GE-Honeywell Deal Reportedly Clears Hurdle

General Electric Co.’s planned $44-billion purchase of Honeywell International Inc. will be cleared by U.S. antitrust enforcers, people familiar with the decision said. That may pressure European regulators, who oppose the transaction, to follow suit. To win Justice Department approval, the companies agreed to divest production of a turbo-shaft helicopter engine used mainly for military aircraft and another that powers regional jet airliners seating 70 to 100 passengers, the sources said. The disposals by GE, the No. 1 jet engine maker, and Honeywell would address U.S. concern that the combination threatens competition for helicopter and jet engine sales, the sources said. The two also reportedly agreed to certify more companies to overhaul jet engines made by Honeywell. The European Commission is taking a broader look at the takeover, including an examination of whether the combined company would limit competition by bundling sales of GE’s engines with Honeywell’s avionics, the electrical instruments that are the brains of modern jet aircraft. The companies and the Justice Department declined to comment on their negotiations.