<PAGE> 1
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-Q
(X) QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF
THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended September 30, 1997
OR
( ) TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF
THE SECURITIES EXCHANGE ACT OF 1934
For the transition period from .......... to ..........
Commission file number 1-4879
--------
DIEBOLD, INCORPORATED
- --------------------------------------------------------------------------------
(Exact name of registrant as specified in its charter)
Ohio 34-0183970
- ------------------------------------ ----------------------
(State or other jurisdiction (IRS Employer
of incorporation or organization) Identification Number)
5995 Mayfair Road, P.O. Box 3077, North Canton, Ohio 44720-8077
- ---------------------------------------------------- ----------------
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (330) 489-4000
- --------------------------------------------------------------------------------
Indicate by check mark whether the registrant (1) has filed all reports required
to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during
the preceding 12 months (or for such shorter period that the registrant was
required to file such reports), and (2) has been subject to such filing
requirements for the past 90 days.
Yes X No
--- ---
Indicate the number of shares outstanding of each of the issuer's classes of
Common Shares, as of the latest practicable date.
Class Outstanding at October 27, 1997
----- -------------------------------
Common Shares $1.25 Par Value 68,969,960 Shares
- ----------------------------------- ----------
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<PAGE> 2
DIEBOLD, INCORPORATED AND SUBSIDIARIES
FORM 10-Q
INDEX
<TABLE>
<CAPTION>
Page No.
--------
PART I. FINANCIAL INFORMATION
<S> <C> <C>
ITEM 1. Financial Statements
Condensed Consolidated Balance Sheets -
September 30, 1997 and December 31, 1996 3
Condensed Consolidated Statements of Income -
Three Months and Nine Months Ended September 30, 1997 and 1996 4
Condensed Consolidated Statements of Cash Flows -
Nine Months Ended September 30, 1997 and 1996 5
Notes to Condensed Consolidated Financial Statements 6
ITEM 2. Management's Discussion and Analysis of
Financial Condition and Results of Operations 7
PART II. OTHER INFORMATION
ITEM 6. Exhibits and Reports on Form 8-K 8
SIGNATURES 10
INDEX TO EXHIBITS 11
</TABLE>
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<PAGE> 3
DIEBOLD, INCORPORATED AND SUBSIDIARIES
FORM 10-Q
PART I - FINANCIAL INFORMATION
ITEM 1. - FINANCIAL STATEMENTS
CONDENSED CONSOLIDATED BALANCE SHEETS
-------------------------------------
(Dollars in thousands except per share amounts)
<TABLE>
<CAPTION>
(Unaudited)
September 30, December 31,
1997 1996
------------- -------------
ASSETS
------
<S> <C> <C>
Current assets
Cash and cash equivalents $ 29,847 $ 21,885
Short-term investments 33,986 43,249
Trade receivables 302,683 256,572
Inventories 126,851 109,432
Prepaid expenses and other current assets 59,514 56,385
---------- ---------
Total current assets 552,881 487,523
Securities and other investments 139,918 138,403
Property, plant and equipment, at cost 254,461 203,103
Less accumulated depreciation and amortization 115,249 107,169
---------- ---------
139,212 95,934
Finance receivables 47,291 38,099
Other assets 97,825 99,142
---------- ---------
$ 977,127 $ 859,101
========== =========
LIABILITIES AND SHAREHOLDERS' EQUITY
- ------------------------------------
Current liabilities
Accounts payable and other current liabilities $ 173,199 $ 159,126
Deferred income 84,009 69,094
---------- ---------
Total current liabilities 257,208 228,220
Bonds Payable 20,800 --
Pensions 20,463 20,308
Postretirement benefits 22,026 21,863
Minority interest 19,255 13,140
Shareholders' equity
Preferred Shares, no par value, authorized
1,000,000 shares, none issued
Common Shares, par value $1.25, authorized
125,000,000 shares, issued 69,238,656 and
68,997,276 shares, respectively; outstanding 68,967,780
and 68,840,591, respectively 86,548 86,246
Additional capital 34,049 28,110
Retained earnings 539,690 478,667
Treasury shares, at cost (270,876 and 156,685 shares, respectively) (12,882) (7,170)
Other (10,030) (10,283)
---------- ---------
Total shareholders' equity 637,375 575,570
---------- ---------
$ 977,127 $ 859,101
========== =========
</TABLE>
See accompanying notes to condensed consolidated financial statements.
-3-
<PAGE> 4
DIEBOLD, INCORPORATED AND SUBSIDIARIES
FORM 10-Q
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
-------------------------------------------
(Unaudited)
(In thousands except per share amounts)
<TABLE>
<CAPTION>
Three Months Ended Nine Months Ended
------------------ -----------------
September 30, September 30,
------------- -------------
<S> <C> <C> <C> <C>
Net Sales 1997 1996 1997 1996
-------- -------- -------- --------
Products $ 213,162 $ 181,987 $ 588,643 $ 476,621
Services 104,616 89,809 296,945 259,398
--------- --------- --------- ---------
317,778 271,796 885,588 736,019
Cost of sales
Products 135,110 113,856 364,038 294,920
Services 74,146 63,661 214,466 185,475
--------- --------- --------- ---------
209,256 177,517 578,504 480,395
--------- --------- --------- ---------
Gross profit 108,522 94,279 307,084 255,624
Selling and administrative expense 47,289 41,147 137,690 118,082
Research, development and engineering expense 12,783 11,781 38,756 36,752
--------- --------- --------- ---------
60,072 52,928 176,446 154,834
--------- --------- --------- ---------
Operating profit 48,450 41,351 130,638 100,790
Investment income 4,697 4,274 14,258 13,435
Miscellaneous, net (2,205) (3,461) (6,209) (7,296)
Minority interest (859) (2,056) (6,115) (2,966)
--------- --------- --------- ---------
Income before taxes 50,083 40,108 132,572 103,963
Taxes on income 17,027 13,435 45,093 34,823
--------- --------- --------- ---------
Net income $ 33,056 $ 26,673 $ 87,479 $ 69,140
========= ========= ========= =========
Weighted average number of Common Shares
outstanding 68,957 68,803 68,925 68,782
Net income per Common Share $ 0.48 $ 0.39 $ 1.27 1.01
========= ========= ========= =========
Cash dividends paid per Common Share $ 0.1250 $ 0.1133 $ 0.3750 $ 0.3399
========= ========= ========= =========
</TABLE>
See accompanying notes to condensed consolidated financial statements.
-4-
<PAGE> 5
DIEBOLD, INCORPORATED AND SUBSIDIARIES
FORM 10-Q
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
-----------------------------------------------
(Unaudited)
(Dollars in thousands)
<TABLE>
<CAPTION>
Nine Months Ended
September 30,
1997 1996
-------- --------
<S> <C> <C>
Cash flow from operating activities:
Net income $ 87,479 $ 69,140
Adjustments to reconcile net income to cash
provided by operating activities:
Minority share of income 6,115 2,966
Depreciation and amortization 13,164 13,051
Other charges and amortization 6,708 10,448
Cash used by changes in certain
current assets and liabilities (57,842) (44,091)
Changes in deferred income 14,915 6,907
Other 2,536 7,734
-------- --------
Total adjustments (14,404) (2,985)
-------- --------
Net cash provided by operating activities 73,075 66,155
Cash flow from investing activities:
Proceeds from maturities of investments 43,026 43,274
Payments for purchases of investments (36,369) (54,040)
Capital expenditures (56,822) (20,104)
Increase in certain other assets (10,426) (3,226)
-------- --------
Net cash used by investing activities (60,591) (34,096)
Cash flow from financing activities:
Dividends paid (25,851) (23,391)
Proceeds from issuance of Common Shares 529 1,036
Proceeds from long-term borrowings 20,800 --
Other -- 758
-------- --------
Net cash used by financing activities (4,522) (21,597)
-------- --------
Increase in cash and cash equivalents 7,962 10,462
Cash and cash equivalents at the beginning of the period 21,885 15,698
-------- --------
Cash and cash equivalents at the end of the period $ 29,847 $ 26,160
======== ========
</TABLE>
See accompanying notes to condensed consolidated financial statements.
-5-
<PAGE> 6
0
DIEBOLD, INCORPORATED AND SUBSIDIARIES
FORM 10-Q
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
----------------------------------------------------
(Unaudited)
(Dollars in thousands)
1. The financial information included herein is unaudited; however, such
information reflects all adjustments (consisting solely of normal
recurring adjustments), which are, in the opinion of Management, necessary
for a fair statement of the results for the interim periods. The condensed
consolidated financial statements should be read in conjunction with the
consolidated financial statements and notes thereto together with
management's discussion and analysis of financial condition and results of
operations contained in the Company's Annual Report on Form 10-K for the
year ended December 31, 1996. In addition, the Registrant's statements in
this Form 10-Q report may be considered forward-looking and involve risks
and uncertainties that could significantly impact expected results. A
discussion of these risks and uncertainties is contained in the
Registrant's Annual Report on Form 10-K for the year ended December 31,
1996. The results of operations for the nine month period ended September
30, 1997 are not necessarily indicative of results to be expected for the
full year.
2. The Net income per Common Share computations in the condensed consolidated
statements of income are based on the weighted average number of shares
outstanding during each period reported. On January 30, 1997, the Board of
Directors declared a three-for-two stock split effected in the form of a
stock dividend, distributed on February 19, 1997, to shareholders of
record on February 7, 1997. Accordingly, all numbers of Common Shares,
except authorized shares and treasury shares, and all per share data have
been restated to reflect this stock split.
<TABLE>
<CAPTION>
3. Inventory detail at: September 30, 1997 December 31, 1996
------------------ -----------------
<S> <C> <C>
Finished goods and
service parts $ 45,588 $ 40,348
Work in process 81,084 68,967
Raw materials 179 117
-------- --------
Total inventory $126,851 $109,432
======== ========
</TABLE>
4. The Registrant has reclassified the presentation of certain prior-year
information to conform with the current presentation format.
5. The Registrant announced on June 27, 1997, that InterBold would
discontinue its international marketing and distribution agreement with
IBM. On July 2, 1997, IBM informed the Registrant that it was exercising
its option pursuant to the InterBold contractual arrangements to sell its
30 percent minority ownership in InterBold to the Registrant. The
Registrant and IBM have been in discussions and following a procedure
established by the contractual arrangements to determine the purchase
price of the minority stake. Until the discussions and procedure are
completed, the Registrant cannot determine the impact, if any, on its
financial statements.
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<PAGE> 7
DIEBOLD, INCORPORATED AND SUBSIDIARIES
FORM 10-Q
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND
RESULTS OF OPERATIONS
As of September 30, 1997
(Unaudited)
(Dollars in thousands except for per share data)
Changes in Financial Condition
- ------------------------------
The balance sheet of the Registrant continued to reflect a strong financial
position at September 30, 1997. Cash, cash equivalents and short-term
investments decreased slightly to $63,833 at September 30, 1997 compared to
$65,134 at December 31, 1996. These assets along with securities and other
investments accounted for 21% and 24% of total assets at September 30, 1997 and
December 31, 1996, respectively. Securities and other investments consist
principally of tax-free municipal bonds, preferred stock, and other investments.
Future capital expenditures and increases in working capital are expected to be
financed primarily through internally generated funds. The Registrant's
investment portfolio is available for any funding needs if required. External
financing is also available if needed through the Registrant's lines of credit.
At September 30, 1997, the Registrant had unused lines of credit approximating
$130,000 and the Registrant is not restricted as to the use of funds borrowed
under these credit agreements. Therefore, the lines of credit represent an
additional and immediate source of liquidity. During the first three quarters of
1997, the Registrant issued Industrial Development Revenue Bonds to finance the
construction of its Danville and Staunton, Virginia and Lexington, North
Carolina manufacturing facilities. The Company's strong financial position
enhances its ability to obtain additional funds if required.
Shareholders' equity per Common Share at September 30, 1997 improved to $9.24
from $8.36 at December 31, 1996. The third quarter cash dividend of $0.125 per
share was paid on September 5, 1997 to shareholders of record on August 15,
1997. On October 14, 1997 the fourth quarter cash dividend of $0.125 per share
was declared payable on December 5, 1997 to shareholders of record on November
14, 1997. Diebold, Incorporated shares are listed on the New York Stock Exchange
under the symbol of DBD. The market price during the first nine months of 1997
fluctuated within the range of $28.00 and $50.625.
On April 24, 1997, the Registrant announced that its Board of Directors
authorized the repurchase of up to two million common shares of the Registrant's
stock in the open market. The timing and actual amount repurchased will depend
on prevailing share market prices and trading volume. The shares that are
acquired will be held as treasury shares and will be available for general
corporate purposes.
Results of Operations
- ---------------------
Third Quarter 1997 Comparison to Third Quarter 1996
- ---------------------------------------------------
Net sales for the third quarter of 1997 increased from the same period in 1996
by $45,982 or 17%. Total gross profit increased $14,243 or 15% over the third
quarter's performance in 1996. Product gross profit accounted for the majority
of this increase as the result of increased sales volume of self-service
terminals both domestically and internationally. During the third quarter of
1997, the Registrant realized a higher percentage increase in international
sales, which have slightly lower gross margins than domestic sales, resulting
in a lower increase in gross profit as compared to the increase in net sales.
Operating expenses increased $7,144 or 14% over the same period in 1996 largely
due to higher selling expenses resulting from the increases in sales volumes and
expenditures from various new marketing programs. Operating profit increased
$7,099 or 17% over third quarter 1996's performance.
-7-
<PAGE> 8
DIEBOLD, INCORPORATED AND SUBSIDIARIES
FORM 10-Q
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND
RESULTS OF OPERATIONS (Continued)
As of September 30, 1997
(Unaudited / Dollars in thousands except for per share data)
Nine Month 1997 Comparison to Nine Month 1996
- ---------------------------------------------
Consolidated net sales for nine months ended 1997 exceeded the same period in
1996 by $149,569 or 20%. Total gross profit increased $51,460 or 20% over 1996's
performance. Product gross profit continued to account for the majority of this
increase in total gross profit. This was the result of increased domestic and
international sales volumes. Operating expenses increased $21,612 or 14% over
the same period in 1996 due to the higher selling and administrative expenses
associated with the increase in sales activity. Operating profit for the nine
months ended 1997 exceeded the same period 1996 by $29,848 or 30%.
The Company's backlog of unfilled orders was $281,446 at September 30, 1997,
compared to $238,158 at September 30, 1996, an increase of $43,288 or 18%. The
Company believes, however, that order backlog information is not, by itself, a
meaningful indicator of future revenue streams. There are numerous factors which
influence the amount and timing of revenue recognized in future periods.
PART II. OTHER INFORMATION
ITEM 6. Exhibits and Reports on Form 8-K
(a) Exhibits
3.1(i) Amended and Restated Articles of Incorporation of Diebold,
Incorporated -- incorporated by reference to Exhibit 3.1(i) of
Registrant's Annual Report on Form 10-K for the year ended December
31, 1994.
3.1(ii) Code of Regulations -- incorporated by reference to Exhibit 4(c) to
Registrant's Post-Effective Amendment No. 1 to Form S-8
Registration Statement No. 33-32960.
3.2 Certificate of Amendment by Shareholders to Amended Articles of
Incorporation of Diebold, Incorporated -- incorporated by reference
to Exhibit 3.2 to Registrant's Form 10-Q for the quarter ended
March 31, 1996.
4. Rights Agreement dated as of February 10, 1989 between Diebold,
Incorporated and Bank of New York -- incorporated by reference to
Exhibit 2.1 to Registrant's Registration Statement on Form 8-A
dated February 10, 1989.
*10.1 Form of Employment Agreement as amended and restated as of
September 13, 1990 -- incorporated by reference to Exhibit 10.1 to
Registrant's Annual Report on Form 10-K for the year ended December
31, 1990.
*10.2 Schedule of Certain Officers who are Parties to Employment
Agreements in the form of Exhibit 10.1 -- incorporated by reference
to Exhibit 10.2 to Registrant's Form 10-Q for the quarter ended
June 30, 1997.
*10.3(i) Supplemental Retirement Benefit Agreement with William T. Blair --
incorporated by reference to Exhibit 10.3 to Registrant's Annual
Report on Form 10-K for the year ended December 31, 1995.
*10.3(ii) Consulting Agreement with William T. Blair -- incorporated by
reference to Exhibit 10.3(ii) to Registrant's Annual Report on Form
10-K for the year ended December 31, 1996.
-8-
<PAGE> 9
*10.5 Supplemental Employee Retirement Plan (as amended January 1, 1994)
-- incorporated by reference to Exhibit 10.5 of Registrant's Annual
Report on Form 10-K for the year ended December 31, 1994.
10.6 Amended and Restated Partnership Agreement dated as of September
12, 1990 -- incorporated by reference to Exhibit 10 to Registrant's
Form 8-K dated September 26, 1990.
*10.7 1985 Deferred Compensation Plan for Directors of Diebold,
Incorporated -- incorporated by reference to Exhibit 10.7 to
Registrant's Annual Report on Form 10-K for the year ended December
31, 1992.
*10.8 1991 Equity and Performance Incentive Plan as Amended and Restated
- incorporated by reference to Exhibit 10.8 to Registrant's Form
10-Q for the quarter ended March 31, 1997.
*10.9 Long-Term Executive Incentive Plan -- incorporated by reference to
Exhibit 10.9 of Registrant's Annual Report on Form 10-K for the
year ended December 31, 1993.
*10.10 1992 Deferred Incentive Compensation Plan (as amended and restated
as of July 1, 1993) -- incorporated by reference to Exhibit 10.10
to Registrant's Annual Report on Form 10-K for the year ended
December 31, 1993.
*10.11 Annual Incentive Plan -- incorporated by reference to Exhibit 10.11
to Registrant's Annual Report on Form 10-K for the year ended
December 31, 1992.
*10.12 Employment Agreement with Robert P. Barone -- incorporated by
reference to Exhibit 10.12 to Registrant's Form 10-Q for the
quarter ended September 30, 1994.
*10.13 Forms of Deferred Compensation Agreement and Amendment No. 1 to
Deferred Compensation Agreement - incorporated by reference to
Exhibit 10.13 to Registrant's Annual Report on Form 10-K for the
year ended December 31, 1996.
27. Financial Data Schedule.
(b) Reports on Form 8-K.
No reports have been filed by the Registrant on Form 8-K during the
period covered by this report.
* Reflects management contract or other compensatory arrangement.
-9-
<PAGE> 10
DIEBOLD, INCORPORATED AND SUBSIDIARIES
FORM 10-Q
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
Registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.
DIEBOLD, INCORPORATED
---------------------
(Registrant)
Date: October 29, 1997 By: /s/Robert W. Mahoney
----------------- --------------------
Robert W. Mahoney
Chairman of the Board, President
and Chief Executive Officer
Date: October 29, 1997 By: /s/Gerald F. Morris
----------------- -------------------
Gerald F. Morris
Executive Vice President and
Chief Financial Officer
(Principal Accounting and
Financial Officer)
-10-
<PAGE> 11
DIEBOLD, INCORPORATED
FORM 10-Q
INDEX TO EXHIBITS
<TABLE>
<CAPTION>
EXHIBIT NO. PAGE NO.
- ----------- --------
<S> <C> <C>
3.1(i) Amended and Restated Articles of Incorporation of Diebold,
Incorporated -- incorporated by reference to Exhibit 3.1(i) of
Registrant's Annual Report on Form 10-K for the year ended
December 31, 1994. --
3.1(ii) Code of Regulations -- incorporated by reference to
Exhibit 4(c) to Registrant's Post-Effective Amendment No. 1 to
Form S-8 Registration Statement No. 33-32960. --
3.2 Certificate of Amendment by Shareholders to Amended Articles
of Incorporation of Diebold, Incorporated -- incorporated by
reference to Exhibit 3.2 to Registrant's Form 10-Q for the
quarter ended March 31, 1996. --
4. Rights Agreement dated as of February 10, 1989 between
Diebold, Incorporated and Bank of New York - incorporated by
reference to Exhibit 2.1 to Registrant's Registration
Statement on Form 8-A dated February 10, 1989. --
10.1 Form of Employment Agreement as amended and restated as of
September 13, 1990 -- incorporated by reference to Exhibit
10.1 to Registrant's Annual Report on Form 10-K for the year
ended December 31, 1990. --
10.2 Schedule of Certain Officers who are Parties to Employment
Agreements in the form of Exhibit 10.1 -- incorporated by
reference to Exhibit 10.2 to Registrant's Form 10-Q for the
quarter ended June 30, 1997. --
10.3(i) Supplemental Retirement Benefit Agreement with William T. Blair --
incorporated by reference to Exhibit 10.3 to Registrant's Annual
Report on Form 10-K for the year ended December 31, 1995. --
10.3(ii) Consulting Agreement with William T. Blair --
incorporated by reference to Exhibit 10.3(ii) to Registrant's
Annual Report on Form 10-K for the year ended December 31, 1996. --
</TABLE>
-11-
<PAGE> 12
<TABLE>
<CAPTION>
EXHIBIT NO. PAGE NO.
- ----------- --------
<S> <C> <C>
10.5 Supplemental Employee Retirement Plan (as amended January 1,
1994) -- incorporated by reference to Exhibit 10.5 of
Registrant's Annual Report on Form 10-K for the year ended
December 31, 1994. --
10.6 Amended and Restated Partnership Agreement dated as of
September 12, 1990 -- incorporated by reference to Exhibit 10
to Registrant's Form 8-K dated September 26, 1990. --
10.7 1985 Deferred Compensation Plan for Directors of Diebold,
Incorporated -- incorporated by reference to Exhibit 10.7 to
Registrant's Annual Report on Form 10-K for the year
ended December 31, 1992. --
10.8 1991 Equity and Performance Incentive Plan as Amended and
Restated - incorporated by reference to Exhibit 10.8 to Registrant's
Form 10-Q for the quarter ended March 31, 1997. --
10.9 Long-Term Executive Incentive Plan -- incorporated by
reference to Exhibit 10.9 of Registrant's Annual Report on
Form 10-K for the year ended December 31, 1993. --
10.10 1992 Deferred Incentive Compensation Plan (as amended and
restated as of July 1, 1993) -- incorporated by reference to
Exhibit 10.10 to Registrant's Annual Report on Form 10-K for
the year ended December 31, 1993. --
10.11 Annual Incentive Plan -- incorporated by reference to Exhibit
10.11 to Registrant's Annual Report on Form 10-K for the year
ended December 31, 1992. --
10.12 Employment Agreement with Robert P. Barone -- incorporated by
reference to Exhibit 10.12 to Registrant's Form 10-Q for the
quarter ended September 30, 1994. --
10.13 Forms of Deferred Compensation Agreement and Amendment
No. 1 to Deferred Compensation Agreement - incorporated by reference
to Exhibit 10.13 to Registrant's Annual Report on Form 10-K for
the year ended December 31, 1996. --
27. Financial Data Schedule. 13
</TABLE>
-12-
<TABLE> <S> <C>
<ARTICLE> 5
<LEGEND>
THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM CONDENSED
CONSOLIDATED BALANCE SHEET AT SEPTEMBER 30, 1997 AND CONDENSED CONSOLIDATED
STATEMENTS OF INCOME FOR THE NINE MONTHS ENDED SEPTEMBER 30, 1997 (UNAUDITED)
AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS.
</LEGEND>
<MULTIPLIER> 1,000
<S> <C>
<PERIOD-TYPE> 9-MOS
<FISCAL-YEAR-END> DEC-31-1997
<PERIOD-START> JAN-01-1997
<PERIOD-END> SEP-30-1997
<CASH> 29,847
<SECURITIES> 33,986
<RECEIVABLES> 302,683
<ALLOWANCES> 0
<INVENTORY> 126,851
<CURRENT-ASSETS> 552,881
<PP&E> 254,461
<DEPRECIATION> 115,249
<TOTAL-ASSETS> 977,127
<CURRENT-LIABILITIES> 257,208
<BONDS> 20,800
0
0
<COMMON> 86,548
<OTHER-SE> 550,827
<TOTAL-LIABILITY-AND-EQUITY> 977,127
<SALES> 588,643
<TOTAL-REVENUES> 885,588
<CGS> 364,038
<TOTAL-COSTS> 578,504
<OTHER-EXPENSES> 176,446
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 0
<INCOME-PRETAX> 132,572
<INCOME-TAX> 45,093
<INCOME-CONTINUING> 87,479
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 87,479
<EPS-PRIMARY> 1.27
<EPS-DILUTED> 1.27
</TABLE>
