2016ar.utc.comUnited Technologies 2016 Annual Report

2016 Annual Report Home Letter to Shareowners Otis UTC Climate, Controls & Security Pratt & Whitney UTC Aerospace Systems Employee Scholar Program Sustainability Featured News and Stories Download PDFs Full Report Full Financials Shareowner Letter Business Highlights At a Glance Financials Cautionary Note Concerning Factors That May Affect Future Results Reconciliation of Non-GAAP Measure to corresponding GAAP Measures Board of Directors Leadership Shareowner Information Sustainability/Recognition 2016 Annual Report Home Letter to Shareowners Otis UTC Climate, Controls & Security Pratt & Whitney UTC Aerospace Systems Employee Scholar Program Sustainability Featured News and Stories Download PDFs Full Report Full Financials Shareowner Letter Business Highlights At a Glance Financials Cautionary Note Concerning Factors That May Affect Future Results Reconciliation of Non-GAAP Measure to corresponding GAAP Measures Board of Directors Leadership Shareowner Information Sustainability/Recognition Scroll Down Dear Shareowner Greg Hayes Chairman & CEO Otis A city of skyscrapers, Chicago has long been defined by the Willis Tower. Otis, the company that invented the modern elevator and sets the industry standard, has been selected to modernize elevators in this landmark building. Otis has been changing skylines for more than a century, allowing architects’ imaginations to soar and buildings to climb ever higher. The Made to Move You campaign shows the ways people interact with Otis elevators in their daily lives, and how Otis technology moves them — literally and figuratively. This short video features a poem written by James Massiah, a poet commissioned by Otis, and follows the stories of passengers in an elevator, showing how Otis elevators have become an integral part of modern lifestyles, moving passengers vertically to destinations, and acting as the vessel for the life experiences that happen along the way. We invite you to watch this video and share moments in motion with the more than 1.9 billion people who are moved each day by Otis elevators and escalators. Otis, the company that invented the modern elevator, continues its spirit of innovation with the introduction of the New Gen2 ® elevator family of intelligent, connected elevators. The New Gen2 elevator family offers new connectivity components activated by Otis service offerings: the eCall™ mobile application that allows passengers to call and direct an elevator from their smartphone, and an eView™ screen that can be programmed to provide a variety of news and information for passengers. The London skyline is set to change with the construction of the Twentytwo development on Bishopsgate . The 59-story building will be outfitted with 67 state-of-the-art Otis elevators and escalators, including the fastest SkyRise double-deck elevators in Europe. Scheduled for completion in 2019, Twentytwo will be located in London’s financial district and will provide office space for approximately 12,000 people. Share: 67,396 Employees $11.9B Net Sales $2.2B* Adjusted Operating Profit Otis PDF *Adjusted operating profit is a non-GAAP financial measure. For additional information regarding the use of this measure, the corresponding amount prepared in accordance with generally accepted accounting principles (GAAP) and a reconciliation of the differences between the non-GAAP and GAAP measure, please refer to page 71 in the Annual Report PDF. UTC Climate, Controls & Security Backed by more than 80 of the world’s most respected brands, UTC Climate, Controls & Security is at the forefront of developing digital products that can be connected to provide safety, comfort, convenience and greater productivity for a building’s occupants. At the same time, it builds on a legacy of innovation, continuing to deliver products that are energy efficient, environmentally responsible and cost competitive. Carrier’s latest innovation uses advanced technology to deliver a centrifugal chiller that meets customer demands for excellent performance, efficiency and environmental responsibility. The new AquaEdge 19DV centrifugal chiller with Greenspeed ® intelligence and a low Global Warming Potential refrigerant illustrates Carrier’s ability to innovate and develop engineered solutions that save energy costs and reduce environmental impact. U.K. retailer Sainsbury’s is the first customer to take delivery of Carrier Transicold’s prototype natural refrigerant trailer unit. It is the first of three units that will join the Sainsbury’s fleet as part of a three-year technology field trial. The unit operates exclusively with carbon dioxide refrigerant, a safe and non-ozone depleting gas with a Global Warming Potential of just one. CO 2 is the baseline against which all other refrigerants are measured. Onity’s DirectKey mobile access solution enables guests to use their smartphone as their room key. Designed for a superior guest experience, the DirectKey system combines the company’s years of expertise in hotel locking systems, along with a proven Bluetooth technology and key credentialing platform. DirectKey offers secure, easy access to a guest’s hotel room and other access-controlled areas. Onity is a leading provider of access control solutions to the hospitality industry. Share: 56,475 Employees $16.9B Net Sales $3.1B* Adjusted Operating Profit UTC Climate, Controls & Security PDF *Adjusted operating profit is a non-GAAP financial measure. For additional information regarding the use of this measure, the corresponding amount prepared in accordance with generally accepted accounting principles (GAAP) and a reconciliation of the differences between the non-GAAP and GAAP measure, please refer to page 71 in the Annual Report PDF. Pratt & Whitney Pratt & Whitney’s game-changing Geared Turbofan engine continues to take flight, powering a new generation of commercial aircraft, including the Bombardier CS300 jetliner. Equipped with state-of-the art technologies, every GTF engine generates hundreds of data parameters, which are then analyzed and used to predict an aircraft’s performance and customized service needs. With the GTF engine, Pratt & Whitney is committed to creating a cleaner world for generations to come through green aviation technology. As the revolutionary Geared Turbofan (GTF) engine enters service, Pratt & Whitney is taking steps to ensure that it has a strong maintenance, repair and overhaul network in place to support the GTF. As a major part of that effort, during the year, Pratt & Whitney announced a $65 million investment in its engine overhaul facility in Columbus, Ga. The facility draws on decades of high-volume engine maintenance experience and is the company’s engine overhaul center of excellence in North America. Pratt & Whitney and the U.S. Air Force shared a milestone in 2016 when the F-35A Lightning II fifth-generation fighter aircraft was declared combat ready. Pratt & Whitney developed the F135 engine that powers the aircraft, the most technologically advanced in history. The F-35A will be the most dominant aircraft in the Air Force’s inventory, able to go where legacy aircraft cannot and to provide the capabilities needed on the modern battlefield. Pratt & Whitney Canada will power 55 new Leonardo Helicopters dedicated to emergency medical services in China. The PT6 helicopter engine (powering the AW119Kx and AW139) is one of the most durable and reliable engines on the market and is ideal for emergency medical response and life-saving missions. The PW210 engine (powering the AW169) incorporates the latest generation technologies enabling auxiliary power unit mode and safe, on-ground ambulance capabilities as well as best-in-class inflight performance. Share: 35,104 Employees $15.1B* Adjusted Net Sales $1.8B* Adjusted Operating Profit Pratt & Whitney PDF *Adjusted net sales and adjusted operating profit are...