Form 8-K

-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, UierGXXEqir99JsHLyH+UEBm7vcpNzBIY2NnH1jFz6f1JYT4DVBmKrdPjzT2Ih/P ZwOcywqbrwv+93ZYPxOKNw== 0001193125-08-010089.txt : 20080123 0001193125-08-010089.hdr.sgml : 20080123 20080123074347 ACCESSION NUMBER: 0001193125-08-010089 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 8 CONFORMED PERIOD OF REPORT: 20080123 ITEM INFORMATION: Results of Operations and Financial Condition ITEM INFORMATION: Other Events ITEM INFORMATION: Financial Statements and Exhibits FILED AS OF DATE: 20080123 DATE AS OF CHANGE: 20080123 FILER: COMPANY DATA: COMPANY CONFORMED NAME: UNITED TECHNOLOGIES CORP /DE/ CENTRAL INDEX KEY: 0000101829 STANDARD INDUSTRIAL CLASSIFICATION: AIRCRAFT ENGINES & ENGINE PARTS [3724] IRS NUMBER: 060570975 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 001-00812 FILM NUMBER: 08543366 BUSINESS ADDRESS: STREET 1: UNITED TECHNOLOGIES BLDG STREET 2: ONE FINANCIAL PLZ CITY: HARTFORD STATE: CT ZIP: 06101 BUSINESS PHONE: 8607287000 FORMER COMPANY: FORMER CONFORMED NAME: UNITED TECHNOLOGIES MICROELECTRONICS CENTER DATE OF NAME CHANGE: 19850825 FORMER COMPANY: FORMER CONFORMED NAME: UNITED TECHNOLOGIES CORP DATE OF NAME CHANGE: 19841205 8-K 1 d8k.htm FORM 8-K Form 8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 OR 15(d) of The

Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): January 23, 2008

UNITED TECHNOLOGIES CORPORATION

(Exact name of registrant as specified in its charter)

Delaware

1-812

06-0570975

(State or other jurisdiction

of incorporation)

(Commission File Number)

(I.R.S. Employer

Identification No.)

One Financial Plaza

Hartford, Connecticut 06103

(Address of principal executive offices, including zip code)

Registrant’s telephone number, including area code

(860) 728-7000

N/A

(Former name or former address, if changed since last report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

¨	Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

¨	Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

¨	Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

¨	Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Section 2—Financial Information

Item 2.02.

Results of Operations and Financial Condition

On January 23, 2008, United Technologies Corporation issued a press release announcing its fourth quarter 2007 results.

The press release issued January 23, 2008 is furnished herewith as Exhibit No. 99 to this Report, and shall not be deemed filed for the purposes of Section 18 of the Exchange Act.

Section 8—Other Events

Item 8.01.

Other Events

Attached as Exhibit 100 to this report are the following materials from United Technologies Corporation’s press release for the quarter and year ended December 31, 2007, filed herewith, formatted in XBRL (Extensible Business Reporting Language): (i) Condensed Consolidated Statement of Operations, (ii) Segment Revenues and Operating Profit, (iii) Consolidated Operating Profit – Restructuring and Related Charges, (iv) Condensed Consolidated Balance Sheet, and (v) Condensed Consolidated Statement of Cash Flows. Users of this data are advised pursuant to Rule 401 of Regulation S-T that the information contained in the XBRL documents is unaudited and these are not the official publicly filed financial statements of United Technologies Corporation. The purpose of submitting these XBRL formatted documents is to test the related format and technology and, as a result, investors should continue to rely on the official filed version of the furnished documents and not rely on this information in making investment decisions.

In accordance with Rule 402 of Regulation S-T, the information in this Current Report on Form 8-K, including Exhibit 100, shall not be deemed to be “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liability of that section, and shall not be incorporated by reference into any registration statement or other document filed under the Securities Act of 1933, as amended, or the Exchange Act, except as shall be expressly set forth by specific reference in such filing.

Section 9—Financial Statements and Exhibits

Item 9.01.

Financial Statements and Exhibits

(d) Exhibits.

The following exhibits are included herewith:


Exhibit Number		Exhibit Description
99		Press release, dated January 23, 2008, issued by United Technologies Corporation.



100		The following materials from United Technologies Corporation’s press release on Form 8-K for the quarter and year ended December 31, 2007, filed herewith, formatted in XBRL: (i) Condensed Consolidated Statement of Operations, (ii) Segment Revenues and Operating Profit, (iii) Consolidated Operating Profit – Restructuring and Related Charges, (iv) Condensed Consolidated Balance Sheet, and (v) Condensed Consolidated Statement of Cash Flows.

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EX-100.REF		XBRL Taxonomy Extension Reference Linkbase Document (File name: utx-20071231_ref.xml)

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 hereunto duly authorized.


	UNITED TECHNOLOGIES CORPORATION
	(Registrant)

Date: January 23, 2008	By:	/s/ Gregory J. Hayes
		Gregory J. Hayes
		Vice President, Accounting and Finance

EXHIBIT INDEX


Exhibit Number		Exhibit Description
99		Press release, dated January 23, 2008, issued by United Technologies Corporation.

100		The following materials from United Technologies Corporation’s press release on Form 8-K for the quarter and year ended December 31, 2007, filed herewith, formatted in XBRL: (i) Condensed Consolidated Statement of Operations, (ii) Segment Revenues and Operating Profit, (iii) Consolidated Operating Profit – Restructuring and Related Charges, (iv) Condensed Consolidated Balance Sheet, and (v) Condensed Consolidated Statement of Cash Flows.

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EX-100.LAB		XBRL Taxonomy Label Linkbase Document (File name: utx-20071231_lab.xml)

EX-100.CAL		XBRL Taxonomy Calculation Linkbase Document (File name: utx-20071231_cal.xml)

EX-100.REF		XBRL Taxonomy Extension Reference Linkbase Document (File name: utx-20071231_ref.xml)

EX-99 2 dex99.htm PRESS RELEASE, DATED JANUARY 23, 2008, ISSUED BY UNITED TECHNOLOGIES CORPORATION Press release, dated January 23, 2008, issued by United Technologies Corporation

Exhibit 99

UTC REPORTS FOURTH QUARTER AND FULL YEAR EPS OF $1.08 AND $4.27,

UP 24 PERCENT AND 15 PERCENT, RESPECTIVELY; AFFIRMS 2008 OUTLOOK

HARTFORD, Conn., January 23, 2008 – United Technologies Corp. (NYSE:UTX) today reported fourth quarter 2007 earnings per share of $1.08 and net income of $1.1 billion, up 24 percent and 23 percent, respectively. Consolidated revenues for the quarter increased 15 percent to $14.7 billion, including organic growth of 8 percent. Cash flow from operations was $2.0 billion and, after capital expenditures of $456 million, substantially exceeded fourth quarter net income.

Full year earnings per share of $4.27 and net income of $4.2 billion increased 15 and 13 percent, respectively, from 2006 results. Revenues increased 14 percent to $54.8 billion, including 9 points of organic growth, 3 points from foreign exchange, and 2 points from acquisitions. Full year cash flow from operations was $5.3 billion and capital expenditures were $1.2 billion.

“UTC had a powerful close to 2007 and expects continuing good performance in 2008. Although the U.S. economic outlook is mixed, UTC’s balance across geographic and product markets should sustain yet another year of double digit earnings per share growth,” said UTC Chairman and Chief Executive Officer George David.

“Organic growth was 9 percent for 2007, a fourth year in a row at comparable levels. Markets across the board were good for us with the single exception of North American Residential for Carrier. Commercial aerospace volumes for UTC in total grew organically at 11 percent, as did our commercial construction businesses combined in Otis and Carrier at 10 percent.

“In 2007, all six UTC businesses grew operating profits at double digit rates, and we expect the same in 2008. Even with the significant deterioration in its North American Residential market, Carrier grew its operating profit overall at 12 percent on strong performances in its three other global businesses. Accordingly, UTC confirms its prior guidance range for 2008 earnings per share of $4.65 to $4.85, up 9 percent to 14 percent, respectively.

“Cash flow from operations less capital expenditures reached 99 percent of net income in 2007 in spite of two large non recurring outflows in the first quarter totaling $500 million. Very strong fourth quarter performance made this a good cash flow year for UTC in spite of these one time items, and we anticipate being at our usual standard of cash flow exceeding net income again in 2008,” David added.

Share repurchase in the quarter was $501 million and totaled $2.0 billion for the year. Acquisition spending, including debt assumed, was $2.3 billion for the year with $403 million in the fourth quarter. Debt to capital ended the year at 30 percent, lower than 2006.

Foreign currency translation increased fourth quarter revenues by 5 percent and earnings by $0.02 per share. Restructuring, tax related items, and other non recurring charges were $0.04 in excess of one time favorable items in the quarter. As previously disclosed, the year ago period included a $0.05 per share impact for restructuring charges in excess of one time favorable items.

Restructuring costs in the fourth quarter were $63 million, and in the year $166 million. Additional favorable items are anticipated in 2008 to offset trailing costs from previous restructuring actions and to fund new actions potentially initiated throughout the year.

The accompanying tables include information integral to assessing the company’s financial position, operating performance, and cash flow.

United Technologies Corp., based in Hartford, Connecticut, is a diversified company that provides a broad range of high technology products and support services to the building systems and aerospace industries.

This release is supplemented by presentation materials that are available on UTC’s website at www.utc.com, and includes “forward looking statements” concerning expected revenue, earnings, cash flow, share repurchases, restructuring and other

matters that are subject to risks and uncertainties. These statements often contain words such as “expect”, “anticipate”, “plan”, “estimate”, “believe”, “will”, “see”, “guidance” and similar terms. Important factors that could cause actual results to differ materially from those anticipated or implied in forward looking statements include changes in the health of the global economy; strength of end market demand in construction and in both the commercial and defense segments of the aerospace industry; fluctuation in commodity prices, interest rates, foreign currency exchange rates, and the impact of weather conditions; as well as company specific items including the availability and impact of acquisitions; the rate and ability to effectively integrate these acquired businesses; the ability to achieve cost reductions at planned levels; challenges in the design, development, production and support of advanced technologies and new products and services; delays and disruption in delivery of materials and services from suppliers; labor disputes; and the outcome of legal proceedings. The level of share repurchases may vary depending on the level of other investing activities. For information identifying other important economic, political, regulatory, legal, technological, competitive and other uncertainties, see UTC’s SEC filings as submitted from time to time, including but not limited to, the information included in UTC’s 10-K and 10-Q Reports under the headings “Business”, “Risk Factors”, “Management’s Discussion and Analysis of Financial Condition and Results of Operations” and “Cautionary Note Concerning Factors that May Affect Future Results”, as well as the information included in UTC’s Current Reports on Form 8-K.

IR-UTC

# # #

United Technologies Corporation

Condensed Consolidated Statement of Operations


(Millions, except per share amounts)	Quarter Ended December 31, (Unaudited)				Year Ended December 31, (Unaudited)
	2007		2006		2007		2006
Revenues	$	14,714	$	12,787	$	54,759	$	47,829

Cost and Expenses
Cost of goods and services sold		10,729		9,521		39,922		34,740
Research and development		481		406		1,678		1,529
Selling, general and administrative		1,711		1,432		6,109		5,462

Operating Profit		1,793		1,428		7,050		6,098
Interest expense		174		153		666		606

Income before income taxes and minority interests		1,619		1,275		6,384		5,492

Income taxes		481		337		1,836		1,494
Minority interests		78		73		324		266

Net Income	$	1,060	$	865	$	4,224	$	3,732

Net Earnings Per Share of Common Stock
Basic	$	1.11	$	0.89	$	4.38	$	3.81
Diluted	$	1.08	$	0.87	$	4.27	$	3.71

Average Shares
Basic		959		972		964		980
Diluted		984		998		989		1,006

As described on the following pages, consolidated results for the years and quarters ended December 31, 2007 and 2006 include non-recurring items, restructuring and related charges.

See accompanying Notes to Condensed Consolidated Financial Statements.

United Technologies Corporation

Segment Revenues and Operating Profit


(Millions)	Quarter Ended December 31, (Unaudited)						Year Ended December 31, (Unaudited)
	2007			2006			2007			2006
Revenues

Otis	$	3,363		$	2,848		$	11,885		$	10,290
Carrier		3,721			3,219			14,644			13,481
UTC Fire & Security		1,688			1,326			5,754			4,747
Pratt & Whitney		3,218			3,046			12,129			11,112
Hamilton Sundstrand		1,492			1,297			5,636			4,995
Sikorsky		1,278			1,084			4,789			3,230

Segment Revenues		14,760			12,820			54,837			47,855
Eliminations and other		(46	)		(33	)		(78	)		(26	)

Consolidated Revenues	$	14,714		$	12,787		$	54,759		$	47,829

Operating Profit

Otis	$	648		$	514		$	2,321		$	1,888
Carrier		259			193			1,381			1,237
UTC Fire & Security		137			101			443			301
Pratt & Whitney		496			409			2,011			1,817
Hamilton Sundstrand		254			219			967			832
Sikorsky		110			58			373			173

Segment Operating Profit		1,904			1,494			7,496			6,248
Eliminations and other		12			27			(60	)		187
General corporate expenses		(123	)		(93	)		(386	)		(337	)

Consolidated Operating Profit	$	1,793		$	1,428		$	7,050		$	6,098

As described on the following pages, consolidated results for the years and quarters ended December 31, 2007 and 2006 include non-recurring items, restructuring and related charges.

United Technologies Corporation

Consolidated Operating Profit

Consolidated operating profit for the years and quarters ended December 31, 2007 and 2006 includes restructuring and related charges as follows:


	Quarter Ended December 31, (Unaudited)				Year Ended December 31, (Unaudited)
	2007		2006		2007			2006
Otis	$	10	$	6	$	21		$	46
Carrier		5		10		33			69
UTC Fire & Security		31		21		39			44
Pratt & Whitney		14		32		53			68
Hamilton Sundstrand		3		11		23			40
Sikorsky		—		2		(3	)		21

Total Restructuring and Related Charges	$	63	$	82	$	166		$	288

Consolidated results for the years and quarters ended December 31, 2007 and 2006 include the following non-recurring items.

Q4 - 2007

Carrier: Segment results include a $57 million gain from the sale of Fincoil, an industrial cooling manufacturing business, and a $36 million charge on the settlement of litigation related to a furnace warranty matter.

Otis: Segment results include a $26 million gain from the sale of a non-core business.

Income Taxes: Charges for income tax adjustments of $49 million associated with, amongst other items, foreign tax matters including a change in non-U.S. tax laws.

Q3 - 2007

Eliminations and Other: Approximately $28 million pretax interest adjustments related to the completion of the Internal Revenue Service (IRS) examination of tax years 2000 through 2003.

Income Taxes: Favorable income tax adjustment of approximately $50 million, related primarily to the completion of the IRS examination of tax years 2000 through 2003.

Q1 - 2007

Otis: Segment results include an $84 million gain from the sale of land. The consolidated operating results include taxes related to the gain of approximately $29 million in addition to an approximately $27 million charge for the minority partner’s interest in the gain. The resulting impact to consolidated net income is approximately $28 million.

Pratt & Whitney: Approximately $40 million gain at Pratt & Whitney from a contract termination.

Eliminations and Other: A $216 million loss recorded in connection with the European Union commission fine.

Eliminations and Other: A $151 million gain from the sale of marketable securities.

In the first quarter, the net impact of the above items ($0.05 per share), together with $35 million of pre-tax restructuring and related charges ($0.02 per share), had a $0.07 adverse impact to earnings per share.

Q3 - 2006

Carrier: Approximately $60 million pretax gain realized on the sale of a partnership interest in Scroll Technologies, a North American manufacturer of compressors used primarily for heating, ventilating, and air-conditioning equipment.

Q2 - 2006

Pratt & Whitney: Approximately $80 million pretax gain related to the settlement of a claim by the Department of Defense regarding Pratt & Whitney’s cost accounting practices for engine parts on commercial engine collaboration programs.

Eliminations and Other: Approximately $60 million pretax interest income related to the final determination by the U.S. Congress Joint Committee on Taxation on a disputed issue in the IRS examination of tax years 1994 through 1999.

Income Taxes: Favorable income tax adjustment of approximately $35 million, related to a determination by the U.S. Congress Joint Committee on Taxation on a disputed issue in the IRS examination of tax years 1994 through 1999.

In the second quarter, the net impact of the above favorable items ($0.13 per share), together with approximately $80 million of pre-tax restructuring and related charges ($0.06 per share), contributed $0.07 to earnings per share.

Q1 - 2006

Pratt & Whitney: Approximately $25 million gain realized on the sale of a partnership interest in an engine program at Pratt Canada.

Eliminations and Other: Approximately $25 million gain from the sale of marketable securities.

United Technologies Corporation

Condensed Consolidated Balance Sheet


(Millions)	December 31, 2007			December 31, 2006
	(Unaudited)			(Unaudited)
Assets
Cash and cash equivalents	$	2,904		$	2,546
Accounts receivable, net		8,844			7,679
Inventories and contracts in progress, net		8,101			6,657
Other current assets		2,222			1,962

Total Current Assets		22,071			18,844

Fixed assets, net		6,296			5,725
Goodwill, net		16,120			14,146
Intangible assets, net		3,757			3,216
Other assets		6,331			5,210

Total Assets	$	54,575		$	47,141


Liabilities and Shareowners’ Equity
Short-term debt	$	1,133		$	894
Accounts payable		5,059			4,263
Accrued liabilities		11,277			10,051

Total Current Liabilities		17,469			15,208

Long-term debt		8,015			7,037
Other liabilities		6,824			6,763

Total Liabilities		32,308			29,008

Minority interest in subsidiary companies		912			836

Shareowners’ Equity:
Common Stock		10,358			9,395
Treasury Stock		(11,338	)		(9,413	)
Retained Earnings		21,751			18,754
Accumulated other non-shareowners’ changes in equity		584			(1,439	)

		21,355			17,297

Total Liabilities and Shareowners’ Equity	$	54,575		$	47,141

Debt Ratios:
Debt to total capitalization		30	%		31	%
Net debt to net capitalization		23	%		24	%

United Technologies Corporation

Condensed Consolidated Statement of Cash Flows


(Millions)	Quarter Ended December 31, (Unaudited)						Year Ended December 31, (Unaudited)
	2007			2006			2007			2006
Operating Activities
Net Income	$	1,060		$	865		$	4,224		$	3,732
Adjustments to reconcile net income to net cash flows provided by operating activities:
Depreciation and amortization		310			261			1,173			1,033
Deferred income taxes and minority interest		284			(157	)		382			52
Stock compensation cost		57			44			198			180
Changes in working capital		605			872			32			191
Other, net		(271	)		(230	)		(679	)		(385	)

Net Cash Provided by Operating Activities		2,045			1,655			5,330			4,803

Investing Activities
Capital expenditures		(456	)		(351	)		(1,153	)		(954	)
Acquisitions and disposal of businesses, net		(295	)		(287	)		(1,739	)		(460	)
Other, net		(275	)		44			(290	)		153

Net Cash Used in Investing Activities		(1,026	)		(594	)		(3,182	)		(1,261	)

Financing Activities
Increase in borrowings, net		(172	)		(497	)		893			(533	)
Dividends paid on Common Stock		(294	)		(246	)		(1,080	)		(951	)
Repurchase of Common Stock		(501	)		(738	)		(2,001	)		(2,068	)
Other, net		14			15			233			210

Net Cash Used in Financing Activities		(953	)		(1,466	)		(1,955	)		(3,342	)

Effect of foreign exchange rates		28			37			165			99

Net increase (decrease) in cash and cash equivalents		94			(368	)		358			299
Cash and cash equivalents - beginning of period		2,810			2,914			2,546			2,247

Cash and cash equivalents - end of period	$	2,904		$	2,546		$	2,904		$	2,546

United Technologies Corporation

Free Cash Flow Reconciliation


	Quarter Ended
(Millions)	December 31, 2007					December 31, 2006
	(unaudited)					(unaudited)
Net income	$	1,060				$	865
Depreciation and amortization		310					261
Change in working capital		605					872
Other		70					(343	)

Cash flow from operating activities		2,045					1,655
Cash flow from operating activities as a percentage of net income				193	%				191	%
Capital expenditures		(456	)				(351	)

Capital expenditures as a percentage of net income				(43	)%				(41	)%

Free cash flow	$	1,589				$	1,304

Free cash flow as a percentage of net income				150	%				151	%

Free cash flow, which represents cash flow from operations less capital expenditures, is the principal cash performance measure used by the Company. Management believes free cash flow provides a relevant measure of liquidity and a useful basis for assessing the Corporation’s ability to fund its activities, including the financing of acquisitions, debt service, repurchases of the Corporation’s Common Stock and distribution of earnings to shareholders. Others that use the term free cash flow may calculate it differently. The reconciliation of net cash flow provided by operating activities prepared in accordance with Generally Accepted Accounting Principles to free cash flow is above.

United Technologies Corporation

Notes to Condensed Consolidated Financial Statements

(1)

Debt to total capitalization equals total debt divided by total debt plus equity. Net debt to net capitalization equals total debt less cash and cash equivalents divided by total debt plus equity less cash and cash equivalents.

(2)

Organic growth represents the total reported increase within the Corporation’s ongoing businesses less the impact of foreign currency translation, acquisitions and divestitures completed in the preceding twelve months and significant non-recurring items. Non-recurring items that are not included in organic growth in 2007 include a $57 million gain at Carrier from the sale of Fincoil, a $36 million charge at Carrier on the settlement of litigation related to a furnace warranty matter, a $28 million pretax interest adjustment related to the completion of the IRS examination of tax years 2000 through 2003, a $26 million gain at Otis from the sale of a non-core business, an $84 million gain at Otis from the sale of land (See Note 3 below), a $40 million gain at Pratt & Whitney from a contract termination, and $151 million from the sale of marketable securities, and a $216 million loss recorded in connection with the EU commission fine during the first quarter. Non-recurring items that are not included in organic growth in 2006 include approximately $25 million from the sale of a partnership interest in an engine program at Pratt Canada, $25 million from the sale of marketable securities, approximately $80 million from the settlement of Pratt collaboration programs, approximately $60 million pretax gain realized on the sale of a partnership interest in Scroll Technologies, and approximately $60 million of interest income related to the final ruling on the 1994 – 1999 U.S. federal tax audits.

(3)

Otis segment results include an $84 million gain from the sale of land. The consolidated operating results include taxes related to the gain of approximately $29 million in addition to an approximately $27 million charge for the minority partner’s interest in the gain. The resulting impact to consolidated net income is approximately $28 million.

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Stock compensation cost Category caption for certain standard ratios that are presented with filed financial statements. Under this caption will be the specific ratio accounts with their specific definitions. Debt Ratios The ratio of total debt (short and long term) to total capitalization which is the sum of total debt and total equity. debt to total capitalization The ratio of net debt (short and long term debt less the cash balance) to net capitalization which is the sum of total debt plus total equity less the cash balance. net debt to net capitalization Amount is the sum of financing revenues and all other income excluding sales but including interest income Financing Revenues and Other Income,net Finance leases, notes receivable, products under operating leases and extended payment items Customer financing assets Shares issued that will be needed by the ESOP as employee's stock options vest Unearned ESOP shares Change in customer financing assets balance sheet account for period Decrease(Increase) in customer financing assets Footnote narrative on earnings per share that accompanies tabular presentation of calculation. Narrative adds any additional information such as effect of reclassifications, stock splits, etc. earnings per share note Average diluted shares from outstanding stock options used in calculating diluted EPS for required disclosure Dilutive effect of employee stock options and awards Costs of manufactured components, accumulated installation costs and estimated earnings on incomplete contracts principally related to elevator and escalator contracts Contracts in progress Progress payments on U.S. Government contracts. Payments are secured by liens. Progress payments See element definition for contracts in progress. These amounts are billings against those costs. Billings on contracts in progress Sum of raw materials, work-in-progess, finished goods and contracts in progress (which are net of valuation reserves but prior to progress payments and billings on contracts in progress Inventories - gross Represents company contributions to employee defined contribution plans Defined Contribution Plans - Contributions Represents mandatory company contributions to pension and postretirement employee benefit plans Defined Benefit Plans - Mandatory Contributions Represents the sum of all components of net periodic pension benefit cost Total net periodic pension cost Total pension plan service cost Service cost Total pension plan interest cost Interest cost Expected return on plan assets, a component of net periodic benefit cost Expected return on plan assets Amortization of net periodic benefit costs Amortization of benefit cost Actuarial net (gain)/loss component of net periodic benefit cost Recognized actuarial net loss Settlement and curtailment loss, component of net periodic benefit cost Net settlement and curtailment loss Represents the sum of all components of net periodic postretirement benefit cost Total net periodic postretirement benefit cost Total postretirement plan service cost, component of net periodic benefit cost Service cost - postretirement Total postretirement plan interest cost, as a component of net periodic benefit cost Interest cost - postretirement Expected return on plan assets, a component of net periodic benefit cost Expected return on plan assets - postretirement Amortization of net periodic postretirement benefit costs Amortization of net periodic benefit costs - postretirement Actuarial net (gain)/loss component of net periodic postretirement benefit cost Recognized actuarial net loss - postretirement Settlement and curtailment loss, component of net periodic postretirement benefit cost Net settlement and curtailment loss - postretirement Amount of severance, asset write-down, and facility exit & lease termination cost accrued Restructuring Accrual - Total Amount of employee severance costs accrued Restructuring Accrual - Severance Amount of asset write-down costs accrued Restructuring Accrual - Asset Write-downs Amount facility exit & lease termination cost accrued Restructuring Accrual - Facility exit and lease term costs Amount of severance, asset write-down, and facility exit & lease termination cost incurred Net pre-tax restructuring charges - Total Amount of severance cost incurred Net pre-tax restructuring charges - Severance Amount of asset write-down cost incurred Net pre-tax restructuring charges - Asset write-downs Amount of facility exit & lease termination cost incurred Net pre-tax restructuring charges - Facility exit and lease term costs Amount of severance, asset write-down, and facility exit & lease termination accrual utilization Utilization - Total Amount of severance accrual utilized Utilization - Severance Amount of asset write-down accrual utilized Utilization - Asset write-down Amount of facility exit & lease termination accrual utilized Utilization - Facility exit and lease termination costs Total amount of expected severance, asset write-down, and facility exit & lease termination restructuring charges Expected Costs - Total Amount of severance cost expected Expected Costs - Severance Total amount of expected asset write-down restructuring charges Expected Costs - Asset write-down Total amount of expected facility exit & lease termination restructuring charges Expected Costs - Facility exit and lease termination Remaining amount of expected severance, asset write-down, and facility exit & lease termination restructuring charges, net of cost incurred Remaining Expected Costs - Total Remaining amount of expected severance restructuring charges, net of cost incurred Remaining Expected Costs - Severance Remaining amount of expected asset write-down restructuring charges, net of cost incurred Remaining Expected Costs - Asset write-downs Remaining amount of expected facility exit & lease termination restructuring charges, net of cost incurred Remaining Expected Costs - Facility exit and lease termination Amount represents the value of treasury stock reissued as common stock to employee plans Treasury Stock Reissued Under Employee Plans Amount represents the value of treasury stock reissued as common stock to pension plans. Treasury Stock Reissued to Pension Plans Cash Dividend - ESOP Common Stock Cash dividends paid to ESOP common stock Amount represents the increase (decrease) to guarantees as a result of waranties issued product warranty Warranties and performance guarantees issued Amount represents the settlements of warranties and performance guarantees Settlements made Amount represents the increase (decrease) to guarantees as a result of other product warranty activity Other product warranty guarantee activity Ratio of operating profit to revenue Operating Profit Ratio Description of the Commercial Businesses within the Business Environment Section of the MD&A. Description of Commercial Businesses Description of the aerospace businesses within the Business Environment section of MD&A Description of Aerospace Businesses Disclosure of the principal, interest rate and maturity of each series of long-term debt Long Term Debt - Series Disclosure LT Debt Series - Principal Disclosure of the principal of each series of long-term debt Disclosure of the interest rate for each series of long-term debt LT Debt Series - Interest Rate Disclosure of the maturity date of each series of long-term debt LT Debt Series - Maturity The gross carrying amount in for purchase service contract intangible assets subject to amortization Gross Intangible Asset - Purchased Service Contracts Critical Accounting Estimates Disclosure that the preparation of the financial statements requires management to makes estimates that affect reported amounts The aggregate original costs for purchased service contracts intangible assets Finite-Lived - Purchased Service Contracts The cumulative amount of amortization, generally shown as a deduction from the recorded amount of finite-life purchased service contract intangible assets. Accumulated Amortization - Intangible Assets Purchased service contracts The cumulative amount of amortization, generally shown as a deduction from the recorded amount of finite-life patents and trademarks intangible assets. Accumulated Amortization - Intangible Assets - Patents and Trademarks The cumulative amount of amortization, generally shown as a deduction from the recorded amount of finite-life customer relationship intangible assets. Accumulated Amortization - Intangible Assets - Customer Relationships The cumulative amount of amortization, generally shown as a deduction from the recorded amount of finite-life other intangible assets. Accumulated Amortization - Intangible Assets - Other The total amount of goodwill created from the acquisition of companies Business Acquisitions - Goodwill Resulting from Business Combinations The effect of foreign currency exchange rate changes on goodwill balances. Business Acquisitions - FX on Goodwill Net assets acquired through a business acquisition Business Acquisitions - Net Assets Acquired Revenue Change Ratio Ratio of the change in revenue in the current year from the prior year to the prior year revenue level. May also be defined as the percent change in revenue Costs and Expenses - Gross Margin Discussion Discussion of the factors driving changes in gross margin during the period Ratio of gross margin to revenues. May also be defined as the gross margin percent. Gross Margin to Revenue Ratio Amount of product and service revenues less cost of products and services sold Costs and Expenses - Gross Margin Total amount of research and development costs Cost and Expenses - Research and Development Amount of company-funded research and development costs Cost and Expenses - Company-funded research and development Amount of customer-funded research and development costs Cost and Expenses - Customer-funded research and development Ratio of research and development cost to revenues. Cost and Expenses - Research and Development Costs to Revenues Ratio Ratio of customer funded research and development cost to revenues. Costs and Expenses - Customer Funded Research and Development Cost to Revenues Ratio Ratio of company funded research and development cost to revenues. Costs and Expenses - Company Funded Research and Development Cost to Revenues Ratio Discussion of the nature and amount of research and development costs Cost and Expenses - Research and Development Discussion Discussion of the changes in amount of selling, general and administrative costs Cost and Expenses - Sellling General and Administrative Discussion Ratio of selling, general and administrative costs to revenues. Costs and Expenses - Selling General and Administrive Costs to Revenue Ratio Discussion of the changes in amount of interest expense Costs and Expenses - Interest Expense Discussion Discussion of the factors having a material impact on net income, not addressed elsewhere in management's discussion and analysis Net Income Discussion Total amount of short and long term debt and borrowings Liquidity Discussion - Total Debt Total debt, less amount of cash and cash equivalents Liquidity Discussion - Net Debt Liquidity Discussion - Total Capitalization Total debt pluss shareowners' equity Total of total debt plus shareowners' equity, less amount of cash and cash equivalents Liquidity Discussion - Net Capitalization Discussion of the controls and procedures in place and any material changes during the period Controls and Procedures Discussion Other information discussed Other Information Discussion of material legal proceedings Legal Proceedings Discussion of purchases of equity securities and the use of the related proceeds Unregistered Sales of Equity Securities and Use of Proceeds Stock Repurchase Information about periodic company stock repurchases, in tabular format Number of shares repurchased by the company Stock Repurchase - Shares Repurchased Average price per share of shares of stock repurchased by the company Stock Repurchase - Average Price Paid Per Share Total number of shares purchased as part of a publicly announced program Stock Repurchase - Shares as Publicly Announced The remaining number of shares that may be purchased under the stock repurchase program Stock Repurchase - Maximum Number of Shares that may yet be Purchased Exhibits to the filing document Exhibits Name, or number, of the exhibit Exhibit Name Description of the related exhibit Exhibit Description Information contained in the signatures section of the filing document Signatures Statement of the authorization of filing of the related document Signature Statement Signatories Name, title and signing date of each of the signatories Date of the signature Signature - Date Electronic signature Signature - Signature Name of the signatory Signature - Name Official title of the signatory Signature - Title Exhibit 12: Statement re: Computation of Ratio of Earnings to Fixed Charges Computation of Ratio of Earnings to Fixed Charges Amount of interest capitalized Exhibit 12 - Interest Capitalized One third of rental costs, fixed charges. Exhibit 12 - One-Third of Rents Total fixed charges is total interest expense, plus interest capitalized, plus one-third of rents Exhibit 12 - Total Fixed Charges For purposes of Exhibit 12, total earnings is income before income taxes and minority interest, plus Total Fixed Charges, plus amortization of interest capitalized, less interest capitalized Exhibit 12 - Total Earnings Amount of capitalized interest amortized Exhibit 12 - Amortization of interest capitalized Ratio of earnings to fixed charges, as calculated in Exhibit 12 Exhibit 12 - Ratio of earnings to fixed charges EX-100.PRE 7 utx-20071231_pre.xml XBRL TAXONOMY EXTENSION PRESENTATION LINKBASE EX-100.REF 8 utx-20071231_ref.xml XBRL TAXONOMY EXTENSION REFERENCE LINKBASE Financial Accounting Standards Board Share-Based Payment 123R 12/31/04 SEC Regulation S-K (SK) 303 Securities Exchange Act Rule 13a-14, 15d-16 Securities Exchange Act Rule 13a-14, 15d-16 -----END PRIVACY-ENHANCED MESSAGE-----