CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS 

(In thousands)

(Unaudited)

First Two Quarters of

2012

2011

Cash flow from operating activities:

    Net Income

$        103,237

$  93,050

    Adjustments to reconcile net income to net cash provided by

       operating activities:

         Depreciation expense

11,300

9,175

         Amortization expense

57,875

32,641

         Provision for doubtful accounts

1,486

640

         Deferred income taxes

381

(4,139)

         Stock-based compensation

15,944

13,927

         Income from equity method investments

(13,255)

(6,181)

         Excess tax benefit for stock-based compensation

(15,254)

(10,950)

         Provision for excess and obsolete inventories

4,993

4,731

         Other non-cash items

(1,851)

2,031

    Add decrease (increase) in assets:

-

         Accounts receivables

(38,589)

(30,650)

         Other receivables

(6,638)

5,988

         Inventories

594

(16,100)

         Other current and non-current assets

(8,904)

1,478

    Add increase (decrease) in liabilities:

         Accounts payable

4,148

8,776

         Accrued compensation and benefits

2,270

(5,453)

         Deferred revenue

32,117

8,588

         Accrued warranty expense

(1,814)

(87)

         Other current and non-current liabilities

7,054

3,251

 Net cash provided by operating activities 

155,094

110,716

 Cash flow from investing activities: 

      Acquisitions of businesses, net of cash acquired 

(337,676)

(91,449)

      Acquisition of property and equipment 

(21,308)

(9,322)

      Acquisitions of intangible assets 

(785)

(566)

      Dividends received 

221

7,500

      Other 

79

(624)

 Net cash used in investing activities 

(359,469)

(94,461)

 Cash flow from financing activities: 

      Issuance of common stock, net 

27,162

30,663

      Excess tax benefit for stock-based compensation 

15,254

10,950

      Proceeds from long-term debt and revolving credit lines 

436,500

144,225

      Payments on short-term and long-term debt  

(304,013)

(177,831)

 Net cash provided by financing activities 

174,903

8,007

 Effect of exchange rate changes on cash and cash equivalents 

(3,212)

4,761

 Net increase (decrease) in cash and cash equivalents 

(32,684)

29,023

 Cash and cash equivalents - beginning of period 

154,621

220,788

 Cash and cash equivalents - end of period 

$        121,937

$249,811

REPORTING SEGMENTS

(Dollars in thousands)

(Unaudited)

Reporting Segments

Engineering

and

Field

Mobile

Advanced

Construction

Solutions

Solutions

Devices

SECOND QUARTER OF FISCAL 2012 :

Revenues

$   284,175

$123,371

$  81,402

$ 28,612

Operating income before corporate allocations:

$     59,473

$  46,623

$    5,624

$  3,913

  Operating margin (% of segment external net revenues)

20.9%

37.8%

6.9%

13.7%

SECOND QUARTER OF FISCAL 2011 :

Revenues

$   236,668

$104,029

$  40,224

$ 26,248

Operating income (loss) before corporate allocations:

$     46,987

$  42,543

$   (2,684)

$  2,607

  Operating margin (% of segment external net revenues)

19.9%

40.9%

(6.7%)

9.9%

FIRST TWO QUARTERS OF FISCAL 2012 :

Revenue

$   533,060

$270,870

$159,785

$ 56,112

Operating income before corporate allocations:

$     99,550

$108,984

$  12,982

$  7,252

  Operating margin (% of segment external net revenues)

18.7%

40.2%

8.1%

12.9%

FIRST TWO QUARTERS OF FISCAL 2011 :

Revenue

$   426,702

$227,082

$  84,645

$ 53,033

Operating income (loss) before corporate allocations:

$     69,766

$  95,048

$   (4,018)

$  6,470

  Operating margin (% of segment external net revenues)

16.4%

41.9%

(4.7%)

12.2%