Diversified business conglomerate
United Technologies Corp.
) recently took the blame for the faulty fire-fighting systems in
The Boeing Company
) Dreamliner jets. The assembly error was detected in three
Boeing 787 jets in the fleet of Japanese airline service provider
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Although the fault did not jeopardize passenger safety as
aircraft usually are equipped with other fire-extinguishing
systems, United Technologies was swift to take corrective
measures by working in unison with Boeing and the airlines for
necessary inspections. Meanwhile, ANA Holdings has decided to
inspect all the Dreamliner jets for similar problems to eliminate
the probability of recurrence.
For its part, United Technologies accepted that an assembly error
at its service center was responsible for some faulty refurbished
fire extinguisher bottles in the jets. The damage-control
exercise is likely to dent a hole in the credibility of the
assembly-line manufacturing units and United Technologies would
certainly want to avoid any such instances in future.
Based in Hartford, CT, United Technologies provides high-end
technology products and services to the building systems and
aerospace industries worldwide. The company is a diversified
business conglomerate serving various end markets such as
aerospace, defense and commercial construction. The business
diversification allows the company to remain profitable amid
tough economic times.
The operations of the company are primarily classified into two
principal businesses: commercial and aerospace. Under its
commercial business, the company has Otis and the UTC Climate,
Controls & Security division, which combined the former
Carrier and UTC Fire & Security divisions. The aerospace
business of the company consists of Sikorsky aircraft and the UTC
Propulsion & Aerospace Systems, which includes UTC Aerospace
Systems and Pratt & Whitney divisions.
United Technologies presently has a Zacks Rank #2 (Buy). Other
notable companies in the industry include
Federal Signal Corp.
), both carrying a Zacks Rank #2 (Buy).