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SIKORSKY RETURNS TO TABLE AT URGING OF FEDERAL MEDIATOR TO HAVE 3RD CONTRACT OFFER REJECTED BY TEAMSTERS

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SIKORSKY RETURNS TO TABLE AT URGING OF FEDERAL MEDIATOR TO HAVE 3RD CONTRACT OFFER REJECTED BY TEAMSTERS

March 28, 2006

  Hartford, Connecticut - Sikorsky Aircraft, a unit of United Technologies Corp (NYSE:UTX), at the recommendation of the federal mediator, yesterday presented its third contract offer to the union. The Teamsters Union Local 1150 leadership again rejected the company's offer without allowing the union membership to vote.

Following a weekend of discussions with the union through the federal mediator, Sikorsky agreed to meet with the union yesterday with the understanding that the company's February 17 offer, including the health care plan, would be acceptable to the union if an additional $1,000 was added to the ratification bonus, increasing it by 50 percent, as part of a Strike Settlement Agreement.

The union responded to this offer with a counterproposal that substantially altered the economic cost to the company. Those changes were unacceptable.

The company issued the following statement:

"This response by the union was not what the company was led to believe would result from the meeting yesterday, and it is unacceptable. Sikorsky Aircraft continues to seek an end to the labor action and remains disappointed that the union leadership has not allowed members to consider either of our revised contract proposals with a vote. The union continues to reject the same health care plan that covers all of Sikorsky's other Connecticut hourly and salary employees."

During the strike, all Sikorsky facilities remain open for business. Sikorsky is fully committed to taking the steps necessary to assure customers' needs will continue to be met with quality aircraft and parts.

Sikorsky Aircraft Corporation is a world leader in helicopter design, manufacturing, and service. United Technologies Corp., based in Hartford, Conn., provides a broad range of high-technology products and support services to the aerospace and building systems industries.

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