Textron Updates Fourth Quarter Earnings Outlook; Announces Sale of 25 Percent Interest in AB139 Helicopter

November 21, 2005

Providence, RI – November 21, 2005 – Textron Inc. (NYSE:TXT) today updated its outlook for fourth quarter earnings per share to $1.10 to $1.20 per share, compared to $0.95 to $1.15 previously. The company's revised outlook does not include additional charges that may occur during the fourth quarter if a decision is made that results in Textron Fastening Systems being reported as discontinued operations.

The company's revised outlook primarily reflects the financial impact of the sale of its 25 percent interest in the Agusta Bell 139 helicopter platform to AgustaWestland, the majority partner in the program. The sales transaction is expected to contribute approximately $0.15 to earnings per share in the fourth quarter, which was contemplated in the high end of the range of the company's previous guidance. As with all transactions of this nature, the sale is subject to normal regulatory approvals and other necessary approvals.

The company's revised guidance also reflects a lower tax rate related to the benefit of a prior capital tax loss, resulting in an effective fourth quarter tax rate of about 24 percent, and the favorable impact of additional research cost sharing. The tax rate and research benefits will be more than offset by higher bad debt expenses, product recall costs, slightly higher costs associated with Hurricane Katrina and other miscellaneous items.

Textron Inc. is a $10 billion multi-industry company with 44,000 employees in 40 countries. The company leverages its global network of aircraft, industrial and finance businesses to provide customers with innovative solutions and services. Textron is known around the world for its powerful brands such as Bell Helicopter, Cessna Aircraft, Jacobsen, Kautex, Lycoming, E-Z-GO and Greenlee, among others. More information is available at www.textron.com.

Forward-looking Information: Certain statements in this release may be forward-looking statements. These forward-looking statements speak only as of the date on which they are made, and we undertake no obligation to update or revise any forward-looking statements. These forward-looking statements are subject to risks and uncertainties that may cause actual results to differ materially from those contained in the statements, including the following: (a) the extent to which Textron is able to achieve savings from its restructuring plans; (b) uncertainty in estimating the amount and timing of restructuring charges and related costs; © changes in worldwide economic and political conditions that impact interest and foreign exchange rates; (d) the interruption of production at Textron facilities or Textron's customers or suppliers; (e) Textron's ability to perform as anticipated and to control costs under contracts with the U.S. Government; (f) the U.S. Government's ability to unilaterally modify or terminate its contracts with Textron for the Government's convenience or for Textron's failure to perform, to change applicable procurement and accounting policies, and, under certain circumstances, to suspend or debar Textron as a contractor eligible to receive future contract awards; (g) changes in national or international funding priorities and government policies on the export and import of military and commercial products; (h) the adequacy of cost estimates for various customer care programs including servicing warranties; (i) the ability to control costs and successful implementation of various cost reduction programs; (j) the timing of certifications of new aircraft products; (k) the occurrence of slowdowns or downturns in customer markets in which Textron products are sold or supplied or where Textron Financial offers financing; (l) changes in aircraft delivery schedules or cancellation of orders; (m) the impact of changes in tax legislation; (n) the extent to which Textron is able to pass the cost of inflation, including raw material price increases, through to customers or offset such price increases by reducing other costs; (o)Textron's ability to offset, through cost reductions, pricing pressure brought by original equipment manufacturer customers; (p) Textron's ability to realize full value of receivables and investments in securities; (q) the availability and cost of insurance; ® increases in pension expenses related to lower than expected asset performance or changes in discount rates; (s) Textron Financial's ability to maintain portfolio credit quality; (t) Textron Financial's access to debt financing at competitive rates; (u) uncertainty in estimating contingent liabilities and establishing reserves to address such contingencies; (v) performance of acquisitions; (w) the efficacy of research and development investments to develop new products; and (x) bankruptcy or other financial problems at major suppliers or customers that could cause disruptions in Textron's supply chain or difficulty in collecting amounts owed by such customers.

Connect with Textron IR

Eric Salander, Vice President, Investor Relations
(401) 457-2288
Cameron Vollmuth, Manager,
Investor Relations (401) 457-2288

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