Esterline Technologies 8-K Esterline Reports FY09 Earnings from Continuing Operations

Exhibit 99.1

FOR IMMEDIATE RELEASE
Contact:	Brian D. Keogh
	(425) 453-9400

ESTERLINE REPORTS FY09 EARNINGS FROM CONTINUING OPERATIONS

$107.2 MILLION – $3.58 PER SHARE – ON $1.43 BILLION SALES

Performance Includes an $.08 Fourth Quarter Tax Benefit

BELLEVUE, Wash., December 10, 2009 — Esterline Corporation, (NYSE: ESL, www.esterline.com), a leading specialty manufacturer serving aerospace/defense markets, today reported fiscal 2009 fourth quarter and full-year results for the period ended October 30, 2009. Income from continuing operations for the quarter was $37.9 million, or $1.26 per diluted share, on sales of $394.7 million. Earnings include year-end tax adjustments resulting in a benefit of $.08 per share. Year-ago income from continuing operations was $41.4 million, or $1.38 per diluted share, on sales of $404.4 million. Including discontinued operations, fourth quarter fiscal 2009 net earnings were $34.5 million, or $1.15 per share, compared with $43.9 million, or $1.46 per share, last year.

For the full year, Esterline reported income from continuing operations of $107.2 million, or $3.58 per diluted share, compared with $113.5 million, or $3.80 per diluted share last year. Net earnings were $119.8 million, or $4.00 per share in FY2009, compared with $120.5 million, or $4.03 per share last year. FY2009 net sales were $1.43 billion compared with $1.48 billion a year ago.

Brad Lawrence, Esterline CEO, said the company’s performance “…exceeded our expectations due primarily to a strong finish from our Canada-based avionics operation where R&D investments in the new T-6B military trainer cockpit and C-130 avionics retrofit programs are beginning to pay off.” Lawrence added that the seamless integration of UK-based Racal Acoustics, acquired earlier in the year, enabled that operation to “…outperform our first-year expectations.”

He also said that a tight focus on cost control and pricing discipline at all of our operations “…helped us sustain margins and keep a lid on expenses during the year.”

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Page 2 of 4 Esterline Reports Fiscal 2009 Results

Gross margins in FY2009 were 32.4% compared with 33.1% last year, and selling, general and administrative expenses held at $239 million for both years. FY2009 research, development and engineering expenses (R&D) totaled $66.3 million, or 4.6% of sales, compared with $86.8 million, or 5.9% of sales, in FY2008. This continued a trend toward more normalized R&D levels following several years of significant investments to secure important positions on a number of new programs. Lawrence added that the company “…continues to invest in the consolidation of our capabilities to improve operational efficiencies.”

Lawrence said that Esterline’s solid balance sheet, ability to generate cash from operations, and its $1.1 billion backlog “…puts us in a strong position to benefit as market conditions improve.” He also noted that Esterline’s balanced business mix helped dampen the impact of the commercial air transport and business jet market downturn in FY2009, saying that Esterline expects these headwinds to lessen in the second half of FY2010.

FY2010 Outlook

Throughout FY2009, the company generated progressively stronger quarterly results following a soft first quarter. We expect FY2010 to unfold in a similar manner. Anticipated lower margin sales mix early in the year, combined with extended holiday shutdowns and a higher tax rate indicate similar results to last year’s first quarter. We expect to be well positioned for improved performance in the remainder of the year. FY2010 annual revenue is expected to grow 3% to 5% with fully diluted earnings per share in the range of $3.20 to $3.45. The effective tax rate for FY2010 is anticipated to be in the low- to mid-20% range, compared with the 11.2% rate in FY2009.

Conference Call Information

Esterline will host a conference call to discuss this announcement today at 5:00 p.m. Eastern Time (2:00 p.m. Pacific Time). The U.S. dial-in number is 866.543.6405; outside the U.S., use 617.213.8897. The pass code for the call is: 94459594.

This press release contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These statements relate to future events or our future financial performance. In some cases, you can identify forward-looking statements by terminology such as “anticipate,” “believe,” “continue,” “could,” “estimate,” “expect,” “intend,” “may,” “might,” “plan,” “potential,” “predict,” “should” or “will,” or the negative of such terms, or other comparable terminology. These forward-looking statements are only predictions based on the current intent and expectations of the management of Esterline, are not guarantees of future performance or actions, and involve risks and uncertainties that are difficult to predict and may cause Esterline’s or its industry’s actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Esterline’s actual results and the timing and outcome of events may differ materially from those expressed in or implied by the forward-looking statements due to risks detailed in Esterline’s public filings with the Securities and Exchange Commission including its most recent Annual Report on Form 10-K.

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EDITOR: See attached Consolidated Statement of Operations and Consolidated Balance Sheet

Page 3 of 4 Esterline Reports Fiscal 2009 Results

ESTERLINE TECHNOLOGIES CORPORATION

Consolidated Statement of Operations (unaudited)

In thousands, except per share amounts

	Three months ended						Fiscal year ended
	Oct 30, 2009			Oct 31, 2008			Oct 30, 2009			Oct 31, 2008
Segment Sales
Avionics & Controls	$	204,222		$	173,459		$	672,828		$	611,467
Sensors & Systems		83,962			89,987			339,732			384,180
Advanced Materials		106,549			140,904			412,878			487,525
Net Sales		394,733			404,350			1,425,438			1,483,172
Cost of Sales		264,781			263,989			963,589			992,853
		129,952			140,361			461,849			490,319
Expenses
Selling, general and administrative		65,592			61,200			239,630			239,282
Research, development and engineering		15,710			18,660			66,270			86,798
Total Expenses		81,302			79,860			305,900			326,080
Other
Other expense		24			—			7,970			86
Total Other		24			—			7,970			86
Operating Earnings From Continuing Operations		48,626			60,501			147,979			164,153
Interest income		(685	)		(1,077	)		(1,634	)		(4,374	)
Interest expense		7,319			7,405			28,689			29,922
Gain on derivative financial instruments		—			—			—			(1,850	)
Other Expense, Net		6,634			6,328			27,055			23,698
Income From Continuing Operations Before Income Taxes		41,992			54,173			120,924			140,455
Income Tax Expense		4,018			12,582			13,511			26,563
Income From Continuing Operations Before Minority Interest		37,974			41,591			107,413			113,892
Minority Interest		(81	)		(154	)		(217	)		(383	)
Income From Continuing Operations		37,893			41,437			107,196			113,509
Income (Loss) From Discontinued Operations, Net of Tax		(3,392	)		2,445			12,602			7,024
Net Earnings	$	34,501		$	43,882		$	119,798		$	120,533
Earnings Per Share – Basic:
Continuing Operations	$	1.27		$	1.40		$	3.61		$	3.85
Discontinued Operations		(.11	)		.08			.42			.23
Earnings Per Share – Basic	$	1.16		$	1.48		$	4.03		$	4.08
Earnings Per Share – Diluted:
Continuing Operations	$	1.26		$	1.38		$	3.58		$	3.80
Discontinued Operations		(.11	)		.08			.42			.23
Earnings Per Share – Diluted	$	1.15		$	1.46		$	4.00		$	4.03
Weighted Average Number of Shares Outstanding – Basic		29,763			29,635			29,717			29,507
Weighted Average Number of Shares Outstanding – Diluted		30,034			29,955			29,951			29,908

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Page 4 of 4 Esterline Reports Fiscal 2009 Results

Consolidated Balance Sheet (unaudited)

In thousands

	Oct 30, 2009		Oct 31, 2008
Assets
Current Assets
Cash and cash equivalents	$	176,794	$	160,645
Accounts receivable, net		270,976		297,506
Inventories		275,282		261,973
Income tax refundable		7,638		5,567
Deferred income tax benefits		31,434		37,702
Prepaid expenses		17,425		13,040
Other current assets		17,048		897
Total Current Assets		796,597		777,330
Property, Plant and Equipment, Net		263,251		204,462
Other Non-Current Assets
Goodwill		736,808		576,861
Intangibles, net		422,082		290,440
Debt issuance costs, net		7,136		7,587
Deferred income tax benefits		79,114		55,821
Other assets		9,259		9,601
	$	2,314,247	$	1,922,102
Liabilities and Shareholders’ Equity
Current Liabilities
Accounts payable	$	82,304	$	89,807
Accrued liabilities		191,667		210,422
Credit facilities		5,896		5,171
Current maturities of long-term debt		5,409		8,388
Deferred income tax liabilities		7,294		2,889
Federal and foreign income taxes		1,669		4,442
Total Current Liabilities		294,239		321,119
Long-Term Liabilities
Long-term debt, net of current maturities		520,158		388,248
Deferred income taxes		130,456		97,830
Pension and post-retirement obligations		94,308		68,966
Other liabilities		19,334		16,801
Minority Interest		2,731		2,797
Shareholders’ Equity		1,253,021		1,026,341
	$	2,314,247	$	1,922,102

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