GLOBAL REACH. LEADlNG TECHNOLOGY. - Zonebourse.com

More documents

Recommendations

Info

cost trend rates. assets, Future retirement ages, years of service, future salary increases, and future health care cost trend rates. Future uch, a .25% change changes in the affecting the assumptions will change the related pension benefit or expense. As such, a .25% change in the ted benefit obligation discount and rate and rate of return on net assets would have the following effects on projected benefit obligation and pension expense, respectively, as of and for the fiscal year ended October 31, 2008: .25% Decrease .25% Increase .25% Decrease Expected Expected Expected t long-term Discount long-term Discount long-term rate of return In thousands Rate rate of return Rate rate of return 50 $ U.S Pension Plans: (1,618) Net pension expense $ (2,326) $ 1,618 $ 2,350 $ (1,618) 63 Projected - benefit obligation (21,404) - 22,063 - 91 Non U.S. Pension Plans: (1,362) Net pension expense (2,454) 1,362 2,491 (1,362) 07 Projected - benefit obligation (15,729) - 16,307 - 52 Other Postretirement Benefit Plans: Net (7) pension expense (43) 7 52 (7) 48 Projected - benefit obligation (637) - 648 - Income Taxes d tax assets and liabilities Deferred taxes are accounted for under the asset and liability method whereby deferred tax assets and liabilities ancial statement are carrying recognized for the future tax consequences attributable to differences between the financial statement carrying assets and liabilities amounts are of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are in the deferred tax measured assets using statutory tax rates. Deferred income tax provisions are based on changes in the deferred tax assets accounting. Additionally, and liabilities from period to period, adjusted for certain reclassifications under fresh start accounting. Additionally, n in which we operate we analyze to our ability to recognize the net deferred tax assets created in each jurisdiction in which we operate to a. determine if valuation allowances are necessary based on the “more likely than not” criteria. nce tax valuation reserves As required under the application of fresh start accounting, the release of pre-emergence tax valuation reserves cess reorganization was value not recorded in the income statement but instead was treated first as a reduction of excess reorganization value in capital. Consequently, until exhausted, then intangibles until exhausted, and thereafter reported as additional paid in capital. Consequently, ll continue to monitor a net the tax charge will be incurred in future years when these tax assets are utilized. We will continue to monitor the valuation allowances appropriateness that of the existing valuation allowances and determine annually the amount of valuation allowances that uation allowances are against required to be maintained. As of October 31, 2008, there were $70.5 million of valuation allowances against luation allowances pre-emergence will be net operating loss carryforwards. All future reversals of pre-emergence valuation allowances will be recorded to additional paid in capital. on an interim basis. We The estimate the effective tax rate expected to be applicable for the full fiscal year on an interim basis. The rned (e.g., United estimated States effective tax rate contemplates the expected jurisdiction where income is earned (e.g., United States are different from compared these to non-United States) as well as tax planning strategies. If the actual results are different from these determination is estimates, made. adjustments to the effective tax rate may be required in the period such determination is made. recorded separately Additionally, as an discrete items are treated separately from the effective rate analysis and are recorded separately as an d, these items will income impact tax provision or benefit at the time they are recognized. To the extent recognized, these items will impact hin the same fiscal the year. effective tax rate in aggregate but will not adjust the amount used for future periods within the same fiscal year. Page 32 Page 32
Liquidity and Capital Resources Working capital and cash flow are two financial measurements that provide an indication of our ability to meet our financial obligations. We currently use a combination of cash generated by operations, borrowings on our line of credit and debt offerings to fund continuing operations. The following table summarizes the major elements of our working capital as of October 31, 2008 and October 26, 2007, respectively: October 31, October 26, In millions 2008 2007 Cash and cash equivalents $ 201.6 $ 173.2 Accounts receivable 632.2 560.2 Inventories 805.2 727.4 Other current assets 99.2 77.0 Short-term notes payable, including current portion of long-term obligations (26.5) (0.2) Accounts payable (291.8) (199.2) Employee compensation and benefits (110.0) (59.5) Advance payments and progress billings (491.7) (324.1) Accrued warranties (46.6) (49.4) Other accrued liabilities (173.8) (121.1) Working Capital $ 597.8 $ 784.3 We currently use working capital and cash flow production as two financial measurements to evaluate the performance of our operations and our ability to meet our financial obligations. We continue to require working capital investment to maintain our position as a leading manufacturer and servicer of high productivity mining equipment. The primary drivers of these requirements are funding for purchases of production and replacement parts inventories. Our position as a market leader in providing timely service and repair requires us to maintain a certain level of replacement parts. As part of our continuous improvement of purchasing and manufacturing processes, we continue to strive for alignment of inventory levels with customer demand and current production schedules. We expect fiscal 2009 capital spending to be between 2.5% and 3.0% of sales. This represents an increase from fiscal 2008 capital spending as a percentage of sales of up to 0.5%. Capital projects will be monitored to ensure alignment with customer needs and prevailing economic conditions. In addition, cash is required for capital expenditures for the repair, replacement, and upgrading of existing facilities. We have debt service requirements, including commitment and letter of credit fees under our revolving credit facility and biannual interest payments due to holders of our Senior Notes issued in November 2006. We believe that cash generated from operations, together with borrowings available under our credit facility, provide us with adequate liquidity to meet our operating and debt service requirements and planned capital expenditures. For the long-term the fundamentals of the commodity cycle remain positive, near-term softness will require continuous reevaluation of new projects to ensure that we are effectively allocating resources in line with current market conditions. In fiscal 2008, we completed a $50 million 130,000 square foot expansion in proprietary component machining capabilities for P&H Mining at our Tianjin, China campus, with first piece runoff of currently installed equipment completed early in the fourth quarter of fiscal 2008, with full production targeted for the second half of fiscal 2009. As we look to provide more efficient operations amongst our customers and three operating segments, we are in the process of consolidating six smaller existing facilities in Australia into one combined underground and surface mining service center and manufacturing facility. Page 33
Page 1 and 2: global reach. leading technology. j
Page 3 and 4: f i n a n c i a l h i g h l i g h t
Page 5 and 6: than doubled from 2007, while after
Page 7 and 8: future revenues. The ultra-class dr
Page 9 and 10: UNITED STATES SECURITIES AND EXCHAN
Page 11 and 12: This Page Intentionally Left Blank
Page 13 and 14: PART I This document contains forwa
Page 15 and 16: connected bridge structures that ut
Page 17 and 18: Fiscal 2008 Developments: • First
Page 19 and 20: Raw Materials Joy purchases electri
Page 21 and 22: • costs and difficulties in integ
Page 23 and 24: Demand for our products may be adve
Page 25 and 26: Item 2. Properties As of October 31
Page 27 and 28: (1) Under a month to month lease (2
Page 29 and 30: Executive Officers of the Registran
Page 31 and 32: The following graph sets forth the
Page 33 and 34: Item 7. Management’s Discussion a
Page 35 and 36: Operating Income The following tabl
Page 37 and 38: Operating Income The following tabl
Page 39: is adjusted appropriately for futur
Page 43 and 44: At October 31, 2008, there were no
Page 45 and 46: We have a risk-averse Foreign Excha
Page 47 and 48: Exchange Rate Table As of October 2
Page 49 and 50: Item 9A. Controls and Procedures (a
Page 51 and 52: Item 15. Exhibits and Financial Sta
Page 53 and 54: Inc. 2007 Stock Incentive Plan (inc
Page 55 and 56: Joy Global Inc. Form 10-K Item 8 an
Page 57 and 58: Report of Independent Registered Pu
Page 59 and 60: Joy Global Inc. Consolidated Statem
Page 61 and 62: LIABILITIES AND SHAREHOLDERS' EQUIT
Page 63 and 64: Joy Joy Global Global Inc. Inc. Con
Page 65 and 66: Joy Global Inc. Notes to Consolidat
Page 69 and 70: 3. Goodwill and Intangible Assets J
Page 75 and 76: 6. Accounts Receivable Joy Global I
Page 89 and 90: Stamler Joy Global Inc. Notes to Co
Page 91 and 92:
Joy Global Inc. Notes to Consolidat
Page 93 and 94:
Page 95 and 96:
22. Subsidiary Guarantors Joy Globa
Page 97 and 98:
Page 99 and 100:
Page 101 and 102:
Page 103 and 104:
Page 105 and 106:
Pursuant to the requirements of the
Page 107 and 108:
This Page Intentionally Left Blank
Page 109 and 110:
c o r p o r a t e i n f o r m a t i
show all

GLOBAL REACH. LEADlNG TECHNOLOGY. - Zonebourse.com

You also want an ePaper? Increase the reach of your titles

Delete template?

Save as template?