CIR CIRCOR International Inc

CIRCOR International, Inc. (NYSE: CIR), a leading provider of valves and other highly engineered products for markets including oil & gas, power generation and aerospace & defense, today announced financial results for the third quarter ended September 28, 2014.

Third-Quarter 2014 Highlights

• Orders increased 9%
• Adjusted operating margin expanded 30 basis points to 11.4%
• Adjusted EPS at $0.95
• Year-to-date free cash flow was $35.7 million

“CIRCOR’s third-quarter results demonstrate the continued execution of our strategy,” said Scott Buckhout, CIRCOR President and Chief Executive Officer. “Revenues were $204 million and margins expanded to 11.4%, 30 bps over a strong quarter last year. Our ongoing restructuring actions and productivity initiatives are on track and are having a measurable impact on our bottom-line performance.”

“Orders in our Energy business were up 18% during the third quarter and we expect the momentum to continue into the fourth quarter,” said Buckhout. “Quoting activity remains solid in the upstream Oil & Gas and power markets. Within Aerospace & Defense, orders were impacted by the exit of certain landing gear product lines. Overall backlog increased 5% sequentially to $432 million.”

“Going forward, we remain focused on growth, margin expansion and strong free cash flow,” concluded Buckhout.

Fourth-Quarter 2014 Guidance

For the fourth quarter of 2014, the Company expects:

• Revenues in the range of $210 million to $225 million;
• Adjusted earnings per share, excluding restructuring and special charges, in the range of $1.02 to $1.12; and,
• Restructuring and special related charges of approximately $3.0 million to $3.3 million.

 

Selected Consolidated Results

    (In millions, except percents and bps)   Q3 2014   Q3 2013   Change Revenue   $ 203.8 $ 214.7 -5% Adjusted Operating Income1 $ 23.2 $ 23.7 -2% Adjusted Operating Margin1 11.4% 11.1% 30 bps GAAP Earnings Per Share (Diluted) $ 0.83 $ 1.00 -17% Adjusted Earnings Per Share (Diluted)1 $ 0.95 $ 0.93 2% Orders $ 242.3 $ 223.3 9% Backlog2 $ 431.8 $ 446.9 -3% Free Cash Flow $ 13.9 $ 29.6 -53%  

Segment Results

    (In millions, except percents and bps)   Q3 2014   Q3 2013   Change Energy   Revenue $ 157.7 $ 167.7 -6% Adjusted Operating Margin1 16.9% 15.2% 170 bps Orders $ 197.7 $ 167.0 18% Backlog $ 304.5 $ 265.0 15%   Aerospace & Defense Revenue $ 46.2 $ 47.1 -2% Adjusted Operating Margin1 5.0% 12.1% -710 bps Orders $ 44.6 $ 56.3 -21% Backlog2 $ 127.2 $ 181.9 -30%

1. Consolidated and Segment Results exclude special and restructuring charges/(recoveries), $0.5 million and ( $0.2) million related to restructuring actions during Q3 2014 and Q3 2013, respectively, as well as $2.9 million in inventory charges related to the exit of certain landing gear product lines recorded during Q3 2014. Refer to reconciliation to commonly used US GAAP terms.

2. Consolidated and Aerospace & Defense Segment Backlog reflects a Q2 2014 reduction of $28.6 million associated with the exit of certain landing gear product lines.

Conference Call Information

CIRCOR International will hold a conference call to review its financial results today, October 31, 2014, at 10:00 a.m. ET. To listen to the conference call and view the accompanying presentation slides, visit “Webcasts & Presentations” in the “Investors” section of the CIRCOR website. The live call also can be accessed by dialing (877) 407-5790 or (201) 689-8328. The webcast will be archived for one year on the Company’s website.

Use of Non-GAAP Financial Measures

Adjusted net income, adjusted earnings per diluted share, adjusted operating income, adjusted operating margin, and free cash flow are non-GAAP financial measures and are intended to serve as a complement to results provided in accordance with accounting principles generally accepted in the United States. CIRCOR believes that such information provides an additional measurement and consistent historical comparison of the Company’s performance. A reconciliation of the non-GAAP financial measures to the most directly comparable GAAP measures is available in this news release.

Safe Harbor Statement

This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Reliance should not be placed on forward-looking statements because they involve unknown risks, uncertainties and other factors, which are, in some cases, beyond the control of CIRCOR. Any statements in this press release that are not statements of historical fact are forward-looking statements, including, but not limited to, those relating to CIRCOR’s future performance, including fourth-quarter revenue and earnings guidance and estimated total annualized pre-tax savings from restructuring actions. Actual events, performance or results could differ materially from the anticipated events, performance or results expressed or implied by such forward-looking statements. BEFORE MAKING ANY INVESTMENT DECISIONS REGARDING OUR COMPANY, WE STRONGLY ADVISE YOU TO READ THE SECTION ENTITLED "RISK FACTORS" IN OUR MOST RECENT ANNUAL REPORT ON FORM 10-K AND SUBSEQUENT REPORTS ON FORMS 10-Q, WHICH CAN BE ACCESSED UNDER THE "INVESTORS" LINK OF OUR WEBSITE AT WWW.CIRCOR.COM. We undertake no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.

About CIRCOR International, Inc.

CIRCOR International, Inc. designs, manufactures and markets highly engineered products and sub-systems for markets including oil & gas, power generation and aerospace & defense. With more than 7,000 customers in over 100 countries, CIRCOR has a diversified product portfolio with recognized, market-leading brands that fulfill its customers’ unique application needs. The Company’s strategy is to grow organically and through complementary acquisitions; simplify CIRCOR’s operations; achieve world class operational excellence; and attract and retain top industry talent. For more information, visit the Company’s investor relations website at http://investors.circor.com.

  CIRCOR INTERNATIONAL, INC.

CONSOLIDATED STATEMENT OF INCOME

(in thousands, except share data)

UNAUDITED

    Three Months Ended   Nine Months Ended

September 28,2014

 

September 29,2013

September 28,2014

 

September 29,2013

Net revenues $ 203,818 $ 214,731 $ 622,888 $ 643,773 Cost of revenues 141,601   144,593   436,333   443,679 GROSS PROFIT 62,217 70,138 186,555 200,094 Selling, general and administrative expenses 41,873 46,392 129,370 139,561

Special charges (recoveries), net

478   (190 ) 578   3,441 OPERATING INCOME 19,866   23,936   56,607   57,092 Other (income) expense: Interest expense, net 436 745 2,245 2,370 Other expense (income), net 419   568   (434 ) 1,807 TOTAL OTHER EXPENSE, NET 855   1,313   1,811   4,177 INCOME BEFORE INCOME TAXES 19,012 22,623 54,796 52,915 Provision for income taxes 4,337   4,903   13,565   14,619 NET INCOME $ 14,675   $ 17,720   $ 41,231   $ 38,296 Earnings per common share: Basic $ 0.83 $ 1.01 $ 2.34 $ 2.18 Diluted $ 0.83 $ 1.00 $ 2.32 $ 2.18 Weighted average number of common shares outstanding: Basic 17,675 17,582 17,654 17,553 Diluted 17,779 17,667 17,763 17,602 Dividends paid per common share $ 0.0375 $ 0.0375 $ 0.1125 $ 0.1125     CIRCOR INTERNATIONAL, INC.

CONSOLIDATED STATEMENTS OF CASH FLOWS

(in thousands)

(UNAUDITED)

    Nine Months Ended

September 28,2014

 

September 29,2013

OPERATING ACTIVITIES   Net income $ 41,231 $ 38,296 Adjustments to reconcile net income to net cash provided by operating activities: Depreciation 12,163 11,943 Amortization 2,367 2,273 Compensation expense of share-based plans 5,956 3,343 Tax effect of share-based plan compensation (744 ) (536 ) Gain on property, plant and equipment (133 ) (70 ) Return of acquisition proceeds — (3,400 ) Changes in operating assets and liabilities: Trade accounts receivable, net (30,942 ) 493 Inventories, net (159 ) (33 ) Prepaid expenses and other assets (121 ) 193 Accounts payable, accrued expenses and other liabilities 14,953   1,259   Net cash provided by operating activities 44,571   53,761   INVESTING ACTIVITIES Additions to property, plant and equipment (8,900 ) (13,579 ) Proceeds from the sale of property, plant and equipment 761 348 Proceeds from sale of affiliates 177 —

Business acquisitions, return of purchase price

—   3,400   Net cash used in investing activities (7,962 ) (9,831 ) FINANCING ACTIVITIES Proceeds from long-term debt 109,104 104,626 Payments of long-term debt (125,140 ) (124,351 ) Debt issuance costs (920 ) — Dividends paid (2,011 ) (2,011 ) Proceeds from the exercise of stock options 420 1,843 Tax effect of share-based compensation 744   536   Net cash used in financing activities (17,803 ) (19,357 ) Effect of exchange rate changes on cash and cash equivalents (6,404 ) (27 )

INCREASE IN CASH AND CASH EQUIVALENTS

12,400 24,547 Cash and cash equivalents at beginning of year 102,180   61,738   CASH AND CASH EQUIVALENTS AT END OF PERIOD $ 114,580   $ 86,285   Cash paid during the year for: Income taxes $ 12,760 $ 5,463 Interest $ 1,923 $ 1,910     CIRCOR INTERNATIONAL, INC.

CONSOLIDATED BALANCE SHEETS

(in thousands)

   

September 28,2014

 

December 31,2013

ASSETS (unaudited) CURRENT ASSETS: Cash and cash equivalents $ 114,580 $ 102,180 Short-term investments 91 95 Trade accounts receivable, less allowance for doubtful accounts of $2,852 and $2,449, respectively 170,777 144,742 Inventories, net 195,522 199,404 Prepaid expenses and other current assets 19,510 19,815 Deferred income tax asset 19,992   17,686 Total Current Assets 520,472   483,922 PROPERTY, PLANT AND EQUIPMENT, NET 101,786 107,724 OTHER ASSETS: Goodwill 75,245 75,876 Intangibles, net 32,622 35,656 Deferred income tax asset 15,271 18,579 Other assets 5,098   4,893 TOTAL ASSETS $ 750,494   $ 726,650 LIABILITIES AND SHAREHOLDERS’ EQUITY CURRENT LIABILITIES: Accounts payable $ 86,780 $ 70,589 Accrued expenses and other current liabilities 59,677 57,507 Accrued compensation and benefits 26,860 31,289 Income taxes payable 4,629 3,965 Notes payable and current portion of long-term debt 7,439   7,203 Total Current Liabilities 185,385   170,553 LONG-TERM DEBT, NET OF CURRENT PORTION 26,403 42,435 DEFERRED INCOME TAXES 8,721 9,666 OTHER NON-CURRENT LIABILITIES 21,950 27,109 SHAREHOLDERS’ EQUITY: Common stock 170 176 Additional paid-in capital 276,374 269,884 Retained earnings 241,871 202,930

Accumulated other comprehensive (loss) gain, net of taxes

(10,380 ) 3,897 Total Shareholders’ Equity 508,035   476,887 TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY $ 750,494   $ 726,650   CIRCOR INTERNATIONAL, INC.

SUMMARY OF ORDERS AND BACKLOG

(in millions)

UNAUDITED

    Three Months Ended   Nine Months Ended

September 28, 2014

 

September 29, 2013

September 28, 2014

 

September 29, 2013

ORDERS (1) Energy $ 197.7 $ 167.0 $ 517.6 $ 504.3 Aerospace & Defense 44.6   56.3   128.3   145.9 Total orders $ 242.3   $ 223.3   $ 645.9   $ 650.2   BACKLOG (2)

September 28, 2014

September 29, 2013

Energy $ 304.5 $ 265.0 Aerospace & Defense (3) 127.2   181.9   Total backlog $ 431.8   $ 446.9    

Note 1: Orders do not include the foreign exchange impact due to the re-measurement of customer order backlog amounts denominated in foreign currencies.

Note 2: Backlog includes unshipped customer orders.

Note 3: Aerospace & Defense backlog reflects a reduction of $28.6 million associated with the exit of certain landing gear product lines recorded in the second quarter of 2014.

  CIRCOR INTERNATIONAL, INC.

SUMMARY REPORT BY SEGMENT

(in thousands, except earnings per share)

UNAUDITED

        2013   2014 1ST QTR   2ND QTR   3RD QTR   4TH QTR   TOTAL   1ST QTR   2ND QTR   3RD QTR   TOTAL NET REVENUES               Energy $ 157,104 $ 173,557 $ 167,660 $ 162,649 $ 660,970 $ 162,587 $ 160,580 $ 157,658 $ 480,825 Aerospace & Defense 48,294     50,087     47,071     51,386     196,838     48,599     47,304     46,160     142,063   Total $ 205,398 $ 223,644 $ 214,731 $ 214,035 $ 857,808 $ 211,186 $ 207,884 $ 203,818 $ 622,888 ADJUSTED OPERATING MARGIN Energy 10.8 % 13.3 % 15.2 % 17.1 % 14.1 % 13.8 % 14.6 % 16.9 % 15.1 % Aerospace & Defense 5.9 %   11.4 %   12.1 %   8.4 %   9.5 %   9.1 %   7.1 %   5.0 %   7.1 % Segment operating margin 9.6 % 12.9 % 14.5 % 15.0 % 13.0 % 12.7 % 12.9 % 14.2 % 13.3 % Corporate expenses (2.6 )%   (2.9 )%   (3.4 )%   (3.5 )%   (3.1 )%   (3.4 )%   (2.2 )%   (2.8 )%   (2.8 )% Adjusted operating margin 7.1 % 10.0 % 11.1 % 11.6 % 9.9 % 9.4 % 10.7 % 11.4 % 10.5 % Restructuring inventory charges 0.1 % (0.1 )% — % 0.3 % 0.1 % — % 2.5 % 1.4 % 1.3 % Impairment charges — % — % — % 3.2 % 0.8 % — % — % — % — % Special (recoveries) — % — % (1.5 )% — % (0.4 )% (1.1 )% — % — % (0.4 )% Special charges 0.7 %   1.0 %   1.4 %   2.4 %   1.4 %   0.5 %   0.6 %   0.2 %   0.5 % Total GAAP operating margin 6.3 %   9.1 %   11.1 %   5.6 %   8.1 %   9.9 %   7.6 %   9.7 %   9.1 %                                                         2013 2014 1ST QTR   2ND QTR   3RD QTR   4TH QTR   TOTAL   1ST QTR   2ND QTR   3RD QTR   TOTAL ADJUSTED OPERATING INCOME Energy $ 16,940 $ 23,114 $ 25,441 $ 27,809 $ 93,304 $ 22,462 $ 23,502 $ 26,577 $ 72,541 Aerospace & Defense 2,864     5,724     5,705     4,342     18,635     4,426     3,362     2,295     10,083   Segment operating income 19,804 28,838 31,146 32,151 111,939 26,888 26,864 28,872 82,624 Corporate expenses (5,277 )   (6,570 )   (7,400 )   (7,400 )   (26,646 )   (7,137 )   (4,634 )   (5,678 )   (17,449 ) Adjusted operating income 14,528 22,268 23,746 24,751 85,293 19,750 22,231 23,194 65,175 Restructuring inventory charges 250 (242 ) — 638 646 — 5,139 2,850 7,989 Impairment charges — — — 6,872 6,872 — — — — Special (recoveries) — — (3,151 ) — (3,151 ) (2,243 ) — — (2,243 ) Special charges 1,378     2,254     2,961     5,160     11,752     1,086     1,257     478     2,821   Total GAAP operating income 12,900     20,256     23,936     12,081     69,174     20,907     15,834     19,866     56,607   INTEREST EXPENSE, NET (787 ) (838 ) (745 ) (792 ) (3,162 ) (918 ) (891 ) (436 ) (2,245 ) OTHER (EXPENSE) INCOME, NET (612 )   (626 )   (568 )   (167 )   (1,974 )   468     384     (419 )   434   PRETAX INCOME 11,501 18,792 22,623 11,122 64,038 20,457 15,328 19,012 54,796 PROVISION FOR INCOME TAXES (3,592 )   (6,124 )   (4,903 )   (2,297 )   (16,916 )   (5,825 )   (3,402 )   (4,337 )   (13,565 ) EFFECTIVE TAX RATE 31.2 % 32.6 % 21.7 % 20.7 % 26.4 % 28.5 % 22.2 % 22.8 % 24.8 % NET INCOME $ 7,908     $ 12,668     $ 17,720     $ 8,825     $ 47,121     $ 14,632     $ 11,926     $ 14,675     $ 41,231   Weighted Average Common Shares Outstanding (Diluted) 17,529 17,607 17,667 17,710 17,629 17,741 17,767 17,779 17,763 EARNINGS PER COMMON SHARE (Diluted) $ 0.45     $ 0.72     $ 1.00     $ 0.50     $ 2.67     $ 0.82     $ 0.67     $ 0.83     $ 2.32   ADJUSTED EBITDA $ 18,682     $ 26,419     $ 27,850     $ 29,441     $ 102,392     $ 25,073     $ 27,536     $ 27,530     $ 80,137   ADJUSTED EBITDA AS A % OF SALES 9.1 %   11.8 %   13.0 %   13.8 %   11.9 %   11.9 %   13.2 %   13.5 %   12.9 % CAPITAL EXPENDITURES $ 4,707 $ 4,100 $ 4,772 $ 3,749 $ 17,328 $ 2,670 $ 2,933 $ 3,297 $ 8,900     CIRCOR INTERNATIONAL, INC.

RECONCILIATION OF KEY PERFORMANCE MEASURES TO COMMONLY USED GENERALLY ACCEPTED ACCOUNTING PRINCIPLE TERMS

(in thousands, except earnings per share)

UNAUDITED

        2013   2014 1ST QTR   2ND QTR   3RD QTR   4TH QTR   TOTAL   1ST QTR   2ND QTR   3RD QTR   TOTAL FREE CASH FLOW AS % OF NET INCOME 14 %   75 %   167 %   167 %   116 % 98 %   62 %   95 %   87 % FREE CASH FLOW $ 1,100 $ 9,525 $ 29,557 $ 14,696 $ 54,878 $ 14,387 $ 7,365 $ 13,919 $ 35,671 ADD: Capital Expenditures 4,707     4,100     4,772     3,749     17,328     2,670     2,933     3,297     8,900   NET CASH PROVIDED BY OPERATING ACTIVITIES $ 5,807     $ 13,625     $ 34,329     $ 18,445     $ 72,206     $ 17,057     $ 10,298     $ 17,216     $ 44,571   NET DEBT (CASH) $ 8,814 $ (1,376 ) $ (36,466 ) $ (52,637 ) $ (52,637 ) $ (66,056 ) $ (72,982 ) $ (80,829 ) $ (80,829 ) ADD: Cash & Cash Equivalents 57,633 60,831 86,285 102,180 102,180 122,097 116,326 114,580 114,580 Investments 99     96     98     95     95     92     95     91     91   TOTAL DEBT $ 66,546     $ 59,551     $ 49,917     $ 49,638     $ 49,638     $ 56,133     $ 43,439     $ 33,842     $ 33,842   DEBT AS % OF EQUITY 16 % 14 % 11 % 10 % 10 % 11 % 9 % 7 % 7 % TOTAL DEBT 66,546     59,551     49,917     49,638     49,638     56,133     43,439     33,842     33,842   TOTAL SHAREHOLDERS' EQUITY 418,819     432,151     459,058     476,887     476,887     492,601     507,363     508,035     508,035                                                         2013 2014 1ST QTR   2ND QTR   3RD QTR   4TH QTR   TOTAL   1ST QTR   2ND QTR   3RD QTR   TOTAL ADJUSTED OPERATING INCOME $ 14,528 $ 22,268 $ 23,746 $ 24,751 $ 85,293 $ 19,750 $ 22,230 $ 23,194 $ 65,175 LESS: Inventory restructuring charges 250 (242 ) — 638 646 — 5,139 2,850 7,989 Impairment charges — — — 6,872 6,872 — — — — Special (recoveries) — — (3,151 ) — (3,151 ) (2,243 ) — — (2,243 ) Special charges 1,378     2,254     2,961     5,160     11,753     1,086     1,257     478     2,821   OPERATING INCOME $ 12,900 $ 20,256 $ 23,936 $ 12,081 $ 69,173 $ 20,907 $ 15,834 $ 19,866 $ 56,607 ADJUSTED NET INCOME $ 9,043 $ 14,044 $ 16,439 $ 16,773 $ 56,299 $ 13,916 $ 16,090 $ 16,827 $ 46,831 LESS: Inventory restructuring charges, net of tax 174 (165 ) — 396 405 — 3,316 1,857 5,173 Impairment charges, net of tax — — — 4,261 4,261 — — — — Special (recoveries), net of tax — — (3,151 ) — (3,151 ) (1,391 ) — — (1,391 ) Special charges, net of tax 961     1,541     1,870     3,291     7,663     675     848     295     1,818   NET INCOME $ 7,908     $ 12,668     $ 17,720     $ 8,825     $ 47,121     $ 14,632     $ 11,926     $ 14,675     $ 41,231   ADJUSTED EARNINGS PER SHARE (Diluted) $ 0.52 $ 0.81 $ 0.93 $ 0.95 $ 3.21 $ 0.78 $ 0.91 $ 0.95 $ 2.64 LESS: Inventory restructuring charges, net of tax 0.01 (0.01 ) — 0.02 0.02 — 0.19 0.10 0.29 Impairment charges, net of tax — — — 0.24 0.24 — — — — Special (recoveries), net of tax — — (0.18 ) — (0.18 ) (0.08 ) — — (0.08 ) Special charges, net of tax 0.06     0.10     0.11     0.19     0.46     0.04     0.05     0.02     0.11   EARNINGS PER COMMON SHARE (Diluted) $ 0.45     $ 0.72     $ 1.00     $ 0.50     $ 2.67     $ 0.82     $ 0.67     $ 0.83     $ 2.32                                                         2013 2014 1ST QTR   2ND QTR   3RD QTR   4TH QTR   TOTAL   1ST QTR   2ND QTR   3RD QTR   TOTAL EBITDA $ 17,054 $ 24,407 $ 23,368 $ 11,914 $ 86,272 $ 26,230 $ 21,140 $ 24,202 $ 71,570 LESS: Interest expense, net (787 ) (838 ) (745 ) (792 ) (3,162 ) (918 ) (891 ) (436 ) (2,245 ) Depreciation (4,009 ) (4,026 ) (3,908 ) (4,091 ) (16,034 ) (4,069 ) (4,116 ) (3,978 ) (12,163 ) Amortization (758 ) (751 ) (764 ) (766 ) (3,039 ) (786 ) (805 ) (776 ) (2,367 ) Provision for income taxes (3,592 )   (6,124 )   (4,903 )   (2,297 )   (16,916 )   (5,825 )   (3,402 )   (4,337 )   (13,564 ) NET INCOME $ 7,908     $ 12,668     $ 17,720     $ 8,825     $ 47,121     $ 14,632     $ 11,926     $ 14,675     $ 41,231   ADJUSTED EBITDA $ 18,682 $ 26,419 $ 27,850 $ 29,441 $ 102,392 $ 25,073 $ 27,536 $ 27,530 $ 80,137 Inventory restructuring charges (250 ) 242 — (638 ) (646 ) — (5,139 ) (2,850 ) (7,989 ) Impairment charges — — — (6,872 ) (6,872 ) — — — — Special (recoveries) — — 3,151 — 3,151 2,243 — — 2,243 Special charges (1,378 ) (2,254 ) (2,961 ) (5,160 ) (11,753 ) (1,086 ) (1,257 ) (478 ) (2,821 ) Interest expense, net (787 ) (838 ) (745 ) (792 ) (3,162 ) (918 ) (891 ) (436 ) (2,245 ) Depreciation (4,009 ) (4,026 ) (3,908 ) (4,091 ) (16,034 ) (4,069 ) (4,116 ) (3,978 ) (12,163 ) Amortization (758 ) (751 ) (764 ) (766 ) (3,039 ) (786 ) (805 ) (776 ) (2,367 ) Provision for income taxes (3,592 )   (6,124 )   (4,903 )   (2,297 )   (16,916 )   (5,825 )   (3,402 )   (4,337 )   (13,564 ) NET INCOME $ 7,908     $ 12,668     $ 17,720     $ 8,825     $ 47,121     $ 14,632     $ 11,926     $ 14,675     $ 41,231      

CIRCOR INTERNATIONAL, INC.

RECONCILIATION OF FUTURE PERFORMANCE MEASURES TO COMMONLY

USED GENERALLY ACCEPTED ACCOUNTING PRINCIPLE TERMS

UNAUDITED

   

4th Quarter 2014

Low

 

High

REVENUE (in millions)

$

210

$

225

 

EXPECTED ADJUSTED EARNINGS PER SHARE (DILUTED)

$

1.02

$

1.12

LESS: Impairment charges, net of tax, Restructuring related charges, net of tax, Special charges, net of tax $ 0.12 $ 0.11 EXPECTED EARNINGS PER COMMON SHARE (Diluted) $ 0.90 $ 1.01   Note: Assumes 26% to 27% tax rate and exchange rates at present values.

CIRCOR InternationalRajeev Bhalla, 781-270-1200Executive Vice President & Chief Financial Officer