GE Electric Co. acquired Honeywell International Inc., creating one of the world's largest industrial companies.

The combination of GE and Honeywell will create worldwide manufacturing operations in a number of industries.
In a deal that will create one of the world's largest industrial companies, General Electric Co., Farifield, CT, has agreed to acquire Honeywell Inter-national Inc., Morristown, NJ, for $45 billion in stock. Each company's board of directors has approved the merger agreement, which is subject to regulatory approval and the approval of Honeywell shareholders. The merger is expected to be complete in early 2001.

The combined companies will include worldwide manufacturing operations in plastics, chemicals and aerospace products. As part of the agreement, GE will assume an unspecified amount of Honeywell debt, and Honeywell's corporate headquarters in Morristown, NJ, will be closed.

Michael R. Bonsignore, chairman and CEO of Honeywell, will become a member of the GE board of directors and will be joined by two additional Honeywell directors. John F. Welch will remain chairman and CEO of GE until the end of 2001, through the transaction.

GE will use the GE-Honeywell brand name on key product lines.