ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF | |
| THE SECURITIES EXCHANGE ACT OF 1934 | |
| For the fiscal year ended December 31, | |
| OR | |
| o | TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF |
| THE SECURITIES EXCHANGE ACT OF 1934 | |
For the transition period from to | |
| Delaware | 95-4647021 | |
| (State or other jurisdiction of | (I.R.S. Employer | |
| incorporation or organization) | Identification No.) | |
| 6001 36th Avenue West, Everett, WA | 98203-1264 | |
| (Address of principal executive offices) | (Zip Code) |
| Title of each class | Name of each exchange on which registered | |
| Common Stock, par value $0.01 per share | New York Stock Exchange | |
Yes ý | No o |
Yes o | No ý |
Yes ý | No o |
Yes ý | No o |
| ý |
Large | Accelerated | |||
Non-accelerated filer o | Smaller reporting company | |||
| (Do not check if a smaller reporting company) |
Yes o | No ý |
Page Number | |||||
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| Item 4. | 11 | ||||
PART II. | |||||
PART III. | |||||
PART IV. | |||||
| ITEM 1. | BUSINESS (continued) |
● | Mobile Computers: Our mobile computer product line includes handheld computers and forklift-mounted computers that support local-area, wide-area and Internet-enabled voice and data communications, enterprise-class software applications and data storage capabilities. These devices often include barcode scanning, GPS and RFID features. |
● | Printers and Label Media: We sell fixed, desktop and portable barcode and RFID printers ranging from low-cost, light-duty models to higher-cost, heavy-duty models. Our specialty printers provide custom capabilities, including a global language enabler and high resolution printing that produces sharp typefaces and precise graphics even on ultra-small labels of the type used in the electronics industry. Our label media product line includes pressure-sensitive bar code labels, thermal transfer ribbons, RFID smart labels as well as custom-designed labels for specialized environments or applications. |
● | Bar Code |
● | RFID Products: We sell fixed, handheld and forklift-mounted RFID readers, high value rigid RFID tags and high value inserts for RFID tags. Our RFID product line is focused on passive UHF technology and complies with the EPCglobal Generation 2 UHF standard and similar standards around the world. |
● | Our Repair Services programs provide customers with post-warranty repair or replacement of defective or damaged devices or device components and provide spare devices that customers can use while defective or damaged devices are being repaired. These repair programs cover Intermec’s mobile computers, scanners and printers and selected non-Intermec products. The programs are available on an annual pre-paid basis for one, three or five years depending on product type and manufacturer. We offer “next business day” and “second business day” onsite repair options as well as “two business day” and R 20;five business day” depot repair options. |
● | Our Advanced Services consist of wireless site surveys and assessments; project management, testing, storage and staging of our products; truck and forklift installations; activation of our cellular products; loading of custom or specialized software onto our products; and software consulting services. |
● | Our Education Services include the development and delivery of training programs and materials to help end users become proficient in the use of our products and adapt to the new business processes supported by our products. Our training materials and programs can be delivered at the customer’s site or on-line. |
● | Our Support Services unit consists of factory-trained specialists who can address problems with our hardware or software or with the networks or systems that incorporate our products. These technical support services are delivered on-line or by telephone. |
● | Our Managed Services offering was introduced in 2010 and |
| ITEM 1. | BUSINESS (continued) |
| ● | Warehouses and Distribution Centers. Workers in warehouses and distribution centers perform a variety of tasks, including: receiving and putting away goods, picking, packing, loading and transferring goods, checking inventory and performing cycle counts. Our solutions help to simplify and speed up these processes and improve the accuracy of the results by automating data capture and wirelessly confirming, synchronizing and updating data between mobile devices, warehouse management systems and other enterprise resource planning systems. |
| ● | Direct Store Delivery (“DSD”). DSD is the delivery of consumer goods from a supplier or a distributor directly to a retail store, bypassing a warehouse. DSD activities typically include physical delivery and return of merchandise as well as store-level forecasting, ordering, pricing, promotion, invoicing, shelf merchandising and inventory management. With our solutions, customers can electronically manage DSD activities while they are in progress in the field. This makes it possible for our customers to increase revenues and cut costs with just-in-time inventory replenishment, on-the-fly price updates, confirmations and similar business process tools. |
| ● |
| ● | Postal and Courier Express Parcel. Private and public postal and courier express parcel (“CEP”) firms have many employees picking up, sorting, transporting and delivering mail and packages. With our business solutions, critical information and capabilities can be provided to and received from the field. These include, for example, address confirmation or correction, dynamic rate and pricing information, dynamic routing and navigation systems, pickup and delivery confirmation, package location and field-triggered billing and payment processes. These capabilities can help our postal and CEP customers to increase their revenues, speed up revenue recognition and cash collection and decrease costs. |
| ITEM 1. | BUSINESS (continued) |
| ITEM 1. | BUSINESS |
| Name | Age | Position with Company and Principal Business Affiliations During Past Five Years | |||
Patrick J. Byrne | 50 | Chief Executive Officer and President, and member of the Board of Directors since July 2007. Prior to joining Intermec, Mr. Byrne served as a Senior Vice President of Agilent Technologies Inc., a bio-analytical and electronic measurement company, and President of its Electronic Measurement Group from February 2005 to March 2007. Prior to assuming that position, Mr. Byrne served as Vice President and General Manager for Agilent’s Electronic Products and Solutions Group's Wireless Business Unit from September 2001 to February 2005. | |||
Robert J. Driessnack | 52 | Senior Vice President and Chief Financial Officer since January 19, 2009. Prior to his appointment as our Chief Financial Officer, Mr. Driessnack served as Vice President and Controller of HNI Corporation, a manufacturer and distributor of office furniture and hearth products, from 2004 until joining Intermec. | |||
Janis L. Harwell | 56 | Senior Vice President and General Counsel since September 2004 and Corporate Secretary since January 2006. In February 2009, Ms. Harwell also was appointed Senior Vice President Corporate Strategy. | |||
Dennis A. Faerber | 58 | Senior Vice President, Global Supply Chain Operations and Global Services, of Intermec Technologies Corporation, since February 2008 for Global Supply Chain Operations, and since February 2009 for Global Services. Prior to joining Intermec, Mr. Faerber was employed by Applied Materials, Inc. from January 2007 through January 2008 as Corporate Vice President (Global Supply Chains) and by KLA-Tencor Corporation from March 2004 through January 2007 as Group Vice President and Chief Quality Officer. | |||
James P. McDonnell | 56 | Senior Vice President, Global Sales of Intermec Technologies Corporation, since January 2010. Prior to joining Intermec, Mr. McDonnell was Vice President of Global Sales-Enterprise Storage and Servers Group at Hewlett-Packard from 2007 to January 2010. Prior to assuming that position, Mr. McDonnell was Senior Vice President, Solutions Partners Organization for Hewlett-Packard, from 2004 to 2007. | |||
Earl R. Thompson | 49 | Senior Vice President, Mobile Solutions Business Unit since October 2008. Mr. Thompson previously served as Vice President and General Manager of our Printer/Media Business from April 2008 to October 2008. Prior to joining Intermec, Mr. Thompson was Vice President and General Manager, Wireless Division of Agilent Technologies, Inc. from 2004 to 2007. | |||
| RISK FACTORS |
The AIDC industry is characterized by rapid technological change, and our success depends upon the frequent enhancement of existing products and timely introduction of new products that meet our customers’ needs. Customer requirements for AIDC products are rapidly evolving and technological changes in our industry occur rapidly. To keep up with new customer requirements and distinguish Intermec from our competitors, we must frequently introduce new products and enhancements of existing products. Enhancing existing products and developing new products is a complex and uncertain process. It often requires significant investments in research and development (“R&D”). We may not have adequate resources to invest in R&D that will keep pace with technological changes in our industry. Even if we made adequate investme nts in R&D, they may not result in products attractive or acceptable to our customers. Furthermore, we may not be able to launch new or improved products before our competition launches comparable products. Any of these factors could cause our business or financial results to suffer. |
| ● | Introduction of new products could render our existing products obsolete, which could have an adverse effect on our financial results. Rapid technological change, whether through our own or our competitors’ introduction of new products or technologies, could render our products obsolete. This may reduce sales volumes, or it may result in substantial excess or obsolete inventories, or both. In such event, we might have to sell all or a portion of the excess or obsolete inventory at a substantial discount to the planned resale price or the cost of making or acquiring that inventory and write off the difference. If we are unable to anticipate the obsolescence of our products or do not mitigate the risk of product obsolescence, our financial results could be materially and adversely affected. |
| ● | Some of our competitors are substantially larger and more profitable than we are, which may give them a competitive advantage. We operate in a highly competitive industry. Recent consolidation in the AIDC industry has resulted in larger and potentially stronger competitors, and we expect competition to continue to intensify. Some of these competitors have substantially more revenue or profit than we do. This may allow them to invest more in R&D, sales and marketing, and customer support than we can or to achieve more efficient economies of scale in manufacturing and distribution. It may also allow them to acquire or make complementary products that alone or in combination with other AIDC products could afford them a competitive advantage. These advantages may enable our larger competitors to weather market down turns longer or adapt more quickly to emerging technology developments, market trends or price declines than we can. Those competitors may also be able to precipitate such market changes by introducing new technologies, reducing their prices or otherwise changing their activities. This competition may also require us to reduce our prices, thereby lowering our margins. There is no assurance that our strategies to counteract our competitors’ advantages will successfully offset all or a portion of this scale imbalance. Our efforts to counteract this scale imbalance may result in the reduction of revenue or an increase in costs, which could materially and adversely affect our earnings. In addition, if we are unable to offset all or a significant portion of this imbalance, our earnings may be materially and adversely affected. |
| ● | Further consolidation of the AIDC industry through business combination, strategic alliances and similar transactions could intensify competition and create other risks for our business. Our industry could experience a new series of acquisitions, joint ventures, strategic alliances or private equity transactions. These events could alter the structure of the AIDC industry and intensify competition within our industry by expanding the presence of companies that have greater business and financial resources than the firms they acquired or by increasing the market share of some companies in our industry. Such increased competition could have material adverse impacts to our market share, revenues, revenue growth and results of operations. There is no assurance that any of the strategies that we employ to respond to the structural changes and related increased competition will be successful. |
| ● | As part of our growth strategy, we may acquire or make investments in other businesses, patents, technologies, products or services, and our failure to do so successfully may adversely affect our competitive position or financial results. We have made and expect to continue to make acquisitions or investments to expand our suite of products and services. Our growth could be hampered if we are unable to identify suitable acquisitions and investments or agree on the terms of any such acquisition or investment. We may not be able to consummate any such transaction if we lack sufficient resources to finance the transaction on our own and cannot obtain financing at a reasonable cost. If we are not able to complete such acquisitions and successfully integr ate them, or to complete investments and successfully realize the intended benefits of them, our competitive position may suffer, which could have adverse impacts on our revenues, revenue growth and results of operations. |
| ● | In addition to the customary risks of business combinations, our pending acquisition of Vocollect, Inc. presents specific risks for our business. There are numerous factors that may affect the success of our acquisition of Vocollect, some of which are outlined in the next Risk Factor. In addition, the success of that acquisition will depend on our ability to leverage the Vocollect products to enable us to expand our position in the warehouse market and our ability to successfully integrate and market the Vocollect products. If we are unable to achieve those goals, we may not realize all of the benefits anticipated or intended from the Vocollect acquisition. |
| ITEM 1A. | RISK FACTORS (Continued) |
● | Our acquisition of Vocollect and other business combinations and acquisition transactions may not succeed in generating the intended benefits and, may, therefore, adversely affect shareholder value or our financial results. Integration of new businesses or technologies into our business may have any of the following adverse effects: |
| ● | We may have difficulty transitioning customers and other business relationships to Intermec. |
| ● | We may have problems unifying management following a transaction. |
| ● | We may lose key employees from our existing or acquired businesses. |
| ● | We may experience intensified competition from other companies seeking to expand sales and market share during the integration period. |
| ● | Our management’s attention may be diverted to the assimilation of the technology and personnel of acquired businesses or new product or service lines. |
| ● | We may experience difficulties in coordinating geographically disparate organizations and corporate cultures and integrating management personnel with different business backgrounds. |
● | Business combinations and other acquisition transactions may have a direct adverse effect on our financial condition, results of operations or liquidity, or on our stock price. In order to complete such transactions, we may have to use cash, issue new equity securities with dilutive effects on existing stockholders, take on new debt, assume contingent liabilities or amortize assets or expenses in a manner that might have a material adverse effect on our balance sheet, results of operations or liquidity. We are required to record certain acquisition-related costs and other items as current period expenses, which would have the effect of reducing our reported earnings in the period in which an acquisition is consummated. We are also required to record post-closing goodwill or other long-lived asset impairment charges in the period i n which they occur, which could result in a significant charge to our earnings in that period. These and other potential negative effects of an acquisition transaction could prevent us from realizing the benefits of such transactions and have a material adverse impact on our stock price, revenues, revenue growth, balance sheet, results of operations and liquidity. |
● | Our business may be adversely affected if we do not continue to improve our business processes and systems and transform our supply chain or if those efforts have unintended results. In order to increase sales and profits, we must continue to expand our operations into new product and geographic markets and deepen our penetration of the markets we currently serve, and do so in ways that are cost effective and efficient from an operational and a tax perspective. To achieve our objectives, we |
Macroeconomic conditions beyond our control could lead to decreases in demand for our products, reduced profitability or deterioration in the quality of our accounts receivable. Domestic and international economic, political and social conditions are uncertain due to a variety of factors, |
Our business depends on our customers’ demand for our products and services, the general economic health of current and prospective customers, and their desire or ability to make investments in technology. A deterioration of global, regional or local political, economic or social conditions could affect potential customers in ways that reduce demand for our products and disrupt our manufacturing and sales plans and efforts. These global, regional or local conditions may also cause governments to change their spending priorities, which may delay, reduce or eliminate funding for our products and services. Acts of terrorism, wars, public health issues and increased energy costs could disrupt commerce in ways that could impair our supply chain an d our ability to get products to our customers and increase our manufacturing and delivery costs. Changes in foreign currency exchange rates may negatively impact reported revenue and expenses. In addition, our sales are typically made on unsecured credit terms that are generally consistent with the prevailing business practices in the country in which the customer is located. A deterioration of political, economic or social conditions in a given country or region could reduce or eliminate our ability to collect accounts receivable in that country or region. In any of these events, our results of operations could be materially and adversely affected. |
| ITEM 1A. | RISK FACTORS |
We face risks as a global company that could adversely affect our revenues, gross profit margins and results of operations. Due to the global nature of our business, we face risks that companies operating in a single country or region do not have. U.S. and foreign government restrictions on the export or import of technology could prevent us from selling some or all of our products in one or more countries. Our sales could also be materially and adversely affected by burdensome laws, regulations, security requirements, tariffs, quotas, taxes, trade barriers or capital flow restrictions imposed by the U.S. or foreign governments. In addition, political and economic instability in a particular country or region could reduce demand for our products or impair or eliminate our ability to sell or deliver those products to customers in those countries or put our assets at risk. Any of the foregoing factors could adversely affect our ability to continue or expand sales of our products in any market, and disruptions of our sales could materially and adversely impact our revenues, revenue growth, gross profit margins and results of operations. |
| A significant percentage of our products and their components are designed, manufactured, produced, delivered, serviced or supported in countries outside of the U.S. From time to time, we contract with companies outside of the U.S. to perform one or more of these activities, or portions of these activities. For operational, legal or other reasons, we may have to change the mix of domestic and international operations or move outsourced activities from one overseas vendor to another. In addition, U.S. or foreign government actions or economic or political instability and potentially weaker foreign IP protections may disrupt or require changes in our international operations or international outsourcing arrangements. The process of implementing such changes and dealing with such disruptions is complex and can be expensive. There is no a ssurance that we will be able to accomplish these tasks in an efficient or cost-effective manner, if at all. If we encounter difficulties in making such transitions, our revenues, gross profit margins and results of operations could be materially and adversely affected. |
| We are also subject to risks that our employees, contractors, representatives or agents could conduct our operations outside the U.S. in ways that violate the U.S. Foreign Corrupt Practices Act or other similar anti-bribery laws. Although we have policies and procedures to comply with those laws, our employees, contractors, representatives and agents may take actions that violate our policies. Any such violations could have a negative impact on our business. Moreover, third-party sales representatives or other agents that help sell our products or provide other services may violate our anti-bribery policies and procedures, because it may be more difficult for us to oversee their conduct. |
● | Growth of and changes in our revenues and profits depend on the customer, product and geographic mix of our sales. Fluctuations in our sales mix could have an adverse impact on or increase the volatility of our revenues, gross margins and profits. Sales of our products to large enterprises tend to have lower prices and gross margins than sales to smaller firms. In addition, our gross margins vary depending on the product or service and the geographic region in which sales are made. Growth in our revenues and gross margins therefore depends on the customer, product and geographic mix of our sales. Our introduction of lower-priced products may also affect our ability to sell high-end products, even if those products have a dvanced features. In addition, our distributors, dealers and resellers can have a significant impact on the mix of our products and services. If we are unable to execute a sales strategy that results in a favorable sales mix, our revenues, gross margins and earnings may decline. Further, changes in the mix of our sales from quarter-to-quarter or year-to-year may make our revenues, gross margins and earnings more volatile and difficult to predict. |
● | Our reliance on third-party distributors could adversely affect our business and operating results. In addition to offering our products to certain customers and resellers directly, we rely to a significant and increasing degree on third-party distributors and to sell our products to end-users. In 2009 and 2010, one distributor, ScanSource, Inc., accounted for more than 10% of our sales, and it or other distributors may account for a substantial portion of our sales in the future. Changes in markets, customers or products, or negative developments in general economic and financial conditions and the availability of credit, may adversely affect the ability of these distributors to bring our products to market at the right time and in the right locations. In addition, our competitors’ strategic relationships with or acquisitions of these distributors could disrupt our relationships with them. Any such disruption in the distribution of our products could impair or delay sales of our products to end users and increase our costs of distribution, which could adversely affect our sales or income. |
| ● | We |
| RISK FACTORS (Continued) |
| ● | Use of third-party suppliers and service providers could adversely affect our product quality, delivery schedules or customer satisfaction, any of which could have an adverse effect on our financial results. Third-party suppliers that we approve will be providing the components that |
Our inability to successfully defend or enforce our intellectual property rights could adversely affect the growth of our business and results of operations. To protect our IP portfolio, we may be required to initiate patent infringement lawsuits. IP infringement lawsuits are complex proceedings, and the results are very difficult to predict. There is no assurance that we will prevail in all or any of these cases or that we will achieve the desired outcome in terms of injunctive relief or damages or that the other parties will be able to pay the damages awarded. Adverse results in such lawsuits could give competitors the legal right to compete with us and with our licensees using technology that is similar to or the same as ours. Adverse outcomes in IP lawsuits could also reduce our royalty revenues. In some periods, IP |
● | Our inability to successfully defend ourselves from the intellectual property infringement claims of others could have an adverse affect on the growth of our business and results of operations. Our competitors, our potential competitors and other companies may have IP rights covering products and services similar to those we market and sell. These firms may try to use their IP |
● | Our failure to expand our IP portfolio could adversely affect the growth of our business and results of operations. Expansion of our IP portfolio is one of the available methods of growing our revenues and our profits. This involves a complex and costly set of activities with uncertain outcomes. Our ability to obtain patents and other IP can be adversely affected by insufficient inventiveness of our employees, by changes in IP laws, treaties, and regulations, and by judicial and administrative interpretations of those laws treaties and regulations. Our ability to expand our IP portfolio could also be adversely affected by the lack of valuable IP for sale or license at affordable prices. There is no assurance that we will be able to obtain valuable IP in the jurisdictions where we and our competit ors operate or that we will be able to use or license that IP or that we will be able to generate meaningful royalty revenue or profits from our IP. |
● | Estimating our income tax rate is complex and subject to uncertainty. The computation of income tax expense (benefit) is complex because it is based on the laws of numerous taxing jurisdictions and requires significant judgment on the application of complicated rules governing accounting for tax provisions under accounting principles generally accepted in the United States. Income tax expense (benefit) for interim quarters is based on a forecast of our global tax rate for the year, which includes forward looking financial projections. Such financial projections are based on numerous assumptions, including the expectations of profit and loss by jurisdiction. It is difficult to accurately forecast various items that make up the projections, and such items may be treated a s discrete accounting. Examples of items that could cause variability in our income tax rate include our mix of income by jurisdiction, tax deductions for stock option expense, the application of transfer pricing rules, tax audits and changes to our valuation allowance for deferred tax assets. Future events, such as changes in our business and the tax law in the jurisdictions where we do business, could also affect our rate. For these reasons, our global tax rate may be materially different than our estimate. |
● | If we do not generate sufficient future taxable income, we may be required to recognize additional deferred tax asset valuation allowances. The value of our deferred tax assets depends, in part, on our ability to use them to offset taxable income in future years. If we are unable to generate sufficient future taxable income in the U.S. and certain other jurisdictions, or if there are significant changes in tax laws or the tax rates or the period within which the underlying temporary differences become taxable or deductible, we could be required to increase our valuation allowance against our deferred tax assets. Such an increase would result in an increase in our effective tax rate and have a negative impact on our operating results. If our estimated future taxable income is increased, the valuation allowances for deferred tax as sets may be reduced. These changes may also contribute to the volatility of our financial results. |
| ITEM 1A. | RISK FACTORS (Continued) |
| ● | If we do not comply with agreements that we have made in certain jurisdictions, we may lose favorable tax treatment that results from those agreements. In some jurisdictions in which we operate, favorable tax rates and other tax benefits are subject to our compliance with agreements that we have with relevant governmental agencies. If we are unable to satisfy the requirements of those agreements, our tax rate in that jurisdiction might increase or we might lose certain tax benefits, which could have a material adverse effect on our effective tax rate or our financial results. |
| ● | We may have additional tax liabilities. Our tax expense may be impacted if our intercompany transactions, which are required to be computed on an arm’s-length basis, are challenged and successfully disputed by the tax authorities. In determining the adequacy of income taxes, we assess the likelihood of adverse outcomes resulting from the Internal Revenue Service (IRS) and other tax authorities’ examinations. The IRS and tax authorities in countries where we do business regularly examine our tax returns. The ultimate outcome of these examinations cannot be predicted with certainty. Should the IRS or other tax authorities assess additional taxes as a |
● | Fluctuations in currency exchange rates may adversely impact our |
Global regulation and regulatory compliance, including environmental, technological and standards setting regulations, may limit our sales or increase our costs, which could adversely impact our revenues and results of operations. We are subject to domestic and international technical and environmental standards and regulations that govern or influence the design, components or operation of our products. Such standards and regulations may also require us to pay for specified collection, recycling, treatment and disposal of past and future covered products. Our ability to sell AIDC products in a given country and the gross margins on products sold in a given country could be affected by such regulations. We are also subject to self-imposed standards setting activities sponsored by organizations such as ISO, AIM, IEEE and EPCglobal that |
| prevent us from selling one or more of our products in a particular |
● | increase our cost of supplying our products by requiring us to redesign existing products or to use more expensive designs or components; |
● | require us to obtain services or create infrastructure in a particular country to address collection, recycling and similar obligations; or |
● | require us to license our patents on a royalty free basis and prevent us from seeking damages and injunctive relief for patent infringements. |
● |
Our business may be adversely affected if we are unable to attract and retain skilled managers and employees. Competition for skilled employees is high in our industry, and we must remain competitive in terms of compensation and other employee benefits to retain key employees. If we are unsuccessful in hiring and retaining skilled managers and employees, we will be unable to maintain and expand our business. |
| UNRESOLVED STAFF COMMENTS |
| PROPERTIES |
Washington | ||||
217,876 | ||||
| Iowa | 184,927 | |||
Ohio | 97,483 | |||
Other states | 47,868 | |||
Total | 548,154 |
| ● | Approximately 94,000 square feet held under lease, previously used for manufacturing in Everett, WA. |
● | Plants or offices that, when added to all other of our plants and offices in the same city, have a total floor area of less than 10,000 square feet. |
| ● |
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| LEGAL PROCEEDINGS |
| MARKET FOR THE REGISTRANT’S COMMON EQUITY, RELATED SHAREHOLDER MATTERS AND ISSUER PURCHASES OF EQUITY SECURITIES |
| Year Ended December 31, | ||||||||||||||||
| 2010 | 2009 | |||||||||||||||
| High | Low | High | Low | |||||||||||||
First Quarter | $ | 15.60 | $ | 12.67 | $ | 14.50 | $ | 8.68 | ||||||||
Second Quarter | 14.49 | 10.14 | 12.80 | 9.98 | ||||||||||||
Third Quarter | 12.13 | 9.51 | 15.64 | 12.02 | ||||||||||||
Fourth Quarter | 13.08 | 11.17 | 15.16 | 10.36 | ||||||||||||
| Year Ended December 31, | ||||||||||||||||
| 2009 | 2008 | |||||||||||||||
| High | Low | High | Low | |||||||||||||
| First Quarter | $ | 14.50 | $ | 8.68 | $ | 24.86 | $ | 17.53 | ||||||||
| Second Quarter | 12.80 | 9.98 | 24.96 | 19.56 | ||||||||||||
| Third Quarter | 15.64 | 12.02 | 23.00 | 15.09 | ||||||||||||
| Fourth Quarter | 15.16 | 10.36 | 19.65 | 9.29 | ||||||||||||
| 12/04 | 12/05 | 12/06 | 12/07 | 12/08 | 12/09 | 12/05 | 12/06 | 12/07 | 12/08 | 12/09 | 12/10 | |||||||||||||||||||||||||||||||||||||
| Intermec, Inc | 100 | 133.65 | 95.97 | 80.31 | 52.51 | 50.85 | 100.00 | 71.80 | 60.09 | 39.29 | 38.05 | 37.46 | ||||||||||||||||||||||||||||||||||||
| S&P Midcap 400 | 100 | 112.55 | 124.17 | 134.08 | 85.5 | 117.46 | 100.00 | 110.32 | 119.12 | 75.96 | 104.36 | 132.16 | ||||||||||||||||||||||||||||||||||||
| S&P 1500 Electronic Equipment & Instruments | 100 | 123.47 | 137.28 | 156.26 | 89.64 | 127.23 | 100.00 | 113.20 | 143.62 | 97.34 | 112.44 | 129.13 | ||||||||||||||||||||||||||||||||||||
| SELECTED FINANCIAL DATA |
| Year Ended December 31, | Year Ended December 31, | |||||||||||||||||||||||||||||||||||||||
| 2009 | 2008 | 2007 | 2006 | 2005 | 2010 | 2009 | 2008 | 2007 | 2006 | |||||||||||||||||||||||||||||||
| Operating Results: | ||||||||||||||||||||||||||||||||||||||||
| Revenues | $ | 658.2 | $ | 890.9 | $ | 849.2 | $ | 850.0 | $ | 875.5 | $ | 679.1 | $ | 658.2 | $ | 890.9 | $ | 849.2 | $ | 850.0 | ||||||||||||||||||||
| Operating (loss) profit from continuing operations (a) | $ | (19.5 | ) | $ | 47.0 | $ | 37.4 | $ | 36.7 | $ | 58.6 | |||||||||||||||||||||||||||||
Operating profit (loss) from continuing operations (a) | $ | 0.3 | $ | (19.4 | ) | $ | 47.0 | $ | 37.4 | $ | 36.7 | |||||||||||||||||||||||||||||
| (Loss) earnings from continuing operations | (10.8 | ) | 35.7 | 24.4 | 35.0 | 40.7 | (5.3 | ) | (10.8 | ) | 35.7 | 24.4 | 35.0 | |||||||||||||||||||||||||||
| (Loss) earnings from discontinued operations | (1.0 | ) | - | (1.3 | ) | (3.0 | ) | 21.1 | ||||||||||||||||||||||||||||||||
Loss from discontinued operations | - | (1.0 | ) | - | (1.3 | ) | (3.0 | ) | ||||||||||||||||||||||||||||||||
| Net (loss) earnings | $ | (11.8 | ) | $ | 35.7 | $ | 23.1 | $ | 32.0 | $ | 61.8 | $ | (5.3 | ) | $ | (11.8 | ) | $ | 35.7 | $ | 23.1 | $ | 32.0 | |||||||||||||||||
| Basic (loss) earnings per share | ||||||||||||||||||||||||||||||||||||||||
Basic (loss) earnings per share: | ||||||||||||||||||||||||||||||||||||||||
| Continuing operations | $ | (0.17 | ) | $ | 0.58 | $ | 0.40 | $ | 0.56 | $ | 0.66 | $ | (0.09 | ) | $ | (0.17 | ) | $ | 0.58 | $ | 0.40 | $ | 0.56 | |||||||||||||||||
| Discontinued operations | (0.02 | ) | - | (0.02 | ) | (0.05 | ) | 0.34 | - | (0.02 | ) | - | (0.02 | ) | (0.05 | ) | ||||||||||||||||||||||||
| Net (loss) earnings per share | $ | (0.19 | ) | $ | 0.58 | $ | 0.38 | $ | 0.51 | $ | 1.00 | $ | (0.09 | ) | $ | (0.19 | ) | $ | 0.58 | $ | 0.38 | $ | 0.51 | |||||||||||||||||
| Diluted (loss) earnings per share | ||||||||||||||||||||||||||||||||||||||||
Diluted (loss) earnings per share: | ||||||||||||||||||||||||||||||||||||||||
| Continuing operations | $ | (0.17 | ) | $ | 0.58 | $ | 0.40 | $ | 0.55 | $ | 0.64 | $ | (0.09 | ) | $ | (0.17 | ) | $ | 0.58 | $ | 0.40 | $ | 0.55 | |||||||||||||||||
| Discontinued operations | (0.02 | ) | - | (0.02 | ) | (0.05 | ) | 0.34 | - | (0.02 | ) | - | (0.02 | ) | (0.05 | ) | ||||||||||||||||||||||||
| Net (loss) earnings per share | $ | (0.19 | ) | $ | 0.58 | $ | 0.38 | $ | 0.50 | $ | 0.98 | $ | (0.09 | ) | $ | (0.19 | ) | $ | 0.58 | $ | 0.38 | $ | 0.50 | |||||||||||||||||
| (In thousands) | ||||||||||||||||||||||||||||||||||||||||
| Shares used for basis (loss) earnings per share | 61,644 | 61,183 | 60,359 | 62,535 | 61,785 | |||||||||||||||||||||||||||||||||||
Shares used for basic (loss) earnings per share | 61,364 | 61,644 | 61,183 | 60,359 | 62,535 | |||||||||||||||||||||||||||||||||||
| Shares used for diluted (loss) earnings per share | 61,644 | 61,658 | 61,163 | 63,830 | 63,350 | 61,364 | 61,644 | 61,658 | 61,163 | 63,830 | ||||||||||||||||||||||||||||||
| Financial Position (at end of year): | ||||||||||||||||||||||||||||||||||||||||
| Total assets | $ | 771.4 | $ | 789.9 | $ | 900.6 | $ | 810.3 | $ | 902.7 | $ | 749.3 | $ | 771.8 | $ | 789.9 | $ | 900.6 | $ | 810.3 | ||||||||||||||||||||
| Working capital | $ | 352.3 | $ | 371.4 | $ | 323.5 | $ | 350.2 | $ | 440.4 | $ | 331.5 | $ | 352.3 | $ | 371.4 | $ | 323.5 | $ | 350.2 | ||||||||||||||||||||
| Current ratio | 3.2 | 3.1 | 2.0 | 3.0 | 3.0 | 3.2 | 3.2 | 3.1 | 2.0 | 3.0 | ||||||||||||||||||||||||||||||
| (a) | Includes restructuring charges of $2.8 million in 2010, $20.6 million in 2009, $5.7 million in 2008 and $11.6 million in 2006. Also includes pre-tax gains on IP settlements of $16.5 million in 2006. |
| MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS |
| ITEM 7. | MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS (Continued) |
| Year Ended December 31, | ||||||||||||||||||||||||
| 2009 | 2008 | 2007 | ||||||||||||||||||||||
| Amounts | Percent of Revenues | Amounts | Percent of Revenues | Amounts | Percent of Revenues | |||||||||||||||||||
| Revenues | $ | 658.2 | $ | 890.9 | $ | 849.2 | ||||||||||||||||||
| Costs and expenses: | ||||||||||||||||||||||||
| Cost of revenues | 409.6 | 62.2 | % | 536.1 | 60.2 | % | 522.4 | 61.5 | % | |||||||||||||||
| Research and development | 59.6 | 9.1 | % | 67.9 | 7.6 | % | 68.7 | 8.1 | % | |||||||||||||||
| Selling, general and administrative | 187.8 | 28.5 | % | 233.1 | 26.2 | % | 220.7 | 26.0 | % | |||||||||||||||
| Flood related charge | - | - | 1.1 | 0.1 | % | - | - | |||||||||||||||||
| Restructuring charge | 20.6 | 3.1 | % | 5.7 | 0.7 | % | - | - | ||||||||||||||||
| Total costs and expenses | 677.6 | 102.9 | % | 843.9 | 94.7 | % | 811.8 | 95.6 | % | |||||||||||||||
| Operating (loss) profit from continuing operations | (19.4 | ) | (2.9 | %) | 47.0 | 5.3 | % | 37.4 | 4.4 | % | ||||||||||||||
| Interest, net | 0.3 | 0.0 | % | 2.3 | 0.3 | % | 1.8 | 0.2 | % | |||||||||||||||
| (Loss) earnings from continuing operations before income taxes | (19.1 | ) | (2.9 | %) | 49.3 | 5.5 | % | 39.2 | 4.6 | % | ||||||||||||||
| Income tax (benefit) expense | (8.3 | ) | (1.3 | %) | 13.6 | 1.5 | % | 14.8 | 1.8 | % | ||||||||||||||
| (Loss) earnings from continuing operations, net of tax | (10.8 | ) | (1.6 | %) | 35.7 | 4.0 | % | 24.4 | 2.9 | % | ||||||||||||||
| Loss from discontinued operations, net of tax | (1.0 | ) | (0.2 | %) | - | - | (1.3 | ) | (0.2 | %) | ||||||||||||||
| Net (loss) earnings | $ | (11.8 | ) | (1.8 | %) | 35.7 | 4.0 | % | $ | 23.1 | 2.7 | % | ||||||||||||
| Basic (loss) earnings per share: | ||||||||||||||||||||||||
| Continuing operations | $ | (0.17 | ) | $ | 0.58 | $ | 0.40 | |||||||||||||||||
| Discontinued operations | (0.02 | ) | - | (0.02 | ) | |||||||||||||||||||
| Net (loss) earnings per share | $ | (0.19 | ) | $ | 0.58 | $ | 0.38 | |||||||||||||||||
| Diluted (loss) earnings per share: | ||||||||||||||||||||||||
| Continuing operations | $ | (0.17 | ) | $ | 0.58 | $ | 0.40 | |||||||||||||||||
| Discontinued operations | (0.02 | ) | - | (0.02 | ) | |||||||||||||||||||
| Net (loss) earnings per share | $ | (0.19 | ) | $ | 0.58 | $ | 0.38 | |||||||||||||||||
| Year Ended December 31, | ||||||||||||||||||||||||
| 2010 | 2009 | 2008 | ||||||||||||||||||||||
| Amounts | Percent of Revenues | Amounts | Percent of Revenues | Amounts | Percent of Revenues | |||||||||||||||||||
Revenues | $ | 679.1 | $ | 658.2 | $ | 890.9 | ||||||||||||||||||
Costs and expenses: | ||||||||||||||||||||||||
Cost of revenues | 417.8 | 61.5 | % | 409.6 | 62.2 | % | 536.1 | 60.2 | % | |||||||||||||||
Research and development | 67.3 | 9.9 | % | 59.6 | 9.1 | % | 67.9 | 7.6 | % | |||||||||||||||
Selling, general and administrative | 191.0 | 28.1 | % | 187.8 | 28.5 | % | 232.3 | 26.2 | % | |||||||||||||||
Gain on intellectual property sales | (3.1 | ) | (0.4 | %) | - | - | - | - | ||||||||||||||||
Restructuring charges | 2.8 | 0.4 | % | 20.6 | 3.1 | % | 5.7 | 0.7 | % | |||||||||||||||
Impairment of facility | 3.0 | 0.4 | % | - | - | 0.8 | - | |||||||||||||||||
Flood related charge | - | - | - | - | 1.1 | 0.1 | % | |||||||||||||||||
Total costs and expenses | 678.8 | 99.9 | % | 677.6 | 102.9 | % | 843.9 | 94.7 | % | |||||||||||||||
Operating profit (loss) from continuing operations | 0.3 | 0.1 | % | (19.4 | ) | (2.9 | %) | 47.0 | 5.3 | % | ||||||||||||||
Interest, net | (0.1 | ) | 0.0 | % | 0.3 | 0.0 | % | 2.3 | 0.3 | % | ||||||||||||||
Earnings (loss) from continuing operations before income taxes | 0.2 | 0.1 | % | (19.1 | ) | (2.9 | %) | 49.3 | 5.5 | % | ||||||||||||||
Income tax expense (benefit) | 5.5 | 0.8 | % | (8.3 | ) | (1.3 | %) | 13.6 | 1.5 | % | ||||||||||||||
(Loss) earnings from continuing operations, net of tax | (5.3 | ) | (0.7 | %) | (10.8 | ) | (1.6 | %) | 35.7 | 4.0 | % | |||||||||||||
Loss from discontinued operations, net of tax | - | - | (1.0 | ) | (0.2 | %) | - | - | ||||||||||||||||
Net (loss) earnings | $ | (5.3 | ) | (0.7 | %) | (11.8 | ) | (1.8 | %) | $ | 35.7 | 4.0 | % | |||||||||||
Basic (loss) earnings per share: | ||||||||||||||||||||||||
Continuing operations | $ | (0.09 | ) | $ | (0.17 | ) | $ | 0.58 | ||||||||||||||||
Discontinued operations | - | (0.02 | ) | - | ||||||||||||||||||||
Net (loss) earnings per share | $ | (0.09 | ) | $ | (0.19 | ) | $ | 0.58 | ||||||||||||||||
Diluted (loss) earnings per share: | ||||||||||||||||||||||||
Continuing operations | $ | (0.09 | ) | $ | (0.17 | ) | $ | 0.58 | ||||||||||||||||
Discontinued operations | - | (0.02 | ) | - | ||||||||||||||||||||
Net (loss) earnings per share | $ | (0.09 | ) | $ | (0.19 | ) | $ | 0.58 | ||||||||||||||||
| ITEM 7. | MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS (Continued) |
| Year Ended December 31, | ||||||||||||||||||||||
| 2010 | 2009 | 2008 | ||||||||||||||||||||
| Amount | Percent of Revenues | Amount | Percent of Revenues | Amount | Percent of Revenues | |||||||||||||||||
| Revenues by category: | ||||||||||||||||||||||
Systems and solutions | $ | 379.2 | 55.8 | % | $ | 368.2 | 55.9 | % | $ | 542.1 | 60.8 | % | ||||||||||
Printer and media | 163.6 | 24.1 | % | 151.4 | 23.0 | % | 196.3 | 22.0 | % | |||||||||||||
Total product | 542.8 | 79.9 | % | 519.6 | 78.9 | % | 738.4 | 82.8 | % | |||||||||||||
Service | 136.3 | 20.1 | % | 138.6 | 21.1 | % | 152.5 | 17.2 | % | |||||||||||||
Total revenues | $ | 679.1 | 100.0 | % | $ | 658.2 | 100.0 | % | $ | 890.9 | 100.0 | % | ||||||||||
2010 v. 2009 | 2009 v. 2008 | |||||||||||||||||||||
Change in revenues by category: | Amount | Percent | Amount | Percent | ||||||||||||||||||
Systems and solutions | $ | 11.0 | 3.0 | % | $ | (173.9 | ) | (32.1 | %) | |||||||||||||
Printer and media | 12.2 | 8.1 | % | (44.9 | ) | (22.9 | %) | |||||||||||||||
Total product | 23.2 | 4.5 | % | (218.8 | ) | (29.6 | %) | |||||||||||||||
Service | (2.3 | ) | (1.7 | %) | (13.9 | ) | (9.1 | %) | ||||||||||||||
Total revenues | $ | 20.9 | 3.2 | % | $ | (232.7 | ) | (26.1 | %) | |||||||||||||
| Year Ended December 31, | ||||||||||||||||||||||||
| 2009 | 2008 | 2007 | ||||||||||||||||||||||
| Amount | Percent of Revenues | Amount | Percent of Revenues | Amount | Percent of Revenues | |||||||||||||||||||
| Revenues by category: | ||||||||||||||||||||||||
| Systems and solutions | $ | 368.2 | 55.9 | % | $ | 542.1 | 60.8 | % | $ | 485.6 | 57.2 | % | ||||||||||||
| Printer and media | 151.4 | 23.0 | % | 196.3 | 22.0 | % | 206.4 | 24.3 | % | |||||||||||||||
| Total product | 519.6 | 78.9 | % | 738.4 | 82.8 | % | 692.0 | 81.5 | % | |||||||||||||||
| Service | 138.6 | 21.1 | % | 152.5 | 17.2 | % | 157.2 | 18.5 | % | |||||||||||||||
| Total revenues | $ | 658.2 | 100.0 | % | $ | 890.9 | 100.0 | % | $ | 849.2 | 100.0 | % | ||||||||||||
| 2009 v. 2008 | 2008 v. 2007 | |||||||||||||||||||||||
| Product and service revenue change: | Amount | Percent | Amount | Percent | ||||||||||||||||||||
| Systems and solutions | $ | (173.9 | ) | (32.1 | %) | $ | 56.5 | 11.6 | % | |||||||||||||||
| Printer and media | (44.9 | ) | (22.9 | %) | (10.1 | ) | (4.9 | %) | ||||||||||||||||
| Total product | (218.8 | ) | (29.6 | %) | 46.4 | 6.7 | % | |||||||||||||||||
| Service | (13.9 | ) | (9.1 | %) | (4.7 | ) | (3.0 | %) | ||||||||||||||||
| Total revenues | $ | (232.7 | ) | (26.1 | %) | $ | 41.7 | 4.9 | % | |||||||||||||||
| Year Ended December 31, | ||||||||||||||||||||
| 2010 | 2009 | 2008 | ||||||||||||||||||
| Amount | Percent of Revenues | Amount | Percent of Revenues | Amount | Percent of Revenues | |||||||||||||||
| Revenues by geographic region: | ||||||||||||||||||||
North America | $ | 344.1 | 50.7 | % | $ | 373.2 | 56.7 | % | $ | 492.8 | 55.3 | % | ||||||||
Europe, Middle East and Africa (EMEA) | 213.0 | 31.3 | % | 186.8 | 28.4 | % | 290.4 | 32.6 | % | |||||||||||
All others | 122.0 | 18.0 | % | 98.2 | 14.9 | % | 107.7 | 12.1 | % | |||||||||||
Total revenues | $ | 679.1 | 100.0 | % | $ | 658.2 | 100.0 | % | $ | 890.9 | 100.0 | % | ||||||||
2010 v. 2009 | 2009 v. 2008 | |||||||||||||||||||
Change in revenues by geographic region: | Amount | Percent | Amount | Percent | ||||||||||||||||
North America | $ | (29.1 | ) | (7.8 | %) | $ | (119.6 | ) | (24.3 | %) | ||||||||||
Europe, Middle East and Africa (EMEA) | 26.2 | 14.0 | % | (103.6 | ) | (35.7 | %) | |||||||||||||
All others | 23.8 | 24.2 | % | (9.5 | ) | (8.8 | %) | |||||||||||||
Total revenues | $ | 20.9 | 3.2 | % | $ | (232.7 | ) | (26.1 | %) | |||||||||||
| Year Ended December 31, | ||||||||||||||||||||||||
| 2009 | 2008 | 2007 | ||||||||||||||||||||||
| Amount | Percent of Revenues | Amount | Percent of Revenues | Amount | Percent of Revenues | |||||||||||||||||||
| Revenues by geographic region: | ||||||||||||||||||||||||
| North America | $ | 373.2 | 56.7 | % | $ | 492.8 | 55.3 | % | $ | 422.9 | 49.8 | % | ||||||||||||
| Europe, Middle East and Africa (EMEA) | 186.8 | 28.4 | % | 290.4 | 32.6 | % | 290.6 | 34.2 | % | |||||||||||||||
| All others | 98.2 | 14.9 | % | 107.7 | 12.1 | % | 135.7 | 16.0 | % | |||||||||||||||
| Total revenues | $ | 658.2 | 100.0 | % | $ | 890.9 | 100.0 | % | $ | 849.2 | 100.0 | % | ||||||||||||
| 2009 v. 2008 | 2008 v. 2007 | |||||||||||||||||||||||
| Geographic region revenue change: | Amount | Percent | Amount | Percent | ||||||||||||||||||||
| North America | $ | (119.6 | ) | (24.3 | %) | $ | 69.9 | 16.5 | % | |||||||||||||||
| Europe, Middle East and Africa (EMEA) | (103.6 | ) | (35.7 | %) | (0.2 | ) | 0.0 | % | ||||||||||||||||
| All others | (9.5 | ) | (8.8 | %) | (28.0 | ) | (20.6 | %) | ||||||||||||||||
| Total revenues | $ | (232.7 | ) | (26.1 | %) | $ | 41.7 | 4.9 | % | |||||||||||||||
| ITEM 7. | MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS (Continued) |
| ITEM 7. | MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS (Continued) |
| Year Ended December 31, | ||||||||||||||||||||||||
| 2010 | 2009 | 2008 | ||||||||||||||||||||||
| Gross Profit | Gross Margin | Gross Profit | Gross Margin | Gross Profit | Gross Margin | |||||||||||||||||||
Product | $ | 204.6 | 37.7 | % | $ | 188.5 | 36.3 | % | $ | 290.2 | 39.3 | % | ||||||||||||
Service | 56.7 | 41.6 | % | 60.1 | 43.3 | % | 64.6 | 42.4 | % | |||||||||||||||
Total gross profit and gross margin | $ | 261.3 | 38.5 | % | $ | 248.6 | 37.8 | % | $ | 354.8 | 39.8 | % | ||||||||||||
| Year Ended December 31, | ||||||||||||||||||||||||
| 2009 | 2008 | 2007 | ||||||||||||||||||||||
| Gross Profit | Gross Margin | Gross Profit | Gross Margin | Gross Profit | Gross Margin | |||||||||||||||||||
| Product | $ | 188.5 | 36.3 | % | $ | 290.2 | 39.3 | % | $ | 259.9 | 37.6 | % | ||||||||||||
| Service | 60.1 | 43.3 | % | 64.6 | 42.4 | % | 67.0 | 42.6 | % | |||||||||||||||
| Total gross profit and gross margin | $ | 248.6 | 37.8 | % | $ | 354.8 | 39.8 | % | $ | 326.9 | 38.5 | % | ||||||||||||
| Year Ended December 31, | ||||||||||||||||||||
| 2010 | 2009 | 2008 | ||||||||||||||||||
| Amount | Change from prior year | Amount | Change from prior year | Amount | ||||||||||||||||
Research and development expense, net | $ | 67.3 | $ | 7.7 | $ | 59.6 | $ | (8.3 | ) | $ | 67.9 | |||||||||
| Year Ended December 31, | ||||||||||||||||||||
| 2009 | 2008 | 2007 | ||||||||||||||||||
| Amount | Change from prior year | Amount | Change from prior year | Amount | ||||||||||||||||
| Research and development expense, net | $ | 59.6 | $ | (8.3 | ) | $ | 67.9 | $ | (0.8 | ) | $ | 68.7 | ||||||||
| ITEM 7. | MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS (Continued) |
| Year Ended December 31, | ||||||||||||||||||||
| 2010 | 2009 | 2008 | ||||||||||||||||||
| Amount | Change from prior year | Amount | Change from prior year | Amount | ||||||||||||||||
Selling, general and administrative expense | $ | 191.0 | $ | 3.1 | $ | 187.9 | $ | (44.3 | ) | $ | 232.2 | |||||||||
| Year Ended December 31, | ||||||||||||||||||||
| 2009 | 2008 | 2007 | ||||||||||||||||||
| Amount | Change from prior year | Amount | Change from prior year | Amount | ||||||||||||||||
| Selling, general and administrative expense | $ | 187.9 | $ | (45.1 | ) | $ | 233.0 | $ | 12.3 | $ | 220.7 | |||||||||
| Year Ended December 31, | ||||||||||||||||||||
| 2009 | 2008 | 2007 | ||||||||||||||||||
| Amount | Change from prior year | Amount | Change from prior year | Amount | ||||||||||||||||
| Interest, net | $ | 0.3 | $ | (2.0 | ) | $ | 2.3 | $ | 0.5 | $ | 1.8 | |||||||||
| Year Ended December 31, | ||||||||||||||||||||
| 2010 | 2009 | 2008 | ||||||||||||||||||
| Amount | Change from prior year | Amount | Change from prior year | Amount | ||||||||||||||||
Interest, net | $ | (0.1 | ) | $ | (0.4 | ) | $ | 0.3 | $ | (2.0 | ) | $ | 2.3 | |||||||
| Year Ended December 31, | ||||||||||||||||||||
| 2010 | 2009 | 2008 | ||||||||||||||||||
| Amount | Change from prior year | Amount | Change from prior year | Amount | ||||||||||||||||
Income taxes expense (benefit) | $ | 5.5 | $ | 13.8 | $ | (8.3 | ) | $ | (21.9 | ) | $ | 13.6 | ||||||||
| Year Ended December 31, | ||||||||||||||||||||
| 2009 | 2008 | 2007 | ||||||||||||||||||
| Amount | Change from prior year | Amount | Change from prior year | Amount | ||||||||||||||||
| Income taxes (benefit) expense | $ | (8.3 | ) | $ | (21.9 | ) | $ | 13.6 | $ | (1.2 | ) | $ | 14.8 | |||||||
| ITEM 7. | MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS (Continued) |
| Year Ended December 31, | ||||||||||||
| 2010 | 2009 | 2008 | ||||||||||
Net cash provided by operating activities of continuing operations | $ | 21,790 | $ | 23,996 | $ | 61,803 | ||||||
Net cash provided by (used in) investing activities of continuing operations | 18,218 | (49,765 | ) | 16,449 | ||||||||
Net cash (used in) provided by financing activities of continuing operations | (18,240 | ) | 2,150 | (91,966 | ) | |||||||
| Year Ended December 31, | ||||||||||||
| 2009 | 2008 | 2007 | ||||||||||
| Net cash provided by operating activities | $ | 21,363 | $ | 70,488 | $ | 56,625 | ||||||
| Net cash (used in) provided by investing activities | (49,765 | ) | 16,449 | (17,428 | ) | |||||||
| Net cash provided by (used in) financing activities | 2,150 | (91,966 | ) | 12,753 | ||||||||
| ITEM 7. | MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS (Continued) |
| Revolving Facility | New Facility | |||||||
| ● | Loans will bear interest at a variable rate equal to (at our option) (i) LIBOR plus the applicable margin, which ranges from 0.60% to 1.00%, or (ii) the Bank’s prime rate, less the applicable margin, which ranges from 0.25% to 1.00%. If an event of default occurs and is continuing, then the interest rate on all obligations under the Revolving Facility may be increased by 2.0% above the otherwise applicable rate, and the Bank may declare any outstanding obligations under the Revolving Facility to be immediately due and payable. | ● | Loans will bear interest at a variable rate equal to either (i) LIBOR plus the applicable margin, which ranges from 1.25% to 1.75%, or if LIBOR is not available, (ii) the base rate less the applicable margin, which ranges from 0.25% to 0.75%. The base rate is equal to the higher of (a) the Bank’s prime rate, or (b) the federal funds effective rate plus 150 basis points. | |||||
| ● | A fee ranging from 0.60% to 1.00% on the maximum amount available to be drawn under each letter of credit that is issued and outstanding under the Revolving Facility. The fee on the unused portion of the Revolving Facility ranges from 0.125% to 0.20%. | ● | A fee ranging from 1.25% to 1.75% on the maximum amount available to be drawn under each letter of credit that is issued and outstanding under the New Facility. The fee on the unused portion of the New Facility ranges from 0.15% to 0.25%. |
| ● | Certain of our domestic subsidiaries have guaranteed the Revolving Facility. |
| ● | The Revolving Facility contains various restrictions and covenants, including restrictions on our ability and the ability of our subsidiaries to consolidate or merge, make acquisitions, create liens, incur additional indebtedness or dispose of assets. | ● | The New Facility contains various restrictions and covenants, including restrictions on our ability and the ability of our subsidiaries to consolidate or merge, make acquisitions, create liens, incur additional indebtedness or dispose of assets. |
| ● | Financial covenants include a Maximum Leverage test and a Minimum Tangible Net Worth test, each as defined in the Revolving Facility. The minimum tangible net worth required is | ● | Financial covenants related to our tangible net worth, annual net income after taxes, quarterly adjusted net income before taxes and asset coverage ratio, each as defined in the New Facility, will be set when the New Facility becomes effective on the date of closing. |
| ITEM 7. | MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS (Continued) |
| Payments Due by Period | Payments Due by Period | |||||||||||||||||||||||||||||||||||||||
| Total | Less than 1 Year | 1 - 3 Years | 3 - 5 Years | After 5 Years | Total | Less than 1 Year | 1 - 3 Years | 3 - 5 Years | After 5 Years | |||||||||||||||||||||||||||||||
| Operating leases | $ | 42.0 | $ | 11.5 | $ | 15.7 | $ | 10.7 | $ | 4.1 | $ | 29.5 | $ | 8.4 | $ | 12.4 | $ | 6.5 | $ | 2.2 | ||||||||||||||||||||
| Purchase commitments | 14.8 | 0.8 | 14.0 | - | - | 14.4 | 4.1 | 10.3 | - | - | ||||||||||||||||||||||||||||||
| Pension and other postretirement cash funding requirements | - | - | - | - | - | 5.1 | 0.3 | 4.8 | - | - | ||||||||||||||||||||||||||||||
| Total contractual obligations | $ | 56.8 | $ | 12.3 | $ | 29.7 | $ | 10.7 | $ | 4.1 | $ | 49.0 | $ | 12.8 | $ | 27.5 | $ | 6.5 | $ | 2.2 | ||||||||||||||||||||
| ITEM 7. | MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS (Continued) |
| ITEM 7. | MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS (Continued) |
| ITEM 7. | MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS (Continued) |
| QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK |
| FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA |
| CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND FINANCIAL DISCLOSURE |
| /s/ Patrick J. Byrne |
| Patrick J. Byrne |
| Chief Executive Officer |
| /s/ Robert J. Driessnack |
| Robert J. Driessnack |
| Senior Vice President and |
| Chief Financial Officer |
| OTHER INFORMATION |
| DIRECTORS, EXECUTIVE OFFICERS AND CORPORATE GOVERNANCE. |
| EXECUTIVE COMPENSATION. |
| SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT AND RELATED SHAREHOLDER MATTERS. |
| CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS, AND DIRECTOR INDEPENDENCE. |
| PRINCIPAL ACCOUNTANT FEES AND SERVICES. |
| EXHIBITS AND FINANCIAL STATEMENT SCHEDULES. |
| Intermec, Inc. | ||
| /s/ Robert J. Driessnack | ||
| Robert J. Driessnack | ||
| Senior Vice President and Chief Financial Officer | ||
| February |
| /s/ Patrick J. Byrne | Director, President and | February |
| Patrick J. Byrne | Chief Executive Officer | |
| /s/ Allen J. Lauer | Director and Chairman of the Board | February |
| Allen J. Lauer | ||
| /s/ Eric J. Draut | Director | February |
| Eric J. Draut | ||
| /s/ Gregory K. Hinckley | Director | February |
| Gregory K. Hinckley | ||
| /s/ Lydia H. Kennard | Director | February |
| Lydia H. Kennard | ||
| /s/ Stephen P. Reynolds | Director | February |
| Stephen P. Reynolds | ||
| /s/ Steven B. Sample | Director | February |
| Steven B. Sample | ||
| /s/ Oren G. Shaffer | Director | February |
| Oren G. Shaffer | ||
| /s/ Larry D. Yost | Director | February |
| Larry D. Yost | ||
| /s/ Robert J. Driessnack | Senior Vice President and Chief Financial Officer | February |
| Robert J. Driessnack | (Principal Financial Officer and Principal Accounting Officer) | |
| Year Ended December 31, | ||||||||||||
| 2010 | 2009 | 2008 | ||||||||||
| Revenues: | ||||||||||||
Product | $ | 542,783 | $ | 519,603 | $ | 738,426 | ||||||
Service | 136,328 | 138,602 | 152,457 | |||||||||
Total revenues | 679,111 | 658,205 | 890,883 | |||||||||
Costs and expenses: | ||||||||||||
Cost of product revenues | 338,220 | 331,128 | 448,216 | |||||||||
Cost of service revenues | 79,619 | 78,519 | 87,881 | |||||||||
Research and development, net of credits of $400, $2,600, and $1,800 | 67,271 | 59,566 | 67,899 | |||||||||
Selling, general and administrative | 191,070 | 187,867 | 232,181 | |||||||||
Gain on intellectual property sales | (3,148 | ) | - | - | ||||||||
Restructuring charges | 2,780 | 20,577 | 5,748 | |||||||||
Impairment of facility | 3,008 | - | 802 | |||||||||
Flood related charge | - | - | 1,122 | |||||||||
Total costs and expenses | 678,820 | 677,657 | 843,849 | |||||||||
Operating profit (loss) from continuing operations | 291 | (19,452 | ) | 47,034 | ||||||||
Interest income | 1,229 | 1,312 | 4,787 | |||||||||
Interest expense | (1,296 | ) | (995 | ) | (2,520 | ) | ||||||
Earnings (loss) from continuing operations before income taxes | 224 | (19,135 | ) | 49,301 | ||||||||
Income tax expense (benefit) | 5,549 | (8,263 | ) | 13,615 | ||||||||
(Loss) earnings from continuing operations | (5,325 | ) | (10,872 | ) | 35,686 | |||||||
Loss from discontinued operations, net of tax | - | (971 | ) | - | ||||||||
Net (loss) earnings | $ | (5,325 | ) | $ | (11,843 | ) | $ | 35,686 | ||||
Basic (loss) earnings per share: | ||||||||||||
Continuing operations | $ | (0.09 | ) | $ | (0.17 | ) | $ | 0.58 | ||||
Discontinued operations | - | (0.02 | ) | - | ||||||||
Net (loss) earnings per share | $ | (0.09 | ) | $ | (0.19 | ) | $ | 0.58 | ||||
Diluted (loss) earnings per share: | ||||||||||||
Continuing operations | $ | (0.09 | ) | $ | (0.17 | ) | $ | 0.58 | ||||
Discontinued operations | - | (0.02 | ) | - | ||||||||
Net (loss) earnings per share | $ | (0.09 | ) | $ | (0.19 | ) | $ | 0.58 | ||||
Shares used in computing basic (loss) earnings per share | 61,364 | 61,644 | 61,183 | |||||||||
Shares used in computing diluted (loss) earnings per share | 61,364 | 61,644 | 61,658 | |||||||||
| Year Ended December 31, | ||||||||||||
| 2009 | 2008 | 2007 | ||||||||||
| Revenues: | ||||||||||||
| Product | $ | 519,603 | $ | 738,426 | $ | 692,050 | ||||||
| Service | 138,602 | 152,457 | 157,170 | |||||||||
| Total revenues | 658,205 | 890,883 | 849,220 | |||||||||
| Costs and expenses: | ||||||||||||
| Cost of product revenues | 331,128 | 448,216 | 432,166 | |||||||||
| Cost of service revenues | 78,519 | 87,881 | 90,188 | |||||||||
| Research and development, net of credits of $2,600, $1,800 and $0 | 59,566 | 67,899 | 68,722 | |||||||||
| Selling, general and administrative | 187,867 | 232,983 | 220,726 | |||||||||
| Restructuring charges | 20,577 | 5,748 | - | |||||||||
| Flood related charge | - | 1,122 | - | |||||||||
| Total costs and expenses | 677,657 | 843,849 | 811,802 | |||||||||
| Operating (loss) profit from continuing operations | (19,452 | ) | 47,034 | 37,418 | ||||||||
| Interest income | 1,312 | 4,787 | 10,706 | |||||||||
| Interest expense | (995 | ) | (2,520 | ) | (8,946 | ) | ||||||
| (Loss) earnings from continuing operations before income taxes | (19,135 | ) | 49,301 | 39,178 | ||||||||
| Income tax (benefit) expense | (8,263 | ) | 13,615 | 14,843 | ||||||||
| (Loss) earnings from continuing operations | (10,872 | ) | 35,686 | 24,335 | ||||||||
| Loss from discontinued operations, net of tax | (971 | ) | - | (1,283 | ) | |||||||
| Net (loss) earnings | $ | (11,843 | ) | $ | 35,686 | $ | 23,052 | |||||
| Basic (loss) earnings per share | ||||||||||||
| Continuing operations | $ | (0.17 | ) | $ | 0.58 | $ | 0.40 | |||||
| Discontinued operations | (0.02 | ) | - | (0.02 | ) | |||||||
| Net (loss) earnings per share | $ | (0.19 | ) | $ | 0.58 | $ | 0.38 | |||||
| Diluted (loss) earnings per share | ||||||||||||
| Continuing operations | $ | (0.17 | ) | $ | 0.58 | $ | 0.40 | |||||
| Discontinued operations | (0.02 | ) | - | (0.02 | ) | |||||||
| Net (loss) earnings per share | $ | (0.19 | ) | $ | 0.58 | $ | 0.38 | |||||
| Shares used in computing basic (loss) earnings per share | 61,644 | 61,183 | 60,359 | |||||||||
| Shares used in computing diluted (loss) earnings per share | 61,644 | 61,658 | 61,163 | |||||||||
| December 31, | ||||||||
| 2010 | 2009 | |||||||
| ASSETS | ||||||||
| Current assets: | ||||||||
Cash and cash equivalents | $ | 221,467 | $ | 201,884 | ||||
Short-term investments | 6,788 | 36,301 | ||||||
Accounts receivable, net | 110,455 | 106,890 | ||||||
Inventories | 82,657 | 101,537 | ||||||
Current deferred tax assets, net | 45,725 | 51,480 | ||||||
Other current assets | 17,864 | 16,826 | ||||||
Total current assets | 484,956 | 514,918 | ||||||
Property, plant and equipment, net | 36,320 | 37,383 | ||||||
Other acquired intangibles, net | 3,031 | 2,587 | ||||||
Deferred tax assets, net | 194,597 | 182,533 | ||||||
Other assets | 30,361 | 34,404 | ||||||
Total assets | $ | 749,265 | $ | 771,825 | ||||
LIABILITIES AND SHAREHOLDERS’ EQUITY | ||||||||
Current liabilities: | ||||||||
Accounts payable and accrued expenses | $ | 97,069 | $ | 102,947 | ||||
Payroll and related expenses | 20,155 | 20,683 | ||||||
Deferred revenue | 36,227 | 39,038 | ||||||
Total current liabilities | 153,451 | 162,668 | ||||||
Long-term deferred revenue | 23,752 | 22,010 | ||||||
Pension and other postretirement benefits liabilities | 95,922 | 81,897 | ||||||
Other long-term liabilities | 14,911 | 14,967 | ||||||
Commitments and Contingencies | ||||||||
Shareholders’ equity: | ||||||||
Common stock (250,000 shares authorized, 62,594 and 62,203 shares issued, 60,191 and 61,653 shares outstanding) | 625 | 622 | ||||||
Additional paid-in capital | 694,291 | 703,590 | ||||||
Accumulated deficit | (179,570 | ) | (174,245 | ) | ||||
Accumulated other comprehensive loss | (54,117 | ) | (39,684 | ) | ||||
Total shareholders’ equity | 461,229 | 490,283 | ||||||
Total liabilities and shareholders’ equity | $ | 749,265 | $ | 771,825 | ||||
| December 31, | ||||||||
| 2009 | 2008 | |||||||
| ASSETS | ||||||||
| Current assets: | ||||||||
| Cash and cash equivalents | $ | 201,884 | $ | 221,335 | ||||
| Short-term investments | 36,301 | 156 | ||||||
| Accounts receivable, net of allowance for doubtful accounts and sales returns of $10,333 and $10,789 | 106,890 | 138,549 | ||||||
| Inventories, net | 101,537 | 116,949 | ||||||
| Current deferred tax assets, net | 51,140 | 56,295 | ||||||
| Other current assets | 16,826 | 14,405 | ||||||
| Total current assets | 514,578 | 547,689 | ||||||
| Property, plant and equipment, net | 37,383 | 41,348 | ||||||
| Other acquired intangibles, net | 2,587 | 3,521 | ||||||
| Deferred tax assets, net | 182,457 | 167,834 | ||||||
| Other assets | 34,404 | 29,503 | ||||||
| Total assets | $ | 771,409 | $ | 789,895 | ||||
| LIABILITIES AND SHAREHOLDERS’ EQUITY | ||||||||
| Current liabilities: | ||||||||
| Accounts payable and accrued expenses | $ | 102,607 | $ | 112,772 | ||||
| Payroll and related expenses | 20,683 | 24,799 | ||||||
| Deferred revenue | 39,038 | 38,712 | ||||||
| Total current liabilities | 162,328 | 176,283 | ||||||
| Long-term deferred revenue | 22,010 | 25,980 | ||||||
| Pension and other postretirement benefits liabilities | 81,897 | 92,129 | ||||||
| Other long-term liabilities | 14,891 | 13,747 | ||||||
| Commitments | ||||||||
| Shareholders’ equity: | ||||||||
| Common stock (250,000 shares authorized, 62,203 and 61,766 shares issued and outstanding) | 622 | 618 | ||||||
| Additional paid-in capital | 703,590 | 694,296 | ||||||
| Accumulated deficit | (174,245 | ) | (162,402 | ) | ||||
| Accumulated other comprehensive loss | (39,684 | ) | (50,756 | ) | ||||
| Total shareholders’ equity | 490,283 | 481,756 | ||||||
| Total liabilities and shareholders’ equity | $ | 771,409 | $ | 789,895 | ||||
| Year Ended December 31, | Year Ended December 31, | |||||||||||||||||||||||
| 2009 | 2008 | 2007 | 2010 | 2009 | 2008 | |||||||||||||||||||
| Cash and cash equivalents at beginning of the year | $ | 221,335 | $ | 237,247 | $ | 155,027 | $ | 201,884 | $ | 221,335 | $ | 237,247 | ||||||||||||
| Cash flows from operating activities of continuing operations: | Cash flows from operating activities of continuing operations: | Cash flows from operating activities of continuing operations: | ||||||||||||||||||||||
| Net (loss) earnings | (11,843 | ) | 35,686 | 23,052 | (5,325 | ) | (11,843 | ) | 35,686 | |||||||||||||||
| Loss from discontinued operations | 971 | - | 1,283 | - | 971 | - | ||||||||||||||||||
| Adjustments to reconcile net (loss) earnings to net cash provided by operating activities: | Adjustments to reconcile net (loss) earnings to net cash provided by operating activities: | Adjustments to reconcile net (loss) earnings to net cash provided by operating activities: | ||||||||||||||||||||||
| Depreciation and amortization | 15,913 | 16,493 | 13,314 | 14,951 | 15,913 | 16,493 | ||||||||||||||||||
| Impairment loss on certain property | - | 802 | - | |||||||||||||||||||||
| Loss (gain) on sale of property, plant and equipment | 134 | (2,873 | ) | - | ||||||||||||||||||||
Impairment of facility | 3,008 | - | 802 | |||||||||||||||||||||
(Gain) loss on sale of property, plant and equipment | - | 134 | (2,873 | ) | ||||||||||||||||||||
| Change in pension and other postretirement plans, net | (2,922 | ) | (749 | ) | (5,290 | ) | (4,312 | ) | (2,922 | ) | (749 | ) | ||||||||||||
| Deferred taxes | (12,169 | ) | 9,759 | 7,643 | (254 | ) | (11,941 | ) | 9,811 | |||||||||||||||
| Stock-based compensation | 7,875 | 7,027 | 9,037 | 8,955 | 7,875 | 7,027 | ||||||||||||||||||
| Excess tax benefit from stock-based payment arrangements | - | (937 | ) | (2,050 | ) | - | - | (937 | ) | |||||||||||||||
Gain on intellectual property sales | (3,148 | ) | - | - | ||||||||||||||||||||
Gain on company owned life insurance | (863 | ) | - | - | ||||||||||||||||||||
| Changes in operating assets and liabilities: | ||||||||||||||||||||||||
| Accounts receivable | 31,211 | 52,938 | (25,204 | ) | (3,862 | ) | 34,228 | 42,431 | ||||||||||||||||
| Inventories | 15,072 | (7,781 | ) | 8,060 | 18,071 | 15,730 | (10,316 | ) | ||||||||||||||||
| Other current assets | (2,421 | ) | 285 | (1,662 | ) | (981 | ) | (2,252 | ) | (1,415 | ) | |||||||||||||
| Accounts payable and accrued expenses | (10,059 | ) | (25,853 | ) | 35,805 | (4,630 | ) | (10,127 | ) | (22,955 | ) | |||||||||||||
| Payroll and related expenses | (4,116 | ) | (7,371 | ) | (815 | ) | (157 | ) | (4,514 | ) | (6,069 | ) | ||||||||||||
| Deferred revenue | (4,160 | ) | (3,740 | ) | 5,652 | (1,069 | ) | (5,133 | ) | (1,935 | ) | |||||||||||||
| Other operating activities | (2,123 | ) | (3,198 | ) | (12,200 | ) | 1,406 | (2,123 | ) | (3,198 | ) | |||||||||||||
Net cash provided by operating activities of continuing operations | 21,363 | 70,488 | 56,625 | 21,790 | 23,996 | 61,803 | ||||||||||||||||||
| Cash flows from investing activities of continuing operations: | Cash flows from investing activities of continuing operations: | Cash flows from investing activities of continuing operations: | ||||||||||||||||||||||
| Additions to property, plant and equipment | (11,038 | ) | (13,766 | ) | (15,779 | ) | (14,253 | ) | (11,038 | ) | (13,766 | ) | ||||||||||||
| Purchases of investments | (35,790 | ) | (760 | ) | - | (6,760 | ) | (35,790 | ) | (760 | ) | |||||||||||||
| Sales of investments | - | 28,515 | 2,002 | 36,715 | - | 28,515 | ||||||||||||||||||
| Capitalized patent legal fees | (4,704 | ) | (3,637 | ) | (2,398 | ) | (1,491 | ) | (4,704 | ) | (3,637 | ) | ||||||||||||
| Sale of property, plant and equipment | 1,867 | 5,497 | - | 2,985 | 1,867 | 5,497 | ||||||||||||||||||
| Other investing activities | (100 | ) | 600 | (1,253 | ) | 1,022 | (100 | ) | 600 | |||||||||||||||
Net cash (used in) provided by investing activities of continuing operations | (49,765 | ) | 16,449 | (17,428 | ) | |||||||||||||||||||
Net cash provided by (used in) investing activities of continuing operations | 18,218 | (49,765 | ) | 16,449 | ||||||||||||||||||||
| Cash flows from financing activities of continued operations: | Cash flows from financing activities of continued operations: | Cash flows from financing activities of continued operations: | ||||||||||||||||||||||
| Repayment of debt | - | (100,000 | ) | - | - | - | (100,000 | ) | ||||||||||||||||
Stock repurchases | (20,037 | ) | - | - | ||||||||||||||||||||
| Excess tax benefit from stock-based payment arrangements | - | 937 | 2,050 | - | - | 937 | ||||||||||||||||||
| Proceeds from stock options exercised | 619 | 4,362 | 8,434 | 593 | 619 | 4,362 | ||||||||||||||||||
| Other financing activities | 1,531 | 2,735 | 2,269 | 1,204 | 1,531 | 2,735 | ||||||||||||||||||
Net cash provided by (used in) financing activities of continued operations | 2,150 | (91,966 | ) | 12,753 | ||||||||||||||||||||
Net cash (used in) provided by financing activities of continued operations | (18,240 | ) | 2,150 | (91,966 | ) | |||||||||||||||||||
| Net cash (used in) provided by continuing operations | (26,252 | ) | (5,029 | ) | 51,950 | |||||||||||||||||||
| Net cash provided by investing activities of discontinued operations | - | - | 20,178 | |||||||||||||||||||||
Net cash provided by (used in) continuing operations | 21,768 | (23,619 | ) | (13,714 | ) | |||||||||||||||||||
| Effect of exchange rate changes on cash and cash equivalents | 6,801 | (10,883 | ) | 10,092 | (2,185 | ) | 4,168 | (2,198 | ) | |||||||||||||||
| Resulting (decrease) increase in cash and cash equivalents | (19,451 | ) | (15,912 | ) | 82,220 | |||||||||||||||||||
Resulting increase (decrease) in cash and cash equivalents | 19,583 | (19,451 | ) | (15,912 | ) | |||||||||||||||||||
| Cash and cash equivalents at end of the year | $ | 201,884 | $ | 221,335 | $ | 237,247 | $ | 221,467 | $ | 201,884 | $ | 221,335 | ||||||||||||
| Supplemental Information | ||||||||||||||||||||||||
| Cash payments: | ||||||||||||||||||||||||
| Interest on debt | - | (3,500 | ) | (7,000 | ) | - | - | (3,500 | ) | |||||||||||||||
| Income taxes paid | (5,166 | ) | (5,889 | ) | (5,943 | ) | (6,351 | ) | (5,166 | ) | (5,889 | ) | ||||||||||||
| Common Stock | Additional Paid-in Capital | Accumulated Deficit | Accumulated Other Comprehensive Income (Loss) | Total | ||||||||||||||||
Balance, January 1, 2008 | $ | 612 | $ | 679,241 | $ | (196,795 | ) | $ | 1,053 | $ | 484,111 | |||||||||
Comprehensive loss: | ||||||||||||||||||||
Net earnings | 35,686 | 35,686 | ||||||||||||||||||
Foreign currency translation adjustment | (9,729 | ) | (9,729 | ) | ||||||||||||||||
Pension adjustment, net of tax | (41,761 | ) | (41,761 | ) | ||||||||||||||||
Unrealized loss on securities, net of tax | (319 | ) | (319 | ) | ||||||||||||||||
Comprehensive loss | (16,123 | ) | ||||||||||||||||||
Pension and other postretirement benefits adoption of new accounting standards | (1,293 | ) | (1,293 | ) | ||||||||||||||||
Stock based activity | 6 | 15,055 | 15,061 | |||||||||||||||||
Balance, December 31, 2008 | $ | 618 | $ | 694,296 | $ | (162,402 | ) | $ | (50,756 | ) | $ | 481,756 | ||||||||
Comprehensive loss: | ||||||||||||||||||||
Net loss | (11,843 | ) | (11,843 | ) | ||||||||||||||||
Foreign currency translation adjustment | 4,692 | 4,692 | ||||||||||||||||||
Pension adjustment, net of tax | 6,243 | 6,243 | ||||||||||||||||||
Unrealized gain on securities, net of tax | 137 | 137 | ||||||||||||||||||
Comprehensive loss | (771 | ) | ||||||||||||||||||
Stock based activity | 4 | 9,294 | 9,298 | |||||||||||||||||
Balance, December 31, 2009 | $ | 622 | $ | 703,590 | $ | (174,245 | ) | $ | (39,684 | ) | $ | 490,283 | ||||||||
Comprehensive loss: | ||||||||||||||||||||
Net loss | (5,325 | ) | (5,325 | ) | ||||||||||||||||
Foreign currency translation adjustment | (2,457 | ) | (2,457 | ) | ||||||||||||||||
Pension adjustment, net of tax | (11,860 | ) | (11,860 | ) | ||||||||||||||||
Unrealized loss on securities, net of tax | (116 | ) | (116 | ) | ||||||||||||||||
Comprehensive loss | (19,758 | ) | ||||||||||||||||||
Stock repurchase | (18 | ) | (20,019 | ) | (20,037 | ) | ||||||||||||||
Stock based activity | 21 | 10,720 | 10,741 | |||||||||||||||||
Balance, December 31, 2010 | $ | 625 | $ | 694,291 | $ | (179,570 | ) | $ | (54,117 | ) | $ | 461,229 | ||||||||
| Common Stock | Additional Paid-in Capital | Accumulated Deficit | Accumulated Other Comprehensive (Loss) Income | Total | ||||||||||||||||
| Balance, January 1, 2007 | $ | 598 | $ | 657,468 | $ | (212,903 | ) | $ | (27,561 | ) | $ | 417,602 | ||||||||
| Comprehensive income: | ||||||||||||||||||||
| Net earnings | 23,052 | 23,052 | ||||||||||||||||||
| Foreign currency translation adjustment | 5,851 | 5,851 | ||||||||||||||||||
| Pension adjustment, net of tax | 22,668 | 22,668 | ||||||||||||||||||
| Unrealized gain on securities, net of tax | 95 | 95 | ||||||||||||||||||
| Comprehensive income | 51,666 | |||||||||||||||||||
| Adoption of accounting for uncertainty in income taxes | (6,944 | ) | (6,944 | ) | ||||||||||||||||
| Stock based activity | 14 | 21,773 | 21,787 | |||||||||||||||||
| Balance, December 31, 2007 | $ | 612 | $ | 679,241 | $ | (196,795 | ) | $ | 1,053 | $ | 484,111 | |||||||||
| Comprehensive loss: | ||||||||||||||||||||
| Net earnings | 35,686 | 35,686 | ||||||||||||||||||
| Foreign currency translation adjustment | (9,729 | ) | (9,729 | ) | ||||||||||||||||
| Pension adjustment, net of tax | (41,761 | ) | (41,761 | ) | ||||||||||||||||
| Unrealized loss on securities, net of tax | (319 | ) | (319 | ) | ||||||||||||||||
| Comprehensive loss | (16,123 | ) | ||||||||||||||||||
| Pension and other postretirement benefits adoption of new accounting standards | (1,293 | ) | (1,293 | ) | ||||||||||||||||
| Stock based activity | 6 | 15,055 | 15,061 | |||||||||||||||||
| Balance, December 31, 2008 | $ | 618 | $ | 694,296 | $ | (162,402 | ) | $ | (50,756 | ) | $ | 481,756 | ||||||||
| Comprehensive loss: | ||||||||||||||||||||
| Net loss | (11,843 | ) | (11,843 | ) | ||||||||||||||||
| Foreign currency translation adjustment | 4,692 | 4,692 | ||||||||||||||||||
| Pension adjustment, net of tax | 6,243 | 6,243 | ||||||||||||||||||
| Unrealized gain on securities, net of tax | 137 | 137 | ||||||||||||||||||
| Comprehensive loss | (771 | ) | ||||||||||||||||||
| Stock based activity | 4 | 9,294 | 9,298 | |||||||||||||||||
| Balance, December 31, 2009 | $ | 622 | $ | 703,590 | $ | (174,245 | ) | $ | (39,684 | ) | $ | 490,283 | ||||||||
| For the Year Ended December 31, 2009 | For the Year Ended December 31, 2008 | |||||||||||||||
| As Reported | As Restated | As Reported | As Restated | |||||||||||||
| Cash flows from operating activities of continuing operations: | ||||||||||||||||
Deferred taxes | $ | (12,169 | ) | $ | (11,941 | ) | $ | 9,759 | $ | 9,811 | ||||||
Changes in operating assets and liabilities: | ||||||||||||||||
Accounts receivable | 31,211 | 34,228 | 52,938 | 42,431 | ||||||||||||
Inventories | 15,072 | 15,730 | (7,781 | ) | (10,316 | ) | ||||||||||
Other current assets | (2,421 | ) | (2,252 | ) | 285 | (1,415 | ) | |||||||||
Accounts payable and accrued expenses | (10,059 | ) | (10,127 | ) | (25,853 | ) | (22,955 | ) | ||||||||
Payroll and related expenses | (4,116 | ) | (4,514 | ) | (7,371 | ) | (6,069 | ) | ||||||||
Deferred revenue | (4,160 | ) | (5,133 | ) | (3,740 | ) | (1,935 | ) | ||||||||
Net cash provided by operating activities of continuing operations | 21,363 | 23,996 | 70,488 | 61,803 | ||||||||||||
| Net cash used in continuing operations | $ | (26,252 | ) | $ | (23,619 | ) | $ | (5,029 | ) | $ | (13,714 | ) | ||||
Effect of exchange rate changes on cash and cash equivalents | 6,801 | 4,168 | (10,883 | ) | (2,198 | ) | ||||||||||
| 2009 | 2008 | 2010 | 2009 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Cost | Gross Unrealized Gain | Gross Unrealized Loss | Fair Value | Cost | Gross Unrealized Gain | Gross Unrealized Loss | Fair Value | Cost | Gross Unrealized Gain | Gross Unrealized Loss | Fair Value | Cost | Gross Unrealized Gain | Gross Unrealized Loss | Fair Value | |||||||||||||||||||||||||||||||||||||||||||||||||
| Equity security | $ | 405 | $ | - | $ | (239 | ) | $ | 166 | $ | 405 | $ | - | $ | (249 | ) | $ | 156 | $ | 405 | $ | - | $ | (181 | ) | $ | 224 | $ | 405 | $ | - | $ | (239 | ) | $ | 166 | ||||||||||||||||||||||||||||
| Bond fund | 30,270 | 189 | - | 30,459 | - | - | - | - | - | - | - | - | 30,270 | 189 | - | 30,459 | ||||||||||||||||||||||||||||||||||||||||||||||||
| Time deposit | 5,676 | - | - | 5,676 | - | - | - | - | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Certificates of deposit | 6,373 | 191 | - | 6,564 | 5,676 | - | - | 5,676 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| $ | 36,351 | $ | 189 | $ | (239 | ) | $ | 36,301 | $ | 405 | $ | - | $ | (249 | ) | $ | 156 | $ | 6,778 | $ | 191 | $ | (181 | ) | $ | 6,788 | $ | 36,351 | $ | 189 | $ | (239 | ) | $ | 36,301 | |||||||||||||||||||||||||||||
| Level 1 | Level 2 | Level 3 | Fair Value at December 31, 2010 | |||||||||||||
Money market funds | $ | 121,943 | $ | - | $ | - | $ | 121,943 | ||||||||
Certificates of deposit | - | 36,268 | - | 36,268 | ||||||||||||
Stock | 224 | - | - | 224 | ||||||||||||
Derivative instruments – assets | - | 887 | - | 887 | ||||||||||||
Total assets at fair value | $ | 122,167 | $ | 37,155 | $ | - | $ | 159,322 | ||||||||
Level 1 | Level 2 | Level 3 | Fair Value at December 31, 2010 | |||||||||||||
Derivative instruments – liabilities | $ | - | $ | (761 | ) | $ | - | $ | (761 | ) | ||||||
Total liabilities at fair value | $ | - | $ | (761 | ) | $ | - | $ | (761 | ) | ||||||
| Level 1 | Level 2 | Level 3 | Balance at December 31, 2009 | |||||||||||||
| Money market funds | $ | 111,971 | $ | - | $ | - | $ | 111,971 | ||||||||
| Certificates of deposit | 12,142 | - | - | 12,142 | ||||||||||||
| Bond fund | 30,459 | - | - | 30,459 | ||||||||||||
| Stock | 166 | - | - | 166 | ||||||||||||
| Derivative instruments – assets | - | 1,743 | - | 1,743 | ||||||||||||
| Total assets at fair value | $ | 154,738 | $ | 1,743 | $ | - | $ | 156,481 | ||||||||
| Level 1 | Level 2 | Level 3 | Balance at December 31, 2009 | |||||||||||||
| Derivative instruments – liabilities | $ | - | $ | (1,199 | ) | $ | - | $ | (1,199 | ) | ||||||
| Total liabilities at fair value | $ | - | $ | (1,199 | ) | $ | - | $ | (1,199 | ) | ||||||
| Level 1 | Level 2 | Level 3 | Balance at December 31, 2008 | Level 1 | Level 2 | Level 3 | Fair Value at December 31, 2009 | |||||||||||||||||||||||||
| Money market funds | $ | 132,309 | $ | - | $ | - | $ | 132,309 | $ | 111,971 | $ | - | $ | - | $ | 111,971 | ||||||||||||||||
| Certificates of deposit | 3,709 | - | - | 3,709 | - | 12,142 | - | 12,142 | ||||||||||||||||||||||||
Bond fund | 30,459 | - | - | 30,459 | ||||||||||||||||||||||||||||
| Stock | 156 | - | - | 156 | 166 | - | - | 166 | ||||||||||||||||||||||||
| Derivative instruments – assets | - | 3,712 | - | 3,712 | - | 1,743 | - | 1,743 | ||||||||||||||||||||||||
| Total assets at fair value | $ | 136,174 | $ | 3,712 | $ | - | $ | 139,886 | $ | 142,596 | $ | 13,885 | $ | - | $ | 156,481 | ||||||||||||||||
| Level 1 | Level 2 | Level 3 | Balance at December 31, 2008 | Level 1 | Level 2 | Level 3 | Fair Value at December 31, 2009 | |||||||||||||||||||||||||
| Derivative instruments – liabilities | $ | - | $ | (7,271 | ) | $ | - | $ | (7,271 | ) | $ | - | $ | (1,199 | ) | $ | - | $ | (1,199 | ) | ||||||||||||
| Total liabilities at fair value | $ | - | $ | (7,271 | ) | $ | - | $ | (7,271 | ) | $ | - | $ | (1,199 | ) | $ | - | $ | (1,199 | ) | ||||||||||||
| December 31, | December 31, | |||||||||||||||
| 2009 | 2008 | 2010 | 2009 | |||||||||||||
| Raw Materials | $ | 45,449 | $ | 44,503 | ||||||||||||
Raw materials | $ | 32,586 | $ | 45,449 | ||||||||||||
| Service parts | 7,794 | 8,772 | 9,818 | 7,794 | ||||||||||||
| Work in process | 252 | 269 | 92 | 252 | ||||||||||||
| Finished goods | 48,042 | 63,405 | 40,161 | 48,042 | ||||||||||||
| Inventories, net | $ | 101,537 | $ | 116,949 | ||||||||||||
Inventories | $ | 82,657 | $ | 101,537 | ||||||||||||
| December 31, | December 31, | |||||||||||||||
| 2009 | 2008 | 2010 | 2009 | |||||||||||||
| Land | $ | 4,924 | $ | 4,924 | $ | 4,924 | $ | 4,924 | ||||||||
| Buildings and improvements | 7,007 | 6,502 | 8,270 | 7,007 | ||||||||||||
| Machinery and equipment | 142,884 | 137,795 | 146,439 | 142,884 | ||||||||||||
| Total property, plant and equipment, at cost | 154,815 | 149,221 | 159,633 | 154,815 | ||||||||||||
| Less: accumulated depreciation | (117,432 | ) | (107,873 | ) | (123,313 | ) | (117,432 | ) | ||||||||
| Total property, plant and equipment, net | $ | 37,383 | $ | 41,348 | $ | 36,320 | $ | 37,383 | ||||||||
Buildings | 21-30 years |
Building improvements | 2-10 years |
Machinery and equipment | 2-10 years |
| December 31, | December 31, | |||||||||||||||
| 2009 | 2008 | 2010 | 2009 | |||||||||||||
| Gross carrying amount | $ | 12,059 | $ | 11,962 | $ | 13,126 | $ | 12,059 | ||||||||
| Less: accumulated amortization | (9,472 | ) | (8,441 | ) | (10,095 | ) | (9,472 | ) | ||||||||
| Intangibles, net | $ | 2,587 | $ | 3,521 | $ | 3,031 | $ | 2,587 | ||||||||
| Year Ended December 31, | ||||||||
| 2010 | 2009 | |||||||
Beginning balance | $ | 2,587 | $ | 3,521 | ||||
Additions | 1,370 | 117 | ||||||
Amortization | (886 | ) | (1,051 | ) | ||||
Sales | (40 | ) | - | |||||
Ending balance | $ | 3,031 | $ | 2,587 | ||||
| For the Year Ended December 31, | ||||||||||||
| 2010 | 2009 | 2008 | ||||||||||
Cost of revenues | $ | 252 | $ | 252 | $ | 229 | ||||||
Selling, general and administrative | 8,317 | 7,152 | 6,462 | |||||||||
Total | $ | 8,569 | $ | 7,404 | $ | 6,691 | ||||||
| For the Year Ended December 31, | ||||||||||||
| 2009 | 2008 | 2007 | ||||||||||
| Cost of revenues | $ | 252 | $ | 229 | $ | 507 | ||||||
| Selling, general and administrative | 7,152 | 6,462 | 8,464 | |||||||||
| Total | $ | 7,404 | $ | 6,691 | $ | 8,971 | ||||||
| 2009 | 2008 | 2007 | 2010 | 2009 | 2008 | |||||||||||||||||||
| Risk-free interest rate | 2.33 | % | 3.08 | % | 4.72 | % | 2.06 | % | 2.33 | % | 3.08 | % | ||||||||||||
| Expected term in years | 5.05 | 4.73 | 4.90 | 5.08 | 5.05 | 4.73 | ||||||||||||||||||
| Expected stock price volatility | 47.11 | % | 42.12 | % | 38.35 | % | 42.72 | % | 47.11 | % | 42.12 | % | ||||||||||||
| Expected dividend yield | 0.00 | % | 0.00 | % | 0.00 | % | 0.00 | % | 0.00 | % | 0.00 | % | ||||||||||||
| 2009 | 2008 | 2007 | ||||||||||
| Risk-free interest rate | 2.38 | % | 3.15 | % | 4.66 | % | ||||||
| Expected term in years | 6.45 | 6.59 | 5.78 | |||||||||
| Expected stock price volatility | 46.86 | % | 46.00 | % | 40.14 | % | ||||||
| Expected dividend yield | 0.00 | % | 0.00 | % | 0.00 | % | ||||||
| 2010 | 2009 | 2008 | ||||||||||
Risk-free interest rate | 2.08 | % | 2.38 | % | 3.15 | % | ||||||
Expected term in years | 6.51 | 6.45 | 6.59 | |||||||||
Expected stock price volatility | 44.29 | % | 46.86 | % | 46.00 | % | ||||||
Expected dividend yield | 0.00 | % | 0.00 | % | 0.00 | % | ||||||
| Number of Shares | Weighted-Average Exercise Price Per Share | Weighted-Average Remaining Contractual Term (In Years) | Aggregate Intrinsic Value | |||||||||||||
Outstanding at January 1, 2010 | 3,380,001 | $ | 18.83 | |||||||||||||
Granted | 776,622 | 11.42 | ||||||||||||||
Exercised | (133,988 | ) | 12.34 | |||||||||||||
Forfeited | (17,848 | ) | 11.51 | |||||||||||||
Canceled | (221,206 | ) | 20.55 | |||||||||||||
Outstanding at December 31, 2010 | 3,783,429 | 17.51 | 2.97 | $ | 3,208,311 | |||||||||||
Vested and expected to vest at December 31, 2010 | 2,139,728 | 19.55 | 5.89 | $ | 1,595,505 | |||||||||||
Exercisable at December 31, 2010 | 1,955,719 | 19.79 | 5.74 | $ | 1,476,884 | |||||||||||
| Number of Shares | Weighted-Average Exercise Price Per Share | Weighted-Average Remaining Contractual Term (In Years) | Aggregate Intrinsic Value | |||||||||||||
| Outstanding at January 1, 2009 | 3,280,232 | $ | 20.66 | |||||||||||||
| Granted | 829,002 | 11.52 | ||||||||||||||
| Exercised | (89,850 | ) | 6.54 | |||||||||||||
| Forfeited | (23,501 | ) | 12.05 | |||||||||||||
| Canceled | (615,882 | ) | 20.34 | |||||||||||||
| Outstanding at December 31, 2009 | 3,380,001 | 18.83 | 2.82 | $ | 3,059,726 | |||||||||||
| Vested and expected to vest at December 31, 2009 | 1,882,921 | 19.80 | 5.93 | $ | 2,136,773 | |||||||||||
| Exercisable at December 31, 2009 | 1,681,689 | 19.80 | 5.67 | $ | 1,994,705 | |||||||||||
| (in thousands) | 2009 | 2008 | 2007 | 2010 | 2009 | 2008 | ||||||||||||||||||
| Total intrinsic value of stock options exercised | $ | 594 | $ | 7,932 | $ | 8,004 | $ | 1,038 | $ | 594 | $ | 7,932 | ||||||||||||
| Total fair value of stock awards vested | 515 | 30 | 1,330 | 749 | 515 | 30 | ||||||||||||||||||
| Total fair value of shared performance stock awards vested | 855 | 855 | 1,236 | - | 855 | 855 | ||||||||||||||||||
| Restricted stock awards: | Number of Shares | Weighted-Average Grant Date Fair Value | ||||||||||||||
| Non-vested balance at January 1, 2009 | 46,667 | $ | 18.61 | |||||||||||||
| Restricted stock units: | Number of Shares | Weighted-Average Grant Date Fair Value | ||||||||||||||
Non-vested balance at January 1, 2010 | 215,841 | $ | 11.54 | |||||||||||||
| Granted | 240,017 | 11.01 | 614,832 | 11.11 | ||||||||||||
| Vested | (42,666 | ) | 12.06 | (58,386 | ) | 12.83 | ||||||||||
| Forfeited | (28,177 | ) | 11.38 | (16,101 | ) | 11.70 | ||||||||||
| Non-vested balance at December 31, 2009 | 215,841 | 11.54 | ||||||||||||||
Non-vested balance at December 31, 2010 | 756,186 | 11.09 | ||||||||||||||
| Shared performance stock awards: | ||||||||||||||||
| Non-vested balance at January 1, 2009 | 276,748 | $ | 22.84 | |||||||||||||
Non-vested balance at January 1, 2010 | 253,721 | $ | 15.62 | |||||||||||||
| Granted | 153,194 | 10.88 | 152,591 | 14.40 | ||||||||||||
| Vested | (81,836 | ) | 10.45 | - | - | |||||||||||
| Forfeited | (94,385 | ) | 16.17 | (10,334 | ) | 16.81 | ||||||||||
| Non-vested balance at December 31, 2009 | 253,721 | 15.62 | ||||||||||||||
Non-vested balance at December 31, 2010 | 395,978 | 12.72 | ||||||||||||||
| 2009 | 2008 | 2007 | 2010 | 2009 | 2008 | |||||||||||||||||||
| Weighted average common shares - basic | 61,643,892 | 61,182,854 | 60,358,552 | 61,363,522 | 61,643,892 | 61,182,854 | ||||||||||||||||||
| Dilutive effect of options, unvested restricted shares and other common stock equivalents | - | 475,306 | 804,658 | - | - | 475,306 | ||||||||||||||||||
| Weighted average shares - diluted | 61,643,892 | 61,658,160 | 61,163,210 | 61,363,522 | 61,643,892 | 61,658,160 | ||||||||||||||||||
| December 31, | December 31, | |||||||||||||||
| 2009 | 2008 | 2010 | 2009 | |||||||||||||
| Foreign currency translation adjustment | $ | 3,900 | $ | (792 | ) | $ | 1,443 | $ | 3,900 | |||||||
| Unamortized benefit plan costs, net of tax | (43,402 | ) | (49,645 | ) | (55,262 | ) | (43,402 | ) | ||||||||
| Unrealized loss on securities, net of tax | (182 | ) | (319 | ) | (298 | ) | (182 | ) | ||||||||
| Accumulated other comprehensive loss | $ | (39,684 | ) | $ | (50,756 | ) | $ | (54,117 | ) | $ | (39,684 | ) | ||||
| For the Year Ended | ||||||||||||
| December 31, 2009 | December 31, 2008 | December 31, 2007 | ||||||||||
| Net (loss) earnings | $ | (11,843 | ) | $ | 35,686 | $ | 23,052 | |||||
| Other comprehensive income (loss): | ||||||||||||
| Foreign currency translation adjustments | 4,692 | (9,729 | ) | 5,851 | ||||||||
| Unrealized gain (loss) on investment, net of tax | 137 | (319 | ) | 95 | ||||||||
| Remeasurement and amortization of benefit plan costs (credits), net of tax | 6,243 | (41,761 | ) | 22,668 | ||||||||
| Total other comprehensive income (loss) | 11,072 | (51,809 | ) | 28,614 | ||||||||
| Total comprehensive (loss) income | $ | (771 | ) | $ | (16,123 | ) | $ | 51,666 | ||||
| Restructuring Charges Recorded for the Year Ended | Restructuring Charges Recorded for the Year Ended | |||||||||||||||||||||||||||||||
| Segment | Total Charges Expected to be Incurred for 2008 and 2009 Restructuring Plans | December 31, 2009 | December 31, 2008 | Total Restructuring Charges Incurred to Date | December 31, 2010 | December 31, 2009 | December 31, 2008 | Total Restructuring Charges Incurred | ||||||||||||||||||||||||
| Product | $ | 3.4 | $ | 1.4 | $ | 1.7 | $ | 3.1 | $ | - | $ | 1.4 | $ | 1.7 | $ | 3.1 | ||||||||||||||||
| Service | 3.2 | 1.4 | 1.4 | 2.8 | - | 1.4 | 1.4 | 2.8 | ||||||||||||||||||||||||
| Unallocated | 22.3 | 17.8 | 2.6 | 20.4 | 2.8 | 17.8 | 2.6 | 23.2 | ||||||||||||||||||||||||
| Total | $ | 28.9 | $ | 20.6 | $ | 5.7 | $ | 26.3 | $ | 2.8 | $ | 20.6 | $ | 5.7 | $ | 29.1 | ||||||||||||||||
| Accrued Employee Termination Costs per Contract | Accrued One-Time Employee Termination Costs | Accrued Total Employee Termination Costs | Accrued Other Costs | Total Accrued Restructuring Charges | ||||||||||||||||
Restructuring charges for 2008 restructuring plan | $ | 3.0 | $ | 2.0 | $ | 5.0 | $ | 0.7 | $ | 5.7 | ||||||||||
Utilization of 2008 restructuring plan | (1.8 | ) | (2.0 | ) | (3.8 | ) | (0.6 | ) | (4.4 | ) | ||||||||||
Balance at December 31, 2008 | 1.2 | - | 1.2 | 0.1 | 1.3 | |||||||||||||||
Restructuring charges for 2009 restructuring plans | 8.5 | 10.7 | 19.2 | 1.4 | 20.6 | |||||||||||||||
Utilization of 2008 restructuring plan | (1.2 | ) | - | (1.2 | ) | - | (1.2 | ) | ||||||||||||
Utilization of 2009 restructuring plans | (5.9 | ) | (10.4 | ) | (16.3 | ) | (1.5 | ) | (17.8 | ) | ||||||||||
Balance at December 31, 2009 | 2.6 | 0.3 | 2.9 | - | 2.9 | |||||||||||||||
Restructuring charges recorded in 2010 | 0.5 | 0.6 | 1.1 | 1.7 | 2.8 | |||||||||||||||
Utilization of 2009 restructuring plans | (2.4 | ) | (0.9 | ) | (3.3 | ) | (0.3 | ) | (3.6 | ) | ||||||||||
Balance at December 31, 2010 | $ | 0.7 | $ | - | $ | 0.7 | $ | 1.4 | $ | 2.1 | ||||||||||
| Accrued Employee Termination Costs per Contract | Accrued One-Time Employee Termination Costs | Accrued Total Employee Termination Costs | Accrued Other Costs | Total Accrued Restructuring Charges | ||||||||||||||||
| Restructuring charges for 2008 restructuring plan | $ | 3.0 | $ | 2.0 | $ | 5.0 | $ | 0.7 | $ | 5.7 | ||||||||||
| Utilization of 2008 restructuring plan | (1.8 | ) | (2.0 | ) | (3.8 | ) | (0.6 | ) | (4.4 | ) | ||||||||||
| Balance at December 31, 2008 | 1.2 | - | 1.2 | 0.1 | 1.3 | |||||||||||||||
| 2009 restructuring charges | 8.5 | 10.7 | 19.2 | 1.4 | 20.6 | |||||||||||||||
| Utilization of 2008 restructuring plan | (1.2 | ) | - | (1.2 | ) | - | (1.2 | ) | ||||||||||||
| Utilization of 2009 restructuring plans | (5.9 | ) | (10.4 | ) | (16.3 | ) | (1.5 | ) | (17.8 | ) | ||||||||||
| Balance at December 31, 2009 | $ | 2.6 | $ | 0.3 | $ | 2.9 | $ | - | $ | 2.9 | ||||||||||
| Year Ended December 31, | Year Ended December 31, | |||||||||||||||||||||||
| 2009 | 2008 | 2007 | 2010 | 2009 | 2008 | |||||||||||||||||||
| United States | $ | (26,871 | ) | $ | 34,205 | $ | 26,180 | $ | 10,546 | $ | (26,871 | ) | $ | 34,205 | ||||||||||
| International | 7,736 | 15,096 | 12,998 | (10,322 | ) | 7,736 | 15,096 | |||||||||||||||||
| (Loss) earnings from continuing operations before income taxes | $ | (19,135 | ) | $ | 49,301 | $ | 39,178 | |||||||||||||||||
Earnings (loss) from continuing operations before income taxes | $ | 224 | $ | (19,135 | ) | $ | 49,301 | |||||||||||||||||
| Year Ended December 31, | ||||||||||||
| 2010 | 2009 | 2008 | ||||||||||
| Current: | ||||||||||||
United States | $ | (0 | ) | $ | (708 | ) | $ | (484 | ) | |||
State | (176 | ) | 1,993 | 744 | ||||||||
International | 6,319 | 3,067 | 3,596 | |||||||||
Total current | 6,143 | 4,352 | 3,856 | |||||||||
Deferred: | ||||||||||||
United States | 1,509 | (11,001 | ) | 8,971 | ||||||||
State | (291 | ) | (1,836 | ) | 1,097 | |||||||
International | (1,812 | ) | 222 | (309 | ) | |||||||
Total deferred | (594 | ) | (12,615 | ) | 9,759 | |||||||
Income tax expense (benefit) | $ | 5,549 | $ | (8,263 | ) | $ | 13,615 | |||||
| Year Ended December 31, | ||||||||||||
| 2009 | 2008 | 2007 | ||||||||||
| Current: | ||||||||||||
| United States | $ | (708 | ) | $ | (484 | ) | $ | - | ||||
| State | 1,993 | 744 | - | |||||||||
| International | 2,619 | 3,596 | 6,488 | |||||||||
| Total current | 3,904 | 3,856 | 6,488 | |||||||||
| Deferred: | ||||||||||||
| United States | (10,553 | ) | 8,110 | 7,688 | ||||||||
| State | (1,836 | ) | 1,958 | 865 | ||||||||
| International | 222 | (309 | ) | (198 | ) | |||||||
| Total deferred | (12,167 | ) | 9,759 | 8,355 | ||||||||
| Provision (benefit) for income taxes | $ | (8,263 | ) | $ | 13,615 | $ | 14,843 | |||||
| 2010 | 2009 | 2008 | ||||||||||
Tax at U.S. statutory rate | $ | 78 | $ | (6,697 | ) | $ | 17,255 | |||||
State income taxes, net of federal benefit | (467 | ) | 154 | 1,841 | ||||||||
Research and experimentation tax credits | (1,131 | ) | (942 | ) | (885 | ) | ||||||
U.S. tax on repatriation of earnings | 31 | 73 | 65 | |||||||||
Foreign net earnings taxed at other than U.S. statutory rate | 5,883 | (741 | ) | (1,442 | ) | |||||||
Foreign Tax Credit adjustments | - | - | (5,292 | ) | ||||||||
Tax settlements | (811 | ) | (810 | ) | (165 | ) | ||||||
Change in valuation allowance | 1,200 | 169 | 519 | |||||||||
Stock compensation expense | 692 | 778 | 841 | |||||||||
Other items | 74 | (247 | ) | 878 | ||||||||
Provision (benefit) for income taxes | $ | 5,549 | $ | (8,263 | ) | $ | 13,615 | |||||
| Year Ended December 31, | ||||||||||||
| 2009 | 2008 | 2007 | ||||||||||
| Tax at U.S. statutory rate | (35.0 | %) | 35.0 | % | 35.0 | % | ||||||
| State income taxes, net of federal benefit | 0.8 | % | 3.7 | % | 1.2 | % | ||||||
| Research and experimentation tax credits | (4.9 | %) | (1.8 | %) | (3.4 | %) | ||||||
| U.S. tax on repatriation of earnings | 0.4 | % | 0.1 | % | (0.9 | %) | ||||||
| Foreign net earnings taxed at other than U.S. statutory rate | (3.9 | %) | (2.9 | %) | 2.3 | % | ||||||
| Foreign Tax Credit adjustments | (0.0 | )% | (10.8 | %) | (0.0 | )% | ||||||
| Tax settlement | (4.2 | %) | (0.3 | %) | 0.0 | % | ||||||
| Change in tax contingencies | (0.0 | )% | 0.0 | % | (3.3 | %) | ||||||
| Change in valuation allowance | 1.0 | % | 1.1 | % | 5.6 | % | ||||||
| Stock compensation expense | 4.1 | % | 1.8 | % | 2.2 | % | ||||||
| Officers' life insurance | (0.0 | )% | 0.0 | % | (2.1 | %) | ||||||
| Other items | (1.5 | %) | 1.7 | % | 1.3 | % | ||||||
| Provision (benefit) for income taxes | (43.2 | %) | 27.6 | % | 37.9 | % | ||||||
| December 31, | ||||||||
| 2010 | 2009 | |||||||
| Current deferred tax assets: | ||||||||
Accrued expenses | $ | 7,623 | $ | 11,297 | ||||
Receivable and inventories | 11,506 | 11,567 | ||||||
Deferred income | 14,636 | 12,460 | ||||||
Net operating loss carryforwards | 238 | 1,986 | ||||||
Capitalized R&D | 5,946 | 5,084 | ||||||
Tax credit carryforwards | 5,581 | 9,439 | ||||||
Other items | 211 | 139 | ||||||
Total current deferred tax assets | 45,741 | 51,972 | ||||||
Valuation allowance | (16 | ) | (492 | ) | ||||
Net current deferred tax assets | $ | 45,725 | $ | 51,480 | ||||
Long-term deferred tax assets: | ||||||||
Postretirement obligations | 34,330 | 30,641 | ||||||
Intangibles | 949 | 4,395 | ||||||
Tax credit carryforwards | 82,194 | 77,053 | ||||||
Deferred income | 25,275 | 26,490 | ||||||
Fixed assets | (43 | ) | 1,577 | |||||
Net operating loss carryforwards | 6,069 | 1,919 | ||||||
Capitalized R&D | 40,440 | 37,266 | ||||||
Cumulative translation adjustments | 982 | 686 | ||||||
Other items | 7,067 | 4,171 | ||||||
Total long-term deferred tax assets | 197,263 | 184,198 | ||||||
Valuation allowance | (2,666 | ) | (1,665 | ) | ||||
Net long-term deferred tax assets | $ | 194,597 | $ | 182,533 | ||||
Current deferred tax liabilities: | ||||||||
Accrued expenses | $ | (26 | ) | $ | (704 | ) | ||
Deferred income | - | (60 | ) | |||||
Other items | - | (424 | ) | |||||
Net current deferred tax liabilities | $ | (26 | ) | $ | (340 | ) | ||
Long-term deferred tax liabilities: | ||||||||
Deferred income | $ | (41 | ) | $ | (118 | ) | ||
Fixed Assets | (27 | ) | - | |||||
Cumulative translation adjustments | (167 | ) | (2 | ) | ||||
Other items | (156 | ) | 44 | |||||
Net long-term deferred tax liabilities | $ | (391 | ) | $ | (76 | ) | ||
Net total deferred tax assets | $ | 239,905 | $ | 233,597 | ||||
| December 31, | ||||||||
| 2009 | 2008 | |||||||
| Current deferred tax assets: | ||||||||
| Accrued expenses | $ | 10,593 | $ | 13,246 | ||||
| Receivable and inventories | 11,991 | 12,476 | ||||||
| Deferred income | 12,400 | - | ||||||
| Net operating loss carryforwards | 1,986 | 23,901 | ||||||
| Capitalized R&D | 5,084 | 3,346 | ||||||
| Tax credit carryforwards | 9,439 | 6,265 | ||||||
| Other items | 139 | 1,342 | ||||||
| Total current deferred tax assets | 51,632 | 60,576 | ||||||
| Valuation allowance | (492 | ) | (4,281 | ) | ||||
| Net current deferred tax assets | 51,140 | 56,295 | ||||||
| Long-term deferred tax assets: | ||||||||
| Postretirement obligations | 30,641 | 33,652 | ||||||
| Intangibles | 4,395 | 6,413 | ||||||
| Tax credit carryforwards | 77,053 | 89,376 | ||||||
| Deferred income | 26,372 | 6,312 | ||||||
| Fixed assets | 1,578 | 1,381 | ||||||
| Net operating loss carryforwards | 1,919 | 1,092 | ||||||
| Capitalized R&D | 37,266 | 25,103 | ||||||
| Cumulative translation adjustments | 684 | 1,158 | ||||||
| Other items | 4,214 | 8,273 | ||||||
| Total long-term deferred tax assets | 184,122 | 172,760 | ||||||
| Valuation allowance | (1,665 | ) | (4,926 | ) | ||||
| Net long-term deferred tax assets | 182,457 | 167,834 | ||||||
| Net total deferred tax assets | $ | 233,597 | $ | 224,129 | ||||
| 2009 | 2008 | 2007 | 2010 | 2009 | 2008 | |||||||||||||||||||
| Balance at January 1 | $ | 19,938 | $ | 19,951 | 21,132 | $ | 27,605 | $ | 19,938 | $ | 19,951 | |||||||||||||
| Additions related to positions taken this year | 7,760 | 288 | - | 61 | 7,760 | 288 | ||||||||||||||||||
| Additions for tax positions of prior years | - | - | 641 | - | - | - | ||||||||||||||||||
| Reductions for tax positions of prior years | - | (42 | ) | (1,633 | ) | (3,381 | ) | - | (42 | ) | ||||||||||||||
| Reductions for tax positions of prior years-lapse of statute | (93 | ) | (150 | ) | (189 | ) | (77 | ) | (93 | ) | (150 | ) | ||||||||||||
| Settlements | - | (109 | ) | - | - | - | (109 | ) | ||||||||||||||||
| Balance at December 31 | $ | 27,605 | $ | 19,938 | 19,951 | $ | 24,208 | $ | 27,605 | $ | 19,938 | |||||||||||||
| 2009 | 2008 | 2010 | 2009 | |||||||||||||||||||||||||||||
| U.S. | Non-U.S. | U.S. | Non-U.S. | U.S. | Non-U.S. | U.S. | Non-U.S. | |||||||||||||||||||||||||
| Change in benefit obligations: | ||||||||||||||||||||||||||||||||
| Benefit obligation at beginning of year | $ | 191,122 | $ | 33,687 | $ | 174,263 | $ | 48,267 | $ | 198,617 | $ | 45,846 | $ | 191,122 | $ | 33,687 | ||||||||||||||||
| Service cost | 1,018 | - | 1,698 | 289 | (159 | ) | - | 1,018 | 296 | (a) | ||||||||||||||||||||||
| Interest cost | 11,795 | 1,846 | 13,727 | 2,458 | 11,762 | 2,144 | 11,795 | 1,846 | ||||||||||||||||||||||||
| Special termination benefits | (66 | ) | - | 851 | - | 139 | - | (66 | ) | - | ||||||||||||||||||||||
| Plan participants' contributions | 3,698 | - | 3,064 | - | 1,746 | - | 3,698 | - | ||||||||||||||||||||||||
| Actuarial loss (gain) | 5,101 | 9,496 | 5,772 | (3,583 | ) | 23,176 | 1,494 | 5,101 | 9,496 | |||||||||||||||||||||||
| Benefits paid | (7,740 | ) | (2,757 | ) | (7,597 | ) | (2,838 | ) | (8,074 | ) | (2,756 | ) | (7,740 | ) | (2,757 | ) | ||||||||||||||||
| Curtailment gain | (6,311 | ) | - | (656 | ) | - | - | - | (6,311 | ) | - | |||||||||||||||||||||
| Foreign currency translation adjustment | - | 3,574 | - | (10,906 | ) | - | (1,045 | ) | - | 3,278 | (a) | |||||||||||||||||||||
| Benefit obligation at end of year | $ | 198,617 | $ | 45,846 | $ | 191,122 | $ | 33,687 | $ | 227,207 | $ | 45,683 | $ | 198,617 | $ | 45,846 | ||||||||||||||||
| Change in plan assets: | ||||||||||||||||||||||||||||||||
| Fair value of plan assets at beginning of year | $ | 100,409 | $ | 32,897 | $ | 139,633 | $ | 55,908 | $ | 123,435 | $ | 39,601 | $ | 100,409 | $ | 32,897 | ||||||||||||||||
| Actual return on plan assets | 23,663 | 4,966 | (38,481 | ) | (8,700 | ) | 14,164 | 3,663 | 23,663 | 4,966 | ||||||||||||||||||||||
| Plan participants' contributions | 3,698 | - | 3,064 | - | 1,746 | - | 3,698 | - | ||||||||||||||||||||||||
| Employer contributions | 3,405 | 978 | 3,790 | 755 | 3,536 | 2,070 | 3,405 | 978 | ||||||||||||||||||||||||
| Benefits paid | (7,740 | ) | (2,757 | ) | (7,597 | ) | (2,838 | ) | (8,074 | ) | (2,756 | ) | (7,740 | ) | (2,757 | ) | ||||||||||||||||
| Foreign currency translation adjustment | - | 3,517 | - | (12,228 | ) | - | (1,198 | ) | - | 3,517 | ||||||||||||||||||||||
| Fair value of plan assets at end of year | $ | 123,435 | $ | 39,601 | $ | 100,409 | $ | 32,897 | $ | 134,807 | $ | 41,380 | $ | 123,435 | $ | 39,601 | ||||||||||||||||
| Funded status | (75,182 | ) | (6,245 | ) | (90,713 | ) | (790 | ) | (92,400 | ) | (4,303 | ) | (75,182 | ) | (6,245 | ) | ||||||||||||||||
| Net amount recognized | $ | (75,182 | ) | $ | (6,245 | ) | $ | (90,713 | ) | $ | (790 | ) | $ | (92,400 | ) | $ | (4,303 | ) | $ | (75,182 | ) | $ | (6,245 | ) | ||||||||
| December 31, 2010 | December 31, 2009 | |||||||||||||||
| U.S. | Non-U.S. | U.S. | Non-U.S. | |||||||||||||
Noncurrent assets | $ | - | $ | - | $ | - | $ | - | ||||||||
Current liabilities | (3,630 | ) | - | (3,427 | ) | - | ||||||||||
Noncurrent liabilities | (88,770 | ) | (4,303 | ) | (71,755 | ) | (6,245 | ) | ||||||||
Net amount recognized | $ | (92,400 | ) | $ | (4,303 | ) | $ | (75,182 | ) | $ | (6,245 | ) | ||||
| December 31, 2009 | December 31, 2008 | |||||||||||||||
| U.S. | Non-U.S. | U.S. | Non-U.S. | |||||||||||||
| Noncurrent assets | $ | - | $ | - | $ | - | $ | 260 | ||||||||
| Current liabilities | (3,427 | ) | - | (3,427 | ) | - | ||||||||||
| Noncurrent liabilities | (71,755 | ) | (6,245 | ) | (87,286 | ) | (1,050 | ) | ||||||||
| Net amount recognized | $ | (75,182 | ) | $ | (6,245 | ) | $ | (90,713 | ) | $ | (790 | ) | ||||
| For the Year Ended | ||||||||
| December 31, 2009 | December 31, 2008 | |||||||
| Prior service cost | $ | - | $ | (826 | ) | |||
| Actuarial gain | (67,320 | ) | (76,238 | ) | ||||
| Total in accumulated other comprehensive loss | $ | (67,320 | ) | $ | (77,064 | ) | ||
| December 31, 2010 | December 31, 2009 | |||||||
Actuarial loss | $ | (85,732 | ) | $ | (67,320 | ) | ||
Total in accumulated other comprehensive loss | $ | (85,732 | ) | $ | (67,320 | ) | ||
| Pension Plans | ||||
Recognized actuarial loss | $ | (849 | ) | |
Transition assets | (132 | ) | ||
Total | $ | (981 | ) | |
| December 31, 2010 | December 31, 2009 | |||||||||||||||
| U.S. | Non-U.S. | U.S. | Non-U.S. | |||||||||||||
Projected benefit obligation | $ | 227,207 | $ | 45,683 | $ | 198,617 | $ | 45,846 | ||||||||
Accumulated benefit obligation | $ | 227,207 | $ | 45,683 | $ | 198,617 | $ | 45,846 | ||||||||
Fair value of plan assets | $ | 134,807 | $ | 41,380 | $ | 123,435 | $ | 39,601 | ||||||||
| December 31, 2009 | December 31, 2008 | |||||||||||||||
| U.S. | Non-U.S. | U.S. | Non-U.S. | |||||||||||||
| Projected benefit obligation | $ | 198,617 | $ | 45,846 | $ | 191,122 | $ | 2,568 | ||||||||
| Accumulated benefit obligation | $ | 198,617 | $ | 45,846 | $ | 184,392 | $ | 1,518 | ||||||||
| Fair value of plan assets | $ | 123,435 | $ | 39,601 | $ | 100,409 | $ | 2,022 | ||||||||
| December 31, 2010 | December 31, 2009 | |||||||||||||||
| U.S. | Non-U.S. | U.S. | Non-U.S. | |||||||||||||
Discount rate | 5.43 | % | 5.13 | % | 6.04 | % | 5.32 | % | ||||||||
| December 31, 2009 | December 31, 2008 | |||||||||||||||
| U.S. | Non-U.S. | U.S. | Non-U.S. | |||||||||||||
| Discount rate | 6.04 | % | 5.32 | % | 6.24 | % | 5.80 | % | ||||||||
| Expected return on plan assets | 8.00 | % | 5.41 | % | 8.50 | % | 6.37 | % | ||||||||
| Rate of compensation increase | 4.00 | % | 3.51 | % | 4.00 | % | 2.80 | % | ||||||||
| Year Ended December 31, | Year Ended December 31, | |||||||||||||||||||||||||||||||||||||||||||||||
| 2009 | 2008 | 2007 | 2010 | 2009 | 2008 | |||||||||||||||||||||||||||||||||||||||||||
| U.S. | Non-U.S. | U.S. | Non-U.S. | U.S. | Non-U.S. | U.S. | Non-U.S. | U.S. | Non-U.S. | U.S. | Non-U.S. | |||||||||||||||||||||||||||||||||||||
| Components of net periodic pension cost (income): | Components of net periodic pension cost (income): | Components of net periodic pension cost (income): | ||||||||||||||||||||||||||||||||||||||||||||||
| Service cost | $ | 1,018 | $ | 296 | $ | 1,332 | $ | 290 | $ | 1,810 | $ | - | $ | (159 | ) | $ | - | $ | 1,018 | $ | 296 | $ | 1,332 | $ | 290 | |||||||||||||||||||||||
| Interest cost | 11,795 | 1,846 | 11,022 | 2,458 | 10,712 | 2,591 | 11,762 | 2,144 | 11,795 | 1,846 | 11,022 | 2,458 | ||||||||||||||||||||||||||||||||||||
| Expected return on plan assets | (10,745 | ) | (2,236 | ) | (11,428 | ) | (3,137 | )(a) | (10,443 | ) | (3,127 | ) | (11,210 | ) | (2,095 | ) | (10,745 | ) | (2,236 | ) | (11,428 | ) | (3,137 | ) | ||||||||||||||||||||||||
| Amortization of prior service cost | 425 | - | 576 | - | 577 | - | 264 | - | 425 | - | 576 | - | ||||||||||||||||||||||||||||||||||||
| Recognized net actuarial loss | 25 | 37 | 769 | - | 3,768 | 411 | 891 | 536 | 25 | 37 | 769 | - | ||||||||||||||||||||||||||||||||||||
| Amortization of transition asset | - | (125 | ) | - | (125 | ) | - | (169 | ) | - | (132 | ) | - | (125 | ) | - | (125 | ) | ||||||||||||||||||||||||||||||
| Special termination benefits | - | - | 851 | - | - | - | - | - | - | - | 851 | - | ||||||||||||||||||||||||||||||||||||
| Curtailment (gain) loss | (722 | ) | - | 7 | - | - | - | - | - | (722 | ) | - | 7 | - | ||||||||||||||||||||||||||||||||||
| Subtotal | 1,796 | (182 | ) | 3,129 | (514 | ) | 6,423 | (294 | ) | |||||||||||||||||||||||||||||||||||||||
Subtotal - defined benefit plans | 1,548 | 453 | 1,796 | (182 | ) | 3,129 | (514 | ) | ||||||||||||||||||||||||||||||||||||||||
| Defined contribution plans | 116 | - | 129 | - | 350 | 730 | 34 | - | 116 | - | 129 | - | ||||||||||||||||||||||||||||||||||||
| Net periodic pension cost (income) | $ | 1,912 | $ | (182 | ) | $ | 3,258 | $ | (514 | ) | $ | 6,773 | $ | 436 | $ | 1,582 | $ | 453 | $ | 1,912 | $ | (182 | ) | $ | 3,258 | $ | (514 | ) | ||||||||||||||||||||
| U.S. | Non-U.S. | |||||||||||||||||||
| 12 Months Ended December 31, 2010 | 12 Months Ended December 31, 2009 | 15 Months Ended December 31, 2008 | 12 Months Ended December 31, 2010 | 12 Months Ended December 31, 2009 | 15 Months Ended December 31, 2008 | |||||||||||||||
Discount rate | 6.04 | % | 7.31 | % | 5.80 | % | 5.32 | % | 5.79 | % | 5.05 | % | ||||||||
Expected return on plan assets | 8.20 | % | 8.00 | % | 8.50 | % | 5.41 | % | 5.41 | % | 6.37 | % | ||||||||
| U.S. | Non-U.S. | |||||||||||||||||||||||
| 12 Months Ended December 31, 2009 | 15 Months Ended December 31, 2008 | 12 Months Ended September 30, 2007 | 12 Months Ended December 31, 2009 | 15 Months Ended December 31, 2008 | 12 Months Ended September 30, 2007 | |||||||||||||||||||
| Discount rate | 7.31 | % | 5.80 | % | 6.35 | % | 5.79 | % | 5.05 | % | 5.90 | % | ||||||||||||
| Expected return on plan assets | 8.00 | % | 8.50 | % | 8.75 | % | 5.41 | % | 6.37 | % | 6.40 | % | ||||||||||||
| Rate of compensation increase | 4.00 | % | 4.00 | % | 4.00 | % | 2.71 | % | 2.80 | % | 3.00 | % | ||||||||||||
| Years | U.S. | Non-U.S. | U.S. | Non-U.S. | ||||||||||||
| 2010 | $ | 7,434 | $ | 2,289 | ||||||||||||
| 2011 | 7,837 | 2,336 | $ | 8,253 | $ | 2,140 | ||||||||||
| 2012 | 8,587 | 2,381 | 8,989 | 2,183 | ||||||||||||
| 2013 | 9,295 | 2,430 | 9,715 | 2,226 | ||||||||||||
| 2014 | 9,851 | 2,478 | 10,239 | 2,271 | ||||||||||||
| 2015 through 2019 | 59,354 | 13,019 | ||||||||||||||
2015 | 10,975 | 2,317 | ||||||||||||||
2016 through 2020 | 65,691 | 12,171 | ||||||||||||||
| Allocation of Plan Assets at Measurement Date | Allocation of Plan Assets at Measurement Date | |||||||||||||||||||||||
| U.S. Pension Plans | Target Allocation | 2009 | 2008 | Target Allocation | 2010 | 2009 | ||||||||||||||||||
| Equity securities | 65 | % | 57 | % | 52 | % | 70 | % | 71 | % | 57 | % | ||||||||||||
| Debt securities | 29 | % | 36 | % | 38 | % | 29 | % | 26 | % | 36 | % | ||||||||||||
| Other | 5 | % | 3 | % | 5 | % | - | % | 2 | % | 3 | % | ||||||||||||
| Cash and cash equivalents | 1 | % | 4 | % | 5 | % | 1 | % | 1 | % | 4 | % | ||||||||||||
| Total | 100 | % | 100 | % | 100 | % | 100 | % | 100 | % | 100 | % | ||||||||||||
| Allocation of Plan Assets at Measurement Date | Allocation of Plan Assets at Measurement Date | |||||||||||||||||||||||
| Non-U.S. Pension Plans | Target Allocation | 2009 | 2008 | Target Allocation | 2010 | 2009 | ||||||||||||||||||
| Equity securities: | 50 | % | 53 | % | 50 | % | 50 | % | 54 | % | 53 | % | ||||||||||||
| Debt securities: | 50 | % | 45 | % | 49 | % | 50 | % | 45 | % | 45 | % | ||||||||||||
| Cash and cash equivalents and other | - | 2 | % | 1 | % | - | 1 | % | 2 | % | ||||||||||||||
| Total | 100 | % | 100 | % | 100 | % | 100 | % | 100 | % | 100 | % | ||||||||||||
| Level 1 | Level 2 | Level 3 | Balance at December 31, 2009 | |||||||||||||
| Cash and cash equivalents (a) | $ | - | $ | 14,402 | $ | - | $ | 14,402 | ||||||||
| Corporate debt securities (b) | 22,671 | - | - | 22,671 | ||||||||||||
| Corporate stocks: | ||||||||||||||||
| U.S. large cap value | 28,681 | - | - | 28,681 | ||||||||||||
| U.S. large cap growth | 28,798 | - | - | 28,798 | ||||||||||||
| Limited partnerships (c ) | - | - | 1,089 | 1,089 | ||||||||||||
| Mortgage-backed securities (d) | 20,048 | - | - | 20,048 | ||||||||||||
| Private equity fund (e) | - | - | 2,407 | 2,407 | ||||||||||||
| U.S. Treasury notes | 2,099 | - | - | 2,099 | ||||||||||||
| U.S. corporate stock large cap mutual fund | 12,410 | - | - | 12,410 | ||||||||||||
| Total investments | 114,707 | 14,402 | 3,496 | 132,605 | ||||||||||||
| Net payable for investments purchased | (9,847 | ) | - | - | (9,847 | ) | ||||||||||
| Other receivables | - | - | 677 | 677 | ||||||||||||
| Total pension assets | $ | 104,860 | $ | 14,402 | $ | 4,173 | $ | 123,435 | ||||||||
| Level 1 | Level 2 | Level 3 | Fair Value at December 31, 2010 | |||||||||||||
Cash and cash equivalents (a) | $ | - | $ | 861 | $ | - | $ | 861 | ||||||||
Common collective trust units: (b) | ||||||||||||||||
Passive U.S. large cap equity | - | 45,307 | - | 45,307 | ||||||||||||
U.S. small/mid cap growth equity | - | 7,849 | - | 7,849 | ||||||||||||
U.S. small/mid cap value equity | - | 7,648 | - | 7,648 | ||||||||||||
Non-U.S. core equity | - | 19,209 | - | 19,209 | ||||||||||||
Passive U.S. core fixed income | - | 35,636 | - | 35,636 | ||||||||||||
Limited partnerships (d) | - | - | 1,012 | 1,012 | ||||||||||||
Private equity fund (f) | - | - | 2,242 | 2,242 | ||||||||||||
| U.S. corporate stock large cap mutual fund | 14,630 | - | - | 14,630 | ||||||||||||
U.S. mid cap corporate stocks | 398 | - | - | 398 | ||||||||||||
Total investments | 15,028 | 116,510 | 3,254 | 134,792 | ||||||||||||
Net payable for investments purchased | - | - | - | - | ||||||||||||
Other receivables, net | - | - | 15 | 15 | ||||||||||||
Total pension assets | $ | 15,028 | $ | 116,510 | $ | 3,269 | $ | 134,807 | ||||||||
| Level 1 | Level 2 | Level 3 | Fair Value at December 31, 2009 | |||||||||||||
Cash and cash equivalents (a) | $ | - | $ | 14,402 | $ | - | $ | 14,402 | ||||||||
Corporate debt securities (c) | 22,671 | - | - | 22,671 | ||||||||||||
Corporate stocks: | ||||||||||||||||
U.S. large cap value | 28,681 | - | - | 28,681 | ||||||||||||
U.S. large cap growth | 28,798 | - | - | 28,798 | ||||||||||||
Limited partnerships (d) | - | - | 1,089 | 1,089 | ||||||||||||
Mortgage-backed securities (e) | 20,048 | - | - | 20,048 | ||||||||||||
Private equity fund (f) | - | - | 2,407 | 2,407 | ||||||||||||
U.S. Treasury notes | 2,099 | - | - | 2,099 | ||||||||||||
U.S. corporate stock large cap mutual fund | 12,410 | - | - | 12,410 | ||||||||||||
Total investments | 114,707 | 14,402 | 3,496 | 132,605 | ||||||||||||
Net payable for investments purchased | (9,847 | ) | - | - | (9,847 | ) | ||||||||||
Other receivables | - | - | 677 | 677 | ||||||||||||
Total pension assets | $ | 104,860 | $ | 14,402 | $ | 4,173 | $ | 123,435 | ||||||||
| (a) | Cash and cash equivalents include cash in a private money market fund managed by the Plan’s trustee. |
| Corporate debt securities are investment grade bonds of U.S. issuers in a wide range of industries. |
| Limited partnerships include a partnership invested in distressed debt and equity issued by |
| Mortgage-backed securities held were issued primarily by Federal Home Loan Mortgage Corporation (FHLMC) and Federal National Mortgage Association (FNMA), which are government-sponsored enterprises of the U.S. federal government. Securities are guaranteed by the issuer. |
| The private equity fund is invested in distressed debt and equity issued by |
| Limited Partnerships | Private Equity Fund | Other Receivables (payables), net | Total | Limited Partnerships | Private Equity Fund | Other Receivables (payables), net | Total | |||||||||||||||||||||||||
| Balance at December 31, 2008 | 2,279 | 3,447 | 461 | 6,187 | $ | 2,279 | $ | 3,447 | $ | 461 | $ | 6,187 | ||||||||||||||||||||
| Actual return on plan assets: | ||||||||||||||||||||||||||||||||
| Relating to assets still held at the reporting date | (576) | (1,040) | 216 | (1,400) | (576 | ) | (1,040 | ) | 216 | (1,400 | ) | |||||||||||||||||||||
| Relating to assets sold during the period | (614) | - | - | (614) | (614 | ) | - | - | (614 | ) | ||||||||||||||||||||||
| Balance at December 31, 2009 | 1,089 | 2,407 | 677 | 4,173 | $ | 1,089 | $ | 2,407 | $ | 677 | $ | 4,173 | ||||||||||||||||||||
Actual return on plan assets: | ||||||||||||||||||||||||||||||||
Relating to assets still held at the reporting date | 14 | 121 | (662 | ) | (527 | ) | ||||||||||||||||||||||||||
Relating to assets sold during the period | (91 | ) | (286 | ) | - | (377 | ) | |||||||||||||||||||||||||
Balance at December 31, 2010 | $ | 1,012 | $ | 2,242 | $ | 15 | $ | 3,269 | ||||||||||||||||||||||||
| Level 1 | Level 2 | Level 3 | Fair Value at December 31, 2010 | |||||||||||||
Cash and cash equivalents | $ | 421 | $ | - | $ | - | $ | 421 | ||||||||
Corporate debt pooled unit funds (a) | - | 18,042 | - | 18,042 | ||||||||||||
Global corporate stock pooled unit funds (b) | - | 21,478 | - | 21,478 | ||||||||||||
Insurance and reinsurance contracts | - | 1,439 | - | 1,439 | ||||||||||||
Total pension assets | $ | 421 | $ | 40,959 | $ | - | $ | 41,380 | ||||||||
| Level 1 | Level 2 | Level 3 | Balance at December 31, 2009 | Level 1 | Level 2 | Level 3 | Fair Value at December 31, 2009 | |||||||||||||||||||||||||
| Cash and cash equivalents | $ | 748 | $ | - | $ | - | $ | 748 | $ | 748 | $ | - | $ | - | $ | 748 | ||||||||||||||||
| Corporate debt pooled unit funds (a) | - | 16,985 | - | 16,985 | - | 16,985 | - | 16,985 | ||||||||||||||||||||||||
| Global corporate stock pooled unit funds (b) | - | 20,325 | - | 20,325 | - | 20,325 | - | 20,325 | ||||||||||||||||||||||||
| Insurance and reinsurance contracts | - | 1,543 | - | 1,543 | - | 1,543 | - | 1,543 | ||||||||||||||||||||||||
| Total pension assets | $ | 748 | $ | 38,853 | $ | - | $ | 39,601 | $ | 748 | $ | 38,853 | $ | - | $ | 39,601 | ||||||||||||||||
| (a) | Corporate debt pooled unit fund includes units held in unit-linked pooled policies structured under U.K. securities and pension regulations. The policy managers invested in investment grade corporate debt securities issued in developed markets for the benefit of the policy. |
| (b) | Global corporate stock pooled unit fund includes units held in unit-linked pooled policies structured under U.K. securities and pension regulations. The policy managers invested in corporate stocks issued in markets in the U.S., U.K., European continent, Japan and other Asian countries. |
| Year Ended December 31, | ||||||||
| 2010 | 2009 | |||||||
| Change in postretirement benefit obligations: | ||||||||
Benefit obligation at beginning of year | $ | 4,267 | $ | 4,161 | ||||
Service cost | (898 | ) (a) | - | |||||
Interest cost | 225 | 255 | ||||||
Actuarial loss (gain) | (30 | ) | 45 | |||||
Benefits paid | (251 | ) | (194 | ) | ||||
Benefit obligation at end of year | $ | 3,313 | $ | 4,267 | ||||
Funded status | $ | (3,313 | ) | $ | (4,267 | ) | ||
Accrued postretirement benefit obligation | $ | (3,313 | ) | $ | (4,267 | ) | ||
| Year Ended December 31, | ||||||||
| 2009 | 2008 | |||||||
| Change in postretirement benefit obligations: | ||||||||
| Benefit obligation at beginning of year | $ | 4,161 | $ | 3,026 | ||||
| Adjustment to retained earnings at January 1, 2008 | - | 1,370 | ||||||
| Interest cost | 255 | 298 | ||||||
| Actuarial loss (gain) | 45 | (143 | ) | |||||
| Benefits paid | (194 | ) | (390 | ) | ||||
| Benefit obligation at end of year | $ | 4,267 | $ | 4,161 | ||||
| Funded status | $ | (4,267 | ) | $ | (4,161 | ) | ||
| Accrued postretirement benefit obligation | $ | (4,267 | ) | $ | (4,161 | ) | ||
| December 31, | ||||||||
| 2010 | 2009 | |||||||
Current liabilities | $ | (462 | ) | $ | (371 | ) | ||
Noncurrent liabilities | (2,851 | ) | (3,896 | ) | ||||
Net amount recognized | $ | (3,313 | ) | $ | (4,267 | ) | ||
| Year Ended December 31, | ||||||||
| 2009 | 2008 | |||||||
| Current liabilities | $ | (371 | ) | $ | (371 | ) | ||
| Noncurrent liabilities | (3,896 | ) | (3,790 | ) | ||||
| Net amount recognized | $ | (4,267 | ) | $ | (4,161 | ) | ||
| Year Ended December 31, | ||||||||||||
| 2010 | 2009 | 2008 | ||||||||||
| Components of net periodic postretirement cost: | ||||||||||||
Interest cost | $ | 225 | $ | 254 | $ | 254 | ||||||
Net periodic postretirement cost | $ | 225 | $ | 254 | $ | 254 | ||||||
| Year Ended December 31, | ||||||||||||
| 2009 | 2008 | 2007 | ||||||||||
| Components of net periodic postretirement cost: | ||||||||||||
| Interest cost | $ | 254 | $ | 254 | $ | 177 | ||||||
| Net periodic postretirement cost | $ | 254 | $ | 254 | $ | 177 | ||||||
| Year Ended December 31, | Year Ended December 31, | |||||||||||||||
| 2009 | 2008 | 2010 | 2009 | |||||||||||||
| Beginning balance | $ | 4,220 | $ | 4,305 | $ | 2,913 | $ | 4,220 | ||||||||
| Payments or parts usage | (5,789 | ) | (2,402 | ) | (4,688 | ) | (5,789 | ) | ||||||||
| Additional provision | 4,482 | 2,317 | 4,330 | 4,482 | ||||||||||||
| Ending balance | $ | 2,913 | $ | 4,220 | $ | 2,555 | $ | 2,913 | ||||||||
| Year Ended December 31, | Year Ended December 31, | |||||||||||||||||||||||
| 2009 | 2008 | 2007 | 2010 | 2009 | 2008 | |||||||||||||||||||
| Revenues: | ||||||||||||||||||||||||
| Product | $ | 519,603 | $ | 738,426 | $ | 692,050 | $ | 542,783 | $ | 519,603 | $ | 738,426 | ||||||||||||
| Service | 138,602 | 152,457 | 157,170 | 136,328 | 138,602 | 152,457 | ||||||||||||||||||
| Total | $ | 658,205 | $ | 890,883 | $ | 849,220 | $ | 679,111 | $ | 658,205 | $ | 890,883 | ||||||||||||
| Gross profit: | ||||||||||||||||||||||||
| Product | $ | 188,475 | $ | 290,210 | $ | 259,884 | $ | 204,562 | $ | 188,475 | $ | 290,210 | ||||||||||||
| Service | 60,083 | 64,576 | 66,982 | 56,710 | 60,083 | 64,576 | ||||||||||||||||||
| Total | $ | 248,558 | $ | 354,786 | $ | 326,866 | $ | 261,272 | $ | 248,558 | $ | 354,786 | ||||||||||||
| Year Ended December 31, | Year Ended December 31, | |||||||||||||||||||||||
| 2009 | 2008 | 2007 | 2010 | 2009 | 2008 | |||||||||||||||||||
| Revenues by product line: | ||||||||||||||||||||||||
| Systems and solutions | $ | 368,188 | $ | 542,100 | $ | 485,637 | $ | 379,143 | $ | 368,188 | $ | 542,100 | ||||||||||||
| Printer and media | 151,415 | 196,326 | 206,414 | 163,640 | 151,415 | 196,326 | ||||||||||||||||||
| Service | 138,602 | 152,457 | 157,170 | 136,328 | 138,602 | 152,457 | ||||||||||||||||||
| Total | $ | 658,205 | $ | 890,883 | $ | 849,221 | $ | 679,111 | $ | 658,205 | $ | 890,883 | ||||||||||||
| Year Ended December 31, | Year Ended December 31, | |||||||||||||||||||||||
| 2009 | 2008 | 2007 | 2010 | 2009 | 2008 | |||||||||||||||||||
| Revenues by geographic region: | ||||||||||||||||||||||||
| North America | $ | 373,199 | $ | 492,807 | $ | 422,934 | $ | 344,100 | $ | 373,199 | $ | 492,807 | ||||||||||||
| Europe, Middle East and Africa | 186,816 | 290,351 | 290,395 | 212,998 | 186,816 | 290,351 | ||||||||||||||||||
| All others | 98,190 | 107,725 | 135,892 | 122,013 | 98,190 | 107,725 | ||||||||||||||||||
| Total | $ | 658,205 | $ | 890,883 | $ | 849,221 | $ | 679,111 | $ | 658,205 | $ | 890,883 | ||||||||||||
| Year Ended December 31, | ||||||||
| 2010 | 2009 | |||||||
North America | $ | 31,179 | $ | 33,241 | ||||
Europe, Middle East and Africa | 2,030 | 1,400 | ||||||
All others | 3,111 | 2,742 | ||||||
Total | $ | 36,320 | $ | 37,383 | ||||
| Year Ended December 31, | ||||||||
| 2009 | 2008 | |||||||
| North America | $ | 67,753 | $ | 69,543 | ||||
| Europe, Middle East and Africa | 3,074 | 3,066 | ||||||
| All others | 3,166 | 1,764 | ||||||
| Total | $ | 73,993 | $ | 74,373 | ||||
| 2009 | 2010 | |||||||||||||||||||||||||||||||
| Q1 | Q2 | Q3 | Q4 | Q1 | Q2 | Q3 | Q4 | |||||||||||||||||||||||||
| Revenues | $ | 162.6 | $ | 157.7 | $ | 158.8 | $ | 179.1 | $ | 149.2 | $ | 161.2 | $ | 168.7 | $ | 200.0 | ||||||||||||||||
| Gross profit | 59.1 | 57.1 | 61.3 | 71.1 | 57.0 | 59.4 | 65.5 | 79.4 | ||||||||||||||||||||||||
| Net (loss) earnings | (10.4 | ) | (6.5 | ) | 0.0 | 5.1 | (3.6 | ) | (2.7 | ) | (6.9 | ) | 7.9 | |||||||||||||||||||
| Basic (loss) earnings per share | $ | (0.17 | ) | $ | (0.11 | ) | $ | 0.00 | $ | 0.08 | $ | (0.06 | ) | $ | (0.04 | ) | $ | (0.11 | ) | $ | 0.13 | |||||||||||
| Diluted (loss) earnings per share | $ | (0.17 | ) | $ | (0.11 | ) | $ | 0.00 | $ | 0.08 | $ | (0.06 | ) | $ | (0.04 | ) | $ | (0.11 | ) | $ | 0.13 | |||||||||||
| Common stock sales price per share: | ||||||||||||||||||||||||||||||||
| High | $ | 14.50 | $ | 12.80 | $ | 15.64 | $ | 15.16 | ||||||||||||||||||||||||
| Low | $ | 8.68 | $ | 9.98 | $ | 12.02 | $ | 10.36 | ||||||||||||||||||||||||
| 2008 | ||||||||||||||||
| Q1 | Q2 | Q3 | Q4 | |||||||||||||
| Revenues | $ | 216.8 | $ | 218.3 | $ | 234.4 | $ | 221.5 | ||||||||
| Gross profit | 87.4 | 88.9 | 91.6 | 86.8 | ||||||||||||
| Net earnings | 7.7 | 7.7 | 11.0 | 9.3 | ||||||||||||
| Basic earnings per share | $ | 0.13 | $ | 0.13 | $ | 0.18 | $ | 0.15 | ||||||||
| Diluted earnings per share | $ | 0.13 | $ | 0.13 | $ | 0.18 | $ | 0.15 | ||||||||
| Common stock sales price per share: | ||||||||||||||||
| High | $ | 24.86 | $ | 24.96 | $ | 23.00 | $ | 19.65 | ||||||||
| Low | $ | 17.53 | $ | 19.56 | $ | 15.09 | $ | 9.29 | ||||||||
| 2009 | ||||||||||||||||
| Q1 | Q2 | Q3 | Q4 | |||||||||||||
Revenues | $ | 162.6 | $ | 157.7 | $ | 158.8 | $ | 179.1 | ||||||||
Gross profit | 59.1 | 57.1 | 61.3 | 71.1 | ||||||||||||
Net earnings | (10.4 | ) | (6.5 | ) | 0.0 | 5.1 | ||||||||||
Basic earnings per share | $ | (0.17 | ) | $ | (0.11 | ) | $ | 0.00 | $ | 0.08 | ||||||
Diluted earnings per share | $ | (0.17 | ) | $ | (0.11 | ) | $ | 0.00 | $ | 0.08 | ||||||
| Three Months Ended March 28, 2010 | Three Months Ended March 29, 2009 | |||||||||||||||
| As Reported | As Restated | As Reported | As Restated | |||||||||||||
| Cash flows from operating activities: | ||||||||||||||||
Deferred taxes | $ | (3,195 | ) | $ | (3,230 | ) | $ | (6,183 | ) | $ | (6,222 | ) | ||||
Excess tax shortfall from stock-based payment arrangements | - | - | 557 | - | ||||||||||||
Changes in operating assets and liabilities: | ||||||||||||||||
Accounts receivable | 6,573 | 4,129 | 30,613 | 28,418 | ||||||||||||
Inventories | 6,683 | 5,727 | 9,228 | 8,480 | ||||||||||||
Accounts payable and accrued expenses | (22,166 | ) | (21,485 | ) | (31,192 | ) | (30,346 | ) | ||||||||
Other long-term liabilities | 2,785 | 3,201 | 975 | 1,147 | ||||||||||||
Other operating activities | (1,007 | ) | (628 | ) | 484 | 799 | ||||||||||
Net cash (used in) provided by operating activities | (5,900 | ) | (7,859 | ) | 91 | (2,115 | ) | |||||||||
Cash flows from financing activities: | ||||||||||||||||
Excess tax shortfall from stock-based payment arrangements | - | - | (557 | ) | - | |||||||||||
Effect of exchange rate changes on cash and cash equivalents | $ | (3,944 | ) | $ | (1,985 | ) | $ | (3,567 | ) | $ | (1,918 | ) | ||||
| Balance at Beginning of Period | Costs Charged to Expenses | Deductions and Write-offs | Balance at End of Period | Balance at Beginning of Period | Costs Charged to Expenses | Deductions and Write-offs | Balance at End of Period | |||||||||||||||||||||||||
| As of December 31, 2010 | ||||||||||||||||||||||||||||||||
Allowance for uncollectible accounts receivable | $ | 1,327 | $ | 1,348 | $ | (522 | ) | $ | 2,153 | |||||||||||||||||||||||
Allowance for sales returns | 9,006 | (3,637 | ) | - | 5,369 | |||||||||||||||||||||||||||
| As of December 31, 2009 | ||||||||||||||||||||||||||||||||
| Allowance for uncollectible accounts receivable | $ | 2,085 | $ | 992 | $ | (1,750 | ) | $ | 1,327 | $ | 2,085 | $ | 992 | $ | (1,750 | ) | $ | 1,327 | ||||||||||||||
| Allowance for sales returns | 8,704 | 302 | - | 9,006 | 8,704 | 302 | - | 9,006 | ||||||||||||||||||||||||
| As of December 31, 2008 | ||||||||||||||||||||||||||||||||
| Allowance for uncollectible accounts receivable | $ | 3,836 | $ | (441 | ) | $ | (1,310 | ) | $ | 2,085 | $ | 3,836 | $ | (441 | ) | $ | (1,310 | ) | $ | 2,085 | ||||||||||||
| Allowance for sales returns | 9,018 | (314 | ) | - | 8,704 | 9,018 | (314 | ) | - | 8,704 | ||||||||||||||||||||||
| As of December 31, 2007 | ||||||||||||||||||||||||||||||||
| Allowance for uncollectible accounts receivable | $ | 3,653 | $ | 342 | $ | (159 | ) | $ | 3,836 | |||||||||||||||||||||||
| Allowance for sales returns | 4,143 | - | 4,875 | 9,018 | ||||||||||||||||||||||||||||
| Exhibit No. | Description of Exhibit | ||||
2.1 | Agreement and Plan of Merger, dated as of January 15, 2011, by and among Intermec, Inc, a Delaware corporation, Vancouver Acquisition Corporation, a Pennsylvania corporation and wholly-owned subsidiary of Intermec, Inc., Vocollect, Inc., a Pennsylvania corporation, and the Shareholders’ Agent indentified therein, filed as Exhibit 2.1 to the Company’s January 14, 2011 current report on Form 8-K, and incorporated herein by reference. | ||||
3.1 | Restated Certificate of Incorporation of Intermec, Inc. (formerly, UNOVA, Inc. and referred to below as the “Company”), filed as Exhibit 3.1 to the Company’s May 17, 2006 current report on Form 8-K, and incorporated herein by reference. | ||||
3.2 | Amended and Restated By-Laws of the Company, as amended as of September 11, 2008 and filed as Exhibit 3.1 to the Company’s September 11, 2008 current report on Form 8-K, and incorporated herein by reference. | ||||
4.1 | Credit Agreement between the Company, as the Borrower, and Wells Fargo Bank, National Association, as the Lender, dated as of September 27, 2007, filed as Exhibit 10.6 to the Company’s September 30, 2007 quarterly report on Form 10-Q, and incorporated herein by reference. | ||||
4.2 | Revolving Line of Credit Note between the Company, as the Borrower, and Wells Fargo Bank, National Association, as the Lender, amended as of December 12, 2008, filed as Exhibit 4.2 to the Company’s 2008 annual report on Form 10-K, and incorporated herein by reference. | ||||
4.3 | Continuing Guaranty by Intermec IP Corp., as the Guarantor, to Wells Fargo Bank, National Association, as the Bank, dated as of September 27, 2007, filed as Exhibit 10.8 to the Company’s September 30, 2007 quarterly report on Form 10-Q, and incorporated herein by reference. | ||||
4.4 | Continuing Guaranty by Intermec Technologies Corporation, as the Guarantor, to Wells Fargo Bank, National Association, as the Bank, dated as of September 27, 2007, filed as Exhibit 10.9 to the Company’s September 30, 2007 quarterly report on Form 10-Q, and incorporated herein by reference. | ||||
4.5 | Amended and Restated Credit Agreement, dated as of January 14, 2011, by and between Intermec, Inc, a Delaware corporation, and Wells Fargo Bank, National Association, filed as Exhibit 10.2 to the Company’s January 14, 2011 current report on Form 8-K, and incorporated herein by reference. | ||||
10.1 | Distribution and Indemnity Agreement, dated October 31, 1997, between Western Atlas Inc. and the Company, filed as Exhibit 10.1 to the Company’s September 30, 1997 quarterly report on Form 10-Q, and incorporated herein by reference. | ||||
10.2 | Tax Sharing Agreement, dated October 31, 1997 between Western Atlas Inc. and the Company, filed as Exhibit 10.2 to the Company’s September 30, 1997 quarterly report on Form 10-Q, and incorporated herein by reference. | ||||
10.3 | Intellectual Property Agreement, dated October 31, 1997 between Western Atlas Inc. and the Company, filed as Exhibit 10.4 to the Company’s September 30, 1997 quarterly report on Form 10-Q, and incorporated herein by reference. | ||||
10.4 | Employee Benefits Agreement, dated October 31, 1997, between Western Atlas Inc. and the Company, filed as Exhibit 10.3 to the Company’s September 30, 1997 quarterly report on Form 10-Q, and incorporated herein by reference.** | ||||
10.5 | Purchase and Sale Agreement, dated as of March 17, 2005, among the Company, UNOVA Industrial Automation Systems, Inc., UNOVA U.K. Limited, Cincinnati Machine U.K. Limited (now UNOVA Operations U.K. Limited), Honsberg Lamb Sonderwerkzeugmachinen GmbH (now UNOVA Germany GmbH), UNOVA Canada, Inc., and UNOVA IP Corp., as Selling entities, and R&B Plastics Holdings, Inc. and MAG Industrial Automation Systems, LLC, as Purchasing Entities (the “Cincinnati Purchase and Sale Agreement”), filed as Exhibit 4.1 to the Company’s April 3, 2005, quarterly report on Form 10-Q, and incorporated herein by reference. | ||||
10.6 | First Amendment to the Cincinnati Purchase and Sale Agreement, dated April 1, 2005, filed as Exhibit 4.2 to the Company’s April 3, 2005 quarterly report on Form 10-Q, and incorporated herein by reference. | ||||
10.7 | Purchase and Sale of Cincinnati Lamb Group—Settlement Agreement, dated June 30, 2005, filed as Exhibit 10.7 to the Company’s July 3, 2005 quarterly report on Form 10-Q, and incorporated herein by reference. | ||||
10.8 | Purchase and Sale Agreement, dated as of October 27, 2005, among the Company, UNOVA Industrial Automation Systems, Inc., UNOVA IP Corp. and UNOVA U.K. Limited, as Selling Entities, and Compagnie De Fives-Lille, Cinetic Landis Grinding Corp. and Cinetic Landis Grinding Limited, as Purchasing Entities, filed as Exhibit 10.42 to the Company’s 2005 annual report on Form 10-K, and incorporated herein by reference. | |||
10.9 | Venture Manufacturing Services Framework Agreement, dated December 3, 2008, between Venture Corporation Limited and the Company, filed as Exhibit 10.9 to the Company’s 2008 annual report on Form 10-K, and incorporated herein by reference. + | |||
10.10 | Form of Voting Agreement by and among Intermec, Inc., a Delaware corporation, Vocollect, Inc., a Pennsylvania corporation, and certain holders of capital stock of Volcollect, Inc., filed as Exhibit 10.1 to the Company’s January 14, 2011 current report on Form 8-K, and incorporated herein by reference. | |||
| Exhibit No. | Description of Exhibit | |||
10.11 | Director Compensation Program under the Company’s 2008 Omnibus Incentive Plan, as amended and restated as of May 26, 2010, filed as Exhibit | |||
10.12 | ||||
Form of Stock Option Grant Notice and Stock Option Agreement for Non-Employee Directors under the Company’s 2008 Omnibus Incentive Plan, filed as Exhibit 10.7 to the Company’s June 29, 2008 quarterly report on Form 10-Q, and incorporated herein by reference.** | ||||
10.13 | Director Deferred Compensation Plan, | |||
10.14 | Director Stock Option and Fee Plan, As Amended Effective November 19, 2007, filed as Exhibit 10.6 to the Company’s 2007 annual report on Form 10-K, and incorporated herein by reference.** | |||
10.15 | The Company’s Deferred Compensation Plan, filed as Exhibit 10.4 to the Company’s July 2, 2006 quarterly report on Form 10-Q, and incorporated herein by reference.** | |||
10.16 | Adoption Agreement to the Company’s Deferred Compensation Plan, dated June 29, 2006, filed as Exhibit 10.25 to the Company’s 2007 annual report on Form 10-K, and incorporated herein by reference.** | |||
10.17 | Action and Amendment to the Company’s Deferred Compensation Plan, dated December 18, | |||
10.18 | Action and Second Amendment to the Intermec Deferred Compensation Plan, dated March 18, 2010, filed as Exhibit 10.1 to the Company’s March 28, 2010 quarterly report on Form 10-Q, and incorporated herein by reference.** | |||
10.19 | Intermec, Inc. Change of Control Severance Plan, | |||
| 10.20 | Intermec, Inc. Senior Officer Severance Plan, Amended and Restated Effective November 8, 2010 (formerly, the Corporate Executive Severance | |||
10.21 | Restoration Plan, Amended and Restated as of January 1, 2008, filed as Exhibit 10.6 to the Company’s July 1, 2007 quarterly report on Form 10-Q, and incorporated herein by reference.** | |||
10.22 | First Amendment to the Company’s Restoration Plan, dated December 18, | |||
10.23 | Supplemental Executive Retirement Plan, Amended and Restated as of January 1, 2008, filed as Exhibit 10.7 to the Company’s July 1, 2007, quarterly report on Form 10-Q, and incorporated herein by reference.** | |||
10.24 | First Amendment to the Company’s Supplemental Executive Retirement Plan, dated December 18, | |||
| * | ||||
10.25 | Summary of Executive Life Insurance Benefit, filed as Exhibit 10.22 to the Company’s 2008 annual report on Form 10-K and incorporated herein by reference.** | |||
10.26 | 2008 Employee Stock Purchase Plan, approved by stockholders May 23, 2008 and effective July 1, 2008, filed as Exhibit 10.9 to the Company’s June 28, 2008 quarterly report on Form 10-Q and incorporated herein by reference.** | |||
10.27 | Senior Officer Incentive Plan, Amended and Restated November 8, 2010.* ** | |||
10.28 | 2008 Omnibus Incentive Plan, as amended effective July | |||
10.29 | Executive Change of Control Policy for 2008 Omnibus Incentive Plan, filed as Exhibit 10.25 to the Company’s 2008 annual report on Form 10-K, and incorporated herein by reference.** | |||
10.30 | Standard Change of Control Policy for 2008 Omnibus Incentive Plan, filed as Exhibit 10.26 to the Company’s 2008 annual report on Form 10-K, and incorporated herein by reference.** | |||
10.31 | Form of Employee Stock Option Grant Notice and Stock Option Agreement under the Company’s 2008 Omnibus Incentive Plan, filed as Exhibit 10.2 to the Company’s June 28, 2008 quarterly report on Form 10-Q, and incorporated herein by reference.** | |||
10.32 | Form of | |||
10.33 | 2008 Long-Term Performance Share Program under the Company’s 2008 Omnibus Incentive Plan, as amended March 31, 2009, filed as Exhibit 10.1 to the Company’s April 3, 2009 current report on Form 8-K, and incorporated herein by reference.** | |||
10.34 | Form of Employee Long-Term Performance Share Program Agreement under the Intermec, Inc. 2008 Omnibus Incentive Plan, filed as Exhibit |
| Exhibit No. | Description of Exhibit | ||||
10.35 | 2008 Long-Term Performance Share Program Agreement for the Award Period January 1, 2009 through December 31, 2011, filed as Exhibit 10.2 to the Company’s April 3, 2009 current report on Form 8-K, and incorporated herein by reference.** | ||||
10.36 | 2004 Omnibus Compensation Plan, Approved May 6, 2004, Amended and Restated as of January 1, 2008, filed as Exhibit 10.11 to the Company’s July 1, 2007 quarterly report on Form 10-Q, and incorporated herein by reference.** | ||||
10.37 | Form of Incentive Stock Option Agreement for awards under the 2004 Plan, filed as Exhibit 10.1 to the Company’s July 3, 2005 quarterly report on Form 10-Q, and incorporated herein by reference.** | ||||
10.38 | Form of Non-Qualified Stock Option Agreement for awards under the 2004 Plan, filed as Exhibit 10.2 to the Company’s July 3, 2005 quarterly report on Form 10-Q, and incorporated herein by reference.** | ||||
10.39 | Form of Restricted Stock Unit Agreement for awards under the 2004 Plan, filed as Exhibit 10.5 to the Company’s September 30, 2004, quarterly report on Form 10-Q, and incorporated herein by reference.** | ||||
10.40 | Form of Restricted Stock Agreement for awards under the 2004 Plan, filed as Exhibit 10.4 to the Company’s September 30, 2004 quarterly report on Form 10-Q, and incorporated herein by reference.** | ||||
10.41 | Form of Performance Share Unit Agreement under the Company’s 2004 Long-Term Agreement, filed as Exhibit 10.1 to the Company’s March 30, 2008 quarterly report on Form 10-Q, and incorporated herein by reference.** | ||||
10.42 | Form of Amendment dated December 23, 2005, to all Performance Share Unit Agreements for Performance Periods begun in 2004 and 2005, filed as Exhibit 10.31 to the Company’s 2005 annual report on Form 10-K, and incorporated herein by reference.** | ||||
10.43 | 2004 Long Term Performance Share Program, a sub-plan under the 2004 Omnibus Incentive Compensation Plan, filed as exhibit 10.12 to the Company’s July 1, 2007 quarterly report on Form 10-Q, and incorporated herein by reference.** | ||||
10.44 | 2004 Long-Term Performance Share Program (the “Long-Term Program”), a sub-plan under the Company’s 2004 Omnibus Incentive Compensation Plan (the “2004 Plan”), as amended effective January 1, 2006, filed as Exhibit 10.27 to the Company’s 2005 annual report on Form 10-K, and incorporated herein by reference.** | ||||
10.45 | 2001 Stock Incentive Plan, Amended and Restated as of January 1, 2008, filed as Exhibit 10.9 to the Company’s July 1, 2007 quarterly report on Form 10-Q, and incorporated herein by reference.** | ||||
10.46 | Form of Incentive Stock Option Agreement for awards under the 2001 Plan, filed as Exhibit 10.3 to the Company’s July 3, 2005 quarterly report on Form 10-Q, and incorporated herein by reference.** | ||||
10.47 | Form of Non-Qualified Stock Option Agreement for awards under the 2001 Plan, filed as Exhibit 10.4 to the Company’s July 3, 2005 quarterly report on Form 10-Q, and incorporated herein by reference.** | ||||
10.48 | Amendment of Restricted Stock Agreements under 2001 Plan, dated as of September 12, 2002, filed as Exhibit 10.30 to the Company’s September 30, 2002 quarterly report on Form 10-Q, and incorporated herein by reference.** | ||||
10.49 | Form of Restricted Stock Agreement for awards under the 2001 Plan, filed as Exhibit 10.4 to the Company’s September 30, 2004 quarterly report on Form 10-Q, and incorporated herein by reference.** | ||||
10.50 | 2001 Plan Document Relating to Election to Receive Employee Stock Options in Lieu of Certain Cash Compensation Payable to Company Officers in Fiscal Year 2002, filed as Exhibit 10.6 to the Company’s 2001 annual report on Form 10-K, and incorporated herein by reference.** | ||||
10.51 | 1999 Stock Incentive Plan, Amended and Restated as of January 1, 2008, filed as Exhibit 10.8 to the Company’s July 1, 2007 quarterly report on Form 10-Q, and incorporated herein by reference.** | ||||
10.52 | Form of Incentive Stock Option Agreement for awards under the 1999 Stock Incentive Plan (the “1999 Plan”), filed as Exhibit 10.5 to the July 3, 2005 quarterly report on Form 10-Q, and incorporated herein by reference.** | ||||
10.53 | Form of Non-Qualified Stock Option Agreement for awards under the 1999 Plan, filed as Exhibit 10.6 to the July 3, 2005 quarterly report on Form 10-Q, and incorporated herein by reference.** | ||||
10.54 | Amendment of Restricted Stock Agreements under 1999 Plan, dated as of September 12, 2002, filed as Exhibit 10.30 to the Company’s September 30, 2002 quarterly report on Form 10-Q, and incorporated herein by reference.** | ||||
| Exhibit No. | Description of Exhibit | ||||
10.55 | |||||
1997 Stock Incentive Plan, as amended March 30, 2007, filed as Exhibit 10.4 to the Company’s April 1, 2007 quarterly report on Form 10-Q, and incorporated herein by reference.** | |||||
10.57 | Summary Sheet – Compensation Arrangements for Patrick J. Byrne, President and Chief Executive Officer, filed as Exhibit 10.13 to the Company’s July 1, 2007 quarterly report on Form 10-Q, and incorporated herein by reference.** | ||||
10.58 | Summary Sheet – Compensation Arrangements for Robert J. Driessnack, Senior Vice President and Chief Financial Officer, filed as Exhibit 10.52 to the Company’s 2008 annual report on Form 10-K, and incorporated herein by reference.** | ||||
10.59 | Summary Sheet – Amended Relocation Benefits for Robert J. Driessnack, Senior Vice President and Chief Financial Officer, | ||||
10.60 | Letter Agreement with Robert J. Driessnack, Senior Vice President and Chief Financial Officer, regarding relocation benefits, dated August 2, 1010, filed as Exhibit 10.2 to the Company’s September 26, 2010 quarterly report on Form 10-Q, and incorporated herein by reference.** | ||||
21.1 | |||||
Subsidiaries of the Registrant.* | |||||
23.1 | Consent of Independent Registered Public Accounting Firm.* | ||||
31.1 | Certification of Chief Executive Officer pursuant to section 302 of the Sarbanes-Oxley Act of 2002 (subsections (a) and (b) of section 1350, chapter 63 of Title 18, United States Code), dated February | ||||
31.2 | Certification of Chief Financial Officer pursuant to section 302 of the Sarbanes-Oxley Act of 2002 (subsections (a) and (b) of section 1350, chapter 63 of Title 18, United States Code), dated February | ||||
32.1 | Certification of Chief Executive Officer pursuant to section 906 of the Sarbanes-Oxley Act of 2002 (subsections (a) and (b) of section 1350, chapter 63 of Title 18, United States Code), dated February | ||||
32.2 | Certification of Chief Financial Officer pursuant to section 906 of the Sarbanes-Oxley Act of 2002 (subsections (a) and (b) of section 1350, chapter 63 of Title 18, United States Code), dated February | ||||