CARRIER | HAMILTON SUNDSTRAND | OTIS | PRATT & WHITNEY | SIKORSKY | UTC FIRE & SECURITY | UTC POWER

Johns Hopkins UniversityJanuary 24, 2008

George David

2005 results, for purposes of comparison, are before the non-cash cumulative impact of theFIN47 accounting change ($0.09 EPS).

Results are on a reported basis except for segment operating profit and margin, whichexclude the impact of restructuring and one time gains.

This presentation includes "forward-looking statements" concerning anticipated future financialperformance, including expected revenue, earnings, cash flow, acquisitions and share repurchaseamounts. These statements often contain words such as "expect", "anticipate", "plan", "estimate","believe", "will", "see", "guidance" and similar terms. These matters are subject to risks anduncertainties. Important factors that could cause actual results to differ materially from thoseanticipated or implied in forward looking statements include the health of the global economy;strength of end market demand in construction and in both the commercial and defense segmentsof the aerospace industry; fluctuation in commodity prices, interest rates, foreign currencyexchange rates, and the impact of weather conditions; and company-specific factors including theavailability and impact of acquisitions; the rate and ability to effectively integrate these acquiredbusinesses; the ability to achieve cost reductions at planned levels; challenges in the design,development, production and support of advanced technologies and new products and services;delays and disruption in delivery of materials and services from suppliers; labor disputes; and theoutcome of legal proceedings. The level of share repurchases may vary depending on the level ofother investing activities. For information identifying other important economic, political, regulatory,legal, technological, competitive and other uncertainties, see UTC's SEC filings as submitted fromtime to time, including but not limited to, the information included in UTC's 10-K and 10-Q Reportsunder the headings "Business," "Risk Factors," "Management's Discussion and Analysis ofFinancial Condition and Results of Operations" and "Cautionary Note Concerning Factors that MayAffect Future Results," as well as the information included in UTC's Current Reports on Form 8-K.

1

$55 billion

REVENUES2007

OtisPratt &Whitney

Carrier

Sikorsky

Fire & Security

HamiltonSundstrand

2

$55 billion

UnitedStates

Other

AsiaPacific

Canada

LatinAmerica

Europe

REVENUES2007

3

REVENUESGrowth

0

12

24

36

48

60

72 74 76 78 80 82 84 86 88 90 92 94 96 98 00 02 04 06

($ billions)

International

United States

07

4

REVENUE GROWTH2000-2007E

0%

2%

4%

6%

8%

10%

12%

UTX COL ITW GE TT DOV TYC MMM EMR HON BA TXT

Average = 6.3%

(CAGR, %)

Peer companies adjusted for discontinued operations based upon company filingsTYC growth shown is average annual growth of pre spin-off TYC for ’00-’06 and post spin-off TYC for ’06-’07

5

EARNINGS PER SHARE GROWTH2000-2007E

0

2

4

6

8

10

12

14

16

COL UTX TXT ITW MMM TT BA GE EMR DOV HON TYC

(CAGR, %)

Average = 8.6%

Peer companies adjusted for discontinued operations, accounting changes, and significant one time itemsTYC & TT growth shown are average annual growth of pre spin-off (’00-’06) and post spin-off (’06-’07) entities

6

0

300

600

900

1200

1500

1800

1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007

UTXS&P 500Peers

PERFORMANCECumulative shareholder return

(%)

7

FORTUNE MOST ADMIREDAerospace

1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007

1

2

3

4

5

6

7

8

9

10

(rank)

8

0.5

1.0

1.5

2.0

2.5

3.0

3.5

4.0

4.5

1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007

EmployeesNew equipment (units)Service (units)

PRODUCTIVITYOtis

(Index, base=1)

9

0.5

1.0

1.5

2.0

2.5

3.0

3.5

1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007

Employees

New equipment

PRODUCTIVITYCarrier

(index, base=1)

Units include chillers, ducted & duct-free split systems, furnaces, and commercial unitary products

10

11

ACEPratt & Whitney turbine module center

In-line versus cellular manufacturingFlow optimizationWork station process controlVisual factory and 5S

North Haven, CT East Hartford, CT

1996

Hourly employees 1200

High turbine airfoils 320,000

2006

Hourly employees 725

High turbine airfoils 450,000

12

ACEFlow optimization

Before After

122,677

100203

560

206512

Part travel (feet)

Lead time (days)Deliveries (monthly)

Inventory turns

Sikorsky BLACK HAWK tail rotor blades

13

ACEProduction Preparation Process (3P)

1. One piece flow2. No forklifts, cranes, hoists3. Mistake-proofing, go/no-go gauges in use4. Product/operators not required to leave the cell or

line5. No out of sequence work6. Standard work7. Cross training actively done8. Daily checks/TPM9. Moving lines

3P non-negotiables

Collect informationand prepare for event

Post processmaps and part

drawings on wall

Develop sevenconcepts for each

process / step

Simulate processand refine

Create full scalemockups

Evaluate processesagainst ideal production

principles

Summarize processperformanceand selection

Document layoutand simulation

results

Develop risk-based execution

plan

10. No trash containers11. QCPC routinely used12. Value stream maps13. No pits/platforms14. No multiple person processes15. Everything less than 1.5 meters in height16. Inspection processes upstream17. Utilize sub assembly lines

Full scale mockup of PW615 engine

14

CAPITAL EXPENDITURES

0

120

240

360

480

600

720

840

960

1080

1200

92 93 94 95 96 97 98 99 00 01 02 03 04 05 06 070

20

40

60

80

100

120

140

160

180

200

(operational capex, $m)(restructuring capex, $m) (% of depreciation)

Average

15

0.0

0.6

1.2

1.8

2.4

3.0

1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007

LOST WORKDAY INCIDENCEU.S.

16

0.0

0.5

1.0

1.5

2.0

2.5

3.0

1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007E

20

26

32

38

44

50

56

GREENHOUSE GAS EMISSIONSCO2 equivalents worldwide

(metric tons of CO2e, millions) (revenues, $ billions)

17

0

1000

2000

3000

4000

5000

6000

1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007

20

26

32

38

44

50

56(revenues, $ billions)(gallons x 106)

WATER CONSUMPTIONWorldwide

18

China (w/HK)$2.0B revenues

Australia/New Zealand$1.7B revenues

India$0.4B revenues

Japan$1.3B revenues

S. Korea$1.4B revenues

Singapore$1.2B revenues

UTC in Region$9B Revenues48,400 employees46 Mfg Facilities (6.7 M ft2)699 Offices (3.4M ft2)

ASIA PACIFIC2006

Other$0.8B revenues

19

$5 0.6195

* Includes heating

EMERGING MARKETSMetrics per capita

Japan

$48*

$9

Air conditioningCommercial refrigerationRevenue passenger milesElevators/1000 people

$43

China

2,600

908

2.3

0.5

5.1

$3

185$0.4

$14

$0.3

Europe

1,322

$20

$10

9.3

NorthAmerica

Asia(all other)

20

0

500

1000

1500

2000

2500

02 03 04 05 06 07

Aero exportAero domesticUTCFSCarrierOtis

UTC REVENUES

($ millions)

China India

0

500

1000

1500

2000

2500

02 03 04 05 06 07

Aero exportAero domesticUTCFSCarrierOtis

($ millions)

21Source: UN World Investment Report 2007

China India

0

15

30

45

60

75

92 93 94 95 96 97 98 99 00 01 02 03 04 05 06

OutflowsInflows

0

15

30

45

60

75

92 93 94 95 96 97 98 99 00 01 02 03 04 05 06

OutflowsInflows

($, billions) ($, billions)

FOREIGN DIRECT INVESTMENT

R&D/Eng.Manufacturing

IT/call centers

China India

Source: A.T. Kearney, FDI Confidence Index, December, 2005.

R&D/Eng.Manufacturing

IT/call centers

22

FOREIGN DIRECT INVESTMENT

23

FOREIGN DIRECT INVESTMENTRestricted investment areas

China IndiaAgriculture (including fishing) Agriculture

Media Media

Small scale business Small scale business

Mining Mining

Defense Defense

Public Relations Banking

Civil aviation

Food processing

Housing

Insurance

Legal & professional services

Petroleum

Railways

Retailing

Shipping

Telecommunications

24

U.S. MERCHANDISE TRADE BALANCE

0

50

100

150

200

250

300

85 86 87 88 89 90 91 92 93 94 95 96 97 98 99 00 01 02 03 04 05 06 07

Exports to ChinaImports from China

China India

0

50

100

150

200

250

300

85 86 87 88 89 90 91 92 93 94 95 96 97 98 99 00 01 02 03 04 05 06 07

Exports to IndiaImports from India

Sources: US Census Bureau 2008 and WTO International Trade Statistics 2007

($ billions) ($ billions)

25

URBANIZATION

0

225

450

675

900

1950 55 60 65 70 75 80 85 90 95 00 05 10 15 20 25 300

25

50

75

100(urban inhabitants, millions)

Source: United Nations Population Division

0

225

450

675

900

1950 55 60 65 70 75 80 85 90 95 00 05 10 15 20 25 300

25

50

75

100

China India(urban inhabitants, millions)(% urban) (% urban)

26

0

50

100

150

86 87 88 89 90 91 92 93 94 95 96 97 98 99 00 01 02 03 04 05 06

ChinaIndia

ELEVATOR MARKETS

(units, 000)

27

RESIDENTIAL AIR CONDITIONING

(systems, millions)

0

10

20

30

86 87 88 89 90 91 92 93 94 95 96 97 98 99 00 01 02 03 04 05 06

ChinaIndia

28

0

25

50

75

86 87 88 89 90 91 92 93 94 95 96 97 98 99 00 01 02 03 04 05 06

ChinaIndia

COMMERCIAL AIR CONDITIONING

(chillers, 000)

29

0

500

1,000

1,500

2,000

2,500

3,000

3,500

4,000

1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007

Company funded

Customer funded

RESEARCH & DEVELOPMENT

($ millions)

Company funded

Customer funded

30

F-22F-22

PRATT & WHITNEY

31

C-17C-17

PRATT & WHITNEY

32

SIKORSKYBLACK HAWK

33

SIKORSKYCH-53E

34

SHUTTLE

35Space SuitSpace Suit

HAMILTON SUNDSTRAND

36

UTC POWERPureCell system model 400

Current In development

200 kW, 5-yr cell stack 400 kW, 10-yr cell stack

2 H2 + O2 2 H2O + heat

37

PureComfortTM 360M cooling, heating, and power

Microturbines + absorption chillers

Provides backup power to run refrigeration systems during grid outages

UTC POWERPureComfort

Wal-Mart Aurora, ColoradoWal-Mart Aurora, Colorado

38

0

20

40

60

80

100

120

1980* 1985* 1990* 1995 2000 2001 2002 2003 2004 2005

United States China France Germany Japan India

TOTAL ENERGY CONSUMPTION

(Quadrillion (1015) Btu)

*Data not available for GermanySource: International Energy Annual 2005, released 2007

39

0

1,000

2,000

3,000

4,000

5,000

6,000

7,000

2001 2002 2003 2004 2005

United States China France Germany Japan India

CARBON DIOXIDE EMISSIONS

(million metric tons CO2)

Source: International Energy Annual 2005, released 2007

40

0

5,000

10,000

15,000

20,000

25,000

1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007

International

Domestic

(degrees)

EMPLOYEE SCHOLAR PROGRAM

Total spend$689 million