SEGMENT REPORTING

3 Months Ended

Mar. 31, 2013

SEGMENT REPORTING [Abstract]

SEGMENT REPORTING

NOTE 12 - SEGMENT REPORTING

The Company's reportable business segments are: Service Centers, Innovative Pumping Solutions and Supply Chain Services. The Service Centers segment is engaged in providing maintenance, MRO 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, metal working, fastener, industrial supply, safety products and safety services categories. The Innovative Pumping Solutions segment fabricates and assembles custom-made pump packages. The Supply Chain Services segment manages all or part of a customer's supply chain, including warehouse and inventory management.

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.

The following table sets out financial information relating the Company's segments (in thousands):

Three Months Ended March 31,	Service Centers		Innovative Pumping Solutions		Supply Chain Services		Total
2013
Sales	$	210,091	$	41,523	$	38,483	$	290,097
Operating income for reportable segments		25,047		7,117		3,185		35,349
2012
Sales	$	175,071	$	39,435	$	37,781	$	252,287
Operating income for reportable segments		18,553		8,248		2,818		29,619

The following table presents reconciliations of operating income for reportable segments to the consolidated income before taxes (in thousands):

	Three Months Ended March 31,
	2013		2012
Operating income for reportable segments	$	35,349	$	29,619
Adjustment for:
Amortization of intangibles		2,642		2,234
Corporate and other expense, net		10,003		7,480
Total operating income		22,704		19,905
Interest expense, net		1,627		829
Other expense (income), net		1		(15	)
Income before income taxes	$	21,076	$	19,091