Alternatives to 141b in Insulating Foam

                  z
Honeywell – a History of Innovation

                                                    KYOTO PROTOCOL

                     MONTREAL PROTOCOL               EU LEGISLATION

                      CFC             HCFC           F-Gas Regulation
                    Phase-out       Phase-out


   CFCs             HCFCs             HFCs                   HFOs
1900s            1990s             2000s            2010s

          Ozone Depleting         Non-Ozone Depleting    Low-Global-Warming
        and Very High Global    but High Global Warming Potential and No Ozone
         Warming Potential              Potential          Depletion Effect




    Innovating to Enable Customers to Comply
Designing Low GWP HFC Replacements
              F         C                                                                         Honeywell
           +122       +50                                                                        Development

                            365mfc                                    Solvent
           +104       +40
                                                                    Applications
                                                     Polyurethane
                +86   +30                               Foam
                                       Chillers (LP) (Liquid BA)
                                                                                                  HFO
                +68   +20
                            245fa
Boiling Point




                +50   +10


                 32     0


                 14   -10                                           Polyurethane
                                                                        Foam
                            227ea      XPS Foam                     (Gaseous BA)    Aerosol      HFO-1234ze
                 -4   -20
                                                                                   Propellants
                            134a       Mobile A/C
                      -30                                                                        HFO-1234yf
                -22
                                                    Commercial
                                                    Refrigeration
                -40   -40   22, 407C
                            404A       Stationary                                                 HFO Blends
                                          A/C
                -50   -50   410A

Low Global Warming Products for A Broad Range of Applications
Next Generation Solutions
       Auto Air Conditioners                             Aerosols
               HFO 1234yf                                 HFO 1234ze
• Environment: GWP of 4 vs. 1430         • Environment: GWP of 6 vs. 1430
• Performance: Same Cooling Efficiency   • Performance: Meets all Requirements
• Safety: SAE International Approved     • Safety: Dramatically Safer than HCs
• Cost: Near Drop-in Replacement         • Cost: Economic in Use Today

  Commercialized; Plants Being Built      Commercialized; Capacity Expanded 3x

           Blowing Agents                     Stationary Air Conditioning
           HFO 1234ze and HBA2                      HFO 1234yf and 1234ze
• Environment: GWP of 7 vs. >1030        • Environment: >50% GWP reduction
• Performance: More Energy Efficient     • Performance: Same Energy Efficiency
• Safety: Dramatically Safer than HCs    • Safety: Dramatic Improvement vs.
                                           Flammable Hydrocarbons
• Cost: Lower Capital and System Costs
                                         • Cost: Solution by Application
   Commercial In Select Applications        Customer Trials; Positive Results

    Pipeline of 4th Generation Products Being Commercialized
Solutions for Foam

• Extruded Polystyrene
   - 1234ze Commercialized in 2008-09
   - Plant Expanded
   - Customer Contracts Signed

• One Component Polyurethane Foam
  - 1234ze Commercialized in 2008-09
  - Customer Contracts Signed

• Two Component Polyurethane Foam
   - 1234ze and HBA2 in Trials in 2009-11
   - Successful Spray Foam Field Trials
   - Successful Appliance Trials

    Several Solutions for Foam Being Commercialized
Polyurethane Foam: Blowing Agents Comparison
                                                      HCFC                Hydro     HFC
 Performance


                                                      HCFC                Hydro    HFC        HBA2
                                                       141b
                                                      141b               Carbons
                                                                         Carbons    245fa
                                                                                   245fa      HBA2

                  Energy Efficiency


                                                                                                                t
 Cost effective




                  Adoption Capital/ Ease                                                                    Bes
                                                                                                        2 – ll
                                                                                                     HBA vera
                                                                                                       O     ion
                  Lower Cost/Unit                                                                      S olut



                  Global Warming Impact
 Environment




                  (direct and indirect)
                  Ozone Depletion Impact

                  Volatile Organics

                  Flammability
 Safety




                  Toxicity                                               Meets requirements
HBA2: Lower-cost, Most Efficient and Environmentally-superior
* Specifics will vary by energy efficiency standards and type of refrigerator
Performance: Efficiency
           % Energy Efficiency Improvement                                            Comments
                  (refrigerator trial1)                              • In refrigerator trials, compared to 245fa:
                                                                       • Cyclopentane 8-10% less efficient
                   Hydrocarbon                 HBA2                    • HBA2 2% more efficient (in un-optmized
                  (Cyclopentane)                                         solution; likely to be higher than 2%)
                                           (Un-optimized)

Baseline                                        2%
                                                2%                   • 245fa, HBA2 better than hydrocarbons:
(245fa)
                                                                       • Better low-temperature efficiency 
                                                                         saves energy costs
                      8-10%
                       -10%
                                                                     • Expect similar peformance for spray and
                                                                       panel foam
                                                            12%      • Lower end-of-life management costs
                                                        – 6- ient
                                                     A2
                                                   HB e effic
                                                      r
                                                    mo an CP
                                                       th
                                                                                                m
                                                                                             ste
                                                                                       e r sy C P
                                                                                    Low t than
                                                                                     cos
1) commercial refrigerator trials; unoptimized formulation of HBA2




    HBA2: 10-12% More Energy Efficient and Likely Lower System Cost
                         Than Cyclopentane
Environmental / Safety
Lifetime (yrs)                                         Global Warming Potential (GWP)
                                 13.0                                               1,300

            9.3                          Very                                930            Low Global
                        7.6              Short-lived                  725                   Warming




                                            0.1            11                                   7

  CP       141b        245fa     134a    HBA2             CP      141b      245fa   134a    HBA2

Flammability                                           Volatile Organic Compound (VOC/ POCP)
    FLAMMABLE                  NOT FLAMMABLE                    VOC                 NOT VOC

                               • 141b                                           • 141b
 • Cyclopentane                                         • Cyclopentane
                               • 245fa                                          • 245fa
 • 365mfc                                                                       • 134a
                               • 134a                   Permitting issue
                               • HBA2                                           • 365mfc
Higher cost/ risk to                                      Higher cost
     operate
                                                                                • HBA2


            HBA2 Offers Best Environmental Performance
Transitioning from Blowing Agent 141b
Current:            Transition to:      Assessment      Future Impact

                                      Performance     • May not meet emerging
                      Cyclo-         Cost-effective     energy standards and may
                                                        require a 2nd transition to
                     pentane          Environment       245fa or HBA2
            Today                           Safety


                                                      • Solution available today
                                      Performance
                                                      • Will meet energy efficiency
                                     Cost-effective
 141b                 245fa
            Today                                       standards
                                      Environment     • Can transition to HBA2 in
                                            Safety      future to meet GWP
            2013+                                       standards
Article V
Countries
                                      Performance     • Most energy efficient
                                                        blowing agent with very low
                                     Cost-effective     GWP (7) puts you in the
                      HBA2
                                      Environment       best position now and in
                                                        the future
                                            Safety

245fa and HBA2: Low Capital and Cost Transitions From 141b
Transitioning from Cyclopentane
Current:             Transition to:      Assessment      Future Impact
                                       Performance     • While better positioned to
                                      Cost-effective     meet new energy
                       245fa           Environment       standards, GWP may be
                                                         an issue down the road
                                             Safety
           Today




 Cyclo-
pentane

             2013+
EU
China
Brazil                                 Performance     • Most energy efficient
US                                                       blowing agent with very
                                      Cost-effective     low GWP (7) puts you in
                       HBA2            Environment       the best position now
                                             Safety      and in the future

  245fa and HBA2 Offer Better Solutions Than Cyclopentane
Summary

• Honeywell is commercializing a broad pipeline of
  - Automotive A/C, stationary A/C, foams, solvents
  - Customer contracts in place
  - Plants being built
• Honeywell already has commercial offerings in Foams
  - Extruded Polystyrene
  - One component foam
  - Spray foam
  - Appliance foam

• HBA2 showing extremely positive results in trials:
  - High energy performance
  - Lower cost solution (capital and operating costs)
  - Best environmental balance
  - Safe: non-flammable and non toxic
• 245fa and HBA2 represent the best transition solution away from 141b

Lower-cost, Higher-performance, Environmental, Safe Solutions

Alternatives to 141b in Insulating Foam

  • 1.
    Alternatives to 141bin Insulating Foam z
  • 2.
    Honeywell – aHistory of Innovation KYOTO PROTOCOL MONTREAL PROTOCOL EU LEGISLATION CFC HCFC F-Gas Regulation Phase-out Phase-out CFCs HCFCs HFCs HFOs 1900s 1990s 2000s 2010s Ozone Depleting Non-Ozone Depleting Low-Global-Warming and Very High Global but High Global Warming Potential and No Ozone Warming Potential Potential Depletion Effect Innovating to Enable Customers to Comply
  • 3.
    Designing Low GWPHFC Replacements F C Honeywell +122 +50 Development 365mfc Solvent +104 +40 Applications Polyurethane +86 +30 Foam Chillers (LP) (Liquid BA) HFO +68 +20 245fa Boiling Point +50 +10 32 0 14 -10 Polyurethane Foam 227ea XPS Foam (Gaseous BA) Aerosol HFO-1234ze -4 -20 Propellants 134a Mobile A/C -30 HFO-1234yf -22 Commercial Refrigeration -40 -40 22, 407C 404A Stationary HFO Blends A/C -50 -50 410A Low Global Warming Products for A Broad Range of Applications
  • 4.
    Next Generation Solutions Auto Air Conditioners Aerosols HFO 1234yf HFO 1234ze • Environment: GWP of 4 vs. 1430 • Environment: GWP of 6 vs. 1430 • Performance: Same Cooling Efficiency • Performance: Meets all Requirements • Safety: SAE International Approved • Safety: Dramatically Safer than HCs • Cost: Near Drop-in Replacement • Cost: Economic in Use Today Commercialized; Plants Being Built Commercialized; Capacity Expanded 3x Blowing Agents Stationary Air Conditioning HFO 1234ze and HBA2 HFO 1234yf and 1234ze • Environment: GWP of 7 vs. >1030 • Environment: >50% GWP reduction • Performance: More Energy Efficient • Performance: Same Energy Efficiency • Safety: Dramatically Safer than HCs • Safety: Dramatic Improvement vs. Flammable Hydrocarbons • Cost: Lower Capital and System Costs • Cost: Solution by Application Commercial In Select Applications Customer Trials; Positive Results Pipeline of 4th Generation Products Being Commercialized
  • 5.
    Solutions for Foam •Extruded Polystyrene - 1234ze Commercialized in 2008-09 - Plant Expanded - Customer Contracts Signed • One Component Polyurethane Foam - 1234ze Commercialized in 2008-09 - Customer Contracts Signed • Two Component Polyurethane Foam - 1234ze and HBA2 in Trials in 2009-11 - Successful Spray Foam Field Trials - Successful Appliance Trials Several Solutions for Foam Being Commercialized
  • 6.
    Polyurethane Foam: BlowingAgents Comparison HCFC Hydro HFC Performance HCFC Hydro HFC HBA2 141b 141b Carbons Carbons 245fa 245fa HBA2 Energy Efficiency t Cost effective Adoption Capital/ Ease Bes 2 – ll HBA vera O ion Lower Cost/Unit S olut Global Warming Impact Environment (direct and indirect) Ozone Depletion Impact Volatile Organics Flammability Safety Toxicity Meets requirements HBA2: Lower-cost, Most Efficient and Environmentally-superior * Specifics will vary by energy efficiency standards and type of refrigerator
  • 7.
    Performance: Efficiency % Energy Efficiency Improvement Comments (refrigerator trial1) • In refrigerator trials, compared to 245fa: • Cyclopentane 8-10% less efficient Hydrocarbon HBA2 • HBA2 2% more efficient (in un-optmized (Cyclopentane) solution; likely to be higher than 2%) (Un-optimized) Baseline 2% 2% • 245fa, HBA2 better than hydrocarbons: (245fa) • Better low-temperature efficiency  saves energy costs 8-10% -10% • Expect similar peformance for spray and panel foam 12% • Lower end-of-life management costs – 6- ient A2 HB e effic r mo an CP th m ste e r sy C P Low t than cos 1) commercial refrigerator trials; unoptimized formulation of HBA2 HBA2: 10-12% More Energy Efficient and Likely Lower System Cost Than Cyclopentane
  • 8.
    Environmental / Safety Lifetime(yrs) Global Warming Potential (GWP) 13.0 1,300 9.3 Very 930 Low Global 7.6 Short-lived 725 Warming 0.1 11 7 CP 141b 245fa 134a HBA2 CP 141b 245fa 134a HBA2 Flammability Volatile Organic Compound (VOC/ POCP) FLAMMABLE NOT FLAMMABLE VOC NOT VOC • 141b • 141b • Cyclopentane • Cyclopentane • 245fa • 245fa • 365mfc • 134a • 134a Permitting issue • HBA2 • 365mfc Higher cost/ risk to Higher cost operate • HBA2 HBA2 Offers Best Environmental Performance
  • 9.
    Transitioning from BlowingAgent 141b Current: Transition to: Assessment Future Impact Performance • May not meet emerging Cyclo- Cost-effective energy standards and may require a 2nd transition to pentane Environment 245fa or HBA2 Today Safety • Solution available today Performance • Will meet energy efficiency Cost-effective 141b 245fa Today standards Environment • Can transition to HBA2 in Safety future to meet GWP 2013+ standards Article V Countries Performance • Most energy efficient blowing agent with very low Cost-effective GWP (7) puts you in the HBA2 Environment best position now and in the future Safety 245fa and HBA2: Low Capital and Cost Transitions From 141b
  • 10.
    Transitioning from Cyclopentane Current: Transition to: Assessment Future Impact Performance • While better positioned to Cost-effective meet new energy 245fa Environment standards, GWP may be an issue down the road Safety Today Cyclo- pentane 2013+ EU China Brazil Performance • Most energy efficient US blowing agent with very Cost-effective low GWP (7) puts you in HBA2 Environment the best position now Safety and in the future 245fa and HBA2 Offer Better Solutions Than Cyclopentane
  • 11.
    Summary • Honeywell iscommercializing a broad pipeline of - Automotive A/C, stationary A/C, foams, solvents - Customer contracts in place - Plants being built • Honeywell already has commercial offerings in Foams - Extruded Polystyrene - One component foam - Spray foam - Appliance foam • HBA2 showing extremely positive results in trials: - High energy performance - Lower cost solution (capital and operating costs) - Best environmental balance - Safe: non-flammable and non toxic • 245fa and HBA2 represent the best transition solution away from 141b Lower-cost, Higher-performance, Environmental, Safe Solutions