Amphenol (APH) 8-K Results of Operations and Financial Condition

EXHIBIT 99.1

Amphenol News Release

World Headquarters

358 Hall Avenue

P. O. Box 5030

Wallingford, CT 06492-7530

Telephone (203) 265-8900

FOR IMMEDIATE RELEASE

For Further Information:

Diana G. Reardon

Senior Vice President and Chief Financial Officer

203/265-8630

www.amphenol.com

2009 SECOND QUARTER RESULTS
REPORTED BY AMPHENOL CORPORATION

Wallingford, Connecticut.  July 16, 2009.  Amphenol Corporation (NYSE-APH) reported today second quarter 2009 diluted earnings per share of $.43 compared to $.61 per share for the comparable 2008 period.  Sales for the second quarter 2009 decreased 19% to $685.2 million compared to $846.8 million for the 2008 period.  Currency translation had the effect of decreasing sales by approximately 3% or $23 million in the second quarter 2009 compared to the 2008 period.

For the six months ended June 30, 2009, diluted earnings per share was $.86 compared to $1.15 for the 2008 period.  Sales for the six months ended June 30, 2009 were $1,345.2 million compared to $1,617.5 million for the 2008 period. Currency translation had the effect of decreasing sales by approximately $46 million for the six month 2009 period when compared to the 2008 period.

Amphenol President and Chief Executive Officer, R. Adam Norwitt, stated “We are pleased to report second quarter results that reflect sequential improvement over Q1 2009.  The Company’s achievement of sales of $685 million, with an operating income margin of 16.9% and earnings per share of $.43, is very gratifying given the continued challenges in the market environment.  Our performance continues to show the benefits of the Company’s diversity and the strength of its technology. While demand levels remain low, we did experience sequential sales increases in most end markets, particularly in the automotive, mobile device, military aerospace, and broadband markets.  We were able to capitalize on pockets of strength and enhance our market position in nearly all of our served markets.  In addition, it is extremely rewarding that even in this difficult environment, profitability and cash flow remain strong.  Our management team continues to reduce costs in a proactive and dynamic manner ensuring the strength of our financial performance.  I am very proud of our organization as we continue to execute well.”

 “While economic conditions remain uncertain, we believe we have seen a stabilization of demand in most markets.  Accordingly, based on constant currency exchange rates and some seasonal moderation we expect Q3 2009 revenues in the range of $670 million to $685 million and EPS in the range of $.41 to $.43.  We continue to believe we can perform well in the current economic environment due to our leading technology, increasing positions with our customers in diverse markets, worldwide presence, lean cost structure, and agile, experienced and entrepreneurial management team.”

 “We continue to be excited about the future.  Our competitive advantages and sustained financial strength provide a solid base for future performance.  I am confident in the ability of our outstanding organization to dynamically adjust to the market environment, to generate strong profitability and to capitalize on opportunities to expand our market position.”

The Company will host a conference call to discuss its first quarter results at 1:00 PM (EST) July 16, 2009.  The toll free dial-in number to participate in this call is 888-395-9624; International dial-in number is 517-623-4547; Passcode: Reardon.  There will be a replay available until 7:00 P.M. (EST) on Monday, July 20, 2009.  The replay numbers are as follows:  toll free dial-in number is 866-444-9032 and International dial-in number is 203-369-1130.

A live broadcast as well as a replay will also be available on the Internet at http://www.amphenol.com/index.cfm/fuseaction/financial.webcasts.

Amphenol Corporation is one of the world’s leading producers of electronic and fiber optic connectors, cable and interconnect systems.  Amphenol products are engineered and manufactured in the Americas, Europe and Asia and sold by a worldwide sales and marketing organization.  Amphenol has a diversified presence as a leader in high growth segments of the interconnect market including:  Military, Commercial Aerospace, Automotive, Broadband Communication, Industrial, Information Technology and Data Communications Equipment, Mobile Devices and Wireless Infrastructure.

Statements in this press release which are other than historical facts are intended to be “forward-looking statements” within the meaning of the Securities Exchange Act of 1934, the Private Securities Litigation Reform Act of 1995 and other related laws.  While the Company believes such statements are reasonable, the actual results and effects could differ materially from those currently anticipated.  Please refer to [Part I, Item 1A] of the Company’s Form 10-K for the year ended December 31, 2008, for some factors that could cause the actual results to differ from estimates.  In providing forward-looking statements, the Company is not undertaking any duty or obligation to update these statements publicly as a result of new information, future events or otherwise.

AMPHENOL CORPORATION

CONDENSED CONSOLIDATED STATEMENTS OF INCOME

(Unaudited)

(dollars in thousands, except per share data)

	Three months ended						Six months ended
	June 30,						June 30,
	2009			2008			2009			2008
Net Sales	$	685,184		$	846,817		$	1,345,196		$	1,617,531
Cost of sales	471,034			570,227			924,667			1,090,035
Gross profit	214,150			276,590			420,529			527,496
Selling, general and administrative expense	98,672			108,367			194,366			208,977
Operating income	115,478			168,223			226,163			318,519
Interest expense	(9,131		)	(9,915		)	(18,129		)	(19,814		)
Other expenses, net	(382		)	134			(597		)	(348		)
Income before income taxes	105,965			158,442			207,437			298,357
Provision for income taxes	(29,140		)	(46,022		)	(53,562		)	(86,806		)
Net income	76,825			112,420			153,875			211,551
Less: Net income attributable to noncontrolling interest	(1,955		)	(2,425		)	(4,595		)	(4,088		)
Net income attributable to Amphenol Corporation	$	74,870		$	109,995		$	149,280		$	207,463
Net income per common share - Basic	$	0.44		$	0.63		$	0.87		$	1.18
Average shares outstanding - Basic	171,317,112			175,487,646			171,251,519			176,075,131
Net income per common share - Diluted	$	0.43		$	0.61		$	0.86		$	1.15
Average shares outstanding - Diluted	173,649,705			179,395,729			173,375,613			179,796,849
Dividends declared per common share	$	0.015		$	0.015		$	0.015		$	0.015

AMPHENOL CORPORATION

CONDENSED CONSOLIDATED BALANCE SHEETS

(Unaudited)

(dollars in thousands)

	June 30,			December 31,
	2009			2008
ASSETS
Current Assets:
Cash and cash equivalents	$	220,765		$	214,987
Accounts receivable, less allowance for doubtful accounts of $17,967 and $14,982, respectively	445,073			515,999
Inventories, net	449,894			512,507
Other current assets	91,209			92,371
Total current assets	1,206,941			1,335,864
Land and depreciable assets, less accumulated depreciation of $547,890 and $510,764, respectively	345,538			344,515
Goodwill	1,349,707			1,232,335
Other long-term assets	97,331			81,445
	$	2,999,517		$	2,994,159
LIABILITIES & SHAREHOLDERS’ EQUITY
Current Liabilities:
Accounts payable	$	247,391		$	305,950
Accrued salaries, wages and employee benefits	60,788			59,644
Accrued income taxes	48,442			65,846
Accrued acquisition-related obligations	9,220			120,357
Other accrued expenses	71,227			82,596
Current portion of long-term debt	527			439
Total current liabilities	437,595			634,832
Long-term debt	820,581			786,020
Accrued pension and post employment benefit obligations	169,695			161,669
Other long-term liabilities	42,918			43,069
Shareholders’ Equity:
Common stock	172			171
Additional paid-in capital	36,862			22,746
Accumulated earnings	1,611,240			1,467,099
Accumulated other comprehensive loss	(138,876		)	(140,591		)
Total shareholders’ equity attributable to Amphenol Corporation	1,509,398			1,349,425
Noncontrolling interest	19,330			19,144
Total equity	1,528,728			1,368,569
	$	2,999,517		$	2,994,159

AMPHENOL CORPORATION

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOW

(Unaudited)

(dollars in thousands)

	Six months ended
	June 30,
	2009			2008
Net income	$	153,875		$	211,551
Adjustments for cash from operations:
Depreciation and amortization	47,770			45,684
Stock-based compensation	10,028			7,196
Net change in receivables sold	(6,000		)	—
Net change in components of working capital	76,057			(69,704		)
Net change in other long-term assets and liabilities	2,911			11,088
Cash provided by operations	284,641			205,815
Cash flow from investing activities:
Additions to property, plant & equipment	(30,832		)	(50,503		)
Purchase of short term investments	(593		)	(8,551		)
Investments in acquisitions	(271,578		)	(99,474		)
Cash flow used in investing activities	(303,003		)	(158,528		)
Cash flow from financing activities:
Net change in borrowings under revolving credit facilities	35,281			94,277
Purchase of treasury stock	—			(143,693		)
Proceeds from exercise of stock options	3,015			8,782
Excess tax benefits from stock-based payment arrangements	696			4,981
Dividend payments	(7,706		)	(5,317		)
Cash flow provided by (used in) financing activities	31,286			(40,970		)
Effect of exchange rate changes on cash and cash equivalents	(7,146		)	(1,196		)
Net change in cash and cash equivalents	5,778			5,121
Cash and cash equivalents balance, beginning of period	214,987			183,641
Cash and cash equivalents balance, end of period	$	220,765		$	188,762
Cash paid during the period for:
Interest	$	17,957		$	19,877
Income taxes	62,086			72,095

AMPHENOL CORPORATION

SEGMENT INFORMATION

(dollars in thousands)

(Unaudited)

	Three months ended						Six months ended
	June 30,						June 30,
	2009			2008			2009			2008
Trade Sales:
Interconnect Products	$	621,440		$	771,112		$	1,223,398		$	1,471,737
Cable Products	63,744			75,705			121,798			145,794
Consolidated	$	685,184		$	846,817		$	1,345,196		$	1,617,531
Operating income:
Interconnect Products	$	119,743		$	171,624		$	236,186		$	325,160
Cable Products	10,059			8,729			17,895			16,999
Stock-based compensation expense	(5,245		)	(3,994		)	(10,029		)	(7,196		)
Other operating expenses	(9,079		)	(8,136		)	(17,889		)	(16,444		)
Consolidated	$	115,478		$	168,223		$	226,163		$	318,519
ROS%:
Interconnect Products	19.3		%	22.3		%	19.3		%	22.1		%
Cable Products	15.8		%	11.5		%	14.7		%	11.7		%
Corporate - Stock-based compensation	-0.8		%	-0.5		%	-0.7		%	-0.4		%
Corporate - all other	-1.3		%	-1.0		%	-1.3		%	-1.0		%
Consolidated	16.9		%	19.9		%	16.8		%	19.7		%