WASHINGTON (Reuters) - United Technologies Corp (UTX.N) said on Thursday the U.S. State Department would impose partial curbs on new exports by the company’s Pratt & Whitney Canada unit as part of an agreement with the U.S. government settling export control violations.
The company said the partial debarment would not affect the parent company or its Hamilton Sundstrand unit, and would also not apply to any of the Canadian unit’s existing export licenses.
It said Pratt & Whitney Canada could seek other export licenses on a case-by-case basis, and would be eligible to apply for full reinstatement after one year.
“The debarment will not affect existing export licenses, nor will it affect P&WC’s ability to continue to perform existing programs for the U.S. government, NATO members and certain other U.S. allies,” it said.
It also noted that there would be no layoffs or furloughs as a result.
Reporting By Andrea Shalal-Esa; Editing by Gerald E. McCormick