[an error occurred while processing this directive]
BBC News
watch One-Minute World News
Last Updated: Tuesday, 6 June 2006, 17:06 GMT 18:06 UK
US defence firm faces $283m bill
Black Hawk helicopter shadow
The loss won't cast a shadow on results, says United Technologies
Manufacturer United Technologies will pay the US Department of Defense $283m (152m) after a probe into its handing of contracts over 20 years.

The US company's Pratt & Whitney jet engine unit is settling a claim for work over-charged through its accounting system.

UTC said the bill was smaller than anticipated and would have little impact on its 2006 financial results.

UTC owns Sikorsky, which supplies Black Hawk helicopters to the US military.

Other UTC businesses include making Carrier air conditioners and Otis lifts.

The disputed work, between 1984 and 2004, involved making jet engine parts for commercial airlines in a collaborative programme with foreign-based suppliers.

The dispute centred on differences in how Pratt & Whitney allocated overhead costs between its commercial and government programmes.

Since 2005, it has used a different accounting method which has been approved by the government.


SEE ALSO
Kidde accepts 1.4bn takeover bid
16 Dec 04 |  Business

RELATED INTERNET LINKS
The BBC is not responsible for the content of external internet sites



FEATURES, VIEWS, ANALYSIS
Has China's housing bubble burst?
How the world's oldest clove tree defied an empire
Why Royal Ballet principal Sergei Polunin quit

PRODUCTS & SERVICES

Americas Africa Europe Middle East South Asia Asia Pacific