UNAUDITED CROMPTON & KNOWLES CORPORATION AND SUBSIDIARIES Consolidated Statements of Earnings Quarters and nine months ended September 30, 1995 and September 24, 1994 (In thousands, except per share data) Quarters ended Nine months ended Sept 30, Sept 24, Sept 30, Sept 24, 1995 1994 1995 1994 Net sales $159,065 $142,821 $502,875 $430,867 Cost of products sold 114,459 98,796 354,817 293,206 Selling, general and administrative 25,584 24,233 77,742 66,399 Depreciation and amortization 4,035 3,596 11,529 9,995 Interest 2,141 578 5,743 962 Other expense(income) 49 (424) (192) (1,059) Total costs and expenses 146,268 126,779 449,639 369,503 Earnings before income taxes 12,797 16,042 53,236 61,364 Income taxes 4,720 5,818 19,905 22,275 Net earnings $ 8,077 $ 10,224 $ 33,331 $ 39,089 Net earnings per common share $ 0.17 $ 0.20 $ 0.69 $ 0.76 Dividends per common share $ .135 $ .12 $ 0.39 $ 0.34 Average shares outstanding 48,343 51,059 48,516 51,708 See accompanying notes to the consolidated financial statements. - 2 -