Belden (BDC) 8-K Belden Reports Strong Second Quarter 2010 Results

Exhibit 99.1

	7733 Forsyth Boulevard Suite 800 St. Louis, Missouri 63105	Phone: 314.854.8000 Fax: 314.854.8003 www.Belden.com
News Release

Belden Reports Strong Second Quarter 2010 Results

Second Quarter Highlights:

• Achieved adjusted income from continuing operations per diluted share of $0.50, up 47% over last year’s $0.34 per diluted share and up 72% sequentially from $0.29 per diluted share in the first quarter 2010;

• Increased revenue to $426.1 million, up 24% year-over-year and up 6% sequentially;

• Improved adjusted operating income margin to 9.4% of revenue, up 70 basis points (bps) year-over-year and 160 bps sequentially;

• Achieved record 7.8 inventory turns, up 1.7 turns year-over-year and up 0.8 turns sequentially, and

• Raised guidance for full year 2010 adjusted revenue to $1.640 — $1.655 billion and adjusted income from continuing operations per diluted share to $1.55 — $1.65.

St. Louis, Missouri — July 29, 2010 —Belden Inc. (BDC-NYSE), a leader in designing, manufacturing, and marketing cable, connectivity, and networking products in markets including industrial automation, enterprise, transportation, infrastructure, and consumer electronics, today reported results for the fiscal second quarter ended July 4, 2010.

Second Quarter 2010

Revenue for the quarter totaled $426.1 million, up $82.3 million or 24% compared to $343.8 million in the second quarter 2009. Income from continuing operations per diluted share totaled $0.41, compared to $(0.10) per diluted share in the second quarter 2009.

Adjusted revenue totaled $420.8 million, up $76.1 million or 22% compared to adjusted revenue of $344.7 million in the second quarter 2009. Adjusted operating income totaled $39.5 million or 9.4% of revenue, compared to $29.8 million or 8.7% of revenue in the second quarter 2009. Adjusted income from continuing operations per diluted share totaled $0.50, compared to $0.34 in the second quarter 2009.

John Stroup, President and CEO of Belden Inc. remarked, “The strong results we delivered this quarter and over the first six months of 2010 demonstrate that our strategic initiatives are working. Implementation of our Market Delivery and Lean Enterprise systems contributed to year-over-year growth in revenue and margins. The improvement in our business was broad-based with all product groups and regions contributing, a reflection of the enhanced quality and diversity of our portfolio.”

Outlook

Mr. Stroup continued, “We anticipate that the usual seasonality in our business, particularly in Europe, will result in sequentially lower revenues and earnings in the third quarter, followed by sequential improvement in the fourth quarter.”

Belden Reports Second Quarter 2010 Results — Page 2 of 3

Looking ahead to the third quarter of 2010, the Company expects adjusted revenues of $410 million to $415 million and adjusted income from continuing operations per diluted share of $0.38 to $0.41. For the full year ending December 31, adjusted revenues are expected to be $1.640 billion to $1.655 billion and adjusted income from continuing operations per diluted share are expected to be $1.55 to $1.65.

Use of Non-GAAP Financial Information

Adjusted results are non-GAAP measures that reflect certain adjustments the Company makes to provide insight into operating results. All GAAP to non-GAAP reconciliations accompany the consolidated financial statements included in this release and have been published to the investor relations section of the Company’s Web site athttp://investor.belden.com.

Adjusted revenues and income exclude the impact of the deferral of revenues and cost of sales associated with the Company’s wireless segment, the impact of charges associated with already announced restructuring actions, non-cash charges associated with derivative and hedging instruments, and other costs.

Forward Looking Statements

Statements in this release other than historical facts are “forward looking statements” made in reliance upon the safe harbor of the Private Securities Litigation Reform Act of 1995. Forward looking statements include any statements regarding future revenues, costs and expenses, operating income, earnings per share, margins, cash flows, dividends, and capital expenditures. These forward looking statements are based on forecasts and projections about the industries served by the Company and about general economic conditions. They reflect management’s beliefs and expectations. They are not guarantees of future performance and they involve risk and uncertainty. The Company’s actual results may differ materially from these expectations. The current global economic slowdown has adversely affected our results of operations and may continue to do so. Turbulence in financial markets may increase our borrowing costs. Additional factors that may cause actual results to differ from the Company’s expectations include: the Company’s reliance on key distributors in marketing products; the Company’s ability to execute and realize the expected benefits from strategic initiatives (including revenue growth, cost control, and productivity improvement programs); changes in the level of economic activity in the Company’s major geographic markets; difficulties in realigning manufacturing capacity and capabilities among the Company’s global manufacturing facilities; the competitiveness of the global cable, connectivity and wireless industries; variability in the Company’s quarterly and annual effective tax rates; changes in accounting rules and interpretation of these rules which may affect the Company’s reported earnings; changes in currency exchange rates and political and economic uncertainties in the countries where the Company conducts business; demand for the Company’s products; the cost and availability of materials including copper, plastic compounds derived from fossil fuels, and other materials; energy costs; the Company’s ability to integrate successfully acquired businesses; the ability of the Company to develop and introduce new products; the Company having to recognize charges that would reduce income as a result of impairing goodwill and other intangible assets; variability associated with derivative and hedging instruments; and other factors. For a more complete discussion of risk factors, please see our Annual Report on Form 10-K for the year ended December 31, 2009, filed with the SEC on February 26, 2010. Belden disclaims any duty to update any forward looking statements as a result of new information, future developments, or otherwise.

Belden Reports Second Quarter 2010 Results — Page 3 of 3

About Belden

St. Louis-based Belden Inc. designs, manufactures, and markets cable, connectivity, and networking products in markets including industrial automation, enterprise, transportation, infrastructure, and consumer electronics. It has approximately 6,600 employees, and provides value for industrial automation, enterprise, education, healthcare, entertainment and broadcast, sound and security, transportation, infrastructure, consumer electronics and other industries. Belden has manufacturing capabilities in North America, Europe, and Asia, and a market presence in nearly every region of the world. Belden was founded in 1902, and today is a leader with some of the strongest brands in the signal transmission industry. For more information, visitwww.belden.com.

Contact:

Belden Investor Relations
314-854-8054
Investor.Relations@Belden.com

BELDEN INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(Unaudited)

	Three Months Ended						Six Months Ended
	July 4, 2010			June 28, 2009			July 4, 2010			June 28, 2009
	(In thousands, except per share data)
Revenues	$	426,140		$	343,821		$	826,489		$	672,333
Cost of sales		(300,343	)		(235,303	)		(582,284	)		(479,622	)
Gross profit		125,797			108,518			244,205			192,711
Selling, general and administrative expenses		(74,523	)		(67,579	)		(148,383	)		(144,276	)
Research and development		(13,400	)		(14,122	)		(28,197	)		(30,677	)
Amortization of intangibles		(4,140	)		(3,911	)		(8,406	)		(7,776	)
Income from equity method investment		3,211			695			5,852			1,985
Asset impairment		—			(1,453	)		—			(26,176	)
Loss on sale of assets		—			(17,184	)		—			(17,184	)
Operating income (loss)		36,945			4,964			65,071			(31,393	)
Interest expense		(14,187	)		(8,895	)		(27,133	)		(16,218	)
Interest income		136			238			319			602
Other income (expense)		1,465			—			1,465			(1,541	)
Income (loss) from continuing operations before taxes		24,359			(3,693	)		39,722			(48,550	)
Income tax benefit (expense)		(4,532	)		(1,193	)		(8,012	)		11,210
Income (loss) from continuing operations		19,827			(4,886	)		31,710			(37,340	)
Loss from discontinued operations, net of tax		(155	)		—			(291	)		—
Net income (loss)	$	19,672		$	(4,886	)	$	31,419		$	(37,340	)
Weighted average number of common shares and equivalents:
Basic		46,779			46,587			46,737			46,557
Diluted		47,788			46,587			47,647			46,557
Basic income (loss) per share
Continuing operations	$	0.42		$	(0.10	)	$	0.68		$	(0.80	)
Discontinued operations		—			—			(0.01	)		—
Net income (loss)	$	0.42		$	(0.10	)	$	0.67		$	(0.80	)
Diluted income (loss) per share
Continuing operations	$	0.41		$	(0.10	)	$	0.67		$	(0.80	)
Discontinued operations		—			—			(0.01	)		—
Net income (loss)	$	0.41		$	(0.10	)	$	0.66		$	(0.80	)
Dividends declared per share	$	0.05		$	0.05		$	0.10		$	0.10

BELDEN INC.
OPERATING SEGMENT INFORMATION

(Unaudited)

	External								Operating
	Customer		Affiliate			Total			Income
	Revenues		Revenues			Revenues			(Loss)
	(In thousands)
Three Months Ended July 4, 2010
Americas	$	236,923	$	12,133		$	249,056		$	34,159
EMEA		92,193		17,880			110,073			19,314
Asia Pacific		81,447		62			81,509			9,927
Wireless		15,577		—			15,577			(2,665	)
Total Segments		426,140		30,075			456,215			60,735
Corporate expenses		—		—			—			(13,272	)
Eliminations		—		(30,075	)		(30,075	)		(10,518	)
Total	$	426,140	$	—		$	426,140		$	36,945
Three Months Ended June 28, 2009
Americas	$	186,734	$	10,888		$	197,622		$	33,521
EMEA		86,237		13,109			99,346			(12,685	)
Asia Pacific		57,616		—			57,616			8,262
Wireless		13,234		—			13,234			(7,978	)
Total Segments		343,821		23,997			367,818			21,120
Corporate expenses		—		—			—			(9,310	)
Eliminations		—		(23,997	)		(23,997	)		(6,846	)
Total	$	343,821	$	—		$	343,821		$	4,964
Six Months Ended July 4, 2010
Americas	$	454,852	$	24,870		$	479,722		$	65,516
EMEA		182,743		32,623			215,366			33,894
Asia Pacific		157,392		62			157,454			17,453
Wireless		31,502		—			31,502			(5,834	)
Total Segments		826,489		57,555			884,044			111,029
Corporate expenses		—		—			—			(26,176	)
Eliminations		—		(57,555	)		(57,555	)		(19,782	)
Total	$	826,489	$	—		$	826,489		$	65,071
Six Months Ended June 28, 2009
Americas	$	368,944	$	18,879		$	387,823		$	58,179
EMEA		174,298		25,582			199,880			(54,640	)
Asia Pacific		103,854		—			103,854			11,596
Wireless		25,237		—			25,237			(16,300	)
Total Segments		672,333		44,461			716,794			(1,165	)
Corporate expenses		—		—			—			(17,667	)
Eliminations		—		(44,461	)		(44,461	)		(12,561	)
Total	$	672,333	$	—		$	672,333		$	(31,393	)

BELDEN INC.
CONDENSED CONSOLIDATED CASH FLOW STATEMENTS

(Unaudited)

	Six Months Ended
	July 4, 2010			June 28, 2009
	(In thousands)
Cash flows from operating activities:
Net income (loss)	$	31,419		$	(37,340	)
Adjustments to reconcile net income (loss) to net cash provided by operating activities:
Depreciation and amortization		28,676			26,842
Asset impairment		—			26,176
Loss on sale of assets		—			17,184
Share-based compensation		6,588			4,719
Non-cash loss related to derivatives and hedging instruments		2,749			—
Provision for inventory obsolescence		1,752			4,273
Tax deficiency related to share-based compensation		210			1,469
Amortization of discount on long-term debt		208			—
Income from equity method investment		(5,852	)		(1,985	)
Pension funding in excess of pension expense		(2,700	)		(6,452	)
Changes in operating assets and liabilities, net of the effects of currency exchange rate changes and acquired businesses:
Receivables		(61,382	)		42,655
Deferred cost of sales		4,896			35
Inventories		(11,326	)		42,161
Accounts payable		27,182			(15,669	)
Accrued liabilities		554			(25,931	)
Deferred revenue		(11,262	)		782
Accrued taxes		(5,267	)		(16,558	)
Other assets		6,742			3,434
Other liabilities		(7,674	)		3,539
Net cash provided by operating activities		5,513			69,334
Cash flows from investing activities:
Capital expenditures		(12,705	)		(18,342	)
Proceeds from disposal of tangible assets		2,332			367
Cash provided by other investing activities		163			—
Net cash used for investing activities		(10,210	)		(17,975	)
Cash flows from financing activities:
Payments under borrowing arrangements		(46,268	)		—
Cash dividends paid		(4,712	)		(4,707	)
Debt issuance costs		—			(1,541	)
Tax deficiency related to share-based compensation		(210	)		(1,469	)
Proceeds from exercise of stock options		634			23
Net cash used for financing activities		(50,556	)		(7,694	)
Effect of foreign currency exchange rate changes on cash and cash equivalents		(8,011	)		3,562
Increase (decrease) in cash and cash equivalents		(63,264	)		47,227
Cash and cash equivalents, beginning of period		308,879			227,413
Cash and cash equivalents, end of period	$	245,615		$	274,640

BELDEN INC.
CONDENSED CONSOLIDATED BALANCE SHEETS

	July 4, 2010			December 31, 2009
	(Unaudited)
	(In thousands)
ASSETS
Current assets:
Cash and cash equivalents	$	245,615		$	308,879
Receivables, net		291,372			242,145
Inventories, net		154,983			151,262
Deferred income taxes		26,705			26,996
Other current assets		24,104			35,036
Total current assets		742,779			764,318
Property, plant and equipment, less accumulated depreciation		275,119			299,586
Goodwill		302,524			313,030
Intangible assets, less accumulated amortization		128,458			143,013
Deferred income taxes		35,723			37,205
Other long-lived assets		69,076			63,426
	$	1,553,679		$	1,620,578
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Accounts payable	$	192,455		$	169,763
Accrued liabilities		126,822			141,922
Current maturities of long-term debt		—			46,268
Total current liabilities		319,277			357,953
Long-term debt		548,769			543,942
Postretirement benefits		111,894			121,745
Other long-term liabilities		41,039			45,890
Stockholders’ equity:
Common stock		503			503
Additional paid-in capital		595,009			591,917
Retained earnings		99,276			72,625
Accumulated other comprehensive income (loss)		(36,648	)		14,614
Treasury stock		(125,440	)		(128,611	)
Total stockholders’ equity		532,700			551,048
	$	1,553,679		$	1,620,578

Inventory turns are calculated by dividing annualized cost of sales for the quarter by the inventory balance at the end of the quarter.

Inventory turns for the quarters ended July 4, 2010 and June 28, 2009 were 7.8 and 6.1 turns, respectively.

BELDEN INC.
ADJUSTED OPERATING RESULTS

(Unaudited)

In addition to reporting financial results in accordance with accounting principles generally accepted in the United States, we provide non-GAAP operating results adjusted for certain items including asset impairment, purchase accounting effects related to acquisitions, revenue and cost of sales deferrals related to our Wireless segment, severance charges, accelerated depreciation, gains (losses) recognized on the disposal of tangible assets, and other costs. We utilize the adjusted results to review our ongoing operations without the effect of these adjustments and for comparison to budgeted operating results. We believe these adjusted results are useful to investors because they help them compare our results to previous periods and provide insights into underlying trends in the business. Adjusted results should be considered only in conjunction with results reported according to accounting principles generally accepted in the United States.

	As
	Reported			Adjustments			Adjusted
	(In thousands, except percentages and per share amounts)
Three Months Ended July 4, 2010
Revenues	$	426,140		$	(5,377	)	$	420,763
Gross profit	$	125,797		$	1,813		$	127,610
as a percent of revenues		29.5	%					30.3	%
Operating income	$	36,945		$	2,508		$	39,453
as a percent of revenues		8.7	%					9.4	%
Income from continuing operations	$	19,827		$	3,830		$	23,657
as a percent of revenues		4.7	%					5.6	%
Income from continuing operations per diluted share	$	0.41		$	0.09		$	0.50
Three Months Ended June 28, 2009
Revenues	$	343,821		$	831		$	344,652
Gross profit	$	108,518		$	5,634		$	114,152
as a percent of revenues		31.6	%					33.1	%
Operating income	$	4,964		$	24,885		$	29,849
as a percent of revenues		1.4	%					8.7	%
Income (loss) from continuing operations	$	(4,886	)	$	20,728		$	15,842
as a percent of revenues		-1.4	%					4.6	%
Income (loss) from continuing operations per diluted share	$	(0.10	)	$	0.44		$	0.34

Adjustments for the three months ended July 4, 2010 included pre-tax operating charges for severance and other restructuring related costs, accelerated depreciation, and purchase accounting effects related to acquisitions of $3.9 million, $1.1 million, and $0.6 million, respectively, partially offset by changes in deferred gross profit of $3.1 million. Adjustments for the three months ended July 4, 2010 also include non-operating charges for non-cash losses related to derivatives and hedging instruments of $2.7 million.

Adjustments for the three months ended June 28, 2009 included pre-tax operating charges for loss on sale of assets, asset impairment, gross profit deferrals, and other costs of $17.2 million, $1.5 million, $0.6 million, and $5.6 million, respectively.

	As
	Reported			Adjustments			Adjusted
	(In thousands, except percentages and per share amounts)
Six Months Ended July 4, 2010
Revenues	$	826,489		$	(11,262	)	$	815,227
Gross profit	$	244,205		$	3,762		$	247,967
as a percent of revenues		29.5	%					30.4	%
Operating income	$	65,071		$	5,342		$	70,413
as a percent of revenues		7.9	%					8.6	%
Income from continuing operations	$	31,710		$	5,904		$	37,614
as a percent of revenues		3.8	%					4.6	%
Income from continuing operations per diluted share	$	0.67		$	0.12		$	0.79
Six Months Ended June 28, 2009
Revenues	$	672,333		$	782		$	673,115
Gross profit	$	192,711		$	23,529		$	216,240
as a percent of revenues		28.7	%					32.1	%
Operating income (loss)	$	(31,393	)	$	78,612		$	47,219
as a percent of revenues		-4.7	%					7.0	%
Income (loss) from continuing operations	$	(37,340	)	$	60,440		$	23,100
as a percent of revenues		-5.6	%					3.4	%
Income (loss) from continuing operations per diluted share	$	(0.80	)	$	1.30		$	0.50

Adjustments for the six months ended July 4, 2010 included pre-tax operating charges for severance and other restructuring related costs, accelerated depreciation, and purchase accounting effects related to acquisitions of $7.9 million, $2.2 million, and $1.6 million, respectively, partially offset by changes in deferred gross profit of $6.4 million. Adjustments for the six months ended July 4, 2010 also include non-operating charges for non-cash losses related to derivatives and hedging instruments of $2.7 million.

Adjustments for the six months ended June 28, 2009 included pre-tax operating charges for asset impairment, severance, loss on sale of assets, gross profit deferrals, and other costs of $26.2 million, $26.0 million, $17.2 million, $0.8 million, and $8.4 million, respectively, and pre-tax non-operating charges of $1.5 million.