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HALIFAX, NOVA SCOTIA--(Marketwire - March 26, 2008) - Pratt & Whitney Canada is today launching the second phase of a $45 million investment program designed to increase the long-term competitiveness of its Halifax facility. The company will transform it into a world-class, high-technology assembly and test aerospace centre. Pratt & Whitney Canada (P&WC) is a United Technologies (NYSE:UTX) company.

Since 2006, P&WC has invested $21 million in its Halifax facility to install state-of-the-art manufacturing equipment and to begin sub-assembly of engine components. P&WC will now build a modern engine assembly line and test cell at the facility for an additional investment of $24 million. Starting in the fall of 2009, the new engine centre will have the capability of assembling and testing small to medium-sized turbofan engines. These engines embody the latest materials, fuel efficiency and environmental technologies available.

The new assembly and test line will require advanced training for about 60 employees and create up to 25 new positions in Halifax. The facility currently employs about 360 full time P&WC employees.

"This investment to give the Halifax facility an advanced technology mandate reaffirms our commitment to Nova Scotia for years to come," said Benoit Brossoit, Senior Vice President, Service Centres & Operations, P&WC. "It will also bring important new technologies and skill sets to the province and create exciting opportunities for the local aerospace sector. It will position our Halifax facility as a centre of excellence in aerospace engine manufacturing while strengthening Nova Scotia's positioning in the global aerospace industry."

The Government of Nova Scotia and P&WC will share the new assembly and test line investment. The provincial portion totals a maximum of $12 million and is payable from the Nova Scotia Industrial Expansion Fund.

"This will be the first jet engine assembly and testing facility to be built in Atlantic Canada, an important milestone for the Nova Scotia's growing aerospace and defence sector," said Premier Rodney MacDonald. "We are investing in a world-class facility that will help maintain and grow Pratt & Whitney Canada's presence in Nova Scotia."

"This joint investment with the Nova Scotia government will play an instrumental role in providing highly skilled employment opportunities, while increasing the high-technology content of the work we perform in Nova Scotia," said Brossoit. "We also intend to step up our collaboration efforts with local universities, such as Dalhousie University, on targeted research projects that will help prepare the next generation of highly-skilled aerospace workers here in this province."

The first engine to be assembled and tested, when production begins, will be the PW617 engine. By incorporating the latest innovations in design technology, the PW600 family is opening new possibilities in business travel with the goal of saving time and money, while minimizing the impact on the environment.

Pratt & Whitney Canada, based in Longueuil, Quebec, is a world leader in the design, manufacture and service of aircraft engines powering business, general aviation and regional aircraft and helicopters. The company also manufactures auxiliary power units and industrial gas turbines. United Technologies, based in Hartford, Conn., USA, is a diversified company providing high technology products and services to the global aerospace and building industries.