Honeywell to pay $1.3B in settlement with asbestos trust
Spencer Platt/Getty Images News

Honeywell (NASDAQ:HON) agreed Friday to pay $1.325B to settle claims related to its past production of items containing asbestos, as the company pares its liabilities from asbestos and other environmental issues tied with past operations.
The company's agreement with the North American Refractories Asbestos Personal Injury Settlement Trust will release it from further funding obligations related to any claimants who were exposed to asbestos-containing products manufactured, sold or distributed by NARCO or its predecessors, according to an 8-K filing.
The deal must be approved by the U.S. Bankruptcy Court for the Western District of Pennsylvania; if approved, Honeywell (HON) said an existing $695M reserve would be removed from its balance sheet and a charge would be recognized.
Honeywell (HON) "has avoided many of the missteps in recent years that have plagued companies like General Electric or Boeing," Valuentum writes in an analysis posted on Seeking Alpha.