Phoenix, January 24, 2026
Phoenix’s aerospace sector is set for significant growth with Honeywell’s Aerospace Technologies business preparing for a spin-off, creating new opportunities and showcasing strong leadership. This move emphasizes Phoenix’s role as an aerospace hub and is expected to stimulate the local economy with job creation and innovation. Key executive appointments further solidify this growth trajectory, positioning the new entity for success in the competitive aerospace market.
Phoenix
Phoenix Aerospace Sector Poised for Growth with Honeywell Spinoff Leadership
Phoenix’s vibrant business landscape is set to further expand as Honeywell’s Aerospace Technologies business prepares for its much-anticipated spin-off. This strategic move highlights the spirit of entrepreneurial innovation within established industries, creating new avenues for growth and showcasing the power of focused leadership in a competitive global market. The announcement of key executive appointments signals a robust foundation for the new independent entity, poised to contribute significantly to the local economy and solidify Arizona’s position as an aerospace hub.
The decision to establish the independent company’s headquarters in Phoenix underscores the region’s appeal for major industrial players. It reflects a business environment that fosters innovation and offers a skilled workforce, vital for a sector as dynamic as aerospace. This upcoming separation provides an opportunity for streamlined operations and specialized investment, potentially leading to accelerated advancements and job creation within the Phoenix AZ business community.
A New Chapter for Phoenix Aerospace
Honeywell plans to spin off its Aerospace Technologies business into an independent, publicly traded company, a move expected to be completed in the second half of 2026. This new entity will be headquartered in Phoenix, Arizona, and is slated to trade on the Nasdaq under the ticker symbol “HONA”. This separation positions the new company to be one of the largest publicly listed pure-play aerospace and defense companies, having reported more than $15 billion in sales in 2024. Such a significant enterprise choosing Phoenix for its base reinforces the city’s growing stature as a center for technological advancement and large-scale industrial operations.
The formation of this new independent company exemplifies a strategic vision focused on maximizing specialized industry potential. By concentrating efforts solely on aerospace and defense, the company aims to enhance its responsiveness and innovation, traits often celebrated in entrepreneurial ventures and critical for sustained economic success.
Strategic Leadership Appointments
To steer this new independent aerospace powerhouse, Honeywell has announced crucial leadership roles. Josh Jepsen, previously the Senior Vice President and Chief Financial Officer of Deere & Company, will join Honeywell Aerospace as its new Chief Financial Officer, effective February 23. His extensive experience of over 20 years in financial and accounting roles, including senior positions across finance, investor relations, and accounting at Deere, provides a strong financial foundation for the new company.
Alongside the new CFO, three longstanding Honeywell executives have been promoted to lead key business units within the aerospace spinoff. These appointments highlight a commitment to leveraging internal talent and deep industry knowledge, fostering a culture of personal achievement and advancement within the organization. These leaders will report directly to Jim Currier, who was previously announced as the President and Chief Executive Officer of Honeywell Aerospace.
Deep Roots and Proven Expertise
The three leaders promoted to oversee the spinoff’s critical business units bring decades of collective experience and a proven track record within Honeywell:
- Bob Buddecke is appointed President and Chief Executive Officer of Electronic Solutions. With more than 27 years at Honeywell, Buddecke’s expertise spans operational excellence, supply chain performance, strategic growth, and cross-business innovation.
- Dave Marinick will serve as President and Chief Executive Officer of Engines & Power Systems. His career at Honeywell spans over 37 years, demonstrating deep expertise in business strategy, engineering leadership, and large-scale program management.
- Rich DeGraff takes on the role of President and Chief Executive Officer of Control Systems. With more than 17 years at Honeywell, coupled with senior roles outside the company, DeGraff’s leadership has emphasized customer engagement, profit and loss ownership, and business growth.
These leadership choices underscore a blend of seasoned experience and a clear vision for the future, essential ingredients for navigating a competitive market and driving innovation in the aerospace industry.
Economic Horizon: A Phoenix Powerhouse
The establishment of Honeywell Aerospace’s headquarters in Phoenix represents a significant boon for the Arizona AZ entrepreneurs and the broader state economy. Honeywell Aerospace currently employs approximately 7,100 to 7,500 individuals in Arizona, primarily in the aerospace sector. The company stands as Arizona’s second-largest defense contractor, securing contracts valued at $657.58 million in fiscal year 2024.
The economic impact of Honeywell Aerospace extends beyond direct employment. The company’s operations in Arizona include purchases exceeding $650 million annually from Arizona-based suppliers, contributing to an estimated payroll close to $1 billion each year. This substantial investment and spending ripple through the local economy, supporting countless Phoenix small business ventures and strengthening the overall economic fabric of the state. The growth of such an anchor institution helps attract further private investment and talent, fostering a virtuous cycle of economic development.
Fostering Growth and Innovation in Arizona
The strategic leadership changes and the planned spinoff are expected to enhance Honeywell Aerospace’s capacity for innovation and market responsiveness. As an independent entity, it will have the agility to pursue tailored growth strategies, which can be a catalyst for new technologies and solutions in the aerospace and defense sectors. This focus on innovation is a testament to the dynamic nature of the industry and the entrepreneurial spirit that drives progress.
Phoenix’s established aerospace ecosystem, supported by a skilled workforce and a favorable business environment, provides fertile ground for the new company’s success. The continued presence and growth of a major player like Honeywell Aerospace are crucial for sustained economic expansion and technological leadership in the region.
The future looks bright for Phoenix’s aerospace sector, with this significant development underscoring the benefits of focused business strategies and strong leadership in driving economic progress and innovation.
FAQ
What is Honeywell doing with its Aerospace Technologies business?
Honeywell plans to spin off its Aerospace Technologies business into an independent, publicly traded company.
Where will the new independent Honeywell Aerospace company be headquartered?
The new independent Honeywell Aerospace company will be headquartered in Phoenix, Arizona.
Who has been appointed as the new Chief Financial Officer for Honeywell Aerospace?
Josh Jepsen, currently Senior Vice President & CFO of Deere & Company, will join Honeywell Aerospace as its Chief Financial Officer.
When is the new CFO’s appointment effective?
Josh Jepsen’s appointment as CFO is effective February 23.
Who are the three leaders promoted for the aerospace spinoff’s business units?
The three leaders promoted are Bob Buddecke (Electronic Solutions), Dave Marinick (Engines & Power Systems), and Rich DeGraff (Control Systems).
When is the spin-off of Honeywell Aerospace expected to be completed?
The spin-off of Honeywell Aerospace is expected to be completed in the second half of 2026.
What was Honeywell Aerospace’s sales revenue in 2024?
Honeywell Aerospace reported more than $15 billion in 2024 sales.
How many employees does Honeywell Aerospace have in Arizona (State-level)?
Honeywell Aerospace has approximately 7,100 to 7,500 employees in Arizona.
What is Honeywell Aerospace’s economic impact in Arizona (State-level) through local suppliers?
Honeywell Aerospace’s operations in Arizona include purchases exceeding $650 million annually from Arizona-based suppliers.
| Feature | Detail | Scope |
|---|---|---|
| Company Status | Independent, publicly traded company | Nationwide |
| Headquarters Location | Phoenix, Arizona | State-level |
| New CFO | Josh Jepsen (from Deere & Company) | Nationwide |
| CFO Effective Date | February 23 | Nationwide |
| Leaders for Business Units | Bob Buddecke (Electronic Solutions), Dave Marinick (Engines & Power Systems), Rich DeGraff (Control Systems) | Nationwide |
| Spin-off Completion | Second half of 2026 | Nationwide |
| 2024 Sales | More than $15 billion | Nationwide |
| Arizona Employees | Approximately 7,100 to 7,500 | State-level |
| Arizona Supplier Purchases | Exceeding $650 million annually | State-level |
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Author: STAFF HERE PHOENIX WRITER
The PHOENIX STAFF WRITER represents the experienced team at HEREPhoenix.com, your go-to source for actionable local news and information in Phoenix, Maricopa County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as the Waste Management Phoenix Open, Cactus League Spring Training, and Arizona State Fair. Our coverage extends to key organizations like the Greater Phoenix Chamber of Commerce and Visit Phoenix, plus leading businesses in technology and healthcare that power the local economy such as Intel and Banner Health. As part of the broader HERE network, including HERETucson.com, we provide comprehensive, credible insights into Arizona's dynamic landscape.
