SEGMENT REPORTING

9 Months Ended

Sep. 30, 2011

SEGMENT REPORTING [Abstract]

SEGMENT REPORTING

NOTE 8: SEGMENT REPORTING

The Service Centers segment is engaged in providing maintenance, repair and operating products, equipment and integrated services, including logistics capabilities, to industrial customers.  The Service Centers segment provides a wide range of MRO products in the rotating equipment, bearing, power transmission, hose, fluid power, industrial supply and safety products and services categories.  The Innovative Pumping Solutions segment fabricates and assembles custom-made engineered pump packages.  The Supply Chain Services segment manages all or part of customer supply chains, including inventories.

The high degree of integration of the Company's operations necessitates the use of a substantial number of allocations and apportionments in the determination of business segment information.  Sales are shown net of intersegment eliminations.   All business segments operate primarily in the United States.

Financial information relating the Company's segments is as follows for the periods indicated:

	Three Months Ended September 30,				Nine Months Ended September 30,
	Service Centers	Innovative Pumping Solutions	Supply Chain Services	Total	Service Centers	Innovative Pumping Solutions	Supply Chain Services	Total
2011
Sales	$  141,817	$    31,342	$34,696	$ 207,855	$412,871	$   69,841	$105,905	$ 588,617
Operating income for   reportable segments	15,866	4,812	2,024	22,702	47,987	10,755	6,074	64,816
2010
Sales	$  117,739	$    22,574	$31,936	$ 172,249	$338,124	$   53,596	$ 94,813	$ 486,533
Operating income for   reportable segments	13,538	2,368	1,828	17,734	37,078	7,147	5,370	49,595

A reconciliation of operating income for reportable segments to the consolidated income before taxes is as follows for the periods indicated (in thousands):

	Three Months Ended September 30		Nine months Ended September 30
	2011	2010	2011	2010
Operating income for reportable segments	$ 22,702	$ 17,734	$ 64,816	$  49,595
Adjustment for:
Amortization of intangibles	1,595	1,520	4,805	4,339
Corporate and other expense, net	6,671	6,056	20,402	19,222
Total operating income	14,436	10,158	39,609	26,034
Interest expense, net	760	1,425	2,805	4,023
Other expense (income), net	(4)	(29)	(40)	(243)
Income before income taxes	$ 13,680	$  8,762	$ 36,844	$  22,254