x
|
Quarterly
report pursuant to section 13 or 15(d) of the Securities Exchange Act of
1934 for the quarterly period ended April 30, 2009
or
|
o
|
Transition
report pursuant to section 13 or 15(d) of the Securities Exchange Act of
1934 for the transition period from _________ to
_________.
|
Indiana
|
35-1150732
|
|
(State
or other jurisdiction of
|
(I.R.S.
Employer Identification Number)
|
|
incorporation
or organization)
|
||
One
Technology Way
|
||
Indianapolis,
Indiana
|
46268
|
|
(Address
of principal executive offices)
|
(Zip
code)
|
Item
1.
|
Financial
Statements
|
|
Condensed
Consolidated Statements of Operations
Three and six months ended
April 30, 2009 and 2008
|
3
|
|
Condensed
Consolidated Balance Sheets
As of April 30, 2009 and
October 31, 2008
|
4
|
|
Condensed
Consolidated Statements of Cash Flows
Three and six months ended
April 30, 2009 and 2008
|
5
|
|
Condensed
Consolidated Statements of Changes in Shareholders' Equity
Six months ended April 30, 2009
and 2008
|
6
|
|
Notes
to Condensed Consolidated Financial Statements
|
7
|
|
Item
2.
|
Management's
Discussion and Analysis of Financial
Condition and Results of
Operations
|
14
|
Item
3.
|
Quantitative
and Qualitative Disclosures About Market Risk
|
20
|
Item
4.
|
Controls
and Procedures
|
22
|
Part
II - Other Information
|
Item
1.
|
Legal
Proceedings
|
23
|
Item
1A.
|
Risk
Factors
|
23
|
Item
4.
|
Submission
of Matters to a Vote of Security Holders
|
23
|
Item
5.
|
Other
Information
|
23
|
Item
6.
|
Exhibits
|
24
|
Signatures
|
|
25
|
Item
1.
|
FINANCIAL
STATEMENTS
|
Three
Months Ended
|
Six
Months Ended
|
|||||||||||||||
April
30
|
April
30
|
|||||||||||||||
2009
|
2008
|
2009
|
2008
|
|||||||||||||
(Unaudited)
|
(Unaudited)
|
|||||||||||||||
Sales
and service fees
|
$ | 20,489 | $ | 58,285 | $ | 48,796 | $ | 119,208 | ||||||||
Cost
of sales and service
|
15,269 | 37,954 | 35,034 | 74,020 | ||||||||||||
Gross profit
|
5,220 | 20,331 | 13,762 | 45,188 | ||||||||||||
Selling,
general and administrative expenses
|
7,518 | 11,676 | 15,547 | 24,052 | ||||||||||||
Operating income
(loss)
|
(2,298 | ) | 8,655 | (1,785 | ) | 21,136 | ||||||||||
Interest
expense
|
4 | 10 | 27 | 21 | ||||||||||||
Interest
income
|
45 | 133 | 149 | 282 | ||||||||||||
Investment
income
|
1 | 119 | 29 | 291 | ||||||||||||
Other
expense (income), net
|
(1,768 | ) | 376 | (1,695 | ) | 840 | ||||||||||
Income (loss) before
taxes
|
(488 | ) | 8,521 | 61 | 20,848 | |||||||||||
Provision
(benefit) for income taxes
|
(207 | ) | 3,054 | (12 | ) | 7,576 | ||||||||||
Net
income (loss)
|
$ | (281 | ) | $ | 5,467 | $ | 73 | $ | 13,272 | |||||||
Earnings
(loss) per common share
|
||||||||||||||||
Basic
|
$ | (0.04 | ) | $ | 0.85 | $ | 0.01 | $ | 2.07 | |||||||
Diluted
|
$ | (0.04 | ) | $ | 0.85 | $ | 0.01 | $ | 2.06 | |||||||
Weighted
average common shares outstanding
|
||||||||||||||||
Basic
|
6,421 | 6,410 | 6,421 | 6,410 | ||||||||||||
Diluted
|
6,421 | 6,444 | 6,430 | 6,442 |
April
30
|
October
31
|
|||||||
2009
|
2008
|
|||||||
(Unaudited)
|
(Audited)
|
|||||||
ASSETS
|
||||||||
Current
assets:
|
||||||||
Cash and cash
equivalents
|
$ | 27,850 | $ | 26,394 | ||||
Short-term
investments
|
— | 6,674 | ||||||
Accounts
receivable,
net
|
15,903 | 31,952 | ||||||
Inventories,
net
|
64,880 | 66,368 | ||||||
Deferred
tax assets,
net
|
7,856 | 5,444 | ||||||
Derivative
assets
|
1,446 | 12,463 | ||||||
Other
|
2,591 | 2,017 | ||||||
120,526 | 151,312 | |||||||
Property
and equipment:
|
||||||||
Land
|
782 | 782 | ||||||
Building
|
7,127 | 7,127 | ||||||
Machinery and
equipment
|
15,952 | 14,885 | ||||||
Leasehold
improvements
|
1,878 | 1,765 | ||||||
25,739 | 24,559 | |||||||
Less accumulated depreciation and
amortization
|
(11,900 | ) | (10,961 | ) | ||||
13,839 | 13,598 | |||||||
Non-current
assets:
|
||||||||
Software
development costs, less accumulated amortization
|
6,097 | 5,711 | ||||||
Other
assets
|
7,438 | 6,823 | ||||||
$ | 147,900 | $ | 177,444 | |||||
LIABILITIES
AND SHAREHOLDERS’ EQUITY
|
||||||||
Current
liabilities:
|
||||||||
Accounts payable
|
$ | 10,678 | $ | 28,303 | ||||
Derivative
liabilities
|
1,452 | 2,692 | ||||||
Accrued expenses
|
11,020 | 20,134 | ||||||
23,150 | 51,129 | |||||||
Non-current
liabilities:
|
||||||||
Deferred
tax liabilities, net
|
2,006 | 2,056 | ||||||
Deferred credits and other
obligations
|
827 | 782 | ||||||
Total liabilities
|
25,983 | 53,967 | ||||||
Shareholders’
equity:
|
||||||||
Preferred stock: no par value per
share; 1,000,000 shares
|
||||||||
authorized; no shares
issued
|
— | — | ||||||
Common stock: no par
value; $.10 stated value per share;
|
||||||||
13,250,000 shares authorized, and
6,420,851
|
||||||||
shares issued and
outstanding
|
642 | 642 | ||||||
Additional paid-in
capital
|
51,804 | 51,690 | ||||||
Retained earnings
|
71,962 | 71,889 | ||||||
Accumulated other comprehensive
loss
|
(2,491 | ) | (744 | ) | ||||
Total shareholders’
equity
|
121,917 | 123,477 | ||||||
$ | 147,900 | $ | 177,444 |
Three
Months Ended
|
Six
Months Ended
|
|||||||||||||||
April
30
|
April
30
|
|||||||||||||||
2009
|
2008
|
2009
|
2008
|
|||||||||||||
(Unaudited)
|
(Unaudited)
|
|||||||||||||||
Cash
flows from operating activities:
|
||||||||||||||||
Net income (loss)
|
$ | (281 | ) | $ | 5,467 | $ | 73 | $ | 13,272 | |||||||
Adjustments to reconcile net
income (loss) to
Net
cash used for operating activities:
|
||||||||||||||||
Provision
for doubtful accounts
|
210 | (116 | ) | 516 | (141 | ) | ||||||||||
Deferred
income tax provision
|
(140 | ) | (378 | ) | (1,246 | ) | (646 | ) | ||||||||
Equity
loss of affiliates
|
64 | 9 | 88 | 29 | ||||||||||||
Depreciation and
amortization
|
814 | 730 | 1,605 | 1,413 | ||||||||||||
Stock-based
compensation
|
57 | 57 | 114 | 114 | ||||||||||||
Change in assets and
liabilities:
|
||||||||||||||||
(Increase)
decrease in accounts receivable
|
2,848 | 3,736 | 15,895 | (6,283 | ) | |||||||||||
(Increase)
decrease in inventories
|
571 | (2,118 | ) | 3,500 | (4,147 | ) | ||||||||||
Decrease
in accounts payable
|
(4,072 | ) | (1,715 | ) | (17,513 | ) | (733 | ) | ||||||||
Decrease
in accrued expenses
|
(1,313 | ) | (1,966 | ) | (9,306 | ) | (3,970 | ) | ||||||||
Net
change in derivative assets and liabilities
|
5,675 | 1,043 | 9,777 | 769 | ||||||||||||
Other
|
(5,326 | ) | (6,037 | ) | (5,906 | ) | (4,660 | ) | ||||||||
Net cash used for operating
activities
|
(893 | ) | (1,288 | ) | (2,403 | ) | (4,983 | ) | ||||||||
Cash
flows from investing activities:
|
||||||||||||||||
Proceeds from sale of property and
equipment
|
217 | — | 221 | 12 | ||||||||||||
Purchase of property and
equipment
|
(536 | ) | (659 | ) | (1,328 | ) | (1,755 | ) | ||||||||
Purchase
of investments
|
— | (1,100 | ) | — | (9,100 | ) | ||||||||||
Sale
of investments
|
— | 6,350 | 6,674 | 10,350 | ||||||||||||
Software development
costs
|
(432 | ) | (108 | ) | (991 | ) | (159 | ) | ||||||||
Other investments
|
(846 | ) | 367 | (894 | ) | 261 | ||||||||||
Net cash provided by (used for)
investing activities
|
(1,597 | ) | 4,850 | 3,682 | (391 | ) | ||||||||||
Cash
flows from financing activities:
|
||||||||||||||||
Tax
benefit from exercise of stock options
|
— | 36 | — | 36 | ||||||||||||
Proceeds from exercise of common
stock options
|
— | 97 | — | 151 | ||||||||||||
Net cash provided by financing
activities
|
— | 133 | — | 187 | ||||||||||||
Effect
of exchange rate changes on cash
|
214 | 739 | 177 | 1,036 | ||||||||||||
Net increase (decrease) in cash
and cash
equivalents
|
(2,276 | ) | 4,434 | 1,456 | (4,151 | ) | ||||||||||
Cash
and cash equivalents at
beginning of period
|
30,126 | 21,175 | 26,394 | 29,760 | ||||||||||||
Cash
and cash equivalents at
end of period
|
$ | 27,850 | $ | 25,609 | $ | 27,850 | $ | 25,609 |
(Dollars
in thousands, except
Shares
Issued and Outstanding)
|
Common
Stock
|
Additional
|
Accumulated
Other
Comprehensive
|
|||||||||||||||||||||
Shares
Issued
&
Outstanding
|
Amount
|
Paid-In
Capital
|
Retained
Earnings
|
Income
(Loss)
|
Total
|
|||||||||||||||||||
(Dollars
in thousands)
|
||||||||||||||||||||||||
Balances,
October 31, 2007
|
6,392,220 | $ | 639 | $ | 50,971 | $ | 49,369 | $ | (3,376 | ) | $ | 97,603 | ||||||||||||
Net
income
|
— | — | — | 13,272 | — | 13,272 | ||||||||||||||||||
Translation
of foreign currency financial statements
|
— | — | — | — | 2,284 | 2,284 | ||||||||||||||||||
Unrealized
loss on derivative instruments, net of tax
|
— | — | — | — | (695 | ) | (695 | ) | ||||||||||||||||
Unrealized
loss on investments, net of tax
|
— | — | — | — | (202 | ) | (202 | ) | ||||||||||||||||
Comprehensive
income
|
14,659 | |||||||||||||||||||||||
Exercise
of common stock options
|
28,631 | 3 | 148 | — | — | 151 | ||||||||||||||||||
Tax
benefit from exercise of stock options
|
— | — | 36 | — | — | 36 | ||||||||||||||||||
Stock-based
compensation
|
— | — | 114 | — | — | 114 | ||||||||||||||||||
Balances,
April 30, 2008
(Unaudited)
|
6,420,851 | $ | 642 | $ | 51,269 | $ | 62,641 | $ | (1,989 | ) | $ | 112,563 | ||||||||||||
Balances,
October 31, 2008
|
6,420,851 | $ | 642 | $ | 51,690 | $ | 71,889 | $ | (744 | ) | $ | 123,477 | ||||||||||||
Net
income
|
— | — | — | 73 | — | 73 | ||||||||||||||||||
Translation
of foreign currency financial statements
|
— | — | — | — | 156 | 156 | ||||||||||||||||||
Unrealized
loss on derivative instruments, net of tax
|
— | — | — | — | (2,105 | ) | (2,105 | ) | ||||||||||||||||
Reversal
of unrealized loss on investments, net
of tax
|
— | — | — | — | 202 | 202 | ||||||||||||||||||
Comprehensive
loss
|
(1,674 | ) | ||||||||||||||||||||||
Stock-based
compensation
|
— | — | 114 | — | — | 114 | ||||||||||||||||||
Balances,
April 30, 2009
(Unaudited)
|
6,420,851 | $ | 642 | $ | 51,804 | $ | 71,962 | $ | (2,491 | ) | $ | 121,917 |
1.
|
GENERAL
|
2.
|
SHORT-TERM
INVESTMENTS
|
3.
|
DERIVATIVE
INSTRUMENTS AND HEDGING ACTIVITIES
|
2009
|
2008
|
||||||||||
Balance
Sheet
|
Fair
|
Balance
Sheet
|
Fair
|
||||||||
Derivatives
|
Location
|
Value
|
Location
|
Value
|
|||||||
Designated as Hedging Instruments: | |||||||||||
Foreign
exchange forward contracts
|
Derivative
assets
|
$ | 1,344 |
Derivative
assets
|
$ | 9,733 | |||||
Foreign
exchange forward contracts
|
Derivative
liabilities
|
$ | 486 |
Derivative
liabilities
|
$ | 2,568 | |||||
Not Designated as Hedging Instruments: | |||||||||||
Foreign
exchange forward contracts
|
Derivative
assets
|
$ | 102 |
Derivative
assets
|
$ | 2,730 | |||||
Foreign
exchange forward contracts
|
Derivative
liabilities
|
$ | 966 |
Derivative
liabilities
|
$ | 124 |
Derivatives
|
Amount
of Gain
Recognized
in Other
Comprehensive
Income
|
Location
of Gain (Loss)
Reclassified
from Other
Comprehensive
Income
|
Amount
of Gain (Loss)
Reclassified
from Other
Comprehensive
Income
|
||||||||||||||
2009
|
2008
|
2009
|
2008
|
||||||||||||||
Designated as
Hedging Instruments:
|
|||||||||||||||||
(Effective Portion) | |||||||||||||||||
Foreign
exchange forward contracts
|
$ | 1,835 | $ | 3,938 |
Cost
of sales and service
|
$ | (104 | ) | $ | (1,191 | ) | ||||||
(Ineffective
Portion)
|
|||||||||||||||||
Foreign
exchange forward contracts
|
N/A | N/A |
Other
income (expense)
|
$ | 2,202 | $ | 10 |
Location
of Loss
|
Amount
of Loss
|
|||||||||
Derivatives
|
Recognized
in Operations
|
Recognized
in Operations
|
||||||||
2009
|
2008
|
|||||||||
Not
Designated as Hedging Instruments:
|
||||||||||
Foreign
exchange forward contracts
|
Other
income (expense)
|
$ | (1,487 | ) | $ | (1,287 | ) |
4.
|
STOCK
OPTIONS
|
Stock
Options
|
Weighted
Average
Exercise
Price
|
|||||||
Outstanding
at October 31, 2008
|
64,369 | $ | 20.29 | |||||
Options
granted
|
21,000 | 14.84 | ||||||
Options
exercised
|
— | — | ||||||
Options
cancelled
|
— | — | ||||||
Outstanding
at April 30, 2009
|
85,369 | $ | 18.96 |
Options
Already
Vested
and
Expected
to Vest
|
Options
Currently
Exercisable
|
|||||||
Number
of outstanding options
|
85,369 | 54,369 | ||||||
Weighted
average remaining contractual life (years)
|
7.86 | 6.64 | ||||||
Weighted
average exercise price per share
|
$ | 18.96 | $ | 19.12 | ||||
Intrinsic
value
|
$ | 280,000 | $ | 270,000 |
5.
|
EARNINGS
PER SHARE
|
6.
|
ACCOUNTS
RECEIVABLE
|
7.
|
INVENTORIES
|
April 30, 2009
|
October 31, 2008
|
|||||||
Purchased
parts and sub-assemblies
|
$ | 13,006 | $ | 13,098 | ||||
Work-in-process
|
5,032 | 11,243 | ||||||
Finished
goods
|
46,842 | 42,027 | ||||||
$ | 64,880 | $ | 66,368 |
8.
|
SEGMENT
INFORMATION
|
9.
|
GUARANTEES
|
Six
months ended
|
||||||||
April
30, 2009
|
April
30, 2008
|
|||||||
Balance,
beginning of period
|
$ | 2,536 | $ | 2,449 | ||||
Provision
for warranties during the period
|
248 | 1,461 | ||||||
Charges
to the reserve
|
(829 | ) | (1,257 | ) | ||||
Impact
of foreign currency translation
|
(6 | ) | 141 | |||||
Balance,
end of period
|
$ | 1,949 | $ | 2,794 |
10.
|
COMPREHENSIVE
INCOME
|
Three
months ended
|
||||||||
April
30, 2009
|
April
30, 2008
|
|||||||
Net
income (loss)
|
$ | (281 | ) | $ | 5,467 | |||
Translation
of foreign currency financial statements
|
896 | 1,828 | ||||||
Unrealized
loss on derivative instruments, net of tax
|
(1,806 | ) | (725 | ) | ||||
Unrealized
loss on investments, net of tax
|
— | (202 | ) | |||||
Comprehensive
income (loss)
|
$ | (1,191 | ) | $ | 6,368 |
11.
|
DEBT
AGREEMENTS
|
12.
|
INCOME
TAXES
|
13.
|
FAIR
VALUE
|
Level
I
|
Level
II
|
Level
III
|
Total
|
|||||||||||||
Assets:
|
||||||||||||||||
Derivative
Assets
|
$ | — | $ | 1,446 | $ | — | $ | 1,446 |
Level
I
|
Level
II
|
Level
III
|
Total
|
|||||||||||||
Liabilities:
|
||||||||||||||||
Derivative
Liabilities
|
$ | — | $ | 1,452 | $ | — | $ | 1,452 |
14.
|
EMPLOYEE
BENEFITS
|
Net
Sales and Service Fees by Geographic Region
|
||||||||||||||||||||||||
Three
months ended April 30,
|
Change
|
|||||||||||||||||||||||
2009
|
2008
|
Amount
|
%
|
|||||||||||||||||||||
North
America
|
$ | 6,171 | 30.1 | % | $ | 11,706 | 20.1 | % | $ | (5,535 | ) | (47.3 | )% | |||||||||||
Europe
|
13,042 | 63.7 | % | 42,653 | 73.2 | % | (29,611 | ) | (69.5 | )% | ||||||||||||||
Asia
Pacific
|
1,276 | 6.2 | % | 3,926 | 6.7 | % | (2,650 | ) | (67.5 | )% | ||||||||||||||
Total
|
$ | 20,489 | 100.0 | % | $ | 58,285 | 100.0 | % | $ | (37,796 | ) | (64.9 | )% |
Net
Sales and Service Fees by Product Category
|
||||||||||||||||||||||||
Three
months ended April 30,
|
Change
|
|||||||||||||||||||||||
2009
|
2008
|
Amount
|
%
|
|||||||||||||||||||||
Computerized
Machine Tools
|
$ | 16,518 | 80.6 | % | $ | 52,062 | 89.3 | % | $ | (35,544 | ) | (68.3 | )% | |||||||||||
Service
Fees, Parts and Other
|
3,971 | 19.4 | % | 6,223 | 10.7 | % | (2,252 | ) | (36.2 | )% | ||||||||||||||
Total
|
$ | 20,489 | 100.0 | % | $ | 58,285 | 100.0 | % | $ | (37,796 | ) | (64.9 | )% |
Six
months ended April 30,
|
Change
|
|||||||||||||||||||||||
2009
|
2008
|
Amount
|
%
|
|||||||||||||||||||||
North
America
|
$ | 15,808 | 32.4 | % | $ | 24,785 | 20.8 | % | $ | (8,977 | ) | (36.2 | )% | |||||||||||
Europe
|
31,102 | 63.7 | % | 87,705 | 73.6 | % | (56,603 | ) | (64.5 | )% | ||||||||||||||
Asia
Pacific
|
1,886 | 3.9 | % | 6,718 | 5.6 | % | (4,832 | ) | (72.0 | )% | ||||||||||||||
Total
|
$ | 48,796 | 100.0 | % | $ | 119,208 | 100.0 | % | $ | (70,412 | ) | (59.1 | )% |
Six months ended April 30,
|
Change
|
|||||||||||||||||||||||
2009
|
2008
|
Amount
|
%
|
|||||||||||||||||||||
Computerized
Machine Tools
|
$ | 40,466 | 82.9 | % | $ | 106,986 | 89.7 | % | $ | (66,520 | ) | (62.2 | )% | |||||||||||
Service
Fees, Parts and Other
|
8,330 | 17.1 | % | 12,222 | 10.3 | % | (3,892 | ) | (31.9 | )% | ||||||||||||||
Total
|
$ | 48,796 | 100.0 | % | $ | 119,208 | 100.0 | % | $ | (70,412 | ) | (59.1 | )% |
|
·
|
The
impact of the current global economic recession on demand for our products
and our customers’ access to credit and ability to pay us for the products
they purchase;
|
|
·
|
The
cyclical nature of the machine tool
industry;
|
|
·
|
The
risks of our international
operations;
|
|
·
|
The
limited number of our manufacturing
sources;
|
|
·
|
The
effects of changes in currency exchange
rates;
|
|
·
|
Our
dependence on new product
development;
|
|
·
|
The
need to make technological
advances;
|
|
·
|
Competition
with larger companies that have greater financial
resources;
|
|
·
|
Changes
in the prices of raw materials, especially steel and iron
products;
|
|
·
|
Possible
obsolescence of our technology;
|
|
·
|
Acquisitions
that could disrupt our operations and affect operating
results;
|
|
·
|
Impairment
of our goodwill or other assets;
|
|
·
|
The
need to protect our intellectual property
assets;
|
|
·
|
The
impact of the continuing downturn in the U.S.
economy;
|
|
·
|
The
impact of ongoing disruptions in the credit markets on our investment
securities; and
|
|
·
|
The
effect of the loss of key
personnel.
|
Notional
Amount
|
Weighted
Avg.
|
Contract Amount at
Forward Rates in
U.S. Dollars
|
|||||||||||||||
Forward Contracts
|
in Foreign
Currency
|
Forward
Rate
|
Contract
Date
|
April 30,
2009
|
Maturity Dates
|
||||||||||||
Sale
Contracts:
|
|||||||||||||||||
Euro
|
15,230,000 | 1.3956 | 21,254,988 | 20,187,061 |
May 2009 – April 2010
|
||||||||||||
Pound
Sterling
|
900,000 | 1.5480 | 1,393,200 | 1,334,100 |
May
2009 – April 2010
|
||||||||||||
Purchase
Contracts:
|
|||||||||||||||||
New
Taiwan Dollar
|
460,000,000 | 31.79 | * | 14,470,141 | 14,295,233 |
May
2009 – April
2010
|
Contract Amount at
Forward Rates in
U.S. Dollars
|
|||||||||||||||||
Forward Contracts
|
Notional
Amount in
Foreign
Currency
|
Weighted
Avg.
Forward
Rate
|
Contract
Date
|
April 30,
2009
|
Maturity Dates
|
||||||||||||
Sale
Contracts:
|
|||||||||||||||||
Euro
|
22,353,985 | 1.2965 | 28,981,941 | 29,631,999 |
May 2009 – January 2010
|
||||||||||||
Pound
Sterling
|
558,470 | 1.4434 | 806,096 | 827,769 |
May
2009 – June 2009
|
||||||||||||
Canadian
Dollar
|
275,431 | .8218 | 226,349 | 230,834 |
May
2009 – June 2009
|
||||||||||||
Singapore
Dollar
|
8,481,355 | 1.5501 | 5,471,489 | 5,734,714 |
March
2010
|
||||||||||||
Purchase
Contracts:
|
|||||||||||||||||
New
Taiwan Dollar
|
97,409,700 | 33.56 | * | 2,902,441 | 2,978,286 |
May
2009 – June
2009
|
Notional
Amount
|
Weighted
Avg.
|
Contract Amount at
Forward Rates in
U.S. Dollars
|
|||||||||||||||
Forward Contracts
|
in Foreign
Currency
|
Forward
Rate
|
Contract
Date
|
April 30,
2009
|
Maturity Date
|
||||||||||||
Sale
Contracts:
|
|||||||||||||||||
Euro
|
3,000,000 | 1.2936 | 3,880,800 | 3,975,960 |
November 2009
|
Election of Directors
Name
|
Number of Votes
FOR
|
Number of Votes
WITHHELD
|
Abstentions
or Broker
Non-Votes
|
|||||||||
Stephen
H. Cooper
|
5,345,701 | 226,524 | 848,626 | |||||||||
Robert
W. Cruickshank
|
4,825,587 | 746,638 | 848,626 | |||||||||
Michael
Doar
|
5,417,395 | 154,830 | 848,626 | |||||||||
Philip
James
|
5,411,556 | 160,669 | 848,626 | |||||||||
Michael
P. Mazza
|
5,419,695 | 152,530 | 848,626 | |||||||||
Richard
T. Niner
|
4,863,218 | 709,007 | 848,626 | |||||||||
Charlie
Rentschler
|
5,414,770 | 157,455 | 848,626 | |||||||||
Janaki
Sivanesan
|
5,378,649 | 193,576 | 848,626 |
Item
6.
|
EXHIBITS
|
11
|
Computation
of per share earnings.
|
|
31.1
|
Certification
by the Chief Executive Officer, pursuant to Rule 13a-15(b) under the
Securities and Exchange Act of 1934, as amended.
|
|
31.2
|
Certification
by the Chief Financial Officer, pursuant to Rule 13a-15(b) under the
Securities and Exchange Act of 1934, as amended.
|
|
32.1
|
Certification
by the Chief Executive Officer pursuant to Section 906 of the
Sarbanes-Oxley Act of 2002.
|
|
32.2
|
Certification
by the Chief Financial Officer pursuant to Section 906 of the
Sarbanes-Oxley Act of 2002.
|
HURCO
COMPANIES, INC.
|
|
By:
|
/s/ John G. Oblazney
|
John
G. Oblazney
|
|
Vice
President and
|
|
Chief
Financial Officer
|
|
By:
|
/s/ Sonja K. McClelland
|
Sonja
K. McClelland
|
|
Corporate
Controller and
|
|
Principal
Accounting Officer
|
Three Months Ended
|
Six Months Ended
|
|||||||||||||||||||||||||||||||
April 30,
|
April 30,
|
|||||||||||||||||||||||||||||||
2009
|
2008
|
2009
|
2008
|
|||||||||||||||||||||||||||||
(in thousands, except per share
data)
|
||||||||||||||||||||||||||||||||
Basic
|
Diluted
|
Basic
|
Diluted
|
Basic
|
Diluted
|
Basic
|
Diluted
|
|||||||||||||||||||||||||
Net
income (loss)
|
$ | (281 | ) | $ | (281 | ) | $ | 5,467 | $ | 5,467 | $ | 73 | $ | 73 | $ | 13,272 | $ | 13,272 | ||||||||||||||
Weighted-average
shares Outstanding
|
6,421 | 6,421 | 6,410 | 6,410 | 6,421 | 6,421 | 6,410 | 6,410 | ||||||||||||||||||||||||
Dilutive
effect of stock options
|
— | — | — | 34 | — | 9 | — | 32 | ||||||||||||||||||||||||
6,421 | 6,421 | 6,410 | 6,444 | 6,421 | 6,430 | 6,410 | 6,442 | |||||||||||||||||||||||||
Income
(loss) per common share
|
$ | (0.04 | ) | $ | (0.04 | ) | $ | 0.85 | $ | 0.85 | $ | 0.01 | $ | 0.01 | $ | 2.07 | $ | 2.06 |
1. | I have reviewed this quarterly report on Form 10-Q of Hurco Companies, Inc.; | |
|
2.
|
Based
on my knowledge, this report does not contain any untrue statement of a
material fact or omit to state a material fact necessary to make the
statements made, in light of the circumstances under which such statements
were made, not misleading with respect to the period covered by this
report;
|
|
3.
|
Based
on my knowledge, the financial statements, and other financial information
included in this report, fairly present in all material respects the
financial condition, results of operations and cash flows of the
registrant as of, and for, the periods presented in this
report;
|
|
4.
|
The
registrant's other certifying officer and I are responsible for
establishing and maintaining disclosure controls and procedures [as
defined in Exchange Act Rules 13a-15(e) and 15d-15(e)] and internal
control over financial reporting [as defined in Exchange Act Rules
13a-15(f) and 15d-15(f)] for the registrant and
have:
|
|
(a)
|
Designed
such disclosure controls and procedures, or caused such disclosure
controls and procedures to be designed under our supervision, to ensure
that material information relating to the registrant, including its
consolidated subsidiaries, is made known to us by others within those
entities, particularly during the period in which this report is being
prepared;
|
|
(b)
|
Designed
such internal control over financial reporting, or caused such internal
control over financial reporting to be designed under our supervision to
provide reasonable assurance regarding the reliability of financial
reporting and the preparation of financial statements for external
purposes in accordance with generally accepted accounting
principles.
|
|
(c)
|
Evaluated
the effectiveness of the registrant's disclosure controls and procedures
and presented in this report our conclusions about the effectiveness of
the disclosure controls and procedures, as of the end of the period
covered by this report based on such evaluation;
and
|
|
(d)
|
Disclosed
in this report any change in the registrant's internal control over
financial reporting that occurred during the registrant's most recent
fiscal quarter (the registrant's first fiscal quarter) that has materially
affected, or is reasonably likely to materially affect, the registrant's
internal control over financial reporting;
and
|
|
5.
|
The
registrant's other certifying officer and I have disclosed, based on our
most recent evaluation of internal control over financial reporting, to
the registrant's auditors and the audit committee of registrant's board of
directors (or persons performing the equivalent
functions):
|
|
(a)
|
All
significant deficiencies and material weaknesses in the design or
operation of internal control over financial reporting which are
reasonably likely to adversely affect the registrant's ability to record,
process, summarize and report financial information;
and
|
|
(b)
|
Any
fraud, whether or not material, that involves management or other
employees who have a significant role in the registrant's internal control
over financial reporting.
|
/s/ Michael Doar
|
Michael
Doar
|
Chairman
& Chief Executive Officer
|
June
5, 2009
|
1. | I have reviewed this quarterly report on Form 10-Q of Hurco Companies, Inc.; | |
|
2.
|
Based
on my knowledge, this report does not contain any untrue statement of a
material fact or omit to state a material fact necessary to make the
statements made, in light of the circumstances under which such statements
were made, not misleading with respect to the period covered by this
report;
|
|
3.
|
Based
on my knowledge, the financial statements, and other financial information
included in this report, fairly present in all material respects the
financial condition, results of operations and cash flows of the
registrant as of, and for, the periods presented in this
report;
|
|
4.
|
The
registrant's other certifying officer and I are responsible for
establishing and maintaining disclosure controls and procedures [as
defined in Exchange Act Rules 13a-15(e) and 15d-15(e)] and internal
control over financial reporting [as defined in Exchange Act Rules
13a-15(f) and 15d-15(f)] for the registrant and
have:
|
|
a.
|
Designed
such disclosure controls and procedures, or caused such disclosure
controls and procedures to be designed under our supervision, to ensure
that material information relating to the registrant, including its
consolidated subsidiaries, is made known to us by others within those
entities, particularly during the period in which this report is being
prepared;
|
|
b.
|
Designed
such internal control over financial reporting, or caused such internal
control over financial reporting to be designed under our supervision to
provide reasonable assurance regarding the reliability of financial
reporting and the preparation of financial statements for external
purposes in accordance with generally accepted accounting
principles.
|
|
c.
|
Evaluated
the effectiveness of the registrant's disclosure controls and procedures
and presented in this report our conclusions about the effectiveness of
the disclosure controls and procedures, as of the end of the period
covered by this report based on such evaluation;
and
|
|
d.
|
Disclosed
in this report any change in the registrant's internal control over
financial reporting that occurred during the registrant's most recent
fiscal quarter (the registrant's first fiscal quarter) that has materially
affected, or is reasonably likely to materially affect, the registrant's
internal control over financial reporting;
and
|
|
5.
|
The
registrant's other certifying officer and I have disclosed, based on our
most recent evaluation of internal control over financial reporting, to
the registrant's auditors and the audit committee of registrant's board of
directors (or persons performing the equivalent
functions):
|
|
(a)
|
All
significant deficiencies and material weaknesses in the design or
operation of internal control over financial reporting which are
reasonably likely to adversely affect the registrant's ability to record,
process, summarize and report financial information;
and
|
|
(b)
|
Any
fraud, whether or not material, that involves management or other
employees who have a significant role in the registrant's internal control
over financial reporting.
|
/s/ John G. Oblazney
|
John
G. Oblazney
|
Vice
President & Chief Financial Officer
|
June
5, 2009
|
(1)
|
The
Report fully complies with the requirements of section 13(a) or 15(d)
of the Securities Exchange Act of 1934;
and
|
(2)
|
The
information contained in the Report fairly presents, in all material
respects, the financial condition and results of operations of the
Company.
|
/s/ Michael Doar
|
Michael
Doar
|
Chairman
& Chief Executive Officer
|
June
5, 2009
|
(1)
|
The
Report fully complies with the requirements of section 13(a) or 15(d)
of the Securities Exchange Act of 1934;
and
|
(2)
|
The
information contained in the Report fairly presents, in all material
respects, the financial condition and results of operations of the
Company.
|
/s/ John G. Oblazney
|
John
G. Oblazney
|
Vice
President & Chief Financial Officer
|
June
5, 2009
|