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<DIV dir=ltr align=left><SPAN class=843360316-01022006><FONT face=Arial
color=#0000ff size=2>Not sure if this has made the dataloss list
yet...</FONT></SPAN></DIV>
<DIV dir=ltr align=left><SPAN class=843360316-01022006><FONT face=Arial
color=#0000ff size=2></FONT></SPAN> </DIV>
<DIV dir=ltr align=left><SPAN class=843360316-01022006><FONT face=Arial
color=#0000ff size=2>Thought it was timely.</FONT></SPAN></DIV><BR>
<DIV class=OutlookMessageHeader lang=en-us dir=ltr align=left>
<HR tabIndex=-1>
<FONT face=Tahoma size=2><B>From:</B> Parlato LeDonne, Lisa <BR><B>Sent:</B>
Tuesday, January 31, 2006 3:02 PM<BR><B>Subject:</B> Former Employee Found to
Have Disclosed Confidential Data<BR></FONT><BR></DIV>
<DIV></DIV>
<DIV class=Section1>
<P class=MsoNormal><FONT face="Times New Roman" size=3><SPAN
style="FONT-SIZE: 12pt">Dear Colleague:<o:p></o:p></SPAN></FONT></P>
<P class=MsoNormal><FONT face="Times New Roman" size=3><SPAN
style="FONT-SIZE: 12pt"><o:p> </o:p></SPAN></FONT></P>
<P class=MsoNormal><FONT face="Times New Roman" size=3><SPAN
style="FONT-SIZE: 12pt">During the past week, Honeywell has been responding to
the unexpected and unauthorized disclosure of personal data from 2003 for 19,000
current and former employees on a third-party Website. Among the data that
appeared on this Website were employee names, Social Security numbers and bank
account information from that year. <U>All affected individuals have already
been contacted by John McClurg, Vice President of Global Security, Business
Assurance and Risk Management</U>, but I wanted to provide this update to all
<st1:place w:st="on"><st1:country-region
w:st="on">U.S.</st1:country-region></st1:place> employees so everyone can learn
what happened and how we have responded. There are three important points I want
everyone to understand:<o:p></o:p></SPAN></FONT></P>
<P class=MsoNormal><FONT face="Times New Roman" size=3><SPAN
style="FONT-SIZE: 12pt"><o:p> </o:p></SPAN></FONT></P>
<P class=MsoNormal><B><FONT face="Times New Roman" size=3><SPAN
style="FONT-WEIGHT: bold; FONT-SIZE: 12pt">1. Honeywell moved very quickly to
have this information removed from the Internet and to investigate what
happened. </SPAN></FONT></B>Upon learning about the site, we immediately
contacted the Internet service provider and had the page removed, and we
continue to monitor the Internet to ensure that the Webpage and any copies of it
remain taken down. Through the work of our investigators, we have determined who
we believe is responsible for the disclosure. I am pleased to announce that
yesterday we filed a civil lawsuit in U.S. District Court in <st1:place
w:st="on"><st1:State w:st="on">Arizona</st1:State></st1:place> against a
terminated employee. We received an order from the court that will prevent this
individual from making any further disclosures and will allow Honeywell to
recover any company information in his possession. We also are continuing to
cooperate with an ongoing criminal investigation with the FBI.<o:p></o:p></P>
<P class=MsoNormal><FONT face="Times New Roman" size=3><SPAN
style="FONT-SIZE: 12pt"> <o:p></o:p></SPAN></FONT></P>
<P class=MsoNormal><B><FONT face="Times New Roman" size=3><SPAN
style="FONT-WEIGHT: bold; FONT-SIZE: 12pt">2. The company communicated with
affected individuals as quickly as possible. </SPAN></FONT></B>Of the 19,000
individuals who were affected, more than 11,000 have active e-mail addresses on
Honeywell’s system. Within one business day of when we learned about the
Website, John McClurg sent updates on the situation to these individuals as well
as a first-class letter to those affected for whom we did not have e-mail
addresses. Yesterday, John sent another update – his third within the past week
– to the active e-mail addresses, and by now, we have sent first-class letters
to the homes of all 19,000 affected individuals. If you neither received an
e-mail nor a first-class letter from John, you are <U>not</U> among those who
were affected. Watch the Inside Honeywell Intranet home page for further
updates.<o:p></o:p></P>
<P class=MsoNormal><FONT face="Times New Roman" size=3><SPAN
style="FONT-SIZE: 12pt"><o:p> </o:p></SPAN></FONT></P>
<P class=MsoNormal><B><FONT face="Times New Roman" size=3><SPAN
style="FONT-WEIGHT: bold; FONT-SIZE: 12pt">3. The company is taking steps to
protect those who were affected. </SPAN></FONT></B>Honeywell takes the
protection of its employees’ and former employees’ data very seriously. That’s
why we are making credit monitoring <I><SPAN style="FONT-STYLE: italic">and
</SPAN></I>identity theft insurance available to affected individuals free of
charge over the next 12 months. Please note that only current and former
employees whose data was posted on the site are eligible for these services. We
know you’ll join us in respecting the need to ensure this help is reserved for
those whose data was disclosed.<o:p></o:p></P>
<P class=MsoNormal><FONT face="Times New Roman" size=3><SPAN
style="FONT-SIZE: 12pt"><o:p> </o:p></SPAN></FONT></P>
<P class=MsoNormal><FONT face="Times New Roman" size=3><SPAN
style="FONT-SIZE: 12pt">Our One Stop call center has been working busily to
answer employee questions while keeping wait times to a minimum. If you have a
question that needs to be answered right away, call One Stop at 1-877-258-3699
(select 2 for Payroll Services) between 8 a.m. and 6 p.m. EST, Monday through
Friday. If your question can wait, please hold off for a few days, or e-mail One
Stop at <A
href="mailto:payrollcustomerservice@es.honeywell.com">payrollcustomerservice@es.honeywell.com</A>
– they are responding to e-mails within 24 hours.<o:p></o:p></SPAN></FONT></P>
<P class=MsoNormal><FONT face="Times New Roman" size=3><SPAN
style="FONT-SIZE: 12pt"><o:p> </o:p></SPAN></FONT></P>
<P class=MsoNormal><FONT face="Times New Roman" size=3><SPAN
style="FONT-SIZE: 12pt">While we have made progress in addressing this
situation, everybody involved is mindful that much remains to be done. We regret
the inconvenience for those whose data was
disclosed.<o:p></o:p></SPAN></FONT></P>
<P class=MsoNormal><FONT face=Arial color=navy size=2><SPAN
style="FONT-SIZE: 10pt; COLOR: navy; FONT-FAMILY: Arial"><o:p> </o:p></SPAN></FONT></P>
<P class=MsoNormal><FONT face="Times New Roman" size=2><SPAN
style="FONT-SIZE: 11pt; BACKGROUND: yellow"><IMG id=_x0000_i1025 height=75
src="cid:image001.jpg@01C62677.3BEF73B0" width=108 border=0></SPAN></FONT><FONT
size=2><SPAN style="FONT-SIZE: 11pt"><o:p></o:p></SPAN></FONT></P>
<P class=MsoNormal><FONT face="Times New Roman" size=3><SPAN
style="FONT-SIZE: 12pt">Lisa Parlato LeDonne<o:p></o:p></SPAN></FONT></P>
<P class=MsoNormal><FONT face="Times New Roman" size=3><SPAN
style="FONT-SIZE: 12pt">Chief Privacy Officer</SPAN><o:p></o:p></FONT></P>
<P class=MsoNormal><FONT face="Times New Roman" size=3><SPAN
style="FONT-SIZE: 12pt">Chief Labor & Employment
Counsel<o:p></o:p></SPAN></FONT></P>
<P class=MsoNormal><FONT face=Arial color=navy size=2><SPAN
style="FONT-SIZE: 10pt; COLOR: navy; FONT-FAMILY: Arial"><o:p> </o:p></SPAN></FONT></P></DIV></BODY></HTML>