Pall 8-K Pall Corporation Reports Strong Earnings

Exhibit 99

Pall Corporation Reports Strong Earnings

Port Washington, NY (September 14, 2010) -- Pall Corporation (NYSE:PLL) today reported financial results for the fourth quarter and fiscal year ended July 31, 2010.

Fourth Quarter Sales and Earnings Overview

Fourth quarter sales were $678.6 million, a 4.1% gain over last year. Sales in local currency ("LC") increased 5.9%. Foreign currency translation reduced reported sales by $11.6 million, or 1.8%.

Pro forma earnings per share ("EPS") were $0.72, compared to $0.57 last year, an increase of 26.3%. This excludes restructuring and other charges, items affecting interest expense and provision for taxes, as well as costs related to the prepayment of debt (collectively, "Discrete Items"). Diluted EPS were $0.46, compared to $0.58 last year, a decrease of 20.7%. Foreign currency translation did not impact EPS in the quarter.

Commenting on the fourth quarter in LC, Eric Krasnoff, Chairman, CEO and President, said, “Momentum from the third quarter carried over into the fourth. Overall orders were up 19%. Our Industrial business continued to rebound with sales and orders up 4.2% and 26%, respectively, over last year’s fourth quarter. Sales and orders in Life Sciences increased 7.6% and 12.7%, respectively, with all markets contributing.

Significant improvement in gross margin reflects the contribution of ongoing productivity and cost reduction programs and new products. During the quarter we refinanced all of our significant debt. This further secures Pall's liquidity and solidifies our long-term capital structure at historically low interest rates."

Full Year Sales and Earnings Overview

Sales were $2.4 billion, an increase of 3.1% compared to fiscal year 2009. Sales in LC were up slightly. Foreign currency translation increased reported sales by $58.3 million, or 2.5%.

Pro forma EPS increased 19.8% to $2.12 compared to $1.77 last fiscal year, excluding Discrete Items. Diluted EPS increased 23.8% to $2.03, compared to $1.64 in fiscal 2009. Foreign currency translation increased both measures of EPS by approximately $0.10.

Commenting on the year, Mr. Krasnoff said, “Pall delivered a solid year in a challenging economy. On the top line, Life Sciences performed well all year. Industrial returned to growth mid-year largely on the rapid rebooting of the Microelectronics market. Orders were up in all Industrial markets.

Pall’s programs to increase productivity and reduce costs are part of our DNA. The results are evident in gross margin and EPS. SG&A is up reflecting strategic investments and confidence in the future. We continue to execute our strategic plan to increase shareholder value.”

Segment and Market Reorganization

Effective in the fourth quarter of fiscal year 2010, the Company reorganized its operating segments and markets in order to better align our technologies, market channel and management to customer needs. The changes are as follows:

Food & Beverage is now integrated within Life Sciences. It was previously managed by the Industrial business and reported within the Energy, Water and Process Technologies market (“EWPT”).

1

The Aerospace & Transportation market has been renamed Aeropower. Aeropower now includes Industrial Manufacturing, previously reported as part of EWPT, which was combined with Transportation to form the Machinery & Equipment submarket.

The Power Generation, Fuels & Chemicals and Municipal Water submarkets remaining within EWPT are now being reported as Energy & Water.

Segment and market information for prior periods has been restated to reflect these changes. All discussions and amounts reported in this release are based on the reorganized segment and market structure. Tables outlining the restatement are appended to this earnings release.

Life Sciences – Fourth Quarter Highlights

(Dollar Amounts in Thousands and Discussion of Sales and Orders Changes are in Local Currency)

						% CHANGE
Sales:	JUL. 31, 2010		JUL. 31, 2009		% CHANGE	IN LC
BioPharmaceuticals	$	167,478	$	156,293	7.2	10.0
Medical		103,666		102,497	1.1	3.6
Food & Beverage		64,293		61,768	4.1	8.4
Total Life Sciences segment	$	335,437	$	320,558	4.6	7.6
Gross profit	$	174,096	$	161,246
% of sales		51.9		50.3
Operating profit	$	73,760	$	65,927
% of sales		22.0		20.6

BioPharmaceuticals: Consumable sales in the Pharmaceuticals submarket grew 8.7% with all geographies contributing. These results reflect healthy demand for vaccines and expanding adoption of single-use systems for biotechnology production. Systems sales to Pharmaceutical customers were up 10.1%.

Medical: Sales in the Blood Filtration submarket grew 3.3% reflecting increased adoption of new products.

Food & Beverage: Sales grew 8.4% with increases in both consumables and systems sales.

The gross margin improvement in Life Sciences continues to be driven by productivity, cost reduction and pricing gains. Operating profit increased 11.9%.

2

Industrial – Fourth Quarter Highlights

(Dollar Amounts in Thousands and Discussion of Sales and Orders Changes are in Local Currency)

							% CHANGE
Sales:	JUL. 31, 2010		JUL. 31, 2009		% CHANGE		IN LC
Energy & Water	$	148,297	$	160,438	(7.6	)	(6.5	)
Aeropower		118,684		116,224	2.1		4.1
Microelectronics		76,192		54,737	39.2		35.5
Total Industrial segment	$	343,173	$	331,399	3.6		4.2
Gross profit	$	163,991	$	139,474
% of sales		47.8		42.1
Operating profit	$	70,074	$	45,710
% of sales		20.4		13.8

Energy & Water: The Fuels & Chemicals submarket declined 11%. Consumables sales were up 5% while system sales decreased almost 50% reflecting reduced capital orders during the financial crisis. Power Generation submarket sales, while up slightly for the year, decreased 12.7% for the quarter on weakness in the turbomachinery market. Municipal Water submarket sales increased 7.1% driven by surface water treatment projects in the Western Hemisphere.

Aeropower: The Military Aerospace submarket remained weak. The Commercial Aerospace submarket was flat, while the Machinery & Equipment submarket grew 27.8% as customers increased production levels and replenished inventories.

Microelectronics: Strong growth was driven by high utilization rates as chip producers approach full capacity and by a healthier consumer appetite for electronics.

Industrial’s strong gross margin improvement reflects volume growth particularly in Microelectronics and Machinery & Equipment. Structural improvements made over the past few years are now more evident with the return to higher volumes. Operating profit increased 53.3%.

Conclusion/Outlook

Mr. Krasnoff concluded, "Pall is steadily executing its strategic plans. We maintain a strong focus on near-term performance while being mindful of our 2013 strategic plan goals presented last December.

Some notable accomplishments during fiscal 2010 warrant comment. The European headquarters in Switzerland is now operational. Considerable progress was made to establish Singapore as Pall's Asian hub and on the implementation of our global ERP system. Working capital management efforts were rewarded in the year with operating cash flow of about $380 million. Overall, we are pleased with the progress made in fiscal 2010.

In fiscal year 2011, Pro forma EPS is projected to be in a range of $2.35 to $2.55 per share. This guidance reflects a $0.03 headwind from foreign currency translation.”

Conference Call

On Wednesday, September 15, 2010, at 8:30 am ET, Pall Corporation will host a conference call to review these results. The call can be accessed at www.pall.com/investor. The webcast will be archived for 30 days.

3

About Pall Corporation

Pall Corporation (NYSE:PLL) is a filtration, separation and purification leader providing solutions to meet the critical needs of customers across the broad spectrum of Life Sciences and Industrial markets. Pall works with customers to advance health, safety and environmentally responsible technologies. The Company’s engineered products enable process and product innovation and minimize emissions and waste. Pall Corporation, with total revenues of $2.4 billion for fiscal 2010, is an S&P 500 company with more than 10,000 employees serving customers worldwide. Pall has been named a top "green company" by Newsweek magazine. To see how Pall is helping enable a greener, safer, more sustainable future, visit www.pall.com/green.

Forward-Looking Statements

The matters discussed in this release contain “forward-looking statements” as defined in the Private Securities Litigation Reform Act of 1995. Results for fiscal year 2010 are preliminary until the Company's Form 10-K is filed with the Securities and Exchange Commission on or before September 29, 2010.

Forward-looking statements are those that address activities, events or developments that the Company or management intends, expects, projects, believes or anticipates will or may occur in the future. All statements regarding future performance, earnings projections, earnings guidance, management’s expectations about its future cash needs and effective tax rate, and other future events or developments are forward-looking statements. Forward-looking statements are those that use terms such as "may," "will," "expect," "believe," "intend," "should," "could," "anticipate," "estimate," "forecast," "project," "plan," "predict," "potential," and similar expressions. Forward-looking statements contained in this and other written and oral reports are based on management’s assumptions and assessments in the light of past experience and trends, current conditions, expected future developments and other relevant factors. They are not guara ntees of future performance, and actual results, developments and business decisions may differ from those envisaged by our forward-looking statements. Our forward-looking statements are also subject to risks and uncertainties, which can affect our performance in both the near- and long-term and cause actual results to differ materially. Such risks and uncertainties include, but are not limited to, those discussed in Part I, Item 1A, “Risk Factors” in the 2009 Form 10-K, and other reports the Company files with the Securities and Exchange Commission, including the effect of litigation and regulatory inquiries associated with the restatement of our prior period financial statements; our ability to successfully complete our business improvement initiatives, which include integrating and upgrading our information systems and the effect of a serious disruption in our information systems; the impact of legislative, regulatory and political developments globally and the impact of the uncertain global e conomic environment and the timing and strength of a recovery in the markets and regions we serve, and the extent to which adverse economic conditions may affect our sales volume and results; demand for our products and business relationships with key customers and suppliers, which may be impacted by their cash flow and payment practices, as well as delays or cancellations in shipments; volatility in foreign currency exchange rates, interest rates and energy costs and other macro economic challenges currently affecting us; changes in product mix, market mix and product pricing, particularly relating to the expansion of the systems business; increase in costs of manufacturing and operating costs; our ability to obtain regulatory approval or market acceptance of new technologies, enforce patents and protect proprietary products and manufacturing techniques; fluctuations in our effective tax rate; our ability to successfully complete or integrate any acquisitions; the impact of pricing and other actions by comp etitors; and our ability to achieve the savings anticipated from cost reduction and gross margin improvement initiatives. Factors or events that could cause our actual results to differ may emerge from time to time, and it is not possible for us to predict all of them. The Company makes these statements as of the date of this disclosure and undertakes no obligation to update them, whether as a result of new information, future developments or otherwise.

Management uses certain non-GAAP measurements to assess the Company’s current and future financial performance. The non-GAAP measurements do not replace the presentation of the Company’s GAAP financial results. These measurements provide supplemental information to assist management in analyzing the Company’s financial position and results of operations. The Company has chosen to provide this information to facilitate meaningful comparisons of past, present and future operating results and as a means to emphasize the results of ongoing operations.

4

PALL CORPORATION
CONDENSED CONSOLIDATED BALANCE SHEETS
(Unaudited)
(Amounts in Thousands)

	JULY 31, 2010		JULY 31, 2009
Assets:
Cash and cash equivalents	$	498,563	$	414,011
Accounts receivable		566,499		561,063
Inventories		415,046		413,278
Other current assets		222,651		182,098
Total current assets		1,702,759		1,570,450
Property, plant and equipment, net		706,435		681,658
Other assets		590,018		588,704
Total assets	$	2,999,212	$	2,840,812
Liabilities and Stockholders' Equity:
Short-term debt	$	42,028	$	139,803
Accounts payable, income taxes and other current liabilities		595,177		577,587
Total current liabilities		637,205		717,390
Long-term debt		741,353		577,666
Deferred taxes and other non-current liabilities		438,304		431,158
Total liabilities		1,816,862		1,726,214
Stockholders' equity		1,182,350		1,114,598
Total liabilities and stockholders' equity	$	2,999,212	$	2,840,812

5

PALL CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS
(Unaudited)
(Amounts in thousands, except per share data)

	FOURTH QUARTER ENDED						YEAR ENDED
	JUL. 31, 2010			JUL. 31, 2009			JUL. 31, 2010			JUL. 31, 2009
Net sales	$	678,610		$	651,957		$	2,401,932		$	2,329,158
Cost of sales		340,523			351,237			1,195,830			1,228,468
Gross profit		338,087			300,720			1,206,102			1,100,690
% of sales		49.8	%		46.1	%		50.2	%		47.3	%
Selling, general and administrative expenses		188,963			183,495			739,936			699,832
% of sales		27.8	%		28.1	%		30.8	%		30.0	%
Research and development		20,070			18,643			74,944			71,213
Earnings before restructuring and other charges,
net ("ROTC"), interest expense, net, loss on
extinguishment of debt and income taxes		129,054			98,582			391,222			329,645
% of sales		19.0	%		15.1	%		16.3	%		14.2	%
ROTC (a)		11,005			5,432			17,664			30,723
Interest expense, net (b)		7,982			5,581			14,324			28,136
Loss on extinguishment of debt (c)		31,513			-			31,513			-
Earnings before income taxes		78,554			87,569			327,721			270,786
Provision for income taxes (b)		23,599			18,070			86,473			75,167
Net earnings	$	54,955		$	69,499		$	241,248		$	195,619
Earnings per share:
Basic	$	0.47		$	0.59		$	2.05		$	1.65
Diluted	$	0.46		$	0.58		$	2.03		$	1.64
Average shares outstanding:
Basic		116,814			118,308			117,437			118,631
Diluted		118,345			119,280			118,846			119,571
Net earnings as reported	$	54,955		$	69,499		$	241,248		$	195,619
Discrete items:
Note redemption related costs, after pro forma tax
effect (c)		21,041			-			21,041			-
Tax adjustments (b)		3,012			(4,925	)		(11,176	)		(6,351	)
Interest adjustments, after pro forma tax
effect (b)		(231	)		-			(9,804	)		-
ROTC, after pro forma tax effect (a)		6,970			3,979			11,074			22,813
Total discrete items		30,792			(946	)		11,135			16,462
Pro forma earnings	$	85,747		$	68,553		$	252,383		$	212,081
Diluted earnings per share as reported	$	0.46		$	0.58		$	2.03		$	1.64
Discrete items:
Note redemption related costs, after pro forma tax
effect (c)		0.17			-			0.17			-
Tax adjustments (b)		0.03			(0.04	)		(0.09	)		(0.06	)
Interest adjustments, after pro forma tax
effect (b)		-			-			(0.08	)		-
ROTC, after pro forma tax effect (a)		0.06			0.03			0.09			0.19
Total discrete items		0.26			(0.01	)		0.09			0.13
Pro forma diluted earnings per share	$	0.72		$	0.57		$	2.12		$	1.77

6

Pro forma earnings exclude the items below as they are deemed to be non-recurring in nature and/or not considered by management to be indicative of underlying operating performance. The pro forma tax effects disclosed were calculated using applicable entity-specific U.S. federal and/or foreign tax rates.

(a) ROTC in the quarter and year ended July 31, 2010 of $11,005 ($6,970 after pro forma tax effect of $4,035) and $17,092 ($11,074 after pro forma tax effect of $6,018), respectively, includes severance and other costs related to the Company's cost reduction and reorganization initiatives and an increase to a previously established environmental reserve. Such costs in the year were partly offset by receipt of insurance claim payments related to the previously reported matters that were under inquiry by the audit committee of the Company's board of directors.

ROTC in the quarter ended July 31, 2009 of $5,432 ($3,979 after pro forma tax effect of $1,453) is primarily comprised of severance and other costs related to the Company's cost reduction programs. ROTC in the year ended July 31, 2009 of $30,723 ($22,813 after pro forma tax effect of $7,910) is primarily comprised of severance and other costs related to the Company's cost reduction programs, professional fees related to the previously reported matters that were under inquiry by the audit committee of the Company’s board of directors, an increase to previously established environmental reserves, the impairment of investments and capitalized software development costs and a charge to write-off in process research and development acquired in the acquisition of GeneSystems, SA.

(b) Provision for taxes in the quarter ended July 31, 2010 include a charge of $3,012 primarily related to tax costs associated with the establishment of the Company's European Life Sciences Headquarters.

Interest expense, net, and provision for income taxes in the year ended July 31, 2010 also includes the reversal of accrued interest of $11,537 ($9,573 after pro forma tax effect of $1,964) and income taxes payable of $14,188, respectively. These items principally related to the resolution of foreign tax audits and expiring foreign statutes of limitation for assessment related to uncertain tax positions.

Provision for income taxes in the quarter ended July 31, 2009 includes benefits related to the repatriation of earnings, a favorable tax settlement and a restructuring. Provision for income taxes in the year ended July 31, 2009 also includes a benefit for newly enacted tax legislation.

(c) In the quarter and the year ended July 31, 2010, the Company redeemed its $280,000 6.00% Senior Notes due in fiscal year 2013. Costs of $32,875 ($21,041 after pro forma tax effect of $11,834), include the loss on extinguishment of debt (comprised of a redemption premium and the write-off of deferred financing costs related to the origination of the notes) and incremental interest expense incurred during the redemption period.

7

PALL CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)
(Amounts in Thousands)

	YEAR ENDED
	JUL. 31, 2010			JUL. 31, 2009
Net cash provided by operating activities	$	377,860		$	327,495
Investing activities:
Acquisitions, net of cash acquired		(8,984	)		(37,249	)
Capital expenditures		(136,313	)		(133,049	)
Other		(23,437	)		(11,732	)
Net cash used by investing activities		(168,734	)		(182,030	)
Financing activities:
Dividends paid		(71,284	)		(64,914	)
Notes payable and long-term borrowings / (repayments)		58,599			(23,471	)
Redemption premium on notes		(28,268	)		-
Financing costs on new debt		(6,311	)		-
Purchase of treasury stock		(99,999	)		(96,439	)
Other		26,600			16,214
Net cash used by financing activities		(120,663	)		(168,610	)
Cash flow for period		88,463			(23,145	)
Cash and cash equivalents at beginning of year		414,011			454,065
Effect of exchange rate changes on cash		(3,911	)		(16,909	)
Cash and cash equivalents at end of period	$	498,563		$	414,011
Free cash flow:
Net cash provided by operating activities	$	377,860		$	327,495
Less capital expenditures		136,313			133,049
Free cash flow	$	241,547		$	194,446

8

PALL CORPORATION
SUMMARY OPERATING PROFIT BY SEGMENT
(Unaudited)
(Dollar Amounts in Thousands)

	FOURTH QUARTER ENDED						YEAR ENDED
	JUL. 31, 2010			JUL. 31, 2009			JUL. 31, 2010			JUL. 31, 2009
Life Sciences
Sales	$	335,437		$	320,558		$	1,237,835		$	1,166,275
Cost of sales		161,341			159,312			569,097			578,439
Gross profit		174,096			161,246			668,738			587,836
% of sales		51.9	%		50.3	%		54.0	%		50.4	%
Selling, general and administrative expenses		87,269			82,931			340,628			309,441
% of sales		26.0	%		25.9	%		27.5	%		26.5	%
Research and development		13,067			12,388			48,021			44,340
Operating profit	$	73,760		$	65,927		$	280,089		$	234,055
% of sales		22.0	%		20.6	%		22.6	%		20.1	%
Industrial
Sales	$	343,173		$	331,399		$	1,164,097		$	1,162,883
Cost of sales		179,182			191,925			626,733			650,029
Gross profit		163,991			139,474			537,364			512,854
% of sales		47.8	%		42.1	%		46.2	%		44.1	%
Selling, general and administrative expenses		86,914			87,509			345,897			333,913
% of sales		25.3	%		26.4	%		29.7	%		28.7	%
Research and development		7,003			6,255			26,923			26,873
Operating profit	$	70,074		$	45,710		$	164,544		$	152,068
% of sales		20.4	%		13.8	%		14.1	%		13.1	%
CONSOLIDATED:
Operating profit	$	143,834		$	111,637		$	444,633		$	386,123
General corporate expenses		14,780			13,055			53,411			56,478
Earnings before ROTC, interest expense, net, loss
on extinguishment of debt and income taxes		129,054			98,582			391,222			329,645
ROTC		11,005			5,432			17,664			30,723
Interest expense, net		7,982			5,581			14,324			28,136
Loss on extinguishment of debt		31,513			-			31,513			-
Earnings before income taxes	$	78,554		$	87,569		$	327,721		$	270,786

9

PALL CORPORATION
SUPPLEMENTAL SEGMENT SALES INFORMATION BY MARKET AND GEOGRAPHY
(Unaudited)
(Dollar Amounts in Thousands)

							EXCHANGE			% CHANGE
							RATE			IN LOCAL
FOURTH QUARTER ENDED	JUL. 31, 2010		JUL. 31, 2009		% CHANGE		IMPACT			CURRENCY
Life Sciences					|----------------Increase/(Decrease) ----------------|
By Market:
BioPharmaceuticals	$	167,478	$	156,293	7.2		$	(4,407	)	10.0
Medical		103,666		102,497	1.1			(2,544	)	3.6
Food & Beverage		64,293		61,768	4.1			(2,663	)	8.4
Total Life Sciences	$	335,437	$	320,558	4.6		$	(9,614	)	7.6
By Geography:
Western Hemisphere	$	123,809	$	113,988	8.6		$	494		8.2
Europe		148,213		153,738	(3.6	)		(13,377	)	5.1
Asia		63,415		52,832	20.0			3,269		13.8
Total Life Sciences	$	335,437	$	320,558	4.6		$	(9,614	)	7.6
Industrial
By Market:
Energy & Water	$	148,297	$	160,438	(7.6	)	$	(1,736	)	(6.5	)
Aeropower		118,684		116,224	2.1			(2,315	)	4.1
Microelectronics		76,192		54,737	39.2			2,035		35.5
Total Industrial	$	343,173	$	331,399	3.6		$	(2,016	)	4.2
By Geography:
Western Hemisphere	$	117,321	$	96,840	21.1		$	534		20.6
Europe		94,107		117,741	(20.1	)		(8,489	)	(12.9	)
Asia		131,745		116,818	12.8			5,939		7.7
Total Industrial	$	343,173	$	331,399	3.6		$	(2,016	)	4.2

10

PALL CORPORATION
SUPPLEMENTAL SEGMENT SALES INFORMATION BY MARKET AND GEOGRAPHY
(Unaudited)
(Dollar Amounts in Thousands)

							EXCHANGE		% CHANGE
							RATE		IN LOCAL
YEAR ENDED	JUL. 31, 2010		JUL. 31, 2009		% CHANGE		IMPACT		CURRENCY
Life Sciences					|----------------Increase/(Decrease) ----------------|
By Market:
BioPharmaceuticals	$	620,279	$	550,620	12.7		$	13,304	10.2
Medical		399,507		389,841	2.5			6,449	0.8
Food & Beverage		218,049		225,814	(3.4	)		4,357	(5.4	)
Total Life Sciences	$	1,237,835	$	1,166,275	6.1		$	24,110	4.1
By Geography:
Western Hemisphere	$	430,285	$	399,614	7.7		$	1,602	7.3
Europe		595,719		578,319	3.0			6,881	1.8
Asia		211,831		188,342	12.5			15,627	4.2
Total Life Sciences	$	1,237,835	$	1,166,275	6.1		$	24,110	4.1
Industrial
By Market:
Energy & Water	$	479,866	$	505,468	(5.1	)	$	14,177	(7.9	)
Aeropower		418,203		446,386	(6.3	)		8,641	(8.2	)
Microelectronics		266,028		211,029	26.1			11,361	20.7
Total Industrial	$	1,164,097	$	1,162,883	0.1		$	34,179	(2.8	)
By Geography:
Western Hemisphere	$	359,076	$	370,088	(3.0	)	$	2,527	(3.7	)
Europe		350,233		381,988	(8.3	)		3,396	(9.2	)
Asia		454,788		410,807	10.7			28,256	3.8
Total Industrial	$	1,164,097	$	1,162,883	0.1		$	34,179	(2.8	)

11

PALL CORPORATION
SUMMARY OPERATING PROFIT BY SEGMENT
RESTATED FISCAL YEARS 2010 AND 2009 BY QUARTER
(Unaudited)
(Dollar Amounts in Thousands)

	Q1			Q2			Q3			Q4
Fiscal Year 2010	OCT. 31, 2009			JAN. 31, 2010			APR. 30, 2010			JUL. 31, 2010			Total Year
Life Sciences
Sales	$	288,127		$	297,299		$	316,972		$	335,437		$	1,237,835
Cost of sales		132,306			130,638			144,812			161,341			569,097
Gross profit		155,821			166,661			172,160			174,096			668,738
% of sales		54.1	%		56.1	%		54.3	%		51.9	%		54.0	%
Selling, general and administrative expenses		80,653			86,177			86,529			87,269			340,628
% of sales		28.0	%		29.0	%		27.3	%		26.0	%		27.5	%
Research and development		10,614			12,124			12,216			13,067			48,021
Operating profit	$	64,554		$	68,360		$	73,415		$	73,760		$	280,089
% of sales		22.4	%		23.0	%		23.2	%		22.0	%		22.6	%
Industrial
Sales	$	258,812		$	263,102		$	299,010		$	343,173		$	1,164,097
Cost of sales		144,435			145,478			157,638			179,182			626,733
Gross profit		114,377			117,624			141,372			163,991			537,364
% of sales		44.2	%		44.7	%		47.3	%		47.8	%		46.2	%
Selling, general and administrative expenses		83,558			87,685			87,740			86,914			345,897
% of sales		32.3	%		33.3	%		29.3	%		25.3	%		29.7	%
Research and development		6,635			6,515			6,770			7,003			26,923
Operating profit	$	24,184		$	23,424		$	46,862		$	70,074		$	164,544
% of sales		9.3	%		8.9	%		15.7	%		20.4	%		14.1	%
	Q1			Q2			Q3			Q4
Fiscal Year 2009	OCT. 31, 2008			JAN. 31, 2009			APR. 30, 2009			JUL. 31, 2009			Total Year
Life Sciences
Sales	$	279,912		$	275,478		$	290,327		$	320,558		$	1,166,275
Cost of sales		138,262			138,150			142,715			159,312			578,439
Gross profit		141,650			137,328			147,612			161,246			587,836
% of sales		50.6	%		49.9	%		50.8	%		50.3	%		50.4	%
Selling, general and administrative expenses		78,420			71,940			76,150			82,931			309,441
% of sales		28.0	%		26.1	%		26.2	%		25.9	%		26.5	%
Research and development		11,163			10,320			10,469			12,388			44,340
Operating profit	$	52,067		$	55,068		$	60,993		$	65,927		$	234,055
% of sales		18.6	%		20.0	%		21.0	%		20.6	%		20.1	%
Industrial
Sales	$	298,110		$	267,818		$	265,556		$	331,399		$	1,162,883
Cost of sales		160,369			148,797			148,938			191,925			650,029
Gross profit		137,741			119,021			116,618			139,474			512,854
% of sales		46.2	%		44.4	%		43.9	%		42.1	%		44.1	%
Selling, general and administrative expenses		85,064			82,506			78,834			87,509			333,913
% of sales		28.5	%		30.8	%		29.7	%		26.4	%		28.7	%
Research and development		7,770			7,099			5,749			6,255			26,873
Operating profit	$	44,907		$	29,416		$	32,035		$	45,710		$	152,068
% of sales		15.1	%		11.0	%		12.1	%		13.8	%		13.1	%

12

PALL CORPORATION
SUPPLEMENTAL SEGMENT SALES INFORMATION BY MARKET
RESTATED FISCAL YEARS 2010 AND 2009 BY QUARTER
(Unaudited)
(Dollar Amounts in Thousands)

	Q1		Q2		Q3		Q4
Fiscal Year 2010	OCT. 31, 2009		JAN. 31, 2010		APR. 30, 2010		JUL. 31, 2010		Total Year
Life Sciences
By Market:
BioPharmaceuticals	$	143,223	$	146,972	$	162,606	$	167,478	$	620,279
Medical		95,687		100,451		99,703		103,666		399,507
Food & Beverage		49,217		49,876		54,663		64,293		218,049
Total Life Sciences	$	288,127	$	297,299	$	316,972	$	335,437	$	1,237,835
By Geography:
Western Hemisphere	$	95,070	$	101,616	$	109,790	$	123,809	$	430,285
Europe		147,743		147,593		152,170		148,213		595,719
Asia		45,314		48,090		55,012		63,415		211,831
Total Life Sciences	$	288,127	$	297,299	$	316,972	$	335,437	$	1,237,835
Industrial
By Market:
Energy & Water	$	107,244	$	105,484	$	118,841	$	148,297	$	479,866
Aeropower		95,019		96,651		107,849		118,684		418,203
Microelectronics		56,549		60,967		72,320		76,192		266,028
Total Industrial	$	258,812	$	263,102	$	299,010	$	343,173	$	1,164,097
By Geography:
Western Hemisphere	$	72,098	$	73,510	$	96,147	$	117,321	$	359,076
Europe		82,974		82,196		90,956		94,107		350,233
Asia		103,740		107,396		111,907		131,745		454,788
Total Industrial	$	258,812	$	263,102	$	299,010	$	343,173	$	1,164,097
	Q1		Q2		Q3		Q4
Fiscal Year 2009	OCT. 31, 2008		JAN. 31, 2009		APR. 30, 2009		JUL. 31, 2009		Total Year
Life Sciences
By Market:
BioPharmaceuticals	$	127,923	$	128,135	$	138,269	$	156,293	$	550,620
Medical		92,406		96,887		98,051		102,497		389,841
Food & Beverage		59,583		50,456		54,007		61,768		225,814
Total Life Sciences	$	279,912	$	275,478	$	290,327	$	320,558	$	1,166,275
By Geography:
Western Hemisphere	$	90,770	$	94,869	$	99,987	$	113,988	$	399,614
Europe		148,031		138,186		138,364		153,738		578,319
Asia		41,111		42,423		51,976		52,832		188,342
Total Life Sciences	$	279,912	$	275,478	$	290,327	$	320,558	$	1,166,275
Industrial
By Market:
Energy & Water	$	110,664	$	114,217	$	120,149	$	160,438	$	505,468
Aeropower		120,047		103,047		107,068		116,224		446,386
Microelectronics		67,399		50,554		38,339		54,737		211,029
Total Industrial	$	298,110	$	267,818	$	265,556	$	331,399	$	1,162,883
By Geography:
Western Hemisphere	$	92,445	$	90,063	$	90,740	$	96,840	$	370,088
Europe		93,524		86,913		83,810		117,741		381,988
Asia		112,141		90,842		91,006		116,818		410,807
Total Industrial	$	298,110	$	267,818	$	265,556	$	331,399	$	1,162,883

13

# # #

Contact:

Pall Corporation
Patricia Iannucci
V.P. Investor Relations & Corporate Communications
Telephone: 516-801-9848
Email: piannucci@pall.com

14