Dover (DOV) 10-Q 24 Jul 09 2009 Q2 Quarterly report Financial data

Document and Company Informatio

Document and Company Information (USD $)
	6 Months Ended Jun. 30, 2009	Jul. 17, 2009	Jun. 30, 2008
Document and Company Information [Abstract]
Entity Registrant Name	Dover Corporation
Entity Central Index Key	0000029905
Document Type	10-Q
Document Period End Date	2009-06-30
Amendment Flag	false
Amendment Description	N/A
Current Fiscal Year End Date	--12-31
Entity Well-known Seasoned Issuer	Yes
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Filer Category	Large Accelerated Filer
Entity Public Float			$9,086,204,325
Entity Common Stock, Shares Outstanding (actual number)		186,135,290

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations (USD $)
In Thousands, except Per Share data	3 Months Ended Jun. 30, 2009	3 Months Ended Jun. 30, 2008	6 Months Ended Jun. 30, 2009	6 Months Ended Jun. 30, 2008
Revenue	$1,390,331	$2,010,978	$2,769,417	$3,876,464
Cost of goods and services	897,021	1,271,359	1,793,963	2,457,299
Gross profit	493,310	739,619	975,454	1,419,165
Selling and administrative expenses	364,962	446,531	732,352	890,306
Operating earnings	128,348	293,088	243,102	528,859
Interest expense, net	24,840	27,388	47,238	50,819
Other expense (income), net	1,513	1,186	(223)	3,719
Total interest/other expense, net	26,353	28,574	47,015	54,538
Earnings before provision for income taxes and discontinued operations	101,995	264,514	196,087	474,321
Provision for income taxes	1,121	77,604	34,118	139,480
Earnings from continuing operations	100,874	186,910	161,969	334,841
Loss from discontinued operations, net	(3,794)	(51,634)	(11,463)	(52,387)
Net earnings	$97,080	$135,276	$150,506	$282,454
Basic earnings (loss) per common share:
Earnings from continuing operations	0.54	0.99	0.87	1.76
Loss from discontinued operations, net	-0.02	-0.27	-0.06	-0.27
Net earnings	0.52	0.72	0.81	1.48
Weighted average shares outstanding	186,070	189,094	186,041	190,760
Diluted earnings (loss) per common share:
Earnings from continuing operations	0.54	0.98	0.87	1.74
Loss from discontinued operations, net	-0.02	-0.27	-0.06	-0.27
Net earnings	0.52	0.71	0.81	1.47
Weighted average shares outstanding - Diluted	186,292	190,589	186,198	191,966
Dividends paid per common share	0.25	0.2	0.5	0.4
The following table is a reconciliation of the share amounts used in computing earnings per share:
Weighted average shares outstanding - Basic	186,070	189,094	186,041	190,760
Dilutive effect of assumed exercise of employee stock options/SAR's	222	1,495	157	1,206
Weighted average shares outstanding - Diluted	186,292	190,589	186,198	191,966
Anti-dilutive options/SAR's excluded from diluted EPS computation	13,365	3,778	13,538	3,778

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets (USD $)
In Thousands	Jun. 30, 2009	Dec. 31, 2008
Current assets:
Cash and equivalents	$693,560	$547,409
Short-term investments	142,544	279,460
Receivables, net of allowances of $39,169 and $32,647	872,193	1,013,174
Inventories, net	592,160	636,121
Prepaid and other current assets	105,846	80,268
Deferred tax asset	74,015	73,687
Total current assets	2,480,318	2,630,119
Property, plant and equipment, net	849,466	872,134
Goodwill	3,256,503	3,255,566
Intangible assets, net	917,063	952,409
Other assets and deferred charges	112,079	103,904
Assets of discontinued operations	55,025	69,106
Total assets	7,670,454	7,883,238
Current liabilities:
Notes payable and current maturities of long-term debt	134,044	224,944
Accounts payable	348,971	373,436
Accrued compensation and employee benefits	179,739	305,572
Accrued insurance	107,777	104,938
Other accrued expenses	215,824	209,619
Federal and other taxes on income	14,135	35,005
Total current liabilities	1,000,490	1,253,514
Long-term debt	1,844,741	1,860,729
Deferred income taxes	328,437	314,405
Other deferrals	533,918	582,601
Liabilities of discontinued operations	58,960	79,123
Stockholders' Equity:
Total stockholders' equity	3,903,908	3,792,866
Total liabilities and stockholders' equity	$7,670,454	$7,883,238

1_Condensed Consolidated Balanc

Condensed Consolidated Balance Sheets (Parenthetical) (USD $)
In Thousands	Jun. 30, 2009	Dec. 31, 2008
Allowance for doubtful accounts receivable	$39,169	$32,647

2_Condensed Consolidated Statem

Condensed Consolidated Statement of Stockholders Equity (USD $)
In Thousands	Common Stock $1 Par Value	Additional Paid-in Capital	Treasury Stock	Retained Earnings	Other Comprehensive Earnings (Loss)	Total
Beginning Balance at Dec. 31, 2008	$246,615	$455,228	($2,206,251)	$5,286,458	$10,816	$3,792,866
Net earnings				150,506		150,506
Dividends paid				(93,033)		(93,033)
Common stock issued for options exercised	139	4,073				4,212
Tax benefit from the exercise of stock options		(245)				(245)
Stock-based compensation expense		10,345				10,345
Translation of foreign financial statements					33,517	33,517
Unrealized holding gains, net of tax					1,124	1,124
SFAS 158 amortization, net of tax					4,616	4,616
Ending Balance at Jun. 30, 2009	246,754	469,401	(2,206,251)	5,343,931	50,073	3,903,908
Beginning Balance at Mar. 31, 2009			(2,206,251)
Ending Balance at Jun. 30, 2009			($2,206,251)

3_Condensed Consolidated Statem

Condensed Consolidated Statements of Cash Flows (USD $)
In Thousands	6 Months Ended Jun. 30, 2009	6 Months Ended Jun. 30, 2008
Operating Activities of Continuing Operations
Net earnings	$150,506	$282,454
Adjustments to reconcile net earnings to net cash provided by operating activities:
Loss from discontinued operations	11,463	52,387
Depreciation and amortization	127,560	130,714
Stock-based compensation	11,039	14,033
Changes in current assets and liabilities (excluding effects of acquisitions, dispositions and foreign exchange):
Decrease (increase) in accounts receivable	152,340	(91,411)
Decrease (increase) in inventories	58,915	(9,600)
(Increase) decrease in prepaid expenses and other assets	(24,665)	7,313
(Decrease) increase in accounts payable	(26,839)	47,779
Decrease in accrued expenses	(119,433)	(51,063)
Decrease in accrued and deferred taxes, net	(14,512)	(1,648)
Other non-current, net	(19,072)	5,020
Net cash provided by operating activities of continuing operations	307,302	385,978
Investing Activities of Continuing Operations
Purchase of short-term investments	(96,193)	0
Proceeds from sale of short-term investments	226,794	0
Proceeds from the sale of property and equipment	8,727	4,620
Additions to property, plant and equipment	(58,451)	(85,115)
Proceeds from sales of businesses	1,375	8,000
Acquisitions (net of cash and cash equivalents acquired)	(34,288)	(99,751)
Net cash provided by (used in) investing activities of continuing operations	47,964	(172,246)
Financing Activities of Continuing Operations
Decrease in notes payable, net	(92,270)	(175,830)
Reduction of long-term debt	(14,545)	(166,606)
Proceeds from long-term debt	0	594,120
Purchase of treasury stock	0	(352,393)
Proceeds from exercise of stock options, including tax benefits	3,966	61,549
Dividends to stockholders	(93,033)	(76,300)
Net cash used in financing activities of continuing operations	(195,882)	(115,460)
Cash Flows From Discontinued Operations
Net cash (used in) provided by operating activities of discontinued operations	(18,664)	8,465
Net cash (used in) investing activities of discontinued operations	(244)	(1,603)
Net cash (used in) provided by discontinued operations	(18,908)	6,862
Effect of exchange rate changes on cash	5,675	31,374
Net increase in cash and cash equivalents	146,151	136,508
Cash and cash equivalents at beginning of period	547,409	606,105
Cash and cash equivalents at end of period	$693,560	$742,613

Basis of Presentation

Basis of Presentation
	6 Months Ended Jun. 30, 2009 USD / shares
Basis of Presentation [Abstract]
Basis of Presentation	1. Basis of Presentation The accompanying unaudited condensed consolidated financial statements, in accordance with Securities and Exchange Commission (SEC) rules for interim periods, do not include all of the information and notes required by accounting principles generally accepted in the United States of America for complete financial statements and should be read in conjunction with the Dover Corporation (Dover or the Company) Annual Report on Form 10-K for the year ended December31, 2008, which provides a more complete understanding of Dovers accounting policies, financial position, operating results, business properties and other matters. The year-end condensed consolidated balance sheet was derived from audited financial statements. It is the opinion of management that these financial statements reflect all adjustments necessary for a fair statement of the interim results. The results of operations of any interim period are not necessarily indicative of the results of operations for the full year. Certain prior year amounts have been reclassified to conform with the current period presentation.

Acquisitions

Acquisitions
	6 Months Ended Jun. 30, 2009 USD / shares
Acquisitions [Abstract]
Acquisitions	2. Acquisitions The 2009 acquisition is wholly-owned and had an aggregate cost of $34.3million, net of cash acquired, at the date of acquisition. The following table details the acquisition made during 2009. 2009 Acquisition Date Type Acquired Companies Location (Near) Segment Platform Company 8-May Asset Tyler Refrigeration Niles, MI Engineered Systems Engineered Products Hill PHOENIX For the Tyler acquisition, the Company is in the process of finalizing an appraisal of tangible and intangible assets and continuing to evaluate the initial purchase price allocations as of the acquisition date, which will be adjusted as additional information relative to the fair values of the assets and liabilities of the business becomes known. Accordingly, management has used its best estimate in the initial purchase price allocation as of the date of these financial statements. The following unaudited pro forma information illustrates the effect on Dovers revenue and net earnings for the three and six months ended June30, 2009 and 2008, assuming that the 2009 and 2008 acquisitions had all taken place on January1, 2008. Three Months Ended June 30, Six Months Ended June 30, (in thousands, except per share figures) 2009 2008 2009 2008 Revenue from continuing operations: As reported $ 1,390,331 $ 2,010,978 $ 2,769,417 $ 3,876,464 Pro forma 1,411,800 2,067,430 2,845,155 4,000,384 Net earnings from continuing operations: As reported $ 100,874 $ 186,910 $ 161,969 $ 334,841 Pro forma 101,200 189,123 163,118 340,223 Basic earnings per share from continuing operations: As reported $ 0.54 $ 0.99 $ 0.87 $ 1.76 Pro forma 0.54 1.00 0.88 1.78 Diluted earnings per share from continuing operations: As reported $ 0.54 $ 0.98 $ 0.87 $ 1.74 Pro forma 0.54 0.99 0.88 1.77 These pro forma results of operations have been prepared for comparative purposes only and include certain adjustments to actual financial results for the relevant periods, such as imputed financing costs, and estimated additional amortization and depreciation expenses as a result of intangibles and fixed assets acquired. They do not purport to be indicative of the results of operations that actually would have resulted had the acquisitions occurred on the date indicated or that may result in the future. In connection with certain acquisitions that occurred prior to January1, 2009, the Company had reserves related to severance and facility closings of $26.4million and $27.9million at June30, 2009 and December31, 2008, respectively. The reserves were recorded as of the date of acquisition and in accordance with the provisions of Emerging Issues Task Force Issue No.95-3, Recognition of Liabilities in Connection with a Purchase Business Combination

Inventory

Inventory
	6 Months Ended Jun. 30, 2009 USD / shares
Inventory [Abstract]
Inventory	3. Inventory The following table displays the components of inventory: At June 30, At December 31, (in thousands) 2009 2008 Raw materials $ 305,493 $ 319,407 Work in progress 139,707 144,017 Finished goods 201,775 231,507 Subtotal 646,975 694,931 Less LIFO reserve 54,815 58,810 Total $ 592,160 $ 636,121

Property, Plant and Equipment

Property, Plant and Equipment
	6 Months Ended Jun. 30, 2009 USD / shares
Property Plant And Equipment [Abstract]
Property, Plant and Equipment	4. Property, Plant and Equipment The following table displays the components of property, plant and equipment: At June 30, At December 31, (in thousands) 2009 2008 Land $ 49,267 $ 49,015 Buildings and improvements 546,856 547,223 Machinery, equipment and other 1,811,051 1,792,615 2,407,174 2,388,853 Accumulated depreciation (1,557,708 ) (1,516,719 ) Total $ 849,466 $ 872,134

Goodwill and Other Intangible A

Goodwill and Other Intangible Assets
	6 Months Ended Jun. 30, 2009 USD / shares
Goodwill and Other Intangible Assets [Abstract]
Goodwill and Other Intangible Assets	5. Goodwill and Other Intangible Assets The following table provides the changes in carrying value of goodwill by segment through the six months ended June30, 2009: Other adjustments, Goodwill from including At December 31, 2009 currency At June 30, (in thousands) 2008 acquisition translations 2009 Electronic Technologies $ 976,706 $ $ 265 $ 976,971 Industrial Products 919,215 (1,669 ) 917,546 Fluid Management 571,221 874 572,095 Engineered Systems 788,424 1,467 789,891 Total $ 3,255,566 $ $ 937 $ 3,256,503 The following table provides the gross carrying value and accumulated amortization for each major class of intangible asset: At June 30, 2009 At December 31, 2008 Average Gross Carrying Accumulated Life Gross Carrying Accumulated (dollar amounts in thousands) Amount Amortization (Years) Amount Amortization Amortized Intangible Assets: Trademarks $ 66,949 $ 14,330 15 $ 32,223 $ 12,453 Patents 128,686 82,746 13 129,233 79,241 Customer Intangibles 689,296 233,041 9 681,636 200,169 Unpatented Technologies 133,564 67,963 9 129,303 61,871 Non-Compete Agreements 3,479 3,414 5 3,475 3,400 Drawings Manuals 13,718 5,995 5 13,653 5,441 Distributor Relationships 73,211 19,048 20 72,413 17,193 Other 18,382 11,614 14 22,725 10,270 Total 1,127,285 438,151 11 1,084,661 390,038 Unamortized Intangible Assets: Trademarks 227,929 257,786 Total Intangible Assets $ 1,355,214 $ 438,151 $ 1,342,447 $ 390,038

Income Taxes

Income Taxes
	6 Months Ended Jun. 30, 2009 USD / shares
Income Taxes [Abstract]
Income Taxes	6. Income Taxes The Companys provision for income taxes for continuing operations in interim periods is computed by applying its estimated annual effective tax rate against earnings before income tax expense for the period. In addition, non-recurring or discrete items are recorded during the period in which they occur. The effective tax rates for the three and six months ended June30, 2009 were 1.1% and 17.4% compared to the prior year rates of 29.3% and 29.4%, respectively. The effective tax rates for the three and six months ended June30, 2009 were favorably impacted by $28.4million of net benefits recognized for tax positions that were effectively settled in the quarter.

Discontinued Operations

Discontinued Operations
	6 Months Ended Jun. 30, 2009 USD / shares
Discontinued Operations [Abstract]
Discontinued Operations	7. Discontinued Operations 2009 During the first quarter of 2009, the Company recorded adjustments to the carrying value of a business held for sale and other adjustments resulting in a net after-tax loss of approximately $7.4million. Adjustments made during the second quarter of 2009 were nominal. 2008 During the second quarter of 2008, the Company discontinued Triton in the Engineered Systems segment and recorded a $51.1million write-down to the carrying value of Triton to its estimated fair market value and other adjustments. During the first quarter of 2008, the Company recorded adjustments to the carrying value of a business held for sale and other adjustments resulting in a net after-tax loss of approximately $2.0million. Summarized results of the Companys discontinued operations are as follows: Three Months Ended June 30, Six Months Ended June 30, (in thousands) 2009 2008 2009 2008 Revenue $ 13,457 $ 26,354 $ 26,333 $ 53,119 Loss on sale, net of taxes (1) $ (9 ) $ (50,993 ) $ (7,454 ) $ (52,972 ) Loss from operations before taxes (2,912 ) (823 ) (2,884 ) (18 ) Benefit (provision)for income taxes (873 ) 182 (1,125 ) 603 Loss from discontinued operations, net of tax $ (3,794 ) $ (51,634 ) $ (11,463 ) $ (52,387 ) (1) Includes impairments and other adjustments to previously sold discontinued operations. At June30, 2009, the assets and liabilities of discontinued operations primarily represent amounts related to one remaining unsold business. Additional detail related to the assets and liabilities of the Companys discontinued operations is as follows: At June 30, At December 31, (in thousands) 2009 2008 Assets of Discontinued Operations Current assets $ 32,644 $ 32,498 Non-current assets 22,381 36,608 $ 55,025 $ 69,106 Liabilities of Discontinued Operations Current liabilities $ 8,182 $ 13,371 Non-current liabilities 50,778 65,752 $ 58,960 $ 79,123 In addition to the assets and liabilities of the entities currently held for sale in discontinued operations, the assets and liabilities of discontinued operations include residual amounts related to businesses previously sold. These residual amounts include property, plant and equipment, deferred tax assets, short and long-term reserves, and contingencies.

Hedging Activities and Debt

Hedging Activities and Debt
	6 Months Ended Jun. 30, 2009 USD / shares
Hedging Activities and Debt [Abstract]
Hedging Activities and Debt	8. Hedging Activities and Debt Hedging Activities The Company periodically enters into financial transactions specifically to hedge its exposures to various items, including, but not limited to, interest rate and foreign exchange rate risk. Through various programs, the Company hedges its cash flow exposures to foreign exchange rate risk by entering into foreign exchange forward contracts and collars. The Company does not enter into derivative financial instruments for speculative purposes and does not have a material portfolio of derivative financial instruments. In accordance with Statement of Financial Accounting Standards (SFAS) No.133, Accounting for Derivative Instruments and Hedging Activities and related amendments and interpretations, the Company recognizes all derivatives as either assets or liabilities on the balance sheet and measures those instruments at fair value. If the derivative is designated as a fair value hedge and is effective, the changes in the fair value of the derivative and of the hedged item attributable to the hedged risk are recognized in earnings in the same period. If the derivative is designated as a cash flow hedge, the effective portions of changes in the fair value of the derivative are recorded in other comprehensive earnings and are recognized in the statement of operations when the hedged item affects income. Ineffective portions of changes in the fair value of cash flow hedges are recognized in earnings. There is presently one outstanding swap agreement for a total notional amount of $50.0million, or CHF65.1million, which swaps the U.S. dollar 6-month LIBOR rate and the Swiss Franc 6-month LIBOR rate. This agreement hedges a portion of the Companys net investment in non-U.S. operations and the fair value outstanding at June30, 2009 was a loss of $10.4million which was based on quoted market prices for similar instruments (using Level 2 inputs under the SFAS No.157 hierarchy). The change in fair value of this hedge, which was not significant during the first six months of 2009, is recorded in Other Expense (Income), net and the $10.4million is recorded in Other Deferrals in the Unaudited Condensed Consolidated Balance Sheet. This hedge is effective. The Companys other hedging activity is not significant; therefore tabular disclosures are not presented. There are no amounts excluded from the assessment of hedge effectiveness and there are no credit risk related contingent features in the Companys derivative instruments. In addition, the amount of gains or losses from hedging activity recorded in earnings is not significant and the amount of unrealized gains or losses from cash flow hedges which are expected to be reclassified to earnings in the next twelve months is not significant to Dover. Debt The Companys long-term debt with a book value of $1,878.4million, of which $33.6million matures in less than one year, had a fair value of approximately $1,879.2million at June30, 2009. The estimated fair value of the long-term debt is based on quoted market prices, and present value techniques used to value similar instruments. During the second quarter ended June30, 2008, the

Commitments and Contingent Liab

Commitments and Contingent Liabilities
	6 Months Ended Jun. 30, 2009 USD / shares
Commitments and Contingent Liabilities [Abstract]
Commitments and Contingent Liabilities	9. Commitments and Contingent Liabilities A few of the Companys subsidiaries are involved in legal proceedings relating to the cleanup of waste disposal sites identified under federal and state statutes which provide for the allocation of such costs among potentially responsible parties. In each instance, the extent of the Companys liability appears to be very small in relation to the total projected expenditures and the number of other potentially responsible parties involved and is anticipated to be immaterial to the Company. In addition, a few of the Companys subsidiaries are involved in ongoing remedial activities at certain current and former plant sites, in cooperation with regulatory agencies, and appropriate reserves have been established. The Company and certain of its subsidiaries are also parties to a number of other legal proceedings incidental to their businesses. These proceedings primarily involve claims by private parties alleging injury arising out of use of the Companys products, exposure to hazardous substances, patent infringement, employment matters and commercial disputes. Management and legal counsel, at least quarterly, review the probable outcome of such proceedings, the costs and expenses reasonably expected to be incurred, the availability and extent of insurance coverage, and established reserves. While it is not possible at this time to predict the outcome of these legal actions or any need for additional reserves, in the opinion of management, based on these reviews, it is unlikely that the disposition of the lawsuits and the other matters mentioned above will have a material adverse effect on the financial position, results of operations, cash flows or competitive position of the Company. Estimated warranty program claims are provided for at the time of sale. Amounts provided for are based on historical costs and adjusted new claims. The changes in the carrying amount of product warranties through June30, 2009 and 2008 are as follows: (in thousands) 2009 2008 Beginning Balance January 1 $ 56,137 $ 55,437 Provision for warranties 15,219 21,608 Increase from acquisitions/dispositions 2,737 100 Settlements made (16,924 ) (18,712 ) Other adjustments 66 649 Ending Balance June 30 $ 57,235 $ 59,082 From time to time, the Company will initiate various restructuring programs at its operating companies or record severance and other restructuring costs in connection with purchase accounting for acquisitions prior to January1, 2009 (see Note 2 for additional detail). In the second half of 2008, the Company announced plans to increase substantially the amount of restructuring efforts in response to the significant decline in global economic activity. For the second quarter of 2009, $5.1million and $13.4million of restructuring charges were recorded in cost of goods and services and selling and administrative expenses, respectively, in the Unaudited Condensed Consolidated Statement of Operations. For the six months ended June 30, 2009, $17.9million and $35.8million of restructuri

Employee Benefit Plans

Employee Benefit Plans
	6 Months Ended Jun. 30, 2009 USD / shares
Employee Benefit Plans [Abstract]
Employee Benefit Plans	10. Employee Benefit Plans The following table sets forth the components of net periodic expense: Retirement Plan Benefits Post Retirement Benefits Three Months Ended June 30, Three Months Ended June 30, (in thousands) 2009 2008 2009 2008 Expected return on plan assets $ (8,547 ) $ (8,662 ) $ $ Benefits earned during period 5,003 5,501 79 64 Interest accrued on benefit obligation 9,268 9,759 240 240 Amortization (A): Prior service cost 2,249 2,159 (43 ) (43 ) Recognized actuarial (gain)loss 1,298 1,188 (107 ) (116 ) Transition obligation (10 ) (18 ) Net periodic expense $ 9,261 $ 9,927 $ 169 $ 145 Six Months Ended June 30, Six Months Ended June 30, (in thousands) 2009 2008 2009 2008 Expected return on plan assets $ (17,094 ) $ (17,324 ) $ $ Benefits earned during period 10,006 11,002 158 145 Interest accrued on benefit obligation 18,536 19,518 480 474 Curtailment gain (337 ) Amortization (A): Prior service cost 4,498 4,318 (86 ) (86 ) Recognized actuarial (gain)loss 2,596 2,376 (214 ) (248 ) Transition obligation (20 ) (36 ) Net periodic expense $ 18,185 $ 19,854 $ 338 $ 285 (A) A portion of the current year amortization amounts are recorded as increases (decreases)to Accumulated Other Comprehensive Income totaling approximately $2.3 million, net of tax, and $2.0 million, net of tax, for the three month periods ended June30, 2009 and 2008, respectively, and $4.6million, net of tax, and $4.0million, net of tax, for the six month periods ended June30, 2009 and 2008, respectively.

Comprehensive Earnings

Comprehensive Earnings
	6 Months Ended Jun. 30, 2009 USD / shares
Comprehensive Earnings [Abstract]
Comprehensive Earnings	11. Comprehensive Earnings Comprehensive earnings were as follows: Three Months Ended June 30, Six Months Ended June 30, (in thousands) 2009 2008 2009 2008 Net Earnings $ 97,080 $ 135,276 $ 150,506 $ 282,454 Foreign currency translation adjustment 69,193 12,796 33,517 76,330 Unrealized holding gains (losses), net of tax 8 9 99 (206 ) Derivative cash flow hedges, net of tax 392 (6 ) 1,025 1,118 SFAS 158 amortization, net of tax 2,308 2,013 4,616 3,982 Comprehensive Earnings $ 168,981 $ 150,088 $ 189,763 $ 363,678

Segment Information

Segment Information
	6 Months Ended Jun. 30, 2009 USD / shares
Segment Information [Abstract]
Segment Information	12. Segment Information Dover has four reportable segments which are based on managements reporting structure used to evaluate performance. Segment financial information and a reconciliation of segment results to consolidated results follows: (in thousands) Three Months Ended June 30 Six Months Ended June 30, 2009 2008 2009 2008 REVENUE Industrial Products $ 382,948 $ 649,006 $ 817,739 $ 1,265,780 Engineered Systems 467,417 538,729 868,201 1,037,951 Fluid Management 295,270 446,630 626,042 847,929 Electronic Technologies 245,953 379,958 459,988 731,715 Intra segment eliminations (1,257 ) (3,345 ) (2,553 ) (6,911 ) Total consolidated revenue $ 1,390,331 $ 2,010,978 $ 2,769,417 $ 3,876,464 EARNINGS FROM CONTINUING OPERATIONS Segment Earnings: Industrial Products $ 25,421 $ 87,925 $ 59,966 $ 166,763 Engineered Systems 57,462 80,045 100,767 143,041 Fluid Management 55,573 97,878 131,014 183,017 Electronic Technologies 17,993 51,029 5,883 87,263 Total segments 156,449 316,877 297,630 580,084 Corporate expense / other (29,614 ) (24,975 ) (54,305 ) (54,944 ) Net interest expense (24,840 ) (27,388 ) (47,238 ) (50,819 ) Earnings from continuing operations before provision for income taxes and discontinued operations 101,995 264,514 196,087 474,321 Provision for taxes 1,121 77,604 34,118 139,480 Earnings from continuing operations total consolidated $ 100,874 $ 186,910 $ 161,969 $ 334,841

Recent Accounting Standards

Recent Accounting Standards
	6 Months Ended Jun. 30, 2009 USD / shares
Recent Accounting Standards [Abstract]
Recent Accounting Standards	13. Recent Accounting Standards In September2006, the FASB issued SFAS No.157, Fair Value Measurements (SFAS No.157), which defines fair value, establishes a framework for measuring fair value in generally accepted accounting principles (GAAP), and expands disclosures about fair value measurements. For financial assets and liabilities, this statement was effective for fiscal periods beginning after November 15, 2007 and did not require any new fair value measurements. The adoption of SFAS No.157 on January1, 2008 did not have a material effect on the Companys consolidated financial statements. In February2008, the FASB Staff Position No.157-2 was issued which delayed the effective date of FASB Statement No.157 to fiscal years beginning after November15, 2008 for nonfinancial assets and liabilities, except for items that are recognized or disclosed at fair value in the financial statements on a recurring basis (at least annually). The adoption of the provisions of SFAS No.157 related to non-financial assets did not have a material effect on the Companys consolidated financial statements. In December2007, the FASB issued SFAS No.141 (revised 2007), Business Combinations (SFAS No. 141(R)). SFAS No.141(R) retains the fundamental requirements in Statement 141 that the acquisition method of accounting (which Statement 141 called the purchase method) be used for all business combinations and for an acquirer to be identified for each business combination. In general, the statement 1) broadens the guidance of SFAS No.141, extending its applicability to all events where one entity obtains control over one or more other businesses, 2) broadens the use of fair value measurements used to recognize the assets acquired and liabilities assumed, 3) changes the accounting for acquisition related fees and restructuring costs incurred in connection with an acquisition, and 4) increases required disclosures. The Company has applied the provisions of this statement prospectively to business combinations for which the acquisition date is on or after January1, 2009. The impact of SFAS No.141(R) did not have a material effect on the Companys consolidated financial statements since its adoption. In December2007, the FASB issued SFAS No.160, Noncontrolling Interests in Consolidated Financial Statementsan amendment of ARB No.51 (SFAS No.160). SFAS No.160 requires that a noncontrolling interest in a subsidiary be reported as equity and the amount of consolidated net income specifically attributable to the noncontrolling interest be identified in the consolidated financial statements. It also requires consistency in the manner of reporting changes in the parents ownership interest and requires fair value measurement of any noncontrolling equity investment retained in a deconsolidation. The Company has applied the provisions of this statement prospectively, as required, beginning on January1, 2009. The adoption of SFAS No.160 did not have a material effect on the Companys consolidated financial statements. In March2008, the FASB issued SFAS No.161, Disclosures about Derivative Instruments and Hedging Activities, an amendment of FASB Statement No.133

Equity and Cash Incentive Progr

Equity and Cash Incentive Program
	6 Months Ended Jun. 30, 2009 USD / shares
Equity and Cash Incentive Program [Abstract]
Equity and Cash Incentive Program	14. Equity and Cash Incentive Program In the first quarter of 2009, the Company issued stock appreciation rights (SARs) covering 3,099,326 shares, of which a portion could potentially be converted to performance shares subject to shareholder approval of certain plan changes detailed in Dovers Proxy Statement. During the second quarter of 2009, the shareholders approved the plan changes and 303,571 SARs were converted into 75,892 performance shares. The modification of the SARs for this conversion did not have material impact on the consolidated results of operations. Additionally, in the second quarter of 2009, 29,577 SARs were granted. In the first quarter of 2008, 2,234,942 SARs were issued. For the six months ended June30, 2009 and 2008, after-tax stock-based compensation expense totaled $7.2million and $9.1million, respectively. The fair value of each SAR grant was estimated on the dates of the grant using the Black-Scholes option pricing model and the performance share grant was estimated on the date of grant using a Monte Carlo simulation pricing model with the following assumptions: First Quarter 2009 and 2008 SAR Grant: 2009 Grant 2008 Grant SARs SARs Risk-free interest rate 2.06 % 3.21 % Dividend yield 3.23 % 1.86 % Expected life (years) 6.5 6.5 Volatility 30.47 % 26.09 % Option grant price $ 29.45 $ 42.30 Fair value of SARs granted $ 6.58 $ 10.97 Second Quarter 2009 SAR and 2009 Performance Share Grants Performance SARs Shares Risk-free interest rate 3.44 % 1.23 % Dividend yield 2.82 % 3.23 % Expected life (years) 6.5 2.9 Volatility 32.20 % 30.24 % Option grant price $ 35.50 $ 29.45 Fair value of SARs/Shares granted $ 9.82 $ 32.80

Subsequent Events

Subsequent Events
	6 Months Ended Jun. 30, 2009 USD / shares
Subsequent Events [Abstract]
Subsequent Events	15. Subsequent Events The Company assessed events occurring subsequent to June30, 2009 through July24, 2009 for potential recognition and disclosure in the consolidated financial statements. No events have occurred that would require adjustment to or disclosure in the consolidated financial statements which were issued on July24, 2009.