<PAGE> 1
SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549
X QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d)
-
OF THE SECURITIES EXCHANGE ACT OF 1934
For the Quarterly Period Ended April 30, 1999
--------------
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 0-12730
BRADY CORPORATION
(Exact name of registrant as specified in its charter)
WISCONSIN 39-0178960
- --------- ----------
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)
6555 WEST GOOD HOPE ROAD, MILWAUKEE, WISCONSIN 53223
----------------------------------------------------
(Address of principal executive offices)
(Zip Code)
(414) 358-6600
--------------
(Registrant's telephone number, including area code)
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
- -
APPLICABLE ONLY TO CORPORATE ISSUERS
Indicate the number of shares outstanding of each of the issuer's classes
of common stock, as of the latest practicable date.
As of May 27, 1999, there were outstanding 20,782,076 shares of Class A
Common Stock and 1,769,314 shares of Class B Common Stock. The Class B Common
Stock, all of which is held by an affiliate of the Registrant, is the only
voting stock.
<PAGE> 2
FORM 10-Q
BRADY CORPORATION
INDEX
Page
----
PART I. Financial Information
Item 1. Financial Statements
Unaudited Condensed Consolidated Balance Sheets 3
Unaudited Condensed Consolidated Statements of
Income and Earnings Retained in the Business 4
Unaudited Consolidated Statements of Cash Flows 5
Notes to Condensed Consolidated Financial Statements 6
Item 2. Management's Discussion and Analysis of Financial
Condition and Results of Operations 9
PART II. Other Information
Item 6. Exhibits and Reports on Form 8-K 12
Signatures 13
<PAGE> 3
BRADY CORPORATION AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
(Dollars in Thousands)
<TABLE>
<CAPTION>
ASSETS April 30, 1999 July 31, 1998
-------------- ---------------
(Unaudited)
<S> <C> <C>
Current assets:
Cash and cash equivalents $ 83,863 $ 65,609
Accounts receivable, less allowance for losses ($2,516 and $2,011 respectively) 70,386 63,365
Inventories 36,834 38,444
Prepaid expenses and other current assets 13,913 16,635
-------- --------
Total current assets 204,996 184,053
Other assets:
Intangibles - net 57,837 53,528
Other 7,324 7,078
Property, plant and equipment:
Cost:
Land 5,011 4,988
Buildings and improvements 40,119 39,595
Machinery and equipment 98,550 83,146
Construction in progress 3,481 11,705
-------- --------
147,161 139,434
Less accumulated depreciation 79,429 72,269
-------- --------
Net property, plant and equipment 67,732 67,165
-------- --------
Total $337,889 $311,824
======== ========
LIABILITIES AND STOCKHOLDERS' INVESTMENT
Current liabilities:
Accounts payable $ 15,382 $ 15,761
Wages and amounts withheld from employees 20,830 19,542
Taxes, other than income taxes 2,637 2,033
Accrued income taxes 13,021 9,276
Other current liabilities 13,897 11,647
Current maturities on long-term debt 386 408
--------- ---------
Total current liabilities 66,153 58,667
Long-term debt, less current maturities 3,770 3,716
Other liabilities 15,141 16,068
--------- ---------
Total liabilities 85,064 78,451
Stockholders' investment:
Preferred stock 2,855 2,855
Class A nonvoting common stock - Issued and outstanding 20,778,575 207 207
and 20,726,863 shares, respectively
Class B voting common stock - issued and outstanding 1,769,314 shares 18 18
Additional paid-in capital 26,945 26,131
Earnings retained in the business 227,160 208,254
Other (2,504) (3,024)
Accumulated other comprehensive income (1,856) (1,068)
--------- ---------
Total stockholders' investment 252,825 233,373
--------- ---------
Total $ 337,889 $ 311,824
========= =========
</TABLE>
See Notes to Condensed Consolidated Financial Statements
3
<PAGE> 4
BRADY CORPORATION AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF INCOME AND EARNINGS RETAINED IN THE
BUSINESS
(Dollars in Thousands, Except Per Share Amounts)
<TABLE>
<CAPTION>
(Unaudited)
Three Months Ended Nine Months Ended
April 30 April 30
1999 1998 1999 1998
--------- --------- --------- ---------
<S> <C> <C> <C> <C>
Net sales $ 121,455 $ 118,784 $ 350,566 $ 341,236
Operating expenses:
Cost of products sold 50,501 51,673 151,780 151,897
Research and development 4,044 5,170 13,052 14,943
Selling, general and administrative 46,182 45,329 137,367 133,450
--------- --------- --------- ---------
Total operating expenses 100,727 102,172 302,199 300,290
Operating income 20,728 16,612 48,367 40,946
Other income and (expense):
Investment and other income - net 360 (156) 546 1,069
Interest expense (104) (90) (352) (229)
--------- --------- --------- ---------
Income before income taxes 20,984 16,366 48,561 41,786
Income taxes 8,047 6,339 18,939 16,380
--------- --------- --------- ---------
Net income 12,937 10,027 29,622 25,406
Earnings retained in business at beginning of period 217,817 202,267 208,254 193,602
Less dividends:
Preferred stock (65) (65) (194) (194)
Common stock (3,529) (3,355) (10,522) (9,940)
--------- --------- --------- ---------
Earnings retained in business at end of period $ 227,160 208,874 $ 227,160 208,874
========= ========= ========= =========
Net Income - Class A Nonvoting Common Share
Basic $ 0.57 $ 0.44 $ 1.31 $ 1.13
========= ========= ========= =========
Diluted $ 0.57 $ 0.44 $ 1.30 $ 1.12
========= ========= ========= =========
Net Income - Class B Voting Common Share
Basic $ 0.57 $ 0.44 $ 1.28 $ 1.10
========= ========= ========= =========
Diluted $ 0.57 $ 0.44 $ 1.27 $ 1.09
========= ========= ========= =========
</TABLE>
See Notes to Condensed Consolidated Financial Statements.
4
<PAGE> 5
BRADY CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
(Dollars in Thousands)
<TABLE>
<CAPTION>
(Unaudited)
Nine Months Ended
April 30
1999 1998
-------- --------
<S> <C> <C>
Operating Activities:
Net Income $ 29,622 $ 25,406
Adjustments to Reconcile Net Income to Net Cash Provided by Operating Activities:
Depreciation & Amortization 11,320 9,766
(Gain) Loss on Sale of Property, Plant & Equipment 23 144
Provision for Losses on Accounts Receivable 916 737
Amortization of Restricted Stock 521 0
Changes in Operating Assets & Liabilities:
(Increase) Decrease in Accounts Receivable (6,869) (2,580)
(Increase) Decrease in Inventory 2,316 (1,323)
(Increase) Decrease in Prepaid Expense 1,671 (2,861)
Increase (Decrease) in Accounts Payable and Other Liabilities 2,378 5,338
Increase (Decrease) in Income Taxes 3,152 (1,465)
-------- --------
Net Cash Provided by Operating Activities 45,050 33,162
Investing Activities:
Purchases of Businesses (9,672) (19,332)
Purchases of Property, Plant and Equipment (8,508) (12,030)
Proceeds from Sale of Property, Plant and Equipment - Net 189 224
Other Investments (161) 0
-------- --------
Net Cash (Used in) Investing Activities (18,152) (31,138)
Financing Activities:
Payment of Dividends (10,716) (10,134)
Proceeds from Issuance of Common Stock 814 927
Stock Released from Restriction 0 518
Principal Payments on Long-Term Debt (676) (409)
Proceeds from Issuance of Long-Term Debt 288 855
-------- --------
Net Cash (Used in) Financing Activities (10,290) (8,243)
Effect of Exchange Rate Changes on Cash 1,646 710
-------- --------
Net Increase/(Decrease) in Cash and Cash Equivalents 18,254 (5,509)
Cash and Cash Equivalents at Beginning of Year 65,609 65,329
-------- --------
Cash and Cash Equivalents at End of Period $ 83,863 $ 59,820
======== ========
Supplemental Disclosures of Cash Flow Information:
Cash Paid During the Year For:
Interest $ 246 $ 172
Income Taxes 12,958 15,146
</TABLE>
See Notes to Condensed Consolidated Financial Statement
5
<PAGE> 6
BRADY CORPORATION AND SUBSIDIARIES
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
Nine Months Ended April 30, 1999
NOTE A - Basis of Presentation
The condensed consolidated financial statements included herein have been
prepared by the Company without audit, pursuant to the rules and regulations of
the Securities and Exchange Commission. In the opinion of the Company, the
foregoing statements contain all adjustments, consisting only of normal
recurring accruals, necessary to present fairly the financial position of the
Company as of April 30, 1999, and July 3l, 1998, its results of operations for
the three months and nine months ended April 30, 1999, and l998 and its cash
flows for the nine months ended April 30, 1999, and 1998. The consolidated
balance sheet at July 31, l998, has been taken from the audited consolidated
financial statements of that date and condensed.
Certain information and footnote disclosures normally included in financial
statements prepared in accordance with generally accepted accounting principles
have been condensed or omitted pursuant to such rules and regulations, although
the Company believes that the disclosures are adequate to make the information
presented not misleading. It is suggested that these condensed financial
statements be read in conjunction with the financial statements and the notes
thereto included in the Company's latest annual report.
It is not practical to segregate the amounts of raw material, work in
process or finished goods at the respective interim balance sheet dates.
NOTE B - Net Income Per Common Share
Last fiscal year the Company adopted Statement of Financial Accounting
Standards No. 128, "Earnings Per Share," which established new standards for the
calculation of net income per share effective for interim and annual periods
ending after December 15, 1997. Reconciliation's of the numerator and
denominator of the basic and diluted per share computations for the Company's
Class A and Class B common stock are summarized as follows:
<TABLE>
<CAPTION>
Fiscal 1999 Fiscal 1998
----------------------------------- ----------------------------------
3rd Quarter 9-Month 3rd Quarter 9-Month
<S> <C> <C> <C> <C>
Numerator:
Net income $ 12,937,000 $ 29,622,000 $ 10,027,000 $ 25,406,000
Less: Preferred stock dividends (64,784) (194,351) (64,784) (194,351)
------------ ------------ ------------ ------------
Numerator for basic and diluted
Class A earnings per share $ 12,872,216 $ 29,427,649 $ 9,962,216 $ 25,211,649
Less: Preferential dividends -- (690,541) --
(676,298)
Preferential dividends on
dilutive stock options -- (2,739) -- (9,140)
------------ ------------ ------------ ------------
Numerator for basic and diluted
Class B earnings per share $ 12,872,216 $ 29,734,369 $ 9,962,216 $ 24,526,211
============ ============ ============ ============
</TABLE>
6
<PAGE> 7
<TABLE>
<CAPTION>
Fiscal 1999 Fiscal 1998
--------------------------- ---------------------------
3rd Quarter 9-Month 3rd Quarter 9-Month
<S> <C> <C> <C> <C>
Denominator:
Denominator for basic earnings
per share for both Class A and B 22,546,554 22,524,995 22,484,642 22,311,063
Plus: Effect of dilutive stock options 146,927 117,105 274,747 268,268
---------- ---------- ---------- ----------
Denominator for diluted earnings
per share for both Class A and B 22,693,481 22,642,100 22,759,389 22,579,331
========== ========== ========== ==========
Class A common stock earnings per share calculation:
Basic $ 0.57 $1.31 $0.44 $1.13
Diluted $ 0.57 $1.30 $0.44 $1.12
Class B common stock earnings per share calculation:
Basic $ 0.57 $1.28 $0.44 $1.10
Diluted $ 0.57 $1.27 $0.44 $1.09
</TABLE>
Options to purchase 466,918 and 18,550 shares of Class A common stock were
not included in the computations of diluted earnings per share for the quarters
ending April 30, 1999, and 1998, respectively, because the option exercise
prices were greater than the average market price of the common shares and,
therefore, the effect would be antidilutive.
Options to purchase 1,005,418 and 230,350 shares of Class A common stock
were not included in the computations of diluted earnings per share for the nine
months ending April 30, 1999, and 1998, respectively, because the option
exercise prices were greater than the average market price of the common shares
and, therefore, the effect would be antidilutive
NOTE C - Comprehensive Income
Effective August 1, 1998, the Company adopted Statement of Financial
Accounting Standards No. 130, "Reporting Comprehensive Income." Statement 130
establishes new rules for the reporting and display of comprehensive income and
its components. The adoption of this Statement had no impact on the Company's
net income or stockholders' investment. Statement 130 requires the Company's
foreign currency translation adjustments, which prior to adoption were reported
separately in stockholders' investment, to be included in other comprehensive
income. Prior year financial statements have been reclassified to conform with
the requirements of Statement 130. Total comprehensive income, which was
comprised of net income and foreign currency adjustments, amounted to
approximately $10,872,000 and $10,635,000 for the three months ended April 30,
1999 and 1998, respectively, and $28,834,000 and $25,509,000 for the nine months
ended April 30, 1999 and 1998, respectively.
7
<PAGE> 8
NOTE D - Restructuring
During the fourth quarter of fiscal 1998, the Company recorded a
nonrecurring charge of $5,390,000 related primarily to a provision for severance
costs associated with a reduction in workforce at its operations around the
world. The workforce reduction of 7.5%, approximately 200 people, was
essentially completed in August 1998.
A reconciliation of activity with respect to the Company's restructuring is
as follows:
<TABLE>
<S> <C>
Provision, 1998 $5,390,000
Noncash asset write-offs (376,000)
Cash payments associated with severance (1,215,000)
-----------
Ending balance, October 31, 1998 $3,799,000
Cash payments associated with severance (1,367,000)
-----------
Ending balance, January 31, 1999 $2,432,000
Cash payments associated with severance (966,000)
-----------
Ending balance, April 30, 1999 $ 1,466,000
============
</TABLE>
NOTE E - Acquisitions
Effective August 16, 1998, the Company acquired the common stock of VEB
Sistemas de Etiquetas Ltda. located in Sao Paulo, Brazil, an industrial label
manufacturer, for cash of approximately $4,400,000. The purchase price of this
acquisition is subject to change based on post-closing adjustments.
Effective March 26, 1999, the Company acquired Barcodes West, Inc. located
in Seattle, Washington, a label manufacturer and software and service provider,
for cash of approximately $5,600,000. The purchase price of this acquisition is
subject to change based on post-closing adjustments.
These acquisition has been accounted for using the purchase method of
accounting and accordingly the results of operations have been included since
the dates of acquisition in the accompanying financial statements. The pro-forma
results assuming the acquisitions had been consummated as of the beginning of
the periods presented are not significant.
8
<PAGE> 9
MANAGEMENT'S DISCUSSION AND ANALYSIS
OF FINANCIAL CONDITION AND
RESULTS OF OPERATIONS
Results of Operations
For the three months ended April 30, 1999, revenues of $121,455,000 were
2.3% higher than the same quarter of the previous year. For the nine months
ended April 30, 1999, revenues of $350,566,000 were 2.7% higher than the same
period last year. Sales of the Company's international operations increased 4.0%
for the quarter and 8.4% for the nine months ended April 30, 1999. Of that
increase, continued market penetration in Brady's operations outside the United
States increased international sales by 0.2% for the quarter and 5.5% for the
nine month period. The acquisitions last year of Techniques Avancees and GrafTek
Inc. and this year's acquisition of VEB Sistemas de Etiquetas Ltda. increased
international sales by 4.6% for the quarter and 3.4% for the nine months. These
increases were partially offset by the negative effects of fluctuations in the
exchange rates used to translate financial results into U.S. currency, which
decreased international sales growth by 0.8% in the quarter and 0.5% in the nine
months. Sales of the Company's U.S. operations increased 0.9% in the quarter and
decreased 1.6% for the nine months ended April 30, 1999. The acquisition of
Barcodes West, Inc. increased domestic sales by 1.1% for the quarter and 0.4%
for the nine months. Core product sales decreased 0.2% for the quarter and 2.0%
for the nine month period due primarily to weakness in some sectors of the U.S.
industrial market.
The cost of products sold as a percentage of sales was 41.6% for the
quarter and 43.3% for the nine months ended April 30, 1999, compared to 43.5%
and 44.5% for the same periods last year. This improvement was primarily caused
by changes in product mix towards products with higher margins, reduced expenses
from the workforce reduction and manufacturing efficiencies from the Company's
continuous improvement efforts. Selling, general and administrative expenses as
a percentage of sales were 38.0% for the quarter compared to 38.2% for the same
quarter of the previous year. For the nine months ended April 30, 1999, this
percentage was 39.2% compared to 39.1% for the same period last year. Research
and development expenditures decreased 21.8% for the quarter and 12.7% for the
nine months ended April 30, 1999, over the same periods last year primarily as a
result of the workforce reduction and lower product development project
expenditures.
Operating income was $20,728,000 for the quarter and $48,367,000 for the
nine months ended April 30, 1999, compared to $16,612,000 and $40,946,000 for
the same periods last year because of the factors cited above.
Investment and other income increased $516,000 for the quarter and
decreased $523,000 for the nine months ended April 30, 1999, over the same
periods last year. The increase in the quarter was the result of smaller foreign
exchange losses offsetting lower investment income because of lower interest
rates. The decrease in the nine month period was primarily the result of foreign
exchange losses and lower investment income because of lower interest rates.
Income before income taxes increased 28.2% for the quarter and 16.2% for
the nine months ended April 30, 1999, compared to prior year results. The
effective tax rate was 38.3% for the quarter compared to 38.7% for the same
quarter of the previous year. For the nine months ended April 30, 1999, this
percentage was 39.0% compared to 39.2% for the same period last year.
9
<PAGE> 10
Net income for the three months ended April 30, 1999, increased 29.0% to
$12,937,000, compared to $10,027,000 for the same quarter of the previous year.
For the nine months ended April 30, 1999, net income increased 16.6% to
$29,622,000 from $25,406,000 for the same period last year. On a per share
basis, fully diluted net income for the three months ended April 30, 1999, was
$0.57 compared to $0.44 for the same quarter of the previous year. For the nine
months ended April 30, 1999, fully diluted net income per share was $1.30
compared to $1.12 for the same period last year.
Financial Condition
The Company's liquidity remains strong. The current ratio as of April 30,
1999, was 3.1 to 1. Cash and cash equivalents were $83,863,000 at April 30,
1999, compared to $65,609,000 at July 31, 1998. Working capital increased
$13,457,000 during the nine months and equaled $138,843,000 as of April 30,
1999.
The Company continues to maintain significant cash balances due in large
part to its strong operating cash flow which totaled $45,050,000 for the nine
months ended April 30, 1999, compared to $33,162,000 for the same period last
year. Capital expenditures were $8,508,000 in the nine months ended April 30,
1999, compared to $12,030,000 in the first nine months last year. Last year's
expenditures included payments made on the Company's new coating line. Financing
activities, primarily the payment of dividends to the Company's stockholders,
consumed $10,290,000 of cash in the first nine months of fiscal 1999, compared
to $8,243,000 for the same period last year.
Long-term debt as a percentage of long-term debt plus stockholders'
investment was 1.5% at April 30, 1999, compared to 1.6% at July 31, 1998.
The Company believes that its cash and cash equivalents and the cash flow
it generates from operating activities are adequate to meet the Company's
current investing and financing needs.
Year 2000 Compliance
The inability of computers, software and other equipment utilizing
microprocessors to recognize and properly process data fields containing a 2
digit year is commonly referred to as the Year 2000 Compliance issue (the
"Issue"). As the year 2000 approaches, such systems may be unable to process
certain date-based information. This could result in a system failure or
miscalculations causing disruptions of operations and the inability to engage in
normal business activities. Many of the Company's systems, including information
and computer systems and automated equipment, will be affected by the Issue.
The Company has a comprehensive plan to address the Issue. The plan
includes (i) the complete inventory of all in-house computers, software and
other equipment utilizing microprocessors and identification of all hardware and
software affected by the Issue; (ii) modification of the affected systems; and
(iii) testing the modified system, installing the changes and auditing the
installed system for final compliance. The Company is using both internal and
external resources to implement its plan. The Company has generally completed
the inventory phase and is at various stages of modification and testing of
these systems. The Company feels it has adequate time to assess and correct any
significant issues that materialize. The Company currently estimates that the
total cost of its Year 2000 project will be approximately $2,000,000. Costs
associated with this issue have been and will continue to be expensed as
incurred and are not expected to have a material effect on the results of
operations, cash flows or financial condition of the Company.
10
<PAGE> 11
As a third-party supplier of software and printing systems to other
companies, the Company has posted its own product compliance status on its
Internet site (www.bradycorp.com).
The Company has completed the process of formally communicating with all of
its significant suppliers and customers to determine the extent to which the
Company is vulnerable to those third parties' failure to remediate their own
Year 2000 Compliance issues. The Company can not guarantee that the systems of
other companies on which the Company's systems rely will be converted on time,
or that a failure to convert by another company, or a conversion that is
incompatible with the Company's systems would not have a material adverse effect
on the Company.
The costs of the project and the timetable in which the Company plans to
complete the Year 2000 requirements are based upon management's best estimates,
which are derived utilizing assumptions of future events including the continued
availability of personnel trained in this area, the ability to locate and
correct all relevant computer codes, and similar uncertainties. However, there
can be no guarantee that these estimates will be achieved, and actual results
could differ significantly from these plans. If the Company's plan to address
the Issue is not successfully or timely implemented, the Company may need to
devote more resources to the process and additional costs may be incurred, which
could have a material adverse effect on the Company's financial condition and
results of operations.
Management of the Company believes it has an effective program in place to
resolve the Issue in a timely manner. Nevertheless, since it is not possible to
anticipate all possible future outcomes, especially when third parties are
involved, there could be circumstances in which the Company would be unable to
take customer orders, manufacture and ship products, invoice customers and
collect payments, or the Company could be subject to litigation for product
failure. The amount of potential liability and lost revenue has not been
estimated.
Contingency plans have been developed and the rest of calendar 1999 has
been reserved for final verification of all Year 2000 Compliance processes and
rehearsal of contingency plans.
Forward-Looking Statements
Matters in this Quarterly Report may contain forward-looking information,
as defined in the Private Securities Litigation Reform Act of 1995. All such
forward-looking information in this report involves risks and uncertainties,
including, but not limited to, variations in the economic or political
conditions in the countries with which the Company does business; fluctuations
in currency exchange rates for international currencies versus the U.S. dollar;
technology changes; the continued availability of sources of supply; domestic
and international economic conditions and growth rates; the ability of the
Company to timely adjust its cost structure to changes in levels of sales,
product mix and low levels of order backlog; the ability of the Company to
acquire new businesses; and risks associated with the Year 2000 Compliance
issue. The Company cautions that forward-looking statements are not guarantees,
since there are inherent difficulties in predicting future results, and that
actual results could differ materially from those expressed or implied in
forward-looking statements.
11
<PAGE> 12
PART II. OTHER INFORMATION
ITEM 6. Exhibits and Reports on Form 8-K
(a) Exhibits
None
(b) Reports on Form 8-K.
The Company was not required to file and did not file a report
on form 8-K during the quarter ended April 30, 1999.
12
<PAGE> 13
Pursuant to the requirements of the Securities and Exchange Act of 1934, the
Registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.
SIGNATURES
BRADY CORPORATION
Date: May 27, 1999 /s/ K. M. Hudson
----------------- ---------------------------
K. M. Hudson
President
Date: May 27, 1999 /s/ F. M. Jaehnert
----------------- ----------------------------
F. M. Jaehnert
Vice President & Chief Financial Officer
(Principal Accounting Officer)
13
<TABLE> <S> <C>
<ARTICLE> 5
<MULTIPLIER> 1,000
<S> <C>
<PERIOD-TYPE> 9-MOS
<FISCAL-YEAR-END> JUL-31-1999
<PERIOD-START> AUG-01-1998
<PERIOD-END> APR-30-1999
<CASH> 83,863
<SECURITIES> 0
<RECEIVABLES> 72,902
<ALLOWANCES> 2,516
<INVENTORY> 36,834
<CURRENT-ASSETS> 204,996
<PP&E> 147,161
<DEPRECIATION> 79,429
<TOTAL-ASSETS> 337,889
<CURRENT-LIABILITIES> 66,153
<BONDS> 3,770
2,855
0
<COMMON> 225
<OTHER-SE> 249,745
<TOTAL-LIABILITY-AND-EQUITY> 337,889
<SALES> 350,566
<TOTAL-REVENUES> 350,566
<CGS> 151,780
<TOTAL-COSTS> 151,780
<OTHER-EXPENSES> 150,419
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 352
<INCOME-PRETAX> 48,561
<INCOME-TAX> 18,939
<INCOME-CONTINUING> 29,622
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 29,622
<EPS-BASIC> 1.31
<EPS-DILUTED> 1.30
</TABLE>
