They're not too many companies that can shrug off a $295 million regulatory fine and still meet earnings expectations. But then again, there are not that many companies like UTC -- especially when it comes to procurement and operations investment and success. According to one financial note on the company, "George David, UTC's chairman and chief executive officer, said that despite absorbing a charge in the first quarter, he still expects earnings per share of between $4.05 and $4.20 for 2007."
Over the years, UTC has been a true pioneer in the adoption and use of e-sourcing, e-procurement, supply risk management, supplier development and related technologies and solutions. They've also hired and trained some of the best of the best in the procurement and operations world. Some remain. Many have left. But their efforts over the years -- as well as their willingness to work with both small innovative providers as well as industry giants ahead of their competition -- have helped UTC to thrive in a competitive global environment. Purchasing recognized their success last year by awarding them their medal of excellence. But Wall Street continues to recognize them today, granting them a comparable P/E to GE.