Honeywell (NYSE: HON) released the following financial announcement:
The firm “is exercising its option to redeem the entire outstanding principal amount of its 5.625% Notes due 2012 (CUSIP No. 438516AV8 / ISIN No. US438516AV85) of which an aggregate principal amount of $183, 580, 000 are outstanding.
“The redemption date will be March 28, 2011. The ‘make-whole premium’ redemption price will be equal to the greater of (1) 100 percent of the principal amount of the notes to be redeemed and (2) the sum of the present values of the remaining scheduled payments of principal and interest on the Notes discounted to the date of redemption, on a semiannual basis, at a rate equal to the sum of the applicable treasury rate (as defined in the notes) plus 12.5 basis points. Accrued interest will be paid to but excluding date of redemption. The treasury rate will be calculated on the third business day preceding the date of redemption.
“On the redemption date, the ‘make-whole premium’ redemption price will become due and payable. Interest on the notes will cease to accrue on and after the redemption date. Payment of the “make-whole premium” redemption price plus accrued interest will be made upon presentation and surrender of the Notes at the principal payment office of the trustee:
|DB Services Americas, Inc.|
|5022 Gate Parkway, Suite 200|
|Jacksonville, FL 32256|