Molex Reports Fourth Quarter and Full Fiscal Year Results

 
TIDMMOL 
 
 

  Molex Incorporated (NASDAQ: MOLX and MOLXA), a global electronic components company, today reported results for its fiscal 2010 fourth quarter and its full fiscal year 2010, both ended June 30, 2010. 
 
                                     Three Months Ended 
                                      Jun. 30,   Mar. 31,   Jun. 30, 
USD millions, except per share data   2010       2010       2009 
Net revenue                           $ 847.3    $ 756.3    $ 570.6 
Net income (loss)                       39.8       38.4       (220.5 ) 
Earnings (loss) per share               0.23       0.22       (1.27  ) 
Non-GAAP net income (loss)*             67.5       51.0       (15.6  ) 
Non-GAAP earnings (loss) per share*     0.39       0.29       (0.09  ) 
 
 

  *A reconciliation of non-GAAP measures can be found on page 5 
 

  Revenue for the June 2010 quarter of $847.3 million exceeded the high end of the guidance provided on April 27, 2010 and increased 12% from the March 2010 quarter and 48% from the June 2009 quarter. The increase in local currency was 13% compared with the March 2010 quarter and 46% compared with the prior year. Orders for the quarter were $910.4 million, an increase of 9% from the March 2010 quarter and 58% from the prior year quarter. 
 

  Net income for the June 2010 quarter was $39.8 million or $0.23 per share, compared with net income of $38.4 million or $0.22 per share, for the March 2010 quarter. For the June 2010 quarter, net income included a pretax restructuring charge of $26.5 million ($24.7 million after-tax or $0.14 per share) and a pretax loss of $4.8 million ($3.0 million after-tax or $0.02 per share) related to unauthorized activities in Japan. The effective tax rate for the quarter was 35.0%. 
 

  On a non-GAAP basis, net income for the June 2010 quarter was $67.5 million or $0.39 per share, compared with net income of $51.0 million or $0.29 per share, in the March 2010 quarter. For the quarter, non-GAAP net income excluded charges for the restructuring program and losses related to unauthorized activities in Japan. The effective tax rate for the quarter on a non-GAAP basis was 27.0%. 
 

  "We achieved record bookings in the quarter and hit an all time high for revenue in the month of June," commented Martin P. Slark, Molex's Chief Executive Officer. "Business activity in all of our major markets is quite strong and we expect to see further growth going forward, although at a slower pace. We ended the fiscal year with strong momentum. As expected, our restructuring program is now complete and we are seeing the benefits of our reorganization and improved cost structure through both top line growth and increased earnings power." 
 

  Other financial highlights for the quarter ended June 30, 2010: 
 
 
    -- Gross profit margin decreased to 29.9%, compared with 31.2% in the 

       March 2010 quarter due primarily to higher supply chain costs 

       necessary to meet customer requirements. 
 
    -- SG&A expense was $158.7 million, an increase of $2.3 million from the 

       March 2010 quarter. The increase was primarily due to increased 

       selling costs in support of the higher demand level and increases in 

       research and development costs related to new product introductions. 
 
    -- Capital expenditures were $79.5 million or 9.4% of revenue due to 

       investments for new product introductions and general capacity 

       increases to keep pace with customer demand. 
 
    -- Depreciation and amortization expense was $58.0 million or 6.8% of 

       revenue, down $1.4 million from the March 2010 quarter. 
 
    -- Book-to-bill ratio was 1.07, the fifth consecutive quarter of positive 

       ratios. 
 
    -- Backlog was $473 million, an increase of $50.8 million or 12% from the 

       March 2010 quarter. 
 
    -- Cash flow from operations was $68.7 million, a 71% increase from the 

       March 2010 quarter. 
 

  Full Year Results 
 

  Revenue for the full fiscal year ended June 30, 2010 was $3.0 billion, an increase of 16.5% compared with the prior fiscal year. The increase in local currency was 14%. Net income of $76.9 million or $0.44 per share included a pretax restructuring charge of $117.1 million ($92.8 million after-tax or approximately $0.53 per share), a tax adjustment related to stock compensation of $4.8 million or $0.03 per share and a pretax loss of $26.9 million ($17.1 million after-tax or $0.10 per share) related to unauthorized activities in Japan. 
 

  On a non-GAAP basis, net income for the full fiscal year ended June 30, 2010 was $191.7 million or $1.10 per share, compared with net income of $55.6 million or $0.32 per share in the prior fiscal year, an increase of 244% for earnings per share. For these years, non-GAAP net income excluded charges for goodwill impairment, the restructuring program, the tax adjustment related to stock compensation and losses related to unauthorized activities in Japan. The effective tax rate for the fiscal year on a non-GAAP basis was 30.4%. 
 

  Unauthorized Activities in Japan 
 

  As previously disclosed, in April 2010 Molex launched an investigation into unauthorized activities in its Japanese subsidiary because it learned that an individual had obtained unauthorized loans and entered into unauthorized trading in Molex Japan's name. Based on the results of the substantially completed investigation, we recorded for accounting purposes an accrued liability of $165.8 million as of June 30, 2010 for the outstanding unauthorized loans pending the resolution of these matters, as more fully described below. Based on our consultation with legal counsel in Japan and the information learned from the substantially completed investigation, we intend to vigorously contest the enforceability of the outstanding unauthorized loans and any attempt by the lender to obtain payment. 
 

  Restructuring Update 
 

  The Company completed the restructuring program during the June 2010 quarter. The total pretax cost of the program was $315 million which is $15 million higher than previously estimated due to additional non-cash asset impairments for redundant production capacity and further reductions in the carrying cost of real estate held for sale. The expected cost savings from the restructuring program is approximately $205 million on an annual basis. To date, we have realized annual savings of approximately $172 million with $33 million still to be realized in fiscal 2011. 
 

  Outlook 
 

  The Company estimates revenue in a range of $850 to $880 million for the September 2010 quarter. At this level of revenue, the Company expects earnings per share in a range of $0.42 to $0.46, assuming an effective tax rate of 30%. 
 

  Earnings Conference Call Information 
 

  A conference call will be held on Tuesday, August 3, 2010 at 4:00 pm central time. Please dial [phone] to participate in the call. International callers should dial [phone]. Please dial in at least five minutes prior to the start of the call and refer to participant pass code 87571928. Internet users will be able to access the web-cast, including slide materials, live and in replay in the "Investors" section of the Company's website at www.molex.com. A 48-hour telephone replay will be available at approximately 6:00 pm central time at [phone] or [phone] / pass code 33670771. 
 

  Other Investor Events 
 

  September 9, 2010 - Molex Incorporated will host an Analysts Meeting to provide an update to investors on the Company's growth strategies, financial performance and initiatives. The event will again be at our corporate offices - Molex Incorporated, 2222 Wellington Court, Lisle, Illinois 60532. The meeting will begin at 10:30am central and is scheduled to end at approximately 3:00pm central. If you would like to attend - please contact Christina Gutierrez at [e-mail] 
 

  Forward-Looking Statements 
 

  Statements in this release that are not historical are forward-looking and are subject to various risks and uncertainties that could cause actual results to vary materially from those stated.Words such as "anticipates," "expects," "believes," "intends," "plans," "projects," "estimates," "potential," and similar expressions are used to identify these forward-looking statements.Forward-looking statements are based on currently available information and include, among others, the discussion under "Outlook."These statements are not guarantees of future performance and are subject to risks, uncertainties and assumptions including those associated with the operation of our business, including the risk that customer demand will decrease either temporarily or permanently, whether due to the Company's actions or the demand for the Company's products, and that the Company may not be able to respond through cost reductions in a timely and effective manner; the risk that the value of our inventory may decline; price cutting, new product introductions and other actions by our competitors; fluctuations in the costs of raw materials that the Company is not able to pass through to customers because of existing contracts or market factors; the availability of credit and general market liquidity; fluctuations in currency exchange rates; the financial condition of our customers; labor cost increases; the challenges attendant to plant closings and restructurings, the difficulty of commencing or increasing production at existing facilities, and the reactions of customers, governmental units, employees and other groups, the challenges attendant to plant construction; and the ability to realize cost savings from restructuring activities. 
 

  Other factors, risks and uncertainties are set forth in Item 1A "Risk Factors" of the Company's Form 10-K for the year ended June 30, 2009, and the Form 10-Q for the quarters ended September 30, 2009, December 31, 2009 and March 30, 2010 which are incorporated by reference and in other reports that Molex files or furnishes with the Securities and Exchange Commission.Forward-looking statements are based upon assumptions as to future events that may not prove to be accurate.Actual outcomes and results may differ materially from what is expressed in these forward-looking statements.As a result, this release speaks only as of its date and Molex disclaims any obligation to revise these forward-looking statements or to provide any updates regarding information contained in this release resulting from new information, future events or otherwise. 
 

  Molex Incorporated is a 72-year-old global manufacturer of electronic, electrical and fiber optic interconnection systems. Based in Lisle, Illinois, USA, the Company operates 39 manufacturing locations in 16 countries. The Molex website is www.molex.com. 
 

  Editor's note: Molex is traded on the NASDAQ Global Select Market (MOLX and MOLXA) in the United States and on the London Stock Exchange. The Company's voting common stock (MOLX) is included in the S&P 500 Index. 
 
Molex Incorporated 
Non-GAAP Measures 
(in thousands, except 
per share data) 
                             Jun. 30,   Mar. 31,          Jun. 30, 
                             2010       2010              2009 
Three months ended:                     (as restated)*    (as restated)* 
Net income (loss)            $ 39,780   $ 38,447          $ (220,489 ) 
Restructuring costs and        24,694     7,440             32,224 
asset impairments 
Loss on unauthorized           3,040      5,120             1,712 
activities in Japan 
Goodwill impairments           -          -                 171,000 
Non-GAAP net income (loss)   $ 67,514   $ 51,007          $ (15,553  ) 
Earnings (loss) per share    $ 0.23     $ 0.22            $ (1.27    ) 
Restructuring costs and        0.14       0.04              0.19 
asset impairments 
Loss on unauthorized           0.02       0.03              - 
activities in Japan 
Goodwill impairments           -          -                 0.99 
Non-GAAP earnings            $ 0.39     $ 0.29            $ (0.09    ) 
(loss) per share 
                             Jun. 30,   Jun. 30, 
                             2010       2009 
Fiscal years ended:                     (as restated)* 
Net income (loss)            $ 76,930   $ (322,036 ) 
Restructuring costs and        92,835     111,798 
asset impairments 
Loss on unauthorized           17,148     1,712 
activities in Japan 
Tax adjustment - stock         4,795      - 
compensation 
Goodwill impairments           -          264,140 
Non-GAAP net income (loss)   $ 191,708  $ 55,614 
Earnings (loss) per share    $ 0.44     $ (1.84    ) 
Restructuring costs and        0.53       0.64 
asset impairments 
Loss on unauthorized           0.10       0.01 
activities in Japan 
Tax adjustment - stock         0.03       - 
compensation 
Goodwill impairments           -          1.51 
Non-GAAP earnings            $ 1.10     $ 0.32 
(loss) per share 
 
 

  *See Notes A and B 
 

  Non-GAAP net income (loss) and non-GAAP earnings (loss) per share are non-GAAP financial measures. We refer to non-GAAP net income (loss) and non-GAAP earnings (loss) per share to describe earnings and earnings per share excluding the items referenced above. We believe that non-GAAP net income (loss) and non-GAAP earnings (loss) per share provide useful information to investors because both provide information about the estimated financial performance of Molex's ongoing business. Non-GAAP net income (loss) and non-GAAP earnings (loss) per share are used by management in its financial and operational decision-making and evaluation of overall operating performance and segment level core operating performance. Non-GAAP net income (loss) and non-GAAP earnings (loss) per share may be different from similar measures used by other companies. 
 
  Molex Incorporated 
  Condensed Consolidated Balance Sheets 
  (in thousands) 
                                        June 30,     June 30, 
                                        2010         2009 
                                                     (as restated)* 
  ASSETS 
  Current assets: 
  Cash and cash equivalents             $ 376,352    $ 424,707 
  Marketable securities                   18,508       43,234 
  Accounts receivable, less allowances    734,932      528,907 
  of $43,650 and $32,593  respectively 
  Inventories                             469,369      354,337 
  Deferred income taxes                   112,531      87,424 
  Other current assets                    64,129       68,449 
  Total current assets                    1,775,821    1,507,058 
  Property, plant and equipment, net      1,055,144    1,080,417 
  Goodwill                                131,910      128,494 
  Non-current deferred income taxes       94,191       99,276 
  Other assets                            179,512      196,341 
  Total assets                          $ 3,236,578  $ 3,011,586 
  LIABILITIES AND STOCKHOLDERS' EQUITY 
  Current liabilities: 
  Current portion of long-term debt     $ 110,070    $ 224,340 
  and short-term borrowings 
  Accounts payable                        395,474      266,633 
  Accrued expenses: 
  Salaries, commissions and bonuses       96,403       55,109 
  Restructuring                           26,898       69,928 
  Accrual for unauthorized                165,815      174,804 
  activities in Japan 
  Other                                   96,531       93,392 
  Income taxes payable                    21,505       687 
  Total current liabilities               912,696      884,893 
  Other non-current liabilities           19,869       21,862 
  Accrued pension and postretirement      135,448      113,268 
  benefits 
  Long-term debt                          183,434      30,311 
  Total liabilities                       1,251,447    1,050,334 
  Commitments and contingencies 
  Total stockholders' equity              1,985,131    1,961,252 
  Total liabilities and                 $ 3,236,578  $ 3,011,586 
  stockholders' equity 
 
 

  *See Notes A and B 
 
Molex 
Incorporated 
Condensed 
Consolidated 
Statements 
of 
Operations 
(in 
thousands, 
except 
per share 
data) 
(quarterly 
information 
unaudited) 
                   Three Months Ended           Years Ended 
                   June 30,                     June 30, 
 
                   2010       2009              2010           2009 
                              (as restated)*                   (as restated)* 
Net              $ 847,304    $ 570,589         $ 3,007,207    $2,581,841 
revenue 
Cost of            594,366      433,352           2,114,584      1,925,664 
sales 
Gross              252,938      137,237           892,623        656,177 
profit 
Selling,           158,676      136,668           610,784        586,702 
general 
and 
administrative 
Restructuring      26,543       45,627            117,139        151,531 
costs and 
asset 
impairments 
Net                4,768        2,685             26,898         2,685 
loss 
on 
unauthorized 
activities 
in Japan 
Goodwill           -            171,000           -              264,140 
impairment 
Total              189,987      355,980           754,821        1,005,058 
operating 
expenses 
Income             62,951       (218,743 )        137,802        (348,881  ) 
(loss) 
from 
operations 
Interest           (832    )    (326     )        (5,416    )    1,961 
(expense) 
income, 
net 
Other              (959    )    1,095             (897      )    25,347 
(expense) 
income 
Total              (1,791  )    769               (6,313    )    27,308 
other 
(expense) 
income 
Income             61,160       (217,974 )        131,489        (321,573  ) 
(loss) 
before 
income 
taxes 
Income             21,380       2,515             54,559         463 
taxes 
Net              $ 39,780     $ (220,489 )      $ 76,930       $ (322,036  ) 
income 
(loss) 
Earnings 
(loss) 
per 
share: 
Basic            $ 0.23       $ (1.27    )      $ 0.44         $ (1.84     ) 
Diluted          $ 0.23       $ (1.27    )      $ 0.44         $ (1.84     ) 
Dividends        $ 0.1525     $ 0.1525          $ 0.6100       $ 0.6100 
declared 
per share 
Average 
common 
shares 
outstanding: 
Basic              174,123      173,290           173,803        174,598 
Diluted            175,098      173,290           174,660        174,598 
 
 

  *See Notes A and B 
 
Molex Incorporated 
Condensed Consolidated Statements 
of Cash Flows 
(in thousands) 
                                           Years Ended 
                                           June 30, 
                                           2010           2009 
                                                          (as restated)* 
Operating activities: 
Net income (loss)                          $ 76,930       $ (322,036 ) 
Add (deduct) non-cash items included 
in net income (loss): 
Depreciation and amortization                238,666        251,902 
Goodwill impairment                          -              264,140 
Asset write-downs included                   37,296         41,376 
in restructuring costs 
Loss (gain) on investments                   558            (143     ) 
Deferred income taxes                        (16,965  )     (28,233  ) 
Loss on sale of property,                    4,092          2,478 
plant and equipment 
Share-based compensation                     27,034         26,508 
Other non-cash items                         20,577         (8,124   ) 
Changes in assets and liabilities: 
Accounts receivable                          (208,051 )     201,080 
Inventories                                  (117,701 )     95,529 
Accounts payable                             115,869        (84,502  ) 
Other current assets and liabilities         14,559         (22,591  ) 
Other assets and liabilities                 57,715         (47,486  ) 
Cash provided from operating activities      250,579        369,898 
Investing activities: 
Capital expenditures                         (229,477 )     (177,943 ) 
Proceeds from sales of property,             3,014          9,574 
plant and equipment 
Proceeds from sales or maturities            44,373         29,549 
of marketable securities 
Purchases of marketable securities           (18,890  )     (42,751  ) 
Acquisitions                                 (10,097  )     (74,789  ) 
Other investing activities                   (5,794   )     3,274 
Cash used for investing activities           (216,871 )     (253,086 ) 
Financing activities: 
Proceeds from revolving credit               154,000        245,000 
facility and short term loans 
Payments on revolving credit facility        (79,000    )   (295,000 ) 
Proceeds from issuance of long-term debt     32,647         78,060 
Payments of long-term debt                   (87,787  )     (1,827   ) 
Cash dividends paid                          (105,984 )     (99,640  ) 
Exercise of stock options                    4,008          1,692 
Excess tax benefits from                     -              1,693 
share-based compensation 
Purchase of treasury stock                   -              (76,342  ) 
Other financing activities                   (1,120   )     (9,218   ) 
Cash used for financing activities           (83,236  )     (155,582 ) 
Effect of exchange rate changes on cash      1,173          (12,030  ) 
Net (decrease) increase in                   (48,355  )     (50,800  ) 
cash and cash equivalents 
Cash and cash equivalents,                   424,707        475,507 
beginning of year 
Cash and cash equivalents, end of year     $ 376,352      $ 424,707 
 
 

  * See Notes A and B 
 

  Note A - Net Loss on Unauthorized Activities in Japan 
 

  As we previously reported, in April 2010, we launched an investigation into unauthorized activities in Japan. We learned that an individual working in Molex Japan's finance group obtained unauthorized loans from third party lenders, that included in at least one instance the attempted unauthorized pledge of Molex Japan facilities as security, in Molex Japan's name that were used to cover losses resulting from unauthorized trading, including margin trading, in Molex Japan's name. We also learned that the individual misappropriated funds from Molex Japan's accounts to cover losses from unauthorized trading. The individual admitted to forging documentation in arranging and concealing the transactions. We retained outside legal counsel, and they retained forensic accountants, to investigate the matter. The investigation is now substantially complete. Based on our consultation with legal counsel in Japan and the information learned from the substantially completed investigation, we intend to vigorously contest the enforceability of the outstanding unauthorized loans and any attempt by the lender to obtain payment. 
 

  At the end of the third quarter of fiscal 2010, we reported the outstanding unauthorized loans as a contingent liability of $162.2 million. Based on the results of the substantially completed investigation, we recorded for accounting purposes an accrued liability for the effect of unauthorized activities pending the resolution of these matters. In particular, we recognized cumulative net losses of ($201.9 million, or $128.7 million after-tax) due to these unauthorized activities, which were comprised of (1) the asserted unauthorized loans outstanding as of June 30, 2010 of ¥15.0 billion ($169.7 million), (2) the payment of ¥1.0 billion ($10.8 million) of unauthorized loans on April 5, 2010, (3) misappropriated funds of ¥1.9 billion ($20.5 million), and (4) cumulative investigative costs through June 30, 2010 of $4.8 million, offset by (5) an unauthorized investment account with a balance of ¥0.4 billion ($3.9 million) as of June 30, 2010. We believe these unauthorized activities and related losses occurred from at least as early as 1988 through 2010, with approximately ¥15.4 billion ($167.4 million) occurring prior to June 30, 2007. The accrued liability for these potential net losses was ¥14.7 billion ($165.8 million) as of June 30, 2010. To the extent we prevail in not having to pay all or any portion of the outstanding unauthorized loans, we would recognize a gain in that amount. 
 

  Note B - Restatement of Prior Period Financial Statements 
 

  During the fourth quarter of fiscal 2010, we made the following adjustments to the historical consolidated financial statements. 
 
 
    -- As discussed in Note A, we recorded a liability for potential losses 

       related to the unauthorized activities in Japan. We are restating 

       prior period financial statements to record liabilities in the periods 

       in which the unauthorized transactions occurred. 
 
    -- During the fourth quarter of fiscal 2010, we completed a study to 

       determine if historical tax transactions and balances had been 

       recognized appropriately in accordance with ASC 740. We identified 

       errors in tax-related accounts in prior periods. 
 

  Based on our analysis of these adjustments, we concluded that while the adjustments were not material to the operating results of fiscal year 2009, there was an overstatement of stockholders' equity in the amount of $101.3 million, which represented 4.9% of total stockholders' equity as of June 30, 2009. Accordingly, we restated the fiscal 2009 consolidated financial statements and quarterly financial statements included in this release. 
 
The effect of the restatement on the consolidated statement of  operations for the year ended June 30, 2009 follows (in thousands): 
                                               Adjustments 
                                               As Reported    Japan           Tax       As Restated 
Year Ended June 30, 2009: 
Net loss on unauthorized activities in Japan   $ -            $ 2,685       $ -         $ 2,685 
Income (loss) from operations                    (346,196  )    (2,685   )    -           (348,881  ) 
Income (loss) before income taxes                (318,888  )    (2,685   )    -           (321,573  ) 
Income taxes                                     2,399          (973     )    (963   )    463 
Net income (loss)                                (321,287  )    (1,712   )    963         (322,036  ) 
Earnings (loss) per share: 
Basic                                            (1.84     )    0.01          (0.01  )    (1.84     ) 
Diluted                                          (1.84     )    0.01          (0.01  )    (1.84     ) 
The effect of the restatement on the consolidated balance sheet as  of June 30, 2009 follows (in thousands): 
                                               Adjustments 
                                               As Reported    Japan         Tax         As Restated 
Deferred income taxes                          $ 27,939       $ 63,366      $ (3,881 )  $ 87,424 
Total current assets                             1,447,573      63,366        (3,881 )    1,507,058 
Non-current deferred income taxes                89,332         -             9,944       99,276 
Total assets                                     2,942,157      63,366        6,063       3,011,586 
Income taxes payable                             4,750          -             (4,063 )    687 
Accrual for unauthorized activities in Japan     -              174,804       -           174,804 
Total current liabilities                        714,152        174,804       (4,063 )    884,893 
Total liabilities                                879,593        174,804       (4,063 )    1,050,334 
Retained earnings                                2,355,991      (111,438 )    17,041      2,261,594 
Accumulated other comprehensive income           183,298        -             (6,915 )    176,383 
Total stockholders' equity                       2,062,564      (111,438 )    10,126      1,961,252 
Total liabilities and stockholders' equity       2,942,157      63,366        6,063       3,011,586 
The effect of the restatement on the consolidated statement of  cash flows for the year ended June 30, 2009 follows (in thousands): 
                                               Adjustments 
                                               As Reported    Japan         Tax         As Restated 
Net income (loss)                              $ (321,287  )  $ (1,712   )  $ 963       $ (322,036  ) 
Deferred income taxes                            (26,606   )    (973     )    (654   )    (28,233   ) 
Other current assets and liabilities             (24,967   )    2,685         (309   )    (22,591   ) 
Cash provided from operating activities          369,898        -             -           369,898 
 
 
The effect of the restatement on the quarterly consolidated  statements of operations for the quarters ended March 31, 2010,  December 31, 2009, September 30, 2009 and June 30, 2009 follows  (in thousands): 
                                               Adjustments 
                                               As Reported    Japan        Tax        As Restated 
Quarter Ended March 31, 2010: 
Net loss on unauthorized activities in Japan   $ 30,967       $ (22,935 )  $ -        $ 8,032 
Income (loss) from operations                    39,321         22,935       -          62,256 
Income (loss) before income taxes                34,302         22,935       -          57,237 
Income taxes                                     10,476         8,314        -          18,790 
Net income (loss)                                23,826         14,621       -          38,447 
Earnings (loss) per share: 
Basic                                            0.14           0.08         -          0.22 
Diluted                                          0.14           0.08         -          0.22 
                                               Adjustments 
                                               As Reported    Japan        Tax        As Restated 
Quarter Ended December 31, 2009: 
Net loss on unauthorized activities in Japan   $ -            $ 8,544      $ -        $ 8,544 
Income (loss) from operations                    36,796         (8,544  )    -          28,252 
Income (loss) before income taxes                34,809         (8,544  )    -          26,265 
Income taxes                                     15,523         (3,097  )    -          12,426 
Net income (loss)                                19,286         (5,447  )    -          13,839 
Earnings (loss) per share: 
Basic                                            0.11           (0.03   )    -          0.08 
Diluted                                          0.11           (0.03   )    -          0.08 
                                               Adjustments 
                                               As Reported    Japan        Tax        As Restated 
Quarter Ended September 30, 2009: 
Net loss on unauthorized activities in Japan   $ -            $ 5,555      $ -        $ 5,555 
Income (loss) from operations                    (10,103  )     (5,555  )    -          (15,658  ) 
Income (loss) before income taxes                (7,619   )     (5,555  )    -          (13,174  ) 
Income taxes                                     3,976          (2,014  )    -          1,962 
Net income (loss)                                (11,595  )     (3,541  )    -          (15,136  ) 
Earnings (loss) per share: 
Basic                                            (0.07    )     (0.02   )    -          (0.09    ) 
Diluted                                          (0.07    )     (0.02   )    -          (0.09    ) 
                                               Adjustments 
                                               As Reported    Japan        Tax        As Restated 
Quarter Ended June 30, 2009: 
Net loss on unauthorized activities in Japan   $ -            $ 2,685      $ -        $ 2,685 
Income (loss) from operations                    (216,058 )     (2,685  )    -          (218,743 ) 
Income (loss) before income taxes                (215,289 )     (2,685  )    -          (217,974 ) 
Income taxes                                     4,451          (973    )    (963  )    2,515 
Net income (loss)                                (219,740 )     214          (963  )    (220,489 ) 
Earnings (loss) per share: 
Basic                                            (1.27    )     0.01         (0.01 )    (1.27    ) 
Diluted                                          (1.27    )     0.01         (0.01 )    (1.27    ) 
 
 
Molex Incorporated 
Steve Martens 
Vice President of Investor Relations 
[phone]