<page>
Exhibit 99.1
KAMAN REPORTS FOURTH QUARTER, YEAR 2003 RESULTS
BLOOMFIELD, Connecticut (February 11, 2004) - Kaman Corp.
(NASDAQ:KAMNA) today reported financial results for its fourth
quarter and year ended December 31, 2003.
Net earnings for the fourth quarter were $1.0 million, or $0.04
per share diluted, compared to $5.9 million or $0.26 per share
diluted the previous year. Net sales for the fourth quarter were
$238.9 million compared to $230.3 million in the 2002 quarter.
For the full year the company reported net earnings of $19.4
million, or $0.86 per share diluted, including an after-tax gain
of $10.6 million ($0.48 per share) from the sale of its
Electromagnetics Development Center (EDC) in January 2003,
compared to a net loss per share of $33.6 million, or $1.50 net
loss per share diluted in 2002.
Results for the year 2002 include pre-tax charges of $86.0
million, or $2.50 loss per share diluted, taken in the second
quarter to cover the write down of K-MAX helicopter assets,
principally inventories; for cost growth associated with the
Australian SH-2G(A) helicopter program; and to phase out
operations at the company's Moosup, Conn. plant. The 2002 results
also include a pre-tax gain of $1.9 million from the sale of the
company's microwave products line.
Net sales for the full year were $894.5 million in 2003, compared
to $880.8 million in 2002.
Paul R. Kuhn, chairman, president and chief executive officer,
said, "During the year, Kaman continued its divestiture of non-
core businesses, improved the competitive capability of core
businesses, and made strategic acquisitions.
"Following three years of poor economic performance in the U.S.
economy, Kaman began to see early signs of recovery in the
national industrial markets served by the company's Industrial
Distribution segment. Toward the end of 2003, incoming requests
for proposals and order activity began to increase, an encouraging
sign. During the year, the company continued to execute its
strategy for the Industrial Distribution segment, expanding
geographic coverage in major industrial markets in order to
increase the company's ability to compete for regional and
national accounts. Three additional markets were entered either
by acquisition or branch openings in 2003, and important national
account wins were achieved during the year.
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"The Music segment, strongly influenced by consumer spending
trends, had a good Christmas season. Results for the year showed
solid gains, driven by the successful integration of Latin
Percussion, a significant acquisition made in the fourth quarter
of 2002. That acquisition, part of Kaman's strategy to build on
the company's strong brand identity while adding new market-
leading names to the company's offering of proprietary products
was immediately accretive.
"While certain parts of the Aerospace segment, such as Kamatics,
performed well for the year, we are probably still at least a year
away from any meaningful recovery in the commercial aircraft
subcontracting market, and the segment as a whole continues to
face challenges. During the year, the previously announced move
of our major aerospace production facility from Connecticut to
expanded facilities in Florida was accomplished. These facilities
should serve the company well once the various business issues
discussed in this release are behind us. The Aerospace segment
was the principal negative factor in Kaman's operating results for
2003."
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February 11, 2004
A summary of segment information follows.
<table>
Segment Information
(In millions)
<s> <c> <c> <c> <c
For the Three Months For the Twelve Months
Ended December 31, Ended December 31,
-------------------- ---------------------
2003 2002 2003 2002
- ------------------------------------------------------------------------
Net sales:
Aerospace $ 63.8 $ 74.7 $ 251.2 $ 275.9
Industrial Distribution 133.2 118.4 497.9 477.2
Music 41.9 37.2 145.4 127.7
- ------------------------------------------------------------------------
$ 238.9 $ 230.3 $ 894.5 $ 880.8
========================================================================
Operating profit (loss):
Aerospace $ (0.6) $ 6.5 $ 14.8 $ (55.2)
Industrial Distribution 3.7 3.3 12.7 12.3
Music 3.5 2.8 9.5 7.2
- -------------------------------------------------------------------------
6.6 12.6 37.0 (35.7)
Interest, corporate and
other expense, net (1) (5.0) (4.2) (23.4) (17.5)
Gain/(loss) on sale of product
lines and other assets, net - 0.5 18.2 2.3
- -------------------------------------------------------------------------
Earnings (loss)
before income taxes: $ 1.6 $ 8.9 $ 31.8 $(50.9)
=========================================================================
<fn>
(1) "Interest, corporate and other expense, net" increased for the three
months ended December 31, 2003 from the previous year's fourth quarter, the
largest element of which is fringe benefit expenses. The increase for the
twelve months ended December 31, 2003 is primarily due to a reduction in group
insurance liabilities in 2002 that did not recur in 2003, and growth in stock
appreciation rights expense, pension, general insurance and interest expenses.
</fn>
</table> Page 3
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"Kaman Reports Fourth Quarter, Year 2003 Results"
February 11, 2004
REPORT BY SEGMENT
- -----------------
Aerospace Segment
- -----------------
The Aerospace segment had a fourth quarter operating loss of $0.6
million, compared to an operating profit of $6.5 million a year
ago. Results for the fourth quarter of 2003 include the effect of
$1.4 million in ongoing relocation and re-certification costs
related to the Moosup plant closure and $1.0 million in idle
facilities and related costs. Segment sales for the quarter were
$63.8 million, compared to $74.7 million a year ago. The 2002
fourth quarter sales included $4.2 million from EDC, which was
divested in 2003.
For the full year the segment had an operating profit of $14.8
million, compared to an operating loss of $55.2 million in 2002 as
a result of the $86.0 million of pre-tax charges. Results for
2003 include the effect of $3.6 million in ongoing relocation and
re-certification costs related to the Moosup plant closing and
$1.4 million in idle facilities and related costs. Sales for 2003
were $251.2 million, compared to $275.9 million the previous year,
which included $16.2 million from the two divested businesses. The
Australian program adjustment reduced segment sales in 2002 by
$6.5 million.
The segment serves the commercial aerospace and domestic and
foreign defense markets with a variety of products including
subcontracted commercial and military aerostructures, specialized
bearings, advanced technology products for specialized
applications, including missile and bomb-fuzing devices, and the
SH-2G Super Seasprite naval helicopter and K-MAX medium-to-heavy
lift helicopter.
Segment results for the quarter and full year continued to be
adversely affected by several factors principally at the Kaman
Aerospace subsidiary, including costs associated with the
transition of manufacturing from the Moosup plant to the
Jacksonville, Fla. facility and the current weak market for
commercial airliners which has caused order stretch-outs and a
lower volume of deliveries than anticipated for certain Boeing
programs. These conditions, combined with the absence of new
helicopter orders and the stop work mode for the MD Helicopters,
Inc. (MDHI) subcontract program, have resulted in lower sales,
which in turn has resulted in overhead and general and
administrative expenditures being absorbed at higher rates by
active aerospace programs. This has led to generally lower
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February 11, 2004
profitability or losses for these programs. Kaman Aerospace
continues to evaluate its cost structure including its manpower
requirements, and is taking actions, as appropriate, to help bring
its cost structure in line with the business base.
Aircraft Structures and Components
Fourth quarter aircraft structures and components sales were $30.4
million, compared with $32.7 million in the period a year ago.
This business contributed approximately 48 percent of the
Aerospace segment's sales in the fourth quarter, compared to
approximately 44 percent a year ago.
Aerostructure subcontract work involves commercial and military
aircraft programs. Current programs include production of
aircraft subassemblies and other parts for virtually all Boeing
commercial airliners and the C-17 military transport. This has
become a core business area for the company and a focal point for
future growth. The low current and projected build rates for
commercial airliners affect this business directly, and the market
has become increasingly competitive and difficult on an industry-
wide basis. The transfer of operations from its Moosup plant to
Jacksonville was specifically undertaken to provide a lower cost
base from which to compete. However, the transition has generated
additional costs associated with the phase-out of Moosup,
production man-hour performance in Jacksonville, which has not yet
achieved the levels that had existed on an overall basis in
Moosup, and the normal FAA and customer requirements to requalify
manufacturing and quality processes in Jacksonville. These
factors have resulted in lower profitability or losses in certain
aerostructures programs. While these costs continue to be an
issue going into 2004, the opportunity to operate at lower cost in
Jacksonville remains evident and is an expectation for the future.
The Jacksonville facility is ready to accept additional business,
although that may take time to develop in the present environment.
Helicopter subcontract work involves commercial and military
programs. The company's helicopter subcontracting group provides
fuselages for the MD Helicopters 500 and 600 series helicopters
and composite rotor blades for the MD Explorer helicopter. Total
orders received from MDHI have run at significantly lower rates
than originally anticipated due to lower than expected demand.
The company's investment in these contracts consists of $4.4
million in billed receivables and $16.4 million in recoverable
costs not billed (including start-up costs and other program
expenditures) as of December 31, 2003. The company received
payments in 2003 totaling $4.4 million. The recoverability of
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February 11, 2004
unbilled costs will depend to a significant extent upon MDHI's
future requirements. The company has stopped production on these
programs while working closely with the customer to resolve
overall payment issues and establish conditions under which
production could be resumed, including the timing thereof. Based
on their projected future requirements and inventory on hand at
MDHI and Kaman, this could be as early as the second half of 2004.
Although the outcome is not certain, the company understands that
MDHI management is pursuing strategies to improve its current
financial and operational circumstances.
Sales and operating profits for the company's Kamatics specialty
bearing business were higher for the year, with military and
commercial aftermarket sales helping to offset continued softness
in commercial and regional aircraft manufacturing. Kamatics
products are in wide use in commercial airliners operated by the
major and regional airlines, and increasingly in military
programs.
Advanced Technology Products
Sales of the company's advanced technology products in the fourth
quarter were $15.0 million, compared to $15.3 million a year ago.
The business accounted for approximately 23 percent of Aerospace
segment sales, compared to 20 percent a year ago.
The company manufactures products for military and commercial
markets, including safe, arm and fuzing devices for a number of
major missile and bomb programs; and precision measuring systems,
mass memory systems and electro-optic systems. The company's
Kaman Dayron operation, acquired in 2002, manufactures fuzes for a
variety of munitions programs, and has the contract to develop a
fuze for the U. S. Air Force and Navy Joint Programmable Fuze
(JPF) program. Securing the JPF program was the principal
motivation for making the Dayron acquisition, as the program is
expected to generate substantial business for the company once
final qualification has been achieved and future production orders
have been received. Test results received early in 2003
necessitated additional qualification work, which has delayed
production unit sales and increased program costs. However, the
element of qualification testing conducted by Kaman as the
contractor resumed and was completed in the fourth quarter of
2003. The customer has now resumed its portion of the
qualification testing at Eglin Air Force Base, with positive early
results. Completion of qualification testing is expected in March
2004.
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Helicopter Programs
Sales generated by the SH-2G Super Seasprite and K-MAX helicopter
programs, including spare parts and sales support, totaled $18.4
million in the 2003 fourth quarter, compared to $26.7 million in
the period last year. This represented approximately 29 percent
of segment sales for the quarter, compared to approximately 36
percent a year ago.
Production of the eleven SH-2G(A) aircraft for the Australia
program is essentially complete. As previously reported, the
aircraft lack the full Integrated Tactical Avionics System (ITAS)
software and progress is continuing on this element of the
program. In September 2003 the Royal Australian Navy (RAN) began
the process of provisional acceptance of these aircraft after
receiving a decision to proceed from the Australian government.
The company expects to be able to deliver the full capability of
the ITAS weapons system software in late 2004 with a final
acceptance anticipated in 2005. While the company believes its
reserves are sufficient to cover estimated costs to complete the
program, final development of the software and its integration are
yet to come, and these are complex tasks.
The company is marketing its existing K-MAX aircraft inventory,
which was written down to an estimated fair market value in 2002,
using sales and short-term leasing programs. During 2003, two
K-MAX helicopters were leased and two others were converted from
leases to sales.
Industrial Distribution Segment
- -------------------------------
Fourth quarter operating profits for the Industrial Distribution
segment were $3.7 million, compared to $3.3 million in the 2002
period. Sales were $133.2 million in the fourth quarter,
including $6.5 million from the acquisition of Industrial
Supplies, Inc. (ISI) in the fourth quarter of 2003, compared to
$118.4 million in the period last year.
Segment operating profits for the full year were $12.7 million,
compared to $12.3 million the previous year. Sales in 2003 were
$497.9 million, including $6.5 million from the ISI acquisition,
compared to $477.2 million in 2002.
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February 11, 2004
The segment continued to perform in line with national economic
circumstances, while benefiting from some new business wins and
the effect of acquisitions completed over the past several years.
Control of costs and focus on working capital investment also
helped performance. In addition, the industry's practice of
offering supplier incentives continues to be an important
contributor to the company's operating profits.
Kaman is the third largest U.S. industrial distributor servicing
the bearings, electrical/mechanical power transmission, fluid
power, motion control and materials handling markets in the United
States. Kaman offers more than 1.5 million items, as well as
value-added services to a base of more than 50,000 customers
spanning nearly every sector of U.S. industry, from its
geographically broad-based footprint of nearly 200 branches and
regional distribution centers in the U.S., Canada and Mexico.
With the addition of the Birmingham, Dallas, and Richmond markets
in 2003, the company now covers 70 of the top 100 industrial
markets in the U.S.
This segment is directly affected by national macroeconomic
variables such as the percentage of plant capacity utilization
within the U.S. industrial base, and the business tends to track
the U.S. Industrial Production Index with a short lag. Success in
the market requires a combination of competitive pricing and
value-added services that save the customer money while helping
them become more efficient and productive. Over the past several
years, large companies have increasingly centralized their
purchasing, focusing on suppliers that can service all of their
plant locations across a wide geographic area. To meet these
requirements, Kaman has expanded its geographic presence through
selective opening of new branches, and acquisitions in key markets
of the upper Midwest, the South, and Mexico. The acquisition of
ISI of Birmingham, Ala. in October 2003, is an example of this
strategy. ISI distributes a wide variety of bearing, conveyor,
electrical, fluid power and power transmission components used by
manufacturing, mining, steel, lumber, pulp and paper, food and
other industries. In addition to its Birmingham facilities, ISI
has branches in Montgomery, Decatur and Muscle Shoals, Alabama,
and in Pensacola, Florida. Additionally, Kaman has added a number
of new national accounts, including agreements with Campbell Soup,
GAF and Phelps Dodge.
Kuhn said, "Although industrial production levels still remain far
from where they were a few years ago, we are encouraged by recent
signs of improvement in national industrial markets. Sustained
growth in the industrial production index would bode well for this
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segment as our performance typically reflects what is happening in
the market. This remains a highly competitive business and we plan
to continue to maintain cost controls and `lean thinking'
practices that render cost-saving benefits to the company and its
customers."
Music Segment
- -------------
Music segment operating profits for the 2003 fourth quarter were
$3.5 million, compared to $2.8 million in the period a year ago.
Sales for the quarter were $41.9 million, compared to $37.2
million last year.
Operating profits for the year 2003 were $9.5 million, compared to
$7.2 million a year ago. Sales for the year 2003 were $145.4
million, including $18.6 million from Latin Percussion which was
acquired in October 2002, compared to $127.7 million the previous
year, which included $3.7 million from Latin Percussion.
The segment is America's largest independent distributor of
musical instruments and accessories, involved in some combination
of designing, manufacturing, marketing and distributing more than
15,000 products from five facilities in the U.S. and Canada to
retailers of all sizes for musicians of all skill levels. Kaman's
array of instruments includes premier and proprietary products,
such as the company's Ovation (registered trademark) and Hamer
(registered trademark) guitars, and Takamine (registered
trademark) guitars under its exclusive distribution agreement. To
build on its market leadership position, Kaman has significantly
extended its line of percussion products and accessories over the
past two years, augmenting its CB, Toca (registered trademark) and
Gibraltar (registered trademark) lines with the addition of an
exclusive distribution agreement with Gretsch (registered
trademark) drums in 2001 and the acquisition of Latin Percussion,
Inc., the world leader in hand percussion instruments. In
September 2003 the company acquired Genz Benz Enclosures, Inc., a
small manufacturer of amplification and sound reinforcement
equipment. Genz Benz had been working closely with Kaman Music for
several years through an exclusive distribution agreement, and
while the acquisition will not add immediate incremental sales, it
does assure Kaman long-term control of this product line.
Kuhn said, "The economy began to firm up late in the year for this
segment, producing a good Christmas season for our products,
particularly at the large national stores. Latin Percussion,
which marked its first full year as a Kaman company, produced
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"Kaman Reports Fourth Quarter, Year 2003 Results"
February 11, 2004
solid results for the year and quarter, and we continue to look
for opportunities to add exclusive premier brand product lines
that build on the company's leadership position in the market.
Kaman Music continues to build on the success of its KMConline
e-commerce program that provides participating retailers an easy
and efficient way to place orders directly with us, and we expect
the popularity of this program will grow as a defining competitive
advantage for Kaman."
CONCLUDING REMARK
- -----------------
Kuhn said, "We are encouraged by what appears to be a rebounding
economy, particularly in the industrial and consumer retailing
sectors where our Industrial Distribution and Music segments stand
to benefit. We still have a number of difficult issues to work
through at Kaman Aerospace, and the turnaround in commercial
aircraft production is still some time off. However, we are
making progress in many areas and I believe the attention we
continue to give to reducing costs and improving the efficiency of
our operations will in due time make us a stronger, more
competitive company. We will also continue to use our available
capital judiciously for strategic acquisitions in each of our
business segments."
Kaman Corp., headquartered in Bloomfield, Conn., conducts business
in the aerospace, industrial distribution and music markets.
Forward-Looking Statements
- --------------------------
This release contains forward-looking information relating to the
company's business and prospects, including aerostructures and
helicopter subcontract programs and components, advanced technology
products, SH-2G and K-MAX helicopter programs, the industrial and
music distribution businesses, and other matters that involve a
number of uncertainties that may cause actual results to differ
materially from expectations. Those uncertainties include, but are
not limited to: 1) the successful conclusion of competitions and
thereafter contract negotiations with government authorities,
including foreign governments; 2) political developments in
countries where the company intends to do business; 3) standard
government contract provisions permitting renegotiation of terms
and termination for the convenience of the government; 4) economic
and competitive conditions in markets served by the company,
particularly industrial production and commercial aviation, and
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"Kaman Reports Fourth Quarter, Year 2003 Results"
February 11, 2004
global economic conditions; 5) satisfactory completion of the
Australian SH-2G(A) program, including successful completion and
integration of the full ITAS software; 6) recovery of the company's
investment in the MD Helicopters, Inc. contracts; 7) actual costs
for recertifying products and processes in connection with start-up
of the expanded Jacksonville facility; 8) JPF program final
qualification test results and receipt of production orders; 9)
achievement of enhanced business base in the Aerospace segment in
order to better absorb overhead and general and administrative
expenses; 10) successful sale or lease of existing K-MAX inventory;
11) the condition of consumer markets for musical instruments;12)
profitable integration of acquired businesses into the company's
operations; 13) changes in supplier sales or vendor incentive
policies; 14) the effect of price increases or decreases; and 15)
currency exchange rates, taxes, changes in laws and regulations,
inflation rates, general business conditions and other factors.
Any forward-looking information should be considered with these
factors in mind.
###
Contact: Russell H. Jones
SVP, Chief Investment Officer & Treasurer
(860) 243-6307
rhj-corp@kaman.com
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"Kaman Reports Fourth Quarter, Year 2003 Results"
February 11, 2004
KAMAN CORPORATION AND SUBSIDIARIES
Condensed Consolidated Summaries of Operations
(In thousands except per share amounts)
<table> For the Three Months For the Twelve Months
Ended December 31, Ended December 31,
-------------------- ---------------------
<s> <c> <c> <c> <c>
2003 2002 2003 2002
- -------------------------------------------------------------------
Net Sales $ 238,854 $ 230,276 $ 894,499 $ 880,776
Costs and expenses:
Cost of sales (1) 185,535 170,799 670,150 723,243
Selling, general and ad-
ministrative expense 51,058 49,772 207,857 199,453
Restructuring costs (2) --- --- --- 8,290
Other operating (
income)/expense, net (341) (294) (1,448) (1,302)
Interest expense, net 750 906 3,008 2,486
(Gain)/loss on sale
of product lines and
other assets, net (20) (447) (18,163) (2,299)
Other expense, net 230 688 1,265 1,831
- --------------------------------------------------------------------
237,212 221,424 862,669 931,702
- --------------------------------------------------------------------
Earnings (loss) before
income taxes 1,642 8,852 31,830 (50,926)
Income tax expense/(benefit) 675 3,000 12,425 (17,325)
- --------------------------------------------------------------------
Net earnings (loss) $ 967 $ 5,852 $ 19,405 $ (33,601)
====================================================================
Net earnings (loss) per share:
Basic $ .04 $ .26 $ .86 $ (1.50)
Diluted (3) $ .04 $ .26 $ .86 $ (1.50)
====================================================================
Average shares outstanding:
Basic 22,616 22,449 22,561 22,408
Diluted (4) 23,621 23,475 23,542 22,408
====================================================================
Dividends declared per share .11 .11 .44 .44
====================================================================
<fn>
(1) Cost of sales for the twelve months ended December 31, 2002 includes
the write-off of K-MAX assets of $50,000 and Moosup facility assets of
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"Kaman Reports Fourth Quarter, Year 2003 Results"
February 11, 2004
$2,679 both of which are associated with the charge taken in the Aerospace
segment.
(2) Restructuring costs for the twelve months ended December 31, 2002
relate to the closure of the Moosup facility in 2003 and are associated
with the charge taken in the Aerospace segment.
(3) The calculated diluted per share amounts for the three months ended
December 31, 2003 and the twelve months ended December 31, 2002 are anti-
dilutive, therefore, amounts shown are equal to the basic per share
calculation.
(4) Additional potentially diluted average shares outstanding of 1,145
for the twelve months ended December 31, 2002 have been excluded from the
average diluted shares outstanding due to the loss from operations in that
year.
</fn>
</table>
- more -
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February 11, 2004
KAMAN CORPORATION AND SUBSIDIARIES
Condensed Consolidated Balance Sheets
(In thousands)
<table>
December 31, 2003 December 31, 2002
- ------------------------------------------------------------------
<s> <c> <c>
Assets
Current assets:
Cash and cash equivalents $ 7,130 $ 5,571
Accounts receivable, net 193,243 195,857
Inventories 178,952 164,715
Income taxes receivable 1,043 5,192
Deferred income taxes 26,026 28,450
Other current assets 12,457 14,460
- ------------------------------------------------------------------
Total current assets 418,851 414,245
- ------------------------------------------------------------------
Property, plant and equipment, net 51,049 61,635
Goodwill and other intangible
assets, net 53,347 50,994
Other assets 5,064 8,666
- ------------------------------------------------------------------
$ 528,311 $ 535,540
==================================================================
Liabilities and shareholders' equity
Current liabilities:
Notes payable $ 7,673 $ 10,307
Accounts payable 59,600 46,664
Accrued contract losses 23,611 26,674
Accrued restructuring cost 6,109 7,594
Other accrued liabilities 26,123 23,583
Advances on contracts 19,693 22,318
Other current liabilities 17,746 19,954
- ------------------------------------------------------------------
Total current liabilities 160,555 157,094
- ------------------------------------------------------------------
Long-term debt, excluding
current portion 36,624 60,132
Other long-term liabilities 27,949 26,367
Shareholders' equity 303,183 291,947
- ------------------------------------------------------------------
$ 528,311 $ 535,540
==================================================================
</table> - more -
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February 11, 2004
KAMAN CORPORATION AND SUBSIDIARIES
Condensed Consolidated Statements of Cash Flows
(In thousands)
<table>
For the Twelve Months
Ended December 31,
- --------------------------------------------------------------------
2003 2002
---- ----
<s> <c> <c>
Cash flows from operating activities:
Net earnings (loss) $ 19,405 $ (33,601)
Depreciation and amortization 10,019 11,620
Gain on sale of product lines
and other assets, net (18,163) (2,299)
Restructuring costs --- 8,290
Non-cash write-down of assets --- 52,679
Deferred income taxes 5,994 (16,715)
Other, net 2,376 3,403
Changes in current assets and
liabilities, excluding effects
of acquisitions/divestitures:
Accounts receivable 3,231 (4,625)
Inventory (9,806) (12,751)
Income taxes receivable 4,149 (4,888)
Accounts payable - trade 10,106 (8,813)
Accrued contract losses (3,063) 26,674
Accrued restructuring costs (1,485) (696)
Advances on contracts (1,846) (9,286)
Changes in other current assets
and liabilities 5,726 (20,161)
- ---------------------------------------------------------------------
Cash provided by (used in)
operating activities 26,643 (11,169)
- ---------------------------------------------------------------------
Cash flows from investing activities:
Proceeds from sale of product
lines and other assets 28,339 8,034
Expenditures for property,
plant & equipment (9,069) (7,601)
Acquisition of businesses,
less cash acquired (7,748) (51,227)
Other, net (1,599) 1,854
- ---------------------------------------------------------------------
Cash provided by
(used in) investing activities 9,923 (48,940)
- ---------------------------------------------------------------------
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February 11, 2004
For the Twelve Months
Ended December 31,
- ---------------------------------------------------------------------
2003 2002
---- ----
<s> <c> <c>
Cash flows from financing activities:
Changes to notes payable $ (2,664) $ 5,985
Additions / (reductions) to
long-term debt (23,508) 36,906
Proceeds from exercise of
employee stock plans 1,287 1,485
Purchase of treasury stock (205) (412)
Dividends paid (9,917) (9,850)
Other --- 732
- ---------------------------------------------------------------------
Cash provided by (used in)
financing activities (35,007) 34,846
- ---------------------------------------------------------------------
Net increase (decrease) in cash
and cash equivalents 1,559 (25,263)
Cash and cash equivalents
at beginning of period 5,571 30,834
- ---------------------------------------------------------------------
Cash and cash equivalents at end of period $ 7,130 $ 5,571
=====================================================================
</table>
###
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