Actuant Reports Second Quarter Results

  Actuant Reports Second Quarter Results

Business Wire

MILWAUKEE -- March 20, 2013

Actuant Corporation (NYSE: ATU) today announced results for its second quarter
ended February 28, 2013.

Highlights

  *Delivered second quarter sales and earnings at the high end of the
    guidance ranges.
  *Total sales were $370 million, down 2% year-over-year with acquisitions
    contributing 4% and core sales declining 6%.
  *Diluted earnings per share (“EPS”) of $0.38, 12% lower than the comparable
    prior year period.
  *Operating profit margins were 11.3%, a 180 basis point reduction from the
    prior year due primarily to the impact of lower sales and production
    levels.
  *Revised full year sales and EPS guidance to $1.575-1.600 billion and
    $2.15-2.25, respectively.

Robert C. Arzbaecher, Chairman and CEO of Actuant commented, “We delivered
results for the second quarter at the high end of our sales and EPS guidance.
During the normally seasonally weak quarter, we experienced generally subdued
activity in the global industrial markets reflecting both cautious spending
and continued destocking initiatives by OEM customers. While economic
conditions remain weak in most end markets and regions, we have kept our
organization agile and are anticipating both seasonal and core growth in the
second half of the fiscal year. I want to thank our global team for their
solid execution in the quarter.”

Consolidated Results

Consolidated sales for the second quarter were $370 million, 2% lower than the
comparable prior year quarter. Core sales declined 6% with acquisitions
contributing 4% and the consolidated impact of foreign exchange negligible.
Fiscal 2013 second quarter net earnings were $28.4 million compared to $32.2
million in the comparable prior year quarter. EPS of $0.38 in the second
quarter of fiscal 2013 was 12% lower than the $0.43 in the comparable prior
year quarter.

Sales for the six months ended February 28, 2013 were $748 million, 3% below
the $771 million in the comparable prior year period. Excluding the 4% impact
of acquisitions, year-to-date core sales declined 7%. Earnings and EPS for the
six months ended February 28, 2013 were $64.8 million, or $0.87 per diluted
share, compared to $69.3 million, or $0.94 per diluted share for the
comparable prior year period.

Segment Results

Industrial Segment
(US $ in millions)

                    Three Months Ended           Six Months Ended
                     February 28,  February 29,   February 28,  February 29,
                     2013           2012           2013           2012
Sales                $99.0          $98.3          $200.1         $198.6
Operating Profit     $26.4          $26.7          $53.4          $54.6
Operating Profit %   26.6%          27.1%          26.7%          27.5%
                                                                  

Second quarter fiscal 2013 Industrial segment sales were $99 million, 1%
higher than the prior year. Despite the difficult prior year comparison, core
sales increased 1% driven by higher global Integrated Solutions activity.
North America and the AsiaPac region saw the strongest growth, with
year-over-year core sales declines in Europe and China. Second quarter
operating profit margin of 26.6% was in line with expectations and modestly
lower than the prior year due to unfavorable mix.

Energy Segment
(US $ in millions)

                    Three Months Ended           Six Months Ended
                     February 28,  February 29,   February 28,  February 29,
                     2013           2012           2013           2012
Sales                $80.8          $78.9          $171.6         $159.4
Operating Profit     $9.7           $11.6          $25.1          $24.8
Operating Profit %   12.0%          14.7%          14.6%          15.6%
                                                                  

Fiscal 2013 second quarter year-over-year Energy segment sales increased 2% to
$81 million. Excluding the 3% impact from acquisitions, core sales declined 1%
from the prior year’s robust levels. Hydratight’s core sales increased during
the quarter reflecting solid MRO spending in oil & gas, partially offset by
difficult comparisons to last year’s strong North American nuclear maintenance
activity. Cortland had a core sales decline which was primarily due to lower
activity in non-energy markets such as defense, as well as modest push-outs of
energy related business. Second quarter operating profit declined despite the
modest growth in revenue due to an approximate $2.5 million earn-out reserve
reduction in the prior year.

Electrical Segment
(US $ in millions)

                    Three Months Ended           Six Months Ended
                     February 28,  February 29,   February 28,  February 29,
                     2013           2012           2013           2012
Sales                $69.9          $77.1          $139.3         $159.9
Operating Profit     $5.1           $5.8           $12.9          $10.8
Operating Profit %   7.3%           7.5%           9.3%           6.7%
                                                                  

Electrical segment fiscal 2013 second quarter sales were $70 million, 9% lower
than the comparable prior year quarter. Similar to the first quarter, the core
sales decline was primarily attributable to lower solar inverter shipments and
industrial transformer demand. The marine and internet markets generated
modest core sales increases in the quarter. Second quarter operating profit
margin was essentially unchanged from the prior year despite the impact of
lower volumes, due to favorable mix and the net benefit of restructuring
actions.

Engineered Solutions Segment
(US $ in millions)

                    Three Months Ended           Six Months Ended
                     February 28,  February 29,   February 28,  February 29,
                     2013           2012           2013           2012
Sales                $120.7         $123.6         $236.6         $252.9
Operating Profit     $8.3           $13.3          $15.9          $32.3
Operating Profit %   6.9%           10.7%          6.7%           12.8%
                                                                  

Second quarter fiscal 2013 Engineered Solutions segment sales decreased 2%
from the prior year to $121 million. Excluding the 10% benefit from
acquisitions, year-over-year core sales declined 12%, a sequential improvement
from the 17% decline last quarter. Second quarter sales continued to be
impacted by OEM destocking in the heavy-duty truck, off-highway equipment and
auto markets. Demand in the global agriculture market was flat with the prior
year. Second quarter operating profit margin declined year-over-year, but was
up sequentially. The impact of lower volumes was partially offset by the
benefit of cost reduction actions taken in the segment.

Corporate and Income Taxes

Corporate expenses for the second quarter of fiscal 2013 were $7.4 million,
$0.5 million below the comparable prior year period due primarily to lower
incentive compensation provisions. The effective income tax rate for the
quarter was lower than the prior year, but up sequentially, reflecting the
extension of the US R&D tax credit, the impact of a reduced statutory tax rate
on a deferred tax liability balance, as well as tax planning benefits.

Financial Position

Net debt at February 28, 2013 was $304 million (total debt of $395 million
less $91 million of cash); approximately $24 million below the prior quarter
end and the lowest level in the past five years. Essentially all of Actuant’s
second quarter cash flow was used to reduce net debt. Common stock repurchases
during the quarter amounted to fewer than 0.1 million shares, or approximately
$2 million. At February 28, 2013, the Company had a net debt to EBITDA
leverage ratio of 1.1, and its entire $600 million revolver available.

Outlook

Commenting on Actuant’s outlook, Arzbaecher stated, “When we initially
provided our fiscal 2013 guidance, we expected that our first half results
would be lower than the prior year, with growth resuming in the back half. Now
at the mid-point of the year, we believe we are at this inflection point with
the most difficult comparisons behind us. We are seeing indications that
market conditions have bottomed and are firming up in some areas, yet
inconsistency and uncertainty also persist. As a result, we expect the demand
improvement curve to be less steep and modestly pushed out further in calendar
2013 compared to our original expectations.

Given the current economic environment, our first half performance, and the
divestiture of an approximate $7 million product line last week, we have
modestly adjusted our full year sales and EPS guidance to $1.575-1.600 billion
and $2.15- 2.25, respectively. We now expect full year core sales to decline 3
to 5% from the previous negative 1 to 3%. We also expect headwind from the
weaker British Pound. Despite modestly weaker than anticipated core sales
growth, we expect to continue to be able to manage costs effectively and
deliver EPS growth in line with expectations. We are still targeting full year
free cash flow of approximately $200 million, but recognize it will be more of
a challenge than previously anticipated.

We expect third quarter sales to be in the $410-420 million range. EPS is
expected to be in the $0.63-0.68 range compared to $0.60 in the prior year,
with continued cost reduction actions and a lower than full year average
income tax rate incorporated into the guidance.

Consistent with past practice, all guidance excludes the impact of potential
future acquisitions and share repurchases.”

Arzbaecher concluded, “We remain focused on investing for long-term growth
through Growth + Innovation and acquisitions, while managing costs to drive
full year earnings improvement. Actuant is committed to maximizing results and
maintaining a strong balance sheet to deliver increased shareholder value.”

Conference Call Information

An investor conference call is scheduled for 10am CDT today, March 20, 2013.
Webcast information and conference call materials will be made available on
the Actuant company website (www.actuant.com) prior to the start of the call.

Safe Harbor Statement

Certain of the above comments represent forward-looking statements made
pursuant to the provisions of the Private Securities Litigation Reform Act of
1995. Management cautions that these statements are based on current estimates
of future performance and are highly dependent upon a variety of factors,
which could cause actual results to differ from these estimates. Actuant’s
results are also subject to general economic conditions, variation in demand
from customers, the impact of geopolitical activity on the economy, continued
market acceptance of the Company’s new product introductions, the successful
integration of acquisitions, restructuring, operating margin risk due to
competitive pricing and operating efficiencies, supply chain risk, material
and labor cost increases, foreign currency fluctuations and interest rate
risk. See the Company’s Form 10-K filed with the Securities and Exchange
Commission for further information regarding risk factors. Actuant disclaims
any obligation to publicly update or revise any forward-looking statements as
a result of new information, future events or any other reason.

About Actuant Corporation

Actuant Corporation is a diversified industrial company serving customers from
operations in more than 30 countries. The Actuant businesses are leaders in a
broad array of niche markets including branded hydraulic and electrical tools
and supplies; specialized products and services for energy markets and highly
engineered position and motion control systems. The Company was founded in
1910 and is headquartered in Menomonee Falls, Wisconsin. Actuant trades on the
NYSE under the symbol ATU. For further information on Actuant and its
businesses, visit the Company's website at www.actuant.com.

(tables follow)


Actuant Corporation
Condensed Consolidated Balance Sheets
(Dollars in thousands)
(Unaudited)
                                                            
                                               February 28,      August 31,
                                               2013              2012
                                                                 
ASSETS
Current assets
Cash and cash equivalents                      $ 90,823          $ 68,184
Accounts receivable, net                         238,601           234,756
Inventories, net                                 217,540           211,690
Deferred income taxes                            23,604            22,583
Other current assets                            24,862          24,068    
Total current assets                             595,430           561,281
                                                                 
Property, plant and equipment, net               114,124           115,884
Goodwill                                         866,685           866,412
Other intangible assets, net                     430,827           445,884
Other long-term assets                          16,765          17,658    
                                                                 
Total assets                                   $ 2,023,831      $ 2,007,119 
                                                                 
                                                                 
LIABILITIES AND SHAREHOLDERS' EQUITY
Current liabilities
Trade accounts payable                         $ 153,814         $ 174,746
Accrued compensation and benefits                45,297            58,817
Current maturities of debt                       10,000            7,500
Income taxes payable                             2,852             5,778
Other current liabilities                       58,566          72,165    
Total current liabilities                        270,529           319,006
                                                                 
Long-term debt                                   385,000           390,000
Deferred income taxes                            129,080           132,653
Pension and postretirement benefit               26,137            26,442
accruals
Other long-term liabilities                      88,817            87,182
                                                                 
Shareholders' equity
Capital stock                                    15,221            15,102
Additional paid-in capital                       23,873            7,725
Treasury stock                                   (71,904   )       (63,083   )
Retained earnings                                1,226,346         1,161,564
Accumulated other comprehensive loss             (69,268   )       (69,472   )
Stock held in trust                              (3,076    )       (2,689    )
Deferred compensation liability                 3,076           2,689     
Total shareholders' equity                      1,124,268       1,051,836 
                                                                 
Total liabilities and shareholders' equity     $ 2,023,831      $ 2,007,119 
                                                                             

Actuant Corporation
Condensed Consolidated Statements of Earnings
(Dollars in thousands except per share amounts)
(Unaudited)

                     Three Months Ended           Six Months Ended
                       February 28,  February 29,   February     February
                                                     28,           29,
                       2013          2012           2013         2012
                                                                   
Net sales              $  370,370     $  378,024     $  747,618    $  770,823
Cost of products         230,811     236,732      461,073     476,923
sold
Gross profit              139,559        141,292        286,545       293,900
                                                                   
Selling,
administrative and        89,977         84,763         177,807       172,872
engineering
expenses
Amortization of          7,638       7,073        15,492      14,291
intangible assets
Operating profit          41,944         49,456         93,246        106,737
                                                                   
Financing costs,          6,260          7,821          12,582        16,043
net
Other expense            (36     )    (171    )     328         486
(income), net
Earnings before           35,720         41,806         80,336        90,208
income tax expense
                                                                   
Income tax expense       7,285       9,631        15,558      20,859
Net earnings           $  28,435    $  32,175     $  64,778    $  69,349
                                                                   
Earnings per share
Basic                  $  0.39        $  0.47        $  0.89       $  1.02
Diluted                   0.38           0.43           0.87          0.94
                                                                   
Weighted average
common shares
outstanding
Basic                     72,946         68,064         72,869        68,242
Diluted                   74,416         75,105         74,343        75,124
                                                                      

Actuant Corporation
Condensed Consolidated Statements of Cash Flows
(In thousands)
(Unaudited)

                    Three Months Ended           Six Months Ended
                     February 28,  February 29,   February 28,  February 29,
                     2013           2012           2013           2012
                                                                  
Operating
Activities
Net earnings         $  28,435      $  32,175      $  64,778      $  69,349
Adjustments to
reconcile net
earnings to net
cash provided by
operating
activities:
Depreciation and        14,451         13,070         28,898         26,610
amortization
Stock-based
compensation            3,651          3,419          7,128          6,962
expense
Benefit for
deferred income         (2,862  )      (1,304  )      (6,018  )      (2,254  )
taxes
Amortization of
debt discount and       496            500            992            997
debt issuance
costs
Other non-cash          5              (404    )      (172    )      (346    )
adjustments
Changes in
components of
working capital
and other:
Accounts                (8,260  )      (7,510  )      (3,721  )      (17,107 )
receivable
Inventories             7,166          1,535          (4,152  )      (1,060  )
Prepaid expenses        4,939          (1,312  )      (1,204  )      (2,137  )
and other assets
Trade accounts          (10,733 )      (5,242  )      (22,281 )      (8,128  )
payable
Income taxes            (3,883  )      (1,180  )      (2,722  )      36
payable
Accrued
compensation and        1,526          5,071          (12,427 )      (14,098 )
benefits
Other accrued          (6,883  )     (7,292  )     (8,776  )     (6,823  )
liabilities
Net cash provided
by operating            28,048         31,526         40,323         52,001
activities
                                                                  
Investing
Activities
Proceeds from sale
of property, plant      200            1,857          1,177          7,775
and equipment
Capital                 (4,037  )      (4,857  )      (11,726 )      (10,452 )
expenditures
Business
acquisitions, net      (1,350  )     (18,617 )     (1,433  )     (18,907 )
of cash acquired
Net cash used in
investing               (5,187  )      (21,617 )      (11,982 )      (21,584 )
activities
                                                                  
Financing
Activities
Net repayments on
revolving credit        -              (4,976  )      -              (167    )
facilities and
other debt
Principal
repayments on term      (1,250  )      -              (2,500  )      -
loan
Purchase of             (1,679  )      -              (8,821  )      (20,410 )
treasury shares
Stock option
exercises and           5,299          2,725          10,772         5,507
related tax
benefits
Cash dividend          -            -            (2,911  )     (2,748  )
Net cash provided
by (used in)            2,370          (2,251  )      (3,460  )      (17,818 )
financing
activities
                                                                  
Effect of exchange
rate changes on        (2,719  )     2,668        (2,242  )     1,625   
cash
Net increase in
cash and cash           22,512         10,326         22,639         14,224
equivalents
Cash and cash
equivalents -          68,311       48,119       68,184       44,221  
beginning of
period
Cash and cash
equivalents - end    $  90,823     $  58,445     $  90,823     $  58,445  
of period
                                                                             

ACTUANT CORPORATION
SUPPLEMENTAL UNAUDITED DATA
(Dollars in thousands)

            FISCAL 2012                                                            FISCAL 2013
             Q1           Q2           Q3           Q4           TOTAL           Q1           Q2           Q3  Q4  TOTAL
SALES                                                                                                             
INDUSTRIAL   $ 100,253     $ 98,342      $ 110,102     $ 110,598     $ 419,295       $ 101,122     $ 98,999                $ 200,121
SEGMENT
ENERGY         80,421        78,937        96,399        93,406        349,163         90,769        80,794                  171,563
SEGMENT
ELECTRICAL     82,833        77,105        85,947        82,936        328,821         69,439        69,902                  139,341
SEGMENT
ENGINEERED
SOLUTIONS     129,292    123,640    136,767    118,364    508,063       115,918    120,675          236,593 
SEGMENT
TOTAL        $ 392,799   $ 378,024   $ 429,215   $ 405,304   $ 1,605,342    $ 377,248   $ 370,370         $ 747,618 
                                                                                                                           
% SALES
GROWTH
INDUSTRIAL     15      %     11      %     2       %     2       %     7         %     1       %     1       %               1       %
SEGMENT
ENERGY         14      %     28      %     24      %     13      %     19        %     13      %     2       %               8       %
SEGMENT
ELECTRICAL     50      %     10      %     7       %     4       %     15        %     -16     %     -9      %               -13     %
SEGMENT
ENGINEERED
SOLUTIONS      23      %     12      %     8       %     -10     %     7         %     -10     %     -2      %               -6      %
SEGMENT
TOTAL          23      %     14      %     9       %     0       %     11        %     -4      %     -2      %               -3      %
                                                                                                                           
OPERATING
PROFIT
(LOSS)
INDUSTRIAL   $ 27,933      $ 26,690      $ 30,681      $ 29,473      $ 114,777       $ 27,006      $ 26,350                $ 53,356
SEGMENT
ENERGY         13,217        11,632        18,515        18,841        62,205          15,387        9,677                   25,064
SEGMENT
ELECTRICAL     4,977         5,801         8,814         8,300         27,892          7,828         5,072                   12,900
SEGMENT
ENGINEERED
SOLUTIONS      18,999        13,281        18,467        10,104        60,851          7,625         8,275                   15,900
SEGMENT
CORPORATE     (7,845  )   (7,948  )   (8,813  )   (8,713  )   (33,319   )    (6,544  )   (7,430  )         (13,974 )
/ GENERAL
TOTAL -
EXCLUDING    $ 57,281      $ 49,456      $ 67,664      $ 58,005      $ 232,406       $ 51,302      $ 41,944                $ 93,246
IMPAIRMENT
CHARGE
IMPAIRMENT    -          -          -          (62,464 )   (62,464   )    -          -                -       
CHARGE
TOTAL        $ 57,281    $ 49,456    $ 67,664    $ (4,459  )  $ 169,942      $ 51,302    $ 41,944          $ 93,246  
                                                                                                                           
OPERATING
PROFIT %
INDUSTRIAL     27.9    %     27.1    %     27.9    %     26.6    %     27.4      %     26.7    %     26.6    %               26.7    %
SEGMENT
ENERGY         16.4    %     14.7    %     19.2    %     20.2    %     17.8      %     17.0    %     12.0    %               14.6    %
SEGMENT
ELECTRICAL     6.0     %     7.5     %     10.3    %     10.0    %     8.5       %     11.3    %     7.3     %               9.3     %
SEGMENT
ENGINEERED
SOLUTIONS      14.7    %     10.7    %     13.5    %     8.5     %     12.0      %     6.6     %     6.9     %               6.7     %
SEGMENT
TOTAL
(INCLUDING
CORPORATE)
-              14.6    %     13.1    %     15.8    %     14.3    %     14.5      %     13.6    %     11.3    %               12.5    %
EXCLUDING
IMPAIRMENT
CHARGE
                                                                                                                           
EBITDA
INDUSTRIAL   $ 29,220      $ 29,116      $ 32,070      $ 31,774      $ 122,180       $ 29,033      $ 28,471                $ 57,504
SEGMENT
ENERGY         18,243        15,601        22,216        23,166        79,226          19,694        14,278                  33,972
SEGMENT
ELECTRICAL     7,705         8,697         11,444        10,969        38,815          10,806        7,653                   18,459
SEGMENT
ENGINEERED
SOLUTIONS      22,213        16,762        21,418        13,991        74,384          12,047        12,611                  24,658
SEGMENT
CORPORATE     (7,217  )   (7,479  )   (8,506  )   (7,972  )   (31,174   )    (6,195  )   (6,582  )         (12,777 )
/ GENERAL
TOTAL -
EXCLUDING    $ 70,164      $ 62,697      $ 78,642      $ 71,928      $ 283,431       $ 65,385      $ 56,431                $ 121,816
IMPAIRMENT
CHARGE
IMPAIRMENT    -          -          -          (62,464 )   (62,464   )    -          -                -       
CHARGE
TOTAL        $ 70,164    $ 62,697    $ 78,642    $ 9,464     $ 220,967      $ 65,385    $ 56,431          $ 121,816 
                                                                                                                           
EBITDA %
INDUSTRIAL     29.1    %     29.6    %     29.1    %     28.7    %     29.1      %     28.7    %     28.8    %               28.7    %
SEGMENT
ENERGY         22.7    %     19.8    %     23.0    %     24.8    %     22.7      %     21.7    %     17.7    %               19.8    %
SEGMENT
ELECTRICAL     9.3     %     11.3    %     13.3    %     13.2    %     11.8      %     15.6    %     10.9    %               13.2    %
SEGMENT
ENGINEERED
SOLUTIONS      17.2    %     13.6    %     15.7    %     11.8    %     14.6      %     10.4    %     10.5    %               10.4    %
SEGMENT
TOTAL
(INCLUDING
CORPORATE)
-              17.9    %     16.6    %     18.3    %     17.7    %     17.7      %     17.3    %     15.2    %               16.3    %
EXCLUDING
IMPAIRMENT
CHARGE
                                                                                                                                     

ACTUANT CORPORATION
SUPPLEMENTAL UNAUDITED DATA
RECONCILIATION OF GAAP MEASURE TO NON-GAAP MEASURES
(Dollars in thousands, except for per share amounts)

              FISCAL 2012                                               FISCAL 2013
               Q1        Q2        Q3        Q4           TOTAL       Q1        Q2        Q3  Q4  TOTAL
EARNINGS
(LOSS)
BEFORE                                                                                           
SPECIAL
ITEMS (1)
NET EARNINGS   $ 37,174   $ 32,175   $ 34,401   $ (16,460 )   $ 87,290    $ 36,343   $ 28,435             $ 64,778
(LOSS)
DEBT
REFINANCING
CHARGES, NET     -          -          10,482     -             10,482      -          -                    -
OF INCOME
TAX
IMPAIRMENT
CHARGE, NET     -        -        -        57,088     57,088     -        -              -
OF INCOME
TAX
TOTAL          $ 37,174  $ 32,175  $ 44,883  $ 40,628    $ 154,860   $ 36,343  $ 28,435        $ 64,778
                                                                                                          
DILUTED
EARNINGS
(LOSS) PER
SHARE,
BEFORE
SPECIAL
ITEMS (1)(3)
NET EARNINGS   $ 0.50     $ 0.43     $ 0.45     $ (0.23   )   $ 1.17      $ 0.49     $ 0.38               $ 0.87
(LOSS)
DEBT
REFINANCING
CHARGES, NET     -          -          0.15       -             0.15        -          -                    -
OF INCOME
TAX
IMPAIRMENT
CHARGE, NET     -        -        -        0.77       0.76       -        -              -
OF INCOME
TAX
TOTAL          $ 0.50    $ 0.43    $ 0.60    $ 0.55      $ 2.08      $ 0.49    $ 0.38          $ 0.87
                                                                                                          
                                                                                                          
EBITDA (2)
NET EARNINGS
(LOSS) (GAAP   $ 37,174   $ 32,175   $ 34,401   $ (16,460 )   $ 87,290    $ 36,343   $ 28,435             $ 64,778
MEASURE)
FINANCING        8,222      7,821      24,066     6,281         46,390      6,322      6,260                12,582
COSTS, NET
INCOME TAX       11,228     9,631      6,593      5,572         33,024      8,273      7,285                15,558
EXPENSE
DEPRECIATION
&               13,540   13,070   13,582   14,071     54,263     14,447   14,451         28,898
AMORTIZATION
EBITDA
(NON-GAAP      $ 70,164   $ 62,697   $ 78,642   $ 9,464       $ 220,967   $ 65,385   $ 56,431             $ 121,816
MEASURE)
IMPAIRMENT      -        -        -        62,464     62,464     -        -              -
CHARGE
EBITDA
(NON-GAAP
MEASURE) -     $ 70,164  $ 62,697  $ 78,642  $ 71,928    $ 283,431   $ 65,385  $ 56,431        $ 121,816
EXCLUDING
IMPAIRMENT
CHARGE

FOOTNOTES
       
NOTE:     The total of the individual quarters may not equal the annual total
          due to rounding.
          
          Earnings (loss) and diluted earnings (loss) per share, excluding
          special items (debt refinancing charges and impairment charge),
          represent net earnings (loss) and diluted earnings (loss) per share
          per the Condensed Consolidated Statements of Earnings net of charges
          or credits for items to be highlighted for comparability purposes.
(1)       These measures should not be considered as an alternative to net
          earnings (loss) or diluted earnings (loss) per share as an indicator
          of the Company's operating performance. However, this presentation
          is important to investors for understanding the operating results of
          the current portfolio of Actuant companies. The total of the
          individual components may not equal due to rounding.
          
          EBITDA represents net earnings (loss) before financing costs, net,
          income tax expense, and depreciation & amortization. EBITDA is not a
          calculation based upon generally accepted accounting principles
          (GAAP). The amounts included in the EBITDA calculation, however, are
          derived from amounts included in the Condensed Consolidated
          Statements of Earnings data. EBITDA should not be considered as an
          alternative to net earnings or operating profit as an indicator of
(2)       the Company's operating performance, or as an alternative to
          operating cash flows as a measure of liquidity. Actuant has
          presented EBITDA because it regularly reviews this as a measure of
          the Company's ability to incur and service debt. In addition, EBITDA
          is used by many of our investors and lenders, and is presented as a
          convenience to them. However, the EBITDA measure presented may not
          always be comparable to similarly titled measures reported by other
          companies due to differences in the components of the calculation.
          
          Due to the net loss for the fourth quarter of fiscal 2012, the basic
          weighted average common shares are used to calculate both basic and
          diluted loss per share for the fourth quarter of fiscal 2012 to
          avoid anti-dilution. Per share results for net earnings (loss) (GAAP
          measure) was calculated using 72,846 shares outstanding. When
          excluding the impairment charge from net earnings (loss), the result
(3)       is net earnings (not a net loss) which requires a diluted basis for
          calculated EPS. For this reason, the per share results for the
          impairment charge and total diluted earnings (non-GAAP measure) were
          calculated using 74,158 shares outstanding for the fourth quarter of
          fiscal 2012. Due to the difference in shares outstanding being used,
          the per share results do not add for the fourth quarter of fiscal
          2012.
          

Contact:

Actuant Corporation
Karen Bauer, 262-293-1562
Communications & Investor Relations Leader
 
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