Curtiss-Wright Reports Third Quarter and Nine Months 2012 Financial Results

Curtiss-Wright Reports Third Quarter and Nine Months 2012 Financial Results

Net Sales Down 6% and Diluted EPS of $0.24 Reflecting Previously Announced
Adverse Impacts of Strike, Additional Investments in the AP1000 Program and
Lower Orders; Company Maintains Full Year 2012 Guidance

PARSIPPANY, N.J., Nov. 6, 2012 (GLOBE NEWSWIRE) -- Curtiss-Wright Corporation
(NYSE:CW) today reports financial results for the third quarter and nine
months ended September 30, 2012. All figures presented below, unless stated
otherwise, reflect results from continuing operations and exclude the impact
of the first quarter 2012 sale of the heat treating business from current and
prior year periods.

Third Quarter 2012 Operating Highlights from Continuing Operations

  *Net sales decreased 6% to $479 million from $509 million in 2011;
    
  *Operating income decreased 49% to $23 million from $46 million in 2011,
    due primarily to the combined impacts of the labor strike, AP1000
    strategic investments, order delays and additional costs in our oil and
    gas business, and a modest softening in defense orders, all of which were
    previously announced; Excluding the impact of the labor strike, AP1000
    investments and restructuring activities, operating income increased 5%;
    
  *Net earnings decreased 64% to $11 million, or $0.24 per diluted share,
    from $32 million, or $0.68 per diluted share, in 2011; and
    
  *New orders totaled $473 million, down 17% from 2011, primarily due to the
    timing of orders in our defense and power generation businesses compared
    to a strong third quarter of 2011.

Nine Months 2012 Operating Highlights from Continuing Operations

  *Net sales increased 3% to $1.51 billion from $1.47 billion in 2011;
    
  *Operating income decreased 24% to $99 million from $131 million in 2011;
    Excluding the impact of the strike, AP1000 investments and restructuring
    activities from both periods, operating income increased 6%;
    
  *Net earnings decreased 34% to $54 million, or $1.14 per diluted share,
    from $82 million, or $1.75 per diluted share, in 2011; and
    
  *New orders totaled $1.47 billion, down 4% from 2011. At September 30,
    2012, backlog was $1.67 billion, down slightly from December 31, 2011.

"Overall, our third quarter 2012 results met the high end of our revised
guidance, as we generated diluted earnings per share of $0.24," said Martin R.
Benante, Chairman and CEO of Curtiss-Wright Corporation.

"We previously announced that our third quarter results would be adversely
impacted by numerous issues, including the labor strike, additional
investments in the AP1000 program, the slowdown in our international large
capital projects business in our oil and gas market and lower orders in
defense. In response to these changing market conditions, we continue to take
the necessary steps to reposition Curtiss-Wright for improved long-term
profitability."

Third Quarter 2012 Operating Results

Sales

Sales of $479 million in the third quarter of 2012 decreased $30 million, or
6%, compared to the prior year period. Acquisitions contributed $11 million in
sales in the current quarter, while foreign currency translation had a minimal
impact. Across our segments, sales in Metal Treatment grew a solid 5%, while
Motion Control declined 3%, despite strong double-digit growth in Commercial
Aerospace. Flow Control declined 11%, largely due to the strike which resulted
in approximately $18 million of revenues being shifted from 2012 to 2013.

From a market perspective, sales to our defense markets declined 8% overall,
primarily driven by a 13% decline in naval defense, as the impact from the
strike delayed the achievement of milestones on certain naval defense programs
into 2013. Excluding the strike impact and revenues that shifted to 2013, our
naval defense sales would have been flat for the quarter. In addition, we
experienced a decline of 5% in aerospace defense while ground defense was
flat. Sales to our commercial markets decreased 4% overall, driven by a
decrease in power generation mostly due to the strike, and an 8% decline in
the general industrial market. The commercial aerospace market gained 5%
overall, with sales to commercial OEM customers up 12%, while the oil and gas
market overcame weakness in the large capital projects business with strong
Maintenance, Repair and Overhaul (MRO) sales resulting in a 1% increase in the
third quarter.

Operating Income

Operating income decreased 49% to $23 million in the third quarter of 2012,
down approximately $23 million compared to the prior year period. As
previously disclosed, current quarter operating income was adversely impacted
by numerous items, including approximately $11 million as a result of the
labor strike, $12 million of AP1000 strategic investments, $12 million in
order delays and additional costs in our oil and gas market, and lower orders
in our defense markets.

The majority of these previously announced items impacted our Flow Control
segment, leading to a sharp decline in operating income in the third quarter.
Our Motion Control segment had a solid 19% increase driven by higher sales to
the commercial aerospace market that more than offset slower defense activity,
higher profitability from our ACRA Controls acquisition due to significant
operational improvements implemented, and the benefits from our previously
announced restructuring initiatives. In Metal Treatment, operating income was
primarily driven by solid demand for shot peening services in our commercial
aerospace market, offset by the impact of previously announced restructuring
charges. Acquisitions and foreign currency translation had a minimal impact on
current quarter results.

Overall operating margin in the quarter was 4.9%, a decrease of 420 basis
points from the prior year period, primarily due to the above mentioned
impacts to operating income, and includes margin dilution of 30 basis points
from our recently completed acquisitions. Reported segment operating margin in
the third quarter was 6.7%, a decrease of 350 basis points over the prior year
quarter, despite strong margin expansion of 250 basis points in our Motion
Control segment.

Adjusted operating income, excluding the impact of the strike, the AP1000
strategic investments and our company-wide restructuring initiatives,
increased 5%, while adjusted operating margin was 9.8%, up 70 basis points
from the prior year period. In addition, adjusted segment operating margin,
which excludes corporate expenses, was 11.5%, an increase of 130 basis points
primarily due to solid margin expansion in the Motion Control segment.

Non-segment operating costs increased nearly $3 million in the third quarter
of 2012 as compared with the prior year period, mainly due to higher pension
expense.

Net Earnings

Third quarter net earnings decreased 64% from the comparable prior year
period, due to lower operating income, higher interest expense, and a higher
effective tax rate. The higher interest expense is a result of our December
2011 private placement debt offering which led to higher average debt levels
and borrowing rates compared to the prior year period. Our effective tax rate
for the current quarter was 31.1%, an increase from 22.3% in the prior year
period, mainly due to a $4 million tax benefit recognized in the prior year
quarter that did not recur in the current period.

Free Cash Flow

Free cash flow was $20 million for the third quarter of 2012, compared to $15
million in the prior year period, primarily due to lower capital expenditures.
Net cash from operating activities decreased by approximately $3 million from
the prior year period. Capital expenditures during the third quarter of 2012
were $15 million, a decrease of $8 million as compared to the prior year
period, primarily due to the prior year facility expansions within our oil and
gas and commercial aerospace businesses. These decreases were slightly offset
by the additional capital investments being made in our Metal Treatment
segment.

Segment Performance

Flow Control – Sales for the third quarter of 2012 were $237 million, a
decrease of $29 million, or 11%, over the comparable prior year period. As a
result of the aforementioned strike related impacts, segment sales in our
power generation market decreased 11% due to reduced production on the China
AP1000 program. Meanwhile, despite increased production of pumps and valves on
the CVN-79 Ford class aircraft carrier program, we experienced a reduction in
the naval defense market, specifically on the Virginia class submarine
program, based on timing on long-term contracts and shifting of milestones to
2013 due to the strike. Excluding the strike impact, naval defense sales would
have been in line with the prior year period. Within the oil and gas market,
sales were slightly higher overall, as strong, global demand for our MRO
products was mostly offset by lower demand in our international large projects
business. In addition, general industrial sales were 15% lower in the quarter,
primarily due to slower orders for our control systems for our HVAC customers
due to general economic weakness. Additionally, our 2011 acquisitions of
Anatec and LMT contributed approximately $6 million in sales in the current
quarter, while unfavorable foreign currency translation reduced sales by
nearly $1 million.

Operating income in the third quarter of 2012 was $1.2 million, a decrease of
$24 million, from the comparable prior year period. The current quarter
results were impacted by the adverse impacts noted above. Excluding the
unplanned impacts of the labor strike and AP1000 strategic investments in the
current period and restructuring activities in both periods, operating income
in this segment increased 2% or 50 basis points to 9.9%. Acquisitions and
foreign currency translation had a minimal impact on operating income in the
current year quarter.

Motion Control – Sales for the third quarter of 2012 were $175 million, a
decrease of $5 million, or 3%, over the comparable prior year period. Solid
sales growth of 6% in our commercial markets was more than offset by a 6%
reduction in sales to our larger defense markets. Growth in our commercial
markets was largely driven by a solid 13% increase in sales in the commercial
aerospace market due to increases on all major Boeing aircraft, including
solid growth on the Boeing 737 program, and new sales being generated by our
emergent operations facility in support of the Boeing 787 program. In
addition, we had improved demand for sensor and control products serving the
regional jet and commercial helicopter markets. Meanwhile, the decline in our
defense markets, mainly aerospace defense, was driven by lower sales for
various helicopter programs, primarily on the Blackhawk helicopter, and also
for the BAMS program as we transition from the development phase to the
production phase. Ground defense sales were essentially flat versus the prior
year period. Additionally, our 2011 acquisitions of ACRA Control Limited and
South Bend Controls contributed incremental sales of approximately $4 million
in the current quarter, while unfavorable foreign currency translation reduced
sales by nearly $2 million.

Operating income for the third quarter of 2012 grew 19% over the prior year
period, resulting in operating margin expansion of 250 basis points to 13.1%.
The solid increases in operating income and operating margin were achieved
despite the lower sales, due to operational improvements and the benefits from
our previously announced restructuring initiatives. Also contributing to the
favorable operating income performance is the 2011 acquisition of ACRA, which
had an operating loss in the prior year due to purchase accounting
charges.Foreign currency translation had a minimal impact on operating income
in the current year quarter.

Metal Treatment – Sales for the third quarter of 2012 were approximately $68
million, an increase of $3 million, or 5%, compared to the prior year period.
The improvement was driven by higher demand for our highly engineered services
broadly across commercial markets, as well as solid sales of thermal spray
coatings to the aerospace defense market. Sales also benefitted from our
recent entry into the highly technical analytical services market, as testing
of medical devices contributed to our general industrial market sales.
Elsewhere, we experienced strong 10% growth in the commercial aerospace market
led by increases in services for Airbus aircraft and contributions from two
new "shop-in-shop" facilities providing direct support for Rolls-Royce
aerospace manufacturing facilities, including a state-of-the-art robotic shot
peening facility located at their aerospace manufacturing complex in
Crosspointe, VA and a recently opened laser peening facility located onsite at
their advanced fan blade manufacturing facility in Singapore.

Sales from Asian based facilities increased 44% over the prior year's quarter,
reflecting the opening of three new facilities within the past year consistent
with our strategic growth initiatives for the region. Acquisitions and foreign
currency translation had a minimal impact on sales in the quarter.

Operating income in the third quarter of 2012 was approximately $8 million,
essentially flat compared to the prior year period, while operating margin was
12.1%, down 50 basis points.Excluding the impact of nearly $1 million of
previously announced restructuring charges, operating income increased 10%
while operating margin was 13.3%, up 70 basis points compared to the prior
year period. These solid improvements in operating income and margin were
primarily driven by increased use of automated robotic equipment and improved
operating efficiencies across our global peening operations, as well as
improvements in capacity utilization enabled by recent facility
rationalization activities. Foreign currency translation had a minimal impact
on operating income in the current year quarter.

Full Year 2012 Guidance

Pursuant to the October 5, 2012 press release, the Company is maintaining its
full year 2012 guidance from continuing operations. A more detailed breakdown
of our 2012 guidance by segment and by market can be found on the attached
accompanying schedules.

Mr. Benante concluded, "Based on the restructuring actions implemented in the
first half of 2012, certain of our operations started to experience a benefit
to their profitability in the third quarter, particularly in our Motion
Control segment, and we continue to anticipate that the combined restructuring
initiatives implemented thus far in 2012 will result in improved operating
margins in the fourth quarter of this year and in 2013.

"In addition, as you have seen with our recent acquisitions of PG Drives and
AP Services as well as the pending acquisition of Williams Controls, we
continue to look for niche, bolt-on technologies that will complement our
existing product portfolio, as well as new technologies to help expand the
breadth and depth of our current product offerings and end markets. In
addition, we have significant experience integrating our acquisitions and
improving their profitability, as part of our constant focus on cost reduction
and business restructuring. As you are aware, Curtiss-Wright's growth strategy
is built on a combination of solid organic growth supplemented by strategic
acquisitions, and we believe that this strategy positions us well for future
opportunities for continued sales and profitability growth.

"Overall, I remain optimistic that Curtiss-Wright will conclude the year with
a strong fourth quarter and effectively position the Company for solid growth
in sales and profitability in 2013 and beyond."

Additional Information

The Company recently identified that a division within our Motion Control
segment had improperly accounted for certain costs in its
percentage-of-completion estimates for long-term contracts affecting periods
prior to and including 2007 through 2011. Additionally, certain other errors
were identified which have also been corrected.The adjustments to correct
the cumulative effect of these errors would be material if recorded in the
three and nine months ended September 30, 2012, however, the effect of
correcting the error to any previously reported year is immaterial.The
combined errors resulted in a cumulative adjustment to retained earnings at
December 31, 2011. The adjustments identified increased net earnings for the
three months ended September 30, 2011 by $0.1 million and decreased net
earnings for the nine months ended September 30, 2011 by $2.4 million and have
been reflected in this press release.Amounts related to periods prior to 2012
will be corrected in the Company's financial statements included in its Form
10-Q for the third quarter of 2012 (the "Form 10-Q") that the Company will
file with the SEC. Previously filed financial statements will be restated in
future filings for the correction of these errors.

Conference Call Information

The Company will host a conference call to discuss the third quarter 2012
results and guidance at 10:00 a.m. EST on Wednesday, November 7, 2012. A live
webcast of the call and the accompanying financial presentation will be made
available on the internet by visiting the Investor Relations section of the
Company's website at www.curtisswright.com.



CURTISS-WRIGHT CORPORATION and SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS (UNAUDITED)
(In thousands, except per share data)
                                                                                     
                                                                                     
              Three Months Ended                     Nine Months Ended         
              September 30,         Change            September 30,             Change
              2012       2011       $           %     2012         2011         $           %
                                                                                     
Net sales      $479,222 $509,120 ($29,898)   (6%)  $1,507,269 $1,466,267 $ 41,002    3%
Cost of sales  337,806   341,788   (3,982)    (1%)  1,042,572   990,992     51,580     5%
Gross profit   141,416   167,332   (25,916)   (15%) 464,697     475,275     (10,578)   (2%)
                                                                                     
Research and
development    13,267    17,705    (4,438)    (25%) 43,965      46,431      (2,466)    (5%)
expenses
Selling        28,009    30,918    (2,909)    (9%)  93,378      90,077      3,301      4%
expenses
General and
administrative 76,774    72,602    4,172      6%    227,889     208,084     19,805     10%
expenses
                                                                                     
Operating      23,366    46,107    (22,741)   (49%) 99,465      130,683     (31,218)   (24%)
income
                                                                                     
Interest       (6,648)   (5,033)   (1,615)    (32%) (19,656)    (15,121)    (4,535)    (30%)
expense
Other income,  (119)     (35)      (84)       NM    113         42          71         NM
net
                                                                                     
Earnings from
continuing
operations     16,599    41,039    (24,440)   (60%) 79,922      115,604     (35,682)   (31%)
before income
taxes
Provision for  5,156     9,165     (4,009)    (44%) 25,802      33,264      (7,462)    (22%)
income taxes
Earnings from
continuing     11,443    31,874    (20,431)   (64%) 54,120      82,340      (28,220)   (34%)
operations
                                                                                     
Discontinued
operations,                                                                           
net of taxes
Earnings from
discontinued   --        2,619     (2,619)    NM    3,059       5,885       (2,826)    NM
operations
Gain (loss) on (144)     --        (144)      NM    18,172      --          18,172     NM
divestiture
Earnings
(loss) from    (144)     2,619     (2,763)    NM    21,231      5,885       15,346     NM
discontinued
operations
                                                                                     
Net earnings   $11,299  $34,493  $(23,194) (67%) $75,351    $88,225    $(12,874) (15%)
                                                                                     
Basic earnings                                                                        
per share
Earnings from
continuing     $0.24    $0.69                    $1.17      $1.78                 
operations
Earnings from
discontinued   --       0.05                      0.45        0.13                   
operations
Total          $0.24    $0.74                    $1.62      $1.91                 
                                                                                     
Diluted
earnings per                                                                          
share
Earnings from
continuing     $0.24    $0.68                    $1.14      $1.75                 
operations
Earnings from
discontinued   --       0.05                      0.45        0.13                   
operations
Total          $0.24    $0.73                    $1.59      $1.88                 
                                                                                     
Dividends per  $0.09    $0.08                    $0.26      $0.24                 
share
                                                                                     
Weighted
average shares                                                                        
outstanding:
Basic          46,884     46,466                     46,795       46,328                  
Diluted        47,415     46,936                     47,493       46,978                  
                                                                                     
NM- not                                                                               
meaningful



CURTISS-WRIGHT CORPORATION and SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED)
(In thousands, except par value)
                                                                     
                                                                     
                                  September 30, December 31, Change
                                  2012          2011         $          %
Assets                                                                
Current assets:                                                      
Cash and cash equivalents          $239,546    $194,387   $45,159  23%
Receivables, net                   531,541      543,009     (11,468)   (2%)
Inventories, net                   355,383      313,045     42,338     14%
Deferred tax assets, net           49,967       54,275      (4,308)    (8%)
Other current assets               49,660       45,955      3,705      8%
Total current assets              1,226,097     1,150,671    75,426     7%
Property, plant, and equipment,   438,597      442,728     (4,131)    (1%)
net
Goodwill                          767,825      759,442     8,383      1%
Other intangible assets, net      247,614      261,448     (13,834)   (5%)
Deferred tax assets, net          12,796       12,137      659        5%
Other assets                      12,776       9,121       3,655      40%
Total assets                      $2,705,705  $2,635,547 $70,158  3%
                                                                     
Liabilities                                                           
Current liabilities:                                                 
Current portion of long-term and   $127,501    $2,502     $124,999 4996%
short-term debt
Accounts payable                   120,203      150,281     (30,078)   (20%)
Dividends payable                  4,234        --         4,234      100%
Accrued expenses                   117,523      105,196     12,327     12%
Income taxes payable               10,317       4,161       6,156      148%
Deferred revenue                   199,254      206,061     (6,807)    (3%)
Other current liabilities          36,066       43,841      (7,775)    (18%)
Total current liabilities         615,098       512,042      103,056    20%
Long-term debt                    460,612      583,928     (123,316)  (21%)
Deferred tax liabilities, net     25,514       24,980      534        2%
Accrued pension and other         214,855      232,794     (17,939)   (8%)
postretirement benefit costs
Long-term portion of              19,989       19,067      922        5%
environmental reserves
Other liabilities                 54,867       57,645      (2,778)    (5%)
Total liabilities                 1,390,935     1,430,456    (39,521)   (3%)
                                                                     
Stockholders' equity                                                  
Common stock, $1 par value        49,190       48,879      311        1%
Additional paid in capital        153,472      143,192     10,280     7%
Retained earnings                 1,227,191    1,164,041   63,150     5%
Accumulated other comprehensive   (36,274)     (65,131)    28,857     44%
loss
                                  1,393,579     1,290,981    102,598    8%
Less:cost of treasury stock      (78,809)     (85,890)    7,081      (8%)
Total stockholders' equity        1,314,770     1,205,091    109,679    9%
                                                                     
Total liabilities and             $2,705,705  $2,635,547 $70,158  3%
stockholders' equity



CURTISS-WRIGHT CORPORATION and SUBSIDIARIES
SEGMENT INFORMATION (UNAUDITED)
(In thousands)
                                                                  
                                                                    
                Three Months Ended           Nine Months Ended
                September 30,                September 30,
                                    Change                         Change
                2012       2011       %      2012         2011         %
Sales:                                                             
Flow Control     $236,733 $265,248 (11%)  $778,177   $770,996   1%
Motion Control   174,616   179,204   (3%)   520,792     514,040     1%
Metal Treatment  67,873    64,668    5%     208,300     181,231     15%
                                                                  
Total sales      $479,222 $509,120 (6%)   $1,507,269 $1,466,267 3%
                                                                  
Operating                                                          
income:
Flow Control     $1,194   $24,836  (95%)  $38,335    $70,000    (45%)
Motion Control   22,790    19,078    19%    59,246      50,627      17%
Metal Treatment  8,200     8,177     0%     23,993      23,386      3%
                                                                  
Total segments   32,184    52,091     (38%)  $121,574   $144,013   (16%)
Corporate and    (8,818)   (5,984)    (47%)  (22,109)    (13,330)    (66%)
other
                                                                  
Total operating  $23,366  $46,107  (49%)  $99,465    $130,683   (24%)
income
                                                                  
                                                                  
Operating                                                          
margins:
Flow Control     0.5%       9.4%             4.9%         9.1%         
Motion Control   13.1%      10.6%            11.4%        9.8%         
Metal Treatment  12.1%      12.6%            11.5%        12.9%        
Total            4.9%       9.1%             6.6%         8.9%         
Curtiss-Wright
                                                                  
Segment margins  6.7%       10.2%            8.1%         9.8%         



CURTISS-WRIGHT CORPORATION and SUBSIDIARIES
SEGMENT NON-GAAP FINANCIAL INFORMATION (UNAUDITED)
(In thousands)
                                                                  
                                                                    
                 Three Months Ended            Nine Months Ended
                 September 30,                 September 30,
                                     Change                        Change
                 2012       2011       %       2012        2011        %
                                                                  
Reported                                                           
operating income:
Flow Control      $1,194   $24,836  (95%)   $38,335   $70,000   (45%)
Motion Control    22,790    19,078    19%     59,246     50,627     17%
Metal Treatment   8,200     8,177     0%      23,993     23,386     3%
                                                                  
Total segments    32,184    52,091     (38%)   $121,574  $144,013  (16%)
Corporate and     (8,818)   (5,984)    (47%)   (22,109)   (13,330)   (66%)
other
                                                                  
Total reported    $23,366  $46,107  (49%)   $99,465   $130,683  (24%)
operating income
                                                                  
                                                                  
Reported
operating                                                          
margins:
Flow Control      0.5%       9.4%              4.9%        9.1%        
Motion Control    13.1%      10.6%             11.4%       9.8%        
Metal Treatment   12.1%      12.6%             11.5%       12.9%       
Total             4.9%       9.1%              6.6%        8.9%        
Curtiss-Wright
                                                                  
Segment margins   6.7%       10.2%             8.1%        9.8%        
                                                                  
Adjustments:                                                       
Flow Control *    $24,044  $--            $34,945   $4,940    
Motion Control    368       --              3,426      --        
Metal Treatment   801       --              6,042      --        
Total             $25,213  $--            $44,413   $4,940    
Curtiss-Wright
                                                                  
Adjusted                                                           
operating income:
Flow Control *    $25,238  $24,836  2%      $73,280   $74,940   (2%)
Motion Control    23,158    19,078    21%     62,672     50,627     24%
Metal Treatment   9,001     8,177     10%     30,035     23,386     28%
Total segments    $57,397  $52,091  10%     $165,987  $148,953  11%
Corporate and     (8,818)   (5,984)   (47%)   (22,109)   (13,330)   (66%)
other
Total             $48,579  $46,107  5%      $143,878  $135,623  6%
Curtiss-Wright
                                                                  
Adjusted
operating                                                          
margins:
Flow Control *    9.9%       9.4%              9.2%        9.7%        
Motion Control    13.3%      10.6%             12.0%       9.8%        
Metal Treatment   13.3%      12.6%             14.4%       12.9%       
Total             9.8%       9.1%              9.4%        9.2%        
Curtiss-Wright
                                                                  
Segment margins   11.5%      10.2%             10.9%       10.2%       
                                                                  
* Includes the impact of the additional investments on the AP1000 program, the
strike, and restructuring charges.



CURTISS-WRIGHT CORPORATION and SUBSIDIARIES
NON-GAAP FINANCIAL DATA (UNAUDITED)
(In thousands)
                                                             
                                                             
                     Three Months Ended          Nine Months Ended
                     September 30,               September 30,
                     2012          2011          2012           2011
                                                             
Net cash provided by  $35,698     $38,389     $53,938      $52,822
operating activities
Capital expenditures  (15,327)     (23,377)     (56,043)      (60,296)
Free cash flow ^(1)   $20,371     $15,012     $(2,105)     $(7,474)
                                                             
Cash conversion ^(1)  180%          44%           (3%)           (8%)
                                                             
(1) The Corporation discloses free cash flow and cash conversion because the
Corporation believes they are measurements of cash flow available for
investing and financing activities. Free cash flow is defined as net cash flow
provided by operating activities less capital expenditures. Free cash flow
represents cash generated after paying for interest on borrowings, income
taxes, capital expenditures, and working capital requirements, but before
repaying outstanding debt and investing cash or utilizing debt credit lines to
acquire businesses and make other strategic investments. Cash conversion is
defined as free cash flow divided by net earnings. Free cash flow, as we
define it, may differ from similarly named measures used by other entities
and, consequently, could be misleading unless all entities calculate and
define free cash flow in the same manner.



CURTISS-WRIGHT CORPORATION
2012 Earnings Guidance from Continuing Operations - As of November 6,
2012^(1)
(In millions, except per share data)
                                                          
                                                          
                                         2012 Guidance
                                         Low               High
Sales:                                                     
Flow Control                             $1,100          $1,110
Motion Control                           710              730
Metal Treatment                          270              280
Total sales                               $2,080          $2,120
                                                          
Operating income:                                          
Flow Control                              $73             $76
Motion Control                            97               100
Metal Treatment                           29               31
Total segments                            $199            $207
Corporate and other                       (29)             (29)
Total operating income                    $170            $178
                                                          
Operating margins:                                         
Flow Control                              6.6%              6.8%
Motion Control                            13.7%             13.8%
Metal Treatment                           10.9%             11.1%
Total operating margin                    8.2%              8.4%
                                                          
Interest expense                          $(27)           $(28)
Earnings before income taxes              144              151
Provision for income taxes                (46)             (48)
Net earnings                              $98             $103
                                                          
Reported diluted earnings per share from  $2.05           $2.15
Continuing Operations
Diluted shares outstanding                47.8              47.8
                                                          
Effective tax rate                        32.0%             32.0%

^(1) On March 30, 2012, Curtiss-Wright completed the sale of its heat
treating business. These operations, which previously had been reported
under the Company's Metal Treatment segment, will be reflected as
discontinued operations and have been removed from our 2011 actual results
and 2012 financial guidance.
                                                                            
Note: Full year amounts may not add due to rounding                          



CURTISS-WRIGHT CORPORATION
2012 Earnings Guidance from Continuing Operations - As of November 6,
2012^(1)
(In millions)
                                                       
                                  2012 Guidance % Change
                                  Low                   High
                                                       
Defense Markets                                         
Aerospace                          2%                    4%
Ground                             (21%)                 (23%)
Navy                               2%                    4%
Other Defense                      4%                    6%
Total Defense                      0%                    0%
                                                       
Commercial Markets                                      
Commercial Aerospace               18%                   20%
Oil and Gas                        (3%)                  (5%)
Power Generation                   10%                   12%
General Industrial/Auto            0%                    0%
Total Commercial                   6%                    8%
                                                       
Total Curtiss-Wright               3%                    5%
                                                       
^(1) On March 30, 2012, Curtiss-Wright completed the sale of its heat
treating business. These operations, which previously had been reported
under the Company's Metal Treatment segment, will be reflected as
discontinued operations and have been removed from our 2011 actual results
and 2012 financial guidance.
                                                                            
Note: Full year amounts may not add due to rounding                          



CURTISS-WRIGHT CORPORATION and SUBSIDIARIES
NON-GAAP FINANCIAL DATA (UNAUDITED)
($ in millions)
Three Months Ended September 30,
                                                                                                                                
           Flow Control                   Motion Control             Metal Treatment            Corporate & Other       Total Curtiss - Wright
           2012       2011       Chg     2012       2011     Chg    2012       2011    Chg    2012     2011     Chg   2012       2011       Chg
Sales                                                                                                                            
Organic     $231.7   $263.0   (12%)    $172.8   $179.2 (4%)   $67.8    $64.7 5%      $--   $--        $472.3   $506.9   (7%)
Incremental 5.7^(2)   2.2^(3)           4.0^(2)   --           1.3^(2)   --           --     --          11.0^(2)  2.2^(3)   
^(1)
Foreign
Currency    (0.7)     --               (2.2)     --           (1.2)     --           --     --          (4.1)     --       
Fav (Unfav)
^(4)
Total      $236.7   $265.2   (11%)    $174.6   $179.2 (3%)   $67.9    $64.7 5%      $--   $--        $479.2   $509.1   (6%)
                                                                                                                                
Operating                                                                                                                        
Income
Organic     $1.9     $25.2    (93%)    $23.2    $19.1  22%    $8.5     $8.2  3%      $(8.9) $(6.0) (49%) $24.6    $46.5    (47%)
OI Margin % 0.8%       9.6%       (880)bps 13.4%      10.6%    280bps 12.5%      12.6%   (10)bps                      5.2%       9.2%       (400)bps
Incremental (0.6)^(2) (0.4)^(3)         (0.3)^(2) --           (0.0)^(2) --           --     --          (0.9)^(2) (0.4)^(3) 
^(1)
Foreign
Currency    (0.1)     --               (0.2)     --           (0.2)     --           0.1     --          (0.3)     --       
Fav (Unfav)
^(4)
Total       $1.2     $24.8    (95%)    $22.8    $19.1  19%    $8.2     $8.2  0%      $(8.8) $(6.0) (47%) $23.4    $46.1    (49%)
OI Margin % 0.5%       9.4%       (890)bps 13.1%      10.6%    250bps 12.1%      12.6%   (50)bps                      4.9%       9.1%       (420)bps
                                                                                                                                
(1) The term incremental is used to highlight the impact acquisitions had on the current year results, for which there was no comparable prior year
data. Therefore, the results of operations for acquisitions are incremental for the first twelve monthsfrom the date of acquisition and are removed
from our organic results.Additionally, the results of operations for divestedbusinesses are removed from the comparable prior year period for
purposes of calculating organic results.The remaining businesses are referred to as organic.
(2) Our organic growth calculations do not include the operating results for our December 2, 2011 acquisition of Anatec International, Inc. and
Lambert, MacGill, Thomas, Inc. (LMT), October 11, 2011 acquisition of South Bend Controls, and one month of operating results for our July 28, 2011
acquisition of ACRA Control, Limited (ACRA) and July 22, 2011 acquisition of IMR Test Labs.
(3) We sold our Legacy business on July 22, 2011. The three months and six months ended June 30, 2011 results of operations for this business have been
removed from the comparable prior year period for purposes of calculating organic results.
(4) Organic results exclude the effects of current period foreign currency translation.
Note: Amounts may not add due to rounding

About Curtiss-Wright Corporation

Curtiss-Wright Corporation is an innovative engineering company that provides
highly engineered, critical function products, systems and services in the
areas of flow control, motion control and metal treatment to the defense,
energy and commercial/industrial markets. The legacy company of Glenn Curtiss
and the Wright brothers, Curtiss-Wright has a long tradition of design and
manufacturing innovation along with long-standing customer relationships.The
company employs approximately 8,300 people worldwide. For more information,
visit www.curtisswright.com.

The Curtiss-Wright Corporation logo is available at
http://www.globenewswire.com/newsroom/prs/?pkgid=7709

Certain statements made in this release, including statements about future
revenue, financial performance guidance, quarterly and annual revenue, net
income, operating income growth, future business opportunities, cost saving
initiatives, and future cash flow from operations, are forward-looking
statements within the meaning of the Private Securities Litigation Reform Act
of 1995. These statements present management's expectations, beliefs, plans
and objectives regarding future financial performance, and assumptions or
judgments concerning such performance. Any discussions contained in this press
release, except to the extent that they contain historical facts, are
forward-looking and accordingly involve estimates, assumptions, judgments and
uncertainties. Such forward-looking statements are subject to certain risks
and uncertainties that could cause actual results to differ materially from
those expressed or implied. Readers are cautioned not to place undue reliance
on these forward-looking statements, which speak only as of the date hereof.
Such risks and uncertainties include, but are not limited to: a reduction in
anticipated orders; an economic downturn; changes in competitive marketplace
and/or customer requirements; a change in government spending; an inability to
perform customer contracts at anticipated cost levels; and other factors that
generally affect the business of aerospace, defense contracting, electronics,
marine, and industrial companies. Such factors are detailed in the Company's
Annual Report on Form 10-K for the fiscal year ended December 31, 2011, and
subsequent reports filed with the Securities and Exchange Commission.

This press release and additional information are available at
www.curtisswright.com.

CONTACT: Jim Ryan
         (973) 541-3766
         Jim.Ryan@curtisswright.com

Curtiss-Wright Corporation Logo
 
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