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Wednesday, March 11, 2015

UTC to weigh splitting off of Sikorsky helicopter unit, (NYQ: UTX)

United Technologies Corp will explore spinning off its Sikorsky helicopter unit, in the first major move by the company's new chief executive officer to overhaul the U.S. conglomerate's portfolio of businesses.The company's board authorized the review, which also could include a sale of the maker of Black Hawk helicopters. Sikorsky had $7.5 billion in sales last year. The review is expected to finish before the end of the year.Sikorsky's fit with United Tech, which had $65 billion in overall sales last year, has been long debated on Wall Street. The potential split is the first major strategic move under Chief Executive Officer Greg Hayes, who was elevated in November after previously serving as finance chief.The company's portfolio review found that "while Sikorsky is a great helicopter company, it probably didn't fit into the UTC portfolio," Hayes told reporters.

United Technologies Corporation provides high technology products and services to the building systems and aerospace industries worldwide. Shares of UTX traded higher by 0.8% or $0.94/share to $118.34. In the past year, the shares have traded as low as $97.30 and as high as $124.45. On average, 3905920 shares of UTX exchange hands on a given day and today's volume is recorded at 3747890.