Income Statements

Net Sales
Cost of sales
Gross profit
RD&E expenses
SG&A expenses
Amortization of intangibles
In-process R&D
Operating income (expenses)
Earnings before tax
Income taxes
Net earning

2005 A
$4,871.50
$1,718.50
$3,153.00
$284.70
$1,853.50
$48.80
$15.90
$950.10
$4.50
$954.60
$311.00
$643.60

2006 A
2007 E1
$5,405.60
$1,848.70
$3,556.90
$324.60
$2,061.70
$43.60
$52.70
$1,074.30
$29.50
$1,103.80
$326.10
$777.70

$6,000.22
$2,083.88
$3,916.34
$360.31
$2,288.49
$48.40
$58.50
$1,160.65
$0.00
$1,160.65
$348.20
$812.46

"@11% sales growth

$933.24 reflects an increase by 20% as required by t

2007 E2
$6,892.22
$2,393.67
4,498.55
$413.87
$2,628.70
$55.59
$67.19
1,333.20
$0.00
1,333.20
$399.96
$933.24

2005-2006
11%
8%
13%
14%
11%
-11%
231%
13%
556%
16%
5%
21%

"@28% sales growth

flects an increase by 20% as required by the company

% increase
2006-2007E1
2006-2007E2
11%
28%
13%
29%
10%
26%
11%
28%
11%
28%
11%
28%
11%
28%
8%
24%
-100%
-100%
5%
21%
7%
23%
4%
20%

Ratio to sales
2005
2006
0.35
0.65
0.06
0.38
0.01
0.00
0.20
0.00
0.20
0.06
0.13

0.34
0.66
0.06
0.38
0.01
0.01
0.20
0.01
0.20
0.06
0.14

Ratio to sales
2007 E1
0.35
0.65
0.06
0.38
0.01
0.01
0.19
0.00
0.19
0.06
0.14

2007 E2
0.35
0.65
0.06
0.38
0.01
0.01
0.19
0.00
0.19
0.06
0.14

Income Statements
Net Sales
Cost of sales
Gross profit
RD&E expenses
SG&A expenses
Amortization of intangibles
In-process R&D
Operating income (expenses)
Earnings before tax
Income taxes
Net earning

2005 A
$4,871.50
$1,718.50
$3,153.00
$284.70
$1,853.50
$48.80
$15.90
$950.10
$4.50
$954.60
$311.00
$643.60

2006 A
2007 E1
$5,405.60
$1,848.70
$3,556.90
$324.60
$2,061.70
$43.60
$52.70
$1,074.30
$29.50
$1,103.80
$326.10
$777.70

$6,000.22
$2,083.88
$3,916.34
$360.31
$2,288.49
$48.40
$58.50
$1,160.65
$0.00
$1,160.65
$348.20
$812.46

"@13% increase in exp

2007 E2
$6,000.22
$1,911.33
4,088.89
$360.31
$2,288.49
$48.40
$58.50
1,333.20
$0.00
1,333.20
$399.96
$933.24

2005-2006
11%
8%
13%
14%
11%
-11%
231%
13%
556%
16%
5%
21%

% increase
2006-2007E1
2006-2007E2
11%
11%
13%
3%
10%
15%
11%
11%
11%
11%
11%
11%
11%
11%
8%
24%
-100%
-100%
5%
21%
7%
23%
4%
20%

"@3% increase in expense

$933.24 reflects an increase by 20% as required by the company

Ratio to sales
2005
2006
0.35
0.65
0.06
0.38
0.01
0.00
0.20
0.00
0.20
0.06
0.13

0.34
0.66
0.06
0.38
0.01
0.01
0.20
0.01
0.20
0.06
0.14

Ratio to sales
2007 E1
0.35
0.65
0.06
0.38
0.01
0.01
0.19
0.00
0.19
0.06
0.14

2007 E2
0.32
0.68
0.06
0.38
0.01
0.01
0.22
0.00
0.22
0.07
0.16