Jan 21 (Reuters) – Honeywell said on Wednesday it had reached an agreement with private aviation company Flexjet to resolve their litigation and aims to rebuild their commercial partnership.
The industrial conglomerate said it agreed to extend its aircraft engine maintenance deal with Flexjet through 2035 as part of the settlement.
Flexjet had sued Honeywell in March 2023, accusing the company of breaching an aircraft engine maintenance services deal and seeking liquidated damages over delayed engine repairs.
The aviation firm said in December it was owed at least $500 million in damages, plus additional amounts well above that.
The new settlement agreement will fully resolve all outstanding claims between the parties, Honeywell said.
The company expects to take a charge of about $470 million in the fourth quarter due to the settlement.
(Reporting by Apratim Sarkar; Editing by Shreya Biswas)
