537			$	1,788

2015 compared with 2014

Cash provided by operating activities increased by $430 million primarily due to a $489 million favorable impact from working capital and a $382 million increase in net income before the non-cash pension mark-to-market adjustment, partially offset by (i) a $175 million decrease in customer advances and deferred income, (ii) $151 million in OEM incentives and (iii) increased cash tax payments of $50 million.

Cash used for investing activities increased by $4,638 million primarily due to an increase in cash paid for acquisitions of $5,224 million, most significantly the Elster Division of Melrose Industries plc (Elster), and a decrease in proceeds of $159 million, primarily from the Friction Materials divestiture, partially offset by a net $659 million decrease in investments, primarily short-term marketable securities.

Cash provided by financing activities increased by $2,374 million primarily due to an increase in the net proceeds from debt issuances of $3,648 million, partially offset by an increase in net repurchases of common stock of $1,039 million and an increase in cash dividends paid of $216 million.

2014 compared with 2013

Cash provided by operating activities increased by $689 million primarily due to (i) a $508 million increase of net income before the non-cash pension mark-to-market adjustment, (ii) reduced net payments for repositioning and other charges of $233 million primarily due to the collection of a $130 million asbestos receivable due from one of our insurance carriers and lower asbestos related payments of $98 million, (iii) reduced cash contributions to our pension and other postretirement plans of $131 million and (iv) lower cash tax payments of approximately $129 million, partially offset by a $93 million unfavorable impact from working capital primarily driven by higher inventory to support sales growth.

Cash used for investing activities decreased by $83 million primarily due to a decrease in cash paid for acquisitions of $1,129 million most significantly Intermec and RAE Systems, Inc. in 2013 and an increase in proceeds from the sales of businesses of $157 million (most significantly Friction Materials), partially offset by (i) a net $688 million increase in investments primarily short-term marketable securities, (ii) an increase of approximately $371 million in settlement payments of foreign currency exchange contracts used as economic hedges on certain non-functional currency

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denominated monetary assets and liabilities and (iii) a $147 million increase in expenditures for property, plant and equipment.

Cash used for financing activities increased by $1,839 million primarily due to a decrease in the net proceeds from debt issuances of $1,589 million, an increase in cash dividends paid of $157 million and lower net proceeds from the issuance of common stock of $33 million.

Liquidity

Each of our businesses is focused on implementing strategies to increase operating cash flows through revenue growth, margin expansion and improved working capital turnover. Considering the current economic environment in which each of the businesses operate and their business plans and strategies, including the focus on growth, cost reduction and productivity initiatives, we believe that cash balances and operating cash flow will continue to be our principal source of liquidity. In addition to the available cash and operating cash flows, additional sources of liquidity include committed credit lines, short-term debt from the commercial paper markets, long-term borrowings, and access to the public debt and equity markets. At December 31, 2015, a substantial portion of the Company’s cash and cash equivalents were held by foreign subsidiaries. If the amounts held outside of the U.S. were to be repatriated, under current law, they would be subject to U.S. federal income taxes, less applicable foreign tax credits. However, our intent is to permanently reinvest the vast majority of these funds outside of the U.S. It is not practicable to estimate the amount of tax that might be payable if some or all of such earnings were to be repatriated, and the amount of foreign tax credits that would be available to reduce or eliminate the resulting U.S. income tax liability.

We monitor the third-party depository institutions that hold our cash and cash equivalents on a daily basis. Our emphasis is primarily safety of principal and secondarily maximizing yield of those funds. We diversify our cash and cash equivalents among counterparties to minimize exposure to any one of these entities.

A source of liquidity is our ability to issue short-term debt in the commercial paper market. Commercial paper notes are sold at a discount and have a maturity of not more than 365 days from date of issuance. Borrowings under the commercial paper program are available for general corporate purposes as well as for financing acquisitions. The weighted average interest rate on short-term borrowings and commercial paper outstanding at December 31, 2015 and 2014 was 0.26% and 0.60%.

Our ability to access the commercial paper market, and the related cost of these borrowings, is affected by the strength of our credit rating and market conditions. Our credit ratings are periodically reviewed by the major independent debt-rating agencies. As of December 31, 2015, Standard and Poor’s (S&P), Fitch, and Moody’s have ratings on our long-term debt of A, A and A2 and short-term debt of A-1, F1 and P1. S&P, Fitch and Moody’s have Honeywell’s rating outlook as “stable.” To date, the Company has not experienced any limitations in our ability to access these sources of liquidity.

We also have a current shelf registration statement filed with the Securities and Exchange Commission under which we may issue additional debt securities, common stock and preferred stock that may be offered in one or more offerings on terms to be determined at the time of the offering. Net proceeds of any offering would be used for general corporate purposes, including repayment of existing indebtedness, share repurchases, capital expenditures and acquisitions.

During 2015, the Company entered into credit agreements with a syndicate of banks. See Note 12 Long-term Debt and Credit Agreements of Notes to Financial Statements for further discussion on the credit agreements.

During 2015, the Company repurchased $1,884 million of outstanding shares to offset the dilutive impact of employee stock based compensation plans, including option exercises, restricted unit vesting and matching contributions under our savings plans. In December 2013, the Board of Directors authorized the repurchase of up to a total of $5 billion of Honeywell common stock, $2.2 billion remained available as of December 31, 2015 for additional share repurchases. Honeywell presently expects to repurchase outstanding shares from time to time to offset the dilutive impact of employee stock based compensation plans, including future option exercises, restricted unit vesting and matching contributions under our savings plans.

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In addition to our normal operating cash requirements, our principal future cash requirements will be to fund capital expenditures, dividends, strategic acquisitions, share repurchases, employee benefit obligations, environmental remediation costs, asbestos claims, severance and exit costs related to repositioning actions and debt repayments.

Specifically, we expect our primary cash requirements in 2016 to be as follows:

• Capital expenditures—we expect to spend approximately $1.1 billion for capital expenditures in 2016 primarily for growth, production and capacity expansion, cost reduction, maintenance, and replacement.

• Share repurchases—under the Company’s share repurchase program, $2.2 billion is available as of December 31, 2015 for additional share repurchases. Honeywell presently expects to repurchase outstanding shares from time to time to generally offset the dilutive impact of employee stock-based compensation plans, including option exercises, restricted unit vesting and matching contributions under our savings plans. The amount and timing of future repurchases may vary depending on market conditions and our level of operating, financing and other investing activities.

• Dividends—we increased our dividend rate by 15% to $.5950 per share of common stock effective with the fourth quarter 2015 dividend. The Company intends to continue to pay quarterly dividends in 2016.

• Asbestos claims—we expect our cash spending for asbestos claims and our cash receipts for related insurance recoveries to be approximately $295 million and $25 million in 2016.

• Pension contributions—in 2016, we are not required to make contributions to our U.S. pension plans. We plan to make contributions of cash and/or marketable securities of approximately $160 million ($106 million of marketable securities were contributed in January 2016) to our non-U.S. plans to satisfy regulatory funding standards. The timing and amount of contributions to both our U.S. and non-U.S. plans may be impacted by a number of factors, including the funded status of the plans.

• Repositioning actions—we expect that cash spending for severance and other exit costs necessary to execute repositioning actions will approximate $175 million in 2016.

• Environmental remediation costs—we expect to spend approximately $250 million in 2016 for remedial response and voluntary clean-up costs.

• Acquisitions—we acquired the remaining 30 percent noncontrolling interest in UOP Russell LLC for approximately $240 million in January 2016. In addition, in February 2016 we acquired COM DEV International for an aggregate purchase price of approximately $330 million and entered into a definitive agreement to acquire Xtralis International Holdings Limited for an aggregate purchase price of approximately $480 million.

We continuously assess the relative strength of each business in our portfolio as to strategic fit, market position, profit and cash flow contribution in order to upgrade our combined portfolio and identify business units that will most benefit from increased investment. We identify acquisition candidates that will further our strategic plan and strengthen our existing core businesses. We also identify businesses that do not fit into our long-term strategic plan based on their market position, relative profitability or growth potential. These businesses are considered for potential divestiture, restructuring or other repositioning actions subject to regulatory constraints. In 2015 and 2014, we realized $1 million and $160 million in cash proceeds from sales of non-strategic businesses.

Based on past performance and current expectations, we believe that our operating cash flows will be sufficient to meet our future operating cash needs. Our available cash, committed credit lines, access to the public debt and equity markets, provide additional sources of short-term and long-term liquidity to fund current operations, debt maturities, and future investment opportunities.

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Contractual Obligations and Probable Liability Payments

Following is a summary of our significant contractual obligations and probable liability payments at December 31, 2015:

	Total(6)				Payments by Period												Thereafter
					2016				2017- 2018				2019- 2020
Long-term debt, including capitalized leases(1)		$	6,131			$	577			$	1,400			$	904			$	3,250
Interest payments on long-term debt, including capitalized leases			3,047				290				494				344				1,919
Minimum operating lease payments			1,201				316				421				191				273
Purchase obligations(2)			1,980				962				623				392				3
Estimated environmental liability payments(3)			518				253				190				55				20
Asbestos related liability payments(4)			1,543				292				775				382				94
Asbestos insurance recoveries(5)			(449	)			(23	)			(110	)			(103	)			(213	)
		$	13,971			$	2,667			$	3,793			$	2,165			$	5,346

(1)	Assumes all long-term debt is outstanding until scheduled maturity.
(2)	Purchase obligations are entered into with various vendors in the normal course of business and are consistent with our expected requirements.
(3)	The payment amounts in the table only reflect the environmental liabilities which are probable and reasonably estimable as of December 31, 2015.
(4)	These amounts are estimates of asbestos related cash payments for NARCO and Bendix based on our asbestos related liabilities which are probable and reasonably estimable as of December 31, 2015. See Asbestos Matters in Note 19 Commitments and Contingencies of Notes to Financial Statements for additional information.
(5)	These amounts represent our insurance recoveries that are deemed probable for asbestos related liabilities as of December 31, 2015. See Asbestos Matters in Note 19 Commitments and Contingencies of Notes to Financial Statements for additional information.
(6)	The table excludes tax liability payments, including those for unrecognized tax benefits. See Note 5 Income Taxes of Notes to Financial Statements for additional information.

Environmental Matters

Accruals for environmental matters deemed probable and reasonably estimable were $194 million, $268 million and $272 million in 2015, 2014 and 2013. In addition, in 2015 and 2014 we incurred operating costs for ongoing businesses of approximately $90 million and $88 million relating to compliance with environmental regulations.

Spending related to known environmental matters was $273 million, $321 million and $304 million in 2015, 2014 and 2013 and is estimated to be approximately $250 million in 2016. We expect to fund expenditures for these environmental matters from operating cash flow. The timing of cash expenditures depends on a numbers of factors, including the timing of litigation and settlements of remediation liability, personal injury and property damage claims, regulatory approval of cleanup projects, execution timeframe of projects, remedial techniques to be utilized and agreement with other parties.

See Note 19 Commitments and Contingencies of Notes to Financial Statements for further discussion of our environmental matters.

Financial Instruments

The following table illustrates the potential change in fair value for interest rate sensitive instruments based on a hypothetical immediate one percentage point increase in interest rates across all maturities and the potential change in fair value for foreign exchange rate sensitive instruments

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based on a 10% weakening of the U.S. Dollar versus local currency exchange rates across all maturities at December 31, 2015 and 2014.

	Face or Notional Amount			Carrying Value(1)				Fair Value(1)				Estimated Increase (Decrease) in Fair Value(2)
December 31, 2015
Interest Rate Sensitive Instruments
Long-term debt (including current maturities)		$	6,131		$	(6,131	)		$	(6,721	)		$	(407	)
Interest rate swap agreements			1,100			92				92				(59	)
Foreign Exchange Rate Sensitive Instruments
Foreign currency exchange contracts(3)			10,538			11				11				(153	)
December 31, 2014
Interest Rate Sensitive Instruments
Long-term debt (including current maturities)		$	6,985		$	(6,985	)		$	(7,817	)		$	(478	)
Interest rate swap agreements			1,100			93				93				(69	)
Foreign Exchange Rate Sensitive Instruments
Foreign currency exchange contracts(3)			7,291			10				10				86

(1)	Asset or (liability).
(2)	A hypothetical immediate one percentage point decrease in interest rates across all maturities and a potential change in fair value of foreign exchange rate sensitive instruments based on a 10% strengthening of the U.S. dollar versus local currency exchange rates across all maturities will result in a change in fair value equal to the inverse of the amount disclosed in the table.
(3)	Changes in the fair value of foreign currency exchange contracts are offset by changes in the fair value or cash flows of underlying hedged foreign currency transactions.

See Note 14 Financial Instruments and Fair Value Measures of Notes to Financial Statements for further discussion on the agreements.

CRITICAL ACCOUNTING POLICIES

The preparation of our consolidated financial statements in accordance with generally accepted accounting principles is based on the selection and application of accounting policies that require us to make significant estimates and assumptions about the effects of matters that are inherently uncertain. We consider the accounting policies discussed below to be critical to the understanding of our financial statements. Actual results could differ from our estimates and assumptions, and any such differences could be material to our consolidated financial statements.

Contingent Liabilities—We are subject to a number of lawsuits, investigations and claims (some of which involve substantial dollar amounts) that arise out of the conduct of our global business operations or those of previously owned entities, including matters relating to commercial transactions, government contracts, product liability (including asbestos), prior acquisitions and divestitures, employee benefit plans, intellectual property, and environmental, health and safety matters. We continually assess the likelihood of any adverse judgments or outcomes to our contingencies, as well as potential amounts or ranges of probable losses, and recognize a liability, if any, for these contingencies based on a careful analysis of each matter with the assistance of outside legal counsel and, if applicable, other experts. Such analysis includes making judgments concerning matters such as the costs associated with environmental matters, the outcome of negotiations, the number and cost of pending and future asbestos claims, and the impact of evidentiary requirements. Because most contingencies are resolved over long periods of time, liabilities may change in the future due to new developments (including new discovery of facts, changes in legislation and outcomes of similar cases through the judicial system), changes in assumptions or changes in our settlement strategy. See Note 19 Commitments and Contingencies of Notes to Financial Statements for a discussion of

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management’s judgment applied in the recognition and measurement of our environmental and asbestos liabilities which represent our most significant contingencies.

Asbestos Related Contingencies and Insurance Recoveries—Honeywell’s involvement in asbestos related personal injury actions relates to two predecessor companies. Regarding North American Refractories Company (NARCO) asbestos related claims, we accrued for pending claims based on terms and conditions in agreements with NARCO, its former parent company, and certain asbestos claimants, and an estimate of the unsettled claims pending as of the time NARCO filed for bankruptcy protection. We also accrued for the estimated value of future NARCO asbestos related claims expected to be asserted against the NARCO Trust through 2018. In light of the inherent uncertainties in making long term projections and in connection with the initial operation of a 524(g) trust, as well as the stay of all NARCO asbestos claims from January 2002 through the effective date of the NARCO Trust on April 30, 2013, we do not believe that we have a reasonable basis for estimating NARCO asbestos claims beyond 2018. Regarding Bendix asbestos related claims, we accrued for the estimated value of pending claims using average resolution values for the previous five years. We also accrued for the estimated value of future anticipated claims related to Bendix for the next five years based on historic claims filing experience and dismissal rates, disease classifications, and average resolution values in the tort system for the previous five years. In light of the uncertainties inherent in making long-term projections, as well as certain factors unique to friction product asbestos claims, we do not believe that we have a reasonable basis for estimating asbestos claims beyond the next five years.

In connection with the recognition of liabilities for asbestos related matters, we record asbestos related insurance recoveries that are deemed probable. In assessing the probability of insurance recovery, we make judgments concerning insurance coverage that we believe are reasonable and consistent with our historical dealings and our knowledge of any pertinent solvency issues surrounding insurers. While the substantial majority of our insurance carriers are solvent, some of our individual carriers are insolvent, which has been considered in our analysis of probable recoveries. Projecting future events is subject to various uncertainties that could cause the insurance recovery on asbestos related liabilities to be higher or lower than that projected and recorded. Given the inherent uncertainty in making future projections, we reevaluate our projections concerning our probable insurance recoveries in light of any changes to the projected liability, our recovery experience or other relevant factors that may impact future insurance recoveries.

See Note 19 Commitments and Contingencies of Notes to Financial Statements for a discussion of management’s judgments applied in the recognition and measurement of our asbestos-related liabilities and related insurance recoveries.

Defined Benefit Pension Plans—We sponsor both funded and unfunded U.S. and non-U.S. defined benefit pension plans. For financial reporting purposes, net periodic pension (income) expense is calculated annually based upon a number of actuarial assumptions, including a discount rate for plan obligations and an expected long-term rate of return on plan assets. Changes in the discount rate and expected long-term rate of return on plan assets could materially affect the annual pension (income) expense amount. Annual pension (income) expense is comprised of a potential mark-to-market adjustment (MTM Adjustment) and service and interest cost, assumed return on plan assets and prior service amortization (Pension Ongoing (Income) Expense).

The key assumptions used in developing our 2015, 2014 and 2013 net periodic pension (income) expense for our U.S. plans included the following:

	2015			2014			2013
Discount rate		4.08	%		4.89	%		4.06	%
Assets:
Expected rate of return		7.75	%		7.75	%		7.75	%
Actual rate of return		2	%		8	%		23	%
Actual 10 year average annual compounded rate of return		7	%		8	%		8	%

The MTM Adjustment represents the recognition of net actuarial gains or losses in excess of the corridor. Net actuarial gains and losses occur when the actual experience differs from any of the

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various assumptions used to value our pension plans or when assumptions change. The primary factors contributing to actuarial gains and losses are changes in the discount rate used to value pension obligations as of the measurement date each year and the difference between expected and actual returns on plan assets. The mark-to-market accounting method results in the potential for volatile and difficult to forecast MTM Adjustments. MTM charges were $67 million, $249 million and $51 million in 2015, 2014 and 2013.

We determine the expected long-term rate of return on plan assets utilizing historical plan asset returns over varying long-term periods combined with our expectations of future market conditions and asset mix considerations (see Note 20 Pension and Other Postretirement Benefits of Notes to Financial Statements for details on the actual various asset classes and targeted asset allocation percentages for our pension plans). We plan to continue to use an expected rate of return on plan assets of 7.75% for 2016 as this is a long-term rate based on historical plan asset returns over varying long term periods combined with our expectations of future market conditions and the asset mix of the plan’s investments.

The discount rate reflects the market rate on December 31 (measurement date) for high-quality fixed-income investments with maturities corresponding to our benefit obligations and is subject to change each year. The discount rate can be volatile from year to year as it is determined based upon prevailing interest rates as of the measurement date. We will use a 4.46% discount rate as of December 31, 2015, reflecting the increase in the market interest rate environment since the prior year-end.

In addition to the potential for MTM Adjustments, changes in our expected rate of return on plan assets and discount rate resulting from economic events also affects future pension ongoing (income) expense. The following table highlights the sensitivity of our U.S. pension obligations and ongoing (income) expense to changes in these assumptions, assuming all other assumptions remain constant. These estimates exclude any potential MTM Adjustment:

Change in Assumption	Impact on 2016 Pension Ongoing Expense	Impact on PBO
0.25 percentage point decrease in discount rate	Decrease $19 million	Increase $490 million
0.25 percentage point increase in discount rate	Increase $17 million	Decrease $470 million
0.25 percentage point decrease in expected rate of return on assets	Increase $40 million	—
0.25 percentage point increase in expected rate of return on assets	Decrease $40 million	—

Pension ongoing income for all of our pension plans is expected to be approximately $580 million in 2016 compared with pension ongoing income of $430 million in 2015. The expected increase is primarily due to lower service and interest costs resulting mainly from the change in our discount rate methodology as described in Note 20 Pension and Other Postretirement Benefits of Notes to Financial Statements and the plan amendment in the fourth quarter of 2015 to freeze final average compensation in our U.S. pension plans as of December 31, 2015 partially offset by the impact of lower asset returns in 2015. Also, if required, an MTM Adjustment will be recorded in the fourth quarter of 2016 in accordance with our pension accounting method as previously described. It is difficult to reliably forecast or predict whether there will be a MTM Adjustment in 2016, and if one is required what the magnitude of such adjustment will be. MTM Adjustments are primarily driven by events and circumstances beyond the control of the Company such as changes in interest rates and the performance of the financial markets.

Long-Lived Assets (including Tangible and Finite-Lived Intangible Assets)—The determination of useful lives (for depreciation/amortization purposes) and whether or not tangible and intangible assets are impaired involves the use of accounting estimates and assumptions, changes in which could materially impact our financial condition or operating performance if actual results differ from such estimates and assumptions. We evaluate the recoverability of the carrying amount of our long-lived assets whenever events or changes in circumstances indicate that the carrying amount of a long-lived asset group may not be fully recoverable. The principal factors in considering when to perform an impairment review are as follows:

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• Significant under-performance (i.e., declines in sales, earnings or cash flows) of a business or product line in relation to expectations;

• Annual operating plans or five-year strategic plans that indicate an unfavorable trend in operating performance of a business or product line;

• Significant negative industry or economic trends; or

• Significant changes or planned changes in our use of the assets.

Once it is determined that an impairment review is necessary, recoverability of assets is measured by comparing the carrying amount of the asset grouping to the estimated future undiscounted cash flows. If the carrying amount exceeds the estimated future undiscounted cash flows, the asset grouping is considered to be impaired. The impairment is then measured as the difference between the carrying amount of the asset grouping and its fair value. We endeavor to utilize the best information available to measure fair value, which is usually either market prices (if available), level 1 or level 2 of the fair value hierarchy, or an estimate of the future discounted cash flow, level 3 of the fair value hierarchy. The key estimates in our discounted cash flow analysis include expected industry growth rates, our assumptions as to volume, selling prices and costs, and the discount rate selected.

Goodwill and Indefinite-Lived Intangible Assets Impairment Testing—In testing goodwill and indefinite-lived intangible assets, the fair value is estimated utilizing a discounted cash flow approach utilizing cash flow forecasts in our five year strategic and annual operating plans adjusted for terminal value assumptions. These impairment tests involve the use of accounting estimates and assumptions, changes in which could materially impact our financial condition or operating performance if actual results differ from such estimates and assumptions. To address this uncertainty we perform sensitivity analysis on key estimates and assumptions.

Income Taxes—On a recurring basis, we assess the need for a valuation allowance against our deferred tax assets by considering all available positive and negative evidence, such as past operating results, projections of future taxable income, enacted tax law changes and the feasibility and impact of tax planning initiatives. Our projections of future taxable income include a number of estimates and assumptions regarding our volume, pricing and costs, as well as the timing and amount of reversals of taxable temporary differences.

Sales Recognition on Long-Term Contracts—In 2015, we recognized approximately 14% of our total net sales using the percentage-of-completion method for long-term contracts. These long-term contracts are measured on the cost-to-cost basis for engineering-type contracts and the units-of-delivery basis for production-type contracts. Accounting for these contracts involves management judgment in estimating total contract revenue and cost. Contract revenues are largely determined by negotiated contract prices and quantities, modified by our assumptions regarding contract options, change orders, incentive and award provisions associated with technical performance and price adjustment clauses (such as inflation or index-based clauses). Contract costs are incurred over a period of time, which can be several years, and the estimation of these costs requires management judgment. Cost estimates are largely based on negotiated or estimated purchase contract terms, historical performance trends and other economic projections. Significant factors that influence these estimates include inflationary trends, technical and schedule risk, internal and subcontractor performance trends, business volume assumptions, asset utilization, and anticipated labor agreements. Revenue and cost estimates are regularly monitored and revised based on changes in circumstances. Anticipated losses on long-term contracts are recognized when such losses become evident. We maintain financial controls over the customer qualification, contract pricing and estimation processes to reduce the risk of contract losses.

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OTHER MATTERS

Litigation

See Note 19 Commitments and Contingencies of Notes to Financial Statements for a discussion of environmental, asbestos and other litigation matters.

Recent Accounting Pronouncements

See Note 1 Summary of Significant Accounting Policies of Notes to Financial Statements for a discussion of recent accounting pronouncements.

Item 7A. Quantitative and Qualitative Disclosures About Market Risks

Information relating to market risks is included in Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations under the caption “Financial Instruments”.

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ITEM 8. Financial Statements and Supplementary Data

HONEYWELL INTERNATIONAL INC.
CONSOLIDATED STATEMENT OF OPERATIONS

	Years Ended December 31,
	2015				2014				2013
	(Dollars in millions, except per share amounts)
Product sales		$	30,695			$	32,398			$	31,214
Service sales			7,886				7,908				7,841
Net sales			38,581				40,306				39,055
Costs, expenses and other
Cost of products sold			21,775				23,889				23,317
Cost of services sold			4,972				5,068				5,047
			26,747				28,957				28,364
Selling, general and administrative expenses			5,006				5,518				5,190
Other (income) expense			(68	)			(305	)			(238	)
Interest and other financial charges			310				318				327
			31,995				34,488				33,643
Income from continuing operations before taxes			6,586				5,818				5,412
Tax expense			1,739				1,489				1,450
Net income			4,847				4,329				3,962
Less: Net income attributable to the noncontrolling interest			79				90				38
Net income attributable to Honeywell		$	4,768			$	4,239			$	3,924
Earnings per share of common stock—basic		$	6.11			$	5.40			$	4.99
Earnings per share of common stock—assuming dilution		$	6.04			$	5.33			$	4.92
Cash dividends per share of common stock		$	2.15			$	1.87			$	1.68

The Notes to Financial Statements are an integral part of this statement.

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HONEYWELL INTERNATIONAL INC.
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME

	Years Ended December 31,
	2015				2014				2013
	(Dollars in millions)
Net income		$	4,847			$	4,329			$	3,962
Other comprehensive income (loss), net of tax
Foreign exchange translation adjustment			(1,152	)			(1,044	)			(52	)
Actuarial gains (losses)			(464	)			(1,411	)			2,064
Prior service credit			446				73				99
Prior service cost (credit) recognized during year			(13	)			(2	)			5
Actuarial losses recognized during year			72				202				61
Transition obligation recognized during year			—				1				2
Settlements and curtailments			2				—				(26	)
Foreign exchange translation and other			41				54				(2	)
Pensions and other postretirement benefit adjustments			84				(1,083	)			2,203
Unrealized gains for the period			—				15				140
Less: reclassification adjustment for gains included in net income			—				185				127
Changes in fair value of available for sale investments			—				(170	)			13
Effective portion of cash flow hedges recognized in other comprehensive income			91				20				(30	)
Less: reclassification adjustment for gains (losses) included in net income			99				—				(23	)
Changes in fair value of effective cash flow hedges			(8	)			20				(7	)
Other comprehensive income (loss), net of tax			(1,076	)			(2,277	)			2,157
Comprehensive income			3,771				2,052				6,119
Less: Comprehensive income attributable to the noncontrolling interest			73				87				36
Comprehensive income attributable to Honeywell		$	3,698			$	1,965			$	6,083

The Notes to Financial Statements are an integral part of this statement.

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HONEYWELL INTERNATIONAL INC.
CONSOLIDATED BALANCE SHEET

	December 31,
	2015				2014
	(Dollars in millions)
ASSETS
Current assets:
Cash and cash equivalents		$	5,455			$	6,959
Accounts, notes and other receivables			8,075				7,960
Inventories			4,420				4,405
Deferred income taxes			—				722
Investments and other current assets			2,103				2,145
Total current assets			20,053				22,191
Investments and long-term receivables			517				465
Property, plant and equipment—net			5,789				5,383
Goodwill			15,895				12,788
Other intangible assets—net			4,577				2,208
Insurance recoveries for asbestos related liabilities			426				454
Deferred income taxes			283				404
Other assets			1,776				1,558
Total assets		$	49,316			$	45,451
LIABILITIES
Current liabilities:
Accounts payable		$	5,580			$	5,365
Commercial paper and other short-term borrowings			5,937				1,698
Current maturities of long-term debt			577				939
Accrued liabilities			6,277				6,771
Total current liabilities			18,371				14,773
Long-term debt			5,554				6,046
Deferred income taxes			558				236
Postretirement benefit obligations other than pensions			526				911
Asbestos related liabilities			1,251				1,200
Other liabilities			4,348				4,282
Redeemable noncontrolling interest			290				219
SHAREOWNERS’ EQUITY
Capital—common stock issued			958				958
—additional paid-in capital			5,377				5,038
Common stock held in treasury, at cost			(11,664	)			(9,995	)
Accumulated other comprehensive income (loss)			(2,535	)			(1,459	)
Retained earnings			26,147				23,115
Total Honeywell shareowners’ equity			18,283				17,657
Noncontrolling interest			135				127
Total shareowners’ equity			18,418				17,784
Total liabilities, redeemable noncontrolling interest and shareowners’ equity		$	49,316			$	45,451

The Notes to Financial Statements are an integral part of this statement.

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HONEYWELL INTERNATIONAL INC.
CONSOLIDATED STATEMENT OF CASH FLOWS

	Years Ended December 31,
	2015				2014				2013
	(Dollars in millions)
Cash flows from operating activities:
Net income		$	4,847			$	4,329			$	3,962
Less: Net income attributable to the noncontrolling interest			79				90				38
Net income attributable to Honeywell			4,768				4,239				3,924
Adjustments to reconcile net income attributable to Honeywell to net cash provided by operating activities:
Depreciation			672				667				670
Amortization			211				257				319
Loss on sale of non-strategic businesses and assets			1				11				20
Gain on sale of available for sale investments			—				(221	)			(195	)
Repositioning and other charges			546				598				663
Net payments for repositioning and other charges			(537	)			(530	)			(763	)
Pension and other postretirement (income) expense			(323	)			44				(19	)
Pension and other postretirement benefit payments			(122	)			(167	)			(298	)
Stock compensation expense			175				187				170
Deferred income taxes			315				132				262
Excess tax benefits from share based payment arrangements			(81	)			(102	)			(132	)
Other			(8	)			(327	)			308
Changes in assets and liabilities, net of the effects of acquisitions and divestitures:
Accounts, notes and other receivables			211				(172	)			(365	)
Inventories			230				(200	)			41
Other current assets			80				120				(421	)
Accounts payable			(17	)			307				352
Accrued liabilities			(667	)			181				(201	)
Net cash provided by operating activities			5,454				5,024				4,335
Cash flows from investing activities:
Expenditures for property, plant and equipment			(1,073	)			(1,094	)			(947	)
Proceeds from disposals of property, plant and equipment			15				18				15
Increase in investments			(6,714	)			(4,074	)			(1,220	)
Decrease in investments			6,587				3,288				1,122
Cash paid for acquisitions, net of cash acquired			(5,228	)			(4	)			(1,133	)
Proceeds from sales of businesses, net of fees paid			1				160				3
Other			(102	)			(170	)			201
Net cash used for investing activities			(6,514	)			(1,876	)			(1,959	)
Cash flows from financing activities:
Net increase in commercial paper and other short-term borrowings			4,265				309				930
Proceeds from issuance of common stock			186				265				447
Proceeds from issuance of long-term debt			60				97				1,063
Payments of long-term debt			(880	)			(609	)			(607	)
Excess tax benefits from share based payment arrangements			81				102				132
Repurchases of common stock			(1,884	)			(924	)			(1,073	)
Cash dividends paid			(1,726	)			(1,510	)			(1,353	)
Other			—				(2	)			28
Net cash provided by (used for) financing activities			102				(2,272	)			(433	)
Effect of foreign exchange rate changes on cash and cash equivalents			(546	)			(339	)			(155	)
Net (decrease) increase in cash and cash equivalents			(1,504	)			537				1,788
Cash and cash equivalents at beginning of period			6,959				6,422				4,634
Cash and cash equivalents at end of period		$	5,455			$	6,959			$	6,422

The Notes to Financial Statements are an integral part of this statement.

35

HONEYWELL INTERNATIONAL INC.
CONSOLIDATED STATEMENT OF SHAREOWNERS’ EQUITY

	Years Ended December 31,
	2015						2014						2013
	Shares			$			Shares			$			Shares			$
	(in millions)
Common stock, par value		957.6			958			957.6			958			957.6			958
Additional paid-in capital
Beginning balance					5,038						4,682						4,358
Issued for employee savings and option plans					164						175						155
Stock-based compensation expense					175						187						170
Other owner changes					—						(6	)					(1	)
Ending balance					5,377						5,038						4,682
Treasury stock
Beginning balance		(175.4	)		(9,995	)		(173.8	)		(9,374	)		(174.8	)		(8,801	)
Reacquired stock or repurchases of common stock		(18.8	)		(1,884	)		(10.0	)		(924	)		(13.5	)		(1,073	)
Issued for employee savings and option plans		6.7			215			8.4			303			14.5			500
Other owner changes		0.3			—			—			—			—			—
Ending balance		(187.2	)		(11,664	)		(175.4	)		(9,995	)		(173.8	)		(9,374	)
Retained earnings
Beginning balance					23,115						20,383						17,799
Net income attributable to Honeywell					4,768						4,239						3,924
Dividends on common stock					(1,686	)					(1,478	)					(1,329	)
Redemption value adjustment					(50	)					(29	)					(11	)
Ending balance					26,147						23,115						20,383
Accumulated other comprehensive income (loss)
Beginning balance					(1,459	)					818						(1,339	)
Foreign exchange translation adjustment					(1,152	)					(1,044	)					(52	)
Pensions and other postretirement benefit adjustments					84						(1,083	)					2,203
Changes in fair value of available for sale investments					—						(170	)					13
Changes in fair value of effective cash flow hedges					(8	)					20						(7	)
Ending balance					(2,535	)					(1,459	)					818
Noncontrolling interest
Beginning balance					127						112						90
Acquisitions					3						—						—
Interest sold (bought)					—						(7	)					—
Net income attributable to noncontrolling interest					35						40						9
Foreign exchange translation adjustment					(6	)					(3	)					(2	)
Dividends paid					(26	)					(17	)					(16	)
Contributions from noncontrolling interest holders					—						5						28
Other owner changes					2						(3	)					3
Ending balance					135						127						112
Total shareowners’ equity		770.4			18,418			782.2			17,784			783.8			17,579

The Notes to Financial Statements are an integral part of this statement.

36

HONEYWELL INTERNATIONAL INC.
NOTES TO FINANCIAL STATEMENTS
(Dollars in millions, except per share amounts)

Note 1. Summary of Significant Accounting Policies

Accounting Principles—The financial statements and accompanying notes are prepared in accordance with accounting principles generally accepted in the United States of America. The following is a description of Honeywell’s significant accounting policies.

Principles of Consolidation—The consolidated financial statements include the accounts of Honeywell International Inc. and all of its subsidiaries and entities in which a controlling interest is maintained. Our consolidation policy requires equity investments that we exercise significant influence over but do not control the investee and are not the primary beneficiary of the investee’s activities to be accounted for using the equity method. Investments through which we are not able to exercise significant influence over the investee and which we do not have readily determinable fair values are accounted for under the cost method. All intercompany transactions and balances are eliminated in consolidation.

Redeemable noncontrolling interest is considered to be temporary equity and is therefore reported outside of permanent equity on the Consolidated Balance Sheet at the greater of the initial carrying amount adjusted for the noncontrolling interest’s share of net income (loss) or its redemption value.

Property, Plant and Equipment—Property, plant and equipment are recorded at cost, including any asset retirement obligations, less accumulated depreciation. For financial reporting, the straight-line method of depreciation is used over the estimated useful lives of 10 to 50 years for buildings and improvements and 2 to 16 years for machinery and equipment. Recognition of the fair value of obligations associated with the retirement of tangible long-lived assets is required when there is a legal obligation to incur such costs. Upon initial recognition of a liability, the cost is capitalized as part of the related long-lived asset and depreciated over the corresponding asset’s useful life.

Goodwill and Indefinite-Lived Intangible Assets—Goodwill and indefinite-lived intangible assets are subject to impairment testing annually as of March 31, or whenever events or changes in circumstances indicate that the carrying amount may not be fully recoverable. This testing compares carrying values to fair values and, when appropriate, the carrying value of these assets is reduced to fair value. We completed our annual goodwill impairment test as of March 31, 2015 and determined that there was no impairment as of that date.

Other Intangible Assets with Determinable Lives—Other intangible assets with determinable lives consist of customer lists, technology, patents and trademarks and other intangibles and are amortized over their estimated useful lives, ranging from 2 to 24 years.

Sales Recognition—Product and service sales are recognized when persuasive evidence of an arrangement exists, product delivery has occurred or services have been rendered, pricing is fixed or determinable, and collection is reasonably assured. Service sales, principally representing repair, maintenance and engineering activities are recognized over the contractual period or as services are rendered. Sales under long-term contracts are recorded on a percentage-of-completion method measured on the cost-to-cost basis for engineering-type contracts and the units-of-delivery basis for production-type contracts. Provisions for anticipated losses on long-term contracts are recorded in full when such losses become evident. Revenues from contracts with multiple element arrangements are recognized as each element is earned based on the relative fair value of each element provided the delivered elements have value to customers on a standalone basis. Amounts allocated to each element are based on its objectively determined fair value, such as the sales price for the product or service when it is sold separately or competitor prices for similar products or services.

Environmental—We accrue costs related to environmental matters when it is probable that we have incurred a liability related to a contaminated site and the amount can be reasonably estimated. For additional information, see Note 19 Commitments and Contingencies.

Asbestos Related Contingencies and Insurance Recoveries—We recognize a liability for any asbestos related contingency that is probable of occurrence and reasonably estimable. In connection

37

HONEYWELL INTERNATIONAL INC.
NOTES TO FINANCIAL STATEMENTS—(Continued)
(Dollars in millions, except per share amounts)

with the recognition of liabilities for asbestos related matters, we record asbestos related insurance recoveries that are deemed probable. For additional information, see Note 19 Commitments and Contingencies.

Aerospace Sales Incentives—We provide sales incentives to commercial aircraft manufacturers and airlines in connection with their selection of our aircraft equipment, predominately wheel and braking system hardware, avionics, and auxiliary power units, for installation on commercial aircraft. These incentives consist of free or deeply discounted products, credits for future purchases of product and upfront cash payments. These costs are recognized in the period incurred as cost of products sold or as a reduction to sales, as appropriate.

Research and Development—Research and development costs for company-sponsored research and development projects are expensed as incurred. Such costs are principally included in cost of products sold and were $1,856 million, $1,892 million and $1,804 million in 2015, 2014 and 2013.

Stock-Based Compensation Plans—The principal awards issued under our stock-based compensation plans, which are described in Note 18 Stock-Based Compensation Plans, are non-qualified stock options and restricted stock units. The cost for such awards is measured at the grant date based on the fair value of the award. The value of the portion of the award that is ultimately expected to vest is recognized as expense over the requisite service periods (generally the vesting period of the equity award) and is included in selling, general and administrative expenses. Forfeitures are estimated at the time of grant to recognize expense for those awards that are expected to vest and are based on our historical forfeiture rates.

Pension Benefits—We recognize net actuarial gains or losses in excess of 10% of the greater of the fair value of plan assets or the plans’ projected benefit obligation (the corridor) annually in the fourth quarter each year (MTM Adjustment), and, if applicable, in any quarter in which an interim remeasurement is triggered. The remaining components of pension (income) expense, primarily service and interest costs and assumed return on plan assets, are recognized on a quarterly basis (Pension ongoing (income) expense).

Foreign Currency Translation—Assets and liabilities of subsidiaries operating outside the United States with a functional currency other than U.S. Dollars are translated into U.S. Dollars using year-end exchange rates. Sales, costs and expenses are translated at the average exchange rates in effect during the year. Foreign currency translation gains and losses are included as a component of accumulated other comprehensive income (loss). For subsidiaries operating in highly inflationary environments, inventories and property, plant and equipment, including related expenses, are remeasured at the exchange rate in effect on the date the assets were acquired, while monetary assets and liabilities are remeasured at year-end exchange rates. Remeasurement adjustments for these subsidiaries are included in earnings.

Derivative Financial Instruments—We minimize our risks from interest and foreign currency exchange rate fluctuations through our normal operating and financing activities and, when deemed appropriate through the use of derivative financial instruments. Derivative financial instruments are used to manage risk and are not used for trading or other speculative purposes and we do not use leveraged derivative financial instruments. Derivative financial instruments that qualify for hedge accounting must be designated and effective as a hedge of the identified risk exposure at the inception of the contract. Accordingly, changes in fair value of the derivative contract must be highly correlated with changes in fair value of the underlying hedged item at inception of the hedge and over the life of the hedge contract.

All derivatives are recorded on the balance sheet as assets or liabilities and measured at fair value. For derivatives designated as hedges of the fair value of assets or liabilities, the changes in fair values of both the derivatives and the hedged items are recorded in current earnings. For derivatives

38

HONEYWELL INTERNATIONAL INC.
NOTES TO FINANCIAL STATEMENTS—(Continued)
(Dollars in millions, except per share amounts)

designated as cash flow hedges, the effective portion of the changes in fair value of the derivatives are recorded in accumulated other comprehensive income (loss) and subsequently recognized in earnings when the hedged items impact earnings. Cash flows of such derivative financial instruments are classified consistent with the underlying hedged item.

Income Taxes—Significant judgment is required in evaluating tax positions. We establish additional reserves for income taxes when, despite the belief that tax positions are fully supportable, there remain certain positions that do not meet the minimum recognition threshold. The approach for evaluating certain and uncertain tax positions is defined by the authoritative guidance which determines when a tax position is more likely than not to be sustained upon examination by the applicable taxing authority. In the normal course of business, the Company and its subsidiaries are examined by various federal, state and foreign tax authorities. We regularly assess the potential outcomes of these examinations and any future examinations for the current or prior years in determining the adequacy of our provision for income taxes. We continually assess the likelihood and amount of potential adjustments and adjust the income tax provision, the current tax liability and deferred taxes in the period in which the facts that give rise to a change in estimate become known.

Earnings Per Share—Basic earnings per share is based on the weighted average number of common shares outstanding. Diluted earnings per share is based on the weighted average number of common shares outstanding and all dilutive potential common shares outstanding.

Reclassifications—Certain prior year amounts have been reclassified to conform to the current year presentation.

Recent Accounting Pronouncements—We consider the applicability and impact of all Accounting Standards Updates (ASUs). ASUs not listed below were assessed and determined to be either not applicable or are expected to have minimal impact on our consolidated financial position or results of operations.

In November 2015, the Financial Accounting Standards Board (FASB) issued guidance to simplify the presentation of deferred income taxes by permitting classification of all deferred tax assets and liabilities as noncurrent on the consolidated balance sheet. The Company has elected to early adopt the guidance on a prospective basis effective with the consolidated balance sheet as of December 31, 2015. This is a change from the Company’s historical presentation whereby certain deferred tax assets and liabilities were classified as current and the remainder were classified as non-current. Adoption of the guidance resulted in a reclassification of $662 million from current assets and $32 million from current liabilities within the consolidated balance sheet as of December 31, 2015.

In May 2014, the FASB issued guidance on revenue from contracts with customers that will supersede most current revenue recognition guidance, including industry-specific guidance. The underlying principle is that an entity will recognize revenue to depict the transfer of goods or services to customers at an amount that the entity expects to be entitled to in exchange for those goods or services. The guidance provides a five-step analysis of transactions to determine when and how revenue is recognized. Other major provisions include capitalization of certain contract costs, consideration of time value of money in the transaction price, and allowing estimates of variable consideration to be recognized before contingencies are resolved in certain circumstances. The guidance also requires enhanced disclosures regarding the nature, amount, timing and uncertainty of revenue and cash flows arising from an entity’s contracts with customers. The effective date was deferred for one year to the interim and annual periods beginning on or after December 15, 2017. Early adoption is permitted as of the original effective date–interim and annual periods beginning on or after December 15, 2016. The guidance permits the use of either a retrospective or cumulative effect transition method. We have not yet selected a transition method and are currently evaluating the impact of the amended guidance on our consolidated financial position, results of operations and related disclosures.

39

HONEYWELL INTERNATIONAL INC.
NOTES TO FINANCIAL STATEMENTS—(Continued)
(Dollars in millions, except per share amounts)

Note 2. Acquisitions

During 2015, we acquired businesses for an aggregate cost (net of cash acquired) of $5,244 million.

On December 29, 2015, the Company completed the acquisition of the Elster Division of Melrose Industries plc (Elster), a leading provider of thermal gas solutions for commercial, industrial, and residential heating systems and gas, water, and electricity meters, including smart meters and software and data analytics solutions, for an aggregate value, net of cash acquired, of approximately $4,899 million. Elster had 2015 revenues of approximately $1,670 million and will primarily be integrated into ACS. The following amounts represent the preliminary determination of the fair value of the identifiable assets acquired and liabilities assumed that are included in the Company’s consolidated balance sheet as of December 31, 2015.

Current assets	$	532
Intangible assets		2,463
Other noncurrent assets		179
Current liabilities		(658	)
Noncurrent liabilities		(836	)
Net assets acquired		1,680
Noncontrolling interest		(3	)
Goodwill		3,222
Purchase Price	$	4,899

The identifiable intangible assets primarily include customer relationships, trade names and technology that are being amortized over their estimated lives ranging from 1 to 20 years using straight line and accelerated amortization methods. The goodwill is non-deductible for tax purposes. The results from the date of acquisition through December 31, 2015 were included principally in ACS and were not material to the consolidated results of operations.

As of December 31, 2015, the purchase accounting for Elster is subject to final adjustment primarily for the valuation of useful lives of intangible assets, amounts allocated to intangible assets and goodwill, tax balances and for certain pre-acquisition contingencies.

In January 2016, the Company acquired the remaining 30 percent noncontrolling interest in UOP Russell LLC, which develops technology and manufactures modular equipment to process natural gas, for approximately $240 million.

In February 2016, the Company acquired 100 percent of the issued and outstanding shares of COM DEV International (COM DEV), a leading satellite and space components provider, for an aggregate purchase price of approximately $330 million. COM DEV, a public company in Canada, operates globally and had reported 2015 revenues of approximately $180 million. COM DEV will be integrated into Aerospace.

In February 2016, the Company entered into a definitive agreement to acquire Xtralis International Holdings Limited (Xtralis), a leading global provider of aspiration smoke detection and perimeter security technologies, for approximately $480 million. The transaction is expected to close in the second quarter of 2016, pending regulatory approvals. Xtralis will be integrated into ACS.

40

HONEYWELL INTERNATIONAL INC.
NOTES TO FINANCIAL STATEMENTS—(Continued)
(Dollars in millions, except per share amounts)

Note 3. Repositioning and Other Charges

A summary of repositioning and other charges follows:

	Years Ended December 31,
	2015				2014				2013
Severance		$	197			$	156			$	186
Asset impairments			13				12				23
Exit costs			6				16				22
Reserve adjustments			(53	)			(38	)			(30	)
Total net repositioning charge			163				146				201
Asbestos related litigation charges, net of insurance			189				182				181
Probable and reasonably estimable environmental liabilities			194				268				272
Other			—				2				9
Total net repositioning and other charges		$	546			$	598			$	663

The following table summarizes the pretax distribution of total net repositioning and other charges by income statement classification:

	Years Ended December 31,
	2015			2014			2013
Cost of products and services sold		$	483		$	525		$	566
Selling, general and administrative expenses			63			73			97
		$	546		$	598		$	663

The following table summarizes the pretax impact of total net repositioning and other charges by segment:

	Years Ended December 31,
	2015			2014			2013
Aerospace		$	211		$	193		$	235
Automation and Control Solutions			77			80			68
Performance Materials and Technologies			40			33			56
Corporate			218			292			304
		$	546		$	598		$	663

In 2015, we recognized repositioning charges totaling $216 million including severance costs of $197 million related to workforce reductions of 6,405 manufacturing and administrative positions across all of our segments. The workforce reductions were primarily related to cost savings actions taken in connection with our productivity and ongoing functional transformation initiatives. Also, $53 million of previously established accruals, primarily for severance, mainly in Aerospace and ACS, were returned to income in 2015 due principally to higher attrition than anticipated in prior severance programs resulting in lower required severance payments, and changes in scope of previously announced repositioning actions.

In 2014, we recognized repositioning charges totaling $184 million including severance costs of $156 million related to workforce reductions of 2,975 manufacturing and administrative positions across all of our segments. The workforce reductions were primarily related to cost savings actions taken in connection with our productivity and ongoing functional transformation initiatives, factory transitions in ACS and Aerospace to more cost-effective locations, and site consolidations and organizational realignments of businesses in ACS and PMT. Also, $38 million of previously established accruals, primarily for severance, mainly in Aerospace and ACS, were returned to income in 2014 due principally

41

HONEYWELL INTERNATIONAL INC.
NOTES TO FINANCIAL STATEMENTS—(Continued)
(Dollars in millions, except per share amounts)

to the change in scope of a previously announced repositioning action and higher attrition than anticipated in prior severance programs resulting in lower required severance payments.

In 2013, we recognized repositioning charges totaling $231 million including severance costs of $186 million related to workforce reductions of 3,081 manufacturing and administrative positions across all of our segments. The workforce reductions were primarily related to cost savings actions taken in connection with our productivity and ongoing functional transformation initiatives, achieving acquisition-related synergies in ACS, outsourcing of non-core components in Aerospace, the shutdown of a manufacturing facility in PMT, and factory transitions in ACS to more cost-effective locations. Also, $30 million of previously established accruals, primarily for severance, in ACS and PMT, were returned to income in 2013 due to changes in the scope of previously announced repositioning actions, lower than expected costs in completing the exit of a product line and higher attrition than anticipated in prior severance programs resulting in lower required severance payments.

The following table summarizes the status of our total repositioning reserves:

	Severance Costs				Asset Impairments				Exit Costs				Total
Balance at December 31, 2012		$	276			$	—			$	47			$	323
2013 charges			186				23				22				231
2013 usage—cash			(139	)			—				(21	)			(160	)
2013 usage—noncash			—				(23	)			—				(23	)
Adjustments			(27	)			—				(3	)			(30	)
Foreign currency translation			6				—				—				6
Balance at December 31, 2013			302				—				45				347
2014 charges			156				12				16				184
2014 usage—cash			(135	)			—				(26	)			(161	)
2014 usage—noncash			—				(12	)			—				(12	)
Adjustments			(33	)			—				(5	)			(38	)
Foreign currency translation			(5	)			—				—				(5	)
Balance at December 31, 2014			285				—				30				315
2015 charges			197				13				6				216
2015 usage—cash			(109	)			—				(9	)			(118	)
2015 usage—noncash			—				(13	)			—				(13	)
Acquisitions			16				—				—				16
Adjustments			(49	)			—				(4	)			(53	)
Foreign currency translation			(11	)			—				(2	)			(13	)
Balance at December 31, 2015		$	329			$	—			$	21			$	350

Certain repositioning projects in Aerospace, ACS and PMT in 2015, 2014 and 2013 included exit or disposal activities, the costs related to which will be recognized in future periods when the actual liability is incurred. Such exit and disposal costs were not significant.

42

HONEYWELL INTERNATIONAL INC.
NOTES TO FINANCIAL STATEMENTS—(Continued)
(Dollars in millions, except per share amounts)

Note 4. Other (income) expense

	Years Ended December 31,
	2015				2014				2013
Equity (income) loss of affiliated companies		$	(30	)		$	(36	)		$	(36	)
Gain on sale of available for sale investments			—				(221	)			(195	)
Loss on sale of non-strategic businesses and assets			1				11				20
Interest income			(104	)			(102	)			(69	)
Foreign exchange			43				34				34
Other, net			22				9				8
		$	(68	)		$	(305	)		$	(238	)

Note 5. Income Taxes

Income from continuing operations before taxes

	Years Ended December 31,
	2015			2014			2013
U.S.		$	3,361		$	3,340		$	3,002
Non-U.S.			3,225			2,478			2,410
		$	6,586		$	5,818		$	5,412

Tax expense (benefit)

	Years Ended December 31,
	2015			2014				2013
Tax expense (benefit) consists of
Current:
U.S. Federal		$	786		$	746			$	663
U.S. State			78			39				97
Non-U.S.			560			572				428
		$	1,424		$	1,357			$	1,188
Deferred:
U.S. Federal		$	196		$	114			$	160
U.S. State			49			63				72
Non-U.S.			70			(45	)			30
			315			132				262
		$	1,739		$	1,489			$	1,450

43

HONEYWELL INTERNATIONAL INC.
NOTES TO FINANCIAL STATEMENTS—(Continued)
(Dollars in millions, except per share amounts)

	Years Ended December 31,
	2015			2014			2013
The U.S. federal statutory income tax rate is reconciled to our effective income tax rate as follows:
U.S. federal statutory income tax rate		35.0	%		35.0	%		35.0	%
Taxes on non-U.S. earnings below U.S. tax rate(1)		(8.0	)		(7.0	)		(7.2	)
U.S. state income taxes(1)		1.2			1.2			1.8
Manufacturing incentives		(1.5	)		(1.0	)		(0.9	)
ESOP dividend tax benefit		(0.4	)		(0.4	)		(0.5	)
Tax credits		(1.0	)		(1.0	)		(1.8	)
Reserves for tax contingencies		0.7			(0.2	)		0.6
All other items—net		0.4			(1.0	)		(0.2	)
		26.4	%		25.6	%		26.8	%

(1) Net of changes in valuation allowance

The effective tax rate increased by 0.8 percentage points in 2015 compared to 2014. The increase was primarily attributable to decreased tax benefits from the resolution of tax audits, partially offset by increased tax benefits from manufacturing incentives, the impact of more income in jurisdictions with lower tax rates and fewer reserves. The Company’s non-U.S. effective tax rate for 2015 was 19.5%, a decrease of approximately 1.8 percentage points compared to 2014. The year-over-year decrease in the non-U.S. effective tax rate was primarily attributable to higher earnings in lower tax rate jurisdictions coupled with lower expense related to reserves in various jurisdictions, partially offset by an increase from the tax impact of restructuring and dispositions. The effective tax rate was lower than the U.S. federal statutory rate of 35% primarily due to overall non-U.S. earnings taxed at lower rates.

The effective tax rate decreased by 1.2 percentage points in 2014 compared to 2013. The decrease was primarily attributable to lower tax expense from the resolution of audits, partially offset by the impact of more income in jurisdictions with higher tax rates and additional reserves. The Company’s non-U.S. effective tax rate for 2014 was 21.3%, an increase of approximately 2.3 percentage points compared to 2013. The increase in the non-U.S. effective tax rate was primarily attributable to additional reserves and the impact of more income in jurisdictions with higher tax rates, partially offset by the tax impact of dispositions. The effective tax rate was lower than the U.S. federal statutory rate of 35% primarily due to overall non-U.S. earnings taxed at lower rates.

44

HONEYWELL INTERNATIONAL INC.
NOTES TO FINANCIAL STATEMENTS—(Continued)
(Dollars in millions, except per share amounts)

Deferred tax assets (liabilities)

The tax effects of temporary differences and tax carryforwards which give rise to future income tax benefits and payables are as follows:

Deferred tax assets:	December 31,
	2015				2014
Pension		$	500			$	573
Postretirement benefits other than pensions			292				441
Asbestos and environmental			473				477
Employee compensation and benefits			387				387
Other accruals and reserves			626				672
Net operating and capital losses			620				639
Tax credit carryforwards			198				199
Gross deferred tax assets			3,096				3,388
Valuation allowance			(589	)			(560	)
Total deferred tax assets		$	2,507			$	2,828
Deferred tax liabilities:
Property, plant and equipment		$	(661	)		$	(612	)
Intangibles			(1,797	)			(1,060	)
Other asset basis differences			(293	)			(286	)
Other			(31	)			(7	)
Total deferred tax liabilities			(2,782	)			(1,965	)
Net deferred tax (liability) asset		$	(275	)		$	863

As described in Note 1 Summary of Significant Accounting Policies, the Company has presented deferred income taxes as noncurrent as of December 31, 2015.

The change in deferred tax balance was primarily attributable to deferred tax liabilities for intangible assets that were recorded in connection with the acquisition of Elster. Our gross deferred tax asset includes $1,049 million related to non-U.S. operations comprised principally of deductible temporary differences and net operating loss, capital loss and tax credit carryforwards (mainly in Canada, France, Luxembourg and the United Kingdom). We maintain a valuation allowance of $587 million against a portion of the non-U.S. gross deferred tax assets. The change in the valuation allowance resulted in an increase of $114 million, decrease of $10 million and increase of $49 million to income tax expense in 2015, 2014 and 2013. In the event we determine that we will not be able to realize our net deferred tax assets in the future, we will reduce such amounts through an increase to income tax expense in the period such determination is made. Conversely, if we determine that we will be able to realize net deferred tax assets in excess of the carrying amounts, we will decrease the recorded valuation allowance through a reduction to income tax expense in the period that such determination is made.

As of December 31, 2015, our net operating loss, capital loss and tax credit carryforwards were as follows:

Jurisdiction	Expiration Period	Net Operating and Capital Loss Carryforwards			Tax Credit Carryforwards
U.S. Federal	2032		$	2		$	45
U.S. State	2034			1,315			25
Non-U.S.	2035			517			131
Non-U.S.	Indefinite			2,339			—
			$	4,173		$	201

45

HONEYWELL INTERNATIONAL INC.
NOTES TO FINANCIAL STATEMENTS—(Continued)
(Dollars in millions, except per share amounts)

Many jurisdictions impose limitations on the timing and utilization of net operating loss and tax credit carryforwards. In those instances whereby there is an expected permanent limitation on the utilization of the net operating loss or tax credit carryforward the deferred tax asset and amount of the carryforward have been reduced.

U.S. federal income taxes have not been provided on undistributed earnings of the vast majority of our international subsidiaries as it is our intention to reinvest these earnings into the respective subsidiaries. At December 31, 2015 Honeywell has not provided for U.S. federal income and non-U.S. withholding taxes on approximately $16.6 billion of such earnings of our non-U.S. operations. It is not practicable to estimate the amount of tax that might be payable if some or all of such earnings were to be repatriated, and the amount of foreign tax credits that would be available to reduce or eliminate the resulting U.S. income tax liability.

	2015				2014				2013
Change in unrecognized tax benefits:
Balance at beginning of year		$	659			$	729			$	722
Gross increases related to current period tax positions			56				65				41
Gross increases related to prior periods tax positions			175				204				118
Gross decreases related to prior periods tax positions			(72	)			(277	)			(21	)
Decrease related to resolutions of audits with tax authorities			(11	)			(32	)			(92	)
Expiration of the statute of limitations for the assessment of taxes			(13	)			(10	)			(30	)
Foreign currency translation			(29	)			(20	)			(9	)
Balance at end of year		$	765			$	659			$	729

As of December 31, 2015, 2014, and 2013 there were $765 million, $659 million and $729 million of unrecognized tax benefits that if recognized would be recorded as a component of income tax expense.

Generally, our unrecognized tax benefits are related to tax years that remain subject to examination by the relevant tax authorities. The following table summarizes these open tax years by major jurisdiction as of December 31, 2015:

Jurisdiction	Open Tax Years Based on Originally Filed Returns
	Examination in progress	Examination not yet initiated
U.S. Federal	2010 – 2012	2013 – 2015
U.S. State	2008 – 2014	2011 – 2015
United Kingdom	N/A	2013 – 2015
Canada(1)	2010 – 2013	2014 – 2015
Germany(1)	2008 – 2012	2013 – 2015
France	2012 – 2014	2005 – 2011, 2015
Netherlands	2009	2011 – 2015
Australia	N/A	2010 – 2015
China	2003 – 2014	2015
India	1999 – 2013	2014 – 2015
Italy	2008 – 2012	2014 – 2015

(1) Includes provincial or similar local jurisdictions, as applicable.

Based on the outcome of these examinations, or as a result of the expiration of statute of limitations for specific jurisdictions, it is reasonably possible that certain unrecognized tax benefits for tax positions taken on previously filed tax returns will materially change from those recorded as

46

HONEYWELL INTERNATIONAL INC.
NOTES TO FINANCIAL STATEMENTS—(Continued)
(Dollars in millions, except per share amounts)

liabilities in our financial statements. In addition, the outcome of these examinations may impact the valuation of certain deferred tax assets (such as net operating losses) in future periods.

Unrecognized tax benefits for examinations in progress were $349 million, $403 million and $431 million, as of December 31, 2015, 2014, and 2013. Estimated interest and penalties related to the underpayment of income taxes are classified as a component of Tax Expense in the Consolidated Statement of Operations and totaled $11 million, $24 million and $17 million for the years ended December 31, 2015, 2014, and 2013. Accrued interest and penalties were $336 million, $325 million and $301 million, as of December 31, 2015, 2014, and 2013.

Note 6. Earnings Per Share

The details of the earnings per share calculations for the years ended December 31, 2015, 2014 and 2013 are as follows:

Basic	Years Ended December 31,
	2015			2014			2013
Net income attributable to Honeywell		$	4,768		$	4,239		$	3,924
Weighted average shares outstanding			779.8			784.4			786.4
Earnings per share of common stock		$	6.11		$	5.40		$	4.99

Assuming Dilution	Years Ended December 31,
	2015			2014			2013
Net income attributable to Honeywell		$	4,768		$	4,239		$	3,924
Average Shares
Weighted average shares outstanding			779.8			784.4			786.4
Dilutive securities issuable—stock plans			9.5			10.8			10.9
Total weighted average diluted shares outstanding			789.3			795.2			797.3
Earnings per share of common stock—assuming dilution		$	6.04		$	5.33		$	4.92

The diluted earnings per share calculations exclude the effect of stock options when the options’ assumed proceeds exceed the average market price of the common shares during the period. In 2015, 2014, and 2013 the weighted number of stock options excluded from the computations were 7.1 million, 4.7 million, and 2.2 million. These stock options were outstanding at the end of each of the respective periods.

Note 7. Accounts, Notes and Other Receivables

	December 31,
	2015				2014
Trade		$	7,901			$	7,788
Other			436				445
			8,337				8,233
Less—Allowance for doubtful accounts			(262	)			(273	)
		$	8,075			$	7,960

Trade Receivables includes $1,590 million and $1,636 million of unbilled balances under long-term contracts as of December 31, 2015 and December 31, 2014. These amounts are billed in accordance with the terms of customer contracts to which they relate.

47

HONEYWELL INTERNATIONAL INC.
NOTES TO FINANCIAL STATEMENTS—(Continued)
(Dollars in millions, except per share amounts)

Note 8. Inventories

	December 31,
	2015				2014
Raw materials		$	1,120			$	1,124
Work in process			826				815
Finished products			2,590				2,634
			4,536				4,573
Reduction to LIFO cost basis			(116	)			(168	)
		$	4,420			$	4,405

Inventories valued at LIFO amounted to $399 million and $434 million at December 31, 2015 and 2014. Had such LIFO inventories been valued at current costs, their carrying values would have been approximately $116 million and $168 million higher at December 31, 2015 and 2014.

Note 9. Property, Plant and Equipment—Net

	December 31,
	2015				2014
Land and improvements		$	367			$	343
Machinery and equipment			10,505				10,313
Buildings and improvements			3,188				3,119
Construction in progress			848				727
			14,908				14,502
Less—Accumulated depreciation			(9,119	)			(9,119	)
		$	5,789			$	5,383

Depreciation expense was $672 million, $667 million and $670 million in 2015, 2014 and 2013.

Note 10. Goodwill and Other Intangible Assets—Net

The change in the carrying amount of goodwill for the years ended December 31, 2015 and 2014 by segment is as follows:

	December 31, 2014			Acquisitions/ Divestitures			Currency Translation Adjustment				December 31, 2015
Aerospace		$	2,258		$	49		$	(11	)		$	2,296
Automation and Control Solutions			7,824			2,980			(216	)			10,588
Performance Materials and Technologies			2,706			370			(65	)			3,011
		$	12,788		$	3,399		$	(292	)		$	15,895

48

HONEYWELL INTERNATIONAL INC.
NOTES TO FINANCIAL STATEMENTS—(Continued)
(Dollars in millions, except per share amounts)

Other intangible assets are comprised of:

	December 31, 2015										December 31, 2014
	Gross Carrying Amount			Accumulated Amortization				Net Carrying Amount			Gross Carrying Amount			Accumulated Amortization				Net Carrying Amount
Determinable life intangibles:
Patents and technology		$	1,688		$	(1,061	)		$	627		$	1,400		$	(1,005	)		$	395
Customer relationships			3,558			(942	)			2,616			1,867			(857	)			1,010
Trademarks			230			(131	)			99			191			(125	)			66
Other			323			(264	)			59			291			(260	)			31
			5,799			(2,398	)			3,401			3,749			(2,247	)			1,502
Indefinite life intangibles:
Trademarks			1,176			—				1,176			706			—				706
		$	6,975		$	(2,398	)		$	4,577		$	4,455		$	(2,247	)		$	2,208

Intangible assets amortization expense was $211 million, $257 million, and $319 million in 2015, 2014, 2013. Estimated intangible asset amortization expense for each of the next five years approximates $336 million in 2016, $357 million in 2017, $356 million in 2018, $342 million in 2019, and $302 million in 2020.

Note 11. Accrued Liabilities

	December 31,
	2015			2014
Customer advances and deferred income		$	1,863		$	2,094
Compensation, benefit and other employee related			1,460			1,476
Asbestos related liabilities			292			352
Repositioning			335			284
Product warranties and performance guarantees			355			332
Environmental costs			253			278
Income taxes			201			261
Accrued interest			97			101
Other taxes (payroll, sales, VAT etc.)			266			243
Insurance			205			264
Other (primarily operating expenses)			950			1,086
		$	6,277		$	6,771

49

HONEYWELL INTERNATIONAL INC.
NOTES TO FINANCIAL STATEMENTS—(Continued)
(Dollars in millions, except per share amounts)

Note 12. Long-term Debt and Credit Agreements

	December 31,
	2015				2014
Floating rate notes due 2015		$	—			$	700
5.40% notes due 2016			400				400
5.30% notes due 2017			400				400
5.30% notes due 2018			900				900
5.00% notes due 2019			900				900
4.25% notes due 2021			800				800
3.35% notes due 2023			300				300
5.70% notes due 2036			550				550
5.70% notes due 2037			600				600
5.375% notes due 2041			600				600
Industrial development bond obligations, floating rate maturing at various dates through 2037			30				30
6.625% debentures due 2028			216				216
9.065% debentures due 2033			51				51
Other (including capitalized leases and debt issuance costs), 0.6%-9.5% maturing at various dates through 2023			384				538
			6,131				6,985
Less: current portion			(577	)			(939	)
		$	5,554			$	6,046

The schedule of principal payments on long-term debt is as follows:

	December 31, 2015
2016		$	577
2017			490
2018			910
2019			902
2020			2
Thereafter			3,250
			6,131
Less-current portion			(577	)
		$	5,554

On July 10, 2015, the Company entered into a $4 billion Amended and Restated Five Year Credit Agreement (Credit Agreement) with a syndicate of banks. Commitments under the Credit Agreement can be increased pursuant to the terms of the Credit Agreement to an aggregate amount not to exceed $4.5 billion. The Credit Agreement amends and restates the previous $4 billion five year credit agreement with substantially the same material terms and conditions. A full description of the Credit Agreement can be found in the Company’s Current Report on Form 8-K, dated July 10, 2015.

On September 30, 2015, the Company entered into a $3 billion 364-Day Credit Agreement (364-Day Credit Agreement) with a syndicate of banks. The 364-Day Credit Agreement is maintained for general corporate purposes including the Elster acquisition. A full description of the 364-Day Credit Agreement can be found in the Company’s Current Report on Form 8-K, dated October 1, 2015.

50

HONEYWELL INTERNATIONAL INC.
NOTES TO FINANCIAL STATEMENTS—(Continued)
(Dollars in millions, except per share amounts)

Note 13. Lease Commitments

Future minimum lease payments under operating leases having initial or remaining noncancellable lease terms in excess of one year are as follows:

	At December 31, 2015
2016		$	316
2017			249
2018			172
2019			114
2020			77
Thereafter			273
		$	1,201

Rent expense was $390 million, $420 million and $404 million in 2015, 2014 and 2013.

Note 14. Financial Instruments and Fair Value Measures

Credit and Market Risk—Financial instruments, including derivatives, expose us to counterparty credit risk for nonperformance and to market risk related to changes in interest and currency exchange rates and commodity prices. We manage our exposure to counterparty credit risk through specific minimum credit standards, diversification of counterparties, and procedures to monitor concentrations of credit risk. Our counterparties in derivative transactions are substantial investment and commercial banks with significant experience using such derivative instruments. We monitor the impact of market risk on the fair value and cash flows of our derivative and other financial instruments considering reasonably possible changes in interest rates and currency exchange rates and restrict the use of derivative financial instruments to hedging activities.

We continually monitor the creditworthiness of our customers to which we grant credit terms in the normal course of business. The terms and conditions of our credit sales are designed to mitigate or eliminate concentrations of credit risk with any single customer. Our sales are not materially dependent on a single customer or a small group of customers.

Foreign Currency Risk Management—We conduct our business on a multinational basis in a wide variety of foreign currencies. Our exposure to market risk for changes in foreign currency exchange rates arises from international financing activities between subsidiaries, foreign currency denominated monetary assets and liabilities and transactions arising from international trade. Our primary objective is to preserve the U.S. Dollar value of foreign currency denominated cash flows and earnings. We attempt to hedge currency exposures with natural offsets to the fullest extent possible and, once these opportunities have been exhausted, through foreign currency exchange forward and option contracts with third parties.

We hedge monetary assets and liabilities denominated in non-functional currencies. Prior to conversion into U.S. dollars, these assets and liabilities are remeasured at spot exchange rates in effect on the balance sheet date. The effects of changes in spot rates are recognized in earnings and included in Other (Income) Expense. We partially hedge forecasted sales and purchases, which predominantly occur in the next twelve months and are denominated in non-functional currencies, with currency forward contracts. Changes in the forecasted non-functional currency cash flows due to movements in exchange rates are substantially offset by changes in the fair value of the currency forward contracts designated as hedges. Market value gains and losses on these contracts are recognized in earnings when the hedged transaction is recognized. Open foreign currency exchange forward contracts mature predominantly in the next twelve months. At December 31, 2015 and 2014, we had contracts with notional amounts of $10,538 million and $7,291 million to exchange foreign

51

HONEYWELL INTERNATIONAL INC.
NOTES TO FINANCIAL STATEMENTS—(Continued)
(Dollars in millions, except per share amounts)

currencies, principally the U.S. Dollar, Euro, British Pound, Chinese Renminbi, Indian Rupee, Mexican Peso, Canadian Dollar, U.A.E. Dirham and Singapore Dollar.

We have also designated foreign currency debt as hedges against portions of our net investment in foreign operations during the year ended December 31, 2015. Gains or losses on the effective portion of the foreign currency debt designated as a net investment hedge are recorded in the same manner as foreign currency translation adjustments. The Company did not have ineffectiveness related to net investment hedges during the year ended December 31, 2015.

Interest Rate Risk Management—We use a combination of financial instruments, including long-term, medium-term and short-term financing, variable-rate commercial paper, and interest rate swaps to manage the interest rate mix of our total debt portfolio and related overall cost of borrowing. At December 31, 2015 and 2014, interest rate swap agreements designated as fair value hedges effectively changed $1,100 million of fixed rate debt at rate of 4.00 to LIBOR based floating rate debt. Our interest rate swaps mature at various dates through 2023.

Fair Value of Financial Instruments—The FASB’s accounting guidance defines fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (exit price).

Financial and nonfinancial assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. The following table sets forth the Company’s financial assets and liabilities that were accounted for at fair value on a recurring basis as of December 31, 2015 and 2014:

	December 31,
	2015			2014
Assets:
Foreign currency exchange contracts		$	28		$	20
Available for sale investments			1,501			1,479
Interest rate swap agreements			92			93
Liabilities:
Foreign currency exchange contracts		$	17		$	10

The foreign currency exchange contracts and interest rate swap agreements are valued using broker quotations, or market transactions in either the listed or over-the-counter markets. As such, these derivative instruments are classified within level 2. The Company also holds investments in commercial paper, certificates of deposits, and time deposits that are designated as available for sale and are valued using published prices based off observable market data. As such, these investments are classified within level 2.

The carrying value of cash and cash equivalents, trade accounts and notes receivables, payables, commercial paper and short-term borrowings contained in the Consolidated Balance Sheet approximates fair value. The following table sets forth the Company’s financial assets and liabilities that were not carried at fair value:

	December 31, 2015						December 31, 2014
	Carrying Value			Fair Value			Carrying Value			Fair Value
Assets
Long-term receivables		$	292		$	283		$	297		$	293
Liabilities
Long-term debt and related current maturities		$	6,131		$	6,721		$	6,985		$	7,817

The Company determined the fair value of the long-term receivables by discounting based upon the terms of the receivable and counterparty details including credit quality. As such, the fair value of these receivables is considered level 2. The Company determined the fair value of the long-term debt

52

HONEYWELL INTERNATIONAL INC.
NOTES TO FINANCIAL STATEMENTS—(Continued)
(Dollars in millions, except per share amounts)

and related current maturities utilizing transactions in the listed markets for identical or similar liabilities. As such, the fair value of the long-term debt and related current maturities is considered level 2 as well.

Interest rate swap agreements are designated as hedge relationships with gains or losses on the derivative recognized in Interest and other financial charges offsetting the gains and losses on the underlying debt being hedged. Losses on interest rate swap agreements recognized in earnings were $2 million in the year ended December 31, 2015. Gains on interest rate swap agreements recognized in earnings were $38 million in the year ended 2014. Gains and losses are fully offset by losses and gains on the underlying debt being hedged.

We also economically hedge our exposure to changes in foreign exchange rates principally with forward contracts. These contracts are marked-to-market with the resulting gains and losses recognized in earnings offsetting the gains and losses on the non-functional currency denominated monetary assets and liabilities being hedged. We recognized $86 million and $181 million of expense, in other (income) expense for the years ended December 31, 2015 and 2014. See Note 4 Other (Income) Expense for further details of the net impact of these economic foreign currency hedges.

Note 15. Other Liabilities

	Years Ended December 31,
	2015			2014
Pension and other employee related		$	2,461		$	2,497
Income taxes			1,009			764
Environmental			265			313
Insurance			257			253
Asset retirement obligations			65			67
Deferred income			99			93
Other			192			295
		$	4,348		$	4,282

Note 16. Capital Stock

We are authorized to issue up to 2,000,000,000 shares of common stock, with a par value of $1. Common shareowners are entitled to receive such dividends as may be declared by the Board, are entitled to one vote per share, and are entitled, in the event of liquidation, to share ratably in all the assets of Honeywell which are available for distribution to the common shareowners. Common shareowners do not have preemptive or conversion rights. Shares of common stock issued and outstanding or held in the treasury are not liable to further calls or assessments. There are no restrictions on us relative to dividends or the repurchase or redemption of common stock.

In December 2013 the Board of Directors authorized the repurchase of up to $5 billion of Honeywell common stock, $2.2 billion and $4.1 billion remained available as of December 31, 2015 and December 31, 2014 for additional share repurchases.

We purchased approximately 18.8 million and 10.0 million shares of our common stock in 2015 and 2014, for $1,884 million and $924 million.

We are authorized to issue up to 40,000,000 shares of preferred stock, without par value, and can determine the number of shares of each series, and the rights, preferences and limitations of each series. At December 31, 2015, there was no preferred stock outstanding.

53

HONEYWELL INTERNATIONAL INC.
NOTES TO FINANCIAL STATEMENTS—(Continued)
(Dollars in millions, except per share amounts)

Note 17. Accumulated Other Comprehensive Income (Loss)

The changes in accumulated other comprehensive income (loss) are provided in the tables below. Comprehensive income (loss) attributable to noncontrolling interest consisted predominantly of net income.

	Pretax				Tax				After Tax
Year Ended December 31, 2015
Foreign exchange translation adjustment		$	(1,152	)		$	—			$	(1,152	)
Pensions and other postretirement benefit adjustments			129				(45	)			84
Changes in fair value of effective cash flow hedges			(11	)			3				(8	)
		$	(1,034	)		$	(42	)		$	(1,076	)
Year Ended December 31, 2014
Foreign exchange translation adjustment		$	(1,044	)		$	—			$	(1,044	)
Pensions and other postretirement benefit adjustments			(1,707	)			624				(1,083	)
Changes in fair value of available for sale investments			(246	)			76				(170	)
Changes in fair value of effective cash flow hedges			24				(4	)			20
		$	(2,973	)		$	696			$	(2,277	)
Year Ended December 31, 2013
Foreign exchange translation adjustment		$	(52	)		$	—			$	(52	)
Pensions and other postretirement benefit adjustments			3,514				(1,311	)			2,203
Changes in fair value of available for sale investments			30				(17	)			13
Changes in fair value of effective cash flow hedges			(14	)			7				(7	)
		$	3,478			$	(1,321	)		$	2,157

Components of Accumulated Other Comprehensive Income (Loss)

	December 31,
	2015				2014
Cumulative foreign exchange translation adjustment		$	(1,892	)		$	(740	)
Pensions and other postretirement benefit adjustments			(644	)			(728	)
Fair value of available for sale investments			—				—
Fair value of effective cash flow hedges			1				9
		$	(2,535	)		$	(1,459	)

54

HONEYWELL INTERNATIONAL INC.
NOTES TO FINANCIAL STATEMENTS—(Continued)
(Dollars in millions, except per share amounts)

Changes in Accumulated Other Comprehensive Income by Component

	Foreign Exchange Translation Adjustment				Pension and Other Postretirement Adjustments				Changes in Fair Value of Available for Sale Investments				Changes in Fair Value of Effective Cash Flow Hedges				Total
Balance at December 31, 2013		$	304			$	355			$	170			$	(11	)		$	818
Other comprehensive income (loss) before reclassifications			(1,044	)			(1,284	)			15				20				(2,293	)
Amounts reclassified from accumulated other comprehensive income			—				201				(185	)			—				16
Net current period other comprehensive income (loss)			(1,044	)			(1,083	)			(170	)			20				(2,277	)
Balance at December 31, 2014		$	(740	)		$	(728	)		$	—			$	9			$	(1,459	)
Other comprehensive income (loss) before reclassifications			(1,152	)			23				—				91				(1,038	)
Amounts reclassified from accumulated other comprehensive income			—				61				—				(99	)			(38	)
Net current period other comprehensive income (loss)			(1,152	)			84				—				(8	)			(1,076	)
Balance at December 31, 2015		$	(1,892	)		$	(644	)		$	—			$	1			$	(2,535	)

Reclassifications Out of Accumulated Other Comprehensive Income

	Year Ended December 31, 2015 Affected Line in the Consolidated Statement of Operations
	Product Sales				Cost of Products Sold				Cost of Services Sold				Selling, General and Administrative Expenses				Other (Income) Expense			Total
Amortization of Pension and Other Postretirement Items:
Actuarial losses recognized		$	—			$	78			$	16			$	17			$	—		$	111
Prior service (credit) recognized			—				(14	)			(3	)			(3	)			—			(20	)
Settlements and curtailments			—				2				—				—				—			2
Losses (gains) on cash flow hedges			(17	)			(73	)			(17	)			(2	)			—			(109	)
Total before tax		$	(17	)		$	(7	)		$	(4	)		$	12			$	—		$	(16	)
Tax expense (benefit)																						(22	)
Total reclassifications for the period, net of tax																					$	(38	)

55

HONEYWELL INTERNATIONAL INC.
NOTES TO FINANCIAL STATEMENTS—(Continued)
(Dollars in millions, except per share amounts)

	Year Ended December 31, 2014 Affected Line in the Consolidated Statement of Operations
	Product Sales				Cost of Products Sold				Cost of Services Sold			Selling, General and Administrative Expenses			Other (Income) Expense				Total
Amortization of Pension and Other Postretirement Items:
Actuarial losses recognized		$	—			$	199			$	38		$	42		$	—			$	279
Prior service (credit) recognized			—				(1	)			—			—			—				(1	)
Transition obligation recognized			—				2				—			—			—				2
Losses (gains) on cash flow hedges			(5	)			—				—			5			—				—
Unrealized gains on available for sale investments			—				—				—			—			(221	)			(221	)
Total before tax		$	(5	)		$	200			$	38		$	47		$	(221	)		$	59
Tax expense (benefit)																					(43	)
Total reclassifications for the period, net of tax																				$	16

Note 18. Stock-Based Compensation Plans

Under the terms of the 2011 Stock Incentive Plan of Honeywell International Inc. and its Affiliates (2011 Plan) there were 14,050,760 shares of Honeywell common stock available for future grants at December 31, 2015. Additionally, the 2006 Stock Plan for Non-Employee Directors of Honeywell International Inc. (2006 Directors Plan) expires on April 24, 2016 and it is expected that no future grants will be made under the 2006 Directors Plan prior to expiration. In 2016, the Company is seeking shareowner approval of a new employee stock plan and non-employee director plan and, upon approval, no additional grants will be permitted under the 2011 Plan or the 2006 Directors Plan.

Stock Options—The exercise price, term and other conditions applicable to each option granted under our stock plans are generally determined by the Management Development and Compensation Committee of the Board. The exercise price of stock options is set on the grant date and may not be less than the fair market value per share of our stock on that date. The fair value is recognized as an expense over the employee’s requisite service period (generally the vesting period of the award). Options generally vest over a four-year period and expire after ten years.

The fair value of each option award is estimated on the date of grant using the Black-Scholes option-pricing model. Expected volatility is based on implied volatilities from traded options on our common stock and historical volatility of our common stock. We used a Monte Carlo simulation model to derive an expected term which represents an estimate of the time options are expected to remain outstanding. Such model uses historical data to estimate option exercise activity and post-vest termination behavior. The risk-free rate for periods within the contractual life of the option is based on the U.S. treasury yield curve in effect at the time of grant.

Compensation cost on a pre-tax basis related to stock options recognized in selling, general and administrative expenses in 2015, 2014 and 2013 was $78 million, $85 million and $70 million. The associated future income tax benefit recognized in 2015, 2014 and 2013 was $26 million, $31 million and $24 million.

56

HONEYWELL INTERNATIONAL INC.
NOTES TO FINANCIAL STATEMENTS—(Continued)
(Dollars in millions, except per share amounts)

The following table sets forth fair value per share information, including related weighted-average assumptions, used to determine compensation cost:

	Years Ended December 31,
	2015				2014				2013
Weighted average fair value per share of options granted during the year(1)		$	17.21			$	16.35			$	11.85
Assumptions:
Expected annual dividend yield			1.98	%			2.05	%			2.55	%
Expected volatility			21.55	%			23.06	%			24.73	%
Risk-free rate of return			1.61	%			1.48	%			0.91	%
Expected option term (years)			5.0				5.0				5.5

(1) Estimated on date of grant using Black-Scholes option-pricing model.

The following table summarizes information about stock option activity for the three years ended December 31, 2015:

	Number of Options			Weighted Average Exercise Price
Outstanding at December 31, 2012		35,569,021			$	47.13
Granted		6,041,422				69.89
Exercised		(10,329,611	)			41.91
Lapsed or canceled		(616,995	)			53.84
Outstanding at December 31, 2013		30,663,837				53.27
Granted		5,823,706				93.95
Exercised		(5,697,263	)			47.47
Lapsed or canceled		(1,294,668	)			67.70
Outstanding at December 31, 2014		29,495,612				61.80
Granted		5,967,256				103.87
Exercised		(4,190,298	)			53.40
Lapsed or canceled		(703,132	)			84.31
Outstanding at December 31, 2015		30,569,438			$	70.76
Vested and expected to vest at December 31, 2015(1)		28,852,696			$	68.96
Exercisable at December 31, 2015		17,202,377			$	55.11

(1) Represents the sum of vested options of 17.2 million and expected to vest options of 11.7 million. Expected to vest options are derived by applying the pre-vesting forfeiture rate assumption to total outstanding unvested options of 13.6 million.

57

HONEYWELL INTERNATIONAL INC.
NOTES TO FINANCIAL STATEMENTS—(Continued)
(Dollars in millions, except per share amounts)

The following table summarizes information about stock options outstanding and exercisable at December 31, 2015:

Range of Exercise prices	Options Outstanding										Options Exercisable
	Number Outstanding		Weighted Average Life(1)		Weighted Average Exercise Price			Aggregate Intrinsic Value			Number Exercisable		Weighted Average Exercise Price			Aggregate Intrinsic Value
$28.35–$49.99		6,176,777		3.31		$	38.45		$	402		6,176,777		$	38.45		$	402
$50.00–$64.99		8,884,587		5.11			58.43			401		7,731,362			58.21			351
$65.00–$75.00		4,490,514		7.16			69.92			151		2,048,042			69.92			69
$90.00–$103.90		11,017,560		8.70			99.17			50		1,246,196			94.07			12
		30,569,438		6.34			70.76		$	1,004		17,202,377			55.11		$	834

(1) Average remaining contractual life in years.

There were 16,019,742 and 15,594,410 options exercisable at weighted average exercise prices of $49.40 and $45.76 at December 31, 2014 and 2013.

The following table summarizes the financial statement impact from stock options exercised:

Options Exercised	Years Ended December 31,
	2015			2014			2013
Intrinsic value(1)		$	210		$	272		$	367
Tax benefit realized			73			96			129
Operating cash inflow			137			172			333
Financing cash inflow			57			77			99
Total cash received			194			249			432

(1) Represents the amount by which the stock price exceeded the exercise price of the options on the date of exercise.

At December 31, 2015 there was $140 million of total unrecognized compensation cost related to non-vested stock option awards which is expected to be recognized over a weighted-average period of 2.36 years. The total fair value of options vested during 2015, 2014 and 2013 was $73 million, $72 million and $67 million.

Restricted Stock Units—Restricted stock unit (RSU) awards entitle the holder to receive one share of common stock for each unit when the units vest. RSUs are issued to certain key employees and directors at fair market value at the date of grant as compensation. RSUs typically become fully vested over periods ranging from three to seven years and are payable in Honeywell common stock upon vesting.

58

HONEYWELL INTERNATIONAL INC.
NOTES TO FINANCIAL STATEMENTS—(Continued)
(Dollars in millions, except per share amounts)

The following table summarizes information about RSU activity for the three years ended December 31, 2015:

	Number of Restricted Stock Units			Weighted Average Grant Date Fair Value Per Share
Non-vested at December 31, 2012		8,095,739			$	49.91
Granted		1,904,504				75.73
Vested		(2,995,553	)			42.17
Forfeited		(312,470	)			56.58
Non-vested at December 31, 2013		6,692,220				60.04
Granted		1,455,209				94.88
Vested		(1,787,894	)			53.63
Forfeited		(460,341	)			63.54
Non-vested at December 31, 2014		5,899,194				70.32
Granted		1,190,406				103.04
Vested		(1,681,342	)			56.38
Forfeited		(426,670	)			77.73
Non-vested at December 31, 2015		4,981,588			$	82.18

As of December 31, 2015, there was approximately $185 million of total unrecognized compensation cost related to non-vested RSUs granted under our stock plans which is expected to be recognized over a weighted-average period of 3.37 years.

The following table summarizes information about income statement impact from RSUs for the three years ended December 31, 2015:

	Years Ended December 31,
	2015			2014			2013
Compensation expense		$	97		$	102		$	100
Future income tax benefit recognized			29			37			35

Note 19. Commitments and Contingencies

Environmental Matters

We are subject to various federal, state, local and foreign government requirements relating to the protection of the environment. We believe that, as a general matter, our policies, practices and procedures are properly designed to prevent unreasonable risk of environmental damage and personal injury and that our handling, manufacture, use and disposal of hazardous substances are in accordance with environmental and safety laws and regulations. However, mainly because of past operations and operations of predecessor companies, we, like other companies engaged in similar businesses, have incurred remedial response and voluntary cleanup costs for site contamination and are a party to lawsuits and claims associated with environmental and safety matters, including past production of products containing hazardous substances. Additional lawsuits, claims and costs involving environmental matters are likely to continue to arise in the future.

With respect to environmental matters involving site contamination, we continually conduct studies, individually or jointly with other potentially responsible parties, to determine the feasibility of various remedial techniques. It is our policy to record appropriate liabilities for environmental matters when remedial efforts or damage claim payments are probable and the costs can be reasonably estimated. Such liabilities are based on our best estimate of the undiscounted future costs required to complete the remedial work. The recorded liabilities are adjusted periodically as remediation efforts

59

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NOTES TO FINANCIAL STATEMENTS—(Continued)
(Dollars in millions, except per share amounts)

progress or as additional technical, regulatory or legal information becomes available. Given the uncertainties regarding the status of laws, regulations, enforcement policies, the impact of other potentially responsible parties, technology and information related to individual sites, we do not believe it is possible to develop an estimate of the range of reasonably possible environmental loss in excess of our recorded liabilities. We expect to fund expenditures for these matters from operating cash flow. The timing of cash expenditures depends on a number of factors, including the timing of remedial investigations and feasibility studies, the timing of litigation and settlements of remediation liability, personal injury and property damage claims, regulatory approval of cleanup projects, remedial techniques to be utilized and agreements with other parties.

The following table summarizes information concerning our recorded liabilities for environmental costs:

	Years Ended December 31,
	2015				2014				2013
Beginning of year		$	591			$	643			$	654
Accruals for environmental matters deemed probable and reasonably estimable			194				268				272
Environmental liability payments			(273	)			(321	)			(304	)
Other			6				1				21
End of year		$	518			$	591			$	643

Environmental liabilities are included in the following balance sheet accounts:

	December 31,
	2015			2014
Accrued liabilities		$	253		$	278
Other liabilities			265			313
		$	518		$	591

We do not currently possess sufficient information to reasonably estimate the amounts of environmental liabilities to be recorded upon future completion of studies, litigation or settlements, and neither the timing nor the amount of the ultimate costs associated with environmental matters can be determined although they could be material to our consolidated results of operations and operating cash flows in the periods recognized or paid. However, considering our past experience and existing reserves, we do not expect that environmental matters will have a material adverse effect on our consolidated financial position.

Onondaga Lake, Syracuse, NY—We are implementing a combined dredging/capping remedy of Onondaga Lake pursuant to a consent decree approved by the United States District Court for the Northern District of New York in January 2007. We have accrued for our estimated cost of remediating Onondaga Lake based on currently available information and analysis performed by our engineering consultants. Honeywell is also conducting remedial investigations and activities at other sites in Syracuse. We have recorded reserves for these investigations and activities where appropriate, consistent with the accounting policy described above.

Honeywell has entered into a cooperative agreement with potential natural resource trustees to assess alleged natural resource damages relating to this site. It is not possible to predict the outcome or duration of this assessment, or the amounts of, or responsibility for, any damages.

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HONEYWELL INTERNATIONAL INC.
NOTES TO FINANCIAL STATEMENTS—(Continued)
(Dollars in millions, except per share amounts)

Asbestos Matters

Honeywell is a defendant in asbestos related personal injury actions related to two predecessor companies:

• North American Refractories Company (NARCO), which was sold in 1986, produced refractory products (bricks and cement used in high temperature applications). Claimants consist largely of individuals who allege exposure to NARCO asbestos-containing refractory products in an occupational setting.

• Bendix Friction Materials (Bendix) business, which was sold in 2014, manufactured automotive brake parts that contained chrysotile asbestos in an encapsulated form. Claimants consist largely of individuals who allege exposure to asbestos from brakes from either performing or being in the vicinity of individuals who performed brake replacements.

The following tables summarize information concerning NARCO and Bendix asbestos related balances:

Asbestos Related Liabilities

	Year Ended December 31,												Year Ended December 31,												Year Ended December 31,
	2015												2014												2013
	Bendix				NARCO				Total				Bendix				NARCO				Total				Bendix				NARCO				Total
Beginning of year		$	623			$	929			$	1,552			$	656			$	955			$	1,611			$	653			$	1,119			$	1,772
Accrual for update to estimated liability			180				8				188				195				4				199				180				5				185
Change in estimated cost of future claims			11				—				11				(1	)			—				(1	)			16				—				16
Update of expected resolution values for pending claims			1				—				1				2				—				2				(5	)			—				(5	)
Asbestos related liability payments			(193	)			(16	)			(209	)			(229	)			(30	)			(259	)			(188	)			(169	)			(357	)
End of year		$	622			$	921			$	1,543			$	623			$	929			$	1,552			$	656			$	955			$	1,611

Insurance Recoveries for Asbestos Related Liabilities

	Year Ended December 31,												Year Ended December 31,												Year Ended December 31,
	2015												2014												2013
	Bendix				NARCO				Total				Bendix				NARCO				Total				Bendix				NARCO				Total
Beginning of year		$	135			$	350			$	485			$	141			$	531			$	672			$	138			$	569			$	707
Probable insurance recoveries related to estimated liability			21				—				21				24				—				24				27				—				27
Insurance receipts for asbestos related liabilities			(33	)			(30	)			(63	)			(24	)			(187	)			(211	)			(24	)			(34	)			(58	)
Insurance receivables settlements and write offs			1				6				7				(6	)			7				1				—				(6	)			(6	)
Other			—				(1	)			(1	)			—				(1	)			(1	)			—				2				2
End of year		$	124			$	325			$	449			$	135			$	350			$	485			$	141			$	531			$	672

61

HONEYWELL INTERNATIONAL INC.
NOTES TO FINANCIAL STATEMENTS—(Continued)
(Dollars in millions, except per share amounts)

NARCO and Bendix asbestos related balances are included in the following balance sheet accounts:

	December 31,
	2015			2014
Other current assets		$	23		$	31
Insurance recoveries for asbestos related liabilities			426			454
		$	449		$	485
Accrued liabilities		$	292		$	352
Asbestos related liabilities			1,251			1,200
		$	1,543		$	1,552

NARCO Products—In connection with NARCO’s emergence from bankruptcy on April 30, 2013, a federally authorized 524(g) trust (NARCO Trust) was established for the evaluation and resolution of all existing and future NARCO asbestos claims. Both Honeywell and NARCO are protected by a permanent channeling injunction barring all present and future individual actions in state or federal courts and requiring all asbestos related claims based on exposure to NARCO asbestos-containing products to be made against the NARCO Trust. The NARCO Trust reviews submitted claims and determines award amounts in accordance with established Trust Distribution Procedures approved by the Bankruptcy Court which set forth the criteria claimants must meet to qualify for compensation including, among other things, exposure and medical criteria that determine the award amount. In addition, Honeywell provided, and continues to provide, input to the design of control procedures for processing NARCO claims, and has on-going audit rights to review and monitor the claims processors’ adherence to the established requirements of the Trust Distribution Procedures.

Honeywell is obligated to fund NARCO asbestos claims submitted to the NARCO Trust which qualify for payment under the Trust Distribution Procedures (Annual Contribution Claims), subject to annual caps of $140 million in the years 2016 through 2018 and $145 million for each year thereafter. However, the initial $100 million of claims processed through the NARCO Trust (the Initial Claims Amount) will not count against the annual cap and any unused portion of the Initial Claims Amount will roll over to subsequent years until fully utilized. In 2015, Honeywell filed suit against the NARCO Trust in Bankruptcy Court alleging breach of certain provisions of the Trust Agreement and Trust Distribution Procedures. The proceeding is ongoing. As of December 31, 2015, Honeywell has not made any payments to the NARCO Trust for Annual Contribution Claims.

Honeywell is also responsible for payments due to claimants pursuant to settlement agreements reached during the pendency of the NARCO bankruptcy proceedings that provide for the right to submit claims to the NARCO Trust subject to qualification under the terms of the settlement agreements and Trust Distribution Procedures criteria (Pre-established Unliquidated Claims), which amounts are estimated at $150 million and are expected to be paid during the initial years of trust operations ($5 million of which has been paid since the effective date of the NARCO Trust). Such payments are not subject to the annual cap described above.

Our consolidated financial statements reflect an estimated liability for pre-established unliquidated claims ($145 million), unsettled claims pending as of the time NARCO filed for bankruptcy protection ($33 million) and for the estimated value of future NARCO asbestos claims expected to be asserted against the NARCO Trust through 2018 ($743 million). In the absence of actual trust experience on which to base the estimate, Honeywell projected the probable value of asbestos related future liabilities, including trust claim handling costs, based on a commonly accepted methodology used by numerous bankruptcy courts addressing 524(g) trusts. Some critical assumptions underlying this methodology include claims filing rates, disease criteria and payment values contained in the Trust Distribution Procedures, estimated approval rates of claims submitted to the NARCO Trust and epidemiological studies estimating disease instances. This projection resulted in a range of estimated

62

HONEYWELL INTERNATIONAL INC.
NOTES TO FINANCIAL STATEMENTS—(Continued)
(Dollars in millions, except per share amounts)

liability of $743 million to $961 million. We believe that no amount within this range is a better estimate than any other amount and accordingly, we have recorded the minimum amount in the range. In light of the uncertainties inherent in making long-term projections and in connection with the recent implementation of the Trust Distribution Procedures by the NARCO Trust, as well as the stay of all NARCO asbestos claims which remained in place throughout NARCO’s Chapter 11 case, we do not believe that we have a reasonable basis for estimating NARCO asbestos claims beyond 2018.

Our insurance receivable corresponding to the estimated liability for pending and future NARCO asbestos claims reflects coverage which reimburses Honeywell for portions of NARCO-related indemnity and defense costs and is provided by a large number of insurance policies written by dozens of insurance companies in both the domestic insurance market and the London excess market. We conduct analyses to estimate the probable amount of insurance that is recoverable for asbestos claims. While the substantial majority of our insurance carriers are solvent, some of our individual carriers are insolvent, which has been considered in our analysis of probable recoveries. We made judgments concerning insurance coverage that we believe are reasonable and consistent with our historical dealings and our knowledge of any pertinent solvency issues surrounding insurers.

Projecting future events is subject to many uncertainties that could cause the NARCO-related asbestos liabilities or assets to be higher or lower than those projected and recorded. Given the uncertainties, we review our estimates periodically, and update them based on our experience and other relevant factors. Similarly, we will reevaluate our projections concerning our probable insurance recoveries in light of any changes to the projected liability or other developments that may impact insurance recoveries.

Friction Products—The following tables present information regarding Bendix related asbestos claims activity:

Claims Activity	Years Ended December 31,
	2015			2014
Claims Unresolved at the beginning of year		9,267			12,302
Claims Filed		2,862			3,694
Claims Resolved(1)		(4,350	)		(6,729	)
Claims Unresolved at the end of year		7,779			9,267

(1) Claims resolved in 2014 include 2,110 cancer claims which were determined to have no value. Also, claims resolved in 2015 and 2014 include significantly aged (i.e., pending for more than six years) claims totaling 153 and 1,266.

Disease Distribution of Unresolved Claims	December 31,
	2015		2014
Mesothelioma and Other Cancer Claims		3,772		3,933
Nonmalignant Claims		4,007		5,334
Total Claims		7,779		9,267

Honeywell has experienced average resolution values per claim excluding legal costs as follows:

	Years Ended December 31,
	2015			2014			2013			2012			2011
	(in whole dollars)
Malignant claims		$	44,000		$	53,500		$	51,000		$	49,000		$	48,000
Nonmalignant claims		$	100		$	120		$	850		$	1,400		$	1,000

It is not possible to predict whether resolution values for Bendix-related asbestos claims will increase, decrease or stabilize in the future.

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HONEYWELL INTERNATIONAL INC.
NOTES TO FINANCIAL STATEMENTS—(Continued)
(Dollars in millions, except per share amounts)

Our consolidated financial statements reflect an estimated liability for resolution of pending (claims actually filed as of the financial statement date) and future Bendix-related asbestos claims. We have valued Bendix pending and future claims using average resolution values for the previous five years. We update the resolution values used to estimate the cost of Bendix pending and future claims during the fourth quarter each year.

The liability for future claims represents the estimated value of future asbestos related bodily injury claims expected to be asserted against Bendix over the next five years. Such estimated cost of future Bendix-related asbestos claims is based on historic claims filing experience and dismissal rates, disease classifications, and resolution values in the tort system for the previous five years. In light of the uncertainties inherent in making long-term projections, as well as certain factors unique to friction product asbestos claims, we do not believe that we have a reasonable basis for estimating asbestos claims beyond the next five years. The methodology used to estimate the liability for future claims is similar to that used to estimate the liability for future NARCO-related asbestos claims.

Our insurance receivable corresponding to the liability for settlement of pending and future Bendix asbestos claims reflects coverage which is provided by a large number of insurance policies written by dozens of insurance companies in both the domestic insurance market and the London excess market. Based on our ongoing analysis of the probable insurance recovery, insurance receivables are recorded in the financial statements simultaneous with the recording of the estimated liability for the underlying asbestos claims. This determination is based on our analysis of the underlying insurance policies, our historical experience with our insurers, our ongoing review of the solvency of our insurers, judicial determinations relevant to our insurance programs, and our consideration of the impacts of any settlements reached with our insurers.

Honeywell believes it has sufficient insurance coverage and reserves to cover all pending Bendix-related asbestos claims and Bendix-related asbestos claims estimated to be filed within the next five years. Although it is impossible to predict the outcome of either pending or future Bendix-related asbestos claims, we do not believe that such claims would have a material adverse effect on our consolidated financial position in light of our insurance coverage and our prior experience in resolving such claims. If the rate and types of claims filed, the average resolution value of such claims and the period of time over which claim settlements are paid (collectively, the Variable Claims Factors) do not substantially change, Honeywell would not expect future Bendix-related asbestos claims to have a material adverse effect on our results of operations or operating cash flows in any fiscal year. No assurances can be given, however, that the Variable Claims Factors will not change.

Other Matters

We are subject to a number of other lawsuits, investigations and disputes (some of which involve substantial amounts claimed) arising out of the conduct of our business, including matters relating to commercial transactions, government contracts, product liability, prior acquisitions and divestitures, employee benefit plans, intellectual property, and environmental, health and safety matters. We recognize a liability for any contingency that is probable of occurrence and reasonably estimable. We continually assess the likelihood of adverse judgments of outcomes in these matters, as well as potential ranges of possible losses (taking into consideration any insurance recoveries), based on a careful analysis of each matter with the assistance of outside legal counsel and, if applicable, other experts. Included in these other matters are the following:

Honeywell v. United Auto Workers (UAW) et. al—In July 2011, Honeywell filed an action in federal court (District of New Jersey) against the UAW and all former employees who retired under a series of Master Collective Bargaining Agreements (MCBAs) between Honeywell and the UAW seeking a declaratory judgment that certain express limitations on its obligation to contribute toward the healthcare coverage of such retirees (the CAPS) set forth in the MCBAs may be implemented, effective January 1, 2012. The UAW and certain retiree defendants filed a mirror suit in the Eastern

64

HONEYWELL INTERNATIONAL INC.
NOTES TO FINANCIAL STATEMENTS—(Continued)
(Dollars in millions, except per share amounts)

District of Michigan alleging that the MCBAs do not provide for CAPS on the Company’s liability for healthcare coverage. The New Jersey action was dismissed and Honeywell subsequently answered the UAW’s complaint in Michigan and asserted counterclaims for fraudulent inducement, negligent misrepresentation and breach of implied warranty. The UAW filed a motion to dismiss these counterclaims. The court dismissed Honeywell’s fraudulent inducement and negligent misrepresentation claims, but let stand the claim for breach of implied warranty. In the second quarter of 2014, the parties agreed to stay the proceedings with respect to those retirees who retired before the initial inclusions of the CAPS in the 2003 MCBA until the Supreme Court decided the M&G Polymers USA, LLC v. Tackett case. In a ruling on January 26, 2015, the Supreme Court held that retiree health insurance benefits provided in collective bargaining agreements do not carry an inference that they are vested or guaranteed to continue for life and that the “vesting” issue must be decided pursuant to ordinary principles of contract law. The stay of the proceedings has been lifted and the case is again proceeding in the normal course. Based on the Supreme Court’s ruling, Honeywell is confident that the CAPS will be upheld and that its liability for healthcare coverage premiums with respect to the putative class will be limited as negotiated and expressly set forth in the applicable MCBAs. In the event of an adverse ruling, however, Honeywell’s other postretirement benefits for pre-2003 retirees would increase by approximately $176 million, reflecting the estimated value of these CAPS.

In December 2013, the UAW and certain of the plaintiffs filed a motion for partial summary judgment with respect to those retirees who retired after the initial inclusion of the CAPS in the 2003 MCBA. The UAW sought a ruling that the 2003 MCBA did not limit Honeywell’s obligation to contribute to healthcare coverage for the post-2003 retirees. That motion remains pending. Honeywell is confident that the Court will find that the 2003 MCBA does, in fact, limit Honeywell’s retiree healthcare obligation for post-2003 retirees. In the event of an adverse ruling, however, Honeywell’s other postretirement benefits for post- 2003 retirees would increase by approximately $110 million, reflecting the estimated value of these CAPS.

Joint Strike Fighter Investigation—In 2013 the Company received subpoenas from the Department of Justice requesting information relating primarily to parts manufactured in the United Kingdom and China used in the F-35 fighter jet. The Company is cooperating fully with the investigation. While we believe that Honeywell has complied with all relevant U.S. laws and regulations regarding the manufacture of these sensors, it is not possible to predict the outcome of the investigation or what action, if any, may result from it.

Given the uncertainty inherent in litigation and investigations (including the specific matters referenced above), we do not believe it is possible to develop estimates of reasonably possible loss in excess of current accruals for these matters (other than as specifically set forth above). Considering our past experience and existing accruals, we do not expect the outcome of these matters, either individually or in the aggregate, to have a material adverse effect on our consolidated financial position. Because most contingencies are resolved over long periods of time, potential liabilities are subject to change due to new developments, changes in settlement strategy or the impact of evidentiary requirements, which could cause us to pay damage awards or settlements (or become subject to equitable remedies) that could have a material adverse effect on our results of operations or operating cash flows in the periods recognized or paid.

Warranties and Guarantees

In the normal course of business we issue product warranties and product performance guarantees. We accrue for the estimated cost of product warranties and performance guarantees based on contract terms and historical experience at the time of sale. Adjustments to initial obligations for warranties and guarantees are made as changes in the obligations become reasonably estimable.

65

HONEYWELL INTERNATIONAL INC.
NOTES TO FINANCIAL STATEMENTS—(Continued)
(Dollars in millions, except per share amounts)

The following table summarizes information concerning our recorded obligations for product warranties and product performance guarantees:

	Years Ended December 31,
	2015				2014				2013
Beginning of year		$	403			$	405			$	407
Accruals for warranties/guarantees issued during the year			206				225				212
Adjustment of pre-existing warranties/guarantees			13				(34	)			(1	)
Settlement of warranty/guarantee claims			(206	)			(193	)			(213	)
End of year		$	416			$	403			$	405

Product warranties and product performance guarantees are included in the following balance sheet accounts:

	December 31,
	2015			2014
Accrued liabilities		$	355		$	332
Other liabilities			61			71
		$	416		$	403

Note 20. Pension and Other Postretirement Benefits

We sponsor both funded and unfunded U.S. and non-U.S. defined benefit pension plans covering the majority of our employees and retirees. Pension benefits for substantially all U.S. employees are provided through non-contributory, qualified and non-qualified defined benefit plans. All non-union hourly and salaried employees joining Honeywell for the first time after December 31, 2012, are not eligible to participate in Honeywell’s U.S. defined benefit pension plans. We also sponsor defined benefit pension plans which cover non-U.S. employees who are not U.S. citizens, in certain jurisdictions, principally the UK, Netherlands, Germany, and Canada. Other pension plans outside of the U.S. are not material to the Company either individually or in the aggregate.

We also sponsor postretirement benefit plans that provide health care benefits and life insurance coverage mainly to U.S. eligible retirees. Less than 1% of Honeywell’s U.S. employees are eligible for a retiree medical subsidy from the Company; and this subsidy is limited to a fixed-dollar amount. In addition, more than 80% of Honeywell’s current retirees either have no Company subsidy or have a fixed-dollar subsidy amount. This significantly limits our exposure to the impact of future health care cost increases. The retiree medical and life insurance plans are not funded. Claims and expenses are paid from our operating cash flow.

66

HONEYWELL INTERNATIONAL INC.
NOTES TO FINANCIAL STATEMENTS—(Continued)
(Dollars in millions, except per share amounts)

The following tables summarize the balance sheet impact, including the benefit obligations, assets and funded status associated with our significant pension and other postretirement benefit plans.

	Pension Benefits
	U.S. Plans								Non-U.S. Plans
	2015				2014				2015				2014
Change in benefit obligation:
Benefit obligation at beginning of year		$	18,035			$	16,290			$	5,761			$	5,523
Service cost			223				241				51				56
Interest cost			696				771				177				231
Plan amendments			(429	)			—				—				(17	)
Actuarial (gains) losses			(269	)			1,718				(178	)			601
Acquisitions			61				—				1,137				—
Divestitures			—				—				—				(61	)
Benefits paid			(1,027	)			(996	)			(199	)			(210	)
Settlements and curtailments			—				—				(11	)			—
Foreign currency and other			8				11				(400	)			(362	)
Benefit obligation at end of year			17,298				18,035				6,338				5,761
Change in plan assets:
Fair value of plan assets at beginning of year			17,066				16,727				5,333				5,037
Actual return on plan assets			233				1,290				154				622
Company contributions			34				36				147				187
Acquisitions			43				—				1,036				—
Benefits paid			(1,027	)			(996	)			(199	)			(210	)
Foreign currency and other			—				9				(354	)			(303	)
Fair value of plan assets at end of year			16,349				17,066				6,117				5,333
Funded status of plans		$	(949	)		$	(969	)		$	(221	)		$	(428	)
Amounts recognized in Consolidated Balance
Sheet consist of:
Prepaid pension benefit cost(1)		$	—			$	—			$	427			$	270
Accrued pension liabilities—current(2)			(51	)			(74	)			(7	)			(8	)
Accrued pension liabilities—noncurrent(3)			(898	)			(895	)			(641	)			(690	)
Net amount recognized		$	(949	)		$	(969	)		$	(221	)		$	(428	)

(1)	Included in other assets on Consolidated Balance Sheet
(2)	Included in accrued liabilities on Consolidated Balance Sheet
(3)	Included in other liabilities—noncurrent on Consolidated Balance Sheet

67

HONEYWELL INTERNATIONAL INC.
NOTES TO FINANCIAL STATEMENTS—(Continued)
(Dollars in millions, except per share amounts)

	Other Postretirement Benefits
	2015				2014
Change in benefit obligation:
Benefit obligation at beginning of year		$	973			$	1,096
Service cost			—				—
Interest cost			33				42
Plan amendments(1)			(290	)			(87	)
Actuarial (gains) losses			(55	)			46
Benefits paid			(92	)			(124	)
Benefit obligation at end of year			569				973
Change in plan assets:
Fair value of plan assets at beginning of year			—				—
Actual return on plan assets			—				—
Company contributions			—				—
Benefits paid			—				—
Fair value of plan assets at end of year			—				—
Funded status of plans		$	(569	)		$	(973	)
Amounts recognized in Consolidated Balance Sheet consist of:
Accrued liabilities		$	(85	)		$	(111	)
Postretirement benefit obligations other than pensions(2)			(484	)			(862	)
Net amount recognized		$	(569	)		$	(973	)

(1)	Elimination of retiree medical insurance coverage for certain retirees. Amount will be recognized as part of net postretirement benefit cost over the expected future lifetime of the remaining participants in the plan.
(2)	Excludes non-U.S. plans of $42 million and $49 million in 2015 and 2014.

Amounts recognized in accumulated other comprehensive (income) loss associated with our significant pension and other postretirement benefit plans at December 31, 2015 and 2014 are as follows:

	Pension Benefits
	U.S. Plans							Non-U.S. Plans
	2015				2014			2015				2014
Transition obligation		$	—			$	—		$	—			$	1
Prior service (credit) cost			(355	)			88			(22	)			(27	)
Net actuarial loss			1,005				281			464				493
Net amount recognized		$	650			$	369		$	442			$	467

	Other Postretirement Benefits
	2015				2014
Prior service (credit)		$	(496	)		$	(235	)
Net actuarial loss			189				278
Net amount recognized		$	(307	)		$	43

68

HONEYWELL INTERNATIONAL INC.
NOTES TO FINANCIAL STATEMENTS—(Continued)
(Dollars in millions, except per share amounts)

The components of net periodic benefit (income) cost and other amounts recognized in other comprehensive (income) loss for our significant pension and other postretirement benefit plans include the following components:

Net Periodic Benefit Cost	Pension Benefits
	U.S. Plans												Non-U.S. Plans
	2015				2014				2013				2015				2014				2013
Service cost		$	223			$	241			$	272			$	51			$	56			$	58
Interest cost			696				771				677				177				231				215
Expected return on plan assets			(1,278	)			(1,257	)			(1,076	)			(358	)			(354	)			(308	)
Amortization of transition obligation			—				—				—				1				2				2
Amortization of prior service cost (credit)			13				23				23				(3	)			(2	)			(2	)
Recognition of actuarial losses			52				26				—				15				223				51
Settlements and curtailments			8				—				—				2				—				—
Net periodic benefit (income) cost		$	(286	)		$	(196	)		$	(104	)		$	(115	)		$	156			$	16

Other Changes in Plan Assets and Benefits Obligations Recognized in Other Comprehensive (Income) Loss	U.S. Plans												Non-U.S. Plans
	2015				2014				2013				2015				2014				2013
Actuarial losses (gains)		$	775			$	1,686			$	(3,090	)		$	27			$	333			$	(48	)
Prior service (credit) cost			(429	)			—				14				—				(17	)			—
Transition obligation recognized during year			—				—				—				(1	)			(2	)			(2	)
Prior service (cost) credit recognized during year			(13	)			(23	)			(23	)			3				2				2
Actuarial losses recognized during year			(52	)			(26	)			—				(17	)			(223	)			(51	)
Foreign exchange translation adjustments			—				—				—				(37	)			(50	)			3
Total recognized in other comprehensive (income) loss		$	281			$	1,637			$	(3,099	)		$	(25	)		$	43			$	(96	)
Total recognized in net periodic benefit (income) cost and other comprehensive (income) loss		$	(5	)		$	1,441			$	(3,203	)		$	(140	)		$	199			$	(80	)

The estimated prior service (credit) for pension benefits that will be amortized from accumulated other comprehensive (income) loss into net periodic benefit (income) cost in 2016 are expected to be ($44) million and ($3) million for U.S. and non-U.S. pension plans.

Net Periodic Benefit Cost	Other Postretirement Benefits Years Ended December 31,
	2015				2014				2013
Service cost		$	—			$	—			$	—
Interest cost			33				42				44
Amortization of prior service (credit)			(30	)			(20	)			(13	)
Recognition of actuarial losses			34				24				27
Settlements and curtailments(1)			—				—				(42	)
Net periodic benefit cost		$	37			$	46			$	16

(1) Curtailment gain in 2013 related to elimination of retiree medical coverage for a union group in connection with a new collective bargaining agreement.

69

HONEYWELL INTERNATIONAL INC.
NOTES TO FINANCIAL STATEMENTS—(Continued)
(Dollars in millions, except per share amounts)

Other Changes in Plan Assets and Benefits Obligations Recognized in Other Comprehensive (Income) Loss	Years Ended December 31,
	2015				2014				2013
Actuarial (gains) losses		$	(55	)		$	46			$	(108	)
Prior service (credit)			(290	)			(87	)			(175	)
Prior service credit recognized during year			30				20				13
Actuarial losses recognized during year			(34	)			(24	)			(27	)
Settlements and curtailments			—				—				42
Total recognized in other comprehensive (income)		$	(349	)		$	(45	)		$	(255	)
Total recognized in net periodic benefit cost and other comprehensive (income) loss		$	(312	)		$	1			$	(239	)

The estimated net loss and prior service (credit) for other postretirement benefits that will be amortized from accumulated other comprehensive (income) loss into net periodic benefit (income) in 2016 are expected to be $22 million and ($76) million.

Major actuarial assumptions used in determining the benefit obligations and net periodic benefit (income) cost for our significant benefit plans are presented in the following table as weighted averages.

	Pension Benefits
	U.S. Plans									Non-U.S. Plans
	2015			2014			2013			2015			2014			2013
Actuarial assumptions used to determine benefit obligations as of December 31:
Discount rate		4.46	%		4.08	%		4.89	%		3.49	%		3.26	%		4.29	%
Expected annual rate of compensation increase		4.48	%		4.50	%		4.50	%		2.11	%		2.53	%		2.81	%
Actuarial assumptions used to determine net periodic benefit (income) cost for years ended December 31:
Discount rate		4.08	%		4.89	%		4.06	%		3.26	%		4.29	%		4.29	%
Expected rate of return on plan assets		7.75	%		7.75	%		7.75	%		6.94	%		6.96	%		6.99	%
Expected annual rate of compensation increase		4.50	%		4.50	%		4.50	%		2.53	%		2.81	%		3.55	%

	Other Postretirement Benefits
	2015			2014			2013
Actuarial assumptions used to determine benefit obligations as of December 31:
Discount rate		3.80	%		3.45	%		4.05	%
Actuarial assumptions used to determine net periodic benefit cost for years ended December 31:
Discount rate		3.45	%		4.05	%		3.40	%

The discount rate for our U.S. pension and other postretirement benefits plans reflects the current rate at which the associated liabilities could be settled at the measurement date of December 31. To determine discount rates for our U.S. pension and other postretirement benefit plans, we use a modeling process that involves matching the expected cash outflows of our benefit plans to a yield curve constructed from a portfolio of high quality, fixed-income debt instruments. We use the single weighted-average yield of this hypothetical portfolio as a discount rate benchmark. The discount rate used to determine the other postretirement benefit obligation is lower principally due to a shorter expected duration of other postretirement plan obligations as compared to pension plan obligations.

70

HONEYWELL INTERNATIONAL INC.
NOTES TO FINANCIAL STATEMENTS—(Continued)
(Dollars in millions, except per share amounts)

During the fourth quarter of 2015 we changed the methodology used to estimate the service and interest cost components of net periodic benefit (income) cost for our significant pension plans. Previously, we estimated such cost components utilizing a single weighted-average discount rate derived from the yield curve used to measure the pension benefit obligation. The new methodology utilizes a full yield curve approach in the estimation of these cost components by applying the specific spot rates along the yield curve used in the determination of the pension benefit obligation to their underlying projected cash flows and provides a more precise measurement of service and interest costs by improving the correlation between projected cash flows and their corresponding spot rates. The change does not affect the measurement of our pension obligation and is applied prospectively as a change in estimate.

For our U.S. pension plans, the single weighted-average spot rates used to determine service and interest costs for 2016 are 4.69% and 3.59%. We estimate the service and interest costs for our U.S. pension plans will be reduced by approximately $150 million in 2016.

Our expected rate of return on U.S. plan assets of 7.75% is a long-term rate based on historical plan asset returns over varying long-term periods combined with current market conditions and broad asset mix considerations. We review the expected rate of return on an annual basis and revise it as appropriate.

For non-U.S. benefit plans actuarial assumptions reflect economic and market factors relevant to each country. The impact of the discount rate methodology change on service and interest costs for our non-U.S. pension plans was not material.

Pension Benefits

Included in the aggregate data in the tables above are the amounts applicable to our pension plans with accumulated benefit obligations exceeding the fair value of plan assets. Amounts related to such plans were as follows:

	December 31,
	U.S. Plans						Non-U.S. Plans
	2015			2014			2015			2014
Projected benefit obligation		$	17,298		$	626		$	1,624		$	1,686
Accumulated benefit obligation		$	16,899		$	618		$	1,574		$	1,584
Fair value of plan assets		$	16,349		$	194		$	976		$	994

Accumulated benefit obligation for our U.S. defined benefit pension plans were $16.9 billion and $17.2 billion and for our Non-U.S. defined benefit plans were $6.2 billion and $5.5 billion at December 31, 2015 and 2014.

Our asset investment strategy for our U.S. pension plans focuses on maintaining a diversified portfolio using various asset classes in order to achieve our long-term investment objectives on a risk adjusted basis. Our actual invested positions in various securities change over time based on short and longer- term investment opportunities. To achieve our objectives, we have established long-term target allocations as follows: 60%-70% equity securities, 10%-20% fixed income securities and cash, 5%-15% real estate investments, and 10%-20% other types of investments. Equity securities include publicly-traded stock of companies located both inside and outside the United States. Fixed income securities include corporate bonds of companies from diversified industries, mortgage-backed securities, and U.S. Treasuries. Real estate investments include direct investments in commercial properties and investments in real estate funds. Other types of investments include investments in private equity and hedge funds that follow several different strategies. We review our assets on a regular basis to ensure that we are within the targeted asset allocation ranges and, if necessary, asset balances are adjusted back within target allocations.

71

HONEYWELL INTERNATIONAL INC.
NOTES TO FINANCIAL STATEMENTS—(Continued)
(Dollars in millions, except per share amounts)

Our non-U.S. pension assets are typically managed by decentralized fiduciary committees with the Honeywell Corporate Investments group providing standard funding and investment guidance. Our non-U.S. investment policies are different for each country as local regulations, funding rules, and financial and tax considerations are part of the funding and investment allocation process in each country.

The fair values of both our U.S. and non-U.S. pension plans assets by asset category are as follows:

	U.S. Plans
	December 31, 2015
	Total			Level 1			Level 2			Level 3
Common stock/preferred stock:
Honeywell common stock		$	1,916		$	1,916		$	—		$	—
U.S. large cap stocks			3,761			3,761			—			—
U.S. mid cap stocks			722			722			—			—
U.S. small cap stocks			89			89			—			—
International stocks			2,099			1,943			156			—
Real estate investment trusts			209			209			—			—
Fixed income investments:
Short term investments			1,332			1,332			—			—
Government securities			425			—			425			—
Corporate bonds			3,003			—			3,003			—
Mortgage/Asset-backed securities			561			—			561			—
Insurance contracts			7			—			7			—
Investments in private funds:
Private funds			889			—			—			889
Hedge funds			19			—			—			19
Real estate funds			156			—			—			156
Direct investments:
Direct private investments			535			—			—			535
Real estate properties			626			—			—			626
		$	16,349		$	9,972		$	4,152		$	2,225

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HONEYWELL INTERNATIONAL INC.
NOTES TO FINANCIAL STATEMENTS—(Continued)
(Dollars in millions, except per share amounts)

	U.S. Plans
	December 31, 2014
	Total			Level 1			Level 2			Level 3
Common stock/preferred stock:
Honeywell common stock		$	1,851		$	1,851		$	—		$	—
U.S. large cap stocks			3,913			3,867			46			—
U.S. mid cap stocks			1,028			1,018			10			—
U.S. small cap stocks			219			219			—			—
International stocks			2,576			2,400			176			—
Real estate investment trusts			204			204			—			—
Fixed income investments:
Short term investments			1,078			1,078			—			—
Government securities			438			—			438			—
Corporate bonds			2,988			—			2,988			—
Mortgage/Asset-backed securities			635			—			635			—
Insurance contracts			7			—			7			—
Investments in private funds:
Private funds			999			—			—			999
Hedge funds			3			—			—			3
Real estate funds			226			—			—			226
Direct investments:
Direct private investments			301			—			—			301
Real estate properties			600			—			—			600
		$	17,066		$	10,637		$	4,300		$	2,129

	Non-U.S. Plans
	December 31, 2015
	Total			Level 1			Level 2			Level 3
Common stock/preferred stock:
U.S. companies		$	569		$	479		$	90		$	—
Non-U.S. companies			2,200			228			1,972			—
Fixed income investments:
Short-term investments			108			105			3			—
Government securities			1,621			—			1,621			—
Corporate bonds			1,073			—			1,073			—
Mortgage/Asset-backed securities			94			—			94			—
Insurance contracts			170			—			170			—
Investments in private funds:
Private funds			61			—			—			61
Hedge funds			—			—			—			—
Real estate funds			221			—			—			221
		$	6,117		$	812		$	5,023		$	282

73

HONEYWELL INTERNATIONAL INC.
NOTES TO FINANCIAL STATEMENTS—(Continued)
(Dollars in millions, except per share amounts)

	Non-U.S. Plans
	December 31, 2014
	Total			Level 1			Level 2			Level 3
Common stock/preferred stock:
U.S. companies		$	534		$	464		$	70		$	—
Non-U.S. companies			1,876			225			1,651			—
Fixed income investments:
Short-term investments			117			113			4			—
Government securities			1,495			—			1,495			—
Corporate bonds			857			—			857			—
Mortgage/Asset-backed securities			19			—			19			—
Insurance contracts			186			—			186			—
Investments in private funds:
Private funds			62			—			—			62
Hedge funds			2			—			—			2
Real estate funds			185			—			—			185
		$	5,333		$	802		$	4,282		$	249

The following tables summarize changes in the fair value of Level 3 assets:

	U.S. Plans
	Private Funds				Direct Private Investments				Hedge Funds				Real Estate Funds				Real Estate Properties
Balance at December 31, 2013		$	1,058			$	278			$	6			$	237			$	627
Actual return on plan assets:
Relating to assets still held at year-end			(50	)			(10	)			(2	)			21				10
Relating to assets sold during the year			94				59				2				—				53
Purchases			168				92				3				8				38
Sales and settlements			(271	)			(118	)			(6	)			(40	)			(128	)
Balance at December 31, 2014			999				301				3				226				600
Actual return on plan assets:
Relating to assets still held at year-end			(87	)			47				(2	)			(20	)			16
Relating to assets sold during the year			85				21				—				4				14
Purchases			142				242				19				5				16
Sales and settlements			(250	)			(76	)			(1	)			(59	)			(20	)
Balance at December 31, 2015		$	889			$	535			$	19			$	156			$	626

74

HONEYWELL INTERNATIONAL INC.
NOTES TO FINANCIAL STATEMENTS—(Continued)
(Dollars in millions, except per share amounts)

	Non-U.S. Plans
	Private Funds				Hedge Funds				Real Estate Funds
Balance at December 31, 2013		$	67			$	62			$	181
Actual return on plan assets:
Relating to assets still held at year-end			(4	)			(11	)			17
Relating to assets sold during the year			6				12				1
Purchases			—				—				4
Sales and settlements			(7	)			(61	)			(18	)
Balance at December 31, 2014			62				2				185
Actual return on plan assets:
Relating to assets still held at year-end			(7	)			—				24
Relating to assets sold during the year			7				—				(3	)
Purchases			11				—				41
Sales and settlements			(12	)			(2	)			(26	)
Balance at December 31, 2015		$	61			$	—			$	221

The Company enters into futures contracts to gain exposure to certain markets. Sufficient cash or cash equivalents are held by our pension plans to cover the notional value of the futures contracts. At December 31, 2015 and 2014, our U.S. plans had contracts with notional amounts of $2,613 million and $2,354 million. At December 31, 2015 and 2014, our non-U.S. plans had contracts with notional amounts of $54 million and $65 million. In both our U.S. and non-U.S. pension plans, the notional derivative exposure is primarily related to outstanding equity futures contracts.

Common stocks, preferred stocks, real estate investment trusts, and short-term investments are valued at the closing price reported in the active market in which the individual securities are traded. Corporate bonds, mortgages, asset-backed securities, and government securities are valued either by using pricing models, bids provided by brokers or dealers, quoted prices of securities with similar characteristics or discounted cash flows and as such include adjustments for certain risks that may not be observable such as credit and liquidity risks. Certain securities are held in commingled funds which are valued using net asset values provided by the administrators of the funds. Investments in private equity, debt, real estate and hedge funds and direct private investments are valued at estimated fair value based on quarterly financial information received from the investment advisor and/or general partner. Investments in real estate properties are valued on a quarterly basis using the income approach. Valuation estimates are periodically supplemented by third party appraisals.

Our general funding policy for qualified defined benefit pension plans is to contribute amounts at least sufficient to satisfy regulatory funding standards. In 2015, 2014 and 2013, we were not required to make contributions to our U.S. pension plans and no contributions were made. We are not required to make any contributions to our U.S. pension plans in 2016. In 2015, contributions of $139 million were made to our non-U.S. pension plans to satisfy regulatory funding requirements. In 2016, we expect to make contributions of cash and/or marketable securities of approximately $160 million to our non-U.S. pension plans to satisfy regulatory funding standards. Contributions for both our U.S. and non-U.S. pension plans do not reflect benefits paid directly from Company assets.

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HONEYWELL INTERNATIONAL INC.
NOTES TO FINANCIAL STATEMENTS—(Continued)
(Dollars in millions, except per share amounts)

Benefit payments, including amounts to be paid from Company assets, and reflecting expected future service, as appropriate, are expected to be paid as follows:

	U.S. Plans			Non-U.S. Plans
2016		$	1,151		$	243
2017			1,125			252
2018			1,138			258
2019			1,153			265
2020			1,166			272
2021-2025			5,922			1,474

Other Postretirement Benefits

	December 31,
	2015			2014
Assumed health care cost trend rate:
Health care cost trend rate assumed for next year		7.00	%		7.00	%
Rate that the cost trend rate gradually declines to		5.00	%		5.00	%
Year that the rate reaches the rate it is assumed to remain at		2023			2023

The assumed health care cost trend rate has a significant effect on the amounts reported. A one-percentage-point change in the assumed health care cost trend rate would have the following effects:

	1 percentage point
	Increase			Decrease
Effect on total of service and interest cost components		$	1		$	(1	)
Effect on postretirement benefit obligation		$	27		$	(20	)

Benefit payments reflecting expected future service, as appropriate, are expected to be paid as follows:

	Without Impact of Medicare Subsidy			Net of Medicare Subsidy
2016		$	91		$	84
2017			67			63
2018			63			58
2019			58			53
2020			54			50
2021-2025			189			171

Note 21. Segment Financial Data

We globally manage our business operations through three reportable operating segments. Segment information is consistent with how management reviews the businesses, makes investing and resource allocation decisions and assesses operating performance.

Honeywell’s senior management evaluates segment performance based on segment profit. Segment profit is measured as business unit income (loss) before taxes excluding general corporate

76

HONEYWELL INTERNATIONAL INC.
NOTES TO FINANCIAL STATEMENTS—(Continued)
(Dollars in millions, except per share amounts)

unallocated expense, other income (expense), interest and other financial charges, pension and other postretirement benefits (expense), stock compensation expense and repositioning and other charges.

	Years Ended December 31,
	2015				2014				2013
Net Sales
Aerospace
Product		$	10,379			$	10,773			$	10,798
Service			4,858				4,825				4,937
Total			15,237				15,598				15,735
Automation and Control Solutions
Product			12,882				13,219				12,253
Service			1,227				1,268				1,212
Total			14,109				14,487				13,465
Performance Materials and Technologies
Product			7,434				8,406				8,163
Service			1,801				1,815				1,692
Total			9,235				10,221				9,855
		$	38,581			$	40,306			$	39,055
Depreciation and amortization
Aerospace		$	267			$	277			$	290
Automation and Control Solutions			277				306				302
Performance Materials and Technologies			282				284				336
Corporate			57				57				61
		$	883			$	924			$	989
Segment Profit
Aerospace		$	3,218			$	2,915			$	2,870
Automation and Control Solutions			2,313				2,200				1,983
Performance Materials and Technologies			1,935				1,817				1,725
Corporate			(210	)			(236	)			(227	)
		$	7,256			$	6,696			$	6,351
Capital expenditures
Aerospace		$	314			$	315			$	310
Automation and Control Solutions			152				145				132
Performance Materials and Technologies			479				537				448
Corporate			128				97				57
		$	1,073			$	1,094			$	947

	December 31,
	2015			2014			2013
Total Assets
Aerospace		$	11,235		$	11,151		$	11,379
Automation and Control Solutions			22,355			17,191			17,675
Performance Materials and Technologies			10,300			9,699			9,534
Corporate			5,426			7,410			6,847
		$	49,316		$	45,451		$	45,435

77

HONEYWELL INTERNATIONAL INC.
NOTES TO FINANCIAL STATEMENTS—(Continued)
(Dollars in millions, except per share amounts)

A reconciliation of segment profit to consolidated income from continuing operations before taxes are as follows:

	Years Ended December 31,
	2015				2014				2013
Segment Profit		$	7,256			$	6,696			$	6,351
Other income (expense)(1)			38				269				202
Interest and other financial charges			(310	)			(318	)			(327	)
Stock compensation expense(2)			(175	)			(187	)			(170	)
Pension ongoing income (expense)(2)			430				254				90
Pension mark-to-market expense(2)			(67	)			(249	)			(51	)
Other postretirement income (expense)(2)			(40	)			(49	)			(20	)
Repositioning and other charges(2)			(546	)			(598	)			(663	)
Income from continuing operations before taxes		$	6,586			$	5,818			$	5,412

(1)	Equity income (loss) of affiliated companies is included in Segment Profit.
(2)	Amounts included in cost of products and services sold and selling, general and administrative expenses.

Note 22. Geographic Areas—Financial Data

	Net Sales(1)									Long-lived Assets(2)
	Years Ended December 31,									December 31,
	2015			2014			2013			2015			2014			2013
United States		$	23,771		$	23,911		$	22,978		$	3,939		$	3,612		$	3,393
Europe			8,674			9,870			9,804			746			741			905
Other International			6,136			6,525			6,273			1,104			1,030			980
		$	38,581		$	40,306		$	39,055		$	5,789		$	5,383		$	5,278

(1)	Sales between geographic areas approximate market and are not significant. Net sales are classified according to their country of origin. Included in United States net sales are export sales of $5,526 million, $5,647 million and $5,431 million in 2015, 2014 and 2013.
(2)	Long-lived assets are comprised of property, plant and equipment—net.

78

HONEYWELL INTERNATIONAL INC.
NOTES TO FINANCIAL STATEMENTS—(Continued)
(Dollars in millions, except per share amounts)

Note 23. Supplemental Cash Flow Information

	Years Ended December 31,
	2015				2014				2013
Payments for repositioning and other charges:
Severance and exit cost payments		$	(118	)		$	(161	)		$	(160	)
Environmental payments			(273	)			(321	)			(304	)
Insurance receipts for asbestos related liabilities			63				211				58
Asbestos related liability payments			(209	)			(259	)			(357	)
		$	(537	)		$	(530	)		$	(763	)
Interest paid, net of amounts capitalized		$	310			$	312			$	330
Income taxes paid, net of refunds			1,192				1,142				1,271
Non-cash investing and financing activities:
Common stock contributed to savings plans			174				168				159
Marketable securities contributed to non-U.S. pension plans			109				117				—

Note 24. Unaudited Quarterly Financial Information

	2015
	Mar. 31			June 30			Sept. 30			Dec. 31			Year
Net Sales		$	9,213		$	9,775		$	9,611		$	9,982		$	38,581
Gross Profit			2,851			2,961			2,957			3,065			11,834
Net income attributable to Honeywell			1,116			1,194			1,264			1,194			4,768
Earnings per share—basic			1.42			1.52			1.62			1.55			6.11
Earnings per share—assuming dilution			1.41			1.51			1.60			1.53			6.04
Dividends paid per share			0.5175			0.5175			0.5175			0.5950			2.15
Market Price per share
High			101.76			104.17			104.29			101.65			104.29
Low			98.78			102.87			101.72			92.93			92.93

	2014
	Mar. 31			June 30			Sept. 30			Dec. 31			Year
Net Sales		$	9,679		$	10,253		$	10,108		$	10,266		$	40,306
Gross Profit			2,712			2,957			2,980			2,700			11,349
Net income attributable to Honeywell			1,017			1,099			1,167			956			4,239
Earnings per share—basic			1.30			1.40			1.49			1.22			5.40
Earnings per share—assuming dilution			1.28			1.38			1.47			1.20			5.33
Dividends paid per share			0.4500			0.4500			0.4500			0.5175			1.87
Market Price per share
High			95.44			95.81			97.34			101.98			101.98
Low			88.47			90.36			90.56			85.11			85.11

79

Report of Independent Registered Public Accounting Firm

TOTHE BOARDOF DIRECTORSAND SHAREHOLDERSOF
HONEYWELL INTERNATIONAL INC.:

We have audited the accompanying consolidated balance sheet of Honeywell International Inc. and subsidiaries (the “Company”) as of December 31, 2015, and the related consolidated statements of operations, comprehensive income, cash flows and shareowners’ equity for the year then ended. We also have audited the Company’s internal control over financial reporting as of December 31, 2015 based on the criteria established in Internal Control—Integrated Framework (2013) issued by the Committee of Sponsoring Organizations of the Treadway Commission. As described in Management’s Report on Internal Control Over Financial Reporting, management excluded from its assessment the internal control over financial reporting at the Elster Division of Melrose Industries Plc. (“Elster”), which was acquired on December 29, 2015 and whose financial statements constitute approximately 1.8% of consolidated total assets and a de minimis percentage of total consolidated net sales for the year ended December 31, 2015. Accordingly, our audit did not include the internal control over financial reporting at Elster. The Company’s management is responsible for these financial statements, for maintaining effective internal control over financial reporting, and for its assessment of the effectiveness of internal control over financial reporting, including in the accompanying Management’s Report on Internal Control Over Financial Reporting. Our responsibility is to express an opinion on these consolidated financial statements and an opinion on the Company’s internal control over financial reporting based on our audits.

We conducted our audits in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement and whether effective internal control over financial reporting was maintained in all material respects. Our audit of the financial statements included examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. Our audit of internal control over financial reporting included obtaining an understanding of internal control over financial reporting, assessing the risk that a material weakness exists, and testing and evaluating the design and operating effectiveness of internal control based on the assessed risk. Our audits also included performing such procedures as we considered necessary in the circumstances. We believe that our audits provide a reasonable basis for our opinions.

A company’s internal control over financial reporting is a process designed by, or under the supervision of, the company’s principal executive and principal financial officers, or persons performing similar functions, and effected by the company’s board of directors, management, and other personnel 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. A company’s internal control over financial reporting includes those policies and procedures that (1) pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the company; (2) 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 management and directors of the company; and (3) provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use, or disposition of the company’s assets that could have a material effect on the financial statements.

Because of the inherent limitations of internal control over financial reporting, including the possibility of collusion or improper management override of controls, material misstatements due to error or fraud may not be prevented or detected on a timely basis. Also, projections of any evaluation of the effectiveness of the internal control over financial reporting to future periods are subject to the risk that the controls may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.

80

In our opinion, the consolidated financial statements referred to above present fairly, in all material respects, the financial position of the Company as of December 31, 2015, and the results of their operations and their cash flows for the year then ended, in conformity with accounting principles generally accepted in the United States of America. Also, in our opinion, the Company maintained, in all material respects, effective internal control over financial reporting as of December 31, 2015, based on the criteria established in Internal Control—Integrated Framework (2013) issued by the Committee of Sponsoring Organizations of the Treadway Commission.

/s/ Deloitte & Touche LLP
Parsippany, New Jersey
February 12, 2016

81

Report of Independent Registered Public Accounting Firm

TO THE BOARDOF DIRECTORSAND SHAREHOLDERSOF
HONEYWELL INTERNATIONAL INC.:

In our opinion, the accompanying consolidated balance sheet as of December 31, 2014 and the related consolidated statements of income, comprehensive income, shareholders’ equity and cash flows for each of two years in the period ended December 31, 2014 present fairly, in all material respects, the financial position of Honeywell International Inc. and its subsidiaries at December 31, 2014, and the results of their operations and their cash flows for each of the two years in the period ended December 31, 2014, in conformity with accounting principles generally accepted in the United States of America. These financial statements are the responsibility of the Company’s management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits of these statements in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion.

/s/ PricewaterhouseCoopers LLP
Florham Park, New Jersey
February 13, 2015

82

Item 9. Changes in and Disagreements with Accountants on Accounting and Financial Disclosure

Not Applicable.

Item 9A. Controls and Procedures

Honeywell management maintains disclosure controls and procedures designed to provide reasonable assurance that information required to be disclosed in reports filed under the Securities Exchange Act of 1934, as amended (Exchange Act) is recorded, processed, summarized and reported within the specified time periods and accumulated and communicated to our management, including our principal executive officer and principal financial officer, as appropriate to allow timely decisions regarding required disclosure. 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 quarter ended December 31, 2015.

Our management, with the participation of our CEO and CFO, evaluated the effectiveness of our disclosure controls and procedures (as defined in Rules 13a-15(e) or 15d-15(e) promulgated under the Exchange Act) at December 31, 2015. Based on these evaluations, our CEO and CFO concluded that our disclosure controls and procedures required by paragraph (b) of Rules 13a-15 or 15d-15 were effective as of December 31, 2015.

Management’s Report on Internal Control Over Financial Reporting

Honeywell management is responsible for establishing and maintaining adequate internal control over financial reporting and for its assessment of the effectiveness of 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 to our management and board of directors regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles.

Because of its inherent limitations, internal control over financial reporting may not prevent or detect misstatements.

Management assessed the effectiveness of Honeywell’s internal control over financial reporting as of December 31, 2015. 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 (2013). Management excluded the Elster Division of Melrose Industries plc (Elster), acquired on December 29, 2015, from its evaluation of internal control over financial reporting as of December 31, 2015. As of December 31, 2015 Elster represented approximately 1.8% of our consolidated total assets and a de minimus percentage of our total consolidated sales for the year ended December 31, 2015.

Based on this assessment, management determined that Honeywell maintained effective internal control over financial reporting as of December 31, 2015.

The effectiveness of Honeywell’s internal control over financial reporting as of December 31, 2015 has been audited by Deloitte & Touche LLP, an independent registered public accounting firm, as stated in their report which is included in Item 8. Financial Statements and Supplementary Data.

Item 9B. Other Information

Under the Iran Threat Reduction and Syrian Human Rights Act of 2012, which added Section 13(r) of the Securities Exchange Act of 1934, Honeywell is required to disclose in its periodic reports if it or any of its affiliates knowingly engaged in certain activities, transactions or dealings relating to Iran or with entities or individuals designated pursuant to certain Executive Orders.

A non-U.S. wholly-owned subsidiary of Honeywell (the Non-U.S. Subsidiary) inadvertently made four ground shipments of low value, non-U.S. items from Turkey to Uzbekistan from December 2013 to

83

March 2014 that transited through Iran en route to Uzbekistan on trucks operated by a third party transportation vendor (the Vendor) retained by the Non-U.S. Subsidiary. The Non-U.S. Subsidiary hired the Vendor to facilitate shipment and the Vendor further engaged a trucking company to provide surface transport. The Vendor proposed the transport route for the shipment. The shipment of the items via Iran occurred inadvertently as a result of non-U.S. person employees approving the transport route proposed by the Vendor. Honeywell disclosed these past transactions voluntarily to the U.S. Treasury Department’s Office of Foreign Assets Control (OFAC).

The Non-U.S. Subsidiary did not pay, directly or indirectly, any duties or taxes to the Government of Iran as a result of these shipments because the shipments were made under TIR (Transports Internationaux Routiers) Carnets, a treaty system which allows for the transport of merchandise through contracting parties from the customs office of departure to the customs office of destination without payment of customs duties/taxes in transiting countries. Further, the Non-U.S. Subsidiary made all payments for shipping services to the Vendor on a flat-fee basis at a rate of $11,800 per shipment, and the Non- U.S. Subsidiary did not reimburse the Vendor for any fees or other expenses incurred in Iran.

Neither Honeywell nor the Non-U.S. Subsidiary derived any revenue by inadvertently shipping the items via Iran.

Item 10. Directors and Executive Officers of the Registrant

Information relating to the Directors of Honeywell, as well as information relating to compliance with Section 16(a) of the Securities Exchange Act of 1934, will be contained in our definitive Proxy Statement involving the election of the Directors, which will be filed with the SEC pursuant to Regulation 14A not later than 120 days after December 31, 2015, and such information is incorporated herein by reference. Certain other information relating to the Executive Officers of Honeywell appears in Part I of this Annual Report on Form 10-K under the heading Executive Officers of the Registrant.

The members of the Audit Committee of our Board of Directors are: George Paz (Chair), Kevin Burke, D. Scott Davis, Linnet Deily, Judd Gregg and Robin L. Washington. The Board has determined that Mr. Paz, Mr. Davis and Ms. Washington are audit committee financial experts as defined by applicable SEC rules and that Mr. Paz, Mr. Burke, Mr. Davis, Ms. Deily and Ms. Washington satisfy the accounting or related financial management expertise criteria established by the NYSE. All members of the Audit Committee are independent as that term is defined in applicable SEC rules and NYSE listing standards.

Honeywell’s corporate governance policies and procedures, including the Code of Business Conduct, Corporate Governance Guidelines and Charters of the Committees of the Board of Directors are available, free of charge, on our website under the heading Investor Relations (see Corporate Governance), or by writing to Honeywell, 115 Tabor Road, Morris Plains, New Jersey 07950, c/o Vice President and Corporate Secretary. Honeywell’s Code of Business Conduct applies to all Honeywell directors, officers (including the Chief Executive Officer, Chief Financial Officer and Controller) and employees. Amendments to or waivers of the Code of Business Conduct granted to any of Honeywell’s directors or executive officers will be published on our website within five business days of such amendment or waiver.

Item 11. Executive Compensation

Information relating to executive compensation is contained in the Proxy Statement referred to above in Item 10. Directors and Executive Officers of the Registrant, and such information is incorporated herein by reference.

84

Item 12. Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters

Information relating to security ownership of certain beneficial owners and management and related stockholder matters is contained in the Proxy Statement referred to above in Item 10. Directors and Executive Officers of the Registrant, and such information is incorporated herein by reference.

Item 13. Certain Relationships and Related Transactions

Information relating to certain relationships and related transactions is contained in the Proxy Statement referred to above in Item 10. Directors and Executive Officers of the Registrant, and such information is incorporated herein by reference.

Item 14. Principal Accounting Fees and Services

Information relating to fees paid to and services performed by Deloitte & Touche LLP in 2015 and PricewaterhouseCoopers LLP in 2014 and our Audit Committee’s pre-approval policies and procedures with respect to non-audit services are contained in the Proxy Statement referred to above in Item 10. Directors and Executive Officers of the Registrant, and such information is incorporated herein by reference.

Item 15. Exhibits and Financial Statement Schedules

	Page Number in Form 10-K
(a)(1.) Consolidated Financial Statements:
Consolidated Statement of Operations for the years ended December 31, 2015, 2014 and 2013		32
Consolidated Statement of Comprehensive Income for the years ended December 31, 2015, 2014 and 2013		33
Consolidated Balance Sheet at December 31, 2015 and 2014		34
Consolidated Statement of Cash Flows for the years ended December 2015, 2014 and 2013		35
Consolidated Statement of Shareowners’ Equity for the years ended December 31, 2015, 2014 and 2013		36
Notes to Financial Statements		37
Report of Independent Registered Public Accounting Firm		80

	Page Number in Form 10-K
(a)(2.) Exhibits
See the Exhibit Index of this Annual Report on Form 10-K		87

85

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

	HONEYWELL INTERNATIONAL INC.
Date: February 12, 2016	By:	/s/ Adam M. Matteo
		Adam M. Matteo Vice President and Controller (on behalf of the Registrant and as the Registrant’s Principal Accounting Officer)

Pursuant to the requirements of the Securities Exchange Act of 1934, this annual report has been signed below by the following persons on behalf of the Registrant and in the capacities and on the date indicated:

Name	Name
*	*
David M. Cote Chairman of the Board, Chief Executive Officer and Director	Judd Gregg Director
*	*
William S. Ayer Director	Clive Hollick Director
*	*
Gordon M. Bethune Director	Grace D. Lieblein Director
*	*
Kevin Burke Director	George Paz Director
*	*
Jaime Chico Pardo Director	Bradley T. Sheares, Ph.D. Director
*	*
D. Scott Davis Director	Robin L. Washington Director
*
Linnet F. Deily Director
/s/ Thomas A. Szlosek	/s/ Adam M. Matteo
Thomas A. Szlosek Senior Vice President and Chief Financial Officer (Principal Financial Officer)	Adam M. Matteo Vice President and Controller (Principal Accounting Officer)

*By:	/s/ Thomas A. Szlosek
	(Thomas A. Szlosek Attorney-in-fact)

February 12, 2016

86

EXHIBIT INDEX

Exhibit No.	Description
3(i)	Amended and Restated Certificate of Incorporation of Honeywell International Inc., as amended April 26, 2010 (incorporated by reference to Exhibit 3(i) to Honeywell’s Form 8-K filed April 27, 2010)
3(ii)	By-laws of Honeywell International Inc., as amended December 11, 2015 (incorporated by reference to Exhibit 3(ii) to Honeywell’s Form 8-K filed December 14, 2015)
4	Honeywell International Inc. is a party to several long-term debt instruments under which, in each case, the total amount of securities authorized does not exceed 10% of the total assets of Honeywell and its subsidiaries on a consolidated basis. Pursuant to paragraph 4(iii)(A) of Item 601(b) of Regulation S-K, Honeywell agrees to furnish a copy of such instruments to the Securities and Exchange Commission upon request.
10.1*	2003 Stock Incentive Plan of Honeywell International Inc. and its Affiliates (incorporated by reference to Honeywell’s Proxy Statement, dated March 17, 2003, filed pursuant to Rule 14a-6 of the Securities Exchange Act of 1934), and amended by Exhibit 10.1 to Honeywell’s Form 8-K filed December 21, 2004, Exhibit 10.1 to Honeywell’s Form 10-K for the year ended December 31, 2006 and Exhibit 10.1 to Honeywell’s Form 10-K for the year ended December 31, 2008
10.2*	Deferred Compensation Plan for Non-Employee Directors of Honeywell International Inc., as amended and restated (incorporated by reference to Exhibit 10.2 to Honeywell’s Form 10-Q for quarter ended June 30, 2003), and amended by Exhibit 10.1 to Honeywell’s Form 8-K filed December 21, 2004 and Exhibit 10.2 to Honeywell’s Form 10-K for the year ended December 31, 2005
10.3*	Honeywell International Inc. Incentive Compensation Plan for Executive Employees, as amended and restated (incorporated by reference to Exhibit 10.4 to Honeywell’s Form 10-K for the year ended December 31, 2013)
10.4*	Supplemental Non-Qualified Savings Plan for Highly Compensated Employees of Honeywell International Inc. and its Subsidiaries, as amended and restated (incorporated by reference to Exhibit 10.6 to Honeywell’s Form 10-K for the year ended December 31, 2008), and amended by Exhibit 10.5 to Honeywell’s Form 10-K for the year ended December 31, 2010, Exhibit 10.1 to Honeywell’s Form 10-Q for the quarter ended June 30, 2012, Exhibit 10.5 to Honeywell’s Form 10-K for the year ended December 31, 2013 and Exhibit 10.1 to Honeywell’s Form 10-Q for the quarter ended June 30, 2015
10.5*	Honeywell International Inc. Severance Plan for Designated Officers, as amended and restated (incorporated by reference to Exhibit 10.6 to Honeywell’s Form 10-K for the year ended December 31, 2013)
10.6*	Salary and Incentive Award Deferral Plan for Selected Employees of Honeywell International Inc. and its Affiliates, as amended and restated (incorporated by reference to Exhibit 10.8 to Honeywell’s Form 10-K for the year ended December 31, 2008), and amended by Exhibit 10.7 to Honeywell’s Form 10-K for the year ended December 31, 2013
10.7*	Honeywell International Inc. Supplemental Pension Plan, as amended and restated (incorporated by reference to Exhibit 10.10 to Honeywell’s Form 10-K for the year ended December 31, 2008), and amended by Exhibit 10.10 to Honeywell’s Form 10-K for the year ended December 31, 2009 and the attached amendment (filed herewith)

87

Exhibit No.	Description
10.8*	Honeywell International Inc. Supplemental Executive Retirement Plan for Executives in Career Band 6 and Above, as amended and restated (incorporated by reference to Exhibit 10.12 to Honeywell’s Form 10-K for the year ended December 31, 2008), and amended by Exhibit 10.12 to Honeywell’s Form 10-K for the year ended December 31, 2009, Exhibit 10.9 to Honeywell’s Form 10-K for the year ended December 31, 2013, and the attached amendment (filed herewith)
10.9*	Honeywell Supplemental Defined Benefit Retirement Plan, as amended and restated (incorporated by reference to Exhibit 10.13 to Honeywell’s Form 10-K for the year ended December 31, 2008), and amended by Exhibit 10.13 to Honeywell’s Form 10-K for the year ended December 31, 2009 and the attached amendment (filed herewith)
10.10*	Letter between David J. Anderson and Honeywell International Inc. dated June 12, 2003 (incorporated by reference to Exhibit 10.26 to Honeywell’s Form 10-Q for the quarter ended June 30, 2003), and amended by Exhibit 10.14 to Honeywell’s Form 10-K for the year ended December 31, 2008
10.11*	Honeywell International Inc. Severance Plan for Corporate Staff Employees (Involuntary Termination Following a Change in Control), as amended and restated (incorporated by reference to Exhibit 10.12 to Honeywell’s Form 10-K for the year ended December 31, 2013)
10.12*	Employment Agreement dated as of February 18, 2002 between Honeywell and David M. Cote (incorporated by reference to Exhibit 10.24 to Honeywell’s Form 8-K filed March 4, 2002), and amended by Exhibit 10.3 to Honeywell’s Form 10-Q for the quarter ended September 30, 2008, Exhibit 10.17 to Honeywell’s Form 10-K for the year ended December 31, 2008, and Exhibit 10.1 to Honeywell’s Form 10-Q for the quarter ended March 31, 2013
10.13*	2003 Stock Incentive Plan for Employees of Honeywell International Inc. and its Affiliates Award Agreement (incorporated by reference to Exhibit 10.1 to Honeywell’s Form 8-K filed February 7, 2005)
10.14*	Deferred Compensation Agreement dated August 4, 2006 between Honeywell and David M. Cote (incorporated by reference to Exhibit 10.22 to Honeywell’s Form 10-K for the year ended December 31, 2006) and amended by Exhibit 10.22 to Honeywell’s Form 10-K for the year ended December 31, 2009
10.15*	Honeywell Supplemental Retirement Plan (incorporated by reference to Exhibit 10.24 to Honeywell’s Form 10-K for the year ended December 31, 2006)
10.16*	Pittway Corporation Supplemental Executive Retirement Plan (incorporated by reference to Exhibit 10.25 to Honeywell’s Form 10-K for the year ended December 31, 2006) and amended by Exhibit 10.25 to Honeywell’s Form 10-K for the year ended December 31, 2008, Exhibit 10.25 to Honeywell’s 10-K for the year ended December 31, 2009, and the attached amendment (filed herewith)
10.17*	2006 Stock Incentive Plan of Honeywell International Inc. and Its Affiliates, as amended and restated (incorporated by reference to Exhibit 10.26 to Honeywell’s Form 10-K for the year ended December 31, 2008), and amended by Exhibit 10.1 to Honeywell’s 10-Q for the quarter ended March 31, 2011
10.18*	2006 Stock Incentive Plan of Honeywell International Inc. and Its Affiliates—Form of Option Award Agreement (incorporated by reference to Exhibit 10.2 to Honeywell’s Form 10-Q for the quarter ended March 31, 2009)
10.19*	2006 Stock Incentive Plan of Honeywell International Inc. and Its Affiliates—Form of Restricted Unit Agreement (incorporated by reference to Exhibit 10.1 to Honeywell’s Form 10-Q for the quarter ended March 31, 2009)
10.20*	2006 Stock Incentive Plan of Honeywell International Inc. and Its Affiliates—Form of Performance Share Agreement (incorporated by reference to Exhibit 10.30 to Honeywell’s Form 10-K for the year ended December 31, 2006)

88

Exhibit No.	Description
10.21*	2006 Stock Plan for Non-Employee Directors of Honeywell International Inc., as amended and restated (incorporated by reference to Exhibit 10.31 to Honeywell’s Form 10-K for the year ended December 31, 2008), and amended by Exhibit 10.27 to Honeywell’s Form 10-K for the year ended December 31, 2011 and Exhibit 10.24 to Honeywell’s Form 10-K for the year ended December 31, 2014
10.22*	2006 Stock Plan for Non-Employee Directors of Honeywell International Inc.—Form of Option Agreement (incorporated by reference to Exhibit 10.3 to Honeywell’s Form 10-Q for the quarter ended March 31, 2012)
10.23*	2006 Stock Plan for Non-Employee Directors of Honeywell International Inc.—Form of Restricted Unit Agreement (incorporated by reference to Exhibit 10.4 to Honeywell’s Form 10-Q for the quarter ended March 31, 2012)
10.24*	2007 Honeywell Global Employee Stock Plan (incorporated by reference to Honeywell’s Proxy Statement, dated March 12, 2007, filed pursuant to Rule 14a-6 of the Securities Exchange Act of 1934)
10.25*	Letter Agreement dated July 20, 2007 between Honeywell and Roger Fradin (incorporated by reference to Exhibit 10.1 to Honeywell’s Form 10-Q for the quarter ended September 30, 2007) and amended by Exhibit 10.36 to Honeywell’s Form 10-K for the year ended December 31, 2009
10.26*	Letter Agreement dated October 6, 2010 between Honeywell and Roger Fradin (incorporated by reference to Exhibit 10.34 to Honeywell’s Form 10-K for the year ended December 31, 2010) and amended by Exhibit 10.1 to Honeywell’s Form 10-Q for the quarter ended September 30, 2012
10.27*	Employee Non-Competition Agreement dated October 26, 2010 for Andreas Kramvis (incorporated by reference to Exhibit 10.35 to Honeywell’s Form 10-K for the year ended December 31, 2010)
10.28*	2006 Stock Incentive Plan of Honeywell International Inc. and its Affiliates—Form of Restricted Unit Agreement, Form 2 (incorporated by reference to Exhibit 10.2 to Honeywell’s Form 10-Q for the quarter ended June 30, 2010)
10.29*	2006 Stock Incentive Plan of Honeywell International Inc. and Its Affiliates—Form of Option Award Agreement, Form 2 (incorporated by reference to Exhibit 10.37 to Honeywell’s Form 10-K for the year ended December 31, 2010)
10.30*	Letter Agreement dated September 3, 2009 between Honeywell and Timothy Mahoney (incorporated by reference to Exhibit 10.38 to Honeywell’s Form 10-K for the year ended December 31, 2010)
10.31*	Form of Honeywell International Inc. Noncompete Agreement for Senior Executives (incorporated by reference to Exhibit 10.39 to Honeywell’s Form 10-K for the year ended December 31, 2010)
10.32*	2011 Stock Incentive Plan of Honeywell International Inc. and its Affiliates (incorporated by reference to Honeywell’s Proxy Statement, dated March 10, 2011, filed pursuant to Rule 14a-6 of the Securities Exchange Act of 1934), and amended by Exhibit 10.36 to Honeywell’s Form 10-K for the year ended December 31, 2012 and Exhibit 10.1 to Honeywell’s Form 10-Q for the quarter ended March 31, 2014
10.33*	2011 Stock Incentive Plan of Honeywell International Inc. and its Affiliates—Form of Restricted Unit Agreement (incorporated by reference to Exhibit 10.2 to Honeywell’s Form 10-Q for the quarter ended March 31, 2014)
10.34*	2011 Stock Incentive Plan of Honeywell International Inc. and its Affiliates—Form of Restricted Unit Agreement, Form 2 (incorporated by reference to Exhibit 10.3 to Honeywell’s Form 10-Q for the quarter ended March 31, 2014)
10.35*	2011 Stock Incentive Plan of Honeywell International Inc. and Its Affiliates—Form of Stock Option Award Agreement (incorporated by reference to Exhibit 10.4 to Honeywell’s Form 10-Q for the quarter ended March 31, 2014)

89

Exhibit No.	Description
10.36*	2011 Stock Incentive Plan of Honeywell International Inc. and Its Affiliates—Form of Stock Option Award Agreement, Form 2 (incorporated by reference to Exhibit 10.39 to Honeywell’s Form 10-K for the year ended December 31, 2014)
10.37*	2011 Stock Incentive Plan of Honeywell International Inc. and Its Affiliates—Form of Growth Plan Agreement (incorporated by reference to Exhibit 10.5 to Honeywell’s Form 10-Q for the quarter ended March 31, 2014)
10.38*	Letter Agreement dated August 4, 2011 between Honeywell International Inc. and David M. Cote (incorporated by reference to Exhibit 10.1 to Honeywell’s Form 10-Q for the quarter ended September 30, 2011)
10.39*	Transition Agreement dated April 7, 2014 between Honeywell International Inc. and David J. Anderson (incorporated by reference to Exhibit 10.6 to Honeywell’s Form 10-Q for the quarter ended March 31, 2014)
10.40*	Consulting Agreement effective as of June 1, 2014 between Honeywell International Inc. and David J. Anderson (incorporated by reference to Exhibit 10.7 to Honeywell’s Form 10-Q for the quarter ended March 31, 2014)
10.41*	Letter Agreement dated April 7, 2014 between Honeywell International Inc. and Roger Fradin (incorporated by reference to Exhibit 10.8 to Honeywell’s Form 10-Q for the quarter ended March 31, 2014)
10.42*	Letter Agreement dated April 7, 2014 between Honeywell International Inc. and Andreas Kramvis (incorporated by reference to Exhibit 10.9 to Honeywell’s Form 10-Q for the quarter ended March 31, 2014)
10.43*	Letter Agreement dated April 7, 2014 between Honeywell International Inc. and Thomas A. Szlosek (incorporated by reference to Exhibit 10.10 to Honeywell’s Form 10-Q for the quarter ended March 31, 2014)
10.44*	CEO Retention Agreement, as approved by the Board of Directors of Honeywell International Inc. on October 31, 2014 and agreed to by David M. Cote on December 11, 2014 (incorporated by reference to Exhibit 99.2 to Honeywell’s Form 8-K filed December 12, 2014)
10.45	Amended and Restated Five Year Credit Agreement dated as of July 10, 2015 among Honeywell International Inc., the banks, financial institutions and other institutional lenders parties thereto, Citibank, N.A., as administrative agent, Citibank International Limited, as swing line agent, JPMorgan Chase Bank, N.A., as syndication agent, Bank of America, N.A., Barclays Bank PLC, Deutsche Bank Securities Inc., Goldman Sachs Bank USA, Morgan Stanley MUFG Loan Partners, LLC and Wells Fargo Bank, National Association, as documentation agents, and Citigroup Global Markets Inc., and J.P. Morgan Securities LLC, as joint lead arrangers and co-book managers (incorporated by reference to Exhibit 10.1 to Honeywell’s Form 8-K filed July 10, 2015)
10.46	Amendment No. 1, dated as of September 30, 2015, to the $4.0 billion Amended and Restated Five Year Credit Agreement dated as of July 10, 2015 among Honeywell International Inc., the banks, financial institutions and other institutional lenders parties thereto, Citibank, N.A., as administrative agent, Citibank International Limited, as swing line agent, JPMorgan Chase Bank, N.A., as syndication agent, Bank of America, N.A., Barclays Bank PLC, Deutsche Bank Securities Inc., Goldman Sachs Bank USA, Morgan Stanley MUFG Loan Partners, LLC and Wells Fargo Bank, National Association, as documentation agents, and Citigroup Global Markets Inc. and J.P. Morgan Securities LLC, as joint lead arrangers and co-book managers. (incorporated by reference to Exhibit 10.1 to Honeywell’s Form 8-K filed October 1, 2015)

90

Exhibit No.	Description
10.47	364-Day Credit Agreement, dated as of September 30, 2015, among Honeywell International Inc., the banks, financial institutions and other institutional lenders parties thereto, Citibank, N.A., as administrative agent and Bank of America, N.A., Barclays Bank PLC and Goldman Sachs Bank USA, as documentation agents and Citigroup Global Markets Inc., Merrill Lynch, Pierce, Fenner & Smith Incorporated, Barclays Bank PLC and Goldman Sachs Bank USA, as joint lead arrangers and co-book managers. (incorporated by reference to Exhibit 10.1 to Honeywell’s Form 8-K filed October 1, 2015)
12	Statement re: Computation of Ratio of Earnings to Fixed Charges (filed herewith)
21	Subsidiaries of the Registrant (filed herewith)
23.1	Consent of Deloitte & Touche LLP (filed herewith)
23.2	Consent of PricewaterhouseCoopers LLC (filed herewith)
24	Powers of Attorney (filed herewith)
31.1	Certification of Principal Executive Officer Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 (filed herewith)
31.2	Certification of Principal Financial Officer Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 (filed herewith)
32.1	Certification of Principal Executive Officer Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 (filed herewith)
32.2	Certification of Principal Financial Officer Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 (filed herewith)
101.INS	XBRL Instance Document (filed herewith)
101.SCH	XBRL Taxonomy Extension Schema (filed herewith)
101.CAL	XBRL Taxonomy Extension Calculation Linkbase (filed herewith)
101.DEF	XBRL Taxonomy Extension Definition Linkbase (filed herewith)
101.LAB	XBRL Taxonomy Extension Label Linkbase (filed herewith)
101.PRE	XBRL Taxonomy Extension Presentation Linkbase (filed herewith)

The Exhibits identified above with an asterisk (*) are management contracts or compensatory plans or arrangements.

91

EX-10.7

Exhibit 10.7

AMENDMENT

TO THE

HONEYWELL INTERNATIONAL INC.

SUPPLEMENTAL PENSION PLAN

The Honeywell International Inc. Supplemental Pension Plan shall be, and hereby is, amended by inserting the following new Section 4.01(i) immediately following Section 4.01(h):

“(i)   Notwithstanding any provision of this Plan to the contrary, the Supplemental Benefit for a Participant who is accruing a benefit as of December 31, 2015 under a Pension Plan formula that includes a traditional final average pay or career average benefit formula shall be calculated by taking into account the amendments that were made to the corresponding Pension Plan formula definitions of compensation, final average pay, and Social Security benefit, as applicable. For the avoidance of doubt, for traditional final average pay formulas, final average pay shall be frozen as of December 31, 2015 and no amounts earned or paid, or deemed earned or paid, after December 31, 2015 shall be included in compensation; provided, however, that amounts earned in 2015 and paid in March 2016 under the Honeywell Management Incentive Plan, the Honeywell International Inc. Incentive Compensation Plan for Executive Employees, or the Honeywell Capital Management Incentive Compensation Plan shall be included in 2015 compensation for purposes of the formulas that include such incentive compensation in the year earned. For career average formulas, earnings for a year beginning after December 31, 2015 shall be limited to the lesser of actual earnings for that year or 2015 earnings.”

EX-10.8

Exhibit 10.8

AMENDMENT

TO THE

HONEYWELL INTERNATIONAL INC.

RETIREMENT PLAN FOR EXECUTIVES IN CAREER BAND 6 AND ABOVE

The Honeywell International Inc. Retirement Plan for Executives in Career Band 6 and Above shall be, and hereby is, amended by inserting the following new paragraph at the end of Section 4.1:

“Notwithstanding any provision of this Plan to the contrary, the Supplemental Benefit for a Participant who is accruing a benefit in this Plan as of December 31, 2015 shall be calculated by taking into account the amendments that were made to the Retirement Program definitions of Compensation, Final Average Compensation, and Social Security Benefit (as defined in the Retirement Program). For the avoidance of doubt, Final Average Compensation shall be frozen as of December 31, 2015 and no amounts earned or paid, or deemed earned or paid, after December 31, 2015 shall be included in Compensation; provided, however, that amounts earned in 2015 and paid in March 2016 under the Honeywell Management Incentive Plan, the Honeywell International Inc. Incentive Compensation Plan for Executive Employees, or the Honeywell Capital Management Incentive Compensation Plan shall be included in 2015 Compensation.”

EX-10.9

Exhibit 10.9

AMENDMENT

TO THE

HONEYWELL SUPPLEMENTAL DEFINED BENEFIT RETIREMENT PLAN

The Honeywell Supplemental Defined Benefit Retirement Plan shall be, and hereby is, amended by inserting the following new Section 3.1.4 immediately following Section 3.1.3:

“Participants as of December 31, 2015. Notwithstanding any provision of this Plan to the contrary, the benefits for a Participant who is accruing a benefit in this Plan as of December 31, 2015 shall be calculated by taking into account the amendments that were made to the Base Plan definitions of Covered Earnings Base, Earnings, and Final Average Earnings (as defined in the Base Plan). For the avoidance of doubt, Final Average Earnings shall be frozen as of December 31, 2015 and no amounts earned or paid, or deemed earned or paid, after December 31, 2015 shall be included in Earnings.”

EX-10.16

Exhibit 10.16

AMENDMENT

TO THE

PITTWAY CORPORATION

SUPPLEMENTAL EXECUTIVE RETIREMENT PLAN

The Pittway Corporation Supplemental Executive Retirement Plan shall be, and hereby is, amended by inserting the following new paragraph at the end of Section 2.3:

“Notwithstanding any provision of this plan to the contrary, the benefit for a participant who is accruing a benefit in this plan as of December 31, 2015 shall be calculated by taking into account the amendments that were made to the definition of Earnings in Supplement DD of the Honeywell Retirement Earnings Plan. For the avoidance of doubt, earnings for any year beginning after December 31, 2015 shall equal the lesser of the participant’s earnings for that year or the participant’s earnings for the 2015 year.”

EX-12

EXHIBIT 12

HONEYWELL INTERNATIONAL INC.
STATEMENT RE: COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
(Dollars in millions)

	2015				2014				2013				2012				2011
Determination of Earnings:
Income before taxes		$	6,586			$	5,818			$	5,412			$	3,875			$	2,282
Add (Deduct):
Amortization of capitalized interest			19				19				20				20				20
Fixed charges			356				364				371				404				432
Equity income, net of distributions			(30	)			(36	)			(36	)			(45	)			(51	)
Total earnings, as defined		$	6,931			$	6,165			$	5,767			$	4,254			$	2,683
Fixed Charges:
Rents(1)		$	46			$	46			$	44			$	53			$	56
Interest and other financial charges			310				318				327				351				376
			356				364				371				404				432
Capitalized interest			20				21				19				18				13
Total fixed charges		$	376			$	385			$	390			$	422			$	445
Ratio of Earnings to Fixed Charges			18.43				16.01				14.79				10.08				6.03

(1) Denotes the equivalent of an appropriate portion of rentals representative of the interest factor on all rentals other than for capitalized leases.

EX-21

EXHIBIT 21

HONEYWELL INTERNATIONAL INC.
SUBSIDIARIES OF THE REGISTRANT

Name	Country or State of Incorporation	Percent Ownership
ADI-Gardiner Limited	United Kingdom	100%
AlliedSignal Aerospace Service Corporation	Delaware	100%
Elster GmbH	Germany	100%
Elster s.r.o.	Slovakia	100%
Grimes Aerospace Company	Delaware	100%
Hand Held Products, Inc	Delaware	100%
Honeywell Aerospace de México, S. de R.L. de C.V.	Mexico	100%
Honeywell Automation India Limited	India	75%
Honeywell Automotive Parts Services (Shanghai) Co., Ltd.	China	100%
Honeywell Aerospace Avionics Malaysia Sdn Bhd.	Malaysia	100%
Honeywell Aerospace UK	United Kingdom	100%
Honeywell Co., Ltd.	Korea	100%
Honeywell Control Systems Limited	United Kingdom	100%
Honeywell Deutschland GmbH	Germany	100%
Honeywell Electronic Materials, Inc.	Washington	100%
Honeywell Europe NV	Belgium	100%
Honeywell Finance LP	Delaware	100%
Honeywell Holdings Pty. Ltd.	Australia	100%
Honeywell International Sàrl	Switzerland	100%
Honeywell International Services SRL	Romania	100%
Honeywell Japan Inc.	Japan	100%
Honeywell Korea Ltd.	Korea	100%
Honeywell Limited	Australia	100%
HONEYWELL LIMITED / HONEYWELL LIMITÉE	Canada	100%
Honeywell Luxembourg Holding S.a.r.l.	Luxembourg	100%
Honeywell Resins & Chemicals LLC	Delaware	100%
Honeywell Safety Products Europe SAS	France	100%
Honeywell Safety Products USA, Inc.	Delaware	100%
Honeywell Specialty Chemicals Seelze GmbH	Germany	100%
Honeywell, spol. s r.o.	Czech Republic	100%
HONEYWELL TECHNOLOGIES Sàrl	Switzerland	100%
Honeywell Technology Solutions Inc.	Delaware	100%
Honeywell Technology Solutions Lab Pvt. Ltd.	India	100%
Honeywell UK Limited	United Kingdom	100%
Intermec Technologies Corporation	Washington	100%
Life Safety Distribution AG	Switzerland	100%
Metrologic Instruments, Inc.	New Jersey	100%
Novar ED&S Limited	United Kingdom	100%
Sigma-Aldrich Laborchemikalien GmbH	Germany	100%
UOP LLC	Delaware	100%
UOP Russell LLC	Delaware	70%

EX-23.1

EXHIBIT 23.1

CONSENT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

We consent to the incorporation by reference in the Registration Statement on Form S-3 (No.033-55425, 333-22355, 333-101455 and 333-208501), Form S-8 (No. 033-58347, 333-49280, 333-136083, 333-136086, 333-146932, 333-148995, 333-175260 and 333-195331) and Form S-4 (No. 333-82049) of our report dated February 12, 2016, relating to the consolidated financial statements of Honeywell International Inc. and subsidiaries (the “Company”) and the effectiveness of the Company’s internal control over financial reporting, appearing in this Annual Report on Form 10-K of the Company for the year ended December 31, 2015.

/s/ Deloitte & Touche LLP

Parsippany, New Jersey
February 12, 2016

EX-23.2

EXHIBIT 23.2

CONSENT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

We hereby consent to the incorporation by reference in the Registration Statement on Form S-3 (No.033-55425, 333-22355, 333-101455 and 333-208501), Form S-8 (No. 033-58347, 333-49280, 333-136083, 333-136086, 333-146932, 333-148995, 333-175260 and 333-195331) and Form S-4 (No. 333-82049) of Honeywell International Inc. of our report dated February 13, 2015 relating to the financial statements which appears in this Form 10-K.

/s/ PricewaterhouseCoopers LLP

Florham Park, New Jersey
February 12, 2016

EX-24

Exhibit 24

POWER OF ATTORNEY

Each of the undersigned, as a director of Honeywell International Inc. (the “Company”), a Delaware corporation, hereby appoints David M. Cote, Katherine L. Adams, Adam M. Matteo, Jeffrey N. Neuman, Thomas A. Szlosek and John J. Tus, each with power to act without the other and with power of substitution and resubstitution, as my attorney-in-fact and agent for me and in my name, place and stead in any and all capacities,

(i) to sign the Company’s Annual Report on Form 10-K under the Securities Exchange Act of 1934 for the year ended December 31, 2015,

(ii) to sign any amendment to the Annual Report referred to in (i) above, and

(iii) to file the documents described in (i) and (ii) above and all exhibits thereto and any and all other documents in connection therewith,

granting unto each said attorney-in-fact and agent full power and authority to do and perform every act and thing requisite, necessary or desirable to be done in connection therewith, as fully to all intents and purposes as I might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his or her substitutes or substitute, may lawfully do or cause to be done by virtue hereof.

This Power of Attorney may be signed in any number of counterparts, each of which shall be an original, with the same effect as if the signatures thereto and hereto were upon the same instrument.

/s/ William S. Ayer	/s/ Judd Gregg
William S. Ayer, Director	Judd Gregg, Director
/s/ Gordon M. Bethune	/s/ Clive R. Hollick
Gordon M. Bethune, Director	Clive R. Hollick, Director
/s/ Kevin Burke	/s/ Grace Lieblein
Kevin Burke, Director	Grace Lieblein, Director
/s/ Jaime Chico Pardo	/s/ George Paz
Jaime Chico Pardo, Director	George Paz, Director
/s/ D. Scott Davis	/s/ Bradley T. Sheares
D. Scott Davis, Director	Bradley T. Sheares, Director
/s/ Linnet F. Deily	/s/ Robin Washington
Linnet F. Deily, Director	Robin Washington, Director
Dated: December 11, 2015

POWER OF ATTORNEY

Each of the undersigned, as a director of Honeywell International Inc. (the “Company”), a Delaware corporation, hereby appoints David M. Cote, Katherine L. Adams, Adam M. Matteo, Jeffrey N. Neuman, Thomas A. Szlosek and John J. Tus, each with power to act without the other and with power of substitution and resubstitution, as my attorney-in-fact to sign on my behalf in my capacity as a director of the Company one or more registration statements on Form S-8 or any other appropriate form during fiscal year 2016 and to file the same together with all exhibits thereto, under the Securities Act of 1933, including any amendment or supplement thereto or to any registration statement heretofore filed by the Company on Form S-8 or any other appropriate form for the registration of shares of the Company’s Common Stock (or participations where appropriate) to be offered pursuant to the Honeywell Savings and Ownership Plan, the Honeywell Puerto Rico Savings and Ownership Plan, the Honeywell Supplemental Savings Plan, the 2006 Stock Plan for Non-Employee Directors of Honeywell International Inc., the 2007 Honeywell Global Employee Stock Plan (including any and all sub-plans), or the 2011 Stock Incentive Plan of Honeywell International Inc. and its Affiliates, and any plan which is a successor to such plans or is a validly authorized new plan pursuant to which securities of the Company are issued to employees or non-employee directors.

I hereby grant to each such attorney-in-fact full power and authority to perform every act necessary to be done in connection with the foregoing as fully as I might do in person, hereby ratifying and confirming all that said attorneys-in-fact, or any of them or their substitutes, may lawfully do or cause to be done.

I hereby revoke any or all prior appointments of attorneys-in-fact to sign the above-described documents.

This Power of Attorney may be signed in any number of counterparts, each of which shall be an original, with the same effect as if the signatures thereto and hereto were upon the same instrument.

/s/ William S. Ayer	/s/ Judd Gregg
William S. Ayer, Director	Judd Gregg, Director
/s/ Gordon M. Bethune	/s/ Clive R. Hollick
Gordon M. Bethune, Director	Clive R. Hollick, Director
/s/ Kevin Burke	/s/ Grace Lieblein
Kevin Burke, Director	Grace Lieblein, Director
/s/ Jaime Chico Pardo	/s/ George Paz
Jaime Chico Pardo, Director	George Paz, Director
/s/ D. Scott Davis	/s/ Bradley T. Sheares
D. Scott Davis, Director	Bradley T. Sheares, Director
/s/ Linnet F. Deily	/s/ Robin Washington
Linnet F. Deily, Director	Robin Washington, Director
Dated: December 11, 2015

POWER OF ATTORNEY

Each of the undersigned, as a director of Honeywell International Inc. (the “Company”), a Delaware corporation, hereby appoints David M. Cote, Katherine L. Adams, Adam M. Matteo, Jeffrey N. Neuman, Thomas A. Szlosek and John J. Tus, each with power to act without the other and with power of substitution and resubstitution, as my attorney-in-fact to sign on my behalf in my capacity as a director of the Company one or more registration statements on Form S-3 or S-4 or any other appropriate form during fiscal year 2016, and to file the same together with all exhibits thereto, under the Securities Act of 1933, including any amendment or supplement thereto or to any registration statement heretofore filed by the Company for the registration of sales or resales of:

(i) shares of the Company’s common stock, par value, $1.00 per share, including shares of common stock to be offered under the Dividend Reinvestment and Share Purchase Plan of the Company and any successor or new plan for such purposes;

(ii) shares of the Company’s preferred stock, without par value;

(iii) debt securities of the Company, with such terms as may be from time to time specified in such registration statement or any amendment, post-effective amendment or supplement thereto; and

(iv) such other securities of the Company, its subsidiaries, joint ventures or affiliates or any other person or entity, as may be specified in any such registration statement, amendment or supplement thereto, all in accordance with the Securities Act of 1933 and the rules and regulations thereunder.

I hereby grant to each such attorney-in-fact full power and authority to perform every act necessary to be done in connection with the foregoing as fully as I might do in person, hereby ratifying and confirming all that said attorneys-in-fact, or any of them or their substitutes, may lawfully do or cause to be done.

I hereby revoke any or all prior appointments of attorneys-in-fact to the extent that they confer authority to sign the above-described documents.

This Power of Attorney may be signed in any number of counterparts, each of which shall be an original, with the same effect as if the signatures thereto and hereto were upon the same instrument.

/s/ William S. Ayer	/s/ Judd Gregg
William S. Ayer, Director	Judd Gregg, Director
/s/ Gordon M. Bethune	/s/ Clive R. Hollick
Gordon M. Bethune, Director	Clive R. Hollick, Director
/s/ Kevin Burke	/s/ Grace Lieblein
Kevin Burke, Director	Grace Lieblein, Director
/s/ Jaime Chico Pardo	/s/ George Paz
Jaime Chico Pardo, Director	George Paz, Director
/s/ D. Scott Davis	/s/ Bradley T. Sheares
D. Scott Davis, Director	Bradley T. Sheares, Director
/s/ Linnet F. Deily	/s/ Robin Washington
Linnet F. Deily, Director	Robin Washington, Director
Dated: December 11, 2015

POWER OF ATTORNEY

I, David M. Cote, a director of Honeywell International Inc. (the “Company”), a Delaware corporation, hereby appoint Katherine L. Adams, Adam M. Matteo, Jeffrey N. Neuman, Thomas A. Szlosek and John J. Tus, each with power to act without the other and with power of substitution and resubstitution, as my attorney-in-fact and agent for me and in my name, place and stead in any and all capacities,

(i)to sign the Company’s Annual Report on Form 10-K under the Securities Exchange Act of 1934 for the year ended December 31, 2015,

(ii)to sign any amendment to the Annual Report referred to in (i) above, and

(iii)to file the documents described in (i) and (ii) above and all exhibits thereto and any and all other documents in connection therewith,

granting unto each said attorney-in-fact and agent full power and authority to do and perform every act and thing requisite, necessary or desirable to be done in connection therewith, as fully to all intents and purposes as I might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his or her substitutes or substitute, may lawfully do or cause to be done by virtue hereof.

	/s/ David M. Cote
	David M. Cote
Dated: December 11, 2015

POWER OF ATTORNEY

I, David M. Cote, a director of Honeywell International Inc. (the “Company”), a Delaware corporation, hereby appoint Katherine L. Adams, Adam M. Matteo, Jeffrey N. Neuman, Thomas A. Szlosek and John J. Tus, each with power to act without the other and with power of substitution and resubstitution, as my attorney-in-fact to sign on my behalf in my capacity as a director of the Company one or more registration statements on Form S-8 or any other appropriate form during fiscal year 2016, and to file the same together with all exhibits thereto, under the Securities Act of 1933, including any amendment or supplement thereto or to any registration statement heretofore filed by the Company on Form S-8 or any other appropriate form for the registration of shares of the Company’s Common Stock (or participations where appropriate) to be offered pursuant to the Honeywell Savings and Ownership Plan, the Honeywell Puerto Rico Savings and Ownership Plan, the Honeywell Supplemental Savings Plan, the 2006 Stock Plan for Non-Employee Directors of Honeywell International Inc., the 2007 Honeywell Global Employee Stock Plan (including any and all sub-plans), or the 2011 Stock Incentive Plan of Honeywell International Inc. and its Affiliates, and any plan which is a successor to such plans or is a validly authorized new plan pursuant to which securities of the Company are issued to employees or non-employee directors.

I hereby grant to each such attorney-in-fact full power and authority to perform every act necessary to be done in connection with the foregoing as fully as I might do in person, hereby ratifying and confirming all that said attorneys-in-fact, or any of them or their substitutes, may lawfully do or cause to be done.

I hereby revoke any or all prior appointments of attorneys-in-fact to sign the above-described documents.

	/s/ David M. Cote
	David M. Cote
Dated: December 11, 2015

POWER OF ATTORNEY

I, David M. Cote, a director of Honeywell International Inc. (the “Company”), a Delaware corporation, hereby appoint Katherine L. Adams, Adam M. Matteo, Jeffrey N. Neuman, Thomas A. Szlosek and John J. Tus, each with power to act without the other and with power of substitution and resubstitution, as my attorney-in-fact to sign on my behalf in my capacity as a director of the Company one or more registration statements on Form S-3 or S-4 or any other appropriate form during fiscal year 2016, and to file the same together with all exhibits thereto, under the Securities Act of 1933, including any amendment or supplement thereto or to any registration statement heretofore filed by the Company for the registration of sales or resales of:

(i) shares of the Company’s common stock, par value, $1.00 per share, including shares of common stock to be offered under the Dividend Reinvestment and Share Purchase Plan of the Company and any successor or new plan for such purposes;

(ii) shares of the Company’s preferred stock, without par value;

(iii) debt securities of the Company, with such terms as may be from time to time specified in such registration statement or any amendment, post-effective amendment or supplement thereto; and

(iv) such other securities of the Company, its subsidiaries, joint ventures or affiliates or any other person or entity, as may be specified in any such registration statement, amendment or supplement thereto, all in accordance with the Securities Act of 1933 and the rules and regulations thereunder.

I hereby grant to each such attorney-in-fact full power and authority to perform every act necessary to be done in connection with the foregoing as fully as I might do in person, hereby ratifying and confirming all that said attorneys-in-fact, or any of them or their substitutes, may lawfully do or cause to be done.

I hereby revoke any or all prior appointments of attorneys-in-fact to the extent that they confer authority to sign the above-described documents.

	/s/ David M. Cote
	David M. Cote
Dated: December 11, 2015

EX-31.1

EXHIBIT 31.1

CERTIFICATION PURSUANT TO
SECTION 302
OF THE SARBANES-OXLEY ACT OF 2002

I, David M. Cote, Chief Executive Officer, certify that:

1.	I have reviewed this Annual Report on Form 10-K of Honeywell International Inc.;
2.	Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
3.	Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
4.	The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

a)	designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
b)	designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, 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;
c)	evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
d)	disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

a)	all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and
b)	any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: February 12, 2016	By:	/s/ David M. Cote
		David M. Cote Chief Executive Officer

EX-31.2

EXHIBIT 31.2

CERTIFICATION PURSUANT TO
SECTION 302
OF THE SARBANES-OXLEY ACT OF 2002

I, Thomas A. Szlosek, Chief Financial Officer, certify that:

1.	I have reviewed this Annual Report on Form 10-K of Honeywell International Inc.;
2.	Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
3.	Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
4.	The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

a)	designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
b)	designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, 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;
c)	evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
d)	disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

a)	all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and
b)	any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: February 12, 2016	By:	/s/ Thomas A. Szlosek
		Thomas A. Szlosek Chief Financial Officer

EX-32.1

EXHIBIT 32.1

CERTIFICATION PURSUANT TO
18 U.S.C. SECTION 1350,
AS ADOPTED PURSUANT TO
SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with the Annual Report of Honeywell International Inc. (the Company) on Form 10-K for the period ending December 31, 2015 as filed with the Securities and Exchange Commission on the date hereof (the Report), I, David M. Cote, Chief Executive Officer of the Company, certify, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that:

(1)	The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and
(2)	The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

Date: February 12, 2016	By:	/s/ David M. Cote
		David M. Cote Chief Executive Officer

EX-32.2

EXHIBIT 32.2

CERTIFICATION PURSUANT TO
18 U.S.C. SECTION 1350,
AS ADOPTED PURSUANT TO
SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with the Annual Report of Honeywell International Inc. (the Company) on Form 10-K for the period ending December 31, 2015 as filed with the Securities and Exchange Commission on the date hereof (the Report), I, Thomas A. Szlosek, Chief Financial Officer of the Company, certify, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that:

(1)	The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and
(2)	The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

Date: February 12, 2016	By:	/s/ Thomas A. Szlosek
		Thomas A. Szlosek Chief Financial Officer

XML

Document and Entity Information - USD ($)	12 Months Ended
	Dec. 31, 2015	Jan. 29, 2016	Jun. 30, 2015
Document And Entity Information [Abstract]
Document type	10-K
Document period end date	Dec. 31, 2015
Document Fiscal Year Focus	2015
Document Fiscal Period Focus	FY
Amendment flag	false
Entity registrant name	Honeywell International Inc
Entity central index key	0000773840
Entity current reporting status	Yes
Entity voluntary filers	No
Current fiscal year end date	--12-31
Entity filer category	Large Accelerated Filer
Entity well known seasoned issuer	Yes
Entity common stock shares outstanding		769,322,910
Entity public float			$ 80,900,000,000

XML

CONSOLIDATED STATEMENT OF OPERATIONS - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Consolidated Statement of Operations
Product sales	$ 30,695	$ 32,398	$ 31,214
Service sales	7,886	7,908	7,841
Net Sales	38,581	40,306	39,055
Costs, expenses and other
Cost of products sold	21,775	23,889	23,317
Cost of services sold	4,972	5,068	5,047
Cost of products and services sold	26,747	28,957	28,364
Selling, general and administrative expenses	5,006	5,518	5,190
Other (income) expense	(68)	(305)	(238)
Interest and other financial charges	310	318	327
Cost, operating and non-operating expenses	31,995	34,488	33,643
Income from continuing operations before taxes	6,586	5,818	5,412
Tax expense	1,739	1,489	1,450
Net income	4,847	4,329	3,962
Less: Net income attributable to the noncontrolling interest	79	90	38
Net income attributable to Honeywell	$ 4,768	$ 4,239	$ 3,924
Earnings per share of common stock - basic	$ 6.11	$ 5.4	$ 4.99
Earnings per share of common stock - assuming dilution	6.04	5.33	4.92
Cash dividends per share of common stock	$ 2.15	$ 1.87	$ 1.68

XML

CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME - USD ($)	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Statement Of Income And Comprehensive Income [Abstract]
Net income	$ 4,847,000,000	$ 4,329,000,000	$ 3,962,000,000
Other Comprehensive Income (Loss), Net Of Tax [Abstract]
Foreign exchange translation adjustment	(1,152,000,000)	(1,044,000,000)	(52,000,000)
Actuarial gains (losses)	(464,000,000)	(1,411,000,000)	2,064,000,000
Prior service credit	446,000,000	73,000,000	99,000,000
Prior service cost (credit) recognized during year	(13,000,000)	(2,000,000)	5,000,000
Actuarial losses recognized during year	72,000,000	202,000,000	61,000,000
Transition obligation recognized during year	0	1,000,000	2,000,000
Settlements and curtailments	2,000,000	0	(26,000,000)
Foreign exchange translation and other	41,000,000	54,000,000	(2,000,000)
Pensions and other postretirement benefit adjustments	84,000,000	(1,083,000,000)	2,203,000,000
Unrealized gains for the period	0	15,000,000	140,000,000
Less: reclassification adjustment for gains included in net income	0	185,000,000	127,000,000
Changes in fair value of available for sale investments	0	(170,000,000)	13,000,000
Effective portion of cash flow hedges recognized in other comprehensive income	91,000,000	20,000,000	(30,000,000)
Less: Reclassification adjustment for gains (losses) included in net income	99,000,000	0	(23,000,000)
Changes in fair value of effective cash flow hedges	(8,000,000)	20,000,000	(7,000,000)
Other comprehensive income (loss), net of tax	(1,076,000,000)	(2,277,000,000)	2,157,000,000
Comprehensive income	3,771,000,000	2,052,000,000	6,119,000,000
Less: Comprehensive income attributable to the noncontrolling interest	73,000,000	87,000,000	36,000,000
Comprehensive income attributable to Honeywell	$ 3,698,000,000	$ 1,965,000,000	$ 6,083,000,000

XML

CONSOLIDATED BALANCE SHEET - USD ($)	Dec. 31, 2015	Dec. 31, 2014
Current assets:
Cash and cash equivalents	$ 5,455,000,000	$ 6,959,000,000
Accounts, notes and other receivables	8,075,000,000	7,960,000,000
Inventories	4,420,000,000	4,405,000,000
Deferred income taxes	0	722,000,000
Investments and other current assets	2,103,000,000	2,145,000,000
Total current assets	20,053,000,000	22,191,000,000
Investments and long-term receivables	517,000,000	465,000,000
Property, plant and equipment - net	5,789,000,000	5,383,000,000
Goodwill	15,895,000,000	12,788,000,000
Other intangible assets - net	4,577,000,000	2,208,000,000
Insurance recoveries for asbestos related liabilities	426,000,000	454,000,000
Deferred income taxes	283,000,000	404,000,000
Other assets	1,776,000,000	1,558,000,000
Total assets	49,316,000,000	45,451,000,000
Current liabilities:
Accounts payable	5,580,000,000	5,365,000,000
Commercial paper and other short-term borrowings	5,937,000,000	1,698,000,000
Current maturities of long-term debt	577,000,000	939,000,000
Accrued liabilities	6,277,000,000	6,771,000,000
Total current liabilities	18,371,000,000	14,773,000,000
Long-term debt	5,554,000,000	6,046,000,000
Deferred income taxes	558,000,000	236,000,000
Postretirement benefit obligations other than pensions	526,000,000	911,000,000
Asbestos related liabilities	1,251,000,000	1,200,000,000
Other liabilities	4,348,000,000	4,282,000,000
Redeemable noncontrolling interest	290,000,000	219,000,000
SHAREOWNERS' EQUITY
Capital - common stock issued	958,000,000	958,000,000
Capital - additional paid in capital	5,377,000,000	5,038,000,000
Common stock held in treasury, at cost	(11,664,000,000)	(9,995,000,000)
Accumulated other comprehensive income (loss)	(2,535,000,000)	(1,459,000,000)
Retained earnings	26,147,000,000	23,115,000,000
Total Honeywell shareowners' equity	18,283,000,000	17,657,000,000
Noncontrolling interest	135,000,000	127,000,000
Total shareowners' equity	18,418,000,000	17,784,000,000
Total liabilities, redeemable noncontrolling interest, and shareowners' equity	$ 49,316,000,000	$ 45,451,000,000

XML

CONSOLIDATED STATEMENT OF CASH FLOWS - USD ($)	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Cash flows from operating activities:
Net income	$ 4,847,000,000	$ 4,329,000,000	$ 3,962,000,000
Less: Net income attributable to the noncontrolling interest	79,000,000	90,000,000	38,000,000
Net income attributable to Honeywell	4,768,000,000	4,239,000,000	3,924,000,000
Adjustments to reconcile net income attributable to Honeywell to net cash provided by operating activities:
Depreciation	672,000,000	667,000,000	670,000,000
Amortization	211,000,000	257,000,000	319,000,000
Loss on sale of non-strategic businesses and assets	1,000,000	11,000,000	20,000,000
Gain on sale of available for sale investments	0	(221,000,000)	(195,000,000)
Repositioning and other charges	546,000,000	598,000,000	663,000,000
Net payments for repositioning and other charges	(537,000,000)	(530,000,000)	(763,000,000)
Pension and other postretirement (income) expense	(323,000,000)	44,000,000	(19,000,000)
Pension and other postretirement benefit payments	(122,000,000)	(167,000,000)	(298,000,000)
Stock compensation expense	175,000,000	187,000,000	170,000,000
Deferred income taxes	315,000,000	132,000,000	262,000,000
Excess tax benefits from share based payment arrangements	(81,000,000)	(102,000,000)	(132,000,000)
Other	(8,000,000)	(327,000,000)	308,000,000
Changes in assets and liabilities, net of the effects of acquisitions and divestitures:
Accounts, notes and other receivables	211,000,000	(172,000,000)	(365,000,000)
Inventories	230,000,000	(200,000,000)	41,000,000
Other current assets	80,000,000	120,000,000	(421,000,000)
Accounts payable	(17,000,000)	307,000,000	352,000,000
Accrued liabilities	(667,000,000)	181,000,000	(201,000,000)
Net cash provided by operating activities	5,454,000,000	5,024,000,000	4,335,000,000
Cash flows from investing activities:
Expenditures for property, plant and equipment	(1,073,000,000)	(1,094,000,000)	(947,000,000)
Proceeds from disposals of property, plant and equipment	15,000,000	18,000,000	15,000,000
Increase in investments	(6,714,000,000)	(4,074,000,000)	(1,220,000,000)
Decrease in investments	6,587,000,000	3,288,000,000	1,122,000,000
Cash paid for acquisitions, net of cash acquired	(5,228,000,000)	(4,000,000)	(1,133,000,000)
Proceeds from sales of businesses, net of fees paid	1,000,000	160,000,000	3,000,000
Other	(102,000,000)	(170,000,000)	201,000,000
Net cash used for investing activities	(6,514,000,000)	(1,876,000,000)	(1,959,000,000)
Cash flows from financing activities:
Net increase in commercial paper and other short-term borrowings	4,265,000,000	309,000,000	930,000,000
Proceeds from issuance of common stock	186,000,000	265,000,000	447,000,000
Proceeds from issuance of long-term debt	60,000,000	97,000,000	1,063,000,000
Payments of long-term debt	(880,000,000)	(609,000,000)	(607,000,000)
Excess tax benefits from share based payment arrangements	81,000,000	102,000,000	132,000,000
Repurchases of common stock	(1,884,000,000)	(924,000,000)	(1,073,000,000)
Cash dividends paid	(1,726,000,000)	(1,510,000,000)	(1,353,000,000)
Other	0	(2,000,000)	28,000,000
Net cash provided by (used for) financing activities	102,000,000	(2,272,000,000)	(433,000,000)
Effect of foreign exchange rate changes on cash and cash equivalents	(546,000,000)	(339,000,000)	(155,000,000)
Net (decrease) increase in cash and cash equivalents	(1,504,000,000)	537,000,000	1,788,000,000
Cash and cash equivalents at beginning of period	6,959,000,000	6,422,000,000	4,634,000,000
Cash and cash equivalents at end of period	$ 5,455,000,000	$ 6,959,000,000	$ 6,422,000,000

XML

CONSOLIDATED STATEMENT OF SHAREOWNERS EQUITY - USD ($)	Total	Common Stock [Member]	Additional Paid-in Capital [Member]	Treasury Stock [Member]	Retained Earnings [Member]	Accumulated Other Comprehensive Income (Loss) [Member]	Noncontrolling Interest [Member]
Balance at, beginning of period at Dec. 31, 2012			$ 4,358,000,000	$ (8,801,000,000)	$ 17,799,000,000	$ (1,339,000,000)	$ 90,000,000
Treasury Stock, Shares, Beginning Balance at Dec. 31, 2012				(174,800,000)
Reacquired stock or repurchases of common stock				$ (1,073,000,000)
Reacquired stock or repurchases of common stock, shares				(13,500,000)
Issued for employee savings and option plans			155,000,000	$ 500,000,000
Issued for employee savings and option plans, shares				14,500,000
Stock-based compensation expense			170,000,000
Other owner changes			(1,000,000)	$ 0			3,000,000
Other owner changes, shares				0
Net income attributable to Honeywell	$ 3,924,000,000				3,924,000,000
Dividends on common stock					(1,329,000,000)
Redemption value adjustment					(11,000,000)
Foreign exchange translation adjustment	(52,000,000)					(52,000,000)	(2,000,000)
Dividends paid							(16,000,000)
Contributions from noncontrolling interest holders							28,000,000
Pensions and other postretirement benefit adjustments	2,203,000,000					2,203,000,000
Changes in fair value of available for sale investments	13,000,000					13,000,000
Changes in fair value of effective cash flow hedges	(7,000,000)					(7,000,000)
Acquisitions							0
Interest sold (bought)							0
Net income attributable to the noncontrolling interest	38,000,000						9,000,000
Balance at, end of period at Dec. 31, 2013	$ 17,579,000,000	$ 958,000,000	4,682,000,000	$ (9,374,000,000)	20,383,000,000	818,000,000	112,000,000
Treasury Stock, Shares, Ending Balance at Dec. 31, 2013				(173,800,000)
Common Stock Shares Issued		957,600,000
Common stock, shares	783,800,000
Reacquired stock or repurchases of common stock	$ (924,000,000)			$ (924,000,000)
Reacquired stock or repurchases of common stock, shares	(10,000,000)			(10,000,000)
Issued for employee savings and option plans			175,000,000	$ 303,000,000
Issued for employee savings and option plans, shares				8,400,000
Stock-based compensation expense			187,000,000
Other owner changes			(6,000,000)	$ 0			(3,000,000)
Other owner changes, shares				0
Net income attributable to Honeywell	$ 4,239,000,000				4,239,000,000
Dividends on common stock					(1,478,000,000)
Redemption value adjustment					(29,000,000)
Foreign exchange translation adjustment	(1,044,000,000)					(1,044,000,000)	(3,000,000)
Dividends paid							(17,000,000)
Contributions from noncontrolling interest holders							5,000,000
Pensions and other postretirement benefit adjustments	(1,083,000,000)					(1,083,000,000)
Changes in fair value of available for sale investments	(170,000,000)					(170,000,000)
Changes in fair value of effective cash flow hedges	20,000,000					20,000,000
Acquisitions							0
Interest sold (bought)							(7,000,000)
Net income attributable to the noncontrolling interest	90,000,000						40,000,000
Balance at, end of period at Dec. 31, 2014	$ 17,784,000,000	$ 958,000,000	5,038,000,000	$ (9,995,000,000)	23,115,000,000	(1,459,000,000)	127,000,000
Treasury Stock, Shares, Ending Balance at Dec. 31, 2014				(175,400,000)
Common Stock Shares Issued		957,600,000
Common stock, shares	782,200,000
Reacquired stock or repurchases of common stock	$ (1,884,000,000)			$ (1,884,000,000)
Reacquired stock or repurchases of common stock, shares	(18,800,000)			(18,800,000)
Issued for employee savings and option plans			164,000,000	$ 215,000,000
Issued for employee savings and option plans, shares				6,700,000
Stock-based compensation expense			175,000,000
Other owner changes			0	$ 0			2,000,000
Other owner changes, shares				300,000
Net income attributable to Honeywell	$ 4,768,000,000				4,768,000,000
Dividends on common stock					(1,686,000,000)
Redemption value adjustment					(50,000,000)
Foreign exchange translation adjustment	(1,152,000,000)					(1,152,000,000)	(6,000,000)
Dividends paid							(26,000,000)
Contributions from noncontrolling interest holders							0
Pensions and other postretirement benefit adjustments	84,000,000					84,000,000
Changes in fair value of available for sale investments	0					0
Changes in fair value of effective cash flow hedges	(8,000,000)					(8,000,000)
Acquisitions							3,000,000
Interest sold (bought)							0
Net income attributable to the noncontrolling interest	79,000,000						35,000,000
Balance at, end of period at Dec. 31, 2015	$ 18,418,000,000	$ 958,000,000	$ 5,377,000,000	$ (11,664,000,000)	$ 26,147,000,000	$ (2,535,000,000)	$ 135,000,000
Treasury Stock, Shares, Ending Balance at Dec. 31, 2015				(187,200,000)
Common Stock Shares Issued		957,600,000
Common stock, shares	770,400,000

XML

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

12 Months Ended

Dec. 31, 2015

Significant Accounting Policies [Abstract]

Summary of Significant Accounting Policies

Note1. Summary of Significant Accounting Policies

Accounting Principles—The financial statements and accompanying notes are prepared in accordance with accounting principles generally accepted in the United States of America. The following is a description of Honeywell’ssignificant accounting policies.

Principles of Consolidation—The consolidated financial statements include the accounts of Honeywell International Inc. and all of its subsidiaries and entities in which a controlling interest is maintained. Our consolidation policy requires equity investments that we exercise significant influence over but do not control the investee and are not the primary beneficiary of the investee’s activities to be accounted for using the equity method. Investments through which we are not able to exercise significant influence over the investee and which we do not have readily determinable fair values are accounted for under the cost method. All intercompany transactions and balances are eliminated in consolidation.

Redeemable noncontrolling interest is considered to be temporary equity and is therefore reported outside of permanent equity on the Consolidated Balance Sheet at the greater of the initial carrying amount adjusted for the noncontrolling interest's share of net income (loss) or its redemption value.

Property, Plant and Equipment—Property, plant and equipment are recorded at cost, including any asset retirement obligations, less accumulated depreciation. For financial reporting, the straight-line method of depreciation is used over the estimated useful lives of 10 to 50 years for buildings and improvements and 2 to 16 years for machinery and equipment. Recognition of the fair value of obligations associated with the retirement of tangible long-lived assets is required when there is a legal obligation to incur such costs. Upon initial recognition of a liability, the cost is capitalized as part of the related long-lived asset and depreciated over the corresponding asset’s useful life.

Goodwill and Indefinite-Lived Intangible Assets—Goodwill and indefinite-lived intangible assets are subject to impairment testing annually as of March 31, or whenever events or changes in circumstances indicate that the carrying amount may not be fully recoverable. This testing compares carrying values to fair values and, when appropriate, the carrying value of these assets is reduced to fair value. We completed our annual goodwill impairment test as of March 31, 2015 and determined that there was no impairment as of that date.

Other Intangible Assets with Determinable Lives—Other intangible assets with determinable lives consist of customer lists, technology, patents and trademarks and other intangibles and are amortized over their estimated useful lives, ranging from 2 to 24 years.

Sales Recognition—Product and service sales are recognized when persuasive evidence of an arrangement exists, product delivery has occurred or services have been rendered, pricing is fixed or determinable, and collection is reasonably assured. Service sales, principally representing repair, maintenance and engineering activities are recognized over the contractual period or as services are rendered. Sales under long-term contracts are recorded on a percentage-of-completion method measured on the cost-to-cost basis for engineering-type contracts and the units-of-delivery basis for production-type contracts. Provisions for anticipated losses on long-term contracts are recorded in full when such losses become evident. Revenues from contracts with multiple element arrangements are recognized as each element is earned based on the relative fair value of each element provided the delivered elements have value to customers on a standalone basis. Amounts allocated to each element are based on its objectively determined fair value, such as the sales price for the product or service when it is sold separately or competitor prices for similar products or services.

Environmental—We accrue costs related to environmental matters when it is probable that we have incurred a liability related to a contaminated site and the amount can be reasonably estimated. For additional information, see Note 19Commitments and Contingencies.

Asbestos Related Contingencies and Insurance Recoveries—We recognize a liability for any asbestos related contingency that is probable of occurrence and reasonably estimable. In connection with the recognition of liabilities for asbestos related matters, we record asbestos related insurance recoveries that are deemed probable. For additional information, see Note 19Commitments and Contingencies.

Aerospace Sales Incentives—We provide sales incentives to commercial aircraft manufacturers and airlines in connection with their selection of our aircraft equipment, predominately wheel and braking system hardware, avionics, and auxiliary power units, for installation on commercial aircraft. These incentives consist of free or deeply discounted products, credits for future purchases of product and upfront cash payments. These costs are recognized in the period incurred as cost of products sold or as a reduction to sales, as appropriate.

Research and Development—Research and development costs for company-sponsored research and development projects are expensed as incurred. Such costs are principally included in cost of products sold and were $1,856 million, $1,892 million and $1,804 million in 2015, 2014 and 2013.

Stock-Based Compensation Plans—The principal awards issued under our stock-based compensation plans, which are described in Note 18 Stock-Based Compensation Plans,are non-qualified stock options and restricted stock units. The cost for such awards is measured at the grant date based on the fair value of the award. The value of the portion of the award that is ultimately expected to vest is recognized as expense over the requisite service periods (generally the vesting period of the equity award) and is included in selling, general and administrative expenses. Forfeitures are estimated at the time of grant to recognize expense for those awards that are expected to vest and are based on our historical forfeiture rates.

Pension Benefits—We recognize net actuarial gains or losses in excess of10% of the greater of the fair value of plan assets or the plans’ projected benefit obligation (the corridor) annually in the fourth quarter each year (MTM Adjustment), and, if applicable, in any quarter in which an interim remeasurement is triggered. The remaining components of pension (income) expense, primarily service and interest costs and assumed return on plan assets, are recognized on a quarterly basis (Pension ongoing (income) expense).

Foreign Currency Translation—Assets and liabilities of subsidiaries operating outside the United States with a functional currency other than U.S. Dollars are translated into U.S. Dollars using year-end exchange rates. Sales, costs and expenses are translated at the average exchange rates in effect during the year. Foreign currency translation gains and losses are included as a component of accumulated other comprehensive income (loss). For subsidiaries operating in highly inflationary environments, inventories and property, plant and equipment, including related expenses, are remeasured at the exchange rate in effect on the date the assets were acquired, while monetary assets and liabilities are remeasured at year-end exchange rates. Remeasurement adjustments for these subsidiaries are included in earnings.

Derivative Financial Instruments—We minimize our risks from interest and foreign currency exchange rate fluctuations through our normal operating and financing activities and, when deemed appropriate through the use of derivative financial instruments. Derivative financial instruments are used to manage risk and are not used for trading or other speculative purposes and we do not use leveraged derivative financial instruments. Derivative financial instruments that qualify for hedge accounting must be designated and effective as a hedge of the identified risk exposure at the inception of the contract. Accordingly, changes in fair value of the derivative contract must be highly correlated with changes in fair value of the underlying hedged item at inception of the hedge and over the life of the hedge contract.

All derivatives are recorded on the balance sheet as assets or liabilities and measured at fair value. For derivatives designated as hedges of the fair value of assets or liabilities, the changes in fair values of both the derivatives and the hedged items are recorded in current earnings. For derivatives designated as cash flow hedges, the effective portion of the changes in fair value of the derivatives are recorded in accumulated other comprehensive income (loss) and subsequently recognized in earnings when the hedged items impact earnings. Cash flows of such derivative financial instruments are classified consistent with the underlying hedged item.

Income Taxes—Significant judgment is required in evaluating tax positions. We establish additional reserves for income taxes when, despite the belief that tax positions are fully supportable, there remain certain positions that do not meet the minimum recognition threshold. The approach for evaluating certain and uncertain tax positions is defined by the authoritative guidance which determines when a tax position is more likely than not to be sustained upon examination by the applicable taxing authority. In the normal course of business, the Company and its subsidiaries are examined by various federal, state and foreign tax authorities. We regularly assess the potential outcomes of these examinations and any future examinations for the current or prior years in determining the adequacy of our provision for income taxes. We continually assess the likelihood and amount of potential adjustments and adjust the income tax provision, the current tax liability and deferred taxes in the period in which the facts that give rise to a change in estimate become known.

Earnings Per Share—Basic earnings per share is based on the weighted average number of common shares outstanding. Diluted earnings per share is based on the weighted average number of common shares outstanding and all dilutive potential common shares outstanding.

Reclassifications—Certain prior year amounts have been reclassified to conform to the current year presentation.

Recent Accounting Pronouncements—We consider the applicability and impact of all Accounting Standards Updates (ASUs). ASUs not listed below were assessed and determined to be either not applicable or are expected to have minimal impact on our consolidated financial position or results of operations.

In November 2015, the Financial Accounting Standards Board (FASB) issued guidance to simplify the presentation of deferred income taxes by permitting classification of all deferred tax assets and liabilities as noncurrent on the consolidated balance sheet. The Company has elected to early adopt the guidance on a prospective basis effective with the consolidated balance sheet as of December 31, 2015. This is a change from the Company’s historical presentation whereby certain deferred tax assets and liabilities were classified as current and the remainder were classified as non-current. Adoption of the guidance resulted in a reclassification of $662 million fromcurrent assets and $32 millionfromcurrent liabilities within the consolidated balance sheet as of December 31, 2015.

In May 2014, the FASB issued guidance on revenue from contracts with customers that will supersede most current revenue recognition guidance, including industry-specific guidance. The underlying principle is that an entity will recognize revenue to depict the transfer of goods or services to customers at an amount that the entity expects to be entitled to in exchange for those goods or services. The guidance provides a five-step analysis of transactions to determine when and how revenue is recognized. Other major provisions include capitalization of certain contract costs, consideration of time value of money in the transaction price, and allowing estimates of variable consideration to be recognized before contingencies are resolved in certain circumstances. The guidance also requires enhanced disclosures regarding the nature, amount, timing and uncertainty of revenue and cash flows arising from an entity’s contracts with customers. The effective date was deferred for one year to the interim and annual periods beginning on or after December 15, 2017. Early adoption is permitted as of the original effective date – interim and annual periods beginning on or after December 15, 2016. The guidance permits the use of either a retrospective or cumulative effect transition method. We have not yet selected a transition method and are currently evaluating the impact of the amended guidance on our consolidated financial position, results of operations and related disclosures.

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ACQUISITIONS

12 Months Ended

Dec. 31, 2015

Acquisitions [Abstract]

Acquisitions

Note 2. Acquisitions

During 2015, we acquired businesses for an aggregate cost (net of cash acquired) of $5,244 million.

On December 29, 2015, the Company completed the acquisition of the Elster Division of Melrose Industries plc(Elster), a leading provider of thermal gas solutions for commercial, industrial, and residential heating systems and gas, water, and electricity meters, including smart meters and software and data analytics solutions, for an aggregate value, net of cash acquired, of approximately $4,899 million. Elster had 2015 revenues of approximately $1,670 million and will primarily be integrated into ACS. The following amounts represent the preliminary determination of the fair value of the identifiable assets acquired and liabilities assumed that are included in the Company’s consolidated balance sheet as of December 31, 2015.

Current assets	$532
Intangible assets	2,463
Other noncurrent assets	179
Current liabilities	(658)
Noncurrent liabilities	(836)
Net assets acquired	1,680
Noncontrolling interest	(3)
Goodwill	3,222
Purchase Price	$4,899

The identifiable intangible assets primarily include customer relationships, trade names and technology that are being amortized over their estimated lives ranging from 1 to 20 years using straight line and accelerated amortization methods. The goodwill is non-deductible for tax purposes. The results from the date of acquisition through December 31, 2015 were included principally in ACS and were not material to the consolidated results of operations.

As of December 31, 2015, the purchase accounting forElster is subject to final adjustment primarily for the valuation of useful lives of intangible assets, amounts allocated to intangible assets and goodwill, tax balances and for certain pre-acquisition contingencies.

In January 2016, the Company acquired the remaining 30 percent noncontrolling interest in UOP Russell LLC, which develops technology and manufactures modular equipment to process natural gas, for approximately $240 million.

In February 2016, the Company acquired 100 percent of the issued and outstanding shares of COM DEV International (COM DEV), a leading satellite and space components provider, for an aggregate purchase price of approximately $330 million. COM DEV, a public company in Canada, operates globally and had reported 2015 revenues of approximately $180 million. COM DEV will be integrated into Aerospace.

In February 2016, the Company entered into a definitive agreement to acquire Xtralis International Holdings Limited (Xtralis),a leading global provider of aspiration smoke detection and perimeter security technologies, for approximately $480 million. The transaction is expected to close in the second quarter of 2016, pending regulatory approvals. Xtralis will be integrated into ACS.

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REPOSITIONING AND OTHER CHARGES

12 Months Ended

Dec. 31, 2015

Repositioning And Other Charges [Abstract]

Repositioning and Other Charges

Note 3. Repositioning and Other Charges

	A summary of repositioning and other charges follows:
			Years Ended December 31,
			2015		2014		2013
Severance		$	197	$	156	$	186
Asset impairments			13		12		23
Exit costs			6		16		22
Reserve adjustments			(53)		(38)		(30)
	Total net repositioning charge		163		146		201
Asbestos related litigation charges, net of insurance			189		182		181
Probable and reasonably estimable environmental liabilities			194		268		272
Other			-		2		9
	Total net repositioning and other charges	$	546	$	598	$	663

The following table summarizes the pretax distribution of total net repositioning and other charges by income statement classification:
		Years Ended December 31,
		2015		2014		2013
Cost of products and services sold	$	483	$	525	$	566
Selling, general and administrative expenses		63		73		97
	$	546	$	598	$	663

The following table summarizes the pretax impact of total net repositioning and other charges by segment:
		Years Ended December 31,
		2015		2014		2013
Aerospace	$	211	$	193	$	235
Automation and Control Solutions		77		80		68
Performance Materials and Technologies		40		33		56
Corporate		218		292		304
	$	546	$	598	$	663

In 2015, we recognized repositioning charges totaling $216 million including severance costs of $197 million related to workforce reductions of 6,405 manufacturing and administrative positions across all of our segments. The workforce reductions were primarily related to cost savings actions taken in connection with our productivity and ongoing functional transformation initiatives. Also, $53 million of previously established accruals, primarily for severance, mainly in Aerospace and ACS, were returned to income in 2015 due principally to higher attrition than anticipated in prior severance programs resulting in lower required severance payments, and changes in scope of previously announced repositioning actions.

In 2014, we recognized repositioning charges totaling $184 million including severance costs of $156 million related to workforce reductions of 2,975 manufacturing and administrative positions across all of our segments. The workforce reductions were primarily related to cost savings actions taken in connection with our productivity and ongoing functional transformation initiatives, factory transitions in ACS and Aerospace to more cost-effective locations, and site consolidations and organizational realignments of businesses in ACS and PMT. Also, $38 million of previously established accruals, primarily for severance, mainly in Aerospace and ACS, were returned to income in 2014 due principally to the change in scope of a previously announced repositioning action and higher attrition than anticipated in prior severance programs resulting in lower required severance payments.

In 2013, we recognized repositioning charges totaling $231 million including severance costs of $186 million related to workforce reductions of 3,081 manufacturing and administrative positions across all of our segments. The workforce reductions were primarily related to cost savings actions taken in connection with our productivity and ongoing functional transformation initiatives, achieving acquisition-related synergies in ACS, outsourcing of non-core components in Aerospace, the shutdown of a manufacturing facility in PMT, and factory transitions in ACS to more cost-effective locations. Also, $30 million of previously established accruals, primarily for severance, in ACS and PMT, were returned to income in 2013 due to changes in the scope of previously announced repositioning actions, lower than expected costs in completing the exit of a product line and higher attrition than anticipated in prior severance programs resulting in lower required severance payments.

	The following table summarizes the status of our total repositioning reserves:
			Severance		Asset		Exit
			Costs		Impairments		Costs		Total
Balance at December 31, 2012		$	276	$	-	$	47	$	323
	2013 charges		186		23		22		231
	2013 usage - cash		(139)		-		(21)		(160)
	2013 usage - noncash		-		(23)		-		(23)
	Adjustments		(27)		-		(3)		(30)
	Foreign currency translation		6		-		-		6
Balance at December 31, 2013			302		-		45		347
	2014 charges		156		12		16		184
	2014 usage - cash		(135)		-		(26)		(161)
	2014 usage - noncash		-		(12)		-		(12)
	Adjustments		(33)		-		(5)		(38)
	Foreign currency translation		(5)		-		-		(5)
Balance at December 31, 2014			285		-		30		315
	2015 charges		197		13		6		216
	2015 usage - cash		(109)		-		(9)		(118)
	2015 usage - noncash		-		(13)		-		(13)
	Acquisitions		16		-		-		16
	Adjustments		(49)		-		(4)		(53)
	Foreign currency translation		(11)		-		(2)		(13)
Balance at December 31, 2015		$	329	$	-	$	21	$	350

Certain repositioning projects in Aerospace, ACS and PMT in 2015, 2014 and 2013 included exit or disposal activities, the costs related to which will be recognized in future periods when the actual liability is incurred. Such exit and disposal costs were not significant.

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OTHER (INCOME) EXPENSE

12 Months Ended

Dec. 31, 2015

Other Income Expense [Abstract]

Other (income) expense Text Block

Note 4. Other (income) expense

		Years Ended December 31,
		2015		2014		2013
Equity (income) loss of affiliated companies	$	(30)	$	(36)	$	(36)
Gain on sale of available for sale investments		-		(221)		(195)
Loss on sale of non-strategic businesses and assets		1		11		20
Interest income		(104)		(102)		(69)
Foreign exchange		43		34		34
Other, net		22		9		8
	$	(68)	$	(305)	$	(238)

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INCOME TAXES

12 Months Ended

Dec. 31, 2015

Income Taxes [Abstract]

Income Taxes

Note 5. Income Taxes

Income from continuing operations before taxes
			Years Ended December 31,
			2015		2014		2013
	U.S.	$	3,361	$	3,340	$	3,002
	Non-U.S.		3,225		2,478		2,410
		$	6,586	$	5,818	$	5,412

Tax expense (benefit)
			Years Ended December 31,
			2015		2014		2013
	Tax expense (benefit) consists of
	Current:
	U.S. Federal	$	786	$	746	$	663
	U.S. State		78		39		97
	Non-U.S.		560		572		428
		$	1,424	$	1,357	$	1,188
	Deferred:
	U.S. Federal	$	196	$	114	$	160
	U.S. State		49		63		72
	Non-U.S.		70		(45)		30
			315		132		262
		$	1,739	$	1,489	$	1,450

	Years Ended December 31,
	2015		2014		2013
The U.S. federal statutory income tax rate is reconciled to our effective income tax rate as follows:
U.S. federal statutory income tax rate	35.0	%	35.0	%	35.0	%
Taxes on non-U.S. earnings below U.S. tax rate(1)	(8.0)		(7.0)		(7.2)
U.S. state income taxes(1)	1.2		1.2		1.8
Manufacturing incentives	(1.5)		(1.0)		(0.9)
ESOP dividend tax benefit	(0.4)		(0.4)		(0.5)
Tax credits	(1.0)		(1.0)		(1.8)
Reserves for tax contingencies	0.7		(0.2)		0.6
All other items—net	0.4		(1.0)		(0.2)
	26.4	%	25.6	%	26.8	%
(1) Net of changes in valuation allowance

The effective tax rate increased by 0.8 percentage points in 2015 compared to 2014. The increase was primarily attributable to decreased tax benefits from the resolution of tax audits, partially offset by increased tax benefits from manufacturing incentives, the impact of more income in jurisdictions with lower tax rates and fewer reserves. The Company’s non-U.S. effective tax rate for 2015 was 19.5%, a decrease of approximately 1.8 percentage points compared to 2014. The year-over-year decrease in the non-U.S. effective tax rate was primarily attributable to higher earnings in lower tax rate jurisdictions coupled with lower expense related to reserves in various jurisdictions, partially offset by an increase from the tax impact of restructuring and dispositions. The effective tax rate was lower than the U.S. federal statutory rate of 35% primarily due to overall non-U.S. earnings taxed at lower rates.

The effective tax rate decreased by 1.2 percentage points in 2014 compared to 2013.The decrease was primarily attributable to lower tax expense from the resolution of audits, partially offset by the impact of more income in jurisdictions with higher tax rates and additional reserves. The Company’s non-U.S. effective tax rate for 2014 was 21.3%, an increase of approximately 2.3 percentage points compared to 2013. The increase in the non-U.S. effective tax rate was primarily attributable to additional reserves and the impact of more income in jurisdictions with higher tax rates, partially offset by the tax impact of dispositions. The effective tax rate was lower than the U.S. federal statutory rate of 35% primarily due to overall non-U.S. earnings taxed at lower rates.

Deferred tax assets (liabilities)

The tax effects of temporary differences and tax carryforwards which give rise to future income tax benefits and payables are as follows:

	December 31,
Deferred tax assets:	2015		2014
Pension	$	500	$	573
Postretirement benefits other than pensions		292		441
Asbestos and environmental		473		477
Employee compensation and benefits		387		387
Other accruals and reserves		626		672
Net operating and capital losses		620		639
Tax credit carryforwards		198		199
Gross deferred tax assets		3,096		3,388
Valuation allowance		(589)		(560)
Total deferred tax assets	$	2,507	$	2,828
Deferred tax liabilities:
Property, plant and equipment	$	(661)	$	(612)
Intangibles		(1,797)		(1,060)
Other asset basis differences		(293)		(286)
Other		(31)		(7)
Total deferred tax liabilities		(2,782)		(1,965)
Net deferred tax (liability) asset	$	(275)	$	863

As described in Note 1 Summary of Significant Accounting Policies, the Company has presented deferred income taxes as noncurrent as of December 31, 2015.

The change in deferred tax balance was primarily attributable to deferred tax liabilities for intangible assets that were recorded in connection with the acquisition of Elster. Our gross deferred tax asset includes $1,049 million related to non-U.S. operations comprised principally of deductible temporary differences and net operating loss, capital loss and tax credit carryforwards (mainly in Canada, France, Luxembourg and the United Kingdom). We maintain a valuation allowance of $587 million against a portion of the non-U.S. gross deferred tax assets. The change in the valuation allowance resulted in an increase of $114 million, decrease of $10 million and increase of $49 million to income tax expense in 2015, 2014 and 2013. In the event we determine that we will not be able to realize our net deferred tax assets in the future, we will reduce such amounts through an increase to income tax expense in the period such determination is made. Conversely, if we determine that we will be able to realize net deferred tax assets in excess of the carrying amounts, we will decrease the recorded valuation allowance through a reduction to income tax expense in the period that such determination is made.

As of December 31, 2015, our net operating loss, capital loss and tax credit carryforwards were as follows:

			Net Operating
	Expiration		and Capital Loss		Tax Credit
Jurisdiction	Period		Carryforwards		Carryforwards
U.S. Federal	2032	$	2	$	45
U.S. State	2034		1,315		25
Non-U.S.	2035		517		131
Non-U.S.	Indefinite		2,339		-
		$	4,173	$	201

Many jurisdictions impose limitations on the timing and utilization of net operating loss and tax credit carryforwards. In those instances whereby there is an expected permanent limitation on the utilization of the net operating loss or tax credit carryforward the deferred tax asset and amount of the carryforward have been reduced.

U.S. federal income taxes have not been provided on undistributed earnings of the vast majority of our international subsidiaries as it is our intention to reinvest these earnings into the respective subsidiaries. At December 31, 2015 Honeywell has not provided for U.S. federal income and non-U.S. withholding taxes on approximately $16.6 billion of such earnings of our non-U.S. operations. It is not practicable to estimate the amount of tax that might be payable if some or all of such earnings were to be repatriated, and the amount of foreign tax credits that would be available to reduce or eliminate the resulting U.S. income tax liability.

	2015		2014		2013
Change in unrecognized tax benefits:
Balance at beginning of year	$	659	$	729	$	722
Gross increases related to current period tax positions		56		65		41
Gross increases related to prior periods tax positions		175		204		118
Gross decreases related to prior periods tax positions		(72)		(277)		(21)
Decrease related to resolutions of audits with tax authorities		(11)		(32)		(92)
Expiration of the statute of limitations for the assessment of taxes		(13)		(10)		(30)
Foreign currency translation		(29)		(20)		(9)
Balance at end of year	$	765	$	659	$	729

As of December 31, 2015, 2014, and 2013 there were $765 million, $659 million and $729million of unrecognized tax benefits that if recognized would be recorded as a component of income tax expense.

Generally, our unrecognized tax benefits are related to tax years that remain subject to examination by the relevant tax authorities. The following table summarizes these open tax years by major jurisdiction as of December 31, 2015:

	Open Tax Years
	Based on Originally Filed Returns
Jurisdiction	Examination in	Examination not yet
	progress	initiated
U.S. Federal	2010 - 2012	2013 - 2015
U.S. State	2008 - 2014	2011 - 2015
United Kingdom	N/A	2013 - 2015
Canada(1)	2010 - 2013	2014 - 2015
Germany(1)	2008 - 2012	2013 - 2015
France	2012 - 2014	2005 - 2011, 2015
Netherlands	2009	2011 - 2015
Australia	N/A	2010 - 2015
China	2003 - 2014	2015
India	1999 - 2013	2014 - 2015
Italy	2008 - 2012	2014 - 2015
(1) Includes provincial or similar local jurisdictions, as applicable.

Based on the outcome of these examinations, or as a result of the expiration of statute of limitations for specific jurisdictions, it is reasonably possible that certain unrecognized tax benefits for tax positions taken on previously filed tax returns will materially change from those recorded as liabilities in our financial statements. In addition, the outcome of these examinations may impact the valuation of certain deferred tax assets (such as net operating losses) in future periods.

Unrecognized tax benefits for examinations in progress were $349 million, $403 million and $431 million, as of December 31, 2015, 2014, and 2013. Estimated interest and penalties related to the underpayment of income taxes are classified as a component of Tax Expense in the Consolidated Statement of Operations and totaled $11 million, $24 million and $17 million for the years ended December 31, 2015, 2014, and 2013. Accrued interest and penalties were $336 million, $325 million and $301 million, as of December 31, 2015, 2014, and 2013.

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EARNINGS PER SHARE

12 Months Ended

Dec. 31, 2015

Earnings Per Share [Abstract]

Earnings Per Share

Note6. Earnings Per Share

The details of the earnings per share calculations for the years endedDecember 31, 2015,2014and 2013are as follows:

		Years Ended December 31,
Basic		2015		2014		2013
Net income attributable to Honeywell	$	4,768	$	4,239	$	3,924
Weighted average shares outstanding		779.8		784.4		786.4
Earnings per share of common stock	$	6.11	$	5.40	$	4.99

		Years Ended December 31,
Assuming Dilution		2015		2014		2013
Net income attributable to Honeywell	$	4,768	$	4,239	$	3,924
Average Shares
Weighted average shares outstanding		779.8		784.4		786.4
Dilutive securities issuable - stock plans		9.5		10.8		10.9
Total weighted average diluted shares outstanding		789.3		795.2		797.3
Earnings per share of common stock -
assuming dilution	$	6.04	$	5.33	$	4.92

The diluted earnings per share calculations exclude the effect of stock options when the options’ assumed proceeds exceed the average market price of the common shares during the period. In 2015, 2014, and 2013the weighted number of stock options excluded from the computations were 7.1 million, 4.7 million, and 2.2 million. These stock options were outstanding at the end of each of the respective periods.

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ACCOUNTS, NOTES AND OTHER RECEIVABLES

12 Months Ended

Dec. 31, 2015

Accounts, Notes And Other Receivables [Abstract]

Accounts, Notes and Other Receivables

Note 7. Accounts, Notes and Other Receivables

		December 31,
		2015		2014
Trade	$	7,901	$	7,788
Other		436		445
		8,337		8,233
Less - Allowance for doubtful accounts		(262)		(273)
	$	8,075	$	7,960

Trade Receivables includes $1,590million and $1,636 million of unbilled balances under long-term contracts as of December 31, 2015 and December 31, 2014. These amounts are billed in accordance with the terms of customer contracts to which they relate.

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INVENTORIES

12 Months Ended

Dec. 31, 2015

Inventories [Abstract]

Inventories

Note 8. Inventories

	December 31,
		2015		2014
Raw materials	$	1,120	$	1,124
Work in process		826		815
Finished products		2,590		2,634
		4,536		4,573
Reduction to LIFO cost basis		(116)		(168)
	$	4,420	$	4,405

Inventories valued at LIFO amounted to $399 million and $434 million at December 31, 2015 and 2014. Had such LIFO inventories been valued at current costs, their carrying values would have been approximately $116 million and $168 million higher at December 31, 2015 and 2014.

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PROPERTY, PLANT AND EQUIPMENT

12 Months Ended

Dec. 31, 2015

Property Plant And Equipment [Abstract]

Property, Plant and Equipment

Note 9. Property, Plant and Equipment - Net

	December 31,
	2015		2014
Land and improvements	$	367	$	343
Machinery and equipment		10,505		10,313
Buildings and improvements		3,188		3,119
Construction in progress		848		727
		14,908		14,502
Less—Accumulated depreciation		(9,119)		(9,119)
	$	5,789	$	5,383

Depreciation expense was $672 million, $667 million and $670 million in 2015, 2014 and 2013.

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GOODWILL AND OTHER INTANGIBLES-NET

12 Months Ended

Dec. 31, 2015

Goodwill And Other Intangible Assets Net [Abstract]

Goodwill and Other Intangible Assets, Net

Note10. Goodwill and Other Intangible Assets - Net

The change in the carrying amount of goodwill for the years endedDecember 31, 2015and 2014by segment is as follows:

						Currency
		December 31,		Acquisitions/		Translation		December 31,
		2014		Divestitures		Adjustment		2015
Aerospace	$	2,258	$	49	$	(11)	$	2,296
Automation and Control
Solutions		7,824		2,980		(216)		10,588
Performance Materials
and Technologies		2,706		370		(65)		3,011
	$	12,788	$	3,399	$	(292)	$	15,895

Other intangible assets are comprised of:
		December 31, 2015						December 31, 2014
		Gross				Net		Gross				Net
		Carrying		Accumulated		Carrying		Carrying		Accumulated		Carrying
		Amount		Amortization		Amount		Amount		Amortization		Amount
Determinable life intangibles:
Patents and technology	$	1,688	$	(1,061)	$	627	$	1,400	$	(1,005)	$	395
Customer relationships		3,558		(942)		2,616		1,867		(857)		1,010
Trademarks		230		(131)		99		191		(125)		66
Other		323		(264)		59		291		(260)		31
		5,799		(2,398)		3,401		3,749		(2,247)		1,502
Indefinite life intangibles:
Trademarks		1,176		-		1,176		706		-		706
	$	6,975	$	(2,398)	$	4,577	$	4,455	$	(2,247)	$	2,208

Intangible assets amortization expense was $211 million, $257 million, and $319 million in 2015, 2014, 2013. Estimated intangible asset amortization expense for each of the next five years approximates $336 million in 2016, $357 million in 2017, $356 million in 2018, $342 million in 2019, and $302 million in 2020.

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ACCRUED LIABILITIES

12 Months Ended

Dec. 31, 2015

Accrued Liabilities Current [Abstract]

Accrued Liabilities

Note 11. Accrued Liabilities

		December 31,
		2015		2014
Customer advances and deferred income	$	1,863	$	2,094
Compensation, benefit and other employee related		1,460		1,476
Asbestos related liabilities		292		352
Repositioning		335		284
Product warranties and performance guarantees		355		332
Environmental costs		253		278
Income taxes		201		261
Accrued interest		97		101
Other taxes (payroll, sales, VAT etc.)		266		243
Insurance		205		264
Other (primarily operating expenses)		950		1,086
	$	6,277	$	6,771

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LONG-TERM DEBT AND CREDIT AGREEMENTS

12 Months Ended

Dec. 31, 2015

Long Term Debt And Credit Agreements [Abstract]

Long-term Debt and Credit Agreements

Note 12. Long-term Debt and Credit Agreements

		December 31,
		2015		2014
Floating rate notes due 2015		-		700
5.40% notes due 2016		400		400
5.30% notes due 2017		400		400
5.30% notes due 2018		900		900
5.00% notes due 2019		900		900
4.25% notes due 2021		800		800
3.35% notes due 2023		300		300
5.70% notes due 2036		550		550
5.70% notes due 2037		600		600
5.375% notes due 2041		600		600
Industrial development bond obligations, floating
rate maturing at various dates through 2037		30		30
6.625% debentures due 2028		216		216
9.065% debentures due 2033		51		51
Other (including capitalized leases and debt issuance costs),
0.6%-9.5% maturing at various dates through 2023		384		538
		6,131		6,985
Less: current portion		(577)		(939)
	$	5,554	$	6,046

The schedule of principal payments on long-term debt is as follows:
		December 31,
		2015
2016	$	577
2017		490
2018		910
2019		902
2020		2
Thereafter		3,250
		6,131
Less-current portion		(577)
	$	5,554

On July 10, 2015, the Company entered into a $4 billion Amended and Restated Five Year Credit Agreement (Credit Agreement) with a syndicate of banks. Commitments under the Credit Agreement can be increased pursuant to the terms of the Credit Agreement to an aggregate amount not to exceed $4.5 billion. The Credit Agreement amends and restates the previous $4 billion five year credit agreement with substantially the same material terms and conditions. A full description of the Credit Agreement can be found in the Company’s Current Report on Form 8-K, dated July 10, 2015.

On September 30, 2015, the Company entered into a $3 billion 364-Day Credit Agreement (364-Day Credit Agreement) with a syndicate of banks. The 364-Day Credit Agreement is maintained for general corporate purposes including the Elster acquisition. A full description of the 364-Day Credit Agreement can be found in the Company’s Current Report on Form 8-K, dated October 1, 2015.

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LEASE COMMITMENTS

12 Months Ended

Dec. 31, 2015

Lease Commitments [Abstract]

Lease Commitments

Note 13. Lease Commitments

Future minimum lease payments under operating leases having initial or remaining noncancellable lease terms in excess of one year are as follows:

		At December 31,
		2015
2016	$	316
2017		249
2018		172
2019		114
2020		77
Thereafter		273
	$	1,201

Rent expense was $390 million, $420 million and $404 million in 2015, 2014 and 2013.

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FINANCIAL INSTRUMENTS AND FAIR VALUE MEASURES

12 Months Ended

Dec. 31, 2015

Financial Instruments And Fair Value Measures [Abstract]

Financial Instruments and Fair Value Measures

Note 14. Financial Instruments and Fair Value Measures

Credit and Market Risk—Financial instruments, including derivatives, expose us to counterparty credit risk for nonperformance and to market risk related to changes in interest and currency exchange rates and commodity prices. We manage our exposure to counterparty credit risk through specific minimum credit standards, diversification of counterparties, and procedures to monitor concentrations of credit risk. Our counterparties in derivative transactions are substantial investment and commercial banks with significant experience using such derivative instruments. We monitor the impact of market risk on the fair value and cash flows of our derivative and other financial instruments considering reasonably possible changes in interest rates and currency exchange rates and restrict the use of derivative financial instruments to hedging activities.

We continually monitor the creditworthiness of our customers to which we grant credit terms in the normal course of business. The terms and conditions of our credit sales are designed to mitigate or eliminate concentrations of credit risk with any single customer. Our sales are not materially dependent on a single customer or a small group of customers.

Foreign Currency Risk Management—We conduct our business on a multinational basis in a wide variety of foreign currencies. Our exposure to market risk for changes in foreign currency exchange rates arises from international financing activities between subsidiaries, foreign currency denominated monetary assets and liabilities and transactions arising from international trade. Our primary objective is to preserve the U.S. Dollar value of foreign currency denominated cash flows and earnings. We attempt to hedge currency exposures with natural offsets to the fullest extent possible and, once these opportunities have been exhausted, through foreign currency exchange forward and option contracts with third parties.

We hedge monetary assets and liabilities denominated in non-functional currencies. Prior to conversion into U.S. dollars, these assets and liabilities are remeasured at spot exchange rates in effect on the balance sheet date. The effects of changes in spot rates are recognized in earnings and included in Other (Income) Expense. We partially hedge forecasted sales and purchases, which predominantlyoccur in the next twelve months and are denominated in non-functional currencies, with currency forward contracts. Changes in the forecasted non-functional currency cash flows due to movements in exchange rates are substantially offset by changes in the fair value of the currency forward contracts designated as hedges. Market value gains and losses on these contracts are recognized in earnings when the hedged transaction is recognized.Open foreign currency exchange forward contracts mature predominantlyin the next twelve months. At December 31, 2015 and 2014, we had contracts with notional amounts of $10,538 million and $7,291 million to exchange foreign currencies, principally theU.S. Dollar, Euro, British Pound, Chinese Renminbi, Indian Rupee, Mexican Peso, Canadian Dollar, U.A.E. Dirham and Singapore Dollar.

We have also designated foreign currency debt as hedges against portions of our net investment in foreign operations during the year ended December 31, 2015. Gains or losses on the effective portion of the foreign currency debt designated as a net investment hedge are recorded in the same manner as foreign currency translation adjustments. The Company did not have ineffectiveness related to net investment hedges during the year ended December 31, 2015.

Interest Rate Risk Management—We use a combination of financial instruments, including long-term, medium-term and short-term financing, variable-rate commercial paper, and interest rate swaps to manage the interest rate mix of our total debt portfolio and related overall cost of borrowing. At December 31, 2015and2014, interest rate swap agreements designated as fair value hedges effectively changed $1,100 million of fixed rate debt at rate of4.00to LIBOR based floating rate debt. Our interest rate swaps mature at various dates through 2023.

Fair Value of Financial Instruments—The FASB’s accounting guidance defines fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (exit price).

Financial and nonfinancial assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. The following table sets forth the Company’s financial assets and liabilities that were accounted for at fair value on a recurring basis as ofDecember 31, 2015 and 2014:

		December 31,
		2015		2014
Assets:
Foreign currency exchange contracts	$	28	$	20
Available for sale investments		1,501		1,479
Interest rate swap agreements		92		93
Liabilities:
Foreign currency exchange contracts	$	17	$	10

The foreign currency exchange contracts and interest rate swap agreements are valued using broker quotations, or market transactions in either the listed or over-the-counter markets. As such, these derivative instruments are classified within level 2. The Company also holds investments in commercial paper, certificates of deposits, and time deposits that are designated as available for sale and are valued using published prices based off observable market data. As such, these investments are classified within level 2.

The carrying value of cash and cash equivalents, trade accounts and notes receivables, payables, commercial paper and short-term borrowings contained in the Consolidated Balance Sheet approximates fair value. The following table sets forth the Company’s financial assets and liabilities that were not carried at fair value:

	December 31, 2015				December 31, 2014
	Carrying		Fair		Carrying		Fair
	Value		Value		Value		Value
Assets
Long-term receivables	$	292	$	283	$	297	$	293
Liabilities
Long-term debt and related current maturities	$	6,131	$	6,721	$	6,985	$	7,817

The Company determined the fair value of the long-term receivables by discounting based upon the terms of the receivable and counterparty details including credit quality. As such, the fair value of these receivables is considered level 2. The Company determined the fair value of the long-term debt and related current maturities utilizing transactions in the listed markets for identical or similar liabilities. As such, the fair value of the long-term debt and related current maturities is considered level 2 as well.

Interest rate swap agreements are designated as hedge relationships with gains or losses on the derivative recognized in Interest and other financial charges offsetting the gains and losses on the underlying debt being hedged. Losses on interest rate swap agreements recognized in earnings were $2 million in the year endedDecember 31, 2015. Gains on interest rate swap agreements recognized in earnings were $38 million in the year ended2014. Gains and losses are fully offset by losses and gains on the underlying debt being hedged.

We also economically hedge our exposure to changes in foreign exchange rates principally with forward contracts. These contracts are marked-to-market with the resulting gains and losses recognized in earnings offsetting the gains and losses on the non-functional currency denominated monetary assets and liabilities being hedged. We recognized $86 million and $181 million of expense, inother (income)expense for the years endedDecember 31, 2015and2014.See Note 4 Other (Income) Expense for further details of the net impact of these economic foreign currency hedges.

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OTHER LIABILITIES

12 Months Ended

Dec. 31, 2015

Other Liabilities Current [Abstract]

Other Liabilities

Note 15. Other Liabilities

	Years Ended
	December 31,
	2015		2014
Pension and other employee related	$	2,461	$	2,497
Income taxes		1,009		764
Environmental		265		313
Insurance		257		253
Asset retirement obligations		65		67
Deferred income		99		93
Other		192		295
	$	4,348	$	4,282

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CAPITAL STOCK

12 Months Ended

Dec. 31, 2015

Capital Stock [Abstract]

Capital Stock

Note 16. Capital Stock

We are authorized to issue up to 2,000,000,000 shares of common stock, with a par value of $1. Common shareowners are entitled to receive such dividends as may be declared by the Board, are entitled to one vote per share, and are entitled, in the event of liquidation, to share ratably in all the assets of Honeywell which are available for distribution to the common shareowners. Common shareowners do not have preemptive or conversion rights. Shares of common stock issued and outstanding or held in the treasury are not liable to further calls or assessments. There are no restrictions on us relative to dividends or the repurchase or redemption of common stock.

In December 2013 the Board of Directors authorized the repurchase of up to $5 billion of Honeywell common stock, $2.2 billion and $4.1billion remained available as of December 31, 2015 and December 31, 2014 for additional share repurchases.

We purchased approximately 18.8 million and 10.0 million shares of our common stock in 2015 and 2014, for $1,884 million and $924 million.

We are authorized to issue up to 40,000,000 shares of preferred stock, without par value, and can determine the number of shares of each series, and the rights, preferences and limitations of each series. At December 31, 2015, there was no preferred stock outstanding.

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ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS)

12 Months Ended

Dec. 31, 2015

Accumulated Other Comprehensive Income (Loss) [Abstract]

Accumulated Other Comprehensive Income (Loss)

Note 17. Accumulated Other Comprehensive Income (Loss)

The changes in accumulated other comprehensive income (loss) are provided in the tables below. Comprehensive income (loss) attributable to noncontrolling interest consisted predominantly of net income.

		Pretax		Tax		After Tax
Year Ended December 31, 2015
Foreign exchange translation adjustment	$	(1,152)	$	-	$	(1,152)
Pensions and other postretirement benefit adjustments		129		(45)		84
Changes in fair value of effective cash flow hedges		(11)		3		(8)
	$	(1,034)	$	(42)	$	(1,076)
Year Ended December 31, 2014
Foreign exchange translation adjustment	$	(1,044)	$	-	$	(1,044)
Pensions and other postretirement benefit adjustments		(1,707)		624		(1,083)
Changes in fair value of available for sale investments		(246)		76		(170)
Changes in fair value of effective cash flow hedges		24		(4)		20
	$	(2,973)	$	696	$	(2,277)
Year Ended December 31, 2013
Foreign exchange translation adjustment	$	(52)	$	-	$	(52)
Pensions and other postretirement benefit adjustments		3,514		(1,311)		2,203
Changes in fair value of available for sale investments		30		(17)		13
Changes in fair value of effective cash flow hedges		(14)		7		(7)
	$	3,478	$	(1,321)	$	2,157

Components of Accumulated Other Comprehensive Income (Loss)
	December 31,
	2015		2014
Cumulative foreign exchange translation adjustment	$	(1,892)	$	(740)
Pensions and other postretirement benefit adjustments		(644)		(728)
Fair value of available for sale investments		-		-
Fair value of effective cash flow hedges		1		9
	$	(2,535)	$	(1,459)

Changes in Accumulated Other Comprehensive Income by Component
							Changes in		Changes in
			Foreign		Pension		Fair Value of		Fair Value of
			Exchange		and Other		Available		Effective
			Translation		Postretirement		for Sale		Cash Flow
			Adjustment		Adjustments		Investments		Hedges		Total
Balance at December 31, 2013		$	304	$	355	$	170	$	(11)	$	818
	Other comprehensive income
	(loss) before reclassifications		(1,044)		(1,284)		15		20		(2,293)
	Amounts reclassified from
	accumulated other
	comprehensive income		-		201		(185)		-		16
	Net current period other
	comprehensive income (loss)		(1,044)		(1,083)		(170)		20		(2,277)
Balance at December 31, 2014		$	(740)	$	(728)	$	-	$	9	$	(1,459)
	Other comprehensive income
	(loss) before reclassifications		(1,152)		23		-		91		(1,038)
	Amounts reclassified from
	accumulated other
	comprehensive income		-		61		-		(99)		(38)
	Net current period other
	comprehensive income (loss)		(1,152)		84		-		(8)		(1,076)
Balance at December 31, 2015		$	(1,892)	$	(644)	$	-	$	1	$	(2,535)

Reclassifications Out of Accumulated Other Comprehensive Income
		Year Ended December 31, 2015
		Affected Line in the Consolidated Statement of Operations
		Product Sales		Cost of Products Sold		Cost of Services Sold		Selling, General and Administrative Expenses		Other (Income) Expense		Total
Amortization of Pension and
Other Postretirement Items:
Actuarial losses recognized	$	-	$	78	$	16	$	17	$	-	$	111
Prior service (credit)
recognized		-		(14)		(3)		(3)		-		(20)
Settlements and
curtailments		-		2		-		-		-		2
Losses (gains) on cash flow
hedges		(17)		(73)		(17)		(2)		-		(109)
Total before tax	$	(17)	$	(7)	$	(4)	$	12	$	-	$	(16)
Tax expense (benefit)												(22)
Total reclassifications for the period, net of tax											$	(38)
		Year Ended December 31, 2014
		Affected Line in the Consolidated Statement of Operations
		Product Sales		Cost of Products Sold		Cost of Services Sold		Selling, General and Administrative Expenses		Other (Income) Expense		Total
Amortization of Pension and
Other Postretirement Items:
Actuarial losses recognized	$	-	$	199	$	38	$	42	$	-	$	279
Prior service (credit)
recognized		-		(1)		-		-		-		(1)
Transition obligation
recognized		-		2		-		-		-		2
Losses (gains) on cash flow
hedges		(5)		-		-		5		-		-
Unrealized gains on available
for sale investments		-		-		-		-		(221)		(221)
Total before tax	$	(5)	$	200	$	38	$	47	$	(221)	$	59
Tax expense (benefit)												(43)
Total reclassifications for the period, net of tax											$	16

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STOCK-BASED COMPENSATION PLANS

12 Months Ended

Dec. 31, 2015

Stock Based Compensation Plans [Abstract]

Stock-Based Compensation Plans

Note 18. Stock-Based Compensation Plans

Under the terms of the 2011 Stock Incentive Plan of Honeywell International Inc. and its Affiliates (2011 Plan) there were 14,050,760 shares of Honeywell common stock available for future grants at December 31, 2015. Additionally, the 2006 Stock Plan for Non-Employee Directors of Honeywell International Inc. (2006 Directors Plan) expires on April 24, 2016 and it is expected that no future grants will be made under the 2006 Directors Plan prior to expiration. In 2016, the Company is seeking shareowner approval of a new employee stock plan and non-employee director plan and, upon approval, no additional grants will be permitted under the 2011 Plan or the 2006 Directors Plan.

Stock Options—The exercise price, term and other conditions applicable to each option granted under our stock plans are generally determined by the Management Development and Compensation Committee of the Board. The exercise price of stock options is set on the grant date and may not be less than the fair market value per share of our stock on that date. The fair value is recognized as an expense over the employee’s requisite service period (generally the vesting period of the award). Options generally vest over a four-year period and expire after ten years.

The fair value of each option award is estimated on the date of grant using the Black-Scholes option-pricing model. Expected volatility is based on implied volatilities from traded options on our common stock and historical volatility of our common stock. We used a Monte Carlo simulation model to derive an expected term which represents an estimate of the time options are expected to remain outstanding. Such model uses historical data to estimate option exercise activity and post-vest termination behavior. The risk-free rate for periods within the contractual life of the option is based on the U.S. treasury yield curve in effect at the time of grant.

Compensation cost on a pre-tax basis related to stock options recognized in selling, general and administrative expenses in 2015, 2014 and 2013 was $78 million, $85 million and $70 million. The associated future income tax benefit recognized in 2015, 2014 and 2013was $26 million, $31 million and $24 million.

The following table sets forth fair value per share information, including related weighted-average assumptions, used to determine compensation cost:

		Years Ended December 31,
		2015			2014			2013
Weighted average fair value per share of options
granted during the year(1)	$	17.21		$	16.35		$	11.85
Assumptions:
Expected annual dividend yield		1.98	%		2.05	%		2.55	%
Expected volatility		21.55	%		23.06	%		24.73	%
Risk-free rate of return		1.61	%		1.48	%		0.91	%
Expected option term (years)		5.0			5.0			5.5
(1) Estimated on date of grant using Black-Scholes option-pricing model.

The following table summarizes information about stock option activity for the three years ended December 31, 2015:

		Weighted
		Average
	Number of	Exercise
	Options	Price
Outstanding at December 31, 2012	35,569,021	$	47.13
Granted	6,041,422		69.89
Exercised	(10,329,611)		41.91
Lapsed or canceled	(616,995)		53.84
Outstanding at December 31, 2013	30,663,837		53.27
Granted	5,823,706		93.95
Exercised	(5,697,263)		47.47
Lapsed or canceled	(1,294,668)		67.70
Outstanding at December 31, 2014	29,495,612		61.80
Granted	5,967,256		103.87
Exercised	(4,190,298)		53.40
Lapsed or canceled	(703,132)		84.31
Outstanding at December 31, 2015	30,569,438	$	70.76
Vested and expected to vest at December 31, 2015(1)	28,852,696	$	68.96
Exercisable at December 31, 2015	17,202,377	$	55.11
(1) Represents the sum of vested options of 17.2 million and expected to vest options of 11.7 million. Expected to vest options are derived by applying the pre-vesting forfeiture rate assumption to total outstanding unvested options of 13.6 million.

The following table summarizes information about stock options outstanding and exercisable at December 31, 2015:

	Options Outstanding						Options Exercisable
			Weighted					Weighted
		Weighted	Average		Aggregate			Average		Aggregate
Range of	Number	Average	Exercise		Intrinsic		Number	Exercise		Intrinsic
Exercise prices	Outstanding	Life(1)	Price		Value		Exercisable	Price		Value
$28.35-$49.99	6,176,777	3.31	$	38.45	$	402	6,176,777	$	38.45	$	402
$50.00-$64.99	8,884,587	5.11		58.43		401	7,731,362		58.21		351
$65.00-$75.00	4,490,514	7.16		69.92		151	2,048,042		69.92		69
$90.00-$103.90	11,017,560	8.70		99.17		50	1,246,196		94.07		12
	30,569,438	6.34		70.76	$	1,004	17,202,377		55.11	$	834
(1) Average remaining contractual life in years.

There were 16,019,742 and 15,594,410 options exercisable at weighted average exercise prices of $49.40and $45.76at December 31, 2014 and 2013.

The following table summarizes the financial statement impact from stock options exercised:

		Years Ended December 31,
Options Exercised		2015		2014		2013
Intrinsic value(1)	$	210	$	272	$	367
Tax benefit realized		73		96		129
Operating cash inflow		137		172		333
Financing cash inflow		57		77		99
Total cash received		194		249		432
(1) Represents the amount by which the stock price exceeded the exercise price of the options on the date of exercise.

At December 31, 2015 there was $140 million of total unrecognized compensation cost related to non-vested stock option awards which is expected to be recognized over a weighted-average period of 2.36 years. The total fair value of options vested during 2015, 2014 and 2013was $73 million, $72 million and $67 million.

Restricted Stock Units—Restricted stock unit (RSU) awards entitle the holder to receive one share of common stock for each unit when the units vest. RSUs are issued to certain key employees and directors at fair market value at the date of grant as compensation. RSUs typically become fully vested over periods ranging from three to seven years and are payable in Honeywell common stock upon vesting.

The following table summarizes information about RSU activity for the three years ended December 31, 2015:

		Weighted
		Average
	Number of	Grant Date
	Restricted	Fair Value
	Stock Units	Per Share
Non-vested at December 31, 2012	8,095,739	$	49.91
Granted	1,904,504		75.73
Vested	(2,995,553)		42.17
Forfeited	(312,470)		56.58
Non-vested at December 31, 2013	6,692,220		60.04
Granted	1,455,209		94.88
Vested	(1,787,894)		53.63
Forfeited	(460,341)		63.54
Non-vested at December 31, 2014	5,899,194		70.32
Granted	1,190,406		103.04
Vested	(1,681,342)		56.38
Forfeited	(426,670)		77.73
Non-vested at December 31, 2015	4,981,588	$	82.18

As of December 31, 2015, there was approximately $185 million of total unrecognized compensation cost related to non-vested RSUs granted under our stock plans which is expected to be recognized over a weighted-average period of 3.37 years.

The following table summarizes information about income statement impact from RSUs for the three years ended December 31, 2015:

		Years Ended December 31,
		2015		2014		2013
Compensation expense	$	97	$	102	$	100
Future income tax benefit recognized		29		37		35

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COMMITMENTS AND CONTINGENCIES

12 Months Ended

Dec. 31, 2015

Commitments And Contingencies [Abstract]

Commitments and Contingencies

Note 19. Commitments and Contingencies

Environmental Matters

We are subject to various federal, state, local and foreign government requirements relating to the protection of the environment. We believe that, as a general matter, our policies, practices and procedures are properly designed to prevent unreasonable risk of environmental damage and personal injury and that our handling, manufacture, use and disposal of hazardous substances are in accordance with environmental and safety laws and regulations. However, mainly because of past operations and operations of predecessor companies, we, like other companies engaged in similar businesses, have incurred remedial response and voluntary cleanup costs for site contamination and are a party to lawsuits and claims associated with environmental and safety matters, including past production of products containing hazardous substances. Additional lawsuits, claims and costs involving environmental matters are likely to continue to arise in the future.

With respect to environmental matters involving site contamination, we continually conduct studies, individually or jointly with other potentially responsible parties, to determine the feasibility of various remedial techniques. It is our policy to record appropriate liabilities for environmental matters when remedial efforts or damage claim payments are probable and the costs can be reasonably estimated. Such liabilities are based on our best estimate of the undiscounted future costs required to complete the remedial work. The recorded liabilities are adjusted periodically as remediation efforts progress or as additional technical, regulatory or legal information becomes available. Given the uncertainties regarding the status of laws, regulations, enforcement policies, the impact of other potentially responsible parties, technology and information related to individual sites, we do not believe it is possible to develop an estimate of the range of reasonably possible environmental loss in excess of our recorded liabilities. We expect to fund expenditures for these matters from operating cash flow. The timing of cash expenditures depends on a number of factors, including the timing of remedial investigations and feasibility studies, the timing of litigation and settlements of remediation liability, personal injury and property damage claims, regulatory approval of cleanup projects, remedial techniques to be utilized and agreements with other parties.

The following table summarizes information concerning our recorded liabilities for environmental costs:

		Years Ended December 31,
		2015		2014		2013
Beginning of year	$	591	$	643	$	654
Accruals for environmental matters deemed probable and
reasonably estimable		194		268		272
Environmental liability payments		(273)		(321)		(304)
Other		6		1		21
End of year	$	518	$	591	$	643

Environmental liabilities are included in the following balance sheet accounts:
			December 31,
			2015		2014
	Accrued liabilities	$	253	$	278
	Other liabilities		265		313
		$	518	$	591

We do not currently possess sufficient information to reasonably estimate the amounts of environmental liabilities to be recorded upon future completion of studies, litigation or settlements, and neither the timing nor the amount of the ultimate costs associated with environmental matters can be determined although they could be material to our consolidated results of operations and operating cash flows in the periods recognized or paid. However, considering our past experience and existing reserves, we do not expect that environmental matters will have a material adverse effect on our consolidated financial position.

Onondaga Lake, Syracuse, NY—We are implementing a combined dredging/capping remedy of Onondaga Lake pursuant to a consent decree approved by the United States District Court for the Northern District of New York in January 2007. We have accrued for our estimated cost of remediating OnondagaLake based on currently available information and analysis performed by our engineering consultants. Honeywell is also conducting remedial investigations and activities at other sites in Syracuse. We have recorded reserves for these investigations and activities where appropriate, consistent with the accounting policy described above.

Honeywell has entered into a cooperative agreement with potential natural resource trustees to assess alleged natural resource damages relating to this site. It is not possible to predict the outcome or duration of this assessment, or the amounts of, or responsibility for, any damages.

Asbestos Matters

Honeywell is a defendant in asbestosrelated personal injury actions related to two predecessor companies:

• North American Refractories Company (NARCO), which was sold in 1986, produced refractory products (bricks and cement used in high temperature applications). Claimants consist largely of individuals who allege exposure to NARCO asbestos-containing refractory products in an occupational setting.
• Bendix Friction Materials (Bendix) business, which was sold in 2014, manufactured automotive brake parts that contained chrysotile asbestos in an encapsulated form. Claimants consist largely of individuals who allege exposure to asbestos from brakes from either performing or being in the vicinity of individuals who performed brake replacements.

The following tables summarize information concerning NARCO and Bendix asbestos related balances:

Asbestos Related Liabilities
	Year Ended December 31,						Year Ended December 31,						Year Ended December 31,
	2015						2014						2013
	Bendix		NARCO		Total		Bendix		NARCO		Total		Bendix		NARCO		Total
Beginning of year	$	623	$	929	$	1,552	$	656	$	955	$	1,611	$	653	$	1,119	$	1,772
Accrual for update to
estimated liability		180		8		188		195		4		199		180		5		185
Change in estimated cost of
future claims		11		-		11		(1)		-		(1)		16		-		16
Update of expected resolution
values for pending claims		1		-		1		2		-		2		(5)		-		(5)
Asbestos related liability
payments		(193)		(16)		(209)		(229)		(30)		(259)		(188)		(169)		(357)
End of year	$	622	$	921	$	1,543	$	623	$	929	$	1,552	$	656	$	955	$	1,611

Insurance Recoveries for Asbestos Related Liabilities
	Year Ended December 31,						Year Ended December 31,						Year Ended December 31,
	2015						2014						2013
	Bendix		NARCO		Total		Bendix		NARCO		Total		Bendix		NARCO		Total
Beginning of year	$	135	$	350	$	485	$	141	$	531	$	672	$	138	$	569	$	707
Probable insurance
recoveries related to
estimated liability		21		-		21		24		-		24		27		-		27
Insurance receipts for
asbestos related liabilities		(33)		(30)		(63)		(24)		(187)		(211)		(24)		(34)		(58)
Insurance receivables
settlements and write offs		1		6		7		(6)		7		1		-		(6)		(6)
Other		-		(1)		(1)		-		(1)		(1)		-		2		2
End of year	$	124	$	325	$	449	$	135	$	350	$	485	$	141	$	531	$	672

NARCO and Bendix asbestos related balances are included in the following balance sheet accounts:
		December 31,
		2015		2014
Other current assets	$	23	$	31
Insurance recoveries for asbestos related liabilities		426		454
	$	449	$	485
Accrued liabilities	$	292	$	352
Asbestos related liabilities		1,251		1,200
	$	1,543	$	1,552

NARCO Products –In connection with NARCO’s emergence from bankruptcy on April 30, 2013, a federally authorized 524(g) trust (NARCO Trust) was established for the evaluation and resolution of all existing and future NARCO asbestos claims. Both Honeywell and NARCO are protected by a permanent channeling injunction barring all present and future individual actions in state or federal courts and requiring all asbestos related claims based on exposure to NARCO asbestos-containing products to be made against the NARCO Trust. The NARCO Trust reviews submitted claims and determines award amounts in accordance with established Trust Distribution Procedures approved by the Bankruptcy Court which set forth the criteria claimants must meet to qualify for compensation including, among other things, exposure and medical criteria that determine the award amount. In addition, Honeywell provided, and continues to provide, input to the design of control procedures for processing NARCO claims, and has on-going audit rights to review and monitor the claims processors’ adherence to the established requirements of the Trust Distribution Procedures.

Honeywell is obligated to fund NARCO asbestos claims submitted to the NARCO Trust which qualify for payment under the Trust Distribution Procedures (Annual Contribution Claims), subject to annual caps of $140 million in the years 2016 through 2018 and $145 million for each year thereafter. However, the initial $100 million of claims processed through the NARCO Trust (the Initial Claims Amount) will not count against the annual cap and any unused portion of the Initial Claims Amount will roll over to subsequent years until fully utilized. In 2015, Honeywell filed suit against the NARCO Trust in Bankruptcy Court alleging breach of certain provisions of the Trust Agreement and Trust Distribution Procedures. The proceeding is ongoing. As of December 31, 2015, Honeywell has not made any payments to the NARCO Trust for Annual Contribution Claims.

Honeywell is also responsible for payments due to claimants pursuant to settlement agreements reached during the pendency of the NARCO bankruptcy proceedings that provide for the right to submit claims to the NARCO Trust subject to qualification under the terms of the settlement agreements and Trust Distribution Procedures criteria (Pre-established Unliquidated Claims), which amounts are estimated at $150 million and are expected to be paid during the initial years of trust operations ($5 million of which has been paid since the effective date of the NARCO Trust). Such payments are not subject to the annual cap described above.

Our consolidated financial statements reflect an estimated liability for pre-established unliquidated claims ($145 million), unsettled claims pending as of the time NARCO filed for bankruptcy protection ($33 million) and for the estimated value of future NARCO asbestos claims expected to be asserted against the NARCO Trust through 2018 ($743 million). In the absence of actual trust experience on which to base the estimate, Honeywell projected the probable value of asbestos related future liabilities, including trust claim handling costs, based on a commonly accepted methodology used by numerous bankruptcy courts addressing 524(g) trusts. Some critical assumptions underlying this methodology include claims filing rates, disease criteria and payment values contained in the Trust Distribution Procedures, estimated approval rates of claims submitted to the NARCO Trust and epidemiological studies estimating disease instances. This projection resulted in a range of estimated liability of $743 million to $961 million. We believe that no amount within this range is a better estimate than any other amount and accordingly, we have recorded the minimum amount in the range. In light of the uncertainties inherent in making long-term projections and in connection with the recent implementation of the Trust Distribution Procedures by the NARCO Trust, as well as the stay of all NARCO asbestos claims which remained in place throughout NARCO’s Chapter 11 case, we do not believe that we have a reasonable basis for estimating NARCO asbestos claims beyond 2018.

Our insurance receivable corresponding to the estimated liability for pending and future NARCO asbestos claims reflects coverage which reimburses Honeywell for portions of NARCO-related indemnity and defense costs and is provided by a large number of insurance policies written by dozens of insurance companies in both the domestic insurance market and the London excess market. We conduct analyses to estimate the probable amount of insurance that is recoverable for asbestos claims. While the substantial majority of our insurance carriers are solvent, some of our individual carriers are insolvent, which has been considered in our analysis of probable recoveries. We made judgments concerning insurance coverage that we believe are reasonable and consistent with our historical dealings and our knowledge of any pertinent solvency issues surrounding insurers.

Projecting future events is subject to many uncertainties that could cause the NARCO-related asbestos liabilities or assets to be higher or lower than those projected and recorded. Given the uncertainties, we review our estimates periodically, and update them based on our experience and other relevant factors. Similarly, we will reevaluate our projections concerning our probable insurance recoveries in light of any changes to the projected liability or other developments that may impact insurance recoveries.

Friction Products—The following tables present information regarding Bendixrelated asbestos claims activity:

		Years Ended
		December 31,
Claims Activity		2015	2014
Claims Unresolved at the beginning of year		9,267	12,302
Claims Filed		2,862	3,694
Claims Resolved(1)		(4,350)	(6,729)
Claims Unresolved at the end of year		7,779	9,267
(1)	Claims resolved in 2014 include 2,110 cancer claims which were determined to have no value. Also, claims resolved in 2015 and 2014 include significantly aged (i.e., pending for more than six years) claims totaling 153 and 1,266.

	December 31,
Disease Distribution of Unresolved Claims	2015	2014
Mesothelioma and Other Cancer Claims	3,772	3,933
Nonmalignant Claims	4,007	5,334
Total Claims	7,779	9,267

Honeywell has experienced average resolution values per claim excluding legal costs as follows:
		Years Ended December 31,
		2015		2014		2013		2012		2011
		(in whole dollars)
Malignant claims	$	44,000	$	53,500	$	51,000	$	49,000	$	48,000
Nonmalignant claims	$	100	$	120	$	850	$	1,400	$	1,000

It is not possible to predict whether resolution values for Bendix-related asbestos claims will increase, decrease or stabilize in the future.

Our consolidated financial statements reflect an estimated liability for resolution of pending (claims actually filed as of the financial statement date) and future Bendix-related asbestos claims. We have valued Bendix pending and future claims using average resolution values for the previous five years. We update the resolution values used to estimate the cost of Bendix pending and future claims during the fourth quarter each year.

The liability for future claims represents the estimated value of future asbestos related bodily injury claims expected to be asserted against Bendix over the next five years. Such estimated cost of future Bendix-related asbestos claims is based on historic claims filing experience and dismissal rates, disease classifications, and resolution values in the tort system for the previous five years. In light of the uncertainties inherent in making long-term projections, as well as certain factors unique to friction product asbestos claims, we do not believe that we have a reasonable basis for estimating asbestos claims beyond the next five years. The methodology used to estimate the liability for future claims is similar to that used to estimate the liability for future NARCO-related asbestos claims.

Our insurance receivable corresponding to the liability for settlement of pending and future Bendix asbestos claims reflects coverage which is provided by a large number of insurance policies written by dozens of insurance companies in both the domestic insurance market and the London excess market. Based on our ongoing analysis of the probable insurance recovery, insurance receivables are recorded in the financial statements simultaneous with the recording of the estimated liability for the underlying asbestos claims. This determination is based on our analysis of the underlying insurance policies, our historical experience with our insurers, our ongoing review of the solvency of our insurers, judicial determinations relevant to our insurance programs, and our consideration of the impacts of any settlements reached with our insurers.

Honeywell believes it has sufficient insurance coverage and reserves to cover all pending Bendix-related asbestos claims and Bendix-related asbestos claims estimated to be filed within the next five years. Although it is impossible to predict the outcome of either pending or future Bendix-related asbestos claims, we do not believe that such claims would have a material adverse effect on our consolidated financial position in light of our insurance coverage and our prior experience in resolving such claims. If the rate and types of claims filed, the average resolution value of such claims and the period of time over which claim settlements are paid (collectively, the Variable Claims Factors) do not substantially change, Honeywell would not expect future Bendix-related asbestos claims to have a material adverse effect on our results of operations or operating cash flows in any fiscal year. No assurances can be given, however, that the Variable Claims Factors will not change.

Other Matters

We are subject to a number of other lawsuits, investigations and disputes (some of which involve substantial amounts claimed) arising out of the conduct of our business, including matters relating to commercial transactions, government contracts, product liability, prior acquisitions and divestitures, employee benefit plans, intellectual property, and environmental, health and safety matters. We recognize a liability for any contingency that is probable of occurrence and reasonably estimable. We continually assess the likelihood of adverse judgments of outcomes in these matters, as well as potential ranges of possible losses (taking into consideration any insurance recoveries), based on a careful analysis of each matter with the assistance of outside legal counsel and, if applicable, other experts. Included in these other matters are the following:

Honeywell v. United Auto Workers (UAW) et. al—In July 2011, Honeywell filed an action in federal court (District of New Jersey) against the UAW and all former employees who retired under a series of Master Collective Bargaining Agreements (MCBAs) between Honeywell and the UAW seeking a declaratory judgment that certain express limitations on its obligation to contribute toward the healthcare coverage of such retirees (the CAPS) set forth in the MCBAs may be implemented, effective January 1, 2012.  The UAW and certain retiree defendants filed a mirror suit in the Eastern District of Michigan alleging that the MCBAs do not provide for CAPS on the Company’s liability for healthcare coverage.  The New Jersey action was dismissed and Honeywell subsequently answered the UAW’s complaint in Michigan and asserted counterclaims for fraudulent inducement, negligent misrepresentation and breach of implied warranty. The UAW filed a motion to dismiss these counterclaims. The court dismissed Honeywell’s fraudulent inducement and negligent misrepresentation claims, but let stand the claim for breach of implied warranty. In the second quarter of 2014, the parties agreed to stay the proceedings with respect to those retirees who retired before the initial inclusions of the CAPS in the 2003 MCBA until the Supreme Court decided the M&G Polymers USA, LLC v. Tackett case.In a ruling on January 26, 2015, the Supreme Court held that retiree health insurance benefits provided in collective bargaining agreements do not carry an inference that they are vested or guaranteed to continue for life and that the “vesting” issue must be decided pursuant to ordinary principles of contract law. The stay of the proceedings has been lifted and the case is again proceeding in the normal course. Based on the Supreme Court’s ruling, Honeywell is confident that the CAPS will be upheld and that its liability for healthcare coverage premiums with respect to the putative class will be limited as negotiated and expressly set forth in the applicable MCBAs.  In the event of an adverse ruling, however, Honeywell’s other postretirement benefits for pre-2003 retirees would increase by approximately $176 million, reflecting the estimated value of these CAPS.

In December 2013, the UAW and certain of the plaintiffs filed a motion for partial summary judgment with respect to those retirees who retired after the initial inclusion of the CAPS in the 2003 MCBA. The UAW sought a ruling that the 2003 MCBA did not limit Honeywell’s obligation to contribute to healthcare coverage for the post-2003 retirees. That motion remains pending. Honeywell is confident that the Court will find that the 2003 MCBA does, in fact, limit Honeywell’s retiree healthcare obligation for post-2003 retirees. In the event of an adverse ruling, however, Honeywell’s other postretirement benefits for post-2003 retirees would increase by approximately $110 million, reflecting the estimated value of these CAPS.

Joint Strike Fighter Investigation -In 2013 the Company received subpoenas from the Department of Justice requesting information relating primarily to parts manufactured in the United Kingdom and China used in the F-35 fighter jet. The Company is cooperating fully with the investigation. While we believe that Honeywell has complied with all relevant U.S. laws and regulations regarding the manufacture of these sensors, it is not possible to predict the outcome of the investigation or what action, if any, may result from it.

Given the uncertainty inherent in litigation and investigations (including the specific matters referenced above), we do not believe it is possible to develop estimates of reasonably possible loss in excess of current accruals for these matters (other than as specifically set forth above). Considering our past experience and existing accruals, we do not expect the outcome of these matters, either individually or in the aggregate, to have a material adverse effect on our consolidated financial position. Because most contingencies are resolved over long periods of time, potential liabilities are subject to change due to new developments, changes in settlement strategy or the impact of evidentiary requirements, which could cause us to pay damage awards or settlements (or become subject to equitable remedies) that could have a material adverse effect on our results of operations or operating cash flows in the periods recognized or paid.

Warranties and Guarantees

In the normal course of business we issue product warranties and product performance guarantees. We accrue for the estimated cost of product warranties and performance guarantees based on contract terms and historical experience at the time of sale. Adjustments to initial obligations for warranties and guarantees are made as changes in the obligations become reasonably estimable. The following table summarizes information concerning our recorded obligations for product warranties and product performance guarantees:

	Years Ended December 31,
		2015		2014		2013
Beginning of year	$	403	$	405	$	407
Accruals for warranties/guarantees issued during the year		206		225		212
Adjustment of pre-existing warranties/guarantees		13		(34)		(1)
Settlement of warranty/guarantee claims		(206)		(193)		(213)
End of year	$	416	$	403	$	405
Product warranties and product performance guarantees are included in the following balance sheet accounts:
				December 31,
				2015		2014
Accrued liabilities			$	355	$	332
Other liabilities				61		71
			$	416	$	403

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PENSION AND OTHER POSTRETIREMENT BENEFITS

12 Months Ended

Dec. 31, 2015

Pension and Other Post Retirements Disclosure Paragraph Details [Abstract]

Pension and Other Postretirement Benefits

Note20. Pension and Other Postretirement Benefits

We sponsor both funded and unfunded U.S. and non-U.S. defined benefit pension plans covering the majority of our employees and retirees. Pension benefits for substantially all U.S. employees are provided through non-contributory, qualified and non-qualified defined benefit plans. All non-union hourly and salaried employees joining Honeywell for the first time after December 31, 2012, are not eligible to participate in Honeywell’s U.S. defined benefit pension plans.We also sponsor defined benefit pension plans which cover non-U.S. employees who are not U.S. citizens, in certain jurisdictions, principally the UK, Netherlands, Germany, and Canada. Other pension plans outside of the U.S. are not material to the Company either individually or in the aggregate.

We also sponsor postretirement benefit plans that provide health care benefits and life insurance coverage mainly to U.S. eligible retirees. Less than 1% of Honeywell’s U.S. employees are eligible for a retiree medical subsidy from the Company; and this subsidy is limited to a fixed-dollar amount. In addition, more than 80% of Honeywell’s current retirees either have no Company subsidy or have a fixed-dollar subsidy amount. This significantly limits our exposure to the impact of future health care cost increases. The retiree medical and life insurance plans are not funded. Claims and expenses are paid from our operating cash flow.

The following tables summarize the balance sheet impact, including the benefit obligations, assets and funded status associated with our significant pension and other postretirement benefit plans.

		Pension Benefits
		U.S. Plans				Non-U.S. Plans
		2015		2014		2015		2014
Change in benefit obligation:
	Benefit obligation at beginning of year	$	18,035	$	16,290	$	5,761	$	5,523
	Service cost		223		241		51		56
	Interest cost		696		771		177		231
	Plan amendments		(429)		-		-		(17)
	Actuarial (gains) losses		(269)		1,718		(178)		601
	Acquisitions		61		-		1,137		-
	Divestitures		-		-		-		(61)
	Benefits paid		(1,027)		(996)		(199)		(210)
	Settlements and curtailments		-		-		(11)		-
	Foreign currency and other		8		11		(400)		(362)
	Benefit obligation at end of year		17,298		18,035		6,338		5,761
Change in plan assets:
	Fair value of plan assets at beginning of year		17,066		16,727		5,333		5,037
	Actual return on plan assets		233		1,290		154		622
	Company contributions		34		36		147		187
	Acquisitions		43		-		1,036		-
	Benefits paid		(1,027)		(996)		(199)		(210)
	Foreign currency and other		-		9		(354)		(303)
	Fair value of plan assets at end of year		16,349		17,066		6,117		5,333
Funded status of plans		$	(949)	$	(969)	$	(221)	$	(428)
Amounts recognized in Consolidated Balance
Sheet consist of:
	Prepaid pension benefit cost(1)	$	-	$	-	$	427	$	270
	Accrued pension liabilities - current(2)		(51)		(74)		(7)		(8)
	Accrued pension liabilities - noncurrent(3)		(898)		(895)		(641)		(690)
Net amount recognized		$	(949)	$	(969)	$	(221)	$	(428)
(1) Included in other assets on Consolidated Balance Sheet
(2) Included in accrued liabilities on Consolidated Balance Sheet
(3) Included in other liabilities - noncurrent on Consolidated Balance Sheet

		Other Postretirement Benefits
		2015		2014
Change in benefit obligation:
	Benefit obligation at beginning of year	$	973	$	1,096
	Service cost		-		-
	Interest cost		33		42
	Plan amendments(1)		(290)		(87)
	Actuarial (gains) losses		(55)		46
	Benefits paid		(92)		(124)
	Benefit obligation at end of year		569		973
Change in plan assets:
	Fair value of plan assets at beginning of year		-		-
	Actual return on plan assets		-		-
	Company contributions		-		-
	Benefits paid		-		-
	Fair value of plan assets at end of year		-		-
Funded status of plans		$	(569)	$	(973)
Amounts recognized in Consolidated Balance Sheet consist of:
	Accrued liabilities	$	(85)	$	(111)
	Postretirement benefit obligations other than pensions(2)		(484)		(862)
Net amount recognized		$	(569)	$	(973)
(1) Elimination of retiree medical insurance coverage for certain retirees. Amount will be recognized as part of net postretirement benefit cost over the expected future lifetime of the remaining participants in the plan.
(2) Excludes non-U.S. plans of $42 million and $49 million in 2015 and 2014.

Amounts recognized in accumulated other comprehensive (income) loss associated with our significant pension and other postretirement benefit plans at December 31, 2015 and 2014 are as follows:

	Pension Benefits
	U.S. Plans				Non-U.S. Plans
	2015		2014		2015		2014
Transition obligation	$	-	$	-	$	-	$	1
Prior service (credit) cost		(355)		88		(22)		(27)
Net actuarial loss		1,005		281		464		493
Net amount recognized	$	650	$	369	$	442	$	467

	Other Postretirement Benefits
	2015		2014
Prior service (credit)	$	(496)	$	(235)
Net actuarial loss		189		278
Net amount recognized	$	(307)	$	43

The components of net periodic benefit (income) cost and other amounts recognized in other comprehensive (income) loss for our significant pension and other postretirement benefit plans include the following components:

			Pension Benefits
			U.S. Plans						Non-U.S. Plans
Net Periodic Benefit Cost				2015		2014		2013		2015		2014		2013
Service cost			$	223	$	241	$	272	$	51	$	56	$	58
Interest cost				696		771		677		177		231		215
Expected return on plan assets				(1,278)		(1,257)		(1,076)		(358)		(354)		(308)
Amortization of transition
	obligation			-		-		-		1		2		2
Amortization of prior service
	cost (credit)			13		23		23		(3)		(2)		(2)
Recognition of actuarial losses				52		26		-		15		223		51
Settlements and curtailments				8		-		-		2		-		-
Net periodic benefit (income) cost			$	(286)	$	(196)	$	(104)	$	(115)	$	156	$	16
Other Changes in Plan Assets and
Benefits Obligations Recognized in			U.S. Plans						Non-U.S. Plans
Other Comprehensive (Income) Loss				2015		2014		2013		2015		2014		2013
Actuarial losses (gains)			$	775	$	1,686	$	(3,090)	$	27	$	333	$	(48)
Prior service (credit) cost				(429)		-		14		-		(17)		-
Transition obligation
	recognized during year			-		-		-		(1)		(2)		(2)
Prior service (cost) credit
	recognized during year			(13)		(23)		(23)		3		2		2
Actuarial losses recognized
	during year			(52)		(26)		-		(17)		(223)		(51)
Foreign exchange translation
	adjustments			-		-		-		(37)		(50)		3
	Total recognized in other
		comprehensive (income) loss	$	281	$	1,637	$	(3,099)	$	(25)	$	43	$	(96)
	Total recognized in net periodic
		benefit (income) cost and other comprehensive
		(income) loss	$	(5)	$	1,441	$	(3,203)	$	(140)	$	199	$	(80)

The estimated prior service (credit) for pension benefits that will be amortized from accumulated other comprehensive (income) loss into net periodic benefit (income) cost in 2016 are expected to be ($44) million and ($3) million for U.S. and non-U.S. pension plans.

		Other Postretirement Benefits
		Years Ended December 31,
Net Periodic Benefit Cost			2015		2014		2013
Service cost		$	-	$	-	$	-
Interest cost			33		42		44
Amortization of prior service (credit)			(30)		(20)		(13)
Recognition of actuarial losses			34		24		27
Settlements and curtailments(1)			-		-		(42)
Net periodic benefit cost		$	37	$	46	$	16
	(1) Curtailment gain in 2013 related to elimination of retiree medical coverage for a union group
	in connection with a new collective bargaining agreement.
		Years Ended December 31,
Other Changes in Plan Assets and Benefits Obligations			2015		2014		2013
Recognized in Other Comprehensive (Income) Loss
Actuarial (gains) losses		$	(55)	$	46	$	(108)
Prior service (credit)			(290)		(87)		(175)
Prior service credit recognized during year			30		20		13
Actuarial losses recognized during year			(34)		(24)		(27)
Settlements and curtailments			-		-		42
Total recognized in other comprehensive (income)		$	(349)	$	(45)	$	(255)
Total recognized in net periodic benefit cost and
	other comprehensive (income) loss	$	(312)	$	1	$	(239)

The estimated net loss and prior service (credit) for other postretirement benefits that will be amortized from accumulated other comprehensive (income) loss into net periodic benefit (income) in 2016 are expected to be $22 million and ($76) million.

Major actuarial assumptions used in determining the benefit obligations and net periodic benefit (income) cost for our significant benefit plans are presented in the following table as weighted averages.

	Pension Benefits
	U.S. Plans						Non-U.S. Plans
	2015		2014		2013		2015		2014		2013
Actuarial assumptions used to determine
benefit obligations as of December 31:
Discount rate	4.46	%	4.08	%	4.89	%	3.49	%	3.26	%	4.29	%
Expected annual rate of
compensation increase	4.48	%	4.50	%	4.50	%	2.11	%	2.53	%	2.81	%
Actuarial assumptions used to determine
net periodic benefit (income) cost for
years ended December 31:
Discount rate	4.08	%	4.89	%	4.06	%	3.26	%	4.29	%	4.29	%
Expected rate of return
on plan assets	7.75	%	7.75	%	7.75	%	6.94	%	6.96	%	6.99	%
Expected annual rate of
compensation increase	4.50	%	4.50	%	4.50	%	2.53	%	2.81	%	3.55	%

			Other Postretirement Benefits
			2015		2014		2013
Actuarial assumptions used to determine benefit
	obligations as of December 31:
		Discount rate	3.80	%	3.45	%	4.05	%
Actuarial assumptions used to determine net periodic
	benefit cost for years ended December 31:
		Discount rate	3.45	%	4.05	%	3.40	%

The discount rate for our U.S. pension and other postretirement benefits plans reflects the current rate at which the associated liabilities could be settled at the measurement date of December 31. To determine discount rates for our U.S. pension and other postretirement benefit plans, we use a modeling process that involves matching the expected cash outflows of our benefit plans to a yield curve constructed from a portfolio of high quality, fixed-income debt instruments. We use the single weighted-average yield of this hypothetical portfolio as a discount rate benchmark. The discount rate used to determine the other postretirement benefit obligation is lower principally due to a shorter expected duration of other postretirement plan obligations as compared to pension plan obligations.

During the fourth quarter of 2015 we changed the methodology used to estimate the service and interest cost components of net periodic benefit (income) cost for our significant pension plans. Previously, we estimated such cost components utilizing a single weighted-average discount rate derived from the yield curve used to measure the pension benefit obligation. The new methodology utilizes a full yield curve approach in the estimation of these cost components by applying the specific spot rates along the yield curve used in the determination of the pension benefit obligation to their underlying projected cash flows and provides a more precise measurement of service and interest costs by improving the correlation between projected cash flows and their corresponding spot rates. The change does not affect the measurement of our pension obligation and is applied prospectively as a change in estimate.

For our U.S. pension plans, the single weighted-average spot rates used to determine service and interest costs for 2016 are 4.69% and 3.59%. We estimate the service and interest costs for our U.S. pension plans will be reduced by approximately $150 million in 2016.

Our expected rate of return on U.S. plan assets of 7.75% isa long-term rate based on historical plan asset returns over varying long-term periods combined with current market conditions and broad asset mix considerations. We review the expected rate of return on an annual basis and revise it as appropriate.

For non-U.S. benefit plans actuarial assumptions reflect economic and market factors relevant to each country. The impact of the discount rate methodology change on service and interest costs for our non-U.S. pension plans was not material.

Pension Benefits

Included in the aggregate data in the tables above are the amounts applicable to our pension plans with accumulated benefit obligations exceeding the fair value of plan assets. Amounts related to such plans were as follows:

	December 31,
	U.S. Plans		Non-U.S. Plans
	2015	2014	2015	2014
Projected benefit obligation	$17,298	$626	$1,624	$1,686
Accumulated benefit obligation	$16,899	$618	$1,574	$1,584
Fair value of plan assets	$16,349	$194	$976	$994

Accumulated benefit obligation for our U.S. defined benefit pension plans were $16.9billion and $17.2 billion and for our Non-U.S. defined benefit plans were $6.2 billion and $5.5 billion at December 31, 2015 and 2014.

Our asset investment strategy for our U.S. pension plans focuses on maintaining a diversified portfolio using various asset classes in order to achieve our long-term investment objectives on a risk adjusted basis. Our actual invested positions in various securities change over time based on short and longer-term investment opportunities. To achieve our objectives, we have established long-term target allocations as follows: 60%-70% equity securities, 10%-20% fixed income securities and cash, 5%-15% real estate investments, and 10%-20% other types of investments. Equity securities include publicly-traded stock of companies located both inside and outside the United States. Fixed income securities include corporate bonds of companies from diversified industries, mortgage-backed securities, and U.S. Treasuries. Real estate investments include direct investments in commercial properties and investments in real estate funds. Other types of investments include investments in private equity and hedge funds that follow several different strategies. We review our assets on a regular basis to ensure that we are within the targeted asset allocation ranges and, if necessary, asset balances are adjusted back within target allocations.

Our non-U.S. pension assets are typically managed by decentralized fiduciary committees with the Honeywell Corporate Investments group providing standard funding and investment guidance. Our non-U.S. investment policies are different for each country aslocal regulations, funding rules, and financial and tax considerations are part of the funding and investment allocation process in each country.

The fair values of both our U.S. and non-U.S. pension plans assets by asset category are as follows:

		U.S. Plans
		December 31, 2015
			Total		Level 1		Level 2		Level 3
Common stock/preferred stock:
	Honeywell common stock	$	1,916	$	1,916		-		-
	U.S. large cap stocks		3,761		3,761		-		-
	U.S. mid cap stocks		722		722		-		-
	U.S. small cap stocks		89		89		-		-
	International stocks		2,099		1,943		156		-
	Real estate investment trusts		209		209		-		-
Fixed income investments:
	Short term investments		1,332		1,332		-		-
	Government securities		425		-		425		-
	Corporate bonds		3,003		-		3,003		-
	Mortgage/Asset-backed securities		561		-		561		-
	Insurance contracts		7		-		7		-
Investments in private funds:
	Private funds		889		-		-		889
	Hedge funds		19		-		-		19
	Real estate funds		156		-		-		156
Direct investments:
	Direct private investments		535		-		-		535
	Real estate properties		626		-		-		626
		$	16,349	$	9,972	$	4,152	$	2,225

		U.S. Plans
		December 31, 2014
			Total		Level 1		Level 2		Level 3
Common stock/preferred stock:
	Honeywell common stock	$	1,851	$	1,851	$	-	$	-
	U.S. large cap stocks		3,913		3,867		46		-
	U.S. mid cap stocks		1,028		1,018		10		-
	U.S. small cap stocks		219		219		-		-
	International stocks		2,576		2,400		176		-
	Real estate investment trusts		204		204		-		-
Fixed income investments:
	Short term investments		1,078		1,078		-		-
	Government securities		438		-		438		-
	Corporate bonds		2,988		-		2,988		-
	Mortgage/Asset-backed securities		635		-		635		-
	Insurance contracts		7		-		7		-
Investments in private funds:
	Private funds		999		-		-		999
	Hedge funds		3		-		-		3
	Real estate funds		226		-		-		226
Direct investments:
	Direct private investments		301		-		-		301
	Real estate properties		600		-		-		600
		$	17,066	$	10,637	$	4,300	$	2,129

		Non-U.S. Plans
		December 31, 2015
			Total		Level 1		Level 2		Level 3
Common stock/preferred stock:
	U.S. companies	$	569	$	479		90		-
	Non-U.S. companies		2,200		228		1,972		-
Fixed income investments:
	Short-term investments		108		105		3		-
	Government securities		1,621		-		1,621		-
	Corporate bonds		1,073		-		1,073		-
	Mortgage/Asset-backed securities		94		-		94		-
	Insurance contracts		170		-		170		-
Investments in private funds:
	Private funds		61		-		-		61
	Hedge funds		-		-		-		-
	Real estate funds		221		-		-		221
		$	6,117	$	812	$	5,023	$	282

		Non-U.S. Plans
		December 31, 2014
			Total		Level 1		Level 2		Level 3
Common stock/preferred stock:
	U.S. companies	$	534	$	464	$	70	$	-
	Non-U.S. companies		1,876		225		1,651		-
Fixed income investments:
	Short-term investments		117		113		4		-
	Government securities		1,495		-		1,495		-
	Corporate bonds		857		-		857		-
	Mortgage/Asset-backed securities		19		-		19		-
	Insurance contracts		186		-		186		-
Investments in private funds:
	Private funds		62		-		-		62
	Hedge funds		2		-		-		2
	Real estate funds		185		-		-		185
		$	5,333	$	802	$	4,282	$	249

The following tables summarize changes in the fair value of Level 3 assets:

			U.S. Plans
						Direct
				Private		Private		Hedge		Real Estate		Real Estate
				Funds		Investments		Funds		Funds		Properties
Balance at December 31, 2013				$	1,058		278		6		237		627
Actual return on plan assets:
	Relating to assets still held
		at year-end			(50)		(10)		(2)		21		10
	Relating to assets sold
		during the year			94		59		2		-		53
Purchases					168		92		3		8		38
Sales and settlements					(271)		(118)		(6)		(40)		(128)
Balance at December 31, 2014					999		301		3		226		600
Actual return on plan assets:
	Relating to assets still held
		at year-end			(87)		47		(2)		(20)		16
	Relating to assets sold
		during the year			85		21		-		4		14
Purchases					142		242		19		5		16
Sales and settlements					(250)		(76)		(1)		(59)		(20)
Balance at December 31, 2015				$	889	$	535	$	19	$	156	$	626
						Non-U.S. Plans
						Private		Hedge		Real Estate
						Funds		Funds		Funds
Balance at December 31, 2013						$	67		62		181
Actual return on plan assets:
	Relating to assets still held at year-end						(4)		(11)		17
	Relating to assets sold during the year						6		12		1
Purchases							-		-		4
Sales and settlements							(7)		(61)		(18)
Balance at December 31, 2014							62		2		185
Actual return on plan assets:
	Relating to assets still held at year-end						(7)		-		24
	Relating to assets sold during the year						7		-		(3)
Purchases							11		-		41
Sales and settlements							(12)		(2)		(26)
Balance at December 31, 2015						$	61	$	-	$	221

The Company enters into futures contracts to gain exposure to certain markets. Sufficient cash or cash equivalents are held by our pension plans to cover the notional value of the futures contracts. At December 31, 2015 and 2014,our U.S. plans had contracts with notional amounts of $2,613 million and $2,354 million. At December 31, 2015 and 2014, our non-U.S. plans had contracts with notional amounts of $54 million and $65 million. In both our U.S. and non-U.S. pension plans, the notional derivative exposure is primarily related to outstanding equity futures contracts.

Common stocks, preferred stocks, real estate investment trusts, and short-term investments are valued at the closing price reported in the active market in which the individual securities are traded. Corporate bonds, mortgages, asset-backed securities, and government securities are valued either by using pricing models, bids provided by brokers or dealers, quoted prices of securities with similar characteristics or discounted cash flows and as such include adjustments for certain risks that may not be observable such as credit and liquidity risks. Certain securities are held in commingled funds which are valued using net asset values provided by the administrators of the funds. Investments in private equity, debt, real estate and hedge funds and direct private investments are valued at estimated fair value based on quarterly financial information received from the investment advisor and/or general partner. Investments in real estate properties are valued on a quarterly basis using the income approach. Valuation estimates are periodically supplemented by third party appraisals.

Our general funding policy for qualified defined benefit pension plans is to contribute amounts at least sufficient to satisfy regulatory funding standards. In2015, 2014 and 2013, we were not required to make contributions to our U.S. pension plans and no contributions were made. We are not required to make any contributions to our U.S. pension plans in 2016. In 2015, contributions of $139 million were made to our non-U.S. pension plans to satisfy regulatory funding requirements. In 2016, we expect to make contributions of cash and/or marketable securities of approximately $160 million to our non-U.S. pension plans to satisfy regulatory funding standards. Contributions for both our U.S. and non-U.S. pension plans do not reflect benefits paid directly from Company assets.

Benefit payments, including amounts to be paid from Company assets, and reflecting expected future service, as appropriate, are expected to be paid as follows:

		U.S. Plans		Non-U.S. Plans
2016	$	1,151	$	243
2017		1,125		252
2018		1,138		258
2019		1,153		265
2020		1,166		272
2021-2025		5,922		1,474

Other Postretirement Benefits

		December 31,
		2015			2014
Assumed health care cost trend rate:
	Health care cost trend rate assumed for next year		7.00	%		7.00	%
	Rate that the cost trend rate gradually declines to		5.00	%		5.00	%
	Year that the rate reaches the rate it is assumed to remain at		2023			2023

The assumed health care cost trend rate has a significant effect on the amounts reported. A one-percentage-point change in the assumed health care cost trend rate would have the following effects:

	1 percentage point
		Increase		Decrease
Effect on total of service and interest cost components	$	1	$	(1)
Effect on postretirement benefit obligation	$	27	$	(20)

Benefit payments reflecting expected future service, as appropriate, are expected to be paid
as follows:
	Without Impact of			Net of
	Medicare Subsidy			Medicare Subsidy
2016		$	91		$	84
2017			67			63
2018			63			58
2019			58			53
2020			54			50
2021-2025			189			171

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SEGMENT FINANCIAL DATA

12 Months Ended

Dec. 31, 2015

Segment Financial Data [Abstract]

Segment Financial Data

Note21. Segment Financial Data

We globally manage our business operations through three reportable operating segments. Segment information is consistent with how management reviews the businesses, makes investing and resource allocation decisions and assesses operating performance.

Honeywell’s senior management evaluates segment performance based on segment profit. Segment profit is measured as business unit income (loss) before taxes excluding general corporate unallocated expense, other income (expense), interest and other financial charges, pension and other postretirement benefits (expense), stock compensation expense and repositioning andothercharges.

		Years Ended December 31,
Net Sales		2015		2014		2013
Aerospace
Product	$	10,379	$	10,773	$	10,798
Service		4,858		4,825		4,937
Total		15,237		15,598		15,735
Automation and Control Solutions
Product		12,882		13,219		12,253
Service		1,227		1,268		1,212
Total		14,109		14,487		13,465
Performance Materials and Technologies
Product		7,434		8,406		8,163
Service		1,801		1,815		1,692
Total		9,235		10,221		9,855
	$	38,581	$	40,306	$	39,055
Depreciation and amortization
Aerospace	$	267	$	277	$	290
Automation and Control Solutions		277		306		302
Performance Materials and Technologies		282		284		336
Corporate		57		57		61
	$	883	$	924	$	989
Segment Profit
Aerospace	$	3,218	$	2,915	$	2,870
Automation and Control Solutions		2,313		2,200		1,983
Performance Materials and Technologies		1,935		1,817		1,725
Corporate		(210)		(236)		(227)
	$	7,256	$	6,696	$	6,351
Capital expenditures
Aerospace	$	314	$	315	$	310
Automation and Control Solutions		152		145		132
Performance Materials and Technologies		479		537		448
Corporate		128		97		57
	$	1,073	$	1,094	$	947
		December 31,
Total Assets		2015		2014		2013
Aerospace	$	11,235	$	11,151	$	11,379
Automation and Control Solutions		22,355		17,191		17,675
Performance Materials and Technologies		10,300		9,699		9,534
Corporate		5,426		7,410		6,847
	$	49,316	$	45,451	$	45,435

A reconciliation of segment profit to consolidated income from continuing operations before taxes are as follows:
		Years Ended December 31,
		2015		2014		2013
Segment Profit	$	7,256	$	6,696	$	6,351
Other income (expense)(1)		38		269		202
Interest and other financial charges		(310)		(318)		(327)
Stock compensation expense(2)		(175)		(187)		(170)
Pension ongoing income (expense)(2)		430		254		90
Pension mark-to-market expense(2)		(67)		(249)		(51)
Other postretirement income (expense)(2)		(40)		(49)		(20)
Repositioning and other charges (2)		(546)		(598)		(663)
Income from continuing operations before taxes	$	6,586	$	5,818	$	5,412
(1) Equity income (loss) of affiliated companies is included in Segment Profit.
(2) Amounts included in cost of products and services sold and selling, general and administrative
expenses.

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GEOGRAPHIC AREAS FINANCIAL DATA

12 Months Ended

Dec. 31, 2015

Geographic Areas Financial Data [Abstract]

Geographic Areas - Financial Data

Note 22. Geographic Areas - Financial Data

	Net Sales(1)						Long-lived Assets(2)
		Years Ended December 31,						December 31,
		2015		2014		2013		2015		2014		2013
United States	$	23,771	$	23,911	$	22,978	$	3,939	$	3,612	$	3,393
Europe		8,674		9,870		9,804		746		741		905
Other International		6,136		6,525		6,273		1,104		1,030		980
	$	38,581	$	40,306	$	39,055	$	5,789	$	5,383	$	5,278
(1) Sales between geographic areas approximate market and are not significant. Net sales are classified according to their country of origin. Included in United States net sales are export sales of $5,526 million, $5,647 million and $5,431 million in 2015, 2014 and 2013.
(2) Long-lived assets are comprised of property, plant and equipment - net.

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SUPPLEMENTAL CASH FLOW INFORMATION

12 Months Ended

Dec. 31, 2015

Supplemental Cash Flow Information [Abstract]

Supplemental Cash Flow Information

Note 23. Supplemental Cash Flow Information

	Years Ended December 31,
	2015		2014		2013
Payments for repositioning and other charges:
Severance and exit cost payments	$	(118)	$	(161)	$	(160)
Environmental payments		(273)		(321)		(304)
Insurance receipts for asbestos related liabilities		63		211		58
Asbestos related liability payments		(209)		(259)		(357)
	$	(537)	$	(530)	$	(763)
Interest paid, net of amounts capitalized	$	310	$	312	$	330
Income taxes paid, net of refunds		1,192		1,142		1,271
Non-cash investing and financing activities:
Common stock contributed to savings plans		174		168		159
Marketable securities contributed to non-U.S. pension plans		109		117		-

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UNAUDITED QUARTERLY FINANCIAL INFORMATION

12 Months Ended

Dec. 31, 2015

Unaudited Quarterly Financial Information [Abstract]

Unaudited Quarterly Financial Information

Note 24. Unaudited Quarterly Financial Information

		2015
		Mar. 31		June 30		Sept. 30		Dec. 31		Year
Net Sales	$	9,213	$	9,775	$	9,611	$	9,982	$	38,581
Gross Profit		2,851		2,961		2,957		3,065		11,834
Net income attributable to Honeywell		1,116		1,194		1,264		1,194		4,768
Earnings per share - basic		1.42		1.52		1.62		1.55		6.11
Earnings per share - assuming dilution		1.41		1.51		1.60		1.53		6.04
Dividends paid per share		0.5175		0.5175		0.5175		0.5950		2.15
Market Price per share
High		101.76		104.17		104.29		101.65		104.29
Low		98.78		102.87		101.72		92.93		92.93
		2014
		Mar. 31		June 30		Sept. 30		Dec. 31		Year
Net Sales	$	9,679	$	10,253	$	10,108	$	10,266	$	40,306
Gross Profit		2,712		2,957		2,980		2,700		11,349
Net income attributable to Honeywell		1,017		1,099		1,167		956		4,239
Earnings per share - basic		1.30		1.40		1.49		1.22		5.40
Earnings per share - assuming dilution		1.28		1.38		1.47		1.20		5.33
Dividends paid per share		0.4500		0.4500		0.4500		0.5175		1.87
Market Price per share
High		95.44		95.81		97.34		101.98		101.98
Low		88.47		90.36		90.56		85.11		85.11

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SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)

12 Months Ended

Dec. 31, 2015

Significant Accounting Policies [Abstract]

Accounting Principles

Accounting Principles—The financial statements and accompanying notes are prepared in accordance with accounting principles generally accepted in the United States of America. The following is a description of Honeywell’ssignificant accounting policies.

Principles of Consolidation

Principles of Consolidation—The consolidated financial statements include the accounts of Honeywell International Inc. and all of its subsidiaries and entities in which a controlling interest is maintained. Our consolidation policy requires equity investments that we exercise significant influence over but do not control the investee and are not the primary beneficiary of the investee’s activities to be accounted for using the equity method. Investments through which we are not able to exercise significant influence over the investee and which we do not have readily determinable fair values are accounted for under the cost method. All intercompany transactions and balances are eliminated in consolidation.

Redeemable noncontrolling interest is considered to be temporary equity and is therefore reported outside of permanent equity on the Consolidated Balance Sheet at the greater of the initial carrying amount adjusted for the noncontrolling interest's share of net income (loss) or its redemption value.

Property, Plant and Equipment

Property, Plant and Equipment—Property, plant and equipment are recorded at cost, including any asset retirement obligations, less accumulated depreciation. For financial reporting, the straight-line method of depreciation is used over the estimated useful lives of 10 to 50 years for buildings and improvements and 2 to 16 years for machinery and equipment. Recognition of the fair value of obligations associated with the retirement of tangible long-lived assets is required when there is a legal obligation to incur such costs. Upon initial recognition of a liability, the cost is capitalized as part of the related long-lived asset and depreciated over the corresponding asset’s useful life.

Goodwill and Indefinite-Lived Intangible Assets

Goodwill and Indefinite-Lived Intangible Assets—Goodwill and indefinite-lived intangible assets are subject to impairment testing annually as of March 31, or whenever events or changes in circumstances indicate that the carrying amount may not be fully recoverable. This testing compares carrying values to fair values and, when appropriate, the carrying value of these assets is reduced to fair value. We completed our annual goodwill impairment test as of March 31, 2015 and determined that there was no impairment as of that date.

Other Intangible Assets with Determinable Lives

Other Intangible Assets with Determinable Lives—Other intangible assets with determinable lives consist of customer lists, technology, patents and trademarks and other intangibles and are amortized over their estimated useful lives, ranging from 2 to 24 years.

Sales Recognition

Sales Recognition—Product and service sales are recognized when persuasive evidence of an arrangement exists, product delivery has occurred or services have been rendered, pricing is fixed or determinable, and collection is reasonably assured. Service sales, principally representing repair, maintenance and engineering activities are recognized over the contractual period or as services are rendered. Sales under long-term contracts are recorded on a percentage-of-completion method measured on the cost-to-cost basis for engineering-type contracts and the units-of-delivery basis for production-type contracts. Provisions for anticipated losses on long-term contracts are recorded in full when such losses become evident. Revenues from contracts with multiple element arrangements are recognized as each element is earned based on the relative fair value of each element provided the delivered elements have value to customers on a standalone basis. Amounts allocated to each element are based on its objectively determined fair value, such as the sales price for the product or service when it is sold separately or competitor prices for similar products or services.

Environmental

Environmental—We accrue costs related to environmental matters when it is probable that we have incurred a liability related to a contaminated site and the amount can be reasonably estimated. For additional information, see Note 19Commitments and Contingencies.

Asbestos Related Contingencies and Insurance Recoveries

Asbestos Related Contingencies and Insurance Recoveries—We recognize a liability for any asbestos related contingency that is probable of occurrence and reasonably estimable. In connection with the recognition of liabilities for asbestos related matters, we record asbestos related insurance recoveries that are deemed probable. For additional information, see Note 19Commitments and Contingencies.

Aerospace Sales Incentives

Aerospace Sales Incentives—We provide sales incentives to commercial aircraft manufacturers and airlines in connection with their selection of our aircraft equipment, predominately wheel and braking system hardware, avionics, and auxiliary power units, for installation on commercial aircraft. These incentives consist of free or deeply discounted products, credits for future purchases of product and upfront cash payments. These costs are recognized in the period incurred as cost of products sold or as a reduction to sales, as appropriate.

Research and Development

Research and Development—Research and development costs for company-sponsored research and development projects are expensed as incurred. Such costs are principally included in cost of products sold and were $1,856 million, $1,892 million and $1,804 million in 2015, 2014 and 2013.

Stock-Based Compensation Plans

Stock-Based Compensation Plans—The principal awards issued under our stock-based compensation plans, which are described in Note 18 Stock-Based Compensation Plans,are non-qualified stock options and restricted stock units. The cost for such awards is measured at the grant date based on the fair value of the award. The value of the portion of the award that is ultimately expected to vest is recognized as expense over the requisite service periods (generally the vesting period of the equity award) and is included in selling, general and administrative expenses. Forfeitures are estimated at the time of grant to recognize expense for those awards that are expected to vest and are based on our historical forfeiture rates.

Pension Benefits

Pension Benefits—We recognize net actuarial gains or losses in excess of10% of the greater of the fair value of plan assets or the plans’ projected benefit obligation (the corridor) annually in the fourth quarter each year (MTM Adjustment), and, if applicable, in any quarter in which an interim remeasurement is triggered. The remaining components of pension (income) expense, primarily service and interest costs and assumed return on plan assets, are recognized on a quarterly basis (Pension ongoing (income) expense).

Foreign Currency Translation

Foreign Currency Translation—Assets and liabilities of subsidiaries operating outside the United States with a functional currency other than U.S. Dollars are translated into U.S. Dollars using year-end exchange rates. Sales, costs and expenses are translated at the average exchange rates in effect during the year. Foreign currency translation gains and losses are included as a component of accumulated other comprehensive income (loss). For subsidiaries operating in highly inflationary environments, inventories and property, plant and equipment, including related expenses, are remeasured at the exchange rate in effect on the date the assets were acquired, while monetary assets and liabilities are remeasured at year-end exchange rates. Remeasurement adjustments for these subsidiaries are included in earnings.

Derivative Financial Instruments

Derivative Financial Instruments—We minimize our risks from interest and foreign currency exchange rate fluctuations through our normal operating and financing activities and, when deemed appropriate through the use of derivative financial instruments. Derivative financial instruments are used to manage risk and are not used for trading or other speculative purposes and we do not use leveraged derivative financial instruments. Derivative financial instruments that qualify for hedge accounting must be designated and effective as a hedge of the identified risk exposure at the inception of the contract. Accordingly, changes in fair value of the derivative contract must be highly correlated with changes in fair value of the underlying hedged item at inception of the hedge and over the life of the hedge contract.

All derivatives are recorded on the balance sheet as assets or liabilities and measured at fair value. For derivatives designated as hedges of the fair value of assets or liabilities, the changes in fair values of both the derivatives and the hedged items are recorded in current earnings. For derivatives designated as cash flow hedges, the effective portion of the changes in fair value of the derivatives are recorded in accumulated other comprehensive income (loss) and subsequently recognized in earnings when the hedged items impact earnings. Cash flows of such derivative financial instruments are classified consistent with the underlying hedged item.

Income Taxes

Income Taxes—Significant judgment is required in evaluating tax positions. We establish additional reserves for income taxes when, despite the belief that tax positions are fully supportable, there remain certain positions that do not meet the minimum recognition threshold. The approach for evaluating certain and uncertain tax positions is defined by the authoritative guidance which determines when a tax position is more likely than not to be sustained upon examination by the applicable taxing authority. In the normal course of business, the Company and its subsidiaries are examined by various federal, state and foreign tax authorities. We regularly assess the potential outcomes of these examinations and any future examinations for the current or prior years in determining the adequacy of our provision for income taxes. We continually assess the likelihood and amount of potential adjustments and adjust the income tax provision, the current tax liability and deferred taxes in the period in which the facts that give rise to a change in estimate become known.

Earnings Per Share

Earnings Per Share—Basic earnings per share is based on the weighted average number of common shares outstanding. Diluted earnings per share is based on the weighted average number of common shares outstanding and all dilutive potential common shares outstanding.

Reclassifications

Reclassifications—Certain prior year amounts have been reclassified to conform to the current year presentation.

Recent Accounting Pronouncements

Recent Accounting Pronouncements—We consider the applicability and impact of all Accounting Standards Updates (ASUs). ASUs not listed below were assessed and determined to be either not applicable or are expected to have minimal impact on our consolidated financial position or results of operations.

In November 2015, the Financial Accounting Standards Board (FASB) issued guidance to simplify the presentation of deferred income taxes by permitting classification of all deferred tax assets and liabilities as noncurrent on the consolidated balance sheet. The Company has elected to early adopt the guidance on a prospective basis effective with the consolidated balance sheet as of December 31, 2015. This is a change from the Company’s historical presentation whereby certain deferred tax assets and liabilities were classified as current and the remainder were classified as non-current. Adoption of the guidance resulted in a reclassification of $662 million fromcurrent assets and $32 millionfromcurrent liabilities within the consolidated balance sheet as of December 31, 2015.

In May 2014, the FASB issued guidance on revenue from contracts with customers that will supersede most current revenue recognition guidance, including industry-specific guidance. The underlying principle is that an entity will recognize revenue to depict the transfer of goods or services to customers at an amount that the entity expects to be entitled to in exchange for those goods or services. The guidance provides a five-step analysis of transactions to determine when and how revenue is recognized. Other major provisions include capitalization of certain contract costs, consideration of time value of money in the transaction price, and allowing estimates of variable consideration to be recognized before contingencies are resolved in certain circumstances. The guidance also requires enhanced disclosures regarding the nature, amount, timing and uncertainty of revenue and cash flows arising from an entity’s contracts with customers. The effective date was deferred for one year to the interim and annual periods beginning on or after December 15, 2017. Early adoption is permitted as of the original effective date – interim and annual periods beginning on or after December 15, 2016. The guidance permits the use of either a retrospective or cumulative effect transition method. We have not yet selected a transition method and are currently evaluating the impact of the amended guidance on our consolidated financial position, results of operations and related disclosures.

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ACQUISITIONS (Tables)

12 Months Ended

Dec. 31, 2015

Acquisitions [Abstract]

Schedule Of Business Acquisitions By Acquisition [Text Block]

Current assets	$532
Intangible assets	2,463
Other noncurrent assets	179
Current liabilities	(658)
Noncurrent liabilities	(836)
Net assets acquired	1,680
Noncontrolling interest	(3)
Goodwill	3,222
Purchase Price	$4,899

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REPOSITIONING AND OTHER CHARGES (Tables)

12 Months Ended

Dec. 31, 2015

Repositioning And Other Charges [Abstract]

Repositioning and other charges text block

	A summary of repositioning and other charges follows:
			Years Ended December 31,
			2015		2014		2013
Severance		$	197	$	156	$	186
Asset impairments			13		12		23
Exit costs			6		16		22
Reserve adjustments			(53)		(38)		(30)
	Total net repositioning charge		163		146		201
Asbestos related litigation charges, net of insurance			189		182		181
Probable and reasonably estimable environmental liabilities			194		268		272
Other			-		2		9
	Total net repositioning and other charges	$	546	$	598	$	663

Pretax distribution of total net repositioning and other charges by income statement classification

The following table summarizes the pretax distribution of total net repositioning and other charges by income statement classification:
		Years Ended December 31,
		2015		2014		2013
Cost of products and services sold	$	483	$	525	$	566
Selling, general and administrative expenses		63		73		97
	$	546	$	598	$	663

Pretax Impact of Total Net Repositioning and Other Charges by Segment

The following table summarizes the pretax impact of total net repositioning and other charges by segment:
		Years Ended December 31,
		2015		2014		2013
Aerospace	$	211	$	193	$	235
Automation and Control Solutions		77		80		68
Performance Materials and Technologies		40		33		56
Corporate		218		292		304
	$	546	$	598	$	663

Total Repositioning Reserves

	The following table summarizes the status of our total repositioning reserves:
			Severance		Asset		Exit
			Costs		Impairments		Costs		Total
Balance at December 31, 2012		$	276	$	-	$	47	$	323
	2013 charges		186		23		22		231
	2013 usage - cash		(139)		-		(21)		(160)
	2013 usage - noncash		-		(23)		-		(23)
	Adjustments		(27)		-		(3)		(30)
	Foreign currency translation		6		-		-		6
Balance at December 31, 2013			302		-		45		347
	2014 charges		156		12		16		184
	2014 usage - cash		(135)		-		(26)		(161)
	2014 usage - noncash		-		(12)		-		(12)
	Adjustments		(33)		-		(5)		(38)
	Foreign currency translation		(5)		-		-		(5)
Balance at December 31, 2014			285		-		30		315
	2015 charges		197		13		6		216
	2015 usage - cash		(109)		-		(9)		(118)
	2015 usage - noncash		-		(13)		-		(13)
	Acquisitions		16		-		-		16
	Adjustments		(49)		-		(4)		(53)
	Foreign currency translation		(11)		-		(2)		(13)
Balance at December 31, 2015		$	329	$	-	$	21	$	350

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OTHER (INCOME) EXPENSE (Tables)

12 Months Ended

Dec. 31, 2015

Other Income Expense [Abstract]

Other (income) expense

		Years Ended December 31,
		2015		2014		2013
Equity (income) loss of affiliated companies	$	(30)	$	(36)	$	(36)
Gain on sale of available for sale investments		-		(221)		(195)
Loss on sale of non-strategic businesses and assets		1		11		20
Interest income		(104)		(102)		(69)
Foreign exchange		43		34		34
Other, net		22		9		8
	$	(68)	$	(305)	$	(238)

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INCOME TAXES (Tables)

12 Months Ended

Dec. 31, 2015

Income Taxes [Abstract]

Income from continuing operations by region

Income from continuing operations before taxes
			Years Ended December 31,
			2015		2014		2013
	U.S.	$	3,361	$	3,340	$	3,002
	Non-U.S.		3,225		2,478		2,410
		$	6,586	$	5,818	$	5,412

Tax Expense Continuing Operations Current and Deferred

Tax expense (benefit)
			Years Ended December 31,
			2015		2014		2013
	Tax expense (benefit) consists of
	Current:
	U.S. Federal	$	786	$	746	$	663
	U.S. State		78		39		97
	Non-U.S.		560		572		428
		$	1,424	$	1,357	$	1,188
	Deferred:
	U.S. Federal	$	196	$	114	$	160
	U.S. State		49		63		72
	Non-U.S.		70		(45)		30
			315		132		262
		$	1,739	$	1,489	$	1,450

Effective income tax rate reconciliation

	Years Ended December 31,
	2015		2014		2013
The U.S. federal statutory income tax rate is reconciled to our effective income tax rate as follows:
U.S. federal statutory income tax rate	35.0	%	35.0	%	35.0	%
Taxes on non-U.S. earnings below U.S. tax rate(1)	(8.0)		(7.0)		(7.2)
U.S. state income taxes(1)	1.2		1.2		1.8
Manufacturing incentives	(1.5)		(1.0)		(0.9)
ESOP dividend tax benefit	(0.4)		(0.4)		(0.5)
Tax credits	(1.0)		(1.0)		(1.8)
Reserves for tax contingencies	0.7		(0.2)		0.6
All other items—net	0.4		(1.0)		(0.2)
	26.4	%	25.6	%	26.8	%
(1) Net of changes in valuation allowance

Deferred Tax Assets, Liabilities

	December 31,
Deferred tax assets:	2015		2014
Pension	$	500	$	573
Postretirement benefits other than pensions		292		441
Asbestos and environmental		473		477
Employee compensation and benefits		387		387
Other accruals and reserves		626		672
Net operating and capital losses		620		639
Tax credit carryforwards		198		199
Gross deferred tax assets		3,096		3,388
Valuation allowance		(589)		(560)
Total deferred tax assets	$	2,507	$	2,828
Deferred tax liabilities:
Property, plant and equipment	$	(661)	$	(612)
Intangibles		(1,797)		(1,060)
Other asset basis differences		(293)		(286)
Other		(31)		(7)
Total deferred tax liabilities		(2,782)		(1,965)
Net deferred tax (liability) asset	$	(275)	$	863

Summary of Operating Loss Carryforwards

			Net Operating
	Expiration		and Capital Loss		Tax Credit
Jurisdiction	Period		Carryforwards		Carryforwards
U.S. Federal	2032	$	2	$	45
U.S. State	2034		1,315		25
Non-U.S.	2035		517		131
Non-U.S.	Indefinite		2,339		-
		$	4,173	$	201

Change in unrecognized tax benefits

	2015		2014		2013
Change in unrecognized tax benefits:
Balance at beginning of year	$	659	$	729	$	722
Gross increases related to current period tax positions		56		65		41
Gross increases related to prior periods tax positions		175		204		118
Gross decreases related to prior periods tax positions		(72)		(277)		(21)
Decrease related to resolutions of audits with tax authorities		(11)		(32)		(92)
Expiration of the statute of limitations for the assessment of taxes		(13)		(10)		(30)
Foreign currency translation		(29)		(20)		(9)
Balance at end of year	$	765	$	659	$	729

Summary of Income Tax Examinations

	Open Tax Years
	Based on Originally Filed Returns
Jurisdiction	Examination in	Examination not yet
	progress	initiated
U.S. Federal	2010 - 2012	2013 - 2015
U.S. State	2008 - 2014	2011 - 2015
United Kingdom	N/A	2013 - 2015
Canada(1)	2010 - 2013	2014 - 2015
Germany(1)	2008 - 2012	2013 - 2015
France	2012 - 2014	2005 - 2011, 2015
Netherlands	2009	2011 - 2015
Australia	N/A	2010 - 2015
China	2003 - 2014	2015
India	1999 - 2013	2014 - 2015
Italy	2008 - 2012	2014 - 2015
(1) Includes provincial or similar local jurisdictions, as applicable.

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EARNINGS PER SHARE (Tables)

12 Months Ended

Dec. 31, 2015

Earnings Per Share (Tables) [Abstract]

Earnings per share basic

		Years Ended December 31,
Basic		2015		2014		2013
Net income attributable to Honeywell	$	4,768	$	4,239	$	3,924
Weighted average shares outstanding		779.8		784.4		786.4
Earnings per share of common stock	$	6.11	$	5.40	$	4.99

Earnings per share diluted

		Years Ended December 31,
Assuming Dilution		2015		2014		2013
Net income attributable to Honeywell	$	4,768	$	4,239	$	3,924
Average Shares
Weighted average shares outstanding		779.8		784.4		786.4
Dilutive securities issuable - stock plans		9.5		10.8		10.9
Total weighted average diluted shares outstanding		789.3		795.2		797.3
Earnings per share of common stock -
assuming dilution	$	6.04	$	5.33	$	4.92

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ACCOUNTS, NOTES AND OTHER RECEIVABLES (Tables)

12 Months Ended

Dec. 31, 2015

Accounts, Notes And Other Receivables [Abstract]

Schedule of trade, notes, and other receivables

		December 31,
		2015		2014
Trade	$	7,901	$	7,788
Other		436		445
		8,337		8,233
Less - Allowance for doubtful accounts		(262)		(273)
	$	8,075	$	7,960

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INVENTORIES (Tables)

12 Months Ended

Dec. 31, 2015

Inventories [Abstract]

Inventories

	December 31,
		2015		2014
Raw materials	$	1,120	$	1,124
Work in process		826		815
Finished products		2,590		2,634
		4,536		4,573
Reduction to LIFO cost basis		(116)		(168)
	$	4,420	$	4,405

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PROPERTY, PLANT AND EQUIPMENT (Tables)

12 Months Ended

Dec. 31, 2015

Property Plant And Equipment [Abstract]

Plant, property and equipment

	December 31,
	2015		2014
Land and improvements	$	367	$	343
Machinery and equipment		10,505		10,313
Buildings and improvements		3,188		3,119
Construction in progress		848		727
		14,908		14,502
Less—Accumulated depreciation		(9,119)		(9,119)
	$	5,789	$	5,383

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GOODWILL AND OTHER INTANGIBLES-NET (Tables)

12 Months Ended

Dec. 31, 2015

Goodwill And Other Intangible Assets, Net (Tables) [Abstract]

Carrying amount of goodwill

						Currency
		December 31,		Acquisitions/		Translation		December 31,
		2014		Divestitures		Adjustment		2015
Aerospace	$	2,258	$	49	$	(11)	$	2,296
Automation and Control
Solutions		7,824		2,980		(216)		10,588
Performance Materials
and Technologies		2,706		370		(65)		3,011
	$	12,788	$	3,399	$	(292)	$	15,895

Acquired Finite-Lived Intangible Assets [Table Text Block]

Other intangible assets are comprised of:
		December 31, 2015						December 31, 2014
		Gross				Net		Gross				Net
		Carrying		Accumulated		Carrying		Carrying		Accumulated		Carrying
		Amount		Amortization		Amount		Amount		Amortization		Amount
Determinable life intangibles:
Patents and technology	$	1,688	$	(1,061)	$	627	$	1,400	$	(1,005)	$	395
Customer relationships		3,558		(942)		2,616		1,867		(857)		1,010
Trademarks		230		(131)		99		191		(125)		66
Other		323		(264)		59		291		(260)		31
		5,799		(2,398)		3,401		3,749		(2,247)		1,502
Indefinite life intangibles:
Trademarks		1,176		-		1,176		706		-		706
	$	6,975	$	(2,398)	$	4,577	$	4,455	$	(2,247)	$	2,208

Acquired Indefinite-Lived Intangible Assets [Table Text Block]

Other intangible assets are comprised of:
		December 31, 2015						December 31, 2014
		Gross				Net		Gross				Net
		Carrying		Accumulated		Carrying		Carrying		Accumulated		Carrying
		Amount		Amortization		Amount		Amount		Amortization		Amount
Determinable life intangibles:
Patents and technology	$	1,688	$	(1,061)	$	627	$	1,400	$	(1,005)	$	395
Customer relationships		3,558		(942)		2,616		1,867		(857)		1,010
Trademarks		230		(131)		99		191		(125)		66
Other		323		(264)		59		291		(260)		31
		5,799		(2,398)		3,401		3,749		(2,247)		1,502
Indefinite life intangibles:
Trademarks		1,176		-		1,176		706		-		706
	$	6,975	$	(2,398)	$	4,577	$	4,455	$	(2,247)	$	2,208

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ACCRUED LIABILITIES (Tables)

12 Months Ended

Dec. 31, 2015

Accrued Liabilities Current (Tables) [Abstract]

Accrued liabilities

		December 31,
		2015		2014
Customer advances and deferred income	$	1,863	$	2,094
Compensation, benefit and other employee related		1,460		1,476
Asbestos related liabilities		292		352
Repositioning		335		284
Product warranties and performance guarantees		355		332
Environmental costs		253		278
Income taxes		201		261
Accrued interest		97		101
Other taxes (payroll, sales, VAT etc.)		266		243
Insurance		205		264
Other (primarily operating expenses)		950		1,086
	$	6,277	$	6,771

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LONG-TERM DEBT AND CREDIT AGREEMENTS (Tables)

12 Months Ended

Dec. 31, 2015

Long Term Debt And Credit Agreements Tables [Abstract]

Long-Term Debt and Credit Agreements

		December 31,
		2015		2014
Floating rate notes due 2015		-		700
5.40% notes due 2016		400		400
5.30% notes due 2017		400		400
5.30% notes due 2018		900		900
5.00% notes due 2019		900		900
4.25% notes due 2021		800		800
3.35% notes due 2023		300		300
5.70% notes due 2036		550		550
5.70% notes due 2037		600		600
5.375% notes due 2041		600		600
Industrial development bond obligations, floating
rate maturing at various dates through 2037		30		30
6.625% debentures due 2028		216		216
9.065% debentures due 2033		51		51
Other (including capitalized leases and debt issuance costs),
0.6%-9.5% maturing at various dates through 2023		384		538
		6,131		6,985
Less: current portion		(577)		(939)
	$	5,554	$	6,046

Principal Payments on Long-Term Debt

The schedule of principal payments on long-term debt is as follows:
		December 31,
		2015
2016	$	577
2017		490
2018		910
2019		902
2020		2
Thereafter		3,250
		6,131
Less-current portion		(577)
	$	5,554

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LEASE COMMITMENTS (Tables)

12 Months Ended

Dec. 31, 2015

Lease Commitments [Abstract]

Lease commitments

		At December 31,
		2015
2016	$	316
2017		249
2018		172
2019		114
2020		77
Thereafter		273
	$	1,201

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FINANCIAL INSTRUMENTS AND FAIR VALUE MEASURES (Tables)

12 Months Ended

Dec. 31, 2015

Financial Instruments And Fair Value Measures [Abstract]

Schedule Of Fair Value Assets And Liabilities Measured On Recurring Basis Table Text Block

		December 31,
		2015		2014
Assets:
Foreign currency exchange contracts	$	28	$	20
Available for sale investments		1,501		1,479
Interest rate swap agreements		92		93
Liabilities:
Foreign currency exchange contracts	$	17	$	10

Financial assets and liabilities that were not carried at fair value

	December 31, 2015				December 31, 2014
	Carrying		Fair		Carrying		Fair
	Value		Value		Value		Value
Assets
Long-term receivables	$	292	$	283	$	297	$	293
Liabilities
Long-term debt and related current maturities	$	6,131	$	6,721	$	6,985	$	7,817

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OTHER LIABILITIES (Tables)

12 Months Ended

Dec. 31, 2015

Other Liabilities Current (Tables) [Abstract]

Other liabilities

	Years Ended
	December 31,
	2015		2014
Pension and other employee related	$	2,461	$	2,497
Income taxes		1,009		764
Environmental		265		313
Insurance		257		253
Asset retirement obligations		65		67
Deferred income		99		93
Other		192		295
	$	4,348	$	4,282

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ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) (Tables)

12 Months Ended

Dec. 31, 2015

Accumulated Other Comprehensive Income (Loss) [Abstract]

Accumulated other comprehensive income (loss)

		Pretax		Tax		After Tax
Year Ended December 31, 2015
Foreign exchange translation adjustment	$	(1,152)	$	-	$	(1,152)
Pensions and other postretirement benefit adjustments		129		(45)		84
Changes in fair value of effective cash flow hedges		(11)		3		(8)
	$	(1,034)	$	(42)	$	(1,076)
Year Ended December 31, 2014
Foreign exchange translation adjustment	$	(1,044)	$	-	$	(1,044)
Pensions and other postretirement benefit adjustments		(1,707)		624		(1,083)
Changes in fair value of available for sale investments		(246)		76		(170)
Changes in fair value of effective cash flow hedges		24		(4)		20
	$	(2,973)	$	696	$	(2,277)
Year Ended December 31, 2013
Foreign exchange translation adjustment	$	(52)	$	-	$	(52)
Pensions and other postretirement benefit adjustments		3,514		(1,311)		2,203
Changes in fair value of available for sale investments		30		(17)		13
Changes in fair value of effective cash flow hedges		(14)		7		(7)
	$	3,478	$	(1,321)	$	2,157

Components of Accumulated Other Comprehensive Income (Loss)
	December 31,
	2015		2014
Cumulative foreign exchange translation adjustment	$	(1,892)	$	(740)
Pensions and other postretirement benefit adjustments		(644)		(728)
Fair value of available for sale investments		-		-
Fair value of effective cash flow hedges		1		9
	$	(2,535)	$	(1,459)

Changes in Accumulated Other Comprehensive Income by Component
							Changes in		Changes in
			Foreign		Pension		Fair Value of		Fair Value of
			Exchange		and Other		Available		Effective
			Translation		Postretirement		for Sale		Cash Flow
			Adjustment		Adjustments		Investments		Hedges		Total
Balance at December 31, 2013		$	304	$	355	$	170	$	(11)	$	818
	Other comprehensive income
	(loss) before reclassifications		(1,044)		(1,284)		15		20		(2,293)
	Amounts reclassified from
	accumulated other
	comprehensive income		-		201		(185)		-		16
	Net current period other
	comprehensive income (loss)		(1,044)		(1,083)		(170)		20		(2,277)
Balance at December 31, 2014		$	(740)	$	(728)	$	-	$	9	$	(1,459)
	Other comprehensive income
	(loss) before reclassifications		(1,152)		23		-		91		(1,038)
	Amounts reclassified from
	accumulated other
	comprehensive income		-		61		-		(99)		(38)
	Net current period other
	comprehensive income (loss)		(1,152)		84		-		(8)		(1,076)
Balance at December 31, 2015		$	(1,892)	$	(644)	$	-	$	1	$	(2,535)

Reclassification Out Of Accumulated Other Comprehensive Income [Table Text Block]

Reclassifications Out of Accumulated Other Comprehensive Income
		Year Ended December 31, 2015
		Affected Line in the Consolidated Statement of Operations
		Product Sales		Cost of Products Sold		Cost of Services Sold		Selling, General and Administrative Expenses		Other (Income) Expense		Total
Amortization of Pension and
Other Postretirement Items:
Actuarial losses recognized	$	-	$	78	$	16	$	17	$	-	$	111
Prior service (credit)
recognized		-		(14)		(3)		(3)		-		(20)
Settlements and
curtailments		-		2		-		-		-		2
Losses (gains) on cash flow
hedges		(17)		(73)		(17)		(2)		-		(109)
Total before tax	$	(17)	$	(7)	$	(4)	$	12	$	-	$	(16)
Tax expense (benefit)												(22)
Total reclassifications for the period, net of tax											$	(38)
		Year Ended December 31, 2014
		Affected Line in the Consolidated Statement of Operations
		Product Sales		Cost of Products Sold		Cost of Services Sold		Selling, General and Administrative Expenses		Other (Income) Expense		Total
Amortization of Pension and
Other Postretirement Items:
Actuarial losses recognized	$	-	$	199	$	38	$	42	$	-	$	279
Prior service (credit)
recognized		-		(1)		-		-		-		(1)
Transition obligation
recognized		-		2		-		-		-		2
Losses (gains) on cash flow
hedges		(5)		-		-		5		-		-
Unrealized gains on available
for sale investments		-		-		-		-		(221)		(221)
Total before tax	$	(5)	$	200	$	38	$	47	$	(221)	$	59
Tax expense (benefit)												(43)
Total reclassifications for the period, net of tax											$	16

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STOCK-BASED COMPENSATION PLANS (Tables)

12 Months Ended

Dec. 31, 2015

Stock Based Compensation Plans [Abstract]

Share based compensation fair value assumptions

		Years Ended December 31,
		2015			2014			2013
Weighted average fair value per share of options
granted during the year(1)	$	17.21		$	16.35		$	11.85
Assumptions:
Expected annual dividend yield		1.98	%		2.05	%		2.55	%
Expected volatility		21.55	%		23.06	%		24.73	%
Risk-free rate of return		1.61	%		1.48	%		0.91	%
Expected option term (years)		5.0			5.0			5.5
(1) Estimated on date of grant using Black-Scholes option-pricing model.

Stock Options Activity

		Weighted
		Average
	Number of	Exercise
	Options	Price
Outstanding at December 31, 2012	35,569,021	$	47.13
Granted	6,041,422		69.89
Exercised	(10,329,611)		41.91
Lapsed or canceled	(616,995)		53.84
Outstanding at December 31, 2013	30,663,837		53.27
Granted	5,823,706		93.95
Exercised	(5,697,263)		47.47
Lapsed or canceled	(1,294,668)		67.70
Outstanding at December 31, 2014	29,495,612		61.80
Granted	5,967,256		103.87
Exercised	(4,190,298)		53.40
Lapsed or canceled	(703,132)		84.31
Outstanding at December 31, 2015	30,569,438	$	70.76
Vested and expected to vest at December 31, 2015(1)	28,852,696	$	68.96
Exercisable at December 31, 2015	17,202,377	$	55.11
(1) Represents the sum of vested options of 17.2 million and expected to vest options of 11.7 million. Expected to vest options are derived by applying the pre-vesting forfeiture rate assumption to total outstanding unvested options of 13.6 million.

Schedule of share based compensation by price ranges

	Options Outstanding						Options Exercisable
			Weighted					Weighted
		Weighted	Average		Aggregate			Average		Aggregate
Range of	Number	Average	Exercise		Intrinsic		Number	Exercise		Intrinsic
Exercise prices	Outstanding	Life(1)	Price		Value		Exercisable	Price		Value
$28.35-$49.99	6,176,777	3.31	$	38.45	$	402	6,176,777	$	38.45	$	402
$50.00-$64.99	8,884,587	5.11		58.43		401	7,731,362		58.21		351
$65.00-$75.00	4,490,514	7.16		69.92		151	2,048,042		69.92		69
$90.00-$103.90	11,017,560	8.70		99.17		50	1,246,196		94.07		12
	30,569,438	6.34		70.76	$	1,004	17,202,377		55.11	$	834
(1) Average remaining contractual life in years.

Financial Statement Impact From Stock Options Exercised

		Years Ended December 31,
Options Exercised		2015		2014		2013
Intrinsic value(1)	$	210	$	272	$	367
Tax benefit realized		73		96		129
Operating cash inflow		137		172		333
Financing cash inflow		57		77		99
Total cash received		194		249		432
(1) Represents the amount by which the stock price exceeded the exercise price of the options on the date of exercise.

Restricted stock units activity

		Weighted
		Average
	Number of	Grant Date
	Restricted	Fair Value
	Stock Units	Per Share
Non-vested at December 31, 2012	8,095,739	$	49.91
Granted	1,904,504		75.73
Vested	(2,995,553)		42.17
Forfeited	(312,470)		56.58
Non-vested at December 31, 2013	6,692,220		60.04
Granted	1,455,209		94.88
Vested	(1,787,894)		53.63
Forfeited	(460,341)		63.54
Non-vested at December 31, 2014	5,899,194		70.32
Granted	1,190,406		103.04
Vested	(1,681,342)		56.38
Forfeited	(426,670)		77.73
Non-vested at December 31, 2015	4,981,588	$	82.18

Income Statement Impact from RSUs

		Years Ended December 31,
		2015		2014		2013
Compensation expense	$	97	$	102	$	100
Future income tax benefit recognized		29		37		35

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COMMITMENTS AND CONTINGENCIES (Tables)

12 Months Ended

Dec. 31, 2015

Commitments And Contingencies [Abstract]

Loss Contingency

		Years Ended December 31,
		2015		2014		2013
Beginning of year	$	591	$	643	$	654
Accruals for environmental matters deemed probable and
reasonably estimable		194		268		272
Environmental liability payments		(273)		(321)		(304)
Other		6		1		21
End of year	$	518	$	591	$	643

Environmental liabilities are included in the following balance sheet accounts:

Environmental liabilities are included in the following balance sheet accounts:
			December 31,
			2015		2014
	Accrued liabilities	$	253	$	278
	Other liabilities		265		313
		$	518	$	591

Asbestos Related Liabilities

Asbestos Related Liabilities
	Year Ended December 31,						Year Ended December 31,						Year Ended December 31,
	2015						2014						2013
	Bendix		NARCO		Total		Bendix		NARCO		Total		Bendix		NARCO		Total
Beginning of year	$	623	$	929	$	1,552	$	656	$	955	$	1,611	$	653	$	1,119	$	1,772
Accrual for update to
estimated liability		180		8		188		195		4		199		180		5		185
Change in estimated cost of
future claims		11		-		11		(1)		-		(1)		16		-		16
Update of expected resolution
values for pending claims		1		-		1		2		-		2		(5)		-		(5)
Asbestos related liability
payments		(193)		(16)		(209)		(229)		(30)		(259)		(188)		(169)		(357)
End of year	$	622	$	921	$	1,543	$	623	$	929	$	1,552	$	656	$	955	$	1,611

Insurance Recoveries for Asbestos Related Liabilities

Insurance Recoveries for Asbestos Related Liabilities
	Year Ended December 31,						Year Ended December 31,						Year Ended December 31,
	2015						2014						2013
	Bendix		NARCO		Total		Bendix		NARCO		Total		Bendix		NARCO		Total
Beginning of year	$	135	$	350	$	485	$	141	$	531	$	672	$	138	$	569	$	707
Probable insurance
recoveries related to
estimated liability		21		-		21		24		-		24		27		-		27
Insurance receipts for
asbestos related liabilities		(33)		(30)		(63)		(24)		(187)		(211)		(24)		(34)		(58)
Insurance receivables
settlements and write offs		1		6		7		(6)		7		1		-		(6)		(6)
Other		-		(1)		(1)		-		(1)		(1)		-		2		2
End of year	$	124	$	325	$	449	$	135	$	350	$	485	$	141	$	531	$	672

NARCO and Bendix asbestos related balances are included in the following balance sheet accounts

NARCO and Bendix asbestos related balances are included in the following balance sheet accounts:
		December 31,
		2015		2014
Other current assets	$	23	$	31
Insurance recoveries for asbestos related liabilities		426		454
	$	449	$	485
Accrued liabilities	$	292	$	352
Asbestos related liabilities		1,251		1,200
	$	1,543	$	1,552

The following tables present information regarding Bendix related asbestos claims activity

		Years Ended
		December 31,
Claims Activity		2015	2014
Claims Unresolved at the beginning of year		9,267	12,302
Claims Filed		2,862	3,694
Claims Resolved(1)		(4,350)	(6,729)
Claims Unresolved at the end of year		7,779	9,267
(1)	Claims resolved in 2014 include 2,110 cancer claims which were determined to have no value. Also, claims resolved in 2015 and 2014 include significantly aged (i.e., pending for more than six years) claims totaling 153 and 1,266.

Disease distribution of claims

	December 31,
Disease Distribution of Unresolved Claims	2015	2014
Mesothelioma and Other Cancer Claims	3,772	3,933
Nonmalignant Claims	4,007	5,334
Total Claims	7,779	9,267

Average resolution values per asbestos claim

Honeywell has experienced average resolution values per claim excluding legal costs as follows:
		Years Ended December 31,
		2015		2014		2013		2012		2011
		(in whole dollars)
Malignant claims	$	44,000	$	53,500	$	51,000	$	49,000	$	48,000
Nonmalignant claims	$	100	$	120	$	850	$	1,400	$	1,000

Movement In Standard Product Warranty Rollforward And Balances

	Years Ended December 31,
		2015		2014		2013
Beginning of year	$	403	$	405	$	407
Accruals for warranties/guarantees issued during the year		206		225		212
Adjustment of pre-existing warranties/guarantees		13		(34)		(1)
Settlement of warranty/guarantee claims		(206)		(193)		(213)
End of year	$	416	$	403	$	405
Product warranties and product performance guarantees are included in the following balance sheet accounts:
				December 31,
				2015		2014
Accrued liabilities			$	355	$	332
Other liabilities				61		71
			$	416	$	403

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PENSION AND OTHER POSTRETIREMENT BENEFITS (Tables)

12 Months Ended

Dec. 31, 2015

Pension And Other Postretirement Benefits (Tables) [Abstract]

Defined Benefit Plans Disclosure

		Pension Benefits
		U.S. Plans				Non-U.S. Plans
		2015		2014		2015		2014
Change in benefit obligation:
	Benefit obligation at beginning of year	$	18,035	$	16,290	$	5,761	$	5,523
	Service cost		223		241		51		56
	Interest cost		696		771		177		231
	Plan amendments		(429)		-		-		(17)
	Actuarial (gains) losses		(269)		1,718		(178)		601
	Acquisitions		61		-		1,137		-
	Divestitures		-		-		-		(61)
	Benefits paid		(1,027)		(996)		(199)		(210)
	Settlements and curtailments		-		-		(11)		-
	Foreign currency and other		8		11		(400)		(362)
	Benefit obligation at end of year		17,298		18,035		6,338		5,761
Change in plan assets:
	Fair value of plan assets at beginning of year		17,066		16,727		5,333		5,037
	Actual return on plan assets		233		1,290		154		622
	Company contributions		34		36		147		187
	Acquisitions		43		-		1,036		-
	Benefits paid		(1,027)		(996)		(199)		(210)
	Foreign currency and other		-		9		(354)		(303)
	Fair value of plan assets at end of year		16,349		17,066		6,117		5,333
Funded status of plans		$	(949)	$	(969)	$	(221)	$	(428)
Amounts recognized in Consolidated Balance
Sheet consist of:
	Prepaid pension benefit cost(1)	$	-	$	-	$	427	$	270
	Accrued pension liabilities - current(2)		(51)		(74)		(7)		(8)
	Accrued pension liabilities - noncurrent(3)		(898)		(895)		(641)		(690)
Net amount recognized		$	(949)	$	(969)	$	(221)	$	(428)
(1) Included in other assets on Consolidated Balance Sheet
(2) Included in accrued liabilities on Consolidated Balance Sheet
(3) Included in other liabilities - noncurrent on Consolidated Balance Sheet

		Other Postretirement Benefits
		2015		2014
Change in benefit obligation:
	Benefit obligation at beginning of year	$	973	$	1,096
	Service cost		-		-
	Interest cost		33		42
	Plan amendments(1)		(290)		(87)
	Actuarial (gains) losses		(55)		46
	Benefits paid		(92)		(124)
	Benefit obligation at end of year		569		973
Change in plan assets:
	Fair value of plan assets at beginning of year		-		-
	Actual return on plan assets		-		-
	Company contributions		-		-
	Benefits paid		-		-
	Fair value of plan assets at end of year		-		-
Funded status of plans		$	(569)	$	(973)
Amounts recognized in Consolidated Balance Sheet consist of:
	Accrued liabilities	$	(85)	$	(111)
	Postretirement benefit obligations other than pensions(2)		(484)		(862)
Net amount recognized		$	(569)	$	(973)
(1) Elimination of retiree medical insurance coverage for certain retirees. Amount will be recognized as part of net postretirement benefit cost over the expected future lifetime of the remaining participants in the plan.
(2) Excludes non-U.S. plans of $42 million and $49 million in 2015 and 2014.

Other Changes in Plan Assets Recognized in Other Comprehensive Income

	Pension Benefits
	U.S. Plans				Non-U.S. Plans
	2015		2014		2015		2014
Transition obligation	$	-	$	-	$	-	$	1
Prior service (credit) cost		(355)		88		(22)		(27)
Net actuarial loss		1,005		281		464		493
Net amount recognized	$	650	$	369	$	442	$	467

	Other Postretirement Benefits
	2015		2014
Prior service (credit)	$	(496)	$	(235)
Net actuarial loss		189		278
Net amount recognized	$	(307)	$	43

Net Periodic Benefit Cost

			Pension Benefits
			U.S. Plans						Non-U.S. Plans
Net Periodic Benefit Cost				2015		2014		2013		2015		2014		2013
Service cost			$	223	$	241	$	272	$	51	$	56	$	58
Interest cost				696		771		677		177		231		215
Expected return on plan assets				(1,278)		(1,257)		(1,076)		(358)		(354)		(308)
Amortization of transition
	obligation			-		-		-		1		2		2
Amortization of prior service
	cost (credit)			13		23		23		(3)		(2)		(2)
Recognition of actuarial losses				52		26		-		15		223		51
Settlements and curtailments				8		-		-		2		-		-
Net periodic benefit (income) cost			$	(286)	$	(196)	$	(104)	$	(115)	$	156	$	16
Other Changes in Plan Assets and
Benefits Obligations Recognized in			U.S. Plans						Non-U.S. Plans
Other Comprehensive (Income) Loss				2015		2014		2013		2015		2014		2013
Actuarial losses (gains)			$	775	$	1,686	$	(3,090)	$	27	$	333	$	(48)
Prior service (credit) cost				(429)		-		14		-		(17)		-
Transition obligation
	recognized during year			-		-		-		(1)		(2)		(2)
Prior service (cost) credit
	recognized during year			(13)		(23)		(23)		3		2		2
Actuarial losses recognized
	during year			(52)		(26)		-		(17)		(223)		(51)
Foreign exchange translation
	adjustments			-		-		-		(37)		(50)		3
	Total recognized in other
		comprehensive (income) loss	$	281	$	1,637	$	(3,099)	$	(25)	$	43	$	(96)
	Total recognized in net periodic
		benefit (income) cost and other comprehensive
		(income) loss	$	(5)	$	1,441	$	(3,203)	$	(140)	$	199	$	(80)

		Other Postretirement Benefits
		Years Ended December 31,
Net Periodic Benefit Cost			2015		2014		2013
Service cost		$	-	$	-	$	-
Interest cost			33		42		44
Amortization of prior service (credit)			(30)		(20)		(13)
Recognition of actuarial losses			34		24		27
Settlements and curtailments(1)			-		-		(42)
Net periodic benefit cost		$	37	$	46	$	16
	(1) Curtailment gain in 2013 related to elimination of retiree medical coverage for a union group
	in connection with a new collective bargaining agreement.
		Years Ended December 31,
Other Changes in Plan Assets and Benefits Obligations			2015		2014		2013
Recognized in Other Comprehensive (Income) Loss
Actuarial (gains) losses		$	(55)	$	46	$	(108)
Prior service (credit)			(290)		(87)		(175)
Prior service credit recognized during year			30		20		13
Actuarial losses recognized during year			(34)		(24)		(27)
Settlements and curtailments			-		-		42
Total recognized in other comprehensive (income)		$	(349)	$	(45)	$	(255)
Total recognized in net periodic benefit cost and
	other comprehensive (income) loss	$	(312)	$	1	$	(239)

Assumptions Used in Calculations

	Pension Benefits
	U.S. Plans						Non-U.S. Plans
	2015		2014		2013		2015		2014		2013
Actuarial assumptions used to determine
benefit obligations as of December 31:
Discount rate	4.46	%	4.08	%	4.89	%	3.49	%	3.26	%	4.29	%
Expected annual rate of
compensation increase	4.48	%	4.50	%	4.50	%	2.11	%	2.53	%	2.81	%
Actuarial assumptions used to determine
net periodic benefit (income) cost for
years ended December 31:
Discount rate	4.08	%	4.89	%	4.06	%	3.26	%	4.29	%	4.29	%
Expected rate of return
on plan assets	7.75	%	7.75	%	7.75	%	6.94	%	6.96	%	6.99	%
Expected annual rate of
compensation increase	4.50	%	4.50	%	4.50	%	2.53	%	2.81	%	3.55	%

			Other Postretirement Benefits
			2015		2014		2013
Actuarial assumptions used to determine benefit
	obligations as of December 31:
		Discount rate	3.80	%	3.45	%	4.05	%
Actuarial assumptions used to determine net periodic
	benefit cost for years ended December 31:
		Discount rate	3.45	%	4.05	%	3.40	%

Accumulated Benefit Obligations in Excess of Plan Assets

	December 31,
	U.S. Plans		Non-U.S. Plans
	2015	2014	2015	2014
Projected benefit obligation	$17,298	$626	$1,624	$1,686
Accumulated benefit obligation	$16,899	$618	$1,574	$1,584
Fair value of plan assets	$16,349	$194	$976	$994

Fair Value of Plan Assets

		U.S. Plans
		December 31, 2015
			Total		Level 1		Level 2		Level 3
Common stock/preferred stock:
	Honeywell common stock	$	1,916	$	1,916		-		-
	U.S. large cap stocks		3,761		3,761		-		-
	U.S. mid cap stocks		722		722		-		-
	U.S. small cap stocks		89		89		-		-
	International stocks		2,099		1,943		156		-
	Real estate investment trusts		209		209		-		-
Fixed income investments:
	Short term investments		1,332		1,332		-		-
	Government securities		425		-		425		-
	Corporate bonds		3,003		-		3,003		-
	Mortgage/Asset-backed securities		561		-		561		-
	Insurance contracts		7		-		7		-
Investments in private funds:
	Private funds		889		-		-		889
	Hedge funds		19		-		-		19
	Real estate funds		156		-		-		156
Direct investments:
	Direct private investments		535		-		-		535
	Real estate properties		626		-		-		626
		$	16,349	$	9,972	$	4,152	$	2,225

		U.S. Plans
		December 31, 2014
			Total		Level 1		Level 2		Level 3
Common stock/preferred stock:
	Honeywell common stock	$	1,851	$	1,851	$	-	$	-
	U.S. large cap stocks		3,913		3,867		46		-
	U.S. mid cap stocks		1,028		1,018		10		-
	U.S. small cap stocks		219		219		-		-
	International stocks		2,576		2,400		176		-
	Real estate investment trusts		204		204		-		-
Fixed income investments:
	Short term investments		1,078		1,078		-		-
	Government securities		438		-		438		-
	Corporate bonds		2,988		-		2,988		-
	Mortgage/Asset-backed securities		635		-		635		-
	Insurance contracts		7		-		7		-
Investments in private funds:
	Private funds		999		-		-		999
	Hedge funds		3		-		-		3
	Real estate funds		226		-		-		226
Direct investments:
	Direct private investments		301		-		-		301
	Real estate properties		600		-		-		600
		$	17,066	$	10,637	$	4,300	$	2,129

		Non-U.S. Plans
		December 31, 2015
			Total		Level 1		Level 2		Level 3
Common stock/preferred stock:
	U.S. companies	$	569	$	479		90		-
	Non-U.S. companies		2,200		228		1,972		-
Fixed income investments:
	Short-term investments		108		105		3		-
	Government securities		1,621		-		1,621		-
	Corporate bonds		1,073		-		1,073		-
	Mortgage/Asset-backed securities		94		-		94		-
	Insurance contracts		170		-		170		-
Investments in private funds:
	Private funds		61		-		-		61
	Hedge funds		-		-		-		-
	Real estate funds		221		-		-		221
		$	6,117	$	812	$	5,023	$	282

		Non-U.S. Plans
		December 31, 2014
			Total		Level 1		Level 2		Level 3
Common stock/preferred stock:
	U.S. companies	$	534	$	464	$	70	$	-
	Non-U.S. companies		1,876		225		1,651		-
Fixed income investments:
	Short-term investments		117		113		4		-
	Government securities		1,495		-		1,495		-
	Corporate bonds		857		-		857		-
	Mortgage/Asset-backed securities		19		-		19		-
	Insurance contracts		186		-		186		-
Investments in private funds:
	Private funds		62		-		-		62
	Hedge funds		2		-		-		2
	Real estate funds		185		-		-		185
		$	5,333	$	802	$	4,282	$	249

Changes in Fair Value of Level 3 Plan Assets

			U.S. Plans
						Direct
				Private		Private		Hedge		Real Estate		Real Estate
				Funds		Investments		Funds		Funds		Properties
Balance at December 31, 2013				$	1,058		278		6		237		627
Actual return on plan assets:
	Relating to assets still held
		at year-end			(50)		(10)		(2)		21		10
	Relating to assets sold
		during the year			94		59		2		-		53
Purchases					168		92		3		8		38
Sales and settlements					(271)		(118)		(6)		(40)		(128)
Balance at December 31, 2014					999		301		3		226		600
Actual return on plan assets:
	Relating to assets still held
		at year-end			(87)		47		(2)		(20)		16
	Relating to assets sold
		during the year			85		21		-		4		14
Purchases					142		242		19		5		16
Sales and settlements					(250)		(76)		(1)		(59)		(20)
Balance at December 31, 2015				$	889	$	535	$	19	$	156	$	626
						Non-U.S. Plans
						Private		Hedge		Real Estate
						Funds		Funds		Funds
Balance at December 31, 2013						$	67		62		181
Actual return on plan assets:
	Relating to assets still held at year-end						(4)		(11)		17
	Relating to assets sold during the year						6		12		1
Purchases							-		-		4
Sales and settlements							(7)		(61)		(18)
Balance at December 31, 2014							62		2		185
Actual return on plan assets:
	Relating to assets still held at year-end						(7)		-		24
	Relating to assets sold during the year						7		-		(3)
Purchases							11		-		41
Sales and settlements							(12)		(2)		(26)
Balance at December 31, 2015						$	61	$	-	$	221

Estimated Future Benefit Payments

		U.S. Plans		Non-U.S. Plans
2016	$	1,151	$	243
2017		1,125		252
2018		1,138		258
2019		1,153		265
2020		1,166		272
2021-2025		5,922		1,474

Assumed Health Care Cost Trend Rates

		December 31,
		2015			2014
Assumed health care cost trend rate:
	Health care cost trend rate assumed for next year		7.00	%		7.00	%
	Rate that the cost trend rate gradually declines to		5.00	%		5.00	%
	Year that the rate reaches the rate it is assumed to remain at		2023			2023

Effect of One Percentage Point Change

	1 percentage point
		Increase		Decrease
Effect on total of service and interest cost components	$	1	$	(1)
Effect on postretirement benefit obligation	$	27	$	(20)

Schedule Of Benefit Payments Reflecting Expected Future Service [Table Text Block]

Benefit payments reflecting expected future service, as appropriate, are expected to be paid
as follows:
	Without Impact of			Net of
	Medicare Subsidy			Medicare Subsidy
2016		$	91		$	84
2017			67			63
2018			63			58
2019			58			53
2020			54			50
2021-2025			189			171

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SEGMENT FINANCIAL DATA (Tables)

12 Months Ended

Dec. 31, 2015

Segment Financial Data [Abstract]

Segment Financial Data

		Years Ended December 31,
Net Sales		2015		2014		2013
Aerospace
Product	$	10,379	$	10,773	$	10,798
Service		4,858		4,825		4,937
Total		15,237		15,598		15,735
Automation and Control Solutions
Product		12,882		13,219		12,253
Service		1,227		1,268		1,212
Total		14,109		14,487		13,465
Performance Materials and Technologies
Product		7,434		8,406		8,163
Service		1,801		1,815		1,692
Total		9,235		10,221		9,855
	$	38,581	$	40,306	$	39,055
Depreciation and amortization
Aerospace	$	267	$	277	$	290
Automation and Control Solutions		277		306		302
Performance Materials and Technologies		282		284		336
Corporate		57		57		61
	$	883	$	924	$	989
Segment Profit
Aerospace	$	3,218	$	2,915	$	2,870
Automation and Control Solutions		2,313		2,200		1,983
Performance Materials and Technologies		1,935		1,817		1,725
Corporate		(210)		(236)		(227)
	$	7,256	$	6,696	$	6,351
Capital expenditures
Aerospace	$	314	$	315	$	310
Automation and Control Solutions		152		145		132
Performance Materials and Technologies		479		537		448
Corporate		128		97		57
	$	1,073	$	1,094	$	947
		December 31,
Total Assets		2015		2014		2013
Aerospace	$	11,235	$	11,151	$	11,379
Automation and Control Solutions		22,355		17,191		17,675
Performance Materials and Technologies		10,300		9,699		9,534
Corporate		5,426		7,410		6,847
	$	49,316	$	45,451	$	45,435

Reconciliation of Operating Profit Loss From Segments to Consolidated

A reconciliation of segment profit to consolidated income from continuing operations before taxes are as follows:
		Years Ended December 31,
		2015		2014		2013
Segment Profit	$	7,256	$	6,696	$	6,351
Other income (expense)(1)		38		269		202
Interest and other financial charges		(310)		(318)		(327)
Stock compensation expense(2)		(175)		(187)		(170)
Pension ongoing income (expense)(2)		430		254		90
Pension mark-to-market expense(2)		(67)		(249)		(51)
Other postretirement income (expense)(2)		(40)		(49)		(20)
Repositioning and other charges (2)		(546)		(598)		(663)
Income from continuing operations before taxes	$	6,586	$	5,818	$	5,412
(1) Equity income (loss) of affiliated companies is included in Segment Profit.
(2) Amounts included in cost of products and services sold and selling, general and administrative
expenses.

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GEOGRAPHIC AREAS FINANCIAL DATA (Tables)

12 Months Ended

Dec. 31, 2015

Geographic Areas Financial Data [Abstract]

Geographic Areas Financial Data

	Net Sales(1)						Long-lived Assets(2)
		Years Ended December 31,						December 31,
		2015		2014		2013		2015		2014		2013
United States	$	23,771	$	23,911	$	22,978	$	3,939	$	3,612	$	3,393
Europe		8,674		9,870		9,804		746		741		905
Other International		6,136		6,525		6,273		1,104		1,030		980
	$	38,581	$	40,306	$	39,055	$	5,789	$	5,383	$	5,278
(1) Sales between geographic areas approximate market and are not significant. Net sales are classified according to their country of origin. Included in United States net sales are export sales of $5,526 million, $5,647 million and $5,431 million in 2015, 2014 and 2013.
(2) Long-lived assets are comprised of property, plant and equipment - net.

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SUPPLEMENTAL CASH FLOW INFORMATION (Tables)

12 Months Ended

Dec. 31, 2015

Supplemental Cash Flow Information [Abstract]

Supplemental Cash Flow Information

	Years Ended December 31,
	2015		2014		2013
Payments for repositioning and other charges:
Severance and exit cost payments	$	(118)	$	(161)	$	(160)
Environmental payments		(273)		(321)		(304)
Insurance receipts for asbestos related liabilities		63		211		58
Asbestos related liability payments		(209)		(259)		(357)
	$	(537)	$	(530)	$	(763)
Interest paid, net of amounts capitalized	$	310	$	312	$	330
Income taxes paid, net of refunds		1,192		1,142		1,271
Non-cash investing and financing activities:
Common stock contributed to savings plans		174		168		159
Marketable securities contributed to non-U.S. pension plans		109		117		-

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UNAUDITED QUARTERLY FINANCIAL INFORMATION (Tables)

12 Months Ended

Dec. 31, 2015

Unaudited Quarterly Financial Information [Abstract]

Schedule Of Quarterly Financial Information Table Text Block

		2015
		Mar. 31		June 30		Sept. 30		Dec. 31		Year
Net Sales	$	9,213	$	9,775	$	9,611	$	9,982	$	38,581
Gross Profit		2,851		2,961		2,957		3,065		11,834
Net income attributable to Honeywell		1,116		1,194		1,264		1,194		4,768
Earnings per share - basic		1.42		1.52		1.62		1.55		6.11
Earnings per share - assuming dilution		1.41		1.51		1.60		1.53		6.04
Dividends paid per share		0.5175		0.5175		0.5175		0.5950		2.15
Market Price per share
High		101.76		104.17		104.29		101.65		104.29
Low		98.78		102.87		101.72		92.93		92.93
		2014
		Mar. 31		June 30		Sept. 30		Dec. 31		Year
Net Sales	$	9,679	$	10,253	$	10,108	$	10,266	$	40,306
Gross Profit		2,712		2,957		2,980		2,700		11,349
Net income attributable to Honeywell		1,017		1,099		1,167		956		4,239
Earnings per share - basic		1.30		1.40		1.49		1.22		5.40
Earnings per share - assuming dilution		1.28		1.38		1.47		1.20		5.33
Dividends paid per share		0.4500		0.4500		0.4500		0.5175		1.87
Market Price per share
High		95.44		95.81		97.34		101.98		101.98
Low		88.47		90.36		90.56		85.11		85.11

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SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details) - USD ($)
$ in Millions

12 Months Ended

Dec. 31, 2015

Dec. 31, 2014

Dec. 31, 2013

Significant Accounting Policies Other Details [Abstract]

Date of completion of goodwill impairment test

Mar. 31, 2015

Research and development expense

$ 1,856

$ 1,892

$ 1,804

Reclassifications [Line Items]

Description of reclassification

Reclassifications—Certain prior year amounts have been reclassified to conform to the current year presentation.

Noncurrent assets

$ 283

404

Noncurrent liabilities

$ 558

$ 236

Minimum [Member]

Other Assets With Determinable Lives [Line Items]

Finite Lived Intangible Assets Estimated Useful Lives

2 years

Maximum [Member]

Other Assets With Determinable Lives [Line Items]

Finite Lived Intangible Assets Estimated Useful Lives

24 years

Deferred Income Taxes Reclassifications [Member]

Reclassifications [Line Items]

Description of reclassification

In November 2015, the Financial Accounting Standards Board (FASB) issued guidance to simplify the presentation of deferred income taxes by permitting classification of all deferred tax assets and liabilities as noncurrent on the consolidated balance sheet. The Company has elected to early adopt the guidance on a prospective basis effective with the consolidated balance sheet as of December 31, 2015. This is a change from the Company’s historical presentation whereby certain deferred tax assets and liabilities were classified as current and the remainder were classified as non-current. Adoption of the guidance resulted in a reclassification of $662 million fromcurrent assets and $32 millionfromcurrent liabilities within the consolidated balance sheet as of December 31, 2015.

Noncurrent assets

$ 662

Noncurrent liabilities

$ 32

Buildings and improvements [Member] | Minimum [Member]

Property Plant And Equipment Details [Line Items]

Property, plant and equipment, estimated useful lives

10 years

Buildings and improvements [Member] | Maximum [Member]

Property Plant And Equipment Details [Line Items]

Property, plant and equipment, estimated useful lives

50 years

Machinery and Equipment [Member] | Minimum [Member]

Property Plant And Equipment Details [Line Items]

Property, plant and equipment, estimated useful lives

2 years

Machinery and Equipment [Member] | Maximum [Member]

Property Plant And Equipment Details [Line Items]

Property, plant and equipment, estimated useful lives

16 years

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ACQUISITIONS (Details) - USD ($)	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Business Combination Recognized Identifiable Assets Acquired Goodwill And Liabilities Assumed Net [Abstract]
Goodwill	$ 15,895,000,000	$ 12,788,000,000
Elster [Member]
Business Acquisition [Line Items]
Name of acquired entity	Elster Division of Melrose Industries plc
Description of acquired entity	a leading provider of thermal gas solutions for commercial, industrial, and residential heating systems and gas, water, and electricity meters, including smart meters and software and data analytics solutions
Effective date of acquisition	Dec. 29, 2015
Revenue reported for last annual period	$ 1,670,000,000
Purchase price	4,899,000,000
Business Combination Recognized Identifiable Assets Acquired Goodwill And Liabilities Assumed Net [Abstract]
Current assets	532,000,000
Intangible assets	2,463,000,000
Other noncurrent assets	179,000,000
Current liabilities	(658,000,000)
Noncurrent liabilities	(836,000,000)
Net assets acquired	1,680,000,000
Noncontrolling interest	(3,000,000)
Goodwill	3,222,000,000
Purchase price	$ 4,899,000,000
Elster [Member] | Minimum [Member]
Business Acquisition [Line Items]
Intangible assets weighted average useful life	1 year
Elster [Member] | Maximum [Member]
Business Acquisition [Line Items]
Intangible assets weighted average useful life	20 years
Com Dev [Member]
Business Acquisition [Line Items]
Name of acquired entity	COM DEV International
Description of acquired entity	a leading satellite and space components provider
Effective date of acquisition	Feb. 29, 2016
Revenue reported for last annual period	$ 180,000,000
Purchase price	330,000,000
Business Combination Recognized Identifiable Assets Acquired Goodwill And Liabilities Assumed Net [Abstract]
Purchase price	$ 330,000,000
UOP Russell [Member]
Business Acquisition [Line Items]
Name of acquired entity	UOP Russell LLC
Description of acquired entity	develops technology and manufactures modular equipment to process natural gas
Effective date of acquisition	Jan. 31, 2016
Remaining noncontrolling interest acquired (as a percentage)	30.00%
Purchase price	$ 240,000,000
Business Combination Recognized Identifiable Assets Acquired Goodwill And Liabilities Assumed Net [Abstract]
Purchase price	240,000,000
Total Acquisitions [Member]
Business Acquisition [Line Items]
Purchase price	5,244,000,000
Business Combination Recognized Identifiable Assets Acquired Goodwill And Liabilities Assumed Net [Abstract]
Purchase price	$ 5,244,000,000
Xtralis [Member]
Business Acquisition [Line Items]
Name of acquired entity	Xtralis International Holdings Limited
Description of acquired entity	a leading global provider of aspiration smoke detection and perimeter security technologies
Date of acquisition agreement	Feb. 29, 2016
Effective date of acquisition	Jun. 30, 2016
Purchase price	$ 480,000,000
Business Combination Recognized Identifiable Assets Acquired Goodwill And Liabilities Assumed Net [Abstract]
Purchase price	$ 480,000,000

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REPOSITIONING AND OTHER CHARGES (Details) - USD ($)	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Component Of Operating Other Cost And Expense [Line Items]
Restructuring and Related Cost, Incurred Cost	$ 163,000,000	$ 146,000,000	$ 201,000,000
Asbestos related litigation charges, net of insurance	189,000,000	182,000,000	181,000,000
Probable and reasonably estimable environmental liabilities	194,000,000	268,000,000	272,000,000
Other	0	2,000,000	9,000,000
Total net repositioning and other charges	546,000,000	598,000,000	663,000,000
Severance Costs [Member]
Component Of Operating Other Cost And Expense [Line Items]
Restructuring and Related Cost, Incurred Cost	197,000,000	156,000,000	186,000,000
Tangible And Intangible Asset Impairments [Member]
Component Of Operating Other Cost And Expense [Line Items]
Restructuring and Related Cost, Incurred Cost	13,000,000	12,000,000	23,000,000
Exit Costs [Member]
Component Of Operating Other Cost And Expense [Line Items]
Restructuring and Related Cost, Incurred Cost	6,000,000	16,000,000	22,000,000
Reserve Adjustments [Member]
Component Of Operating Other Cost And Expense [Line Items]
Restructuring and Related Cost, Incurred Cost	$ (53,000,000)	$ (38,000,000)	$ (30,000,000)

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REPOSITIONING AND OTHER CHARGES 2 (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Net Repositioning And Other Charges By Income Statement Classification [Line Items]
Total net repositioning charges	$ 546	$ 598	$ 663
Cost of products and services sold [Member]
Net Repositioning And Other Charges By Income Statement Classification [Line Items]
Total net repositioning charges	483	525	566
Selling, general and administrative expenses [Member]
Net Repositioning And Other Charges By Income Statement Classification [Line Items]
Total net repositioning charges	$ 63	$ 73	$ 97

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REPOSITIONING AND OTHER CHARGES 3 (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Pretax Impact Of Total Net Repositioning And Other Charges By Segment [Line Items]
Total net repositioning charges	$ 546	$ 598	$ 663
Corporate [Member]
Pretax Impact Of Total Net Repositioning And Other Charges By Segment [Line Items]
Total net repositioning charges	218	292	304
Aerospace [Member]
Pretax Impact Of Total Net Repositioning And Other Charges By Segment [Line Items]
Total net repositioning charges	211	193	235
Automation and Control Solutions [Member]
Pretax Impact Of Total Net Repositioning And Other Charges By Segment [Line Items]
Total net repositioning charges	77	80	68
Performance Materials And Technologies [Member]
Pretax Impact Of Total Net Repositioning And Other Charges By Segment [Line Items]
Total net repositioning charges	$ 40	$ 33	$ 56

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REPOSITIONING AND OTHER CHARGES 4 (Details) $ in Millions	12 Months Ended
	Dec. 31, 2015 USD ($) Employees	Dec. 31, 2014 USD ($) Employees	Dec. 31, 2013 USD ($) Employees
Net Repositioning And Other Charges [Line Items]
Restructuring and Related Cost, Incurred Cost	$ 163	$ 146	$ 201
Net repositioning and other charges Paragraph Details [Abstract]
Gross Repositioning Charge	$ 216	$ 184	$ 231
Number Of Employees Severed | Employees	6,405	2,975	3,081
Severance Costs [Member]
Net Repositioning And Other Charges [Line Items]
Restructuring and Related Cost, Incurred Cost	$ 197	$ 156	$ 186
Tangible And Intangible Asset Impairments [Member]
Net Repositioning And Other Charges [Line Items]
Restructuring and Related Cost, Incurred Cost	13	12	23
Exit Costs [Member]
Net Repositioning And Other Charges [Line Items]
Restructuring and Related Cost, Incurred Cost	6	16	22
Reserve Adjustments [Member]
Net Repositioning And Other Charges [Line Items]
Restructuring and Related Cost, Incurred Cost	$ (53)	$ (38)	$ (30)

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REPOSITIONING AND OTHER CHARGES 5 (Details) - USD ($)	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Restructuring Reserve [Line Items]
Balance at beginning of period,	$ 315,000,000	$ 347,000,000	$ 323,000,000
Charges	216,000,000	184,000,000	231,000,000
Usage (cash - Severance & Exit Costs)	(118,000,000)	(161,000,000)	(160,000,000)
Usage (non-Cash - Asset Impairment)	(13,000,000)	(12,000,000)	(23,000,000)
Acquisitions	16,000,000
Adjustments	(53,000,000)	(38,000,000)	(30,000,000)
Foreign currency translation adjustment	(13,000,000)	(5,000,000)	6,000,000
Balance at end of period,	350,000,000	315,000,000	347,000,000
Severance Costs [Member]
Restructuring Reserve [Line Items]
Balance at beginning of period,	285,000,000	302,000,000	276,000,000
Charges	197,000,000	156,000,000	186,000,000
Usage (cash - Severance & Exit Costs)	(109,000,000)	(135,000,000)	(139,000,000)
Usage (non-Cash - Asset Impairment)	0	0	0
Acquisitions	16,000,000
Adjustments	(49,000,000)	(33,000,000)	(27,000,000)
Foreign currency translation adjustment	(11,000,000)	(5,000,000)	6,000,000
Balance at end of period,	329,000,000	285,000,000	302,000,000
Tangible And Intangible Asset Impairments [Member]
Restructuring Reserve [Line Items]
Balance at beginning of period,	0	0	0
Charges	13,000,000	12,000,000	23,000,000
Usage (cash - Severance & Exit Costs)	0	0	0
Usage (non-Cash - Asset Impairment)	(13,000,000)	(12,000,000)	(23,000,000)
Acquisitions	0
Adjustments	0	0	0
Foreign currency translation adjustment	0	0	0
Balance at end of period,	0	0	0
Exit Costs [Member]
Restructuring Reserve [Line Items]
Balance at beginning of period,	30,000,000	45,000,000	47,000,000
Charges	6,000,000	16,000,000	22,000,000
Usage (cash - Severance & Exit Costs)	(9,000,000)	(26,000,000)	(21,000,000)
Usage (non-Cash - Asset Impairment)	0	0	0
Acquisitions	0
Adjustments	(4,000,000)	(5,000,000)	(3,000,000)
Foreign currency translation adjustment	(2,000,000)	0	0
Balance at end of period,	$ 21,000,000	$ 30,000,000	$ 45,000,000

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OTHER (INCOME) EXPENSE (Details) - USD ($)	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Other Income Disclosure Nonoperating Abstract
Equity (income) loss of affiliated companies	$ (30,000,000)	$ (36,000,000)	$ (36,000,000)
Gain on sale of available for sale investments	0	(221,000,000)	(195,000,000)
Loss on sale of non-strategic businesses and assets	1,000,000	11,000,000	20,000,000
Interest Income	(104,000,000)	(102,000,000)	(69,000,000)
Foreign exchange	43,000,000	34,000,000	34,000,000
Other expense	22,000,000	9,000,000	8,000,000
Other (Income) Expense, Total	$ (68,000,000)	$ (305,000,000)	$ (238,000,000)

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INCOME TAX (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Current [Abstract]
U.S. Federal	$ 786	$ 746	$ 663
U.S. State	78	39	97
Non-U.S.	560	572	428
Current tax expense	1,424	1,357	1,188
Deferred [Abstract]
U.S. Federal	196	114	160
U.S. State	49	63	72
Non-U.S.	70	(45)	30
Deferred tax expense	315	132	262
Tax expense	1,739	1,489	1,450
Income From Continuing Operations Before Taxes [Abstract]
U.S.	3,361	3,340	3,002
Non-U.S.	3,225	2,478	2,410
Income from continuing operations before taxes	$ 6,586	$ 5,818	$ 5,412

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INCOME TAX 2 (Details)	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Effective Income Tax Rate Reconciliation [Abstract]
U.S. federal statutory income tax rate	35.00%	35.00%	35.00%
Taxes on non-U.S. earnings below U.S. tax rate	(8.00%)	(7.00%)	(7.20%)
U.S. state income taxes	1.20%	1.20%	1.80%
Manufacturing incentives	(1.50%)	(1.00%)	(0.90%)
ESOP dividend tax benefit	(0.40%)	(0.40%)	(0.50%)
Tax credits	(1.00%)	(1.00%)	(1.80%)
Reserves for tax contingencies	0.70%	(0.20%)	0.60%
All other items net	0.40%	(1.00%)	(0.20%)
Effective income tax rate	26.40%	25.60%	26.80%
Tax Expense Paragraph Details [Abstract]
Net (decrease) increase in the effective tax rate from prior period	0.80%	(1.20%)
Net (decrease) increase in non-U.S. income tax rate	(1.80%)	2.30%
U.S. federal statutory income tax rate	35.00%	35.00%	35.00%
Non-U.S. effective income tax rate	19.50%	21.30%

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INCOME TAX 3 (Details) - USD ($) $ in Millions	Dec. 31, 2015	Dec. 31, 2014
Deferred Tax Assets, Net [Abstract]
Pension	$ 500	$ 573
Postretirement benefits other than pensions	292	441
Asbestos and environmental	473	477
Employee compensation and benefits	387	387
Other accruals and reserves	626	672
Net operating and capital losses	620	639
Tax credit carryforwards	198	199
Gross deferred tax assets	3,096	3,388
Valuation allowance	(589)	(560)
Total deferred tax assets	2,507	2,828
Deferred Tax Liabilities Net [Abstract]
Property, plant and equipment	(661)	(612)
Intangibles	(1,797)	(1,060)
Other asset basis differences	(293)	(286)
Other	(31)	(7)
Total deferred tax liabilities	(2,782)	(1,965)
Net deferred tax (liability)	(275)
Net deferred tax asset		863
Deferred Tax Assets [Line Items]
Net deferred tax asset		863
Valuation allowance	589	$ 560
Foreign Country [Member]
Deferred Tax Assets, Net [Abstract]
Valuation allowance	(587)
Deferred Tax Liabilities Net [Abstract]
Net deferred tax asset	1,049
Deferred Tax Assets [Line Items]
Net deferred tax asset	1,049
Valuation allowance	$ 587

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INCOME TAX 4 (Details) - USD ($)	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Operating Loss Carryforwards [Line Items]
Operating Loss Carryforwards	$ 4,173,000,000
Tax Credit Carryforward Amount	201,000,000
Undistributed non-U.S. earnings	16,600,000,000
Unrecognized Tax Benefits	765,000,000	$ 659,000,000	$ 729,000,000	$ 722,000,000
Valuation Allowance Impact To Tax Expense	114,000,000	(10,000,000)	$ 49,000,000
Deferred Tax Assets Liabilities Net		863,000,000
Valuation allowance	(589,000,000)	$ (560,000,000)
U.S. Federal | 2032 [Member]
Operating Loss Carryforwards [Line Items]
Operating Loss Carryforwards	$ 2,000,000
Operating Loss Carryforward Expiration Dates	Dec. 31, 2032
Tax Credit Carryforward Amount	$ 45,000,000
Tax Credit Carryforward Expiration Dates	Dec. 31, 2032
Non-U.S.
Operating Loss Carryforwards [Line Items]
Deferred Tax Assets Liabilities Net	$ 1,049,000,000
Valuation allowance	(587,000,000)
Non-U.S. | Indefinite [Member]
Operating Loss Carryforwards [Line Items]
Operating Loss Carryforwards	2,339,000,000
Tax Credit Carryforward Amount	0
Non-U.S. | 2035 [Member]
Operating Loss Carryforwards [Line Items]
Operating Loss Carryforwards	$ 517,000,000
Operating Loss Carryforward Expiration Dates	Dec. 31, 2035
Tax Credit Carryforward Amount	$ 131,000,000
Tax Credit Carryforward Expiration Dates	Dec. 31, 2035
U.S. State | 2034 [Member]
Operating Loss Carryforwards [Line Items]
Operating Loss Carryforwards	$ 1,315,000,000
Operating Loss Carryforward Expiration Dates	Dec. 31, 2034
Tax Credit Carryforward Amount	$ 25,000,000
Tax Credit Carryforward Expiration Dates	Dec. 31, 2034

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INCOME TAX 5 (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Reconciliation of Unrecognized Tax Benefits [Abstract]
Balance at beginning of year	$ 659	$ 729	$ 722
Gross increases related to current period tax positions	56	65	41
Gross increases related to prior periods tax positions	175	204	118
Gross decreases related to prior periods tax positions	(72)	(277)	(21)
Decrease related to resolutions of audits with tax authorities	(11)	(32)	(92)
Expiration of the statue of limitations for the assessment of taxes	(13)	(10)	(30)
Foreign currency translation	(29)	(20)	(9)
Balance at end of year	$ 765	$ 659	$ 729

XML

INCOME TAX 6 (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Income Tax Examination Paragraph Details [Abstract]
Income tax Examination Unrecognized Tax Benefits From Examination	$ 349	$ 403	$ 431
Income Tax Examination Estimated Interest and Penalties From Examination	11	24	17
Income Tax Examination Accrued Interest and Penalties From Examination	$ 336	$ 325	$ 301
U.S. - Federal [Member] | 2010
Income Tax Examination [Line Items]
Income Tax Examinations In Progress, Years	2010
U.S. - Federal [Member] | 2011
Income Tax Examination [Line Items]
Income Tax Examinations In Progress, Years	2011
U.S. - Federal [Member] | 2012
Income Tax Examination [Line Items]
Income Tax Examinations In Progress, Years	2012
U.S. - Federal [Member] | 2013
Income Tax Examination [Line Items]
Income Tax Examinations Not Yet Initiated Years	2013
U.S. - Federal [Member] | 2014
Income Tax Examination [Line Items]
Income Tax Examinations Not Yet Initiated Years	2014
U.S. - Federal [Member] | 2015
Income Tax Examination [Line Items]
Income Tax Examinations Not Yet Initiated Years	2015
U.S. - State [Member] | 2008
Income Tax Examination [Line Items]
Income Tax Examinations In Progress, Years	2008
U.S. - State [Member] | 2009
Income Tax Examination [Line Items]
Income Tax Examinations In Progress, Years	2009
U.S. - State [Member] | 2010
Income Tax Examination [Line Items]
Income Tax Examinations In Progress, Years	2010
U.S. - State [Member] | 2011
Income Tax Examination [Line Items]
Income Tax Examinations In Progress, Years	2011
Income Tax Examinations Not Yet Initiated Years	2011
U.S. - State [Member] | 2012
Income Tax Examination [Line Items]
Income Tax Examinations In Progress, Years	2012
Income Tax Examinations Not Yet Initiated Years	2012
U.S. - State [Member] | 2013
Income Tax Examination [Line Items]
Income Tax Examinations In Progress, Years	2013
Income Tax Examinations Not Yet Initiated Years	2013
U.S. - State [Member] | 2014
Income Tax Examination [Line Items]
Income Tax Examinations In Progress, Years	2014
Income Tax Examinations Not Yet Initiated Years	2014
U.S. - State [Member] | 2015
Income Tax Examination [Line Items]
Income Tax Examinations Not Yet Initiated Years	2015
United Kingdom [Member] | 2013
Income Tax Examination [Line Items]
Income Tax Examinations Not Yet Initiated Years	2013
United Kingdom [Member] | 2014
Income Tax Examination [Line Items]
Income Tax Examinations Not Yet Initiated Years	2014
United Kingdom [Member] | 2015
Income Tax Examination [Line Items]
Income Tax Examinations Not Yet Initiated Years	2015
Canada [Member] | 2010
Income Tax Examination [Line Items]
Income Tax Examinations In Progress, Years	2010
Canada [Member] | 2011
Income Tax Examination [Line Items]
Income Tax Examinations In Progress, Years	2011
Canada [Member] | 2012
Income Tax Examination [Line Items]
Income Tax Examinations In Progress, Years	2012
Canada [Member] | 2013
Income Tax Examination [Line Items]
Income Tax Examinations In Progress, Years	2013
Canada [Member] | 2014
Income Tax Examination [Line Items]
Income Tax Examinations Not Yet Initiated Years	2014
Canada [Member] | 2015
Income Tax Examination [Line Items]
Income Tax Examinations Not Yet Initiated Years	2015
Germany [Member] | 2008
Income Tax Examination [Line Items]
Income Tax Examinations In Progress, Years	2008
Germany [Member] | 2009
Income Tax Examination [Line Items]
Income Tax Examinations In Progress, Years	2009
Germany [Member] | 2010
Income Tax Examination [Line Items]
Income Tax Examinations In Progress, Years	2010
Germany [Member] | 2011
Income Tax Examination [Line Items]
Income Tax Examinations In Progress, Years	2011
Germany [Member] | 2012
Income Tax Examination [Line Items]
Income Tax Examinations In Progress, Years	2012
Germany [Member] | 2013
Income Tax Examination [Line Items]
Income Tax Examinations Not Yet Initiated Years	2013
Germany [Member] | 2014
Income Tax Examination [Line Items]
Income Tax Examinations Not Yet Initiated Years	2014
Germany [Member] | 2015
Income Tax Examination [Line Items]
Income Tax Examinations Not Yet Initiated Years	2015
France [Member] | 2005
Income Tax Examination [Line Items]
Income Tax Examinations Not Yet Initiated Years	2005
France [Member] | 2006
Income Tax Examination [Line Items]
Income Tax Examinations Not Yet Initiated Years	2006
France [Member] | 2007
Income Tax Examination [Line Items]
Income Tax Examinations Not Yet Initiated Years	2007
France [Member] | 2008
Income Tax Examination [Line Items]
Income Tax Examinations Not Yet Initiated Years	2008
France [Member] | 2009
Income Tax Examination [Line Items]
Income Tax Examinations Not Yet Initiated Years	2009
France [Member] | 2010
Income Tax Examination [Line Items]
Income Tax Examinations Not Yet Initiated Years	2010
France [Member] | 2011
Income Tax Examination [Line Items]
Income Tax Examinations Not Yet Initiated Years	2011
France [Member] | 2012
Income Tax Examination [Line Items]
Income Tax Examinations In Progress, Years	2012
France [Member] | 2013
Income Tax Examination [Line Items]
Income Tax Examinations In Progress, Years	2013
France [Member] | 2014
Income Tax Examination [Line Items]
Income Tax Examinations In Progress, Years	2014
France [Member] | 2015
Income Tax Examination [Line Items]
Income Tax Examinations Not Yet Initiated Years	2015
Netherlands [Member] | 2009
Income Tax Examination [Line Items]
Income Tax Examinations In Progress, Years	2009
Netherlands [Member] | 2011
Income Tax Examination [Line Items]
Income Tax Examinations Not Yet Initiated Years	2011
Netherlands [Member] | 2012
Income Tax Examination [Line Items]
Income Tax Examinations Not Yet Initiated Years	2012
Netherlands [Member] | 2013
Income Tax Examination [Line Items]
Income Tax Examinations Not Yet Initiated Years	2013
Netherlands [Member] | 2014
Income Tax Examination [Line Items]
Income Tax Examinations Not Yet Initiated Years	2014
Netherlands [Member] | 2015
Income Tax Examination [Line Items]
Income Tax Examinations Not Yet Initiated Years	2015
Australia [Member] | 2010
Income Tax Examination [Line Items]
Income Tax Examinations Not Yet Initiated Years	2010
Australia [Member] | 2011
Income Tax Examination [Line Items]
Income Tax Examinations Not Yet Initiated Years	2011
Australia [Member] | 2012
Income Tax Examination [Line Items]
Income Tax Examinations Not Yet Initiated Years	2012
Australia [Member] | 2013
Income Tax Examination [Line Items]
Income Tax Examinations Not Yet Initiated Years	2013
Australia [Member] | 2014
Income Tax Examination [Line Items]
Income Tax Examinations Not Yet Initiated Years	2014
Australia [Member] | 2015
Income Tax Examination [Line Items]
Income Tax Examinations Not Yet Initiated Years	2015
China [Member] | 2003
Income Tax Examination [Line Items]
Income Tax Examinations In Progress, Years	2003
China [Member] | 2004
Income Tax Examination [Line Items]
Income Tax Examinations In Progress, Years	2004
China [Member] | 2005
Income Tax Examination [Line Items]
Income Tax Examinations In Progress, Years	2005
China [Member] | 2006
Income Tax Examination [Line Items]
Income Tax Examinations In Progress, Years	2006
China [Member] | 2007
Income Tax Examination [Line Items]
Income Tax Examinations In Progress, Years	2007
China [Member] | 2008
Income Tax Examination [Line Items]
Income Tax Examinations In Progress, Years	2008
China [Member] | 2009
Income Tax Examination [Line Items]
Income Tax Examinations In Progress, Years	2009
China [Member] | 2010
Income Tax Examination [Line Items]
Income Tax Examinations In Progress, Years	2010
China [Member] | 2011
Income Tax Examination [Line Items]
Income Tax Examinations In Progress, Years	2011
China [Member] | 2012
Income Tax Examination [Line Items]
Income Tax Examinations In Progress, Years	2012
China [Member] | 2013
Income Tax Examination [Line Items]
Income Tax Examinations In Progress, Years	2013
China [Member] | 2014
Income Tax Examination [Line Items]
Income Tax Examinations In Progress, Years	2014
China [Member] | 2015
Income Tax Examination [Line Items]
Income Tax Examinations Not Yet Initiated Years	2015
India [Member] | 1999
Income Tax Examination [Line Items]
Income Tax Examinations In Progress, Years	1999
India [Member] | 2000
Income Tax Examination [Line Items]
Income Tax Examinations In Progress, Years	2000
India [Member] | 2001
Income Tax Examination [Line Items]
Income Tax Examinations In Progress, Years	2001
India [Member] | 2002
Income Tax Examination [Line Items]
Income Tax Examinations In Progress, Years	2002
India [Member] | 2003
Income Tax Examination [Line Items]
Income Tax Examinations In Progress, Years	2003
India [Member] | 2004
Income Tax Examination [Line Items]
Income Tax Examinations In Progress, Years	2004
India [Member] | 2005
Income Tax Examination [Line Items]
Income Tax Examinations In Progress, Years	2005
India [Member] | 2006
Income Tax Examination [Line Items]
Income Tax Examinations In Progress, Years	2006
India [Member] | 2007
Income Tax Examination [Line Items]
Income Tax Examinations In Progress, Years	2007
India [Member] | 2008
Income Tax Examination [Line Items]
Income Tax Examinations In Progress, Years	2008
India [Member] | 2009
Income Tax Examination [Line Items]
Income Tax Examinations In Progress, Years	2009
India [Member] | 2010
Income Tax Examination [Line Items]
Income Tax Examinations In Progress, Years	2010
India [Member] | 2011
Income Tax Examination [Line Items]
Income Tax Examinations In Progress, Years	2011
India [Member] | 2012
Income Tax Examination [Line Items]
Income Tax Examinations In Progress, Years	2012
India [Member] | 2013
Income Tax Examination [Line Items]
Income Tax Examinations In Progress, Years	2013
India [Member] | 2014
Income Tax Examination [Line Items]
Income Tax Examinations Not Yet Initiated Years	2014
India [Member] | 2015
Income Tax Examination [Line Items]
Income Tax Examinations Not Yet Initiated Years	2015
Italy [Member] | 2008
Income Tax Examination [Line Items]
Income Tax Examinations In Progress, Years	2008
Italy [Member] | 2009
Income Tax Examination [Line Items]
Income Tax Examinations In Progress, Years	2009
Italy [Member] | 2010
Income Tax Examination [Line Items]
Income Tax Examinations In Progress, Years	2010
Italy [Member] | 2011
Income Tax Examination [Line Items]
Income Tax Examinations In Progress, Years	2011
Italy [Member] | 2012
Income Tax Examination [Line Items]
Income Tax Examinations In Progress, Years	2012
Italy [Member] | 2014
Income Tax Examination [Line Items]
Income Tax Examinations Not Yet Initiated Years	2014
Italy [Member] | 2015
Income Tax Examination [Line Items]
Income Tax Examinations Not Yet Initiated Years	2015

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EARNINGS PER SHARE (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions	3 Months Ended								12 Months Ended
	Dec. 31, 2015	Sep. 30, 2015	Jun. 30, 2015	Mar. 31, 2015	Dec. 31, 2014	Sep. 30, 2014	Jun. 30, 2014	Mar. 31, 2014	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Earnings Per Share [Abstract]
Net income attributable to Honeywell	$ 1,194	$ 1,264	$ 1,194	$ 1,116	$ 956	$ 1,167	$ 1,099	$ 1,017	$ 4,768	$ 4,239	$ 3,924
Weighted average shares outstanding									779.8	784.4	786.4
Earnings per share of common stock - basic	$ 1.55	$ 1.62	$ 1.52	$ 1.42	$ 1.22	$ 1.49	$ 1.4	$ 1.3	$ 6.11	$ 5.4	$ 4.99
Assuming dilution
Net income attributable to Honeywell	$ 1,194	$ 1,264	$ 1,194	$ 1,116	$ 956	$ 1,167	$ 1,099	$ 1,017	$ 4,768	$ 4,239	$ 3,924
Average shares
Weighted average shares outstanding									779.8	784.4	786.4
Dilutive securities issuable - stock plans									9.5	10.8	10.9
Total weighted average diluted shares outstanding									789.3	795.2	797.3
Earnings per share of common stock - assuming dilution	$ 1.53	$ 1.6	$ 1.51	$ 1.41	$ 1.2	$ 1.47	$ 1.38	$ 1.28	$ 6.04	$ 5.33	$ 4.92
Earnings Per Share Paragraph Details [Abstract]
Stock options excluded from diluted computations									7.1	4.7	2.2

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ACCOUNTS, NOTES AND OTHER RECEIVABLES (Details) - USD ($) $ in Millions	Dec. 31, 2015	Dec. 31, 2014
Accounts Receivable, Net Current [Abstract]
Trade	$ 7,901	$ 7,788
Other	436	445
Accounts receivable, Gross	8,337	8,233
Less - Allowance for doubtful accounts	(262)	(273)
Accounts receivable, Net	8,075	7,960
Accounts Notes, And Other Receivables Paragraph Details [Abstract]
Unbilled contract receivable	$ 1,590	$ 1,636

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INVENTORIES (Details) - USD ($) $ in Millions	Dec. 31, 2015	Dec. 31, 2014
Inventory Combining Work In Process And Raw Materials Alternative Gross Abstract
Raw materials	$ 1,120	$ 1,124
Work in process	826	815
Finished products	2,590	2,634
Inventory, Gross	4,536	4,573
Reduction to LIFO cost basis	(116)	(168)
Inventories	4,420	4,405
Inventories Paragraph Details [Abstract]
LIFO inventory amount	399	434
LIFO reserve	$ 116	$ 168

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PROPERTY, PLANT AND EQUIPMENT (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Property, Plant and Equipment [Line Items]
Property, Plant and Equipment, Gross	$ 14,908	$ 14,502
Less: Accumulated depreciation	(9,119)	(9,119)
Property, plant and equipment - net	5,789	5,383
Property, Plant and Equipment Paragraph Details [Abstract]
Depreciation	672	667	$ 670
Land and improvements [Member]
Property, Plant and Equipment [Line Items]
Property, Plant and Equipment, Gross	367	343
Machinery and Equipment [Member]
Property, Plant and Equipment [Line Items]
Property, Plant and Equipment, Gross	10,505	10,313
Buildings and improvements [Member]
Property, Plant and Equipment [Line Items]
Property, Plant and Equipment, Gross	3,188	3,119
Construction in Progress [Member]
Property, Plant and Equipment [Line Items]
Property, Plant and Equipment, Gross	$ 848	$ 727

XML

GOODWILL AND OTHER INTANGIBLE ASSETS - NET (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Finite Lived Intangible Assets Future Amortization Expense Abstract
Future Amortization Expense - 2016	$ 336
Future Amortization Expense - 2017	357
Future Amortization Expense - 2018	356
Future Amortization Expense - 2019	342
Future Amortization Expense - 2020	302
Finite-Lived Intangible Assets [Line Items]
Finite Lived Intangible Assets Gross	5,799	$ 3,749
Accumulated Amortization	(2,398)	(2,247)
Net Carrying Amount	3,401	1,502
Goodwill [Line Items]
Balance at beginning of period,	12,788
Acquisitions/Divestitures	3,399
Currency Translation Adjustment	(292)
Balance at end of period,	15,895	12,788
Finite And Indefinite Other Intangible Assets [Abstract]
Trademarks with indefinite lives	1,176	706
Gross carrying amount	6,975	4,455
Accumulated Amortization	(2,398)	(2,247)
Net carrying amount	4,577	2,208
Goodwill and Intangible Assets Paragraph Details [Abstract]
Amortization of intangible assets	211	257	$ 319
Aerospace [Member]
Goodwill [Line Items]
Balance at beginning of period,	2,258
Acquisitions/Divestitures	49
Currency Translation Adjustment	(11)
Balance at end of period,	2,296	2,258
Automation and Control Solutions [Member]
Goodwill [Line Items]
Balance at beginning of period,	7,824
Acquisitions/Divestitures	2,980
Currency Translation Adjustment	(216)
Balance at end of period,	10,588	7,824
Performance Materials And Technologies [Member]
Goodwill [Line Items]
Balance at beginning of period,	2,706
Acquisitions/Divestitures	370
Currency Translation Adjustment	(65)
Balance at end of period,	3,011	2,706
Patents and Technology [Member]
Finite-Lived Intangible Assets [Line Items]
Finite Lived Intangible Assets Gross	1,688	1,400
Accumulated Amortization	(1,061)	(1,005)
Net Carrying Amount	627	395
Finite And Indefinite Other Intangible Assets [Abstract]
Accumulated Amortization	(1,061)	(1,005)
Customer Relationships [Member]
Finite-Lived Intangible Assets [Line Items]
Finite Lived Intangible Assets Gross	3,558	1,867
Accumulated Amortization	(942)	(857)
Net Carrying Amount	2,616	1,010
Finite And Indefinite Other Intangible Assets [Abstract]
Accumulated Amortization	(942)	(857)
Trademarks [Member]
Finite-Lived Intangible Assets [Line Items]
Finite Lived Intangible Assets Gross	230	191
Accumulated Amortization	(131)	(125)
Net Carrying Amount	99	66
Finite And Indefinite Other Intangible Assets [Abstract]
Accumulated Amortization	(131)	(125)
Other Intangible Assets [Member]
Finite-Lived Intangible Assets [Line Items]
Finite Lived Intangible Assets Gross	323	291
Accumulated Amortization	(264)	(260)
Net Carrying Amount	59	31
Finite And Indefinite Other Intangible Assets [Abstract]
Accumulated Amortization	$ (264)	$ (260)

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ACCRUED LIABILITIES (Details) - USD ($) $ in Millions	Dec. 31, 2015	Dec. 31, 2014
Accrued Liabilities Current [Abstract]
Customer advances and deferred income	$ 1,863	$ 2,094
Compensation, benefit and other employee related	1,460	1,476
Asbestos related liabilities	292	352
Repositioning	335	284
Product warranties and performance guarantees	355	332
Environmental costs	253	278
Income taxes	201	261
Accrued interest	97	101
Other taxes (payroll, sales, VAT etc)	266	243
Insurance	205	264
Other (primarily operating expenses)	950	1,086
Accrued Liabilities	$ 6,277	$ 6,771

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LONG-TERM DEBT AND CREDIT AGREEMENTS (Details) - USD ($)	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Debt Instrument [Line Items]
Total long-term debt, including current portion	$ 6,131,000,000	$ 6,985,000,000
Less current portion	(577,000,000)	(939,000,000)
Total Noncurrent Debt	5,554,000,000	6,046,000,000
Long Term Debt By Maturity [Abstract]
2016	577,000,000
2017	490,000,000
2018	910,000,000
2019	902,000,000
2020	2,000,000
Thereafter	3,250,000,000
Total long-term debt, including current portion	6,131,000,000	6,985,000,000
Less current portion	(577,000,000)	(939,000,000)
Total Long-term debt	$ 5,554,000,000	6,046,000,000
364-Day Credit Agreement [Member]
Line Of Credit Facility [Line Items]
Facility initiation date	Sep. 30, 2015
Facility expiration date	Sep. 28, 2016
Line of credit facility, current borrowing capacity	$ 3,000,000,000
Borrowing capacity description	364-Day Credit Agreement is maintained for general corporate purposes
Floating Rate Notes Due 2015 [Member]
Debt Instrument [Line Items]
Senior Notes	$ 0	700,000,000
Maturity date of debt instrument	Nov. 17, 2015
Notes 5.40% due 2016 [Member]
Debt Instrument [Line Items]
Senior Notes	$ 400,000,000	400,000,000
Various interest rates	5.40%
Maturity date of debt instrument	Mar. 15, 2016
Notes 5.30% due 2017 [Member]
Debt Instrument [Line Items]
Senior Notes	$ 400,000,000	400,000,000
Various interest rates	5.30%
Maturity date of debt instrument	Mar. 15, 2017
Notes 5.30% due 2018 [Member]
Debt Instrument [Line Items]
Senior Notes	$ 900,000,000	900,000,000
Various interest rates	5.30%
Maturity date of debt instrument	Mar. 01, 2018
Notes 5.00% due 2019 [Member]
Debt Instrument [Line Items]
Senior Notes	$ 900,000,000	900,000,000
Various interest rates	5.00%
Maturity date of debt instrument	Feb. 15, 2019
Notes 4.25% due 2021 [Member]
Debt Instrument [Line Items]
Senior Notes	$ 800,000,000	800,000,000
Various interest rates	4.25%
Maturity date of debt instrument	Mar. 01, 2021
Notes 3.35% due 2023 [Member]
Debt Instrument [Line Items]
Senior Notes	$ 300,000,000	300,000,000
Various interest rates	3.35%
Maturity date of debt instrument	Dec. 01, 2023
Notes 5.375% Due 2041 [Member]
Debt Instrument [Line Items]
Senior Notes	$ 600,000,000	600,000,000
Various interest rates	5.375%
Maturity date of debt instrument	Mar. 01, 2041
Industrial development bond obligations, floating rate maturing at various dates through 2037 [Member]
Debt Instrument [Line Items]
Industrial development bond	$ 30,000,000	30,000,000
Maturity date of debt instrument	Dec. 31, 2037
Debentures 6.625% due 2028 [Member]
Debt Instrument [Line Items]
Debentures	$ 216,000,000	216,000,000
Various interest rates	6.625%
Maturity date of debt instrument	Jun. 15, 2028
Debentures 9.065% due 2033 [Member]
Debt Instrument [Line Items]
Debentures	$ 51,000,000	51,000,000
Various interest rates	9.065%
Maturity date of debt instrument	Jun. 01, 2033
Notes 5.70% due 2036 [Member]
Debt Instrument [Line Items]
Senior Notes	$ 550,000,000	550,000,000
Various interest rates	5.70%
Maturity date of debt instrument	Mar. 15, 2036
Notes 5.70% due 2037 [Member]
Debt Instrument [Line Items]
Senior Notes	$ 600,000,000	600,000,000
Various interest rates	5.70%
Maturity date of debt instrument	Mar. 15, 2037
Other including capitalized leases and debt issuance costs, .6% to 9.5% maturing at various dates through 2023 [Member]
Debt Instrument [Line Items]
Other long term debt	$ 384,000,000	$ 538,000,000
Interest rate range minimum	0.60%
Interest rate range maximum	9.50%
Maturity date of debt instrument	Dec. 31, 2023
Syndicate Of Banks [Member]
Line Of Credit Facility [Line Items]
Facility initiation date	Jul. 10, 2015
Facility expiration date	Jul. 10, 2020
Line of credit facility, current borrowing capacity	$ 4,000,000,000
Line of credit facility, maximum borrowing capacity	4,500,000,000
Line Of Credit Facility Previous Borrowing Capacity	$ 4,000,000,000

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LEASE COMMITMENTS (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Leases Operating [Abstract]
Rent expense	$ 390	$ 420	$ 404
Operating Leases Future Minimum Payments Due Abstract
2016	316
2017	249
2018	172
2019	114
2020	77
Thereafter	273
Total	$ 1,201

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FINANCIAL INSTRUMENTS AND FAIR VALUE MEASURES (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Foreign Currency Exchange Contracts [Member]
Derivative [Line Items]
Derivative, Notional Amount	$ 10,538	$ 7,291
Interest Rate Swap Agreements [Member]
Derivative [Line Items]
Fixed Rate Debt Percent changed to LIBOR	4.00%	4.00%
Amount of fixed rate debt	$ 1,100	$ 1,100
Derivative Description Of Terms	Our interest rate swaps mature at various dates through 2023.

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FINANCIAL INSTRUMENTS AND FAIR VALUE MEASURES 2 (Details) - Significant Observable Inputs (Level 2) - USD ($) $ in Millions	Dec. 31, 2015	Dec. 31, 2014
Foreign Currency Exchange Contracts [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative Fair Value Of Derivative Asset	$ 28	$ 20
Derivative Fair Value Of Derivative Liability	17	10
Available-for-sale Securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available for sale investments	1,501	1,479
Interest Rate Swap Agreements [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative Fair Value Of Derivative Asset	$ 92	$ 93

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FINANCIAL INSTRUMENTS AND FAIR VALUE MEASURES 3 (Details) - Significant Observable Inputs (Level 2) - USD ($) $ in Millions	Dec. 31, 2015	Dec. 31, 2014
Carrying (Reported) Amount, Fair Value Disclosure [Member]
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Long-term receivables	$ 292	$ 297
Long-term debt and related current maturities	6,131	6,985
Estimate of Fair Value, Fair Value Disclosure [Member]
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Long-term receivables	283	293
Long-term debt and related current maturities	$ 6,721	$ 7,817

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FINANCIAL INSTRUMENTS AND FAIR VALUE MEASURES 4 (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Cash Flow Hedge Gain Loss Reclassified To Income Statement Locations Paragraph Details [Abstract]
Gain (Loss) on interest rate swap agreements	$ (2)	$ 38
Foreign Exchange Mark to Market income (expense)	$ (86)	$ (181)

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OTHER LIABILITIES (Details) - USD ($) $ in Millions	Dec. 31, 2015	Dec. 31, 2014
Other Liabilities Noncurrent [Abstract]
Pension and other employee related	$ 2,461	$ 2,497
Income taxes	1,009	764
Environmental	265	313
Insurance	257	253
Asset retirement obligations	65	67
Deferred income	99	93
Other	192	295
Total other liabilities	$ 4,348	$ 4,282

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CAPITAL STOCK (Details) - USD ($) $ / shares in Units, $ in Millions	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Capital Stock Paragraph Details [Abstract]
Common stock shares authorized	2,000,000,000
Common Shares par value	$ 1
Authorized Amount Of Common Stock Value Of Share Repurchase Program			$ 5,000
Stock Repurchase Program Remaining Authorized Repurchase Amount	$ 2,200	$ 4,100
Preferred Stock Shares Authorized	40,000,000
Reacquired stock or repurchases of common stock	$ 1,884	$ 924
Stock Repurchased During Period Shares	18,800,000	10,000,000

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ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) (Details) - USD ($)	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Accumulated Other Comprehensive Income Loss [Abstract]
Cumulative foreign exchange translation adjustment	$ (1,892,000,000)	$ (740,000,000)
Pension and other postretirement benefit adjustments	(644,000,000)	(728,000,000)
Fair value of available for sale investments	0	0
Fair value of effective cash flow hedges	1,000,000	9,000,000
Accumulated Other Comprehensive Income (Loss)	(2,535,000,000)	(1,459,000,000)	$ 818,000,000
Other Comprehensive Income Loss Before Tax Period Increase Decrease [Abstract]
Foreign exchange translation adjustment	(1,152,000,000)	(1,044,000,000)	(52,000,000)
Pension and other postretirement benefit adjustments	129,000,000	(1,707,000,000)	3,514,000,000
Changes in fair value of available for sale investments	0	(246,000,000)	30,000,000
Changes in fair value of effective cash flow hedges	(11,000,000)	24,000,000	(14,000,000)
Changes in accumulated other comprehensive income, pretax	(1,034,000,000)	(2,973,000,000)	3,478,000,000
Other Comprehensive Income Loss Tax [Abstract]
Foreign exchange translation adjustment	0	0	0
Pensions and other postretirement benefit adjustments	(45,000,000)	624,000,000	(1,311,000,000)
Changes in fair value of available for sale investments	0	76,000,000	(17,000,000)
Changes in fair value of effective cash flow hedges	3,000,000	(4,000,000)	7,000,000
Other comprehensive income (loss), tax	(42,000,000)	696,000,000	(1,321,000,000)
Other Comprehensive Income Loss Net Of Tax Period Increase Decrease Abstract
Foreign exchange translation adjustment	(1,152,000,000)	(1,044,000,000)	(52,000,000)
Pensions and other postretirement benefit adjustments	84,000,000	(1,083,000,000)	2,203,000,000
Changes in fair value of available for sale investments	0	(170,000,000)	13,000,000
Changes in fair value of effective cash flow hedges	(8,000,000)	20,000,000	(7,000,000)
Components of other comprehensive income (loss), net of tax	$ (1,076,000,000)	$ (2,277,000,000)	$ 2,157,000,000

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ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) 2 (Details) - USD ($)	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Accumulated Other Comprehensive Income Loss [Line Items]
Balance beginning of period December 31	$ (1,459,000,000)	$ 818,000,000
Other comprehensive income (loss) before reclassifications	(1,038,000,000)	(2,293,000,000)
Amounts reclassified from accumulated other comprehensive income	(38,000,000)	16,000,000
Net current period other comprehensive income (loss)	(1,076,000,000)	(2,277,000,000)	$ 2,157,000,000
Balance end of period	(2,535,000,000)	(1,459,000,000)	818,000,000
Foreign Exchange Translation Adjustment [Member]
Accumulated Other Comprehensive Income Loss [Line Items]
Balance beginning of period December 31	(740,000,000)	304,000,000
Other comprehensive income (loss) before reclassifications	(1,152,000,000)	(1,044,000,000)
Amounts reclassified from accumulated other comprehensive income	0	0
Net current period other comprehensive income (loss)	(1,152,000,000)	(1,044,000,000)
Balance end of period	(1,892,000,000)	(740,000,000)	304,000,000
Pension and Other Postretirement Adjustments [Member]
Accumulated Other Comprehensive Income Loss [Line Items]
Balance beginning of period December 31	(728,000,000)	355,000,000
Other comprehensive income (loss) before reclassifications	23,000,000	(1,284,000,000)
Amounts reclassified from accumulated other comprehensive income	61,000,000	201,000,000
Net current period other comprehensive income (loss)	84,000,000	(1,083,000,000)
Balance end of period	(644,000,000)	(728,000,000)	355,000,000
Changes in Fair Value of Available for Sale Investments [Member]
Accumulated Other Comprehensive Income Loss [Line Items]
Balance beginning of period December 31	0	170,000,000
Other comprehensive income (loss) before reclassifications	0	15,000,000
Amounts reclassified from accumulated other comprehensive income	0	(185,000,000)
Net current period other comprehensive income (loss)	0	(170,000,000)
Balance end of period	0	0	170,000,000
Changes in Fair Value of Effective Cash Flow Hedges
Accumulated Other Comprehensive Income Loss [Line Items]
Balance beginning of period December 31	9,000,000	(11,000,000)
Other comprehensive income (loss) before reclassifications	91,000,000	20,000,000
Amounts reclassified from accumulated other comprehensive income	(99,000,000)	0
Net current period other comprehensive income (loss)	(8,000,000)	20,000,000
Balance end of period	$ 1,000,000	$ 9,000,000	$ (11,000,000)

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ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) 3 (Details) - USD ($)	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income [Line Items]
Product sales	$ (30,695,000,000)	$ (32,398,000,000)	$ (31,214,000,000)
Cost of products sold	21,775,000,000	23,889,000,000	23,317,000,000
Cost of services sold	4,972,000,000	5,068,000,000	5,047,000,000
Selling, general and administrative expenses	5,006,000,000	5,518,000,000	5,190,000,000
Other (income) expense	(68,000,000)	(305,000,000)	(238,000,000)
Total	(6,586,000,000)	(5,818,000,000)	(5,412,000,000)
Tax expense (benefit)	1,739,000,000	1,489,000,000	1,450,000,000
Total reclassification for the period, net of tax	(4,847,000,000)	(4,329,000,000)	$ (3,962,000,000)
Reclassification Out Of Accumulated Other Comprehensive Income [Member]
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income [Line Items]
Product sales	(17,000,000)	(5,000,000)
Cost of products sold	(7,000,000)	200,000,000
Cost of services sold	(4,000,000)	38,000,000
Selling, general and administrative expenses	12,000,000	47,000,000
Other (income) expense	0	(221,000,000)
Total	(16,000,000)	59,000,000
Tax expense (benefit)	(22,000,000)	(43,000,000)
Total reclassification for the period, net of tax	(38,000,000)	16,000,000
Reclassification Out Of Accumulated Other Comprehensive Income [Member] | Losses (gains) on cash flow hedges
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income [Line Items]
Product sales	(17,000,000)	(5,000,000)
Cost of products sold	(73,000,000)	0
Cost of services sold	(17,000,000)	0
Selling, general and administrative expenses	(2,000,000)	5,000,000
Other (income) expense	0	0
Total	(109,000,000)	0
Reclassification Out Of Accumulated Other Comprehensive Income [Member] | Unrealized Gains on Available for Sale Investment [Member]
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income [Line Items]
Product sales		0
Cost of products sold		0
Cost of services sold		0
Selling, general and administrative expenses		0
Other (income) expense		(221,000,000)
Total		(221,000,000)
Reclassification Out Of Accumulated Other Comprehensive Income [Member] | Actuarial losses recognized [Member]
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income [Line Items]
Product sales	0	0
Cost of products sold	78,000,000	199,000,000
Cost of services sold	16,000,000	38,000,000
Selling, general and administrative expenses	17,000,000	42,000,000
Other (income) expense	0	0
Total	111,000,000	279,000,000
Reclassification Out Of Accumulated Other Comprehensive Income [Member] | Prior service (credit) recognized [Member]
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income [Line Items]
Product sales	0	0
Cost of products sold	(14,000,000)	(1,000,000)
Cost of services sold	(3,000,000)	0
Selling, general and administrative expenses	(3,000,000)	0
Other (income) expense	0	0
Total	(20,000,000)	(1,000,000)
Reclassification Out Of Accumulated Other Comprehensive Income [Member] | Transition obligation recognized [Member]
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income [Line Items]
Product sales		0
Cost of products sold		2,000,000
Cost of services sold		0
Selling, general and administrative expenses		0
Other (income) expense		0
Total		$ 2,000,000
Reclassification Out Of Accumulated Other Comprehensive Income [Member] | Settlements and curtailments [Member]
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income [Line Items]
Product sales	0
Cost of products sold	2,000,000
Cost of services sold	0
Selling, general and administrative expenses	0
Other (income) expense	0
Total	$ 2,000,000

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STOCK-BASED COMPENSATION PLANS (Details) - $ / shares	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Stock Options Weighted Average Exercise Price [Abstract]
Exercisable at December 31,	$ 55.11	$ 49.4	$ 45.76
Stock Incentive Plan [Member] | Stock Options [Member]
Stock based compensation Fair Value [Abstract]
Weighted average fair value per share of options granted during the year	$ 17.21	$ 16.35	$ 11.85
Expected annual dividend yield	1.98%	2.05%	2.55%
Expected volatility	21.55%	23.06%	24.73%
Risk-free rate of return	1.61%	1.48%	0.91%
Expected option term (years)	5 years	5 years	5 years 6 months
Stock Options Number of Options [Abstract]
Outstanding at beginning of period,	29,495,612	30,663,837	35,569,021
Granted	5,967,256	5,823,706	6,041,422
Exercised	(4,190,298)	(5,697,263)	(10,329,611)
Lapsed or Canceled	(703,132)	(1,294,668)	(616,995)
Outstanding at end of period,	30,569,438	29,495,612	30,663,837
Vested and Expected to Vest at December 31,	28,852,696
Exercisable at December 31,	17,202,377
Options Activity Footnote [Abstract]
Vested options	17,200,000
Options expected to vest	11,700,000
Outstanding unvested options	13,600,000
Stock Options Weighted Average Exercise Price [Abstract]
Outstanding at beginning of period,	$ 61.8	$ 53.27	$ 47.13
Granted	103.87	93.95	69.89
Exercised	53.4	47.47	41.91
Lapsed or Canceled	84.31	67.7	53.84
Outstanding at end of period,	70.76	$ 61.8	$ 53.27
Vested and Expected to Vest at December 31,	68.96
Exercisable at December 31,	$ 55.11

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STOCK-BASED COMPENSATION PLANS 2 (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Share Based Compensation Shares Authorized Under Stock Option Plans Exercise Price Range Beginning Of Period Abstract
Options Outstanding, Number of Options	30,569,438
Options Outstanding, Weighted Average Life	6 years 4 months
Options Outstanding, Weighted Average Exercise Price	70.76
Options Outstanding Aggregate Intrinsic Value	$ 1,004
Options Exercisable Number of Options	17,202,377	16,019,742	15,594,410
Weighted Average Exercise Price	$ 55.11	$ 49.4	$ 45.76
Options Exercisable Aggregate Intrinsic Value	$ 834
Stock Incentive Plan [Member] | Stock Options [Member]
Share Based Compensation Shares Authorized Under Stock Option Plans Exercise Price Range Beginning Of Period Abstract
Weighted Average Exercise Price	$ 55.11
Exercise Price Range $28.35-$49.99 [Member] | Stock Incentive Plan [Member] | Stock Options [Member]
Share Based Compensation Shares Authorized Under Stock Option Plans Exercise Price Range Beginning Of Period Abstract
Options Outstanding, Number of Options	6,176,777
Options Outstanding, Weighted Average Life	3 years 4 months
Options Outstanding, Weighted Average Exercise Price	38.45
Options Outstanding Aggregate Intrinsic Value	$ 402
Options Exercisable Number of Options	6,176,777
Weighted Average Exercise Price	$ 38.45
Options Exercisable Aggregate Intrinsic Value	$ 402
Exercise Price Range $50.00-$64.99 [Member] | Stock Incentive Plan [Member] | Stock Options [Member]
Share Based Compensation Shares Authorized Under Stock Option Plans Exercise Price Range Beginning Of Period Abstract
Options Outstanding, Number of Options	8,884,587
Options Outstanding, Weighted Average Life	5 years 1 month
Options Outstanding, Weighted Average Exercise Price	58.43
Options Outstanding Aggregate Intrinsic Value	$ 401
Options Exercisable Number of Options	7,731,362
Weighted Average Exercise Price	$ 58.21
Options Exercisable Aggregate Intrinsic Value	$ 351
Exercise Price Range $65.00-$75.00 [Member] | Stock Incentive Plan [Member] | Stock Options [Member]
Share Based Compensation Shares Authorized Under Stock Option Plans Exercise Price Range Beginning Of Period Abstract
Options Outstanding, Number of Options	4,490,514
Options Outstanding, Weighted Average Life	7 years 2 months
Options Outstanding, Weighted Average Exercise Price	69.92
Options Outstanding Aggregate Intrinsic Value	$ 151
Options Exercisable Number of Options	2,048,042
Weighted Average Exercise Price	$ 69.92
Options Exercisable Aggregate Intrinsic Value	$ 69
Exercise Price Range $90.00-$103.90 [Member] | Stock Incentive Plan [Member] | Stock Options [Member]
Share Based Compensation Shares Authorized Under Stock Option Plans Exercise Price Range Beginning Of Period Abstract
Options Outstanding, Number of Options	11,017,560
Options Outstanding, Weighted Average Life	8 years 9 months
Options Outstanding, Weighted Average Exercise Price	99.17
Options Outstanding Aggregate Intrinsic Value	$ 50
Options Exercisable Number of Options	1,246,196
Weighted Average Exercise Price	$ 94.07
Options Exercisable Aggregate Intrinsic Value	$ 12

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STOCK BASED COMPENSATION PLANS 3 (Details) - USD ($) $ / shares in Units, $ in Millions	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Share Based Compensation Arrangement By Share Based Payment Stock Options [Line Items]
Weighted Average Exercise Price	$ 55.11	$ 49.4	$ 45.76
Financial Statement Impact From Stock Options Exercised [Abstract]
Operating cash inflow	$ (81)	$ (102)	$ (132)
Financing cash inflow	$ 81	102	132
Restricted Stock Units (RSUs) [Member] | Minimum [Member]
Share Based Compensation Arrangement By Share Based Payment Stock Options [Line Items]
Vesting periods	3 years
Restricted Stock Units (RSUs) [Member] | Maximum [Member]
Share Based Compensation Arrangement By Share Based Payment Stock Options [Line Items]
Vesting periods	7 years
Stock Incentive Plan [Member]
Share Based Compensation Arrangement By Share Based Payment Stock Options [Line Items]
Shares of Honeywell common stock available for future grants	14,050,760
Stock Incentive Plan [Member] | Stock Options [Member]
Share Based Compensation Arrangement By Share Based Payment Stock Options [Line Items]
Vesting periods	4 years
Stock Options General Expiration Period	10 years
Number of Options Exercisable	17,202,377
Weighted Average Exercise Price	$ 55.11
Unrecognized compensation on nonvested stock options	$ 140
Nonvested options recognized over weighted average period, years	2 years 4 months
Fair value of options vested	$ 73	72	67
Financial Statement Impact From Stock Options Exercised [Abstract]
Intrinsic value	210	272	367
Tax benefit realized	73	96	129
Operating cash inflow	137	172	333
Financing cash inflow	57	77	99
Cash received	194	249	432
Share-based compensation expense	78	85	70
Future income tax benefit recognized	26	31	24
Stock Incentive Plan [Member] | Restricted Stock Units (RSUs) [Member]
Share Based Compensation Arrangement By Share Based Payment Stock Options [Line Items]
Unrecognized compensation on nonvested stock options	$ 185
Nonvested options recognized over weighted average period, years	3 years 5 months
Financial Statement Impact From Stock Options Exercised [Abstract]
Share-based compensation expense	$ 97	102	100
Future income tax benefit recognized	$ 29	$ 37	$ 35

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STOCK-BASED COMPENSATION PLANS - RSUS (Details) - Stock Incentive Plan [Member] - USD ($) $ / shares in Units, $ in Millions	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Stock Options [Member]
Restricted Stock Units [Line Items]
Nonvested options recognized over weighted average period, years	2 years 4 months
Unrecognized compensation on nonvested stock options	$ 140
Vesting periods	4 years
Income Statement Impact From RSUs [Abstract]
Share-based compensation expense	$ 78	$ 85	$ 70
Future income tax benefit recognized	$ 26	$ 31	$ 24
Restricted Stock Units (RSUs) [Member]
Restricted Stock Units [Line Items]
Nonvested options recognized over weighted average period, years	3 years 5 months
Unrecognized compensation on nonvested stock options	$ 185
Restricted Stock Units Number of Options [Abstract]
Non-vested at beginning of period,	5,899,194	6,692,220	8,095,739
Granted	1,190,406	1,455,209	1,904,504
Vested	(1,681,342)	(1,787,894)	(2,995,553)
Forfeited	(426,670)	(460,341)	(312,470)
Non-vested at end of period,	4,981,588	5,899,194	6,692,220
Weighted average grant date fair value per share [Abstract]
Non-vested at beginning of period,	$ 70.32	$ 60.04	$ 49.91
Granted	103.04	94.88	75.73
Vested	56.38	53.63	42.17
Forfeited	77.73	63.54	56.58
Non-vested at end of period,	$ 82.18	$ 70.32	$ 60.04
Income Statement Impact From RSUs [Abstract]
Share-based compensation expense	$ 97	$ 102	$ 100
Future income tax benefit recognized	$ 29	$ 37	$ 35

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COMMITMENTS AND CONTINGENCIES (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2015	Dec. 31, 2014
Loss Contingency Classification of Accrual [Abstract]
Accrued liabilities				$ 253	$ 278
Other liabilities				265	313
Total environmental liabilities	$ 591	$ 643	$ 654	$ 518	$ 591
Environmental Matters [Abstract]
Beginning of period	591	643	654
Accruals for environmental matters deemed probable and reasonably estimable	194	268	272
Environmental liability payments	(273)	(321)	(304)
Other	6	1	21
End of period	$ 518	$ 591	$ 643

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COMMITMENTS AND CONTINGENCIES 2 (Details) - USD ($)	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Asbestos Related Liabilities Disclosure [Abstract]
Asbestos Related Liabilities, Beginning of Period	$ 1,552,000,000	$ 1,611,000,000	$ 1,772,000,000
Accrual for update to estimated liability	188,000,000	199,000,000	185,000,000
Change in estimated cost of future claims	11,000,000	(1,000,000)	16,000,000
Update of expected resolution values for pending claims	1,000,000	2,000,000	(5,000,000)
Asbestos related liability payments	(209,000,000)	(259,000,000)	(357,000,000)
Asbestos Related Liabilities, End of Period	1,543,000,000	1,552,000,000	1,611,000,000
Asbestos Related Liabilities Insurance Recoveries [Line Items]
Insurance Recoveries, beginning of period	485,000,000	672,000,000	707,000,000
Probable insurance recoveries related to estimated liability	21,000,000	24,000,000	27,000,000
Insurance receipts for asbestos related liabilities	(63,000,000)	(211,000,000)	(58,000,000)
Insurance receivables settlements and write-offs	7,000,000	1,000,000	(6,000,000)
Other	(1,000,000)	(1,000,000)	2,000,000
Insurance recoveries, end of period	449,000,000	485,000,000	672,000,000
Bendix Asbestos Loss Contingency Liability [Member]
Asbestos Related Liabilities Disclosure [Abstract]
Asbestos Related Liabilities, Beginning of Period	623,000,000	656,000,000	653,000,000
Accrual for update to estimated liability	180,000,000	195,000,000	180,000,000
Change in estimated cost of future claims	11,000,000	(1,000,000)	16,000,000
Update of expected resolution values for pending claims	1,000,000	2,000,000	(5,000,000)
Asbestos related liability payments	(193,000,000)	(229,000,000)	(188,000,000)
Asbestos Related Liabilities, End of Period	622,000,000	623,000,000	656,000,000
Asbestos Related Liabilities Insurance Recoveries [Line Items]
Insurance Recoveries, beginning of period	135,000,000	141,000,000	138,000,000
Probable insurance recoveries related to estimated liability	21,000,000	24,000,000	27,000,000
Insurance receipts for asbestos related liabilities	(33,000,000)	(24,000,000)	(24,000,000)
Insurance receivables settlements and write-offs	1,000,000	(6,000,000)	0
Other	0	0	0
Insurance recoveries, end of period	124,000,000	135,000,000	141,000,000
Narco Asbestos Loss Contingency Liability [Member]
Asbestos Related Liabilities Disclosure [Abstract]
Asbestos Related Liabilities, Beginning of Period	929,000,000	955,000,000	1,119,000,000
Accrual for update to estimated liability	8,000,000	4,000,000	5,000,000
Change in estimated cost of future claims	0	0	0
Update of expected resolution values for pending claims	0	0	0
Asbestos related liability payments	(16,000,000)	(30,000,000)	(169,000,000)
Asbestos Related Liabilities, End of Period	921,000,000	929,000,000	955,000,000
Asbestos Related Liabilities Insurance Recoveries [Line Items]
Insurance Recoveries, beginning of period	350,000,000	531,000,000	569,000,000
Probable insurance recoveries related to estimated liability	0	0	0
Insurance receipts for asbestos related liabilities	(30,000,000)	(187,000,000)	(34,000,000)
Insurance receivables settlements and write-offs	6,000,000	7,000,000	(6,000,000)
Other	(1,000,000)	(1,000,000)	2,000,000
Insurance recoveries, end of period	$ 325,000,000	$ 350,000,000	$ 531,000,000

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COMMITMENTS AND CONTINGENCIES 3 (Details) - USD ($) $ in Millions	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Loss Contingency, Narco and Bendix Asbestos Related Balances by Balance Sheet Caption [Abstract]
Other current assets	$ 23	$ 31
Insurance recoveries for asbestos related liabilities	426	454
Total assets	449	485	$ 672	$ 707
Accrued liabilities	292	352
Asbestos related liabilities	1,251	1,200
Total liabilities	$ 1,543	$ 1,552	$ 1,611	$ 1,772

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COMMITMENTS AND CONTINGENCIES 4 (Details) $ in Millions	Dec. 31, 2015 USD ($)
Loss Contingency By Nature Of Contingency [Line Items]
Loss Contingency Estimated Pre-established Unliquidated Claims Amount	$ 145
Loss Contingency Unsettled Claims Amount	33
Estimated Liability	743
Maximum Estimated Liability	961
Exceptions To Cap [Abstract]
Value Not Included In Cap	100
Estimated value of settlement agreements to be paid during the initial years of trust operations	150
Settlement Payments	5
Years 2016 To 2018 [Member]
Loss Contingency By Nature Of Contingency [Line Items]
Annual Trust Cap	140
Year 2019 And Thereafter [Member]
Loss Contingency By Nature Of Contingency [Line Items]
Annual Trust Cap	$ 145

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COMMITMENTS AND CONTINGENCIES 5 (Details) - Bendix Asbestos Loss Contingency Liability [Member]	12 Months Ended
	Dec. 31, 2015 claims $ / claims	Dec. 31, 2014 claims $ / claims	Dec. 31, 2013 claims $ / claims	Dec. 31, 2012 $ / claims	Dec. 31, 2011 $ / claims
Loss Contingency Claims [Abstract]
Claims unresolved at the beginning of period	9,267	12,302
Claims Filed	2,862	3,694
Claims Resolved	(4,350)	(6,729)
Claims unresolved at the end of period	7,779	9,267	12,302
Loss Contingency Claims Footnote [Abstract]
Significantly aged, claims	153	1,266
Cancer Claims With No Determinable Value		2,110
Loss Contingency, Disease Distribution of Unresolved Claims [Abstract]
Mesothelioma and Other Cancer Claims	3,772	3,933
Nonmalignant Claims	4,007	5,334
Claims unresolved at the end of period	7,779	9,267	12,302
Resolution Values Per Claim [Abstract]
Malignant claims | $ / claims	44,000	53,500	51,000	49,000	48,000
Nonmalignant claims | $ / claims	100	120	850	1,400	1,000

XML

COMMITMENTS AND CONTINGENCIES 6 (Details) $ in Millions	12 Months Ended
	Dec. 31, 2015 USD ($)
United Auto Workers [Member] | Pre 2003 Retirees [Member]
Other Matters [Line Items]
Potential Opeb Increase Due To Adverse Ruling	$ 176
United Auto Workers [Member] | Post 2003 Retirees [Member]
Other Matters [Line Items]
Potential Opeb Increase Due To Adverse Ruling	$ 110
Joint Strike Fighter [Member]
Other Matters [Line Items]
Information request	In 2013 the Company received subpoenas from the Department of Justice requesting information relating primarily to parts manufactured in the United Kingdom and China used in the F-35 fighter jet. The Company is cooperating fully with the investigation. While we believe that Honeywell has complied with all relevant U.S. laws and regulations regarding the manufacture of these sensors, it is not possible to predict the outcome of the investigation or what action, if any, may result from it

XML

COMMITMENTS AND CONTINGENCIES 7 (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2015	Dec. 31, 2014
Product Warranties and Guarantees [Roll forward]
Beginning of year	$ 403	$ 405	$ 407
Accruals for warranties/guarantees issued during the year	206	225	212
Adjustments of pre-existing warranties/guarantees	13	(34)	(1)
Settlement of warranty/guarantee claims	(206)	(193)	(213)
End of year	416	403	405
Product Warranties and Guarantees, Balance Sheet Classification [Abstract]
Accrued liabilities				$ 355	$ 332
Other liabilities				61	71
Total Product Warranties and Guarantees Liabilities	$ 403	$ 405	$ 407	$ 416	$ 403

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PENSION AND OTHER POSTRETIREMENT BENEFITS (Details) - USD ($)	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Amounts recognized in Consolidated Balance Sheet [Abstract]
Postretirement benefit obligations other than pensions		$ (526,000,000)	$ (911,000,000)
Other Changes in Plan Assets and Benefit Obligations Recognized in Other Comprehensive (Income) Loss [Abstract]
Total recognized in other comprehensive (income) loss		$ (129,000,000)	1,707,000,000	$ (3,514,000,000)
Other Postretirement Benefits for Significant Plans [Member]
Pension Benefits Paragraph Details [Abstract]
Explanation of significant changes in benefit obligations		Less than 1% of Honeywell’s U.S. employees are eligible for a retiree medical subsidy from the Company; and this subsidy is limited to a fixed-dollar amount. In addition, more than 80% of Honeywell’s current retirees either have no Company subsidy or have a fixed-dollar subsidy amount. This significantly limits our exposure to the impact of future health care cost increases.
Change in Benefit Obligation [Roll forward]
Benefit obligation at beginning of year	$ 569,000,000	$ 973,000,000	1,096,000,000
Service cost		0	0	0
Interest cost		33,000,000	42,000,000	44,000,000
Plan amendments		(290,000,000)	(87,000,000)
Actuarial (gains) losses		(55,000,000)	46,000,000
Benefits paid - OPEB		(92,000,000)	(124,000,000)
Benefit obligation at end of year		569,000,000	973,000,000	1,096,000,000
Change In Plan Assets [Roll forward]
Fair value of plan assets at beginning of year	0	0	0
Actual return on plan assets		0	0
Company contributions		0	0
Benefits paid - OPEB		0	0
Fair value of plan assets at end of year		0	0	0
Funded status of plans		(569,000,000)	(973,000,000)
Amounts recognized in Consolidated Balance Sheet [Abstract]
Accrued Liabilities		(85,000,000)	(111,000,000)
Postretirement benefit obligations other than pensions		(484,000,000)	(862,000,000)
Foreign plans excluded from postretirement benefits other than pensions		42,000,000	49,000,000
Defined Benefit Plan, Amounts Recognized in Other Comprehensive Income [Abstract]
Prior service cost (credit)		(496,000,000)	(235,000,000)
Net actuarial loss		189,000,000	278,000,000
Net amount recognized		(307,000,000)	43,000,000
Defined Benefit Plan Disclosure [Abstract]
Service cost		0	0	0
Interest cost		33,000,000	42,000,000	44,000,000
Amortization of prior service cost (credit)		(30,000,000)	(20,000,000)	(13,000,000)
Recognition of actuarial losses		34,000,000	24,000,000	27,000,000
Settlements and curtailments		0	0	(42,000,000)
Net periodic benefit (income) cost		37,000,000	46,000,000	16,000,000
Other Changes in Plan Assets and Benefit Obligations Recognized in Other Comprehensive (Income) Loss [Abstract]
Actuarial (gains) losses		(55,000,000)	46,000,000	(108,000,000)
Prior service cost (credit)		(290,000,000)	(87,000,000)	(175,000,000)
Prior service (cost) credit recognized during year		30,000,000	20,000,000	13,000,000
Actuarial losses recognized during year		(34,000,000)	(24,000,000)	(27,000,000)
Settlements and curtailments		0	0	42,000,000
Total recognized in other comprehensive (income) loss		(349,000,000)	(45,000,000)	(255,000,000)
Total recognized in net periodic benefit (income) cost and other comprehensive (income) loss		$ (312,000,000)	1,000,000	(239,000,000)
Other Postretirement Benefits for Significant Plans [Member] | Scenario Forecast [Member]
Defined Benefit Plan Disclosure [Abstract]
Amortization of prior service cost (credit)	(76,000,000)
Other Changes in Plan Assets and Benefit Obligations Recognized in Other Comprehensive (Income) Loss [Abstract]
Net loss to be amortized	22,000,000
United States, Defined Benefit [Member]
Pension Benefits Paragraph Details [Abstract]
Explanation of significant changes in benefit obligations		All non-union hourly and salaried employees joining Honeywell for the first time after December 31, 2012, are not eligible to participate in Honeywell’s U.S. defined benefit pension plans.
Change in Benefit Obligation [Roll forward]
Benefit obligation at beginning of year	17,298,000,000	$ 18,035,000,000	16,290,000,000
Service cost		223,000,000	241,000,000	272,000,000
Interest cost		696,000,000	771,000,000	677,000,000
Plan amendments		(429,000,000)	0
Actuarial (gains) losses		(269,000,000)	1,718,000,000
Acquisitions		61,000,000	0
Divestitures		0	0
Benefits paid		(1,027,000,000)	(996,000,000)
Settlements and curtailments		0	0
Foreign currency and other		8,000,000	11,000,000
Benefit obligation at end of year		17,298,000,000	18,035,000,000	16,290,000,000
Change In Plan Assets [Roll forward]
Fair value of plan assets at beginning of year	16,349,000,000	17,066,000,000	16,727,000,000
Actual return on plan assets		233,000,000	1,290,000,000
Company contributions		34,000,000	36,000,000
Acquisitions		43,000,000	0
Benefits paid		(1,027,000,000)	(996,000,000)
Foreign currency and other		0	9,000,000
Fair value of plan assets at end of year		16,349,000,000	17,066,000,000	16,727,000,000
Funded status of plans		(949,000,000)	(969,000,000)
Amounts recognized in Consolidated Balance Sheet [Abstract]
Other Assets		0	0
Accrued Liabilities		(51,000,000)	(74,000,000)
Other Liabilities - Noncurrent		(898,000,000)	(895,000,000)
Net amount recognized		(949,000,000)	(969,000,000)
Defined Benefit Plan, Amounts Recognized in Other Comprehensive Income [Abstract]
Transition obligation		0	0
Prior service cost (credit)		(355,000,000)	88,000,000
Net actuarial loss		1,005,000,000	281,000,000
Net amount recognized		650,000,000	369,000,000
Defined Benefit Plan Disclosure [Abstract]
Service cost		223,000,000	241,000,000	272,000,000
Interest cost		696,000,000	771,000,000	677,000,000
Expected return on plan assets		(1,278,000,000)	(1,257,000,000)	(1,076,000,000)
Amortization of transition obligations		0	0	0
Amortization of prior service cost (credit)		13,000,000	23,000,000	23,000,000
Recognition of actuarial losses		52,000,000	26,000,000	0
Settlements and curtailments		8,000,000	0	0
Net periodic benefit (income) cost		(286,000,000)	(196,000,000)	(104,000,000)
Other Changes in Plan Assets and Benefit Obligations Recognized in Other Comprehensive (Income) Loss [Abstract]
Actuarial (gains) losses		775,000,000	1,686,000,000	(3,090,000,000)
Prior service cost (credit)		(429,000,000)	0	14,000,000
Transition obligation recognized during year		0	0	0
Prior service (cost) credit recognized during year		(13,000,000)	(23,000,000)	(23,000,000)
Actuarial losses recognized during year		(52,000,000)	(26,000,000)	0
Foreign exchange translation adjustments		0	0	0
Total recognized in other comprehensive (income) loss		281,000,000	1,637,000,000	(3,099,000,000)
Total recognized in net periodic benefit (income) cost and other comprehensive (income) loss		(5,000,000)	1,441,000,000	(3,203,000,000)
United States, Defined Benefit [Member] | Scenario Forecast [Member]
Defined Benefit Plan Disclosure [Abstract]
Amortization of prior service cost (credit)	(44,000,000)
Non-U.S. Pension Plans, Defined Benefit [Member]
Change in Benefit Obligation [Roll forward]
Benefit obligation at beginning of year	6,338,000,000	5,761,000,000	5,523,000,000
Service cost		51,000,000	56,000,000	58,000,000
Interest cost		177,000,000	231,000,000	215,000,000
Plan amendments		0	(17,000,000)
Actuarial (gains) losses		(178,000,000)	601,000,000
Acquisitions		1,137,000,000	0
Divestitures		0	(61,000,000)
Benefits paid		(199,000,000)	(210,000,000)
Settlements and curtailments		(11,000,000)	0
Foreign currency and other		(400,000,000)	(362,000,000)
Benefit obligation at end of year		6,338,000,000	5,761,000,000	5,523,000,000
Change In Plan Assets [Roll forward]
Fair value of plan assets at beginning of year	6,117,000,000	5,333,000,000	5,037,000,000
Actual return on plan assets		154,000,000	622,000,000
Company contributions		147,000,000	187,000,000
Acquisitions		1,036,000,000	0
Benefits paid		(199,000,000)	(210,000,000)
Foreign currency and other		(354,000,000)	(303,000,000)
Fair value of plan assets at end of year		6,117,000,000	5,333,000,000	5,037,000,000
Funded status of plans		(221,000,000)	(428,000,000)
Amounts recognized in Consolidated Balance Sheet [Abstract]
Other Assets		427,000,000	270,000,000
Accrued Liabilities		(7,000,000)	(8,000,000)
Other Liabilities - Noncurrent		(641,000,000)	(690,000,000)
Net amount recognized		(221,000,000)	(428,000,000)
Defined Benefit Plan, Amounts Recognized in Other Comprehensive Income [Abstract]
Transition obligation		0	1,000,000
Prior service cost (credit)		(22,000,000)	(27,000,000)
Net actuarial loss		464,000,000	493,000,000
Net amount recognized		442,000,000	467,000,000
Defined Benefit Plan Disclosure [Abstract]
Service cost		51,000,000	56,000,000	58,000,000
Interest cost		177,000,000	231,000,000	215,000,000
Expected return on plan assets		(358,000,000)	(354,000,000)	(308,000,000)
Amortization of transition obligations		1,000,000	2,000,000	2,000,000
Amortization of prior service cost (credit)		(3,000,000)	(2,000,000)	(2,000,000)
Recognition of actuarial losses		15,000,000	223,000,000	51,000,000
Settlements and curtailments		2,000,000	0	0
Net periodic benefit (income) cost		(115,000,000)	156,000,000	16,000,000
Other Changes in Plan Assets and Benefit Obligations Recognized in Other Comprehensive (Income) Loss [Abstract]
Actuarial (gains) losses		27,000,000	333,000,000	(48,000,000)
Prior service cost (credit)		0	(17,000,000)	0
Transition obligation recognized during year		(1,000,000)	(2,000,000)	(2,000,000)
Prior service (cost) credit recognized during year		3,000,000	2,000,000	2,000,000
Actuarial losses recognized during year		(17,000,000)	(223,000,000)	(51,000,000)
Foreign exchange translation adjustments		(37,000,000)	(50,000,000)	3,000,000
Total recognized in other comprehensive (income) loss		(25,000,000)	43,000,000	(96,000,000)
Total recognized in net periodic benefit (income) cost and other comprehensive (income) loss		$ (140,000,000)	$ 199,000,000	$ (80,000,000)
Non-U.S. Pension Plans, Defined Benefit [Member] | Scenario Forecast [Member]
Defined Benefit Plan Disclosure [Abstract]
Amortization of prior service cost (credit)	$ (3,000,000)

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PENSION AND OTHER POSTRETIREMENT BENEFITS 2 (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Other Postretirement Benefits [Member]
Actuarial assumptions used to determine benefit obligations as of December 31: [Abstract]
Discount rate		3.80%	3.45%	4.05%
Defined Benefit Plan Assumptions Used Calculating Benefit Obligation Discount Rate Support Methodology And Source Data		To determine discount rates for our U.S. pension and other postretirement benefit plans, we use a modeling process that involves matching the expected cash outflows of our benefit plans to a yield curve constructed from a portfolio of high quality, fixed-income debt instruments. We use the single weighted-average yield of this hypothetical portfolio as a discount rate benchmark.
Actuarial assumptions used to determine net periodic benefit (income) cost for years ended December 31: [Abstract]
Discount rate		3.45%	4.05%	3.40%
United States, Defined Benefit [Member]
Actuarial assumptions used to determine benefit obligations as of December 31: [Abstract]
Discount rate		4.46%	4.08%	4.89%
Expected annual rate of compensation increase		4.48%	4.50%	4.50%
Defined Benefit Plan Assumptions Used Calculating Benefit Obligation Discount Rate Support Methodology And Source Data		To determine discount rates for our U.S. pension and other postretirement benefit plans, we use a modeling process that involves matching the expected cash outflows of our benefit plans to a yield curve constructed from a portfolio of high quality, fixed-income debt instruments. We use the single weighted-average yield of this hypothetical portfolio as a discount rate benchmark.
Actuarial assumptions used to determine net periodic benefit (income) cost for years ended December 31: [Abstract]
Discount rate		4.08%	4.89%	4.06%
Expected rate of return on plan assets		7.75%	7.75%	7.75%
Expected annual rate of compensation increase		4.50%	4.50%	4.50%
Defined Benefit Plan Assumptions Used Calculating Net Periodic Benefit Cost Discount Rate Support Methodology And Source Data		During the fourth quarter of 2015 we changed the methodology used to estimate the service and interest cost components of net periodic benefit (income) cost for our significant pension plans. Previously, we estimated such cost components utilizing a single weighted-average discount rate derived from the yield curve used to measure the pension benefit obligation. The new methodology utilizes a full yield curve approach in the estimation of these cost components by applying the specific spot rates along the yield curve used in the determination of the pension benefit obligation to their underlying projected cash flows and provides a more precise measurement of service and interest costs by improving the correlation between projected cash flows and their corresponding spot rates. The change does not affect the measurement of our pension obligation and is applied prospectively as a change in estimate.
Defined Benefit Plan Plans With Benefit Obligations In Excess of Plan Assets [Abstract]
Projected benefit obligations		$ 17,298	$ 626
Accumulated benefit obligations		16,899	618
Fair value of plan assets		16,349	194
Defined Benefit Plan Accumulated Benefit Obligation [Abstract]
Accumulated benefit obligation		$ 16,900	$ 17,200
United States, Defined Benefit [Member] | Scenario Forecast [Member]
Actuarial assumptions used to determine net periodic benefit (income) cost for years ended December 31: [Abstract]
Defined Benefit Plan Service And Interest Cost Reduction	$ 150
United States, Defined Benefit [Member] | Scenario Forecast [Member] | Service Cost
Actuarial assumptions used to determine net periodic benefit (income) cost for years ended December 31: [Abstract]
Discount rate	4.69%
United States, Defined Benefit [Member] | Scenario Forecast [Member] | Interest Costs
Actuarial assumptions used to determine net periodic benefit (income) cost for years ended December 31: [Abstract]
Discount rate	3.59%
Non-U.S. Pension Plans, Defined Benefit [Member]
Actuarial assumptions used to determine benefit obligations as of December 31: [Abstract]
Discount rate		3.49%	3.26%	4.29%
Expected annual rate of compensation increase		2.11%	2.53%	2.81%
Actuarial assumptions used to determine net periodic benefit (income) cost for years ended December 31: [Abstract]
Discount rate		3.26%	4.29%	4.29%
Expected rate of return on plan assets		6.94%	6.96%	6.99%
Expected annual rate of compensation increase		2.53%	2.81%	3.55%
Defined Benefit Plan Assumptions Used Calculating Net Periodic Benefit Cost Discount Rate Support Methodology And Source Data		During the fourth quarter of 2015 we changed the methodology used to estimate the service and interest cost components of net periodic benefit (income) cost for our significant pension plans. Previously, we estimated such cost components utilizing a single weighted-average discount rate derived from the yield curve used to measure the pension benefit obligation. The new methodology utilizes a full yield curve approach in the estimation of these cost components by applying the specific spot rates along the yield curve used in the determination of the pension benefit obligation to their underlying projected cash flows and provides a more precise measurement of service and interest costs by improving the correlation between projected cash flows and their corresponding spot rates. The change does not affect the measurement of our pension obligation and is applied prospectively as a change in estimate.
Defined Benefit Plan Plans With Benefit Obligations In Excess of Plan Assets [Abstract]
Projected benefit obligations		$ 1,624	$ 1,686
Accumulated benefit obligations		1,574	1,584
Fair value of plan assets		976	994
Defined Benefit Plan Accumulated Benefit Obligation [Abstract]
Accumulated benefit obligation		$ 6,200	$ 5,500

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PENSION AND OTHER POSTRETIREMENT BENEFITS 3 (Details) - USD ($)	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Other Postretirement Benefits [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	$ 0	$ 0	$ 0
United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	16,349,000,000	17,066,000,000	16,727,000,000
Non-U.S. Pension Plans, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	6,117,000,000	5,333,000,000	$ 5,037,000,000
Honeywell Common Stock [Member] | United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	1,916,000,000	1,851,000,000
US Companies Common Stocks [Member] | Non-U.S. Pension Plans, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	569,000,000	534,000,000
US Large Cap Common Stocks [Member] | United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	3,761,000,000	3,913,000,000
US Mid Cap Common Stocks [Member] | United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	722,000,000	1,028,000,000
US Small Cap Common Stocks [Member] | United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	89,000,000	219,000,000
International Common Stocks [Member] | United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	2,099,000,000	2,576,000,000
International Common Stocks [Member] | Non-U.S. Pension Plans, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	2,200,000,000	1,876,000,000
Real Estate Investment Trusts Common Stock [Member] | United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	209,000,000	204,000,000
Fixed Income Investment, Short Term Money Market [Member] | United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	1,332,000,000	1,078,000,000
Fixed Income Investment, Short Term Money Market [Member] | Non-U.S. Pension Plans, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	108,000,000	117,000,000
Fixed Income Investments, Government Securities [Member] | United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	425,000,000	438,000,000
Fixed Income Investments, Government Securities [Member] | Non-U.S. Pension Plans, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	1,621,000,000	1,495,000,000
Fixed Income Investment, Corporate Bonds [Member] | United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	3,003,000,000	2,988,000,000
Fixed Income Investment, Corporate Bonds [Member] | Non-U.S. Pension Plans, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	1,073,000,000	857,000,000
Fixed Income Investment Mortgage Asset Backed Securities [Member] | United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	561,000,000	635,000,000
Fixed Income Investment Mortgage Asset Backed Securities [Member] | Non-U.S. Pension Plans, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	94,000,000	19,000,000
Fixed Income Investment, Insurance Contracts [Member] | United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	7,000,000	7,000,000
Fixed Income Investment, Insurance Contracts [Member] | Non-U.S. Pension Plans, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	170,000,000	186,000,000
Private Equity Funds [Member] | United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	889,000,000	999,000,000
Private Equity Funds [Member] | Non-U.S. Pension Plans, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	61,000,000	62,000,000
Hedge Funds [Member] | United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	19,000,000	3,000,000
Hedge Funds [Member] | Non-U.S. Pension Plans, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	0	2,000,000
Real Estate Funds - Domestic [Member] | United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	156,000,000	226,000,000
Real Estate Funds - Global [Member] | Non-U.S. Pension Plans, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	221,000,000	185,000,000
Direct Private Investments [Member] | United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	535,000,000	301,000,000
Real Estate Properties [Member] | United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	$ 626,000,000	600,000,000
Equity Securities [Member]
Defined Benefit Plan Plans With Benefit Obligations In Excess of Plan Assets Paragraph Details [Line Items]
Target allocations percentage, minimum	60.00%
Target allocations percentage, maximum	70.00%
Fixed Income Securities and Cash [Member]
Defined Benefit Plan Plans With Benefit Obligations In Excess of Plan Assets Paragraph Details [Line Items]
Target allocations percentage, minimum	10.00%
Target allocations percentage, maximum	20.00%
Real Estate [Member]
Defined Benefit Plan Plans With Benefit Obligations In Excess of Plan Assets Paragraph Details [Line Items]
Target allocations percentage, minimum	5.00%
Target allocations percentage, maximum	15.00%
Other Than Securities Investment [Member]
Defined Benefit Plan Plans With Benefit Obligations In Excess of Plan Assets Paragraph Details [Line Items]
Target allocations percentage, minimum	10.00%
Target allocations percentage, maximum	20.00%
Quoted Prices in Active Markets for Identical Assets (Level 1) | United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	$ 9,972,000,000	10,637,000,000
Quoted Prices in Active Markets for Identical Assets (Level 1) | Non-U.S. Pension Plans, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	812,000,000	802,000,000
Quoted Prices in Active Markets for Identical Assets (Level 1) | Honeywell Common Stock [Member] | United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	1,916,000,000	1,851,000,000
Quoted Prices in Active Markets for Identical Assets (Level 1) | US Companies Common Stocks [Member] | Non-U.S. Pension Plans, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	479,000,000	464,000,000
Quoted Prices in Active Markets for Identical Assets (Level 1) | US Large Cap Common Stocks [Member] | United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	3,761,000,000	3,867,000,000
Quoted Prices in Active Markets for Identical Assets (Level 1) | US Mid Cap Common Stocks [Member] | United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	722,000,000	1,018,000,000
Quoted Prices in Active Markets for Identical Assets (Level 1) | US Small Cap Common Stocks [Member] | United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	89,000,000	219,000,000
Quoted Prices in Active Markets for Identical Assets (Level 1) | International Common Stocks [Member] | United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	1,943,000,000	2,400,000,000
Quoted Prices in Active Markets for Identical Assets (Level 1) | International Common Stocks [Member] | Non-U.S. Pension Plans, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	228,000,000	225,000,000
Quoted Prices in Active Markets for Identical Assets (Level 1) | Real Estate Investment Trusts Common Stock [Member] | United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	209,000,000	204,000,000
Quoted Prices in Active Markets for Identical Assets (Level 1) | Fixed Income Investment, Short Term Money Market [Member] | United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	1,332,000,000	1,078,000,000
Quoted Prices in Active Markets for Identical Assets (Level 1) | Fixed Income Investment, Short Term Money Market [Member] | Non-U.S. Pension Plans, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	105,000,000	113,000,000
Quoted Prices in Active Markets for Identical Assets (Level 1) | Fixed Income Investments, Government Securities [Member] | United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	0	0
Quoted Prices in Active Markets for Identical Assets (Level 1) | Fixed Income Investments, Government Securities [Member] | Non-U.S. Pension Plans, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	0	0
Quoted Prices in Active Markets for Identical Assets (Level 1) | Fixed Income Investment, Corporate Bonds [Member] | United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	0	0
Quoted Prices in Active Markets for Identical Assets (Level 1) | Fixed Income Investment, Corporate Bonds [Member] | Non-U.S. Pension Plans, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	0	0
Quoted Prices in Active Markets for Identical Assets (Level 1) | Fixed Income Investment Mortgage Asset Backed Securities [Member] | United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	0	0
Quoted Prices in Active Markets for Identical Assets (Level 1) | Fixed Income Investment Mortgage Asset Backed Securities [Member] | Non-U.S. Pension Plans, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	0	0
Quoted Prices in Active Markets for Identical Assets (Level 1) | Fixed Income Investment, Insurance Contracts [Member] | United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	0	0
Quoted Prices in Active Markets for Identical Assets (Level 1) | Fixed Income Investment, Insurance Contracts [Member] | Non-U.S. Pension Plans, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	0	0
Quoted Prices in Active Markets for Identical Assets (Level 1) | Private Equity Funds [Member] | United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	0	0
Quoted Prices in Active Markets for Identical Assets (Level 1) | Private Equity Funds [Member] | Non-U.S. Pension Plans, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	0	0
Quoted Prices in Active Markets for Identical Assets (Level 1) | Hedge Funds [Member] | United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	0	0
Quoted Prices in Active Markets for Identical Assets (Level 1) | Hedge Funds [Member] | Non-U.S. Pension Plans, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	0	0
Quoted Prices in Active Markets for Identical Assets (Level 1) | Real Estate Funds - Domestic [Member] | United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	0	0
Quoted Prices in Active Markets for Identical Assets (Level 1) | Real Estate Funds - Global [Member] | Non-U.S. Pension Plans, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	0	0
Quoted Prices in Active Markets for Identical Assets (Level 1) | Direct Private Investments [Member] | United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	0	0
Quoted Prices in Active Markets for Identical Assets (Level 1) | Real Estate Properties [Member] | United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	0	0
Significant Observable Inputs (Level 2) | United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	4,152,000,000	4,300,000,000
Significant Observable Inputs (Level 2) | Non-U.S. Pension Plans, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	5,023,000,000	4,282,000,000
Significant Observable Inputs (Level 2) | Honeywell Common Stock [Member] | United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	0	0
Significant Observable Inputs (Level 2) | US Companies Common Stocks [Member] | Non-U.S. Pension Plans, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	90,000,000	70,000,000
Significant Observable Inputs (Level 2) | US Large Cap Common Stocks [Member] | United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	0	46,000,000
Significant Observable Inputs (Level 2) | US Mid Cap Common Stocks [Member] | United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	0	10,000,000
Significant Observable Inputs (Level 2) | US Small Cap Common Stocks [Member] | United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	0	0
Significant Observable Inputs (Level 2) | International Common Stocks [Member] | United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	156,000,000	176,000,000
Significant Observable Inputs (Level 2) | International Common Stocks [Member] | Non-U.S. Pension Plans, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	1,972,000,000	1,651,000,000
Significant Observable Inputs (Level 2) | Real Estate Investment Trusts Common Stock [Member] | United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	0	0
Significant Observable Inputs (Level 2) | Fixed Income Investment, Short Term Money Market [Member] | United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	0	0
Significant Observable Inputs (Level 2) | Fixed Income Investment, Short Term Money Market [Member] | Non-U.S. Pension Plans, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	3,000,000	4,000,000
Significant Observable Inputs (Level 2) | Fixed Income Investments, Government Securities [Member] | United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	425,000,000	438,000,000
Significant Observable Inputs (Level 2) | Fixed Income Investments, Government Securities [Member] | Non-U.S. Pension Plans, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	1,621,000,000	1,495,000,000
Significant Observable Inputs (Level 2) | Fixed Income Investment, Corporate Bonds [Member] | United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	3,003,000,000	2,988,000,000
Significant Observable Inputs (Level 2) | Fixed Income Investment, Corporate Bonds [Member] | Non-U.S. Pension Plans, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	1,073,000,000	857,000,000
Significant Observable Inputs (Level 2) | Fixed Income Investment Mortgage Asset Backed Securities [Member] | United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	561,000,000	635,000,000
Significant Observable Inputs (Level 2) | Fixed Income Investment Mortgage Asset Backed Securities [Member] | Non-U.S. Pension Plans, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	94,000,000	19,000,000
Significant Observable Inputs (Level 2) | Fixed Income Investment, Insurance Contracts [Member] | United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	7,000,000	7,000,000
Significant Observable Inputs (Level 2) | Fixed Income Investment, Insurance Contracts [Member] | Non-U.S. Pension Plans, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	170,000,000	186,000,000
Significant Observable Inputs (Level 2) | Private Equity Funds [Member] | United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	0	0
Significant Observable Inputs (Level 2) | Private Equity Funds [Member] | Non-U.S. Pension Plans, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	0	0
Significant Observable Inputs (Level 2) | Hedge Funds [Member] | United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	0	0
Significant Observable Inputs (Level 2) | Hedge Funds [Member] | Non-U.S. Pension Plans, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	0	0
Significant Observable Inputs (Level 2) | Real Estate Funds - Domestic [Member] | United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	0	0
Significant Observable Inputs (Level 2) | Real Estate Funds - Global [Member] | Non-U.S. Pension Plans, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	0	0
Significant Observable Inputs (Level 2) | Direct Private Investments [Member] | United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	0	0
Significant Observable Inputs (Level 2) | Real Estate Properties [Member] | United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	0	0
Significant Unobservable Inputs (Level 3) | United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	2,225,000,000	2,129,000,000
Significant Unobservable Inputs (Level 3) | Non-U.S. Pension Plans, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	282,000,000	249,000,000
Significant Unobservable Inputs (Level 3) | Honeywell Common Stock [Member] | United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	0	0
Significant Unobservable Inputs (Level 3) | US Companies Common Stocks [Member] | Non-U.S. Pension Plans, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	0	0
Significant Unobservable Inputs (Level 3) | US Large Cap Common Stocks [Member] | United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	0	0
Significant Unobservable Inputs (Level 3) | US Mid Cap Common Stocks [Member] | United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	0	0
Significant Unobservable Inputs (Level 3) | US Small Cap Common Stocks [Member] | United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	0	0
Significant Unobservable Inputs (Level 3) | International Common Stocks [Member] | United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	0	0
Significant Unobservable Inputs (Level 3) | International Common Stocks [Member] | Non-U.S. Pension Plans, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	0	0
Significant Unobservable Inputs (Level 3) | Real Estate Investment Trusts Common Stock [Member] | United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	0	0
Significant Unobservable Inputs (Level 3) | Fixed Income Investment, Short Term Money Market [Member] | United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	0	0
Significant Unobservable Inputs (Level 3) | Fixed Income Investment, Short Term Money Market [Member] | Non-U.S. Pension Plans, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	0	0
Significant Unobservable Inputs (Level 3) | Fixed Income Investments, Government Securities [Member] | United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	0	0
Significant Unobservable Inputs (Level 3) | Fixed Income Investments, Government Securities [Member] | Non-U.S. Pension Plans, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	0	0
Significant Unobservable Inputs (Level 3) | Fixed Income Investment, Corporate Bonds [Member] | United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	0	0
Significant Unobservable Inputs (Level 3) | Fixed Income Investment, Corporate Bonds [Member] | Non-U.S. Pension Plans, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	0	0
Significant Unobservable Inputs (Level 3) | Fixed Income Investment Mortgage Asset Backed Securities [Member] | United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	0	0
Significant Unobservable Inputs (Level 3) | Fixed Income Investment Mortgage Asset Backed Securities [Member] | Non-U.S. Pension Plans, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	0	0
Significant Unobservable Inputs (Level 3) | Fixed Income Investment, Insurance Contracts [Member] | United States, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	0	0
Significant Unobservable Inputs (Level 3) | Fixed Income Investment, Insurance Contracts [Member] | Non-U.S. Pension Plans, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	0	0
Significant Unobservable Inputs (Level 3) | Private Equity Funds [Member] | United States, Defined Benefit [Member]
Fair Value Assets Measured On Recurring Basis Unobservable Input Reconciliation [Roll Forward]
Investments at beginning of year	999,000,000	1,058,000,000
Relating to assets still held at year-end	(87,000,000)	(50,000,000)
Relating to assets sold during the year	85,000,000	94,000,000
Purchases	142,000,000	168,000,000
Sales and settlements	(250,000,000)	(271,000,000)
Investments at end of year	889,000,000	999,000,000
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	889,000,000	999,000,000
Significant Unobservable Inputs (Level 3) | Private Equity Funds [Member] | Non-U.S. Pension Plans, Defined Benefit [Member]
Fair Value Assets Measured On Recurring Basis Unobservable Input Reconciliation [Roll Forward]
Investments at beginning of year	62,000,000	67,000,000
Relating to assets still held at year-end	(7,000,000)	(4,000,000)
Relating to assets sold during the year	7,000,000	6,000,000
Purchases	11,000,000	0
Sales and settlements	(12,000,000)	(7,000,000)
Investments at end of year	61,000,000	62,000,000
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	61,000,000	62,000,000
Significant Unobservable Inputs (Level 3) | Hedge Funds [Member] | United States, Defined Benefit [Member]
Fair Value Assets Measured On Recurring Basis Unobservable Input Reconciliation [Roll Forward]
Investments at beginning of year	3,000,000	6,000,000
Relating to assets still held at year-end	(2,000,000)	(2,000,000)
Relating to assets sold during the year	0	2,000,000
Purchases	19,000,000	3,000,000
Sales and settlements	(1,000,000)	(6,000,000)
Investments at end of year	19,000,000	3,000,000
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	19,000,000	3,000,000
Significant Unobservable Inputs (Level 3) | Hedge Funds [Member] | Non-U.S. Pension Plans, Defined Benefit [Member]
Fair Value Assets Measured On Recurring Basis Unobservable Input Reconciliation [Roll Forward]
Investments at beginning of year	2,000,000	62,000,000
Relating to assets still held at year-end	0	(11,000,000)
Relating to assets sold during the year	0	12,000,000
Purchases	0	0
Sales and settlements	(2,000,000)	(61,000,000)
Investments at end of year	0	2,000,000
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	0	2,000,000
Significant Unobservable Inputs (Level 3) | Real Estate Funds - Domestic [Member] | United States, Defined Benefit [Member]
Fair Value Assets Measured On Recurring Basis Unobservable Input Reconciliation [Roll Forward]
Investments at beginning of year	226,000,000	237,000,000
Relating to assets still held at year-end	(20,000,000)	21,000,000
Relating to assets sold during the year	4,000,000	0
Purchases	5,000,000	8,000,000
Sales and settlements	(59,000,000)	(40,000,000)
Investments at end of year	156,000,000	226,000,000
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	156,000,000	226,000,000
Significant Unobservable Inputs (Level 3) | Real Estate Funds - Global [Member] | Non-U.S. Pension Plans, Defined Benefit [Member]
Fair Value Assets Measured On Recurring Basis Unobservable Input Reconciliation [Roll Forward]
Investments at beginning of year	185,000,000	181,000,000
Relating to assets still held at year-end	24,000,000	17,000,000
Relating to assets sold during the year	(3,000,000)	1,000,000
Purchases	41,000,000	4,000,000
Sales and settlements	(26,000,000)	(18,000,000)
Investments at end of year	221,000,000	185,000,000
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	221,000,000	185,000,000
Significant Unobservable Inputs (Level 3) | Direct Private Investments [Member] | United States, Defined Benefit [Member]
Fair Value Assets Measured On Recurring Basis Unobservable Input Reconciliation [Roll Forward]
Investments at beginning of year	301,000,000	278,000,000
Relating to assets still held at year-end	47,000,000	(10,000,000)
Relating to assets sold during the year	21,000,000	59,000,000
Purchases	242,000,000	92,000,000
Sales and settlements	(76,000,000)	(118,000,000)
Investments at end of year	535,000,000	301,000,000
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	535,000,000	301,000,000
Significant Unobservable Inputs (Level 3) | Real Estate Properties [Member] | United States, Defined Benefit [Member]
Fair Value Assets Measured On Recurring Basis Unobservable Input Reconciliation [Roll Forward]
Investments at beginning of year	600,000,000	627,000,000
Relating to assets still held at year-end	16,000,000	10,000,000
Relating to assets sold during the year	14,000,000	53,000,000
Purchases	16,000,000	38,000,000
Sales and settlements	(20,000,000)	(128,000,000)
Investments at end of year	626,000,000	600,000,000
Defined Benefit Plan Disclosure [Abstract]
Fair value of pension plan assets	$ 626,000,000	$ 600,000,000

XML

PENSION AND OTHER POSTRETIREMENT BENEFITS 4 (Details) - USD ($)	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
United States, Defined Benefit [Member]
Future Benefit Payments [Abstract]
2016		$ 1,151,000,000
2017		1,125,000,000
2018		1,138,000,000
2019		1,153,000,000
2020		1,166,000,000
2021-2025		5,922,000,000
Funding Policy Paragraph Details [Line Items]
Pension notional amount		2,613,000,000	$ 2,354,000,000
Company contributions		34,000,000	36,000,000
Non-U.S. Pension Plans, Defined Benefit [Member]
Future Benefit Payments [Abstract]
2016		243,000,000
2017		252,000,000
2018		258,000,000
2019		265,000,000
2020		272,000,000
2021-2025		1,474,000,000
Funding Policy Paragraph Details [Line Items]
Pension notional amount		54,000,000	65,000,000
Company contributions		147,000,000	$ 187,000,000
Cash pension contributions		$ 139,000,000
Non-U.S. Pension Plans, Defined Benefit [Member] | Scenario Forecast [Member]
Funding Policy Paragraph Details [Line Items]
Cash pension contributions	$ 160,000,000
Other Postretirement Benefits [Member]
Defined Benefit Plan Assumed Health Care Cost Trend Rates Abstract
Health care cost trend rate assumed for next year		7.00%	7.00%
Rate that the cost trend rate gradually declines to		5.00%	5.00%
Year that rate reaches the rate it is assumed to remain at		2023	2023
Effect Of One Percentage Point [abstract]
Increase on service and interest		$ 1,000,000
Decrease on service and interest		(1,000,000)
Increase on postretirement benefit obligation		27,000,000
Decrease on postretirement benefit obligation		(20,000,000)
Funding Policy Paragraph Details [Line Items]
Company contributions		0	$ 0
Other Postretirement Benefits [Member] | Without Impact of Medicare Subsidy [Member]
Future Benefit Payments [Abstract]
2016		91,000,000
2017		67,000,000
2018		63,000,000
2019		58,000,000
2020		54,000,000
2021-2025		189,000,000
Other Postretirement Benefits [Member] | Net of Medicare Subsidy [Member]
Future Benefit Payments [Abstract]
2016		84,000,000
2017		63,000,000
2018		58,000,000
2019		53,000,000
2020		50,000,000
2021-2025		$ 171,000,000

XML

SEGMENT FINANCIAL DATA (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Reconciliation of segment profit to consolidated [Abstract]
Segment Reporting Segment Profit Loss	$ 7,256	$ 6,696	$ 6,351
Segment Reporting Reconciling Item For Operating Profit Loss From Segment To Consolidated [Line Items]
Interest and other financial charges	(310)	(318)	(327)
Repositioning and other charges	(546)	(598)	(663)
Income from continuing operations before taxes	6,586	5,818	5,412
Corporate [Member]
Reconciliation of segment profit to consolidated [Abstract]
Segment Reporting Segment Profit Loss	(210)	(236)	(227)
Segment Reporting Reconciling Item For Operating Profit Loss From Segment To Consolidated [Line Items]
Repositioning and other charges	(218)	(292)	(304)
Material Reconciling Items [Member]
Segment Reporting Reconciling Item For Operating Profit Loss From Segment To Consolidated [Line Items]
Pension mark-to-market adjustment	(67)	(249)	(51)
Other income (expense)	38	269	202
Interest and other financial charges	(310)	(318)	(327)
Stock compensation expense	(175)	(187)	(170)
Repositioning and other charges	(546)	(598)	(663)
Income from continuing operations before taxes	6,586	5,818	5,412
Material Reconciling Items [Member] | Pension Plans, Defined Benefit [Member]
Segment Reporting Reconciling Item For Operating Profit Loss From Segment To Consolidated [Line Items]
Benefit plans income/(expense)	430	254	90
Material Reconciling Items [Member] | Other Postretirement Benefit Plans [Member]
Segment Reporting Reconciling Item For Operating Profit Loss From Segment To Consolidated [Line Items]
Benefit plans income/(expense)	$ (40)	$ (49)	$ (20)

XML

SEGMENT FINANCIAL DATA 2 (Details) - USD ($) $ in Millions	3 Months Ended								12 Months Ended
	Dec. 31, 2015	Sep. 30, 2015	Jun. 30, 2015	Mar. 31, 2015	Dec. 31, 2014	Sep. 30, 2014	Jun. 30, 2014	Mar. 31, 2014	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Segment Reporting Information [Line Items]
Product sales									$ 30,695	$ 32,398	$ 31,214
Service sales									7,886	7,908	7,841
Net Sales	$ 9,982	$ 9,611	$ 9,775	$ 9,213	$ 10,266	$ 10,108	$ 10,253	$ 9,679	38,581	40,306	39,055
Depreciation and amortization									883	924	989
Segment Reporting Segment Profit Loss									7,256	6,696	6,351
Capital expenditures									1,073	1,094	947
Total Assets	49,316				45,451				49,316	45,451	45,435
Corporate Non Segment [Member]
Segment Reporting Information [Line Items]
Depreciation and amortization									57	57	61
Segment Reporting Segment Profit Loss									(210)	(236)	(227)
Capital expenditures									128	97	57
Total Assets	5,426				7,410				5,426	7,410	6,847
Operating Segments [Member]
Segment Reporting Information [Line Items]
Net Sales									38,581	40,306	39,055
Depreciation and amortization									883	924	989
Operating Segments [Member] | Aerospace [Member]
Segment Reporting Information [Line Items]
Product sales									10,379	10,773	10,798
Service sales									4,858	4,825	4,937
Net Sales									15,237	15,598	15,735
Depreciation and amortization									267	277	290
Segment Reporting Segment Profit Loss									3,218	2,915	2,870
Capital expenditures									314	315	310
Total Assets	11,235				11,151				11,235	11,151	11,379
Operating Segments [Member] | Automation and Control Solutions [Member]
Segment Reporting Information [Line Items]
Product sales									12,882	13,219	12,253
Service sales									1,227	1,268	1,212
Net Sales									14,109	14,487	13,465
Depreciation and amortization									277	306	302
Segment Reporting Segment Profit Loss									2,313	2,200	1,983
Capital expenditures									152	145	132
Total Assets	22,355				17,191				22,355	17,191	17,675
Operating Segments [Member] | Performance Materials And Technologies [Member]
Segment Reporting Information [Line Items]
Product sales									7,434	8,406	8,163
Service sales									1,801	1,815	1,692
Net Sales									9,235	10,221	9,855
Depreciation and amortization									282	284	336
Segment Reporting Segment Profit Loss									1,935	1,817	1,725
Capital expenditures									479	537	448
Total Assets	$ 10,300				$ 9,699				$ 10,300	$ 9,699	$ 9,534

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GEOGRAPHIC AREAS FINANCIAL DATA (Details) - USD ($) $ in Millions	3 Months Ended								12 Months Ended
	Dec. 31, 2015	Sep. 30, 2015	Jun. 30, 2015	Mar. 31, 2015	Dec. 31, 2014	Sep. 30, 2014	Jun. 30, 2014	Mar. 31, 2014	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Geographic Areas [Line Items]
Net Sales	$ 9,982	$ 9,611	$ 9,775	$ 9,213	$ 10,266	$ 10,108	$ 10,253	$ 9,679	$ 38,581	$ 40,306	$ 39,055
Export sales included in United States net sales									5,526	5,647	5,431
Long-Lived Assets	5,789				5,383				5,789	5,383	5,278
United States [Member]
Geographic Areas [Line Items]
Net Sales									23,771	23,911	22,978
Long-Lived Assets	3,939				3,612				3,939	3,612	3,393
Europe [Member]
Geographic Areas [Line Items]
Net Sales									8,674	9,870	9,804
Long-Lived Assets	746				741				746	741	905
Other International [Member]
Geographic Areas [Line Items]
Net Sales									6,136	6,525	6,273
Long-Lived Assets	$ 1,104				$ 1,030				$ 1,104	$ 1,030	$ 980

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SUPPLEMENTAL CASH FLOW INFORMATION (Details) - USD ($)	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Non-cash investing and financing activities [Abstract]
Common stock contributed to savings plans	$ 174,000,000	$ 168,000,000	$ 159,000,000
Marketable securities contributed to non-U.S. pension plans	109,000,000	117,000,000	0
Payments for repositioning and other charges [Abstract]
Severance and exit cost payments	(118,000,000)	(161,000,000)	(160,000,000)
Environmental payments	(273,000,000)	(321,000,000)	(304,000,000)
Insurance receipts for asbestos related liabilities	63,000,000	211,000,000	58,000,000
Asbestos related liability payments	(209,000,000)	(259,000,000)	(357,000,000)
Net payments for repositioning and other charges	(537,000,000)	(530,000,000)	(763,000,000)
Interest paid, net of amounts capitalized	310,000,000	312,000,000	330,000,000
Income taxes paid, net of refunds	$ 1,192,000,000	$ 1,142,000,000	$ 1,271,000,000

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UNAUDITED QUARTERLY FINANCIAL INFORMATION (Details) - USD ($) $ / shares in Units, $ in Millions	3 Months Ended								12 Months Ended
	Dec. 31, 2015	Sep. 30, 2015	Jun. 30, 2015	Mar. 31, 2015	Dec. 31, 2014	Sep. 30, 2014	Jun. 30, 2014	Mar. 31, 2014	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Selected Quarterly Financial Information Abstract
Net Sales	$ 9,982	$ 9,611	$ 9,775	$ 9,213	$ 10,266	$ 10,108	$ 10,253	$ 9,679	$ 38,581	$ 40,306	$ 39,055
Gross Profit	3,065	2,957	2,961	2,851	2,700	2,980	2,957	2,712	11,834	11,349
Net income attributable to Honeywell	$ 1,194	$ 1,264	$ 1,194	$ 1,116	$ 956	$ 1,167	$ 1,099	$ 1,017	$ 4,768	$ 4,239	$ 3,924
Earnings per share - Basic	$ 1.55	$ 1.62	$ 1.52	$ 1.42	$ 1.22	$ 1.49	$ 1.4	$ 1.3	$ 6.11	$ 5.4	$ 4.99
Earnings per share of common stock - assuming dilution	1.53	1.6	1.51	1.41	1.2	1.47	1.38	1.28	6.04	5.33	4.92
Dividends paid per share	0.595	0.5175	0.5175	0.5175	0.5175	0.45	0.45	0.45	2.15	1.87	$ 1.68
Market Price [Abstract]
Market price per share high	101.65	104.29	104.17	101.76	101.98	97.34	95.81	95.44	104.29	101.98
Market price per share low	$ 92.93	$ 101.72	$ 102.87	$ 98.78	$ 85.11	$ 90.56	$ 90.36	$ 88.47	$ 92.93	$ 85.11