10-Q

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C.  20549

FORM 10-Q

ý Quarterly Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

For the quarterly period ended September 30, 2013

or

o Transition Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

For the transition period from _________ to _______

Commission File Number 1-134

CURTISS-WRIGHT CORPORATION

(Exact name of Registrant as specified in its charter)

Delaware	13-0612970
(State or other jurisdiction of incorporation or organization)	(I.R.S. Employer Identification No.)

10 Waterview Boulevard
Parsippany, New Jersey	07054
(Address of principal executive offices)	(Zip Code)

(973) 541-3700

(Registrant’s telephone number, including area code)

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period of time that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.

Yes  ý                        No  o

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).

Yes  ý                        No  o

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company. See the definitions of “large accelerated filer,” “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer ý		Accelerated filer o
Non-accelerated filer o	(Do not check if a smaller reporting company)	Smaller reporting company o

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).

Yes  o   No  ý

Indicate the number of shares outstanding of each of the issuer’s classes of common stock, as of the latest practicable date.

Common Stock, par value $1.00 per share: 47,367,918 shares (as of October 31, 2013).

CURTISS-WRIGHT CORPORATION and SUBSIDIARIES

TABLE of CONTENTS

PART I – FINANCIAL INFORMATION			PAGE
Item 1.	Financial Statements (Unaudited):
		Condensed Consolidated Statements of Earnings	3
		Condensed Consolidated Statements of Comprehensive Income	4
		Condensed Consolidated Balance Sheets	5
		Condensed Consolidated Statements of Cash Flows	6
		Condensed Consolidated Statements of Stockholders’ Equity	7
		Notes to Condensed Consolidated Financial Statements	8
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations		25
Item 3.	Quantitative and Qualitative Disclosures about Market Risk		42
Item 4.	Controls and Procedures		42
PART II – OTHER INFORMATION
Item 1.	Legal Proceedings		43
Item 1A.	Risk Factors		43
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds		43
Item 3.	Defaults upon Senior Securities		43
Item 4.	Mine Safety Disclosures		43
Item 5.	Other Information		44
Item 6.	Exhibits		45
Signatures			46

Page 2

PART 1- FINANCIAL INFORMATION

Item 1. Financial Statements

CURTISS-WRIGHT CORPORATION and SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS

(UNAUDITED)

	Three Months Ended						Nine Months Ended
	September 30,						September 30,
(In thousands, except per share data)	2013			2012			2013			2012
Net sales
Product sales	$	502,818		$	385,641		$	1,500,450		$	1,214,541
Service sales	97,849			93,581			310,591			292,728
Total net sales	600,667			479,222			1,811,041			1,507,269
Cost of sales
Cost of product sales	340,955			275,142			1,027,695			848,616
Cost of service sales	65,010			62,664			203,923			193,956
Total cost of sales	405,965			337,806			1,231,618			1,042,572
Gross profit	194,702			141,416			579,423			464,697
Research and development expenses	16,054			13,267			49,565			43,965
Selling expenses	38,019			28,009			113,715			93,378
General and administrative expenses	77,742			76,774			257,442			227,889
Operating income	62,887			23,366			158,701			99,465
Interest expense	(9,690		)	(6,648		)	(27,681		)	(19,656		)
Other income, net	378			(119		)	1,076			113
Earnings from continuing operations before income taxes	53,575			16,599			132,096			79,922
Provision for income taxes	17,214			5,156			41,422			25,802
Earnings from continuing operations	36,361			11,443			90,674			54,120
Discontinued operations, net of taxes
Earnings from discontinued operations	—			—			—			3,059
Gain (loss) on divestiture	—			(144		)	—			18,172
Earnings (loss) from discontinued operations	—			(144		)	—			21,231
Net earnings	$	36,361		$	11,299		$	90,674		$	75,351
Basic earnings per share
Earnings from continuing operations	$	0.77		$	0.24		$	1.94		$	1.17
Earnings from discontinued operations	—			—			—			0.45
Total	$	0.77		$	0.24		$	1.94		$	1.62
Diluted earnings per share
Earnings from continuing operations	$	0.76		$	0.24		$	1.90		$	1.14
Earnings from discontinued operations	—			—			—			0.45
Total	$	0.76		$	0.24		$	1.90		$	1.59
Dividends per share	$	0.10		$	0.09		$	0.29		$	0.26
Weighted-average shares outstanding:
Basic	47,081			46,884			46,839			46,795
Diluted	48,063			47,415			47,685			47,493
See notes to condensed consolidated financial statements

Page 3

CURTISS-WRIGHT CORPORATION and SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

(UNAUDITED)

(In thousands)

	Three Months Ended					Nine Months Ended
	September 30,					September 30,
	2013			2012		2013			2012
Net earnings	$	36,361		$	11,299	$	90,674		$	75,351
Other comprehensive income
Foreign currency translation, net of tax (1)	$	33,886		$	23,614	$	(7,864	)	$	23,711
Pension and postretirement adjustments, net of tax (2)	(13,982		)	1,688		41,669			5,146
Other comprehensive income, net of tax	19,904			25,302		33,805			28,857
Comprehensive income	$	56,265		$	36,601	$	124,479		$	104,208

(1) The tax benefit (expense) included in other comprehensive income for foreign currency translation adjustments for the three and nine months ended, September 30, 2013 were ($1.4) million and $(1.5) million, respectively. The tax benefit (expense) included in other comprehensive income for foreign currency translation adjustments for the three and nine months ended, September 30, 2012 were and $4.8 million and $3.4 million, respectively.

(2) The tax benefit (expense) included in other comprehensive income for pension and postretirement adjustments for the three and nine months ended September 30, 2013 were ($20.6) million and ($23.5) million, respectively. The tax benefit (expense) included in other comprehensive income for pension and postretirement adjustments for the three and nine months ended September 30, 2012 were and ($0.9) million and ($2.9) million, respectively.

See notes to condensed consolidated financial statements

Page 4

CURTISS-WRIGHT CORPORATION and SUBSIDIARIES

CONDENSED CONSOLIDATED BALANCE SHEETS

(UNAUDITED)

(In thousands, except par value)

	September 30, 2013			December 31, 2012
Assets
Current assets:
Cash and cash equivalents	$	171,362		$	112,023
Receivables, net	567,259			578,313
Inventories, net	456,884			397,471
Deferred tax assets, net	49,372			50,760
Other current assets	50,352			37,194
Total current assets	1,295,229			1,175,761
Property, plant, and equipment, net	504,413			489,593
Goodwill	1,047,880			1,013,300
Other intangible assets, net	425,620			419,021
Deferred tax assets, net	1,228			1,709
Other assets	14,796			15,204
Total assets	$	3,289,166		$	3,114,588
Liabilities
Current liabilities:
Current portion of long-term and short-term debt	$	1,227		$	128,225
Accounts payable	163,130			157,825
Dividends payable	4,738			—
Accrued expenses	136,506			131,067
Income taxes payable	5,677			7,793
Deferred revenue	158,321			171,624
Other current liabilities	31,992			43,214
Total current liabilities	501,591			639,748
Long-term debt	918,778			751,990
Deferred tax liabilities, net	88,694			50,450
Accrued pension and other postretirement benefit costs	193,293			264,047
Long-term portion of environmental reserves	15,397			14,905
Other liabilities	119,256			80,856
Total liabilities	1,837,009			1,801,996
Contingencies and commitments (Note 15)
Stockholders' Equity
Common stock, $1 par value	49,190			49,190
Additional paid in capital	150,663			151,883
Retained earnings	1,338,421			1,261,377
Accumulated other comprehensive loss	(21,703		)	(55,508		)
Cost of treasury stock	(64,414		)	(94,350		)
Total stockholders' equity	1,452,157			1,312,592
Total liabilities and stockholders' equity	$	3,289,166		$	3,114,588
See notes to condensed consolidated financial statements

Page 5

CURTISS-WRIGHT CORPORATION and SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(UNAUDITED)

	Nine Months Ended
	September 30,
(In thousands)	2013			2012
Cash flows from operating activities:
Net earnings	$	90,674		$	75,351
Adjustments to reconcile net earnings to net cash provided by operating activities:
Depreciation and amortization	89,660			69,154
Gain on divestiture	—			(29,198		)
Net loss on sale of assets	40			663
Deferred income taxes	5,880			1,294
Share-based compensation	5,475			7,469
Impairment of assets	—			4,836
Change in operating assets and liabilities, net of businesses acquired:
Accounts receivable, net	26,388			17,104
Inventories, net	(36,335		)	(36,837		)
Progress payments	(7,589		)	(9,421		)
Accounts payable and accrued expenses	(6,803		)	(28,455		)
Deferred revenue	(13,303		)	(6,807		)
Income taxes payable	(11,672		)	2,479
Net pension and postretirement liabilities	(12,152		)	(9,954		)
Other current and long-term assets and liabilities	4,123			(3,740		)
Net cash provided by operating activities	134,386			53,938
Cash flows from investing activities:
Proceeds from sales and disposals of long lived assets	1,542			977
Proceeds from divestiture	—			52,123
Acquisitions of intangible assets	—			(2,439		)
Additions to property, plant, and equipment	(57,876		)	(56,043		)
Acquisition of businesses, net of cash acquired	(101,230		)	(6,231		)
Additional consideration on prior period acquisitions	(6,303		)	(1,152		)
Net cash used for investing activities	(163,867		)	(12,765		)
Cash flows from financing activities:
Borrowings under revolving credit facility	610,735			—
Borrowings on debt	500,000			—
Payment of revolving credit facility	(906,907		)	—
Principal payments on debt	(125,024		)	(76		)
Repurchases of common stock	—			(4,974		)
Proceeds from share-based compensation	21,556			14,113
Dividends paid	(8,892		)	(7,967		)
Excess tax benefits from share-based compensation plans	773			22
Net cash provided by financing activities	92,241			1,118
Effect of exchange-rate changes on cash	(3,421		)	2,868
Net increase in cash and cash equivalents	59,339			45,159
Cash and cash equivalents at beginning of period	112,023			194,387
Cash and cash equivalents at end of period	$	171,362		$	239,546
Supplemental disclosure of non-cash activities:
Capital expenditures incurred but not yet paid	$	1,500		$	3,670
See notes to condensed consolidated financial statements

Page 6

CURTISS-WRIGHT CORPORATION and SUBSIDIARIES

CONDENSED CONOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY

(UNAUDITED)

(In thousands)

	Common Stock		Additional Paid in Capital			Retained Earnings			Accumulated Other Comprehensive Loss			Treasury Stock
December 31, 2011	$	48,879	$	143,192		$	1,163,925		$	(65,131	)	$	(85,890	)
Net earnings	—		—			113,844			—			—
Other comprehensive income, net of tax	—		—			—			9,623			—
Dividends paid	—		—			(16,392		)	—			—
Stock options exercised, net of tax	311		6,431			—			—			10,077
Restricted stock	—		(6,233		)	—			—			6,233
Share-based compensation	—		8,907			—			—			521
Repurchase of common stock	—		—			—			—			(25,705		)
Other	—		(414		)	—			—			414
December 31, 2012	$	49,190	$	151,883		$	1,261,377		$	(55,508	)	$	(94,350	)
Net earnings	—		—			90,674			—			—
Other comprehensive income, net of tax	—		—			—			33,805			—
Dividends declared	—		—			(13,630		)	—			—
Stock options exercised, net of tax	—		(2,917		)	—			—			26,158
Restricted stock	—		(3,028		)	—			—			3,028
Share-based compensation	—		5,055			—			—			420
Other	—		(330		)	—			—			330
September 30, 2013	$	49,190	$	150,663		$	1,338,421		$	(21,703	)	$	(64,414	)
See notes to condensed consolidated financial statements

Page 7

CURTISS-WRIGHT CORPORATION and SUBSIDIARIES

NOTES to CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(UNAUDITED)

1.           BASIS OF PRESENTATION

Curtiss-Wright Corporation and its subsidiaries (the Corporation or the Company) is a diversified, multinational manufacturing and service company that designs, manufactures, and overhauls precision components and systems and provides highly engineered products and services to the aerospace, defense, automotive, shipbuilding, processing, oil, petrochemical, agricultural equipment, railroad, power generation, security, and metalworking industries.

The unaudited condensed consolidated financial statements include the accounts of Curtiss-Wright and its majority-owned subsidiaries.  All intercompany transactions and accounts have been eliminated.

On March 30, 2012, the Corporation sold its heat treating business to Bodycote plc.  The Corporation divested this non-core cyclical business to focus on higher technology engineered services such as specialty coatings and materials testing.  As a result of the divestiture, the results of operations for the heat treating business, which were previously reported as part of the Surface Technologies segment, have been reclassified as discontinued operations for all periods presented. Please refer to Footnote 3 of the Corporation's Condensed Consolidated Financial Statements for further information.

The unaudited condensed consolidated financial statements of the Corporation have been prepared in conformity with accounting principles generally accepted in the United States of America, which requires management to make estimates and judgments that affect the reported amount of assets, liabilities, revenue, and expenses and disclosure of contingent assets and liabilities in the accompanying financial statements. Actual results may differ from these estimates. The most significant of these estimates includes the estimate of costs to complete long-term contracts under the percentage-of-completion accounting methods, the estimate of useful lives for property, plant, and equipment, cash flow estimates used for testing the recoverability of assets, pension plan and postretirement obligation assumptions, estimates for inventory obsolescence, estimates for the valuation and useful lives of intangible assets, warranty reserves, legal reserves, and the estimate of future environmental costs. Changes in estimates of contract sales, costs, and profits are recognized using the cumulative catch-up method of accounting. This method recognizes in the current period the cumulative effect of the changes on current and prior periods. Accordingly, the effect of the changes on future periods of contract performance is recognized as if the revised estimate had been the original estimate. During the three and nine months endedSeptember 30, 2012, the Corporation incurred unanticipated additional costs, within its Flow Control segment, of $12.2 million and $20.3 million, respectively, on its long-term contract with Westinghouse for disassembly, inspection, and packaging costs related to the reactor coolant pumps (RCP) that the Corporation is supplying for the AP1000 nuclear power plants in China. In the opinion of management, all adjustments considered necessary for a fair presentation have been reflected in these financial statements.

The unaudited condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto included in the Corporation’s 2012 Annual Report on Form 10-K.  The results of operations for interim periods are not necessarily indicative of trends or of the operating results for a full year.

Corrections to Prior Years Amounts

The presentation of net sales and cost of sales in the prior year's statement of earnings has been corrected to separately present the components of product and service revenues and costs of sales. This change in presentation did not affect total revenues, total cost of sales, total gross profit, operating income, or net earnings.

Out of Period Correction of an Immaterial Error Related to Three and Six Month Periods ended June 30, 2013

In the third quarter of 2013, the Corporation recorded an out of period adjustment related to the three and six month periods ended June 30, 2013 of $18 million to decrease comprehensive income and increase our deferred tax liability to reflect the tax impact of a May 31, 2013 amendment to our Curtiss-Wright Pension Plan which required a plan remeasurement. This error did not affect our condensed consolidated statement of net earnings or condensed consolidated statements of cash flows for the three and nine month periods ended September 30, 2013 or the three and six month periods ended June 30, 2013.  The Corporation evaluated the effects of this error on the June 30, 2013 condensed consolidated financial statements and based on an analysis of quantitative and qualitative factors, the Corporation determined that the error was not material and, therefore, amendment of previously filed reports is not required. 

Page 8

CURTISS-WRIGHT CORPORATION and SUBSIDIARIES

NOTES to CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(UNAUDITED)

RECENTLY ISSUED ACCOUNTING STANDARDS

ADOPTION OF NEW STANDARDS

Other Comprehensive Income:  Presentation of Comprehensive Income

In February 2013, new guidance was issued that amends the current comprehensive income guidance.  The new guidance requires entities to disclose the effect of each item that was reclassified in its entirety out of accumulated other comprehensive income and into net income on each affected net income line item.  For reclassification items that are not reclassified in their entirety into net income, a cross-reference to other required disclosures is required. The new guidance is to be applied prospectively for annual reporting periods beginning after December 15, 2012 and interim periods within those years.  The adoption of this new guidance did not have an impact on the Corporation’s consolidated financial position, results of operations, or cash flows.

2.           ACQUISITION

The Corporation continually evaluates potential acquisitions that either strategically fit within the Corporation’s existing portfolio or expand the Corporation’s portfolio into new product lines or adjacent markets.  The Corporation has completed a number of acquisitions that have been accounted for as business combinations and have resulted in the recognition of goodwill in the Corporation's financial statements.  This goodwill arises because the purchase prices for these businesses reflect the future earnings and cash flow potential in excess of the earnings and cash flows attributable to the current product and customer set at the time of acquisition.  Thus, goodwill inherently includes the know-how of the assembled workforce, the ability of the workforce to further improve the technology and product offerings, and the expected cash flows resulting from these efforts.  Goodwill may also include expected synergies resulting from the complementary strategic fit these businesses bring to existing operations.

The Corporation allocates the purchase price at the date of acquisition based upon its understanding of the fair value of the acquired assets and assumed liabilities. In the months after closing, as the Corporation obtains additional information about these assets and liabilities, including through tangible and intangible asset appraisals, and as the Corporation learns more about the newly acquired business, it is able to refine the estimates of fair value and more accurately allocate the purchase price.  Only items identified as of the acquisition date are considered for subsequent adjustment.  The Corporation will make appropriate adjustments to the purchase price allocation prior to completion of the measurement period, as required.

Flow Control

2013 Acquisitions

Gulf33 Valve Pros, LLC

On September 16, 2013, the Corporation acquired the assets of Gulf33 for $4.1 million, with a portion of the purchase price held back as security for potential indemnification claims against the seller. Management funded the purchase from the Corporation's revolving credit facility.

Based in Louisiana, Gulf33 provides valve repair and maintenance services to the offshore oil and gas market, and will operate within the Oil & Gas division of the Flow Control segment.

The Corporation recorded $2.0 million of goodwill in connection with the transaction. Revenues of the acquired business were approximately $4.0 million in 2012.

Phönix Group

On February 28, 2013, the Corporation acquired all the outstanding shares of Phönix Holding GmbH for $97.9 million, net of cash acquired.  The Share Purchase and Transfer Agreement contains a purchase price adjustment mechanism and representations and warranties customary for a transaction of this type, including a portion of the purchase price deposited into escrow as security for potential indemnification claims against the seller.  Management funded the purchase from the Corporation’s revolving credit facility and excess cash at foreign locations.

Page 9

CURTISS-WRIGHT CORPORATION and SUBSIDIARIES

NOTES to CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(UNAUDITED)

Phönix, headquartered in Germany, is a designer and manufacturer of valves, valve systems and related support services to the global chemical, petrochemical and power (both conventional and nuclear) markets.  Phönix has 282 employees and operates Phönix Valves in Volkmarsen, Germany; Strack, located in Barleben, Germany; and Daume Control Valves, located in Hanover, Germany. Phönix also owns sales subsidiaries with warehouses in Texas and France.

Revenues of the acquired business were approximately $60.0 million in 2012. The business operates within the Marine & Power Products Division of Curtiss-Wright's Flow Control segment.

The amounts of net sales and net loss included in the Corporation’s consolidated statement of earnings from the acquisition date to the period ended September 30, 2013 are $36.4 million and $1.6 million, respectively.

The purchase price of the acquisition has been allocated to the net tangible and intangible assets acquired with the remainder recorded as goodwill on the basis of estimated fair values, as follows:

(In thousands)	Phönix
Accounts receivable	$	12,226
Inventory	20,358
Property, plant, and equipment	12,575
Other current and non-current assets	2,153
Intangible assets	42,791
Current and non-current liabilities	(8,153		)
Pension and postretirement benefits	(6,472		)
Deferred income taxes	(13,746		)
Net tangible and intangible assets	61,732
Purchase price	97,886
Goodwill	$	36,154
Amount of tax deductible goodwill	$	—

Supplemental Pro Forma Statements of Operations Data

The assets, liabilities and results of operations of the businesses acquired in 2013 were not material to the Corporation’s consolidated financial position or results of operations, and therefore pro forma financial information for the Phonix and Gulf33 acquisitions are not presented.

The following table presents unaudited consolidated pro forma financial information for the combined results of the Corporation and its completed business acquisitions during the year ended December 31, 2012 as if the acquisitions had occurred on January 1, 2012 for purposes of the financial information presented for the periods ended September 30, 2012.

	Three Months Ended		Nine Months Ended
	September 30,		September 30,
(In thousands, except per share data)	2012		2012
Net sales	$	561,997	$	1,759,248
Net earnings from continuing operations	13,131		60,591
Diluted earnings per share from continuing operations	0.28		1.28

The unaudited pro forma consolidated results were prepared using the acquisition method of accounting and are based on historical financial information.  The unaudited pro forma consolidated results are not necessarily indicative of what our consolidated results of operations actually would have been had we completed the acquisition on January 1, 2012. In addition, the unaudited pro forma consolidated results do not purport to project the future results of operations of the combined company nor do they reflect the expected realization of any cost savings associated with the acquisition. The unaudited pro forma consolidated results reflect primarily the following pro forma pre-tax adjustments:

Page 10

CURTISS-WRIGHT CORPORATION and SUBSIDIARIES

NOTES to CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(UNAUDITED)

• Additional amortization expense related to the fair value of identifiable intangible assets acquired of approximately $3.3 million and $9.7 million for the three and nine months ended, September 30, 2012, respectively.

• Elimination of historical interest expense of approximately $0.9 million and $2.9 million for the three and nine months ended, September 30, 2012, respectively.

• Additional interest expense associated with the incremental borrowings that would have been incurred to acquire these companies as of January 1, 2012 of $4.6 million and $13.6 million for the three and nine months ended, September 30, 2012, respectively.

3.           DISCONTINUED OPERATIONS

On March 30, 2012, the Corporation sold the assets and real estate of its heat treating business, which had been reported in the Surface Technologies segment, to Bodycote plc.  The Corporation divested this non-core business to focus on higher technology services such as specialty coatings and materials testing.  The heat treating business’ operating results are included in discontinued operations in the Corporation's Condensed Consolidated Statements of Earnings for all periods presented.

Components of earnings from discontinued operations were as follows:

	Three Months Ended			Nine Months Ended
	September 30,			September 30,
	2012			2012
Net sales	$	—		$	10,785
Earnings from discontinued operations before income taxes	—			4,929
Provision for income taxes	—			(1,870		)
Gain (loss) on divestiture, net of taxes (1)	(144		)	18,172
Earnings (loss) from discontinued operations	$	(144	)	$	21,231

⁽¹⁾ Net of year-to-date 2012 taxes of $11 million

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CURTISS-WRIGHT CORPORATION and SUBSIDIARIES

NOTES to CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(UNAUDITED)

4.           RECEIVABLES

Receivables primarily include amounts billed to customers, unbilled charges on long-term contracts consisting of amounts recognized as sales but not billed, and other receivables.  Substantially all amounts of unbilled receivables are expected to be billed and collected within one year. An immaterial amount of unbilled receivables are subject to retainage provisions. The amount of claims and unapproved change orders within our receivables balances are immaterial.

The composition of receivables is as follows:

	(In thousands)
	September 30, 2013			December 31, 2012
Billed receivables:
Trade and other receivables	$	400,230		$	402,891
Less: Allowance for doubtful accounts	(6,979		)	(7,013		)
Net billed receivables	393,251			395,878
Unbilled receivables:
Recoverable costs and estimated earnings not billed	195,385			207,679
Less: Progress payments applied	(21,377		)	(25,244		)
Net unbilled receivables	174,008			182,435
Receivables, net	$	567,259		$	578,313

5.           INVENTORIES

Inventoried costs contain amounts relating to long-term contracts and programs with long production cycles, a portion of which will not be realized within one year. Long term contract inventory includes an immaterial amount of claims or other similar items subject to uncertainty concerning their determination or realization. Inventories are valued at the lower of cost (principally average cost) or market. The composition of inventories is as follows:

	(In thousands)
	September 30, 2013			December 31, 2012
Raw materials	$	234,423		$	224,613
Work-in-process	114,203			92,761
Finished goods and component parts	118,082			107,173
Inventoried costs related to long-term contracts	55,695			38,000
Gross inventories	522,403			462,547
Less:  Inventory reserves	(54,498		)	(50,333		)
Progress payments applied	(11,021		)	(14,743		)
Inventories, net	$	456,884		$	397,471

As of September 30, 2013 and December 31, 2012, inventory also includes capitalized contract development costs of $30.5 million and $23.8 million, respectively, related to certain aerospace and defense programs.  These capitalized costs will be liquidated as production units are delivered to the customer.  As of September 30, 2013 and December 31, 2012, $5.2 million and $5.4 million, respectively, are scheduled to be liquidated under existing firm orders.

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NOTES to CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(UNAUDITED)

6.           GOODWILL

The Corporation accounts for acquisitions by assigning the purchase price to acquired tangible and intangible assets and liabilities. Assets acquired and liabilities assumed are recorded at their fair values, and the excess of the purchase price over the amounts assigned is recorded as goodwill.

The changes in the carrying amount of goodwill for the nine months endedSeptember 30, 2013 are as follows:

	(In thousands)
	Flow Control			Controls			Surface Technologies			Consolidated
December 31, 2012	$	418,184		$	541,226		$	53,890		$	1,013,300
Acquisitions	38,149			—			—			38,149
Goodwill adjustments	1,378			(1,372		)	525			531
Foreign currency translation adjustment	(498		)	(3,592		)	(10		)	(4,100		)
September 30, 2013	$	457,213		$	536,262		$	54,405		$	1,047,880

7.           OTHER INTANGIBLE ASSETS, NET

The following tables present the cumulative composition of the Corporation’s intangible assets:

	(In thousands)
September 30, 2013	Gross		Accumulated Amortization			Net
Technology	$	205,169	$	(85,290	)	$	119,879
Customer related intangibles	381,203		(118,690		)	262,513
Other intangible assets	65,036		(21,808		)	43,228
Total	$	651,408	$	(225,788	)	$	425,620
	(In thousands)
December 31, 2012	Gross		Accumulated Amortization			Net
Technology	$	186,869	$	(76,067	)	$	110,802
Customer related intangibles	337,558		(95,880		)	241,678
Other intangible assets	86,157		(19,616		)	66,541
Total	$	610,584	$	(191,563	)	$	419,021

During the first nine months of 2013, the Corporation acquired intangible assets of $44.1 million. The Corporation acquired Technology of $12.6 million, Customer related intangibles of $28.8 million, and Other intangibles of $2.7 million, which have a weighted average amortization period of 15, 16.2, and 6.9 years, respectively.

Total intangible amortization expense for the nine months endedSeptember 30, 2013 was $36.0 million as compared to $22.2 million in the prior year period.  The estimated amortization expense for the five years ending December 31, 2013 through 2017 is $48.4 million, $41.6 million, $39.6 million, $38.7 million, and $38.2 million, respectively.

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NOTES to CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(UNAUDITED)

8.           FAIR VALUE OF FINANCIAL INSTRUMENTS

Forward Foreign Exchange and Currency Option Contracts

The Corporation has foreign currency exposure primarily in the United Kingdom, Europe, and Canada.  The Corporation uses financial instruments, such as forward and option contracts, to hedge a portion of existing and anticipated foreign currency denominated transactions.  The purpose of the Corporation’s foreign currency risk management program is to reduce volatility in earnings caused by exchange rate fluctuations.  Guidance on accounting for derivative instruments and hedging activities requires companies to recognize all of the derivative financial instruments as either assets or liabilities at fair value in the Condensed Consolidated Balance Sheets based upon quoted market prices for comparable instruments.

Interest Rate Risks and Related Strategies

The Corporation’s primary interest rate exposure results from changes in U.S. dollar interest rates. The Corporation’s policy is to manage interest cost using a mix of fixed and variable rate debt. The Corporation periodically uses interest rate swaps to manage such exposures. Under these interest rate swaps, the Corporation exchanges, at specified intervals, the difference between fixed and floating interest amounts calculated by reference to an agreed-upon notional principal amount.

For interest rate swaps designated as fair value hedges (i.e., hedges against the exposure to changes in the fair value of an asset or a liability or an identified portion thereof that is attributable to a particular risk), changes in the fair value of the interest rate swaps offset changes in the fair value of the fixed rate debt due to changes in market interest rates.

In March 2013, the Corporation entered into fixed-to-floating interest rate swap agreements to convert the interest payments of (i) the $100 million, 3.85% notes, due February 26, 2025, from a fixed rate to a floating interest rate based on 1-Month LIBOR plus a 1.77% spread, and (ii) the $75 million, 4.05% notes, due February 26, 2028, from a fixed rate to a floating interest rate based on 1-Month LIBOR plus a 1.73% spread.

In January 2012, the Corporation entered into fixed-to-floating interest rate swap agreements to convert the interest payments of (i) the $200 million, 4.24% notes, due December 1, 2026, from a fixed rate to a floating interest rate based on 1-Month LIBOR plus a 2.02% spread, and (ii) $25 million of the $100 million, 3.84% notes, due December 1, 2021, from a fixed rate to a floating interest rate based on 1-Month LIBOR plus a 1.90% spread.

The notional amounts of the Corporation’s outstanding interest rate swaps designated as fair value hedges were $400 million at September 30, 2013.

The fair value accounting guidance requires that assets and liabilities carried at fair value be classified and disclosed in one of the following three categories:

Level 1: Quoted market prices in active markets for identical assets or liabilities that the company has the ability to access.

Level 2: Observable market based inputs or unobservable inputs that are corroborated by market data such as quoted prices, interest rates and yield curves.

Level 3: Inputs are unobservable data points that are not corroborated by market data.

Based upon the fair value hierarchy, all of the forward foreign exchange contracts and interest rate swaps are valued at a Level 2.

Effects on Consolidated Balance Sheets

The location and amounts of derivative instrument fair values in the condensed consolidated balance sheet are below.

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NOTES to CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(UNAUDITED)

	(In thousands)
	September 30, 2013		December 31, 2012
Assets
Designated for hedge accounting
Interest rate swaps	$	—	$	677
Undesignated for hedge accounting
Forward exchange contracts	$	184	$	250
Total asset derivatives (A)	$	184	$	927
Liabilities
Designated for hedge accounting
Interest rate swaps	$	39,679	$	1,419
Undesignated for hedge accounting
Forward exchange contracts	$	251	$	170
Total liability derivatives (B)	$	39,930	$	1,589

(A)Forward exchange derivatives are included in Other current assets and interest rate swap assets are included in Other assets.

(B)Forward exchange derivatives are included in Other current liabilities and interest rate swap liabilities are included in Other liabilities.

Effects on Condensed Consolidated Statements of Earnings

Fair value hedge

The location and amount of gains or losses on the hedged fixed rate debt attributable to changes in the market interest rates and the offsetting gain (loss) on the related interest rate swaps for the three and nine months endedSeptember 30, were as follows:

	(In thousands)
	Gain/(Loss) on Swap											Gain/(Loss) on Borrowings
	Three Months Ended						Nine Months Ended					Three Months Ended				Nine Months Ended
	September 30,						September 30,					September 30,				September 30,
Income Statement Classification	2013			2012			2013			2012		2013		2012		2013		2012
Other income, net	$	(3,106	)	$	(20	)	$	(39,679	)	$	1,771	$	3,106	$	20	$	39,679	$	(1,771	)

Undesignated hedges

The location and amount of gains and losses recognized in income on forward exchange derivative contracts not designated for hedge accounting for the three and nine months ended September 30, were as follows:

	(In thousands)
	Three Months Ended				Nine Months Ended
	September 30,				September 30,
Derivatives not designated as hedging instrument	2013		2012		2013			2012
Forward exchange contracts:
General and administrative expenses	$	2,143	$	2,082	$	(3,693	)	$	1,912

Debt

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CURTISS-WRIGHT CORPORATION and SUBSIDIARIES

NOTES to CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(UNAUDITED)

The estimated fair value amounts were determined by the Corporation using available market information that is primarily based on quoted market prices for the same or similar issues as of September 30, 2013.  Accordingly, all of the Corporation’s debt is valued at a Level 2.  The fair values described below may not be indicative of net realizable value or reflective of future fair values.  Furthermore, the use of different methodologies to determine the fair value of certain financial instruments could result in a different estimate of fair value at the reporting date.

The carrying amount of the variable interest rate debt approximates fair value as the interest rates are reset periodically to reflect current market conditions.

On February 26, 2013, the Corporation issued $400 million of Senior Notes (the 2013 Notes).  The 2013 Notes consist of $225 million of 3.70% Senior Notes that mature on February 26, 2023, $100 million of 3.85% Senior Notes that mature on February 26, 2025, and $75 million of 4.05% Senior Notes that mature on February 26, 2028.  An additional $100 million of 4.11% Senior Notes that mature on September 26, 2028, were issued on September 26, 2013. The 2013 Notes are senior unsecured obligations, equal in right of payment to the Corporation's existing senior indebtedness. The Corporation, at its option, can prepay at any time all or any part of the 2013 Notes, subject to a make-whole payment in accordance with the terms of the Note Purchase Agreement.  In connection with the issuance of the 2013 Notes, the Corporation paid customary fees that have been deferred and are being amortized over the term of the 2013 Notes.  Under the terms of the Note Purchase Agreement, the Corporation is required to maintain certain financial ratios, the most restrictive of which is a debt to capitalization limit of 60%. The debt to capitalization ratio is calculated using the same formula for all of the Corporation's debt agreements and is a measure of the Corporation's indebtedness, as defined per the notes purchase agreement and credit agreement, to capitalization, where capitalization equals debt plus equity. The Corporation had the ability to borrow additional debt of $1.2 billion without violating our debt to capitalization covenant. The 2013 Notes also contain a cross default provision with respect to the Corporation’s other senior indebtedness.  

	September 30, 2013				December 31, 2012
	Carrying Value		Estimated Fair Value		Carrying Value		Estimated Fair Value
Industrial revenue bond, due 2023	$	8,400	$	8,400	$	8,400	$	8,400
Revolving credit agreement, due 2017	—		—		286,800		286,800
5.74% Senior notes due 2013	—		—		125,011		128,198
5.51% Senior notes due 2017	150,000		164,174		150,000		168,491
3.84% Senior notes due 2021	99,075		99,075		100,677		100,677
3.70% Senior notes due 2023	225,000		218,520		—		—
3.85% Senior notes due 2025	91,065		91,065		—		—
4.24% Senior notes due 2026	178,668		178,668		198,581		198,581
4.05% Senior notes due 2028	66,513		66,513		—		—
4.11% Senior notes due 2028	100,000		91,244
Other debt	1,285		1,285		10,746		10,746
Total debt	$	920,006	$	918,944	$	880,215	$	901,893

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NOTES to CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(UNAUDITED)

9.           WARRANTY RESERVES

The Corporation provides its customers with warranties on certain products.  Estimated warranty costs are charged to expense in the period the related revenue is recognized based on quantitative historical experience.  Estimated warranty costs are reduced as these costs are incurred and as the warranty period expires or may be otherwise modified as specific product performance issues are identified and resolved.  Warranty reserves are included within Other current liabilities in the Condensed Consolidated Balance Sheets.  The following table presents the changes in the Corporation’s warranty reserves:

	(In thousands)
	2013			2012
Warranty reserves at January 1,	$	18,169		$	16,076
Provision for current year sales	6,018			5,495
Current year claims	(5,846		)	(4,056		)
Change in estimates to pre-existing warranties	(2,615		)	(2,242		)
Increase due to acquisitions	—			75
Foreign currency translation adjustment	(84		)	99
Warranty reserves at September 30,	$	15,642		$	15,447

10.           FACILITIES RELOCATION AND RESTRUCTURING

2012 Restructuring Initiative

The Corporation focuses on being the low-cost provider of its products by reducing operating costs and implementing lean manufacturing initiatives, which have in part led to the involuntary termination of certain positions and the consolidation of facilities and product lines.

During the third quarter of 2012, the Corporation recorded restructuring costs by segment as follows:

	(In thousands)
	Three Months Ended
	September 30, 2012
	Flow Control		Controls		Surface Technologies		Consolidated
Cost of sales	$	18	$	215	$	769	$	1,002
Selling expenses		512		153		32		697
General and administrative		—		—		—		—
Total	$	530	$	368	$	801	$	1,699

During the nine months ended of 2012, the Corporation recorded restructuring costs by segment as follows:

	(In thousands)
	Nine Months Ended
	September 30, 2012
	Flow Control		Controls		Surface Technologies		Consolidated
Cost of sales	$	1,303	$	2,351	$	1,163	$	4,817
Selling expenses		312		—		—		312
General and administrative		1,649		1,075		4,879		7,603
Total	$	3,264	$	3,426	$	6,042	$	12,732

The components of the restructuring costs by segment are as follows:

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CURTISS-WRIGHT CORPORATION and SUBSIDIARIES

NOTES to CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(UNAUDITED)

Flow Control

During the three and nine month periods ended September 30, 2012, the Flow Control segment recorded $0.5 million and $3.3 million, respectively, of restructuring charges, primarily for severance and benefits costs associated with headcount reductions to streamline operations.

Controls

During the three and nine month periods ended September 30, 2012, the Controls segment recorded $0.4 million and $3.4 million, respectively, of restructuring charges, primarily for severance and benefits costs associated with headcount reductions to streamline operations.

Surface Technologies

During the three and nine month periods ended September 30, 2012, the Surface Technologies segment recorded $0.8 million and $6.0 million, respectively, of restructuring charges. The $6.0 million of restructuring charges recorded during the nine month period ended September 30, 2012, includes non-cash charges of $4.8 million recorded during the second quarter of 2012, primarily related to fixed asset write-downs. The remainder of the restructuring charges were primarily associated with severance and benefits costs related to headcount reductions.

In June of 2013, the Corporation entered into a lease termination agreement for the facility that was vacated as part of the 2012 restructuring initiative. The lease termination payment was made in July, resulting in a $3.7 million decrease to the restructuring liability, which is reflected in Other current liabilities of the Corporation’s Condensed Consolidated Balance Sheet.

Nonrecurring measurements

In connection with our 2012 restructuring initiative, during the second quarter of 2012, the Corporation announced a plan to cease operations at a certain facility within our Surface Technologies segment by the fourth quarter of 2012. This decision resulted in a reduction of the useful life of the asset group at the facility. In accordance with the provisions of the Impairment or Disposal of Long-Lived Assets guidance of FASB Codification Subtopic 360-10, long-lived assets held and used with a carrying amount of $4.8 million were written down to their fair value of zero, resulting in an impairment charge of $4.8 million. The fair value of the impairment charge was determined using the income approach over the reduced useful life of the asset group. In accordance with the fair value hierarchy, the impairment charge is classified as a Level 3 measurement as it is based on significant other observable inputs.

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CURTISS-WRIGHT CORPORATION and SUBSIDIARIES

NOTES to CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(UNAUDITED)

11.           PENSION AND OTHER POSTRETIREMENT BENEFIT PLANS

The following tables are consolidated disclosures of all domestic and foreign defined pension plans as described in the Corporation’s 2012 Annual Report on Form 10-K.  The postretirement benefits information includes the domestic Curtiss-Wright Corporation and EMD postretirement benefit plans, as there are no foreign postretirement benefit plans.

Pension Plans

The components of net periodic pension cost for the three and nine months ended September 30, 2013 and 2012 are as follows:

	(In thousands)
	Three Months Ended						Nine Months Ended
	September 30,						September 30,
	2013			2012			2013			2012
Service cost	$	8,449		$	10,061		$	30,167		$	30,194
Interest cost	7,163			6,564			20,679			19,695
Expected return on plan assets	(9,306		)	(8,382		)	(27,067		)	(25,152		)
Amortization of prior service cost	165			300			719			901
Amortization of unrecognized actuarial loss	3,560			2,755			11,767			8,266
Curtailments	(2,818		)	—			(107		)	—
Net periodic benefit cost	$	7,213		$	11,298		$	36,158		$	33,904

In May 2013, the Corporation's Board of Directors approved an amendment to the CW Pension Plan.   The amendment, which is effective January 1, 2014, changes the time period used to calculate final and career average pay formulas and resulted  

in a $3 million reduction to the projected benefit obligation of the plan and a second quarter 2013 curtailment charge of $2 million. The plan amendments also required a remeasurement of the assets and liabilities of the Curtiss-Wright Pension Plan.  Due to favorable asset performance and an increase in the discount rate, the remeasurement decreased the pension liability by $45 million in the second quarter of 2013. The tax impact of the remeasurement was $18 million and recorded during the third quarter of 2013 as an out of period adjustment. The combined impact of the amendment, curtailment, and remeasurement resulted in a gain in Accumulated other comprehensive income, net of tax, of $32 million.

In September 2013, the Corporation amended the Metal Improvement Company - Salaried Staff pension Scheme (U.K.) and the Penny & Giles Pension Plan (U.K.) to cease the accrual of future benefits effective December 31, 2013. The amendments to the plans resulted in a $7 million reduction to the projected benefit obligations and a curtailment gain of $2.8 million. The plan amendments also required a remeasurement of the assets and liabilities, which resulted in an increase to the pension liability of approximately $1 million. The combined impact of the amendment, curtailment and remeasurement resulted in a gain in Accumulated other comprehensive income, net of tax, of $2 million.

During the nine months ended September 30, 2013, the Corporation made $41 million in contributions to the Curtiss-Wright Pension Plan, and does not expect to make any further contributions in 2013.  In addition, contributions of $4 million were made to the Corporation’s foreign benefit plans during the nine months ended September 30, 2013.  Contributions to the foreign benefit plans are expected to be $5 million in 2013.

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CURTISS-WRIGHT CORPORATION and SUBSIDIARIES

NOTES to CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(UNAUDITED)

Other Postretirement Benefit Plans

The components of the net postretirement benefit cost for the Curtiss-Wright and EMD postretirement benefit plans for the three and nine months ended September 30, 2013 and 2012 are as follows:

	(In thousands)
	Three Months Ended						Nine Months Ended
	September 30,						September 30,
	2013			2012			2013			2012
Service cost	$	81		$	109		$	280		$	329
Interest cost	213			232			630			695
Amortization of prior service cost	(158		)	(158		)	(472		)	(472		)
Amortization of unrecognized actuarial gain	(140		)	(180		)	(460		)	(539		)
Net postretirement benefit cost (income)	$	(4	)	$	3		$	(22	)	$	13

During the nine months endedSeptember 30, 2013, the Corporation paid $0.8 million to the postretirement plans.  During 2013, the Corporation anticipates contributing $1.2 million to the postretirement plans.

12.           EARNINGS PER SHARE

Diluted earnings per share were computed based on the weighted-average number of shares outstanding plus all potentially dilutive common shares.  A reconciliation of basic to diluted shares used in the earnings per share calculation is as follows:

	(In thousands)
	Three Months Ended		Nine Months Ended
	September 30,		September 30,
	2013	2012	2013	2012
Basic weighted-average shares outstanding	47,081	46,884	46,839	46,795
Dilutive effect of stock options and deferred stock compensation	982	531	846	698
Diluted weighted-average shares outstanding	48,063	47,415	47,685	47,493

As of September 30, 2013 and 2012, there were 304,000 and 1,260,000 stock options outstanding, respectively, that could potentially dilute earnings per share in the future, which were excluded from the computation of diluted earnings per share as they would be considered anti-dilutive.

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CURTISS-WRIGHT CORPORATION and SUBSIDIARIES

NOTES to CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(UNAUDITED)

13.           SEGMENT INFORMATION

The Corporation manages and evaluates its operations based on the products and services it offers and the different markets it serves.  Based on this approach, the Corporation operates through three segments: Flow Control, Controls, and Surface Technologies.

	(In thousands)
	Three Months Ended						Nine Months Ended
	September 30,						September 30,
	2013			2012			2013			2012
Net sales
Flow Control	$	311,480		$	236,733		$	943,164		$	778,177
Controls	212,623			176,649			635,555			528,472
Surface Technologies	77,004			68,446			235,137			209,602
Less: Intersegment revenues	(440		)	(2,606		)	(2,815		)	(8,982		)
Total consolidated	$	600,667		$	479,222		$	1,811,041		$	1,507,269
Operating income (expense)
Flow Control	$	24,858		$	1,194		$	76,696		$	38,335
Controls	32,620			22,790			72,142			59,246
Surface Technologies	11,728			8,200			38,556			23,993
Corporate and eliminations (1)	(6,319		)	(8,818		)	(28,693		)	(22,109		)
Total consolidated	$	62,887		$	23,366		$	158,701		$	99,465

⁽¹⁾ Corporate and eliminations includes pension expense, environmental remediation and administrative expenses, legal, foreign currency transactional gains and losses, and other expenses.

Operating income by reportable segment and the reconciliation to income from continuing operations before income taxes are as follows:

	(In thousands)
	Three Months Ended						Nine Months Ended
	September 30,						September 30,
	2013			2012			2013			2012
Total operating income	$	62,887		$	23,366		$	158,701		$	99,465
Interest expense	(9,690		)	(6,648		)	(27,681		)	(19,656		)
Other income, net	378			(119		)	1,076			113
Earnings from continuing operations before income taxes	$	53,575		$	16,599		$	132,096		$	79,922

	(In thousands)
	September 30, 2013		December 31, 2012
Identifiable assets
Flow Control	$	1,559,339	$	1,417,047
Controls	1,360,945		1,365,112
Surface Technologies	311,162		302,079
Corporate and Other	57,720		30,350
Total consolidated	$	3,289,166	$	3,114,588

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CURTISS-WRIGHT CORPORATION and SUBSIDIARIES

NOTES to CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(UNAUDITED)

14.           ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS)

The cumulative balance of each component of accumulated other comprehensive (loss) income, net of tax, is as follows:

	(In thousands)
	Foreign currency translation adjustments, net			Total pension and postretirement adjustments, net			Accumulated other comprehensive income (loss)
December 31, 2011	$	39,768		$	(104,899	)	$	(65,131	)
Current period other comprehensive income (loss)	25,954			(16,331		)	9,623
December 31, 2012	$	65,722		$	(121,230	)	$	(55,508	)
Other comprehensive income (loss) before reclassifications (1)	(7,864		)	32,959			25,095
Amounts reclassified from accumulated other comprehensive loss (1)	—			8,710			8,710
Net current period other comprehensive income (loss)	(7,864		)	41,669			33,805
September 30, 2013	$	57,858		$	(79,561	)	$	(21,703	)

(1) All amounts are after tax.

Details of amounts reclassified from accumulated other comprehensive income (loss) are below:

	(In thousands)
	Amount reclassified from Accumulated other comprehensive income (loss)			Affected line item in the statement where net earnings is presented
Defined benefit pension and other postretirement benefit plans
Amortization of prior service costs	(247		)	(1)
Amortization of actuarial losses	(11,307		)	(1)
Curtailments	(2,178		)	(1)
	(13,732		)	Total before tax
	5,022			Income tax
Total reclassifications	$	(8,710	)	Net of tax

(1) These items are included in the computation of net periodic pension cost.  See Note 11, Pension and Other Postretirement Benefit Plans.

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(UNAUDITED)

15.           CONTINGENCIES AND COMMITMENTS

Legal Proceedings

The Corporation has been named in a number of lawsuits that allege injury from exposure to asbestos.  To date, the Corporation has not been found liable for or paid any material sum of money in settlement in any case.  The Corporation believes its minimal use of asbestos in its past and current operations and the relatively non-friable condition of asbestos in its products makes it unlikely that it will face material liability in any asbestos litigation, whether individually or in the aggregate.  The Corporation maintains insurance coverage for these potential liabilities and believes adequate coverage exists to cover any unanticipated asbestos liability.

The Corporation is party to a number of legal actions and claims, none of which individually or in the aggregate, in the opinion of management, are expected to have a material effect on the Corporation’s results of operations or financial position.

Environmental Matters

The aggregate environmental liability was $16.8 million at September 30, 2013 and $16.4 million at December 31, 2012.  All environmental reserves exclude any potential recovery from insurance carriers or third-party legal actions.

Letters of Credit and Other Financial Arrangements

The Corporation enters into standby letters of credit agreements and guarantees with financial institutions and customers primarily relating to guarantees of repayment, future performance on certain contracts to provide products and services, and to secure advance payments from certain international customers. At September 30, 2013 and December 31, 2012, there were $51.1 million and $51.8 million of stand-by letters of credit outstanding, respectively, and $18.3 million and $6.8 million of bank guarantees outstanding, respectively.   In addition, the Corporation is required to provide the Nuclear Regulatory Commission financial assurance demonstrating its ability to cover the cost of decommissioning its Cheswick, Pennsylvania facility upon closure, though the Corporation does not intend to close this facility.  The Corporation has provided this financial assurance in the form of a $52.9 million surety bond.

AP1000 Program

The Corporation’s Electro-Mechanical Division is the reactor coolant pump (RCP) supplier for the Westinghouse AP1000 nuclear power plants under construction in China and the United States.  The terms of the AP1000 China and United States contracts include liquidated damage penalty provisions for failure to meet contractual delivery dates if the Corporation caused the delay and the delay was not excusable.  On October 10, 2013, the Corporation received a letter from Westinghouse stating entitlements to the maximum amount of liquidated damages allowable under the AP1000 China contract from Westinghouse of approximately $25 million.  The Corporation would be liable for liquidated damages under the contract if certain contractual delivery dates were not met and if the Corporation was deemed responsible for the delay. To date, the Corporation has not met certain contractual delivery dates under its AP 1000 China contract; however there are significant uncertainties as to which parties are responsible for the delays.  The Corporation believes it has adequate legal defenses and we intend to vigorously defend this matter. Given the uncertainties surrounding the responsibility for the delays no accrual has been made for this matter as of September 30, 2013.  The range of possible loss is $0 to $25 million.

U.S. Government Defense Budget/Sequestration

In August 2011, the Budget Control Act (the Act) announced a reduction in the Department of Defense (DoD) top line budget by approximately $490 billion over 10 years starting in 2013.  The initial and mandatory budget cuts (or sequestration) as outlined in the Act were to be implemented starting on January 2, 2013. However, on January 1, 2013, Congress elected to delay the impact of sequestration until at least March 1, 2013, and these cuts were to be automatically implemented if an agreement had not been reached by March 27, 2013.  On March 26, 2013, President Obama signed into law a continuing budget resolution which provides additional funding and flexibility for U.S. Government agencies to reallocate funds to priority areas in FY2013.  In April 2013, the President released his initial budget proposal for FY2014, which leaves uncertainty as to how the sequester to be imposed on defense spending next year will be determined.  While such reductions to future DoD spending levels are largely undetermined, any reduction in levels of DoD spending, cancellations or delays impacting existing contracts or programs, including through sequestration, could have a material impact on the Corporation’s results of operations, financial position, or cash flows. 

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CURTISS-WRIGHT CORPORATION and SUBSIDIARIES

NOTES to CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(UNAUDITED)

Lease Agreements

On June 3, 2013, the Corporation entered into a build to suit agreement for the construction and lease of a new manufacturing facility in Bethlehem, Pennsylvania. The new facility will consist of two buildings totaling approximately 178,975 square feet situated on 12.5 acres, and will serve as a facility for warehousing, heavy manufacturing, research and development, general office, and hazardous material storage for the Electro Mechanical division in the Flow Control segment. Under the terms of the lease agreement, the Corporation is obligated to pay annual fixed rent of $1.9 million every year for the first eight years with rent escalation of 2.5% every year thereafter for a total of fifteen years.

On June 5, 2013, the Corporation entered into a build to suit agreement for the construction and lease of a new facility in Idaho Falls, Idaho. The new facility will consist of two buildings totaling approximately 112,000 square feet situated on 8.6 acres, and will serve as a general office, assembly, and testing facility for the Nuclear Group division in the Flow Control segment. Under the terms of the lease agreement, the Corporation is obligated to pay initial annual rent of $1.1 million with rent escalation of 2.5% every year thereafter for a total of fifteen years.

16.           SUBSEQUENT EVENTS

On October 1, 2013, the Corporation acquired the stock of Parvus Corporation for $38 million in cash. Parvus is a designer and manufacturer of rugged small form factor computers and communications subsystems for the aerospace, defense, homeland security, and industrial markets. The business will operate within the Corporation's Controls segment.

On October 1, 2013, the Corporation acquired the assets of Ovalpath, Inc. for $2.5 million in cash. The agreement also provides for future consideration of up to an additional $6.4 million based on the achievement of certain financial metrics over a five year period immediately after the closing date. Ovalpath is the developer of a proprietary software platform used in mobile-device based applications serving the commercial nuclear power market. The business will operate within the Corporation's Flow Control segment.

On October 4, 2013, the Corporation acquired the membership interests of Arens Controls, LLC for $98 million in cash. Arens is a designer and manufacturer of highly-engineered, precision operator interface controls, and power management systems for commercial and off-road industrial vehicles. The business will operate within the Corporation's Controls segment.

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CURTISS-WRIGHT CORPORATION and SUBSIDIARIES

PART I- ITEM 2

MANAGEMENT’S DISCUSSION and ANALYSIS of

FINANCIAL CONDITION and RESULTS OF OPERATIONS

FORWARD-LOOKING STATEMENTS

Except for historical information, this Quarterly Report on Form 10-Q may be deemed to contain "forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995.  Examples of forward-looking statements include, but are not limited to: (a) projections of or statements regarding return on investment, future earnings, interest income, sales, volume, other income, earnings or loss per share, growth prospects, capital structure, and other financial terms, (b) statements of plans and objectives of management, (c) statements of future economic performance, and (d) statements of assumptions, such as economic conditions underlying other statements. Such forward-looking statements can be identified by the use of forward-looking terminology such as "anticipates," "believes," “continue,” "could," “estimate,” "expects," “intend,” "may," “might,” “outlook,” “potential,” “predict,” "should,"  "will," as well as the negative of any of the foregoing or variations of such terms or comparable terminology, or by discussion of strategy.  No assurance may be given that the future results described by the forward-looking statements will be achieved.  While we believe these forward-looking statements are reasonable, they are only predictions and are subject to known and unknown risks, uncertainties, and other factors, many of which are beyond our control, which could cause actual results, performance or achievement to differ materially from anticipated future results, performance or achievement expressed or implied by such forward-looking statements. These risks and uncertainties include, but are not limited to, those described in “Item 1A. Risk Factors” of our 2012 Annual Report on Form 10-K, and elsewhere in that report, those described in this Quarterly Report on Form 10-Q, and those described from time to time in our future reports filed with the Securities and Exchange Commission.  Such forward-looking statements in this Quarterly Report on Form 10-Q include, without limitation, those contained in Item 1. Financial Statements and Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations.

Given these risks and uncertainties, you are cautioned not to place undue reliance on such forward-looking statements.  These forward-looking statements speak only as of the date they were made and we assume no obligation to update forward-looking statements to reflect actual results or changes in or additions to the factors affecting such forward-looking statements.

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CURTISS-WRIGHT CORPORATION and SUBSIDIARIES

PART I - ITEM 2

MANAGEMENT’S DISCUSSION and ANALYSIS of

FINANCIAL CONDITION and RESULTS OF OPERATIONS, continued

COMPANY ORGANIZATION

Curtiss-Wright Corporation is a diversified, multinational provider of highly engineered, technologically advanced, value-added products and services to a broad range of industries which are reported through our Flow Control, Controls, and Surface Technologies segments.  We are positioned as a market leader across a diversified array of niche markets through engineering and technological leadership, precision manufacturing, and strong relationships with our customers. We provide products and services to a number of global markets, such as defense, commercial aerospace, commercial nuclear power generation, oil and gas, automotive, and general industrial. We have achieved balanced growth through the successful application of our core competencies in engineering and precision manufacturing, adapting these competencies to new markets through internal product development, and a disciplined program of strategic acquisitions. Our overall strategy is to be a balanced and diversified company, less vulnerable to cycles or downturns in any one market, and to establish strong positions in profitable niche markets.  Approximately 30% of our 2013 revenues are expected to be generated from defense-related markets.

We manage and evaluate our operations based on the products and services we offer and the different industries and markets we serve. Based on this approach, we have three reportable segments: Flow Control, Controls, and Surface Technologies.  For further information on our products and services and the major markets served by our three segments, please refer to our 2012 Annual Report on Form 10-K.

RESULTS OF OPERATIONS

Analytical Definitions

Throughout management’s discussion and analysis of financial condition and results of operations, the terms “incremental” and “organic” are used to explain changes from period to period. The term “incremental” is used to highlight the impact acquisitions and divestitures had on the current year results. The results of operations for acquisitions are incremental for the first twelve months from the date of acquisition. Additionally, the results of operations of divested businesses are removed from the comparable prior year period for purposes of calculating “organic” or “incremental” results. The definition of “organic” excludes the effect of foreign currency translation. These measures provide a tool for evaluating our ongoing operations from period to period. These metrics, however, are not measures of financial performance under accounting principles generally accepted in the United States of America (GAAP) and should not be considered a substitute for measures determined in accordance with GAAP. The non-GAAP financial measures that we disclose are organic revenue and organic operating income - defined as revenue and operating income, excluding the impact of foreign currency fluctuations and contributions from acquisitions and divestitures made during the last twelve months. When used in the MD&A, we have provided the comparable GAAP measure in the discussion.

On March 30, 2012, we completed the sale of our heat treating business, which had been previously reported within the Surface Technologies segment. The results of operations of this business and the gain that was recognized on the sale are reported within discontinued operations.

The MD&A is organized into the following sections: Consolidated Statements of Earnings, Results by Business Segment, Liquidity and Capital Resources and a reconciliation of Non-GAAP measures.

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CURTISS-WRIGHT CORPORATION and SUBSIDIARIES

PART I - ITEM 2

MANAGEMENT’S DISCUSSION and ANALYSIS of

FINANCIAL CONDITION and RESULTS OF OPERATIONS, continued

Consolidated Statements of Earnings
	(In thousands)
	Three Months Ended								Nine Months Ended
	September 30,								September 30,
	2013			2012			% change		2013			2012			% change
Sales
Flow Control	$	311,487		$	236,733		32	%	$	943,147		$	778,177		21	%
Controls	212,544			174,616			22	%	633,981			520,792			22	%
Surface Technologies	76,636			67,873			13	%	233,913			208,300			12	%
Total sales	$	600,667		$	479,222		25	%	$	1,811,041		$	1,507,269		20	%
Operating income
Flow Control	$	24,858		$	1,194		1,982	%	$	76,696		$	38,335		100	%
Controls	32,620			22,790			43	%	72,142			59,246			22	%
Surface Technologies	11,728			8,200			43	%	38,556			23,993			61	%
Corporate and eliminations	(6,319		)	(8,818		)	28	%	(28,693		)	(22,109		)	(30	)%
Total operating income	$	62,887		$	23,366		169	%	$	158,701		$	99,465		60	%
Interest expense	(9,690		)	(6,648		)	46	%	(27,681		)	(19,656		)	41	%
Other income, net	378			(119		)	NM		1,076			113			NM
Earnings before taxes	53,575			16,599			223	%	132,096			79,922			65	%
Provision for income taxes	17,214			5,156			234	%	41,422			25,802			61	%
Net earnings from continuing operations	$	36,361		$	11,443				$	90,674		$	54,120
New orders	$	595,827		$	473,347		26	%	$	1,816,021		$	1,473,595		23	%
NM- not a meaningful percentage

Sales

Sales for the third quarter of 2013 increased $121.4 million, or 25%, to $600.7 million, compared with the same period in 2012, primarily due to the incremental impact of acquisitions, which contributed 22%.  On a segment basis, Flow Control contributed $74.8 million of increased sales, while Controls and Surface Technologies contributed $37.9 million and $8.8 million of increased sales, respectively.  

Sales for the first nine months of 2013 increased $303.8 million or 20%, to $1,811 million, compared with the same period in 2012.  This increase was primarily due to the incremental impact of acquisitions, which contributed 20%.  On a segment basis, Flow Control contributed $165 million of increased sales, while Controls and Surface Technologies contributed $113.2 million and $25.6 million of increased sales, respectively.  

The first table below further depicts our sales by market, while the second table depicts the components of our sales and operating income growth.

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CURTISS-WRIGHT CORPORATION and SUBSIDIARIES

PART I - ITEM 2

MANAGEMENT’S DISCUSSION and ANALYSIS of

FINANCIAL CONDITION and RESULTS OF OPERATIONS, continued

	(In thousands)
	Three Months Ended						Nine Months Ended
	September 30,						September 30,
	2013		2012		% change		2013		2012		% change
Defense markets:
Aerospace	$	61,738	$	77,541	(20	%)	$	191,863	$	227,433	(16	%)
Ground	23,048		25,670		(10	%)	69,608		75,597		(8	%)
Naval	90,996		74,400		22	%	264,537		252,040		5	%
Other	2,431		6,856		(65	%)	12,633		21,339		(41	%)
Total Defense	$	178,213	$	184,467	(3	%)	$	538,641	$	576,409	(7	%)
Commercial markets:
Aerospace	$	102,436	$	86,868	18	%	$	301,354	$	263,034	15	%
Oil and Gas	112,095		59,809		87	%	324,491		181,573		79	%
Power Generation	108,967		86,826		26	%	342,411		290,180		18	%
General Industrial	98,956		61,252		62	%	304,144		196,073		55	%
Total Commercial	$	422,454	$	294,755	43	%	$	1,272,400	$	930,860	37	%
Total Curtiss-Wright	$	600,667	$	479,222	25	%	$	1,811,041	$	1,507,269	20	%

Components of sales and operating income increase (decrease):

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
	Sales		Operating Income		Sales		Operating Income
Organic	3	%	135	%	—	%	47	%
Acquisitions	22	%	27	%	20	%	11	%
Foreign currency	—	%	7	%	—	%	2	%
Total	25	%	169	%	20	%	60	%

Three months ended September 30, 2013 compared with three months ended September 30, 2012

Sales

Sales in the defense market decreased $6.3 million, or 3%, to $178.2 million.  In our Flow Control segment, defense sales increased in the naval defense market due to higher levels of production on the Virginia class submarine. In our Controls segment, sales decreased primarily in the aerospace defense market, due to lower production levels on the Black Hawk and several Unmanned Aerial Vehicle (UAV) platforms, and lower sales of embedded computing products supporting various helicopter programs. In the ground defense market, sales decreased primarily due to lower production levels on the Bradley fighting vehicle platform.

Commercial sales increased $127.7 million, or 43%, to $422 million, from the comparable prior year period, primarily due to the incremental impact of acquisitions, which contributed to higher sales in the oil and gas, general industrial, and power generation markets.  Organic commercial sales increased 8% from the comparable prior year period.  In our Flow Control segment, organic commercial sales were essentially flat as a decrease in sales in the general industrial market due to an expected customer loss were offset by higher sales in our nuclear power market. In our Controls segment, organic commercial

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CURTISS-WRIGHT CORPORATION and SUBSIDIARIES

PART I - ITEM 2

MANAGEMENT’S DISCUSSION and ANALYSIS of

FINANCIAL CONDITION and RESULTS OF OPERATIONS, continued

sales increased primarily due to higher sales of both our flight control products on all major Boeing aircraft and specialty production support on Boeing’s 787 aircraft in the commercial aerospace market. In our Surface Technologies segment, organic commercial sales increased primarily due to increased coating services in the commercial aerospace market.

Operating income

During the third quarter of 2013, operating income increased $39.5 million, or 169%, to $62.9 million, and operating margin increased 560 basis points, to 10.5%, compared with the same period in 2012.  Acquisitions contributed $6.4 million of operating income and were 90 basis points dilutive to current period operating margin.

On a segment basis, the increase in operating income in our Flow Control segment of $23.7 million, to $24.9 million, was primarily due to certain charges in the prior year period that did not reoccur in the current year period. Those prior year charges were primarily changes in the estimate to complete on the AP1000 program of $12.2 million and the strike at our EMD facility of $11.3 million. Excluding the impacts of the strike, changes in estimate on the AP 1000 program, restructuring charges from the prior year results, and the current period contribution from acquisitions, current period operating income as compared to the prior year, decreased primarily due to higher compensation costs. Acquisitions contributed $2.6 million of incremental operating income to the Flow Control segment during the current quarter. In our Controls segment, operating income increased $9.8 million, or 43%, to $32.6 million, primarily due to the incremental impact of acquisitions of $4.3 million and a $2.8 million curtailment gain due to changes in our U.K. pension plans. In our Surface Technologies segment, operating income increased $3.5 million, or 43%, to $11.7 million, primarily due to the benefit of prior year restructuring activities.

Nine months endedSeptember 30, 2013 compared with nine months ended September 30, 2012

Sales

Sales in the defense market decreased $37.8 million, or 7%, to $538.6 million, from the comparable prior year period, primarily due to lower sales in the aerospace defense market.  In our Flow Control segment, naval defense sales were essentially flat as lower production on the DDG-1000 and DDG-51 destroyer programs and completion of production on the Advanced Arresting Gear program, were offset by increased production on the CVN-79 and various other product sales across a number of different different naval programs. In our Controls segment, sales decreased primarily in the aerospace defense market, due to lower production levels on the Black Hawk and lower sales of embedded computing products supporting various helicopter programs.

Commercial sales increased $341.5 million, or 37%, to $1,272 million, from the comparable prior year period, mainly due to the incremental impact of acquisitions, which primarily contributed to higher sales in the oil and gas and general industrial markets.  Organic commercial sales increased 5% from the comparable prior year period.  In our Flow Control segment, organic commercial sales were slightly higher, as higher sales in the power generation market offset lower sales in the general industrial market due to an expected decrease as a result of an anticipated customer loss.  In our Controls segment, organic commercial sales increased primarily due to higher sales of both our flight control products on all major Boeing aircraft and specialty production support on Boeing’s 787 aircraft in the commercial aerospace market. In our Surface Technologies segment, organic commercial sales increased primarily due to an increase in volume in our coatings services as we continue to benefit from the ramp up in OEM production rates.

Operating income

During the nine months ended September 30, 2013, operating income increased $59.2 million, or 60%, to $158.7 million, and operating margin improved 220 basis points, to 8.8% compared with the same period in 2012.  Acquisitions contributed $11.3 million of operating income and were 90 basis points dilutive to current period operating margin. On a segment basis, the increase in operating income in our Flow Control segment of $38.4 million, or 100%, to $76.7 million, was primarily due to certain charges that occurred in the prior year period that did not reoccur in the current year period, higher sales in the power generation market, and improved profitability in our oil and gas division due to Cimarron's integration. In our Controls segment, operating income increased $12.9 million, or 22%, to $72.1 million, primarily due to the incremental impact of acquisitions of $5.6 million, a $2.8 million curtailment gain due to changes in our U.K. pension plans, and improved profitability in our defense businesses as a result of our prior year restructuring initiatives. In our Surface Technologies segment, operating income increased $14.6 million, or 61%, to $38.6 million, primarily due to $6.0 million of restructuring

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CURTISS-WRIGHT CORPORATION and SUBSIDIARIES

PART I - ITEM 2

MANAGEMENT’S DISCUSSION and ANALYSIS of

FINANCIAL CONDITION and RESULTS OF OPERATIONS, continued

charges that occurred in the prior year period that did not reoccur in the current year period, increased organic coating sales, primarily in the commercial aerospace market, and benefits of prior year restructuring initiatives.

Three and nine months ended September 30, 2013 compared with three and nine months ended September 30, 2012

Non-segment operating expense

The decrease in non-segment operating expense in the current quarter of $2.5 million, to $6.3 million, is primarily due to lower unallocated corporate expenses.

The increase in non-segment operating expense during the first nine months of 2013 of $6.6 million, to $28.7 million, is primarily due to higher pension expenses.

Interest expense

The increase in interest expense in the current quarter and first nine months of 2013, of $3.0 million and $8.0 million, respectively, is primarily due to the issuance of $400 million of Senior Notes in February of 2013. The Corporation's average debt outstanding during the three and nine months ended September 30, 2013 were $984 million and $966 million, respectively, as compared to $584 million, in the comparable prior year periods.

Effective tax rate

Our effective tax rate for the current quarter and first nine months of 2013 was 32.1% and 31.4%, respectively, compared to 31.1% and 32.3%, in the comparable prior year periods. The decrease in the effective tax rate in the first nine months of 2013, as compared to the prior year period, was primarily due to changes in the mix of foreign versus U.S. earnings and the retroactive application of the research and development tax credit that was part of the American Taxpayer Relief Act of 2012 and signed into law during the first quarter of 2013.

Net earnings from continuing operations

The increase in net earnings from continuing operations of $24.9 million, or 218%, to $36.4 million, in the current quarter, and $36.6 million, or 68%, to $90.7 million, in the first nine months of 2013, as compared to the prior year periods, is primarily due to higher operating income in all of our segments, partially offset by the higher pension and interest expense discussed above.

Comprehensive income

Pension and Postretirement adjustments

The $14 million pension and postretirement loss in other comprehensive income, for the three months ended September 30, 2013, was primarily due to an out of period adjustment of $18 million to record the tax impact on the second quarter remeasurement of our CW Pension plan. This was partially offset by an amendment to the Metal Improvement Company Salaried Staff pension scheme (U.K.) and the Penny & Giles Pension Plan (U.K.), which resulted in a gain in other comprehensive income, net of tax, of $2 million and recognizing the amortization of prior service costs and unrecognized actuarial losses, net of tax, of $2 million.

The $42 million pension and postretirement gain in other comprehensive income, for the nine month period ended September 30, 2013, was primarily due to the May 31, 2013 amendment to the CW pension plan.  The amendment changed the time period used to calculate final and career average pay formulas and resulted in a $32 million gain, net of tax, in other comprehensive income mainly due to a $45 million reduction to the projected benefit obligation as a result of the plan remeasurement in the second quarter of 2013. The tax impact of the remeasurement was $18 million and recorded during the third quarter of 2013 as an out of period adjustment.  The actuarial gain, resulting from the remeasurement, was driven by an increase in our discount rate from 4.0% to 4.5% as well as favorable asset return performance.  In addition, the amendment to the Metal Improvement Company Salaried Staff pension scheme (U.K.) and the Penny & Giles Pension Plan (U.K.), resulted in a gain in other comprehensive income, net of tax, of $2 million.

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CURTISS-WRIGHT CORPORATION and SUBSIDIARIES

PART I - ITEM 2

MANAGEMENT’S DISCUSSION and ANALYSIS of

FINANCIAL CONDITION and RESULTS OF OPERATIONS, continued

Lastly, recognizing the amortization of prior service costs and amortization of unrecognized actuarial losses, net of tax, resulted in an additional adjustment to comprehensive income of $7 million for the nine months ended September 30, 2013.

Foreign Currency Translation adjustments

The increase in foreign currency translation adjustments to comprehensive income of $10.3 million, to $33.9 million, is primarily due to an increase in the British Pound exchange rate during the three month period ended September 30, 2013, as compared to the three month period ended September 30, 2012. 

The decrease in foreign currency translation adjustments to comprehensive income of $31.6 million, to a $7.9 million loss, for the nine months ended September 30, 2013 is primarily due to a decrease in the Canadian and British Pound exchange rates during the nine month period ended September 30, 2013 as compared to an increase in the Canadian and British Pound exchange rates during the nine month period ended September 30, 2012.

New orders

New orders for the current quarter and first nine months of 2013 increased by $122.5 million and $342.4 million, respectively, as compared to the prior year periods. The increase in new orders in the current quarter and first nine months of 2013, is primarily due to incremental new orders from acquisitions of $113.8 million and $305.3 million, respectively.

RESULTS BY BUSINESS SEGMENT

Flow Control

The following tables summarize sales, operating income and margin, and new orders, and certain items impacting comparability within the Flow Control segment.

	(In thousands)
	Three Months Ended									Nine Months Ended
	September 30,									September 30,
	2013			2012			% change			2013			2012			% change
Sales	$	311,487		$	236,733		32	%		$	943,147		$	778,177		21	%
Operating income	24,858			1,194			1,982	%		76,696			38,335			100	%
Operating margin	8.0		%	0.5		%	750		bps	8.1		%	4.9		%	320		bps
Restructuring charges	—			530			NM			—			3,264			NM
AP1000 - Change in estimate	—			12,166			NM			—			20,333			NM
Impacts of strike
Production suspension	—			$	6,230		NM			—			$	6,230		NM
Under absorption of overhead costs	—			$	5,118		NM			—			$	5,118		NM
New orders	$	284,749		$	223,033		28	%		$	917,662		$	760,837		21	%

NM- not a meaningful percentage

(1) On August 24, 2012, workers at the Electronic Mechanical Division (EMD)'s Cheswick, Pennsylvania facility of Curtiss-Wright's Flow Control segment went on strike. The strike led to a temporary suspension of work on open contracts and resulted in a $5 million unfavorable impact to operating income as a result of unrecoverable absorption of overhead costs and the temporary suspension of work resulted in a shift of long-term contract milestones, which caused a decrease in

Page 31

2012 sales of $18 million and operating income of $6 million. On September 24, 2012, the Company ratified an agreement with the union to end the strike.

Components of sales and operating income increase (decrease):

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
	Sales		Operating Income		Sales		Operating Income
Organic	7	%	1,738	%	1	%	87	%
Acquisitions	25	%	218	%	20	%	13	%
Foreign currency	—	%	26	%	—	%	—	%
Total	32	%	1,982	%	21	%	100	%

Three months ended September 30, 2013 compared with three months ended September 30, 2012

Sales

Sales increased $74.8 million, or 32%, to $311.5 million, from the comparable prior year period, primarily due to the incremental impact of our Cimarron, Phönix, and AP services acquisitions, which contributed $37.2 million, $16.8 million, and $3.9 million, of incremental sales, respectively.

Sales in the defense market increased by 18%, primarily due to increased naval defense sales driven by increased production of pumps and generators for the Virginia Class submarine program.

Sales in the commercial market increased 37%, primarily due to the incremental impact of our Cimarron and Phönix acquisitions, which favorably impacted sales in the oil and gas market, as well as our AP Services acquisition, which favorably impacted sales in the power generation market.   In the power generation market, excluding the impact of our AP Services acquisition, increased progress on the domestic AP1000 program, higher sales of instrumentation and control products, and deliveries of our spent fuel management NETCO SNAP-IN® product used in existing operating reactors, more than offset competitive pressure from low natural gas prices and fewer plant outages. Sales in the oil and gas market were flat, excluding the impact of Phönix and Cimarron, as increased pressure relief valve sales were mostly offset by lower levels of production for international capital refinery products. In the general industrial market, lower sales were primarily due to a previously announced expected customer cancellation.

Operating income

During the third quarter of 2013, operating income increased $23.7 million, or 1,982%, to $24.9 million, and operating margin increased 750 basis points from the prior year quarter to 8.0%.  Acquisitions contributed $2.6 million of operating income. Excluding the items impacting comparability, noted in the first table above, and the contributions from acquisitions, operating income decreased primarily due to higher compensation costs.

New orders

New orders increased $61.7 million to $284.7 million, from the prior year quarter, primarily due to incremental new orders from acquisitions of $65.4 million. 

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Nine months endedSeptember 30, 2013 compared with nine months ended September 30, 2012

Sales

Sales increased $165.0 million, or 21%, to $943.1 million, in the first nine months of 2013, compared with the same period in 2012, primarily due to the incremental impact of our Cimarron, Phönix, and AP services acquisitions, which contributed $106 million, $36.4 million, and $15.4 million, of incremental sales, respectively.

Sales in the defense market were essentially flat, as lower levels of production on the DDG-1000 and DDG-51 destroyer programs and completion of production on the Advanced Arresting Gear program, were offset by production on a new ship board helicopter handling systems contract and increased production on the CVN-79 aircraft carrier program.

Sales in the commercial market increased 30%, primarily due to the incremental impact of our Cimarron and Phönix acquisitions, which favorably impacted sales in the oil and gas market, as well as our AP Services acquisition, which favorably impacted sales in the power generation market.  Sales in our oil and gas market, excluding the impact of Cimarron and Phönix, were essentially flat as increased sales of our pressure relief valve products were mostly offset by lower sales of capital refinery products. In the power generation market, excluding the impact of our AP Services acquisition, increased progress on the domestic AP1000 program, higher sales of instrumentation and control products, and deliveries of our spent fuel management NETCO SNAP-IN® product used in existing operating reactors, more than offset competitive pressure from low natural gas prices and fewer plant outages. In the general industrial market, lower sales were primarily due to a previously announced expected customer cancellation.

Operating income

During the nine months ended September 30, 2013, operating income increased $38.4 million, or 100%, to $76.7 million, and operating margin increased 320 basis points from the prior year period to 8.1%.  Acquisitions contributed $5.1 million of operating income. Excluding the items impacting comparability noted in the first table above, and the contributions from acquisitions, operating income decreased primarily due to higher compensation and benefit costs somewhat offset by improved performance in our oil and gas division as a result of in-sourcing Cimarron manufacturing.

New orders

New orders increased $156.8 million, to $917.7 million, from the prior year period, primarily due to incremental new orders from acquisitions of $167.2 million.

Page 33

Controls

The following tables summarize sales, operating income and margin, and new orders, and certain items impacting comparability within the Controls segment.

	(In thousands)
	Three Months Ended									Nine Months Ended
	September 30,									September 30,
	2013			2012			% change			2013			2012			% change
Sales	$	212,544		$	174,616		22	%		$	633,981		$	520,792		22	%
Operating income	32,620			22,790			43	%		72,142			59,246			22	%
Operating margin	15.3		%	13.1		%	220		bps	11.4		%	11.4		%	0		bps
Restructuring charges	—			368			NM			—			3,426			NM
Curtailment gain	2,818			—			NM			2,818			—			NM
New orders	$	234,490		$	183,863		28	%		$	663,972		$	503,810		32	%

Components of sales and operating income increase (decrease):

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
	Sales		Operating Income		Sales		Operating Income
Organic	(2	%)	18	%	(2	%)	9	%
Acquisitions	24	%	19	%	24	%	9	%
Foreign currency	—	%	6	%	—	%	4	%
Total	22	%	43	%	22	%	22	%

Three months ended September 30, 2013 compared with three months ended September 30, 2012

Sales

Sales increased $37.9 million, or 22%, to $212.5 million, from the comparable prior year period, primarily due to the incremental impact of our Williams Controls, PG Drives, and Exlar acquisitions, which contributed $16.2 million, $14.3 million, and $10.8 million of incremental sales, respectively.

Defense sales decreased 14%, compared to the prior year period, primarily in the defense aerospace market, due to lower production levels on the Black Hawk and several Unmanned Aerial Vehicle (UAV) platforms, as well as lower sales of embedded computing products supporting various helicopter programs. In the ground defense market, sales decreased primarily due to lower sales on the Bradley and Stryker family of fighting vehicles, partially offset by higher sales of turret drive systems to international customers.

Commercial sales increased 76%, primarily driven by the incremental impact of our Williams Controls, PG Drives, and Exlar acquisitions in the general industrial market.  Growth in the commercial markets was also driven by higher sales in the commercial aerospace market of both our flight control products on Boeing aircraft and specialty production support on Boeing’s 787 aircraft.

Page 34

Operating income

During the third quarter of 2013, operating income increased $9.8 million, or 43%, to $32.6 million, and operating margin increased 220 basis points from the prior year quarter to 15.3%.   Acquisitions contributed $4.3 million of operating income and were 130 basis points dilutive to current period results. Current quarter results were favorably impacted by a curtailment gain as a result of a change in our U.K. pension plans.

Excluding the items impacting comparability noted in the first table above, contributions from acquisitions, and foreign currency translation, operating income and margin were essentially flat as benefits driven by our prior year restructuring initiatives within our defense businesses were offset by lower margins on certain long-term contracts in our industrial businesses.

New orders

New orders increased by $50.6 million to $234.5 million, from the prior year quarter, primarily due to the incremental impact of acquisitions of $42.1 million.  

Nine months endedSeptember 30, 2013 compared with nine months ended September 30, 2012

Sales

Sales increased $113.2 million, or 22%, to $634 million, from the comparable prior year period, driven by increases in the commercial market of 68%, partially offset by a decline in sales in the defense market of 10%. Acquisitions contributed $121 million, or 24%, to the increase in sales.

Defense sales decreased 10%, as compared to the prior year period, primarily in the defense aerospace market, due to lower production levels on the Black Hawk and Global Hawk, and lower sales of embedded computing products on helicopter programs and other domestic and foreign military aircraft. In the ground defense market, sales decreased primarily due to lower comparable sales of turret drive systems to international customers.

The increase in sales in the commercial market was primarily due to the aforementioned acquisitions coupled with strong organic growth in the commercial aerospace market. Sales in the commercial aerospace market increased primarily due to higher sales of our flight control products on all major Boeing aircraft, as well as strong demand for sensor and control products serving the regional jet and commercial helicopter markets.

Operating income

During the nine months ended September 30, 2013, operating income increased $12.9 million, or 22%, to $72.1 million, compared with the same period in 2012, while operating margin was flat at 11.4%. Acquisitions contributed $5.6 million of operating income and were 160 basis points dilutive to current period results. Current quarter results were favorably by impacted by a curtailment gain as a result of a change in our U.K. pension plans.

Excluding the items impacting comparability noted in the table above, contributions from acquisitions, and foreign currency translation, operating income and margin were essentially flat as benefits driven by our prior year restructuring initiatives within our defense businesses, were slightly offset by lower organic sales volume.

New orders

New orders increased by $160.2 million to $664 million, compared with the same period in 2012, primarily due to incremental orders from acquisitions of $118.2 million, the timing of orders on the V-22 and JSF programs, and a $21 million order to supply a flight data recording system for the MC-21 aircraft program. This was partially offset by lower new orders of our embedded computing products on defense applications.

Page 35

Surface Technologies

The following tables summarize sales, operating income and margin, new orders, and certain items impacting comparability within the Surface Technologies segment.

	(In thousands)
	Three Months Ended									Nine Months Ended
	September 30,									September 30,
	2013			2012			% change			2013			2012			% change
Sales	$	76,636		$	67,873		13	%		$	233,913		$	208,300		12	%
Operating income	11,728			8,200			43	%		38,556			23,993			61	%
Operating margin	15.3		%	12.1		%	320		bps	16.5		%	11.5		%	500		bps
Restructuring and impairment charges	—			801			NM			—			6,042			NM
New orders	$	76,588		$	66,451		15	%		$	234,387		$	208,948		12	%

Components of sales and operating income increase (decrease):

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
	Sales		Operating Income		Sales		Operating Income
Organic	4	%	43	%	3	%	57	%
Acquisitions	9	%	1	%	9	%	5	%
Foreign currency	—	%	(1	%)	—	%	(1	%)
Total	13	%	43	%	12	%	61	%

Three months ended September 30, 2013 compared with three months ended September 30, 2012

Sales

Sales increased $8.8 million, or 13%, to $76.6 million, from the comparable prior year period, primarily due to a $6.2 million incremental impact from our Gartner acquisition, which contributed incremental sales to the oil and gas and general industrial markets. In addition, sales in the commercial aerospace market were up 10% due to an increase in volume in our shot and laser peening services as we continue to benefit from the ramp up in OEM production rates and increased services at the Rolls-Royce aerospace manufacturing facilities. This performance was partially offset by lower sales in the aerospace defense market for our shot and laser peening services.

Operating income

During the third quarter ended September 30, 2013, operating income increased $3.5 million, or 43%, to $11.7 million and operating margin increased 320 basis points to 15.3%.  Our Gartner acquisition was 130 basis points dilutive to current period results.  

Excluding the items impacting comparability noted in the table above, contributions from acquisitions, and foreign currency translation, operating income and margin increased primarily due to the benefits of prior year restructuring initiatives.

Page 36

New orders

The increase in new orders of $10.1 million, to $76.6 million, compared with the same period in 2012, is primarily due to the incremental impact of our Gartner acquisition.

Nine months endedSeptember 30, 2013 compared with nine months ended September 30, 2012

Sales

Sales increased $25.6 million, or 12%, from the comparable prior year period, primarily due to a $19.6 million incremental impact from our Gartner acquisition, which contributed incremental sales to the oil and gas and general industrial markets. In addition, sales in the commercial aerospace market were up 12% due to an increase in volume in coatings and shot and laser peening services as we continue to benefit from the ramp up in OEM production rates. This performance was partially offset by lower sales in the aerospace defense market for our shot and laser peening services.

Operating income

During the nine months ended September 30, 2013, operating income increased $14.6 million, or 61%, to $38.6 million and operating margin increased 500 basis points to 16.5%.  Our Gartner acquisition contributed $1.1 million of incremental operating income and was 100 basis points dilutive to current period results.  

Excluding the items impacting comparability noted in the table above and contributions from acquisitions and foreign currency translation, operating income and margin increased primarily due to operational benefits as the result of closing underperforming facilities in the prior year. In addition, prior year period results were impacted by $6.0 million of restructuring charges that did not reoccur in the current year period.

New orders

The increase in new orders of $25 million to $234.4 million, compared with the same period in 2012, is primarily due to the incremental impact of our Gartner acquisition.

LIQUIDITY AND CAPITAL RESOURCES

Sources and Use of Cash

We derive the majority of our operating cash inflow from receipts on the sale of goods and services and cash outflow for the procurement of materials and labor; cash flow is therefore subject to market fluctuations and conditions. Most of our long-term contracts allow for several billing points (progress or milestone) that provide us with cash receipts as costs are incurred throughout the project rather than upon contract completion, thereby reducing working capital requirements.  In some cases, these payments can exceed the costs incurred on a project.

Condensed Consolidated Statements of Cash Flows
	September 30, 2013			September 30, 2012
Cash provided by (used):
Operating activities	$	134,386		$	53,938
Investing activities	(163,867		)	(12,765		)
Financing activities	92,241			1,118
Effect of exchange-rate changes on cash	(3,421		)	2,868
Net increase in cash and cash equivalents	59,339			45,159

Page 37

CURTISS-WRIGHT CORPORATION and SUBSIDIARIES

PART I - ITEM 2

MANAGEMENT’S DISCUSSION and ANALYSIS of

FINANCIAL CONDITION and RESULTS OF OPERATIONS, continued

Operating Activities

Cash provided by operating activities was $134.4 million during the first nine months of 2013, compared with $53.9 million in the prior year period.  The increase in the amount of cash provided by operating activities is primarily due to higher cash earnings and lower levels of vendor payments as compared to the prior year period.

Investing Activities

Net cash used in investing activities for the first nine months of 2013 was $163.9 million, compared with $12.8 million of cash used in investing activities in the prior year period. The increase in cash used by investing activities is primarily due to the Phönix acquisition, while the lower level of cash used in investing activities in the prior year period was primarily due to the proceeds received from the sale of the heat treating business.

During the first nine months of 2013, capital expenditures were $57.9 million, which was essentially flat compared with the same period in the prior year.

Financing Activities

Debt Issuances

On February 26, 2013, the Corporation issued $400 million of Senior Notes (the 2013 Notes).  The 2013 Notes consist of $225 million of 3.70% Senior Notes that mature on February 26, 2023, $100 million of 3.85% Senior Notes that mature on February 26, 2025, and $75 million of 4.05% Senior Series Notes that mature on February 26, 2028.  An additional $100 million of 4.11% Senior Notes that mature on September 26, 2028, were issued in September of 2013. The 2013 Notes are senior unsecured obligations, equal in right of payment to our existing senior indebtedness. The Corporation, at its option, can prepay at any time all or any part of the 2013 Notes, subject to a make-whole payment in accordance with the terms of the Note Purchase Agreement.  In connection with the issuance of the 2013 Notes, the Corporation paid customary fees that have been deferred and are being amortized over the term of the 2013 Notes.  Under the terms of the Note Purchase Agreement, the Corporation is required to maintain certain financial ratios, the most restrictive of which is a debt to capitalization limit of 60%.  The debt to capitalization limit, is a measure of our indebtedness, as defined per the notes purchase agreement and credit facility, to capitalization, where capitalization equals debt plus equity, and is the same for and applies to all of our debt agreements and credit agreement. The 2013 Notes also contain a cross default provision with respect to our other senior indebtedness.  

During the third quarter of 2013, we repaid the $125 million 2003 senior notes that matured in September 2013.

The Corporation’s debt outstanding at September 30, 2013 had an average interest rate of 3.5%, as compared to an average interest rate of 4.0% in the comparable prior year period. The Corporation's average debt outstanding was $966 million for the nine months ended September 30, 2013, as compared to $584 million in same period in the prior year.

Revolving Credit Agreement

As of the end of September 30, 2013, the Corporation had no outstanding borrowings under the 2012 Senior Unsecured Revolving Credit Agreement (the Credit Agreement or credit facility). The unused credit available under the Credit Agreement at September 30, 2013 was $454 million, which could be borrowed without violating any of our debt covenants.

Repurchase of common stock

During the first nine months of 2013, the Company did not repurchase any shares under its share repurchase program. During the first nine months of 2012, the Company used $5 million of cash to repurchase approximately 157,000 outstanding shares.

Dividend increase

Page 38

CURTISS-WRIGHT CORPORATION and SUBSIDIARIES

PART I - ITEM 2

MANAGEMENT’S DISCUSSION and ANALYSIS of

FINANCIAL CONDITION and RESULTS OF OPERATIONS, continued

During the second quarter of 2013, the Company increased its quarterly dividend to ten cents ($0.10) a share, a 11.1% increase over the prior year dividend.  

Cash Utilization

Management continually evaluates cash utilization alternatives, including share repurchases, acquisitions, and increased dividends to determine the most beneficial use of available capital resources. We believe that our cash and cash equivalents, cash flow from operations, available borrowings under the credit facility, and ability to raise additional capital through the credit markets, are sufficient to meet both the short-term and long-term capital needs of the organization, including the return of capital to shareholders through dividends and share repurchases and growing our business through acquisitions.

Debt Compliance

As of the date of this report, we were in compliance with all debt agreements and credit facility covenants, including our most restrictive covenant, which is our debt to capitalization limit of 60%. The debt to capitalization limit, is a measure of our indebtedness, as defined per the notes purchase agreement and credit facility, to capitalization, where capitalization equals debt plus equity, and is the same for and applies to all of our debt agreements and credit facility.

As of September 30, 2013 we had the ability to borrow additional debt of $1.2 billion without violating our debt to capitalization covenant.

Non-GAAP Measures

Management reviews key performance indicators including revenue, segment operating income and margins, and new orders, among others. In addition, we consider certain measures to be useful to management and investors when evaluating our operating performance for the periods presented. These measures provide a tool for evaluating our ongoing operations from period to period. These metrics, however, are not measures of financial performance under accounting principles generally accepted in the United States of America (GAAP) and should not be considered a substitute for measures determined in accordance with GAAP. The non-GAAP financial measures that we disclose are organic revenue and organic operating income - defined as revenue and operating income, excluding the impact of foreign currency fluctuations and contributions from acquisitions and divestitures made during the current year.

	Three Months Ended September 30,
	Flow Control					Controls					Surface Technologies								Corporate & Other								Total Curtiss - Wright
	2013	2012		Chg		2013	2012		Chg		2013			2012			Chg		2013			2012			Chg		2013		2012			Chg
Sales
Organic	$254.1	$236.7		7	%	$170.6	$174.6		(2	%)	$	70.4		$	67.9		4	%	$	—		$	—				$495.0		$	479.2		3	%
Incremental (1)	57.9	—				41.3	—				6.2			—					—			—					105.4		—
Foreign Currency Fav (Unfav) (2)	(0.5)	—				0.7	—				0.1			—					—			—					0.2		—
Total net sales	$311.5	$236.7		32	%	$212.5	$174.6		22	%	$	76.6		$	67.9		13	%	$	—		$	—				$600.7		$	479.2		25	%
Operating income (expense)
Organic	$21.9	$1.2		1,738	%	$27.0	$22.8		18	%	$	11.8		$	8.2		43	%	$	(5.8	)	$	(8.8	)	34	%	$54.9		$	23.4		135	%
OI Margin %	8.6%	0.5%		810 bps		15.8%	13.1%		270 bps		16.7		%	12.1		%	460 bps										11.1%		4.9		%	620 bps
Incremental (1)	2.6	—				4.3	—				—			—					(0.5		)						6.4		—
Foreign Currency Fav (Unfav) (2)	0.3	—				1.3	—				(0.1		)	—					—								1.6		—
Total operating income (expense)	$24.9	$1.2		1,982	%	$32.6	$22.8		43	%	$	11.7		$	8.2		43	%	$	(6.3	)	$	(8.8	)	28	%	$62.9		$	23.4		169	%
OI Margin %	8.0%	0.5	%	750 bps		15.3%	13.1	%	220 bps		15.3		%	12.1		%	320 bps										10.5	%	4.9		%	560 bps

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CURTISS-WRIGHT CORPORATION and SUBSIDIARIES

PART I - ITEM 2

MANAGEMENT’S DISCUSSION and ANALYSIS of

FINANCIAL CONDITION and RESULTS OF OPERATIONS, continued

	Nine Months Ended September 30,
	Flow Control					Controls					Surface Technologies								Corporate & Other								Total Curtiss - Wright
	2013	2012		Chg		2013	2012		Chg		2013			2012			Chg		2013			2012			Chg		2013		2012			Chg
Sales
Organic	$786.8	$778.2		1	%	$512.3	$520.8		(2	%)	$	214.5		$	208.3		3	%	$	—		$	—				$1,513.6		$	1,507.3		—	%
Incremental (1)	157.7	—				121.0	—				19.6			—					—			—					298.3		—
Foreign Currency Fav (Unfav) (2)	(1.4)	—				0.6	—				(0.2		)	—					—			—					(0.9)		—
Total net sales	$943.1	$778.2		21	%	$634.0	$520.8		22	%	$	233.9		$	208.3		12	%	$	—		$	—				$1,811.0		$	1,507.3		20	%
Operating income (expense)
Organic	$71.6	$38.3		87	%	$64.6	$59.2		9	%	$	37.7		$	24.0		57	%	$	(28.1	)	$	(22.1	)	(27	%)	$145.7		$	99.5		47	%
OI Margin %	9.1%	4.9%		420 bps		12.6%	11.4%		120 bps		17.6		%	11.5		%	610 bps										9.6%		6.6		%	300 bps
Incremental (1)	5.1	—				5.6	—				1.1			—					(0.5		)						11.3		—
Foreign Currency Fav (Unfav) (2)	—	—				2.0	—				(0.3		)	—					—								1.7		—
Total operating income (expense)	$76.7	$38.3		100	%	$72.1	$59.2		22	%	$	38.6		$	24.0		61	%	$	(28.7	)	$	(22.1	)	(30	%)	$158.7		$	99.5		60	%
OI Margin %	8.1%	4.9	%	320 bps		11.4%	11.4	%	0 bps		16.5		%	11.5		%	500 bps										8.8	%	6.6		%	220 bps

⁽¹⁾The term incremental is used to highlight the impact acquisitions had on the current year results, for which there was no comparable prior year data. Therefore, the results of operations for acquisitions are incremental for the first twelve months from the date of acquisition and are removed from our organic results. Additionally, the results of operations for divested businesses are removed from the comparable prior year period for purposes of calculating organic results. The remaining businesses are referred to as organic.

⁽²⁾Organic results exclude the effects of current period foreign currency translation.

Page 40

CURTISS-WRIGHT CORPORATION and SUBSIDIARIES

PART I - ITEM 2

MANAGEMENT’S DISCUSSION and ANALYSIS of

FINANCIAL CONDITION and RESULTS OF OPERATIONS, continued

CRITICAL ACCOUNTING POLICIES

Our condensed consolidated financial statements and accompanying notes are prepared in accordance with accounting principles generally accepted in the United States of America. Preparation of these statements requires us to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenues, and expenses. These estimates and assumptions are affected by the application of our accounting policies. Critical accounting policies are those that require application of management’s most difficult, subjective, or complex judgments, often as a result of the need to make estimates about the effects of matters that are inherently uncertain and may change in subsequent periods. A summary of significant accounting policies and a description of accounting policies that are considered critical may be found in our 2012 Annual Report on Form 10-K, filed with the U.S. Securities and Exchange Commission on February 21, 2013, in the Notes to the Consolidated Financial Statements, Note 1, and the Critical Accounting Policies section of Management’s Discussion and Analysis of Financial Condition and Results of Operations.

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CURTISS WRIGHT CORPORATION and SUBSIDIARIES

Item 3.                      QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

There has been no material changes in our market risk during the nine months ended September 30, 2013.  Information regarding market risk and market risk management policies is more fully described in item “7A.Quantitative and Qualitative Disclosures about Market Risk” of our 2012 Annual Report on Form 10-K.

Item 4.                      CONTROLS AND PROCEDURES

As of September 30, 2013 our management, including our Chief Executive Officer and Chief Financial Officer, conducted an evaluation of our disclosure controls and procedures, as such term is defined in Rules 13a-15(e) and 15d-15(e) under the Securities Exchange Act of 1934, as amended (the “Exchange Act”). Based on such evaluation, our Chief Executive Officer and Chief Financial Officer concluded that our disclosure controls and procedures are effective as of September 30, 2013 insofar as they are designed to ensure that information required to be disclosed by us in the reports that we file or submit under the Exchange Act is recorded, processed, summarized and reported, within the time periods specified in the Commission’s rules and forms, and they include, without limitation, controls and procedures designed to ensure that information required to be disclosed by us in the reports we file or submit under the Exchange Act is accumulated and communicated to our management, including our principal executive and principal financial officers, or persons performing similar functions, as appropriate to allow timely decisions regarding required disclosure.

There have not been any changes in our internal control over financial reporting (as such term is defined in Rules 13a-15(f) and 15d-15(f) under the Exchange Act) during the quarter ended September 30, 2013 that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.

Page 42

PART II - OTHER INFORMATION

Item 1.                     LEGAL PROCEEDINGS

In the ordinary course of business, we and our subsidiaries are subject to various pending claims, lawsuits, and contingent liabilities. We do not believe that the disposition of any of these matters, individually or in the aggregate, will have a material effect on our consolidated financial position or results of operations.

We or our subsidiaries have been named in a number of lawsuits that allege injury from exposure to asbestos.  To date, neither we nor our subsidiaries have been found liable or paid any material sum of money in settlement in any case.  We believe that the minimal use of asbestos in our past and current operations and the relatively non-friable condition of asbestos in our products makes it unlikely that we will face material liability in any asbestos litigation, whether individually or in the aggregate.  We maintain insurance coverage for these potential liabilities and believe adequate coverage exists to cover any unanticipated asbestos liability.

Item 1A.          RISK FACTORS

There has been no material changes in our Risk Factors during the nine months ended September 30, 2013. Information regarding our Risk Factors is more fully described in Item “1A. Risk Factors” of our 2012 Annual Report on Form 10-K.

Item 2.            UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS.

The following table provides information about our repurchase of equity securities that are registered by us pursuant to Section 12 of the Securities Exchange Act of 1934, as amended, during the quarter ended September 30, 2013.

	Total Number of shares purchased	Average Price Paid per Share		Total Number of Shares Purchased as Part of a Publicly Announced Program	Maximum Number of Shares that may yet be Purchased Under the Program
July 1 - July 31	—	$	—	—	2,599,213
August 1 - August 31	—	—		—	2,599,213
September 1 - September 30	—	—		—	2,599,213
For the quarter ended	—	$	—	—	2,599,213

We repurchase shares under a program announced on September 28, 2011, which authorizes the Corporation to repurchase up to 3,000,000 shares of our common stock, in addition to approximately 690,000 shares remaining under a previously authorized share repurchase program, and is subject to a $100 million repurchase limitation.  Under the current program, shares may be purchased on the open market, in privately negotiated transactions and under plans complying with Rules 10b5-1 and 10b-18 under the Securities Exchange Act of 1934, as amended.

Item 3.                      DEFAULTS UPON SENIOR SECURITIES

Not Applicable.

Item 4.                      MINE SAFETY DISCLOSURES

Not applicable.

Page 43

Item 5.                      OTHER INFORMATION

There have been no material changes in our procedures by which our security holders may recommend nominees to our board of directors during the nine months ended September 30, 2013.  Information regarding security holder recommendations and nominations for directors is more fully described in the section entitled “Stockholder Recommendations and Nominations for Director” of our 2013 Proxy Statement on Schedule 14A, which is incorporated by reference to our 2012 Annual Report on Form 10-K.

Page 44

Item 6.                      EXHIBITS

		Incorporated by Reference		Filed
Exhibit No.	Exhibit Description	Form	Filing Date	Herewith
3.1	Amended and Restated Certificate of Incorporation of the Registrant	8-A/A	May 24, 2005
3.2	Amended and Restated Bylaws of the Registrant	8-K	March 23, 2012
31.1	Certification of David C. Adams, President and CEO, Pursuant to Rules 13a – 14(a) and 15d-14(a) under the Securities Exchange Act of 1934, as amended			X
31.2	Certification of Glenn E. Tynan, Chief Financial Officer, Pursuant to Rules 13a – 14(a) and 15d-14(a) under the Securities Exchange Act of 1934, as amended			X
32	Certification of David C. Adams, President and CEO, and Glenn E. Tynan, Chief Financial Officer, Pursuant to 18 U.S.C. Section 1350			X
101.INS	XBRL Instance Document			X
101.SCH	XBRL Taxonomy Extension Schema Document			X
101.CAL	XBRL Taxonomy Extension Calculation Linkbase Document			X
101.DEF	XBRL Taxonomy Extension Definition Linkbase Document			X
101.LAB	XBRL Taxonomy Extension Label Linkbase Document			X
101.PRE	XBRL Taxonomy Extension Presentation Linkbase Document			X

Page 45

SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this Report to be signed on its behalf by the undersigned thereunto duly authorized.

CURTISS-WRIGHT CORPORATION

(Registrant)

By:     /s/ Glenn E. Tynan

Glenn E. Tynan

Vice President Finance / C.F.O.

Dated: November 1, 2013

Page 46

EX-31.1

Exhibit 31.1

Certifications

I, David C. Adams, certify that:

1.	I have reviewed this quarterly report on Form 10-Q of Curtiss-Wright Corporation;
2.	Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
3.	Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
4.	The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
	a)	Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
	b)	Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
	c)	Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
	d)	Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and
5.	The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):
	a)	All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and
	b)	Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

Date: November 1, 2013

/s/ David C. Adams

David C. Adams

President and Chief Executive Officer

EX-31.2

Exhibit 31.2

Certifications

I, Glenn E. Tynan, certify that:

1.	I have reviewed this quarterly report on Form 10-Q of Curtiss-Wright Corporation;
2.	Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
3.	Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
4.	The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
	a)	Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
	b)	Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
	c)	Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
	d)	Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and
5.		The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):
	a)	All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and
	b)	Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

Date: November 1, 2013

/s/ Glenn E. Tynan

Glenn E. Tynan

Chief Financial Officer

EX-32

Exhibit 32

CERTIFICATION PURSUANT TO

18 U.S.C. SECTION 1350

In connection with the Quarterly Report of Curtiss-Wright Corporation (the "Company") on Form 10-Q for the period ended September 30, 2013 as filed with the Securities and Exchange Commission on the date hereof (the "Report"), David C. Adams, as President and Chief Executive Officer of the Company, and Glenn E. Tynan, as Chief Financial Officer of the Company, each hereby certifies, pursuant to 18 U.S.C. section 1350, that to the best of his knowledge:

(1) The Report fully complies with the requirements of section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

(2) The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

/s/ David C. Adams

David C. Adams

President and

Chief Executive Officer

November 1, 2013

/s/ Glenn E. Tynan

Glenn E. Tynan

Chief Financial Officer

November 1, 2013

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WARRANTY RESERVES

9 Months Ended

Sep. 30, 2013

Product Warranties Disclosures [Abstract]

WARRANTY RESERVES

WARRANTY RESERVES

The Corporation provides its customers with warranties on certain products.  Estimated warranty costs are charged to expense in the period the related revenue is recognized based on quantitative historical experience.  Estimated warranty costs are reduced as these costs are incurred and as the warranty period expires or may be otherwise modified as specific product performance issues are identified and resolved.  Warranty reserves are included within Other current liabilities in the Condensed Consolidated Balance Sheets.  The following table presents the changes in the Corporation’s warranty reserves:

	(In thousands)
	2013			2012
Warranty reserves at January 1,	$	18,169		$	16,076
Provision for current year sales	6,018			5,495
Current year claims	(5,846		)	(4,056		)
Change in estimates to pre-existing warranties	(2,615		)	(2,242		)
Increase due to acquisitions	—			75
Foreign currency translation adjustment	(84		)	99
Warranty reserves at September 30,	$	15,642		$	15,447

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FAIR VALUE OF FINANCIAL INSTRUMENTS (Income Loss) (Detail) (USD $) In Thousands, unless otherwise specified	3 Months Ended		9 Months Ended
	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012
General And Administrative Expense [Member]
Derivative Instruments Gain Loss [Line Items]
General and administrative expenses	$ 2,143	$ 2,082	$ (3,693)	$ 1,912
Swap [Member] | Other Income [Member]
Derivative Instruments Gain Loss [Line Items]
Other income, net	(3,106)	(20)	(39,679)	1,771
Borrowings [Member] | Other Income [Member]
Derivative Instruments Gain Loss [Line Items]
Other income, net	$ 3,106	$ 20	$ 39,679	$ (1,771)

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CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Parentheticals) (USD $) In Millions, unless otherwise specified	3 Months Ended		9 Months Ended
	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012
Statement of Comprehensive Income [Abstract]
Other Comprehensive Income (Loss), Foreign Currency Translation Adjustment, Tax	$ (1.4)	$ 4.8	$ (1.5)	$ 3.4
Other Comprehensive (Income) Loss, Pension and Other Postretirement Benefit Plans, Tax, Portion Attributable to Parent	$ (20.6)	$ (0.9)	$ (23.5)	$ (2.9)

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ACQUISITION

9 Months Ended

Sep. 30, 2013

Business Combinations [Abstract]

ACQUISITION

ACQUISITION

The Corporation continually evaluates potential acquisitions that either strategically fit within the Corporation’s existing portfolio or expand the Corporation’s portfolio into new product lines or adjacent markets.  The Corporation has completed a number of acquisitions that have been accounted for as business combinations and have resulted in the recognition of goodwill in the Corporation's financial statements.  This goodwill arises because the purchase prices for these businesses reflect the future earnings and cash flow potential in excess of the earnings and cash flows attributable to the current product and customer set at the time of acquisition.  Thus, goodwill inherently includes the know-how of the assembled workforce, the ability of the workforce to further improve the technology and product offerings, and the expected cash flows resulting from these efforts.  Goodwill may also include expected synergies resulting from the complementary strategic fit these businesses bring to existing operations.

The Corporation allocates the purchase price at the date of acquisition based upon its understanding of the fair value of the acquired assets and assumed liabilities. In the months after closing, as the Corporation obtains additional information about these assets and liabilities, including through tangible and intangible asset appraisals, and as the Corporation learns more about the newly acquired business, it is able to refine the estimates of fair value and more accurately allocate the purchase price.  Only items identified as of the acquisition date are considered for subsequent adjustment.  The Corporation will make appropriate adjustments to the purchase price allocation prior to completion of the measurement period, as required.

Flow Control

2013 Acquisitions

Gulf33 Valve Pros, LLC

On September 16, 2013, the Corporation acquired the assets of Gulf33 for $4.1 million, with a portion of the purchase price held back as security for potential indemnification claims against the seller. Management funded the purchase from the Corporation's revolving credit facility.

Based in Louisiana, Gulf33 provides valve repair and maintenance services to the offshore oil and gas market, and will operate within the Oil & Gas division of the Flow Control segment.

The Corporation recorded $2.0 million of goodwill in connection with the transaction. Revenues of the acquired business were approximately $4.0 million in 2012.

Phönix Group

On February 28, 2013, the Corporation acquired all the outstanding shares of Phönix Holding GmbH for $97.9 million, net of cash acquired.  The Share Purchase and Transfer Agreement contains a purchase price adjustment mechanism and representations and warranties customary for a transaction of this type, including a portion of the purchase price deposited into escrow as security for potential indemnification claims against the seller.  Management funded the purchase from the Corporation’s revolving credit facility and excess cash at foreign locations.

Phönix, headquartered in Germany, is a designer and manufacturer of valves, valve systems and related support services to the global chemical, petrochemical and power (both conventional and nuclear) markets.  Phönix has 282 employees and operates Phönix Valves in Volkmarsen, Germany; Strack, located in Barleben, Germany; and Daume Control Valves, located in Hanover, Germany. Phönix also owns sales subsidiaries with warehouses in Texas and France.

Revenues of the acquired business were approximately $60.0 million in 2012. The business operates within the Marine & Power Products Division of Curtiss-Wright's Flow Control segment.

The amounts of net sales and net loss included in the Corporation’s consolidated statement of earnings from the acquisition date to the period ended September 30, 2013 are $36.4 million and $1.6 million, respectively.

The purchase price of the acquisition has been allocated to the net tangible and intangible assets acquired with the remainder recorded as goodwill on the basis of estimated fair values, as follows:

(In thousands)	Phönix
Accounts receivable	$	12,226
Inventory	20,358
Property, plant, and equipment	12,575
Other current and non-current assets	2,153
Intangible assets	42,791
Current and non-current liabilities	(8,153		)
Pension and postretirement benefits	(6,472		)
Deferred income taxes	(13,746		)
Net tangible and intangible assets	61,732
Purchase price	97,886
Goodwill	$	36,154
Amount of tax deductible goodwill	$	—

Supplemental Pro Forma Statements of Operations Data

The assets, liabilities and results of operations of the businesses acquired in 2013 were not material to the Corporation’s consolidated financial position or results of operations, and therefore pro forma financial information for the Phonix and Gulf33 acquisitions are not presented.

The following table presents unaudited consolidated pro forma financial information for the combined results of the Corporation and its completed business acquisitions during the year ended December 31, 2012 as if the acquisitions had occurred on January 1, 2012 for purposes of the financial information presented for the periods ended September 30, 2012.

	Three Months Ended		Nine Months Ended
	September 30,		September 30,
(In thousands, except per share data)	2012		2012
Net sales	$	561,997	$	1,759,248
Net earnings from continuing operations	13,131		60,591
Diluted earnings per share from continuing operations	0.28		1.28

The unaudited pro forma consolidated results were prepared using the acquisition method of accounting and are based on historical financial information.  The unaudited pro forma consolidated results are not necessarily indicative of what our consolidated results of operations actually would have been had we completed the acquisition on January 1, 2012. In addition, the unaudited pro forma consolidated results do not purport to project the future results of operations of the combined company nor do they reflect the expected realization of any cost savings associated with the acquisition. The unaudited pro forma consolidated results reflect primarily the following pro forma pre-tax adjustments:

• Additional amortization expense related to the fair value of identifiable intangible assets acquired of approximately $3.3 million and $9.7 million for the three and nine months ended, September 30, 2012, respectively.

• Elimination of historical interest expense of approximately $0.9 million and $2.9 million for the three and nine months ended, September 30, 2012, respectively.

• Additional interest expense associated with the incremental borrowings that would have been incurred to acquire these companies as of January 1, 2012 of $4.6 million and $13.6 million for the three and nine months ended, September 30, 2012, respectively.

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SUBSEQUENT EVENTS

9 Months Ended

Sep. 30, 2013

Subsequent Events [Abstract]

Subsequent Events

SUBSEQUENT EVENTS

On October 1, 2013, the Corporation acquired the stock of Parvus Corporation for $38 million in cash. Parvus is a designer and manufacturer of rugged small form factor computers and communications subsystems for the aerospace, defense, homeland security, and industrial markets. The business will operate within the Corporation's Controls segment.

On October 1, 2013, the Corporation acquired the assets of Ovalpath, Inc. for $2.5 million in cash. The agreement also provides for future consideration of up to an additional $6.4 million based on the achievement of certain financial metrics over a five year period immediately after the closing date. Ovalpath is the developer of a proprietary software platform used in mobile-device based applications serving the commercial nuclear power market. The business will operate within the Corporation's Flow Control segment.

On October 4, 2013, the Corporation acquired the membership interests of Arens Controls, LLC for $98 million in cash. Arens is a designer and manufacturer of highly-engineered, precision operator interface controls, and power management systems for commercial and off-road industrial vehicles. The business will operate within the Corporation's Controls segment.

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SUBSEQUENT EVENTS (Details) (USD $)	9 Months Ended		0 Months Ended
	Sep. 30, 2013	Sep. 30, 2012	Oct. 02, 2013 Parvus Corporation [Member] Subsequent Event [Member]	Oct. 02, 2013 Ovalpath [Member] Subsequent Event [Member]	Oct. 04, 2013 Arens Controls [Member] Subsequent Event [Member]
Subsequent Event [Line Items]
Payments for business combinations	$ 101,230,000	$ 6,231,000	$ 38,000,000	$ 2,500,000	$ 98,000,000
Contingent liability				$ 6,400,000

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WARRANTY RESERVES (Detail) (USD $) In Thousands, unless otherwise specified	9 Months Ended
	Sep. 30, 2013	Sep. 30, 2012
Movement in Standard Product Warranty Accrual [Roll Forward]
Warranty reserves at January 1,	$ 18,169	$ 16,076
Provision for current year sales	6,018	5,495
Current year claims	(5,846)	(4,056)
Change in estimates to pre-existing warranties	(2,615)	(2,242)
Increase due to acquisitions	0	75
Foreign currency translation adjustment	(84)	99
Warranty reserves at September 30,	$ 15,642	$ 15,447

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FACILITIES RELOCATION AND RESTRUCTURING

9 Months Ended

Sep. 30, 2013

Restructuring Reserve [Abstract]

FACILITIES RELOCATION AND RESTRUCTURING

FACILITIES RELOCATION AND RESTRUCTURING

2012 Restructuring Initiative

The Corporation focuses on being the low-cost provider of its products by reducing operating costs and implementing lean manufacturing initiatives, which have in part led to the involuntary termination of certain positions and the consolidation of facilities and product lines.

During the third quarter of 2012, the Corporation recorded restructuring costs by segment as follows:

	(In thousands)
	Three Months Ended
	September 30, 2012
	Flow Control		Controls		Surface Technologies		Consolidated
Cost of sales	$	18	$	215	$	769	$	1,002
Selling expenses		512		153		32		697
General and administrative		—		—		—		—
Total	$	530	$	368	$	801	$	1,699

During the nine months ended of 2012, the Corporation recorded restructuring costs by segment as follows:

	(In thousands)
	Nine Months Ended
	September 30, 2012
	Flow Control		Controls		Surface Technologies		Consolidated
Cost of sales	$	1,303	$	2,351	$	1,163	$	4,817
Selling expenses		312		—		—		312
General and administrative		1,649		1,075		4,879		7,603
Total	$	3,264	$	3,426	$	6,042	$	12,732

The components of the restructuring costs by segment are as follows:

Flow Control

During the three and nine month periods ended September 30, 2012, the Flow Control segment recorded $0.5 million and $3.3 million, respectively, of restructuring charges, primarily for severance and benefits costs associated with headcount reductions to streamline operations.

Controls

During the three and nine month periods ended September 30, 2012, the Controls segment recorded $0.4 million and $3.4 million, respectively, of restructuring charges, primarily for severance and benefits costs associated with headcount reductions to streamline operations.

Surface Technologies

During the three and nine month periods ended September 30, 2012, the Surface Technologies segment recorded $0.8 million and $6.0 million, respectively, of restructuring charges. The $6.0 million of restructuring charges recorded during the nine month period ended September 30, 2012, includes non-cash charges of $4.8 million recorded during the second quarter of 2012, primarily related to fixed asset write-downs. The remainder of the restructuring charges were primarily associated with severance and benefits costs related to headcount reductions.

In June of 2013, the Corporation entered into a lease termination agreement for the facility that was vacated as part of the 2012 restructuring initiative. The lease termination payment was made in July, resulting in a $3.7 million decrease to the restructuring liability, which is reflected in Other current liabilities of the Corporation’s Condensed Consolidated Balance Sheet.

Nonrecurring measurements

In connection with our 2012 restructuring initiative, during the second quarter of 2012, the Corporation announced a plan to cease operations at a certain facility within our Surface Technologies segment by the fourth quarter of 2012. This decision resulted in a reduction of the useful life of the asset group at the facility. In accordance with the provisions of the Impairment or Disposal of Long-Lived Assets guidance of FASB Codification Subtopic 360-10, long-lived assets held and used with a carrying amount of $4.8 million were written down to their fair value of zero, resulting in an impairment charge of $4.8 million. The fair value of the impairment charge was determined using the income approach over the reduced useful life of the asset group. In accordance with the fair value hierarchy, the impairment charge is classified as a Level 3 measurement as it is based on significant other observable inputs.

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GOODWILL (Detail) (USD $) In Thousands, unless otherwise specified	9 Months Ended
	Sep. 30, 2013
Goodwill [Roll Forward]
December 31, 2012	$ 1,013,300
Acquisitions	38,149
Goodwill adjustments	531
Foreign currency translation adjustment	(4,100)
September 30, 2013	1,047,880
Flow Control [Member]
Goodwill [Roll Forward]
December 31, 2012	418,184
Acquisitions	38,149
Goodwill adjustments	1,378
Foreign currency translation adjustment	(498)
September 30, 2013	457,213
Controls [Member]
Goodwill [Roll Forward]
December 31, 2012	541,226
Acquisitions	0
Goodwill adjustments	(1,372)
Foreign currency translation adjustment	(3,592)
September 30, 2013	536,262
Surface Technologies [Member]
Goodwill [Roll Forward]
December 31, 2012	53,890
Acquisitions	0
Goodwill adjustments	525
Foreign currency translation adjustment	(10)
September 30, 2013	$ 54,405

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FACILITIES RELOCATION AND RESTRUCTURING (Detail) (USD $)	3 Months Ended	9 Months Ended		3 Months Ended	9 Months Ended	3 Months Ended	9 Months Ended	3 Months Ended	9 Months Ended	3 Months Ended	9 Months Ended	3 Months Ended	9 Months Ended	3 Months Ended	9 Months Ended	3 Months Ended	9 Months Ended	3 Months Ended	9 Months Ended	3 Months Ended	9 Months Ended	3 Months Ended	9 Months Ended	3 Months Ended	9 Months Ended	3 Months Ended	9 Months Ended			3 Months Ended	9 Months Ended	3 Months Ended	9 Months Ended	3 Months Ended	9 Months Ended	1 Months Ended
	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2012 Cost Of Sales [Member]	Sep. 30, 2012 Cost Of Sales [Member]	Sep. 30, 2012 Selling Expenses [Member]	Sep. 30, 2012 Selling Expenses [Member]	Sep. 30, 2012 General And Administrative [Member]	Sep. 30, 2012 General And Administrative [Member]	Sep. 30, 2012 Flow Control [Member]	Sep. 30, 2012 Flow Control [Member]	Sep. 30, 2012 Flow Control [Member] Cost Of Sales [Member]	Sep. 30, 2012 Flow Control [Member] Cost Of Sales [Member]	Sep. 30, 2012 Flow Control [Member] Selling Expenses [Member]	Sep. 30, 2012 Flow Control [Member] Selling Expenses [Member]	Sep. 30, 2012 Flow Control [Member] General And Administrative [Member]	Sep. 30, 2012 Flow Control [Member] General And Administrative [Member]	Sep. 30, 2012 Controls [Member]	Sep. 30, 2012 Controls [Member]	Sep. 30, 2012 Controls [Member] Cost Of Sales [Member]	Sep. 30, 2012 Controls [Member] Cost Of Sales [Member]	Sep. 30, 2012 Controls [Member] Selling Expenses [Member]	Sep. 30, 2012 Controls [Member] Selling Expenses [Member]	Sep. 30, 2012 Controls [Member] General And Administrative [Member]	Sep. 30, 2012 Controls [Member] General And Administrative [Member]	Sep. 30, 2012 Surface Technologies [Member]	Sep. 30, 2012 Surface Technologies [Member]	Sep. 30, 2013 Surface Technologies [Member]	Dec. 31, 2012 Surface Technologies [Member]	Sep. 30, 2012 Surface Technologies [Member] Cost Of Sales [Member]	Sep. 30, 2012 Surface Technologies [Member] Cost Of Sales [Member]	Sep. 30, 2012 Surface Technologies [Member] Selling Expenses [Member]	Sep. 30, 2012 Surface Technologies [Member] Selling Expenses [Member]	Sep. 30, 2012 Surface Technologies [Member] General And Administrative [Member]	Sep. 30, 2012 Surface Technologies [Member] General And Administrative [Member]	Jul. 31, 2013 Other Current Liabilities [Member]
Restructuring Cost And Reserve [Line Items]
Restructuring and related costs incurred to date	$ 1,699,000		$ 12,732,000	$ 1,002,000	$ 4,817,000	$ 697,000	$ 312,000	$ 0	$ 7,603,000	$ 530,000	$ 3,264,000	$ 18,000	$ 1,303,000	$ 512,000	$ 312,000	$ 0	$ 1,649,000	$ 368,000	$ 3,426,000	$ 215,000	$ 2,351,000	$ 153,000	$ 0	$ 0	$ 1,075,000	$ 801,000	$ 6,042,000			$ 769,000	$ 1,163,000	$ 32,000	$ 0	$ 0	$ 4,879,000
Impairment of assets		0	4,836,000																								4,800,000
Decrease in restructuring reserve																																				3,700,000
Long lived assets held for use																												$ 0	$ 4,800,000

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ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) (Table)

9 Months Ended

Sep. 30, 2013

Stockholders' Equity Note [Abstract]

Schedule of Comprehensive Income (Loss)

The cumulative balance of each component of accumulated other comprehensive (loss) income, net of tax, is as follows:

	(In thousands)
	Foreign currency translation adjustments, net			Total pension and postretirement adjustments, net			Accumulated other comprehensive income (loss)
December 31, 2011	$	39,768		$	(104,899	)	$	(65,131	)
Current period other comprehensive income (loss)	25,954			(16,331		)	9,623
December 31, 2012	$	65,722		$	(121,230	)	$	(55,508	)
Other comprehensive income (loss) before reclassifications (1)	(7,864		)	32,959			25,095
Amounts reclassified from accumulated other comprehensive loss (1)	—			8,710			8,710
Net current period other comprehensive income (loss)	(7,864		)	41,669			33,805
September 30, 2013	$	57,858		$	(79,561	)	$	(21,703	)

(1) All amounts are after tax.

Reclassification out of Accumulated Other Comprehensive Income

Details of amounts reclassified from accumulated other comprehensive income (loss) are below:

	(In thousands)
	Amount reclassified from Accumulated other comprehensive income (loss)			Affected line item in the statement where net earnings is presented
Defined benefit pension and other postretirement benefit plans
Amortization of prior service costs	(247		)	(1)
Amortization of actuarial losses	(11,307		)	(1)
Curtailments	(2,178		)	(1)
	(13,732		)	Total before tax
	5,022			Income tax
Total reclassifications	$	(8,710	)	Net of tax

(1) These items are included in the computation of net periodic pension cost.  See Note 11, Pension and Other Postretirement Benefit Plans.

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DISCONTINUED OPERATIONS (Table)

9 Months Ended

Sep. 30, 2013

Discontinued Operations and Disposal Groups [Abstract]

Schedule of Disposal Groups, Including Discontinued Operations, Income Statement, Balance Sheet and Additional Disclosures

Components of earnings from discontinued operations were as follows:

	Three Months Ended			Nine Months Ended
	September 30,			September 30,
	2012			2012
Net sales	$	—		$	10,785
Earnings from discontinued operations before income taxes	—			4,929
Provision for income taxes	—			(1,870		)
Gain (loss) on divestiture, net of taxes (1)	(144		)	18,172
Earnings (loss) from discontinued operations	$	(144	)	$	21,231

⁽¹⁾ Net of year-to-date 2012 taxes of $11 million

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ACQUISITION (Table)

9 Months Ended

Sep. 30, 2013

Business Combinations [Abstract]

Schedule Of Business Acquisitions By Acquisition

The purchase price of the acquisition has been allocated to the net tangible and intangible assets acquired with the remainder recorded as goodwill on the basis of estimated fair values, as follows:

(In thousands)	Phönix
Accounts receivable	$	12,226
Inventory	20,358
Property, plant, and equipment	12,575
Other current and non-current assets	2,153
Intangible assets	42,791
Current and non-current liabilities	(8,153		)
Pension and postretirement benefits	(6,472		)
Deferred income taxes	(13,746		)
Net tangible and intangible assets	61,732
Purchase price	97,886
Goodwill	$	36,154
Amount of tax deductible goodwill	$	—

Business Acquisition Pro Forma Information

The following table presents unaudited consolidated pro forma financial information for the combined results of the Corporation and its completed business acquisitions during the year ended December 31, 2012 as if the acquisitions had occurred on January 1, 2012 for purposes of the financial information presented for the periods ended September 30, 2012.

	Three Months Ended		Nine Months Ended
	September 30,		September 30,
(In thousands, except per share data)	2012		2012
Net sales	$	561,997	$	1,759,248
Net earnings from continuing operations	13,131		60,591
Diluted earnings per share from continuing operations	0.28		1.28

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INVENTORIES (Detail) (USD $) In Thousands, unless otherwise specified	Sep. 30, 2013	Dec. 31, 2012
Inventory, Net [Abstract]
Raw material	$ 234,423	$ 224,613
Work-in-process	114,203	92,761
Finished goods and component parts	118,082	107,173
Inventoried costs related to long-term contracts	55,695	38,000
Gross inventories	522,403	462,547
Less: Inventory reserves	(54,498)	(50,333)
Progress payments applied	(11,021)	(14,743)
Inventories, net	$ 456,884	$ 397,471

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FACILITIES RELOCATION AND RESTRUCTURING (Table)

9 Months Ended

Sep. 30, 2013

Restructuring Reserve [Abstract]

Schedule of Restructuring and Related Costs

During the third quarter of 2012, the Corporation recorded restructuring costs by segment as follows:

	(In thousands)
	Three Months Ended
	September 30, 2012
	Flow Control		Controls		Surface Technologies		Consolidated
Cost of sales	$	18	$	215	$	769	$	1,002
Selling expenses		512		153		32		697
General and administrative		—		—		—		—
Total	$	530	$	368	$	801	$	1,699

During the nine months ended of 2012, the Corporation recorded restructuring costs by segment as follows:

	(In thousands)
	Nine Months Ended
	September 30, 2012
	Flow Control		Controls		Surface Technologies		Consolidated
Cost of sales	$	1,303	$	2,351	$	1,163	$	4,817
Selling expenses		312		—		—		312
General and administrative		1,649		1,075		4,879		7,603
Total	$	3,264	$	3,426	$	6,042	$	12,732

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ACQUISITION (Narrative) (Detail) (USD $)					12 Months Ended		9 Months Ended	0 Months Ended	9 Months Ended	12 Months Ended
	Sep. 30, 2013	Dec. 31, 2012	Sep. 30, 2013 Flow Control [Member]	Dec. 31, 2012 Flow Control [Member]	Dec. 31, 2012 Gufl33 [Member]	Sep. 16, 2013 Gufl33 [Member]	Sep. 30, 2013 Gufl33 [Member] Flow Control [Member]	Feb. 28, 2013 Phonix Group [Member] Flow Control [Member] employee	Sep. 30, 2013 Phonix Group [Member] Flow Control [Member]	Dec. 31, 2012 Phonix Group [Member] Flow Control [Member]
Business Acquisition [Line Items]
Assets acquired						$ 4,100,000
Goodwill	1,047,880,000	1,013,300,000	457,213,000	418,184,000		2,000,000		36,154,000
Revenue of acquiree before acquistion					4,000,000
Effective date of acquisition							Sep. 16, 2013		Feb. 28, 2013
Purchase price net of cash acquired								97,886,000
Number of employees at the date of acquisition								282
Revenue reported by acquiree in last reporting period										60,000,000
Actual pro forma Revenue by acquiree									36,400,000
Actual pro forma earnings of aquiree									$ (1,600,000)

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OTHER INTANGIBLE ASSETS, NET (Detail) (USD $) In Thousands, unless otherwise specified	Sep. 30, 2013	Dec. 31, 2012
Finite Lived Intangible Assets [Line Items]
Gross	$ 651,408	$ 610,584
Accumulated Amortization	(225,788)	(191,563)
Net	425,620	419,021
Technology [Member]
Finite Lived Intangible Assets [Line Items]
Gross	205,169	186,869
Accumulated Amortization	(85,290)	(76,067)
Net	119,879	110,802
Customer Related Intangibles [Member]
Finite Lived Intangible Assets [Line Items]
Gross	381,203	337,558
Accumulated Amortization	(118,690)	(95,880)
Net	262,513	241,678
Other Intangible Assets [Member]
Finite Lived Intangible Assets [Line Items]
Gross	65,036	86,157
Accumulated Amortization	(21,808)	(19,616)
Net	$ 43,228	$ 66,541

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OTHER INTANGIBLE ASSETS, NET (Table)

9 Months Ended

Sep. 30, 2013

Intangible Assets, Net (Excluding Goodwill) [Abstract]

Schedule Of Intangible Assets By Major Class

The following tables present the cumulative composition of the Corporation’s intangible assets:

	(In thousands)
September 30, 2013	Gross		Accumulated Amortization			Net
Technology	$	205,169	$	(85,290	)	$	119,879
Customer related intangibles	381,203		(118,690		)	262,513
Other intangible assets	65,036		(21,808		)	43,228
Total	$	651,408	$	(225,788	)	$	425,620
	(In thousands)
December 31, 2012	Gross		Accumulated Amortization			Net
Technology	$	186,869	$	(76,067	)	$	110,802
Customer related intangibles	337,558		(95,880		)	241,678
Other intangible assets	86,157		(19,616		)	66,541
Total	$	610,584	$	(191,563	)	$	419,021

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ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) (Detail) (USD $) In Thousands, unless otherwise specified	3 Months Ended		9 Months Ended			12 Months Ended
	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013		Sep. 30, 2012	Dec. 31, 2012
Accumulated Other Comprehensive Income (Loss) [Roll Forward]
Beginning balance			$ (55,508)		$ (65,131)	$ (65,131)
Other comprehensive income (loss) before reclassifications			25,095	[1]
Amounts reclassified from accumulated other comprehensive loss			8,710	[1]
Other comprehensive income, net of tax	19,904	25,302	33,805		28,857	9,623
Ending balance	(21,703)		(21,703)			(55,508)
Foreign Currency Translation Adjustments, Net [Member]
Accumulated Other Comprehensive Income (Loss) [Roll Forward]
Beginning balance			65,722		39,768	39,768
Other comprehensive income (loss) before reclassifications			(7,864)	[1]
Amounts reclassified from accumulated other comprehensive loss			0	[1]
Other comprehensive income, net of tax			(7,864)			25,954
Ending balance	57,858		57,858			65,722
Total Pension and Postretirment Adjustments, Net [Member]
Accumulated Other Comprehensive Income (Loss) [Roll Forward]
Beginning balance			(121,230)		(104,899)	(104,899)
Other comprehensive income (loss) before reclassifications			32,959	[1]
Amounts reclassified from accumulated other comprehensive loss			8,710	[1]
Other comprehensive income, net of tax			41,669			(16,331)
Ending balance	$ (79,561)		$ (79,561)			$ (121,230)

[1] All amounts are after tax.

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SEGMENT INFORMATION (Reconciliation) (Detail) (USD $) In Thousands, unless otherwise specified	3 Months Ended		9 Months Ended
	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012
Segment Reporting [Abstract]
Total operating income	$ 62,887	$ 23,366	$ 158,701	$ 99,465
Interest expense	(9,690)	(6,648)	(27,681)	(19,656)
Other income, net	378	(119)	1,076	113
Earnings from continuing operations before income taxes	$ 53,575	$ 16,599	$ 132,096	$ 79,922

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ACQUISITION (Proforma Narrative) (Detail) (Phonix Group [Member], Flow Control [Member], USD $) In Millions, unless otherwise specified	3 Months Ended	9 Months Ended
	Sep. 30, 2012	Sep. 30, 2012
Phonix Group [Member] | Flow Control [Member]
Business Acquisition [Line Items]
Additional amortization of intangible assets	$ 3.3	$ 9.7
Elimination of historical interest expense	0.9	2.9
Additional interest expense	$ 4.6	$ 13.6

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BASIS OF PRESENTATION (Policies)

9 Months Ended

Sep. 30, 2013

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Basis Of Accounting

Curtiss-Wright Corporation and its subsidiaries (the Corporation or the Company) is a diversified, multinational manufacturing and service company that designs, manufactures, and overhauls precision components and systems and provides highly engineered products and services to the aerospace, defense, automotive, shipbuilding, processing, oil, petrochemical, agricultural equipment, railroad, power generation, security, and metalworking industries.

The unaudited condensed consolidated financial statements include the accounts of Curtiss-Wright and its majority-owned subsidiaries.  All intercompany transactions and accounts have been eliminated.

On March 30, 2012, the Corporation sold its heat treating business to Bodycote plc.  The Corporation divested this non-core cyclical business to focus on higher technology engineered services such as specialty coatings and materials testing.  As a result of the divestiture, the results of operations for the heat treating business, which were previously reported as part of the Surface Technologies segment, have been reclassified as discontinued operations for all periods presented. Please refer to Footnote 3 of the Corporation's Condensed Consolidated Financial Statements for further information.

The unaudited condensed consolidated financial statements of the Corporation have been prepared in conformity with accounting principles generally accepted in the United States of America, which requires management to make estimates and judgments that affect the reported amount of assets, liabilities, revenue, and expenses and disclosure of contingent assets and liabilities in the accompanying financial statements. Actual results may differ from these estimates. The most significant of these estimates includes the estimate of costs to complete long-term contracts under the percentage-of-completion accounting methods, the estimate of useful lives for property, plant, and equipment, cash flow estimates used for testing the recoverability of assets, pension plan and postretirement obligation assumptions, estimates for inventory obsolescence, estimates for the valuation and useful lives of intangible assets, warranty reserves, legal reserves, and the estimate of future environmental costs. Changes in estimates of contract sales, costs, and profits are recognized using the cumulative catch-up method of accounting. This method recognizes in the current period the cumulative effect of the changes on current and prior periods. Accordingly, the effect of the changes on future periods of contract performance is recognized as if the revised estimate had been the original estimate. During the three and nine months endedSeptember 30, 2012, the Corporation incurred unanticipated additional costs, within its Flow Control segment, of $12.2 million and $20.3 million, respectively, on its long-term contract with Westinghouse for disassembly, inspection, and packaging costs related to the reactor coolant pumps (RCP) that the Corporation is supplying for the AP1000 nuclear power plants in China. In the opinion of management, all adjustments considered necessary for a fair presentation have been reflected in these financial statements.

The unaudited condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto included in the Corporation’s 2012 Annual Report on Form 10-K.  The results of operations for interim periods are not necessarily indicative of trends or of the operating results for a full year.

Corrections of Prior Years Amounts

Corrections to Prior Years Amounts

The presentation of net sales and cost of sales in the prior year's statement of earnings has been corrected to separately present the components of product and service revenues and costs of sales. This change in presentation did not affect total revenues, total cost of sales, total gross profit, operating income, or net earnings.

Out of Period Correction of an Immaterial Error Related to Three and Six Month Periods ended June 30, 2013

In the third quarter of 2013, the Corporation recorded an out of period adjustment related to the three and six month periods ended June 30, 2013 of $18 million to decrease comprehensive income and increase our deferred tax liability to reflect the tax impact of a May 31, 2013 amendment to our Curtiss-Wright Pension Plan which required a plan remeasurement. This error did not affect our condensed consolidated statement of net earnings or condensed consolidated statements of cash flows for the three and nine month periods ended September 30, 2013 or the three and six month periods ended June 30, 2013.  The Corporation evaluated the effects of this error on the June 30, 2013 condensed consolidated financial statements and based on an analysis of quantitative and qualitative factors, the Corporation determined that the error was not material and, therefore, amendment of previously filed reports is not required. 

Adoption of New Standards

ADOPTION OF NEW STANDARDS

Other Comprehensive Income:  Presentation of Comprehensive Income

In February 2013, new guidance was issued that amends the current comprehensive income guidance.  The new guidance requires entities to disclose the effect of each item that was reclassified in its entirety out of accumulated other comprehensive income and into net income on each affected net income line item.  For reclassification items that are not reclassified in their entirety into net income, a cross-reference to other required disclosures is required. The new guidance is to be applied prospectively for annual reporting periods beginning after December 15, 2012 and interim periods within those years.  The adoption of this new guidance did not have an impact on the Corporation’s consolidated financial position, results of operations, or cash flows.

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CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) (USD $)	Sep. 30, 2013	Dec. 31, 2012
Statement of Financial Position [Abstract]
Common stock, par value (usd per share)	$ 1	$ 1

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CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (Unaudited) (USD $) In Thousands, unless otherwise specified	Total	Common Stock Member	Additional Paid In Capital Member	Retained Earnings Member	Accumulated Other Comprehensive Loss Member	Treasury Stock Member
Beginning Balance at Dec. 31, 2011		$ 48,879	$ 143,192	$ 1,163,925	$ (65,131)	$ (85,890)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net earnings				113,844
Other comprehensive income, net of tax	9,623				9,623
Dividends paid/declared				(16,392)
Stock options exercised, net of tax		311	6,431			10,077
Restricted stock			(6,233)			6,233
Share-based compensation			8,907			521
Repurchases of common stock						(25,705)
Other			(414)			414
Ending Balance at Dec. 31, 2012	1,312,592	49,190	151,883	1,261,377	(55,508)	(94,350)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net earnings	90,674			90,674
Other comprehensive income, net of tax	33,805				33,805
Dividends paid/declared				(13,630)
Stock options exercised, net of tax		0	(2,917)			26,158
Restricted stock			(3,028)			3,028
Share-based compensation			5,055			420
Other			(330)			330
Ending Balance at Sep. 30, 2013	$ 1,452,157	$ 49,190	$ 150,663	$ 1,338,421	$ (21,703)	$ (64,414)

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DISCONTINUED OPERATIONS

9 Months Ended

Sep. 30, 2013

Discontinued Operations and Disposal Groups [Abstract]

DISCONTINUED OPERATIONS

DISCONTINUED OPERATIONS

On March 30, 2012, the Corporation sold the assets and real estate of its heat treating business, which had been reported in the Surface Technologies segment, to Bodycote plc.  The Corporation divested this non-core business to focus on higher technology services such as specialty coatings and materials testing.  The heat treating business’ operating results are included in discontinued operations in the Corporation's Condensed Consolidated Statements of Earnings for all periods presented.

Components of earnings from discontinued operations were as follows:

	Three Months Ended			Nine Months Ended
	September 30,			September 30,
	2012			2012
Net sales	$	—		$	10,785
Earnings from discontinued operations before income taxes	—			4,929
Provision for income taxes	—			(1,870		)
Gain (loss) on divestiture, net of taxes (1)	(144		)	18,172
Earnings (loss) from discontinued operations	$	(144	)	$	21,231

⁽¹⁾ Net of year-to-date 2012 taxes of $11 million

XML

BASIS OF PRESENTATION

9 Months Ended

Sep. 30, 2013

Organization, Consolidation and Presentation of Financial Statements [Abstract]

BASIS OF PRESENTATION

BASIS OF PRESENTATION

Curtiss-Wright Corporation and its subsidiaries (the Corporation or the Company) is a diversified, multinational manufacturing and service company that designs, manufactures, and overhauls precision components and systems and provides highly engineered products and services to the aerospace, defense, automotive, shipbuilding, processing, oil, petrochemical, agricultural equipment, railroad, power generation, security, and metalworking industries.

The unaudited condensed consolidated financial statements include the accounts of Curtiss-Wright and its majority-owned subsidiaries.  All intercompany transactions and accounts have been eliminated.

On March 30, 2012, the Corporation sold its heat treating business to Bodycote plc.  The Corporation divested this non-core cyclical business to focus on higher technology engineered services such as specialty coatings and materials testing.  As a result of the divestiture, the results of operations for the heat treating business, which were previously reported as part of the Surface Technologies segment, have been reclassified as discontinued operations for all periods presented. Please refer to Footnote 3 of the Corporation's Condensed Consolidated Financial Statements for further information.

The unaudited condensed consolidated financial statements of the Corporation have been prepared in conformity with accounting principles generally accepted in the United States of America, which requires management to make estimates and judgments that affect the reported amount of assets, liabilities, revenue, and expenses and disclosure of contingent assets and liabilities in the accompanying financial statements. Actual results may differ from these estimates. The most significant of these estimates includes the estimate of costs to complete long-term contracts under the percentage-of-completion accounting methods, the estimate of useful lives for property, plant, and equipment, cash flow estimates used for testing the recoverability of assets, pension plan and postretirement obligation assumptions, estimates for inventory obsolescence, estimates for the valuation and useful lives of intangible assets, warranty reserves, legal reserves, and the estimate of future environmental costs. Changes in estimates of contract sales, costs, and profits are recognized using the cumulative catch-up method of accounting. This method recognizes in the current period the cumulative effect of the changes on current and prior periods. Accordingly, the effect of the changes on future periods of contract performance is recognized as if the revised estimate had been the original estimate. During the three and nine months endedSeptember 30, 2012, the Corporation incurred unanticipated additional costs, within its Flow Control segment, of $12.2 million and $20.3 million, respectively, on its long-term contract with Westinghouse for disassembly, inspection, and packaging costs related to the reactor coolant pumps (RCP) that the Corporation is supplying for the AP1000 nuclear power plants in China. In the opinion of management, all adjustments considered necessary for a fair presentation have been reflected in these financial statements.

The unaudited condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto included in the Corporation’s 2012 Annual Report on Form 10-K.  The results of operations for interim periods are not necessarily indicative of trends or of the operating results for a full year.

Corrections to Prior Years Amounts

The presentation of net sales and cost of sales in the prior year's statement of earnings has been corrected to separately present the components of product and service revenues and costs of sales. This change in presentation did not affect total revenues, total cost of sales, total gross profit, operating income, or net earnings.

Out of Period Correction of an Immaterial Error Related to Three and Six Month Periods ended June 30, 2013

In the third quarter of 2013, the Corporation recorded an out of period adjustment related to the three and six month periods ended June 30, 2013 of $18 million to decrease comprehensive income and increase our deferred tax liability to reflect the tax impact of a May 31, 2013 amendment to our Curtiss-Wright Pension Plan which required a plan remeasurement. This error did not affect our condensed consolidated statement of net earnings or condensed consolidated statements of cash flows for the three and nine month periods ended September 30, 2013 or the three and six month periods ended June 30, 2013.  The Corporation evaluated the effects of this error on the June 30, 2013 condensed consolidated financial statements and based on an analysis of quantitative and qualitative factors, the Corporation determined that the error was not material and, therefore, amendment of previously filed reports is not required. 

RECENTLY ISSUED ACCOUNTING STANDARDS

ADOPTION OF NEW STANDARDS

Other Comprehensive Income:  Presentation of Comprehensive Income

In February 2013, new guidance was issued that amends the current comprehensive income guidance.  The new guidance requires entities to disclose the effect of each item that was reclassified in its entirety out of accumulated other comprehensive income and into net income on each affected net income line item.  For reclassification items that are not reclassified in their entirety into net income, a cross-reference to other required disclosures is required. The new guidance is to be applied prospectively for annual reporting periods beginning after December 15, 2012 and interim periods within those years.  The adoption of this new guidance did not have an impact on the Corporation’s consolidated financial position, results of operations, or cash flows.

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ACQUISITION (Detail) (USD $) In Thousands, unless otherwise specified					0 Months Ended
	Sep. 30, 2013	Dec. 31, 2012	Sep. 30, 2013 Flow Control [Member]	Dec. 31, 2012 Flow Control [Member]	Feb. 28, 2013 Phonix Group [Member] Flow Control [Member]
Business Acquisition [Line Items]
Accounts receivable					$ 12,226
Inventory					20,358
Property, plant, and equipment					12,575
Other current and non-current assets					2,153
Intangible assets					42,791
Current and non-current liabilities					(8,153)
Pension and postretirement benefits					(6,472)
Deferred income taxes					(13,746)
Net tangible and intangible assets					61,732
Purchase price					97,886
Goodwill	1,047,880	1,013,300	457,213	418,184	36,154
Amount of tax deductible goodwill					$ 0

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RECEIVABLES (Table)

9 Months Ended

Sep. 30, 2013

Receivables [Abstract]

Schedule Of Accounts Notes Loans And Financing Receivable

The composition of receivables is as follows:

	(In thousands)
	September 30, 2013			December 31, 2012
Billed receivables:
Trade and other receivables	$	400,230		$	402,891
Less: Allowance for doubtful accounts	(6,979		)	(7,013		)
Net billed receivables	393,251			395,878
Unbilled receivables:
Recoverable costs and estimated earnings not billed	195,385			207,679
Less: Progress payments applied	(21,377		)	(25,244		)
Net unbilled receivables	174,008			182,435
Receivables, net	$	567,259		$	578,313

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FAIR VALUE OF FINANCIAL INSTRUMENTS (Table)

9 Months Ended

Sep. 30, 2013

Fair Value Disclosures [Abstract]

Schedule of Fair Value Hedging Instruments, Statements of Financial Performance and Financial Position, Location [Table Text Block]

The location and amounts of derivative instrument fair values in the condensed consolidated balance sheet are below.

	(In thousands)
	September 30, 2013		December 31, 2012
Assets
Designated for hedge accounting
Interest rate swaps	$	—	$	677
Undesignated for hedge accounting
Forward exchange contracts	$	184	$	250
Total asset derivatives (A)	$	184	$	927
Liabilities
Designated for hedge accounting
Interest rate swaps	$	39,679	$	1,419
Undesignated for hedge accounting
Forward exchange contracts	$	251	$	170
Total liability derivatives (B)	$	39,930	$	1,589

(A)Forward exchange derivatives are included in Other current assets and interest rate swap assets are included in Other assets.

(B)Forward exchange derivatives are included in Other current liabilities and interest rate swap liabilities are included in Other liabilities.

Schedule of Other Derivatives Not Designated as Hedging Instruments, Statements of Financial Performance and Financial Position, Location [Table Text Block]

The location and amount of gains or losses on the hedged fixed rate debt attributable to changes in the market interest rates and the offsetting gain (loss) on the related interest rate swaps for the three and nine months endedSeptember 30, were as follows:

	(In thousands)
	Gain/(Loss) on Swap											Gain/(Loss) on Borrowings
	Three Months Ended						Nine Months Ended					Three Months Ended				Nine Months Ended
	September 30,						September 30,					September 30,				September 30,
Income Statement Classification	2013			2012			2013			2012		2013		2012		2013		2012
Other income, net	$	(3,106	)	$	(20	)	$	(39,679	)	$	1,771	$	3,106	$	20	$	39,679	$	(1,771	)

Undesignated hedges

The location and amount of gains and losses recognized in income on forward exchange derivative contracts not designated for hedge accounting for the three and nine months ended September 30, were as follows:

	(In thousands)
	Three Months Ended				Nine Months Ended
	September 30,				September 30,
Derivatives not designated as hedging instrument	2013		2012		2013			2012
Forward exchange contracts:
General and administrative expenses	$	2,143	$	2,082	$	(3,693	)	$	1,912

Schedule of Carrying Values and Estimated Fair Values of Debt Instruments [Table Text Block]

	September 30, 2013				December 31, 2012
	Carrying Value		Estimated Fair Value		Carrying Value		Estimated Fair Value
Industrial revenue bond, due 2023	$	8,400	$	8,400	$	8,400	$	8,400
Revolving credit agreement, due 2017	—		—		286,800		286,800
5.74% Senior notes due 2013	—		—		125,011		128,198
5.51% Senior notes due 2017	150,000		164,174		150,000		168,491
3.84% Senior notes due 2021	99,075		99,075		100,677		100,677
3.70% Senior notes due 2023	225,000		218,520		—		—
3.85% Senior notes due 2025	91,065		91,065		—		—
4.24% Senior notes due 2026	178,668		178,668		198,581		198,581
4.05% Senior notes due 2028	66,513		66,513		—		—
4.11% Senior notes due 2028	100,000		91,244
Other debt	1,285		1,285		10,746		10,746
Total debt	$	920,006	$	918,944	$	880,215	$	901,893

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SEGMENT INFORMATION (Table)

9 Months Ended

Sep. 30, 2013

Segment Reporting [Abstract]

Schedule Of Segment Reporting Information By Segment

	(In thousands)
	Three Months Ended						Nine Months Ended
	September 30,						September 30,
	2013			2012			2013			2012
Net sales
Flow Control	$	311,480		$	236,733		$	943,164		$	778,177
Controls	212,623			176,649			635,555			528,472
Surface Technologies	77,004			68,446			235,137			209,602
Less: Intersegment revenues	(440		)	(2,606		)	(2,815		)	(8,982		)
Total consolidated	$	600,667		$	479,222		$	1,811,041		$	1,507,269
Operating income (expense)
Flow Control	$	24,858		$	1,194		$	76,696		$	38,335
Controls	32,620			22,790			72,142			59,246
Surface Technologies	11,728			8,200			38,556			23,993
Corporate and eliminations (1)	(6,319		)	(8,818		)	(28,693		)	(22,109		)
Total consolidated	$	62,887		$	23,366		$	158,701		$	99,465

⁽¹⁾ Corporate and eliminations includes pension expense, environmental remediation and administrative expenses, legal, foreign currency transactional gains and losses, and other expenses.

Reconciliation of Operating Profit (Loss) from Segments to Consolidated

Operating income by reportable segment and the reconciliation to income from continuing operations before income taxes are as follows:

	(In thousands)
	Three Months Ended						Nine Months Ended
	September 30,						September 30,
	2013			2012			2013			2012
Total operating income	$	62,887		$	23,366		$	158,701		$	99,465
Interest expense	(9,690		)	(6,648		)	(27,681		)	(19,656		)
Other income, net	378			(119		)	1,076			113
Earnings from continuing operations before income taxes	$	53,575		$	16,599		$	132,096		$	79,922

Reconciliation Of Assets From Segment To Consolidated

	(In thousands)
	September 30, 2013		December 31, 2012
Identifiable assets
Flow Control	$	1,559,339	$	1,417,047
Controls	1,360,945		1,365,112
Surface Technologies	311,162		302,079
Corporate and Other	57,720		30,350
Total consolidated	$	3,289,166	$	3,114,588

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FAIR VALUE OF FINANCIAL INSTRUMENTS (Debt) (Detail) (USD $) In Thousands, unless otherwise specified	Sep. 30, 2013	Feb. 26, 2013	Dec. 31, 2012
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Carrying Value	$ 920,006		$ 880,215
Estimated Fair Value	918,944		901,893
Industrial revenue bond, due 2023 [Member]
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Carrying Value	8,400		8,400
Estimated Fair Value	8,400		8,400
Revolving credit agreement, due 2017 [Member]
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Carrying Value	0		286,800
Estimated Fair Value	0		286,800
5.74% Senior notes due 2013 [Member]
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Carrying Value	0		125,011
Estimated Fair Value	0		128,198
Interest rate	5.74%
5.51% Senior notes due 2017 [Member]
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Carrying Value	150,000		150,000
Estimated Fair Value	164,174		168,491
Interest rate	5.51%
3.84% Senior notes due 2021 [Member]
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Carrying Value	99,075		100,677
Estimated Fair Value	99,075		100,677
Interest rate	3.84%
3.70% Senior notes due 2023 [Member]
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Carrying Value	225,000		0
Estimated Fair Value	218,520		0
Interest rate	3.70%	3.70%
3.85% Senior notes due 2025 [Member]
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Carrying Value	91,065		0
Estimated Fair Value	91,065		0
Interest rate	3.85%	3.85%
4.24% Senior notes due 2026 [Member]
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Carrying Value	178,668		198,581
Estimated Fair Value	178,668		198,581
Interest rate	4.24%
4.05% Senior notes due 2028 [Member]
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Carrying Value	66,513		0
Estimated Fair Value	66,513		0
Interest rate	4.05%	4.05%
4.11% Senior Notes [Member]
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Carrying Value	100,000
Estimated Fair Value	91,244
Other debt [Member]
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Carrying Value	1,285		10,746
Estimated Fair Value	$ 1,285		$ 10,746

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OTHER INTANGIBLE ASSETS, NET (Narrative) (Detail) (USD $) In Millions, unless otherwise specified	9 Months Ended
	Sep. 30, 2013	Sep. 30, 2012
Finite Lived Intangible Assets [Line Items]
Acquired intangible assets	$ 44.1
Amortization expense	36.0	22.2
Future amortization expense in remainder of fiscal year	48.4
Future amortization expense in year two	41.6
Future amortization expense in year three	39.6
Future amortization expense in year four	38.7
Future amortization expense in year five	38.2
Technology-Based Intangible Assets [Member]
Finite Lived Intangible Assets [Line Items]
Acquired intangible assets	12.6
Weighted average useful life	15 years
Customer-Related Intangible Assets [Member]
Finite Lived Intangible Assets [Line Items]
Acquired intangible assets	28.8
Weighted average useful life	16 years 2 months 12 days
Other Intangible Assets [Member]
Finite Lived Intangible Assets [Line Items]
Acquired intangible assets	$ 2.7
Weighted average useful life	6 years 10 months 24 days

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RECEIVABLES (Detail) (USD $) In Thousands, unless otherwise specified	Sep. 30, 2013	Dec. 31, 2012
Billed receivables:
Trade and other receivables	$ 400,230	$ 402,891
Less: Allowance for doubtful accounts	(6,979)	(7,013)
Net billed receivables	393,251	395,878
Unbilled receivables:
Recoverable costs and estimated earnings not billed	195,385	207,679
Less: Progress payments applied	(21,377)	(25,244)
Net unbilled receivables	174,008	182,435
Receivables, net	$ 567,259	$ 578,313

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CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (Unaudited) (USD $) In Thousands, unless otherwise specified	3 Months Ended				9 Months Ended
	Sep. 30, 2013		Sep. 30, 2012		Sep. 30, 2013		Sep. 30, 2012
Statement of Comprehensive Income [Abstract]
Net earnings	$ 36,361		$ 11,299		$ 90,674		$ 75,351
Other comprehensive income
Foreign currency translation, net of tax (1)	33,886	[1]	23,614	[1]	(7,864)	[1]	23,711	[1]
Pension and postretirement adjustments, net of tax (2)	(13,982)	[2]	1,688	[2]	41,669	[2]	5,146	[2]
Other comprehensive income, net of tax	19,904		25,302		33,805		28,857
Comprehensive income	$ 56,265		$ 36,601		$ 124,479		$ 104,208

[1] The tax benefit (expense) included in other comprehensive income for foreign currency translation adjustments for the three and nine months ended, September 30, 2013 were ($1.4) million and $(1.5) million, respectively. The tax benefit (expense) included in other comprehensive income for foreign currency translation adjustments for the three and nine months ended, September 30, 2012 were and $4.8 million and $3.4 million, respectively.

[2] The tax benefit (expense) included in other comprehensive income for pension and postretirement adjustments for the three and nine months ended September 30, 2013 were ($20.6) million and ($23.5) million, respectively. The tax benefit (expense) included in other comprehensive income for pension and postretirement adjustments for the three and nine months ended September 30, 2012 were and ($0.9) million and ($2.9) million, respectively.

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GOODWILL

9 Months Ended

Sep. 30, 2013

Goodwill [Abstract]

GOODWILL

GOODWILL

The Corporation accounts for acquisitions by assigning the purchase price to acquired tangible and intangible assets and liabilities. Assets acquired and liabilities assumed are recorded at their fair values, and the excess of the purchase price over the amounts assigned is recorded as goodwill.

The changes in the carrying amount of goodwill for the nine months endedSeptember 30, 2013 are as follows:

	(In thousands)
	Flow Control			Controls			Surface Technologies			Consolidated
December 31, 2012	$	418,184		$	541,226		$	53,890		$	1,013,300
Acquisitions	38,149			—			—			38,149
Goodwill adjustments	1,378			(1,372		)	525			531
Foreign currency translation adjustment	(498		)	(3,592		)	(10		)	(4,100		)
September 30, 2013	$	457,213		$	536,262		$	54,405		$	1,047,880

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CONDENSED CONSOLIDATED BALANCE SHEETS (USD $) In Thousands, unless otherwise specified	Sep. 30, 2013	Dec. 31, 2012
Current Assets:
Cash and cash equivalents	$ 171,362	$ 112,023
Receivables, net	567,259	578,313
Inventories, net	456,884	397,471
Deferred tax assets, net	49,372	50,760
Other current assets	50,352	37,194
Total current assets	1,295,229	1,175,761
Property, plant, and equipment, net	504,413	489,593
Goodwill	1,047,880	1,013,300
Other intangible assets, net	425,620	419,021
Deferred tax assets, net	1,228	1,709
Other assets	14,796	15,204
Total assets	3,289,166	3,114,588
Current liabilities:
Current portion of long-term debt and short-term debt	1,227	128,225
Accounts payable	163,130	157,825
Dividends payable	4,738	0
Accrued expenses	136,506	131,067
Income taxes payable	5,677	7,793
Deferred revenue	158,321	171,624
Other current liabilities	31,992	43,214
Total current liabilities	501,591	639,748
Long-term debt	918,778	751,990
Deferred tax liabilities, net	88,694	50,450
Accrued pension and other postretirement benefit costs	193,293	264,047
Long-term portion of environmental reserves	15,397	14,905
Other liabilities	119,256	80,856
Total liabilities	1,837,009	1,801,996
Stockholders' Equity
Common stock, $1 par value	49,190	49,190
Additional paid in capital	150,663	151,883
Retained earnings	1,338,421	1,261,377
Accumulated other comprehensive loss	(21,703)	(55,508)
Cost of treasury stock	(64,414)	(94,350)
Total stockholders' equity	1,452,157	1,312,592
Total liabilities and stockholders' equity	$ 3,289,166	$ 3,114,588

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PENSION AND OTHER POSTRETIREMENT BENEFIT PLANS (Detail) (USD $) In Thousands, unless otherwise specified	3 Months Ended		9 Months Ended
	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012
Pension Plans Defined Benefit [Member]
Defined Benefit Plan Disclosure [Line Items]
Service cost	$ 8,449	$ 10,061	$ 30,167	$ 30,194
Interest cost	7,163	6,564	20,679	19,695
Expected return on plan assets	(9,306)	(8,382)	(27,067)	(25,152)
Amortization of prior service cost	165	300	719	901
Amortization of unrecognized actuarial loss	3,560	2,755	11,767	8,266
Curtailments	(2,818)	0	(107)	0
Net postretirement benefit cost (income)	7,213	11,298	36,158	33,904
Other Postretirement Benefit Plan, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Line Items]
Service cost	81	109	280	329
Interest cost	213	232	630	695
Amortization of prior service cost	(158)	(158)	(472)	(472)
Amortization of unrecognized actuarial loss	(140)	(180)	(460)	(539)
Net postretirement benefit cost (income)	$ (4)	$ 3	$ (22)	$ 13

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CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS (UNAUDITED) (USD $) In Thousands, except Per Share data, unless otherwise specified	3 Months Ended		9 Months Ended
	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012
Net sales
Product sales	$ 502,818	$ 385,641	$ 1,500,450	$ 1,214,541
Service sales	97,849	93,581	310,591	292,728
Total net sales	600,667	479,222	1,811,041	1,507,269
Cost of sales
Cost of product sales	340,955	275,142	1,027,695	848,616
Cost of service sales	65,010	62,664	203,923	193,956
Total cost of sales	405,965	337,806	1,231,618	1,042,572
Gross profit	194,702	141,416	579,423	464,697
Research and development expenses	16,054	13,267	49,565	43,965
Selling expenses	38,019	28,009	113,715	93,378
General and administrative expenses	77,742	76,774	257,442	227,889
Operating income	62,887	23,366	158,701	99,465
Interest expense	(9,690)	(6,648)	(27,681)	(19,656)
Other income, net	378	(119)	1,076	113
Earnings from continuing operations before income taxes	53,575	16,599	132,096	79,922
Provision for income taxes	17,214	5,156	41,422	25,802
Earnings from continuing operations	36,361	11,443	90,674	54,120
Discontinued operations, net of taxes
Earnings from discontinued operations	0	0	0	3,059
Gain (loss) on divestiture	0	(144)	0	18,172
Earnings (loss) from discontinued operations	0	(144)	0	21,231
Net earnings	$ 36,361	$ 11,299	$ 90,674	$ 75,351
Basic earnings per share
Earnings from continuing operations (usd per share)	$ 0.77	$ 0.24	$ 1.94	$ 1.17
Earnings from discontinued operations (usd per share)	$ 0	$ 0.00	$ 0.00	$ 0.45
Total, Basic earnings per share (usd per share)	$ 0.77	$ 0.24	$ 1.94	$ 1.62
Diluted earnings per share
Earnings from continuing operations (usd per share)	$ 0.76	$ 0.24	$ 1.90	$ 1.14
Earnings from discontinued operations (usd per share)	$ 0.00	$ 0.00	$ 0.00	$ 0.45
Total, Diluted earnings per share (usd per share)	$ 0.76	$ 0.24	$ 1.90	$ 1.59
Dividends per share	$ 0.10	$ 0.09	$ 0.29	$ 0.26
Weighted average shares outstanding:
Basic (shares)	47,081	46,884	46,839	46,795
Diluted (shares)	48,063	47,415	47,685	47,493

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FAIR VALUE OF FINANCIAL INSTRUMENTS (Interest Rate Swap) (Details) (USD $) In Millions, unless otherwise specified	9 Months Ended	1 Months Ended	9 Months Ended	1 Months Ended	9 Months Ended	1 Months Ended	9 Months Ended	1 Months Ended	9 Months Ended
	Sep. 30, 2013	Mar. 31, 2013 3.85% Senior notes due 2025 [Member]	Sep. 30, 2013 3.85% Senior notes due 2025 [Member]	Mar. 31, 2013 4.05% Senior notes due 2028 [Member]	Sep. 30, 2013 4.05% Senior notes due 2028 [Member]	Jan. 31, 2012 4.24% Senior notes due 2026 [Member]	Sep. 30, 2013 4.24% Senior notes due 2026 [Member]	Jan. 31, 2012 3.84% Senior notes due 2021 [Member]	Sep. 30, 2013 3.84% Senior notes due 2021 [Member]
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Issuance date	Feb. 26, 2013		Mar. 01, 2013		Mar. 01, 2013		Jan. 01, 2012		Jan. 01, 2012
Notional amount	$ 400	$ 100		$ 75		$ 200		$ 25
Interest rate		3.85%		4.05%		4.24%		3.84%
Maturity date			Feb. 26, 2025		Feb. 26, 2028		Dec. 01, 2026		Dec. 01, 2021
Variable rate basis		LIBOR		LIBOR		LIBOR		LIBOR
Basis spread on variable rate		1.77%		1.73%		2.02%		1.90%
Face amount								$ 100

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INVENTORIES (Table)

9 Months Ended

Sep. 30, 2013

Inventory, Net [Abstract]

Schedule Of Inventory

The composition of inventories is as follows:

	(In thousands)
	September 30, 2013			December 31, 2012
Raw materials	$	234,423		$	224,613
Work-in-process	114,203			92,761
Finished goods and component parts	118,082			107,173
Inventoried costs related to long-term contracts	55,695			38,000
Gross inventories	522,403			462,547
Less:  Inventory reserves	(54,498		)	(50,333		)
Progress payments applied	(11,021		)	(14,743		)
Inventories, net	$	456,884		$	397,471

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CONTINGENCIES AND COMMITMENTS

9 Months Ended

Sep. 30, 2013

Commitments and Contingencies Disclosure [Abstract]

CONTINGENCIES AND COMMITMENTS

CONTINGENCIES AND COMMITMENTS

Legal Proceedings

The Corporation has been named in a number of lawsuits that allege injury from exposure to asbestos.  To date, the Corporation has not been found liable for or paid any material sum of money in settlement in any case.  The Corporation believes its minimal use of asbestos in its past and current operations and the relatively non-friable condition of asbestos in its products makes it unlikely that it will face material liability in any asbestos litigation, whether individually or in the aggregate.  The Corporation maintains insurance coverage for these potential liabilities and believes adequate coverage exists to cover any unanticipated asbestos liability.

The Corporation is party to a number of legal actions and claims, none of which individually or in the aggregate, in the opinion of management, are expected to have a material effect on the Corporation’s results of operations or financial position.

Environmental Matters

The aggregate environmental liability was $16.8 million at September 30, 2013 and $16.4 million at December 31, 2012.  All environmental reserves exclude any potential recovery from insurance carriers or third-party legal actions.

Letters of Credit and Other Financial Arrangements

The Corporation enters into standby letters of credit agreements and guarantees with financial institutions and customers primarily relating to guarantees of repayment, future performance on certain contracts to provide products and services, and to secure advance payments from certain international customers. At September 30, 2013 and December 31, 2012, there were $51.1 million and $51.8 million of stand-by letters of credit outstanding, respectively, and $18.3 million and $6.8 million of bank guarantees outstanding, respectively.   In addition, the Corporation is required to provide the Nuclear Regulatory Commission financial assurance demonstrating its ability to cover the cost of decommissioning its Cheswick, Pennsylvania facility upon closure, though the Corporation does not intend to close this facility.  The Corporation has provided this financial assurance in the form of a $52.9 million surety bond.

AP1000 Program

The Corporation’s Electro-Mechanical Division is the reactor coolant pump (RCP) supplier for the Westinghouse AP1000 nuclear power plants under construction in China and the United States.  The terms of the AP1000 China and United States contracts include liquidated damage penalty provisions for failure to meet contractual delivery dates if the Corporation caused the delay and the delay was not excusable.  On October 10, 2013, the Corporation received a letter from Westinghouse stating entitlements to the maximum amount of liquidated damages allowable under the AP1000 China contract from Westinghouse of approximately $25 million.  The Corporation would be liable for liquidated damages under the contract if certain contractual delivery dates were not met and if the Corporation was deemed responsible for the delay. To date, the Corporation has not met certain contractual delivery dates under its AP 1000 China contract; however there are significant uncertainties as to which parties are responsible for the delays.  The Corporation believes it has adequate legal defenses and we intend to vigorously defend this matter. Given the uncertainties surrounding the responsibility for the delays no accrual has been made for this matter as of September 30, 2013.  The range of possible loss is $0 to $25 million.

U.S. Government Defense Budget/Sequestration

In August 2011, the Budget Control Act (the Act) announced a reduction in the Department of Defense (DoD) top line budget by approximately $490 billion over 10 years starting in 2013.  The initial and mandatory budget cuts (or sequestration) as outlined in the Act were to be implemented starting on January 2, 2013. However, on January 1, 2013, Congress elected to delay the impact of sequestration until at least March 1, 2013, and these cuts were to be automatically implemented if an agreement had not been reached by March 27, 2013.  On March 26, 2013, President Obama signed into law a continuing budget resolution which provides additional funding and flexibility for U.S. Government agencies to reallocate funds to priority areas in FY2013.  In April 2013, the President released his initial budget proposal for FY2014, which leaves uncertainty as to how the sequester to be imposed on defense spending next year will be determined.  While such reductions to future DoD spending levels are largely undetermined, any reduction in levels of DoD spending, cancellations or delays impacting existing contracts or programs, including through sequestration, could have a material impact on the Corporation’s results of operations, financial position, or cash flows. 

Lease Agreements

On June 3, 2013, the Corporation entered into a build to suit agreement for the construction and lease of a new manufacturing facility in Bethlehem, Pennsylvania. The new facility will consist of two buildings totaling approximately 178,975 square feet situated on 12.5 acres, and will serve as a facility for warehousing, heavy manufacturing, research and development, general office, and hazardous material storage for the Electro Mechanical division in the Flow Control segment. Under the terms of the lease agreement, the Corporation is obligated to pay annual fixed rent of $1.9 million every year for the first eight years with rent escalation of 2.5% every year thereafter for a total of fifteen years.

On June 5, 2013, the Corporation entered into a build to suit agreement for the construction and lease of a new facility in Idaho Falls, Idaho. The new facility will consist of two buildings totaling approximately 112,000 square feet situated on 8.6 acres, and will serve as a general office, assembly, and testing facility for the Nuclear Group division in the Flow Control segment. Under the terms of the lease agreement, the Corporation is obligated to pay initial annual rent of $1.1 million with rent escalation of 2.5% every year thereafter for a total of fifteen years.

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DISCONTINUED OPERATIONS (Detail) (USD $)	3 Months Ended		9 Months Ended		3 Months Ended	9 Months Ended		12 Months Ended
	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2012 Heat Treating [Member]	Sep. 30, 2012 Heat Treating [Member]		Dec. 31, 2012 Heat Treating [Member]
Income Statement Disclosures By Disposal Groups Including Discontinued Operations [Line Items]
Net sales					$ 0	$ 10,785,000
Earnings from discontinued operations before income taxes					0	4,929,000
Provision for income taxes					0	(1,870,000)
Gain (loss) on divestiture, net of taxes (1)	0	(144,000)	0	18,172,000	(144,000)	18,172,000	[1]
Earnings (loss) from discontinued operations	0	(144,000)	0	21,231,000	(144,000)	21,231,000
Year-to-date taxes								$ 11,000,000

[1] Net of year-to-date 2012 taxes of $11 million

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FAIR VALUE OF FINANCIAL INSTRUMENTS (New Notes) (Detail) (USD $)	9 Months Ended			9 Months Ended		9 Months Ended		9 Months Ended		9 Months Ended
	Sep. 30, 2013	Sep. 26, 2013	Feb. 26, 2013 2013 Senior Notes [Member]	Sep. 30, 2013 3.70% Senior notes due 2023 [Member]	Feb. 26, 2013 3.70% Senior notes due 2023 [Member]	Sep. 30, 2013 3.85% Senior notes due 2025 [Member]	Feb. 26, 2013 3.85% Senior notes due 2025 [Member]	Sep. 30, 2013 4.05% Senior notes due 2028 [Member]	Feb. 26, 2013 4.05% Senior notes due 2028 [Member]	Sep. 30, 2013 4.11% Senior Notes [Member]	Feb. 26, 2013 4.11% Senior Notes [Member]
Debt Instrument [Line Items]
Issuance date	Feb. 26, 2013									Sep. 26, 2013
Face amount			$ 400,000,000		$ 225,000,000		$ 100,000,000		$ 75,000,000
Interest rate				3.70%	3.70%	3.85%	3.85%	4.05%	4.05%
Maturity date				Feb. 26, 2023		Feb. 26, 2025		Feb. 26, 2028		Sep. 26, 2028
Debt Instrument, Issuable Face Amount											100,000,000
Debt Instrument, Interest Rate, Issuable Stated Percentage											4.11%
Debt to capitalization, covenant ratio	60.00%
Amount of borrowing capacity available		$ 1,200,000,000

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ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) (Reclass) (Detail) (USD $) In Thousands, unless otherwise specified	3 Months Ended		9 Months Ended
	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013		Sep. 30, 2012
Accumulated Other Comprehensive Income (Loss) [Line Items]
Earnings from continuing operations before income taxes	$ 53,575	$ 16,599	$ 132,096		$ 79,922
Income tax	(17,214)	(5,156)	(41,422)		(25,802)
Net earnings	36,361	11,299	90,674		75,351
Reclassification out of Accumulated Other Comprehensive Income [Member] | Total Pension and Postretirment Adjustments, Net [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Amortization of prior service costs			(247)	[1]
Amortization of actuarial losses			(11,307)	[1]
Curtailments			(2,178)	[1]
Earnings from continuing operations before income taxes			(13,732)
Income tax			5,022
Net earnings			$ (8,710)

[1] These items are included in the computation of net periodic pension cost. See Note 11, Pension and Other Postretirement Benefit Plans.

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BASIS OF PRESENTATION - Narrative (Details) (USD $) In Millions, unless otherwise specified	3 Months Ended	9 Months Ended	3 Months Ended
	Sep. 30, 2012	Sep. 30, 2012	Jun. 30, 2013 Change in Assumptions for Pension Plans [Member]
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Additional costs	$ 12.2	$ 20.3
Error Corrections and Prior Period Adjustments Restatement [Line Items]
Prior period reclassification adjustment			$ 18

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PENSION AND OTHER POSTRETIREMENT BENEFIT PLANS (Table)

9 Months Ended

Sep. 30, 2013

General Discussion of Pension and Other Postretirement Benefits [Abstract]

Schedule Of Defined Benefit Plans Disclosures

The components of net periodic pension cost for the three and nine months ended September 30, 2013 and 2012 are as follows:

	(In thousands)
	Three Months Ended						Nine Months Ended
	September 30,						September 30,
	2013			2012			2013			2012
Service cost	$	8,449		$	10,061		$	30,167		$	30,194
Interest cost	7,163			6,564			20,679			19,695
Expected return on plan assets	(9,306		)	(8,382		)	(27,067		)	(25,152		)
Amortization of prior service cost	165			300			719			901
Amortization of unrecognized actuarial loss	3,560			2,755			11,767			8,266
Curtailments	(2,818		)	—			(107		)	—
Net periodic benefit cost	$	7,213		$	11,298		$	36,158		$	33,904

The components of the net postretirement benefit cost for the Curtiss-Wright and EMD postretirement benefit plans for the three and nine months ended September 30, 2013 and 2012 are as follows:

	(In thousands)
	Three Months Ended						Nine Months Ended
	September 30,						September 30,
	2013			2012			2013			2012
Service cost	$	81		$	109		$	280		$	329
Interest cost	213			232			630			695
Amortization of prior service cost	(158		)	(158		)	(472		)	(472		)
Amortization of unrecognized actuarial gain	(140		)	(180		)	(460		)	(539		)
Net postretirement benefit cost (income)	$	(4	)	$	3		$	(22	)	$	13

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EARNINGS PER SHARE (Table)

9 Months Ended

Sep. 30, 2013

Earnings Per Share [Abstract]

Schedule of Earnings Per Share Reconciliation

A reconciliation of basic to diluted shares used in the earnings per share calculation is as follows:

	(In thousands)
	Three Months Ended		Nine Months Ended
	September 30,		September 30,
	2013	2012	2013	2012
Basic weighted-average shares outstanding	47,081	46,884	46,839	46,795
Dilutive effect of stock options and deferred stock compensation	982	531	846	698
Diluted weighted-average shares outstanding	48,063	47,415	47,685	47,493

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INVENTORIES

9 Months Ended

Sep. 30, 2013

Inventory, Net [Abstract]

INVENTORIES

    INVENTORIES

Inventoried costs contain amounts relating to long-term contracts and programs with long production cycles, a portion of which will not be realized within one year. Long term contract inventory includes an immaterial amount of claims or other similar items subject to uncertainty concerning their determination or realization. Inventories are valued at the lower of cost (principally average cost) or market. The composition of inventories is as follows:

	(In thousands)
	September 30, 2013			December 31, 2012
Raw materials	$	234,423		$	224,613
Work-in-process	114,203			92,761
Finished goods and component parts	118,082			107,173
Inventoried costs related to long-term contracts	55,695			38,000
Gross inventories	522,403			462,547
Less:  Inventory reserves	(54,498		)	(50,333		)
Progress payments applied	(11,021		)	(14,743		)
Inventories, net	$	456,884		$	397,471

As of September 30, 2013 and December 31, 2012, inventory also includes capitalized contract development costs of $30.5 million and $23.8 million, respectively, related to certain aerospace and defense programs.  These capitalized costs will be liquidated as production units are delivered to the customer.  As of September 30, 2013 and December 31, 2012, $5.2 million and $5.4 million, respectively, are scheduled to be liquidated under existing firm orders.

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SEGMENT INFORMATION (Detail) (USD $) In Thousands, unless otherwise specified	3 Months Ended				9 Months Ended
	Sep. 30, 2013		Sep. 30, 2012		Sep. 30, 2013 segment		Sep. 30, 2012		Dec. 31, 2012
Segment Reporting Information [Line Items]
Number of operating segments					3
Net sales	$ 600,667		$ 479,222		$ 1,811,041		$ 1,507,269
Operating income (expense)	62,887		23,366		158,701		99,465
Identifiable assets	3,289,166				3,289,166				3,114,588
Flow Control [Member]
Segment Reporting Information [Line Items]
Net sales	311,480		236,733		943,164		778,177
Operating income (expense)	24,858		1,194		76,696		38,335
Identifiable assets	1,559,339				1,559,339				1,417,047
Controls [Member]
Segment Reporting Information [Line Items]
Net sales	212,623		176,649		635,555		528,472
Operating income (expense)	32,620		22,790		72,142		59,246
Identifiable assets	1,360,945				1,360,945				1,365,112
Surface Technologies [Member]
Segment Reporting Information [Line Items]
Net sales	77,004		68,446		235,137		209,602
Operating income (expense)	11,728		8,200		38,556		23,993
Identifiable assets	311,162				311,162				302,079
Intersegment Eliminations [Member]
Segment Reporting Information [Line Items]
Net sales	(440)		(2,606)		(2,815)		(8,982)
Corporate and Eliminations [Member]
Segment Reporting Information [Line Items]
Operating income (expense)	(6,319)	[1]	(8,818)	[1]	(28,693)	[1]	(22,109)	[1]
Corporate and Other [Member]
Segment Reporting Information [Line Items]
Identifiable assets	$ 57,720				$ 57,720				$ 30,350

[1] Corporate and eliminations includes pension expense, environmental remediation and administrative expenses, legal, foreign currency transactional gains and losses, and other expenses.

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GOODWILL (Table)

9 Months Ended

Sep. 30, 2013

Goodwill [Abstract]

Schedule Of Goodwill

The changes in the carrying amount of goodwill for the nine months endedSeptember 30, 2013 are as follows:

	(In thousands)
	Flow Control			Controls			Surface Technologies			Consolidated
December 31, 2012	$	418,184		$	541,226		$	53,890		$	1,013,300
Acquisitions	38,149			—			—			38,149
Goodwill adjustments	1,378			(1,372		)	525			531
Foreign currency translation adjustment	(498		)	(3,592		)	(10		)	(4,100		)
September 30, 2013	$	457,213		$	536,262		$	54,405		$	1,047,880

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ACQUISITION (Proforma) (Detail) (USD $) In Thousands, except Per Share data, unless otherwise specified	3 Months Ended	9 Months Ended
	Sep. 30, 2012	Sep. 30, 2012
Business Combinations [Abstract]
Net sales	$ 561,997	$ 1,759,248
Net earnings from continuing operations	$ 13,131	$ 60,591
Diluted earnings per share from continuing operations (in usd per share)	$ 0.28	$ 1.28

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FAIR VALUE OF FINANCIAL INSTRUMENTS

9 Months Ended

Sep. 30, 2013

Fair Value Disclosures [Abstract]

FAIR VALUE OF FINANCIAL INSTRUMENTS

FAIR VALUE OF FINANCIAL INSTRUMENTS

Forward Foreign Exchange and Currency Option Contracts

The Corporation has foreign currency exposure primarily in the United Kingdom, Europe, and Canada.  The Corporation uses financial instruments, such as forward and option contracts, to hedge a portion of existing and anticipated foreign currency denominated transactions.  The purpose of the Corporation’s foreign currency risk management program is to reduce volatility in earnings caused by exchange rate fluctuations.  Guidance on accounting for derivative instruments and hedging activities requires companies to recognize all of the derivative financial instruments as either assets or liabilities at fair value in the Condensed Consolidated Balance Sheets based upon quoted market prices for comparable instruments.

Interest Rate Risks and Related Strategies

The Corporation’s primary interest rate exposure results from changes in U.S. dollar interest rates. The Corporation’s policy is to manage interest cost using a mix of fixed and variable rate debt. The Corporation periodically uses interest rate swaps to manage such exposures. Under these interest rate swaps, the Corporation exchanges, at specified intervals, the difference between fixed and floating interest amounts calculated by reference to an agreed-upon notional principal amount.

For interest rate swaps designated as fair value hedges (i.e., hedges against the exposure to changes in the fair value of an asset or a liability or an identified portion thereof that is attributable to a particular risk), changes in the fair value of the interest rate swaps offset changes in the fair value of the fixed rate debt due to changes in market interest rates.

In March 2013, the Corporation entered into fixed-to-floating interest rate swap agreements to convert the interest payments of (i) the $100 million, 3.85% notes, due February 26, 2025, from a fixed rate to a floating interest rate based on 1-Month LIBOR plus a 1.77% spread, and (ii) the $75 million, 4.05% notes, due February 26, 2028, from a fixed rate to a floating interest rate based on 1-Month LIBOR plus a 1.73% spread.

In January 2012, the Corporation entered into fixed-to-floating interest rate swap agreements to convert the interest payments of (i) the $200 million, 4.24% notes, due December 1, 2026, from a fixed rate to a floating interest rate based on 1-Month LIBOR plus a 2.02% spread, and (ii) $25 million of the $100 million, 3.84% notes, due December 1, 2021, from a fixed rate to a floating interest rate based on 1-Month LIBOR plus a 1.90% spread.

The notional amounts of the Corporation’s outstanding interest rate swaps designated as fair value hedges were $400 million at September 30, 2013.

The fair value accounting guidance requires that assets and liabilities carried at fair value be classified and disclosed in one of the following three categories:

Level 1: Quoted market prices in active markets for identical assets or liabilities that the company has the ability to access.

Level 2: Observable market based inputs or unobservable inputs that are corroborated by market data such as quoted prices, interest rates and yield curves.

Level 3: Inputs are unobservable data points that are not corroborated by market data.

Based upon the fair value hierarchy, all of the forward foreign exchange contracts and interest rate swaps are valued at a Level 2.

Effects on Consolidated Balance Sheets

The location and amounts of derivative instrument fair values in the condensed consolidated balance sheet are below.

	(In thousands)
	September 30, 2013		December 31, 2012
Assets
Designated for hedge accounting
Interest rate swaps	$	—	$	677
Undesignated for hedge accounting
Forward exchange contracts	$	184	$	250
Total asset derivatives (A)	$	184	$	927
Liabilities
Designated for hedge accounting
Interest rate swaps	$	39,679	$	1,419
Undesignated for hedge accounting
Forward exchange contracts	$	251	$	170
Total liability derivatives (B)	$	39,930	$	1,589

(A)Forward exchange derivatives are included in Other current assets and interest rate swap assets are included in Other assets.

(B)Forward exchange derivatives are included in Other current liabilities and interest rate swap liabilities are included in Other liabilities.

Effects on Condensed Consolidated Statements of Earnings

Fair value hedge

The location and amount of gains or losses on the hedged fixed rate debt attributable to changes in the market interest rates and the offsetting gain (loss) on the related interest rate swaps for the three and nine months endedSeptember 30, were as follows:

	(In thousands)
	Gain/(Loss) on Swap											Gain/(Loss) on Borrowings
	Three Months Ended						Nine Months Ended					Three Months Ended				Nine Months Ended
	September 30,						September 30,					September 30,				September 30,
Income Statement Classification	2013			2012			2013			2012		2013		2012		2013		2012
Other income, net	$	(3,106	)	$	(20	)	$	(39,679	)	$	1,771	$	3,106	$	20	$	39,679	$	(1,771	)

Undesignated hedges

The location and amount of gains and losses recognized in income on forward exchange derivative contracts not designated for hedge accounting for the three and nine months ended September 30, were as follows:

	(In thousands)
	Three Months Ended				Nine Months Ended
	September 30,				September 30,
Derivatives not designated as hedging instrument	2013		2012		2013			2012
Forward exchange contracts:
General and administrative expenses	$	2,143	$	2,082	$	(3,693	)	$	1,912

Debt

The estimated fair value amounts were determined by the Corporation using available market information that is primarily based on quoted market prices for the same or similar issues as of September 30, 2013.  Accordingly, all of the Corporation’s debt is valued at a Level 2.  The fair values described below may not be indicative of net realizable value or reflective of future fair values.  Furthermore, the use of different methodologies to determine the fair value of certain financial instruments could result in a different estimate of fair value at the reporting date.

The carrying amount of the variable interest rate debt approximates fair value as the interest rates are reset periodically to reflect current market conditions.

On February 26, 2013, the Corporation issued $400 million of Senior Notes (the 2013 Notes).  The 2013 Notes consist of $225 million of 3.70% Senior Notes that mature on February 26, 2023, $100 million of 3.85% Senior Notes that mature on February 26, 2025, and $75 million of 4.05% Senior Notes that mature on February 26, 2028.  An additional $100 million of 4.11% Senior Notes that mature on September 26, 2028, were issued on September 26, 2013. The 2013 Notes are senior unsecured obligations, equal in right of payment to the Corporation's existing senior indebtedness. The Corporation, at its option, can prepay at any time all or any part of the 2013 Notes, subject to a make-whole payment in accordance with the terms of the Note Purchase Agreement.  In connection with the issuance of the 2013 Notes, the Corporation paid customary fees that have been deferred and are being amortized over the term of the 2013 Notes.  Under the terms of the Note Purchase Agreement, the Corporation is required to maintain certain financial ratios, the most restrictive of which is a debt to capitalization limit of 60%. The debt to capitalization ratio is calculated using the same formula for all of the Corporation's debt agreements and is a measure of the Corporation's indebtedness, as defined per the notes purchase agreement and credit agreement, to capitalization, where capitalization equals debt plus equity. The Corporation had the ability to borrow additional debt of $1.2 billion without violating our debt to capitalization covenant. The 2013 Notes also contain a cross default provision with respect to the Corporation’s other senior indebtedness.  

	September 30, 2013				December 31, 2012
	Carrying Value		Estimated Fair Value		Carrying Value		Estimated Fair Value
Industrial revenue bond, due 2023	$	8,400	$	8,400	$	8,400	$	8,400
Revolving credit agreement, due 2017	—		—		286,800		286,800
5.74% Senior notes due 2013	—		—		125,011		128,198
5.51% Senior notes due 2017	150,000		164,174		150,000		168,491
3.84% Senior notes due 2021	99,075		99,075		100,677		100,677
3.70% Senior notes due 2023	225,000		218,520		—		—
3.85% Senior notes due 2025	91,065		91,065		—		—
4.24% Senior notes due 2026	178,668		178,668		198,581		198,581
4.05% Senior notes due 2028	66,513		66,513		—		—
4.11% Senior notes due 2028	100,000		91,244
Other debt	1,285		1,285		10,746		10,746
Total debt	$	920,006	$	918,944	$	880,215	$	901,893

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RECEIVABLES

9 Months Ended

Sep. 30, 2013

Receivables [Abstract]

RECEIVABLES

RECEIVABLES

Receivables primarily include amounts billed to customers, unbilled charges on long-term contracts consisting of amounts recognized as sales but not billed, and other receivables.  Substantially all amounts of unbilled receivables are expected to be billed and collected within one year. An immaterial amount of unbilled receivables are subject to retainage provisions. The amount of claims and unapproved change orders within our receivables balances are immaterial.

The composition of receivables is as follows:

	(In thousands)
	September 30, 2013			December 31, 2012
Billed receivables:
Trade and other receivables	$	400,230		$	402,891
Less: Allowance for doubtful accounts	(6,979		)	(7,013		)
Net billed receivables	393,251			395,878
Unbilled receivables:
Recoverable costs and estimated earnings not billed	195,385			207,679
Less: Progress payments applied	(21,377		)	(25,244		)
Net unbilled receivables	174,008			182,435
Receivables, net	$	567,259		$	578,313

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CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) (USD $) In Thousands, unless otherwise specified	9 Months Ended
	Sep. 30, 2013	Sep. 30, 2012
Cash flows from operating activities:
Net earnings	$ 90,674	$ 75,351
Adjustments to reconcile net earnings to net cash provided by operating activities:
Depreciation and amortization	89,660	69,154
Gain on divestiture	0	(29,198)
Net loss on sale of assets	40	663
Deferred income taxes	5,880	1,294
Share-based compensation	5,475	7,469
Impairment of assets	0	4,836
Change in operating assets and liabilities, net of businesses acquired and divested:
Accounts receivable, net	26,388	17,104
Inventories, net	(36,335)	(36,837)
Progress payments	(7,589)	(9,421)
Accounts payable and accrued expenses	(6,803)	(28,455)
Deferred revenue	(13,303)	(6,807)
Income taxes payable	(11,672)	2,479
Net pension and postretirement liabilities	(12,152)	(9,954)
Other current and long-term assets and liabilities	4,123	(3,740)
Net cash provided by operating activities	134,386	53,938
Cash flows from investing activities:
Proceeds from sales and disposals of long lived assets	1,542	977
Proceeds from divestiture	0	52,123
Acquisitions of intangible assets	0	(2,439)
Additions to property, plant, and equipment	(57,876)	(56,043)
Acquisition of businesses, net of cash acquired	(101,230)	(6,231)
Additional consideration of prior period acquisitions	(6,303)	(1,152)
Net cash used for investing activities	(163,867)	(12,765)
Cash flows from financing activities:
Borrowings under revolving credit facility	610,735	0
Borrowings on debt	500,000	0
Payment of revolving credit facility	(906,907)	0
Principal payments on debt	(125,024)	(76)
Repurchases of common stock	0	(4,974)
Proceeds from share-based compensation	21,556	14,113
Dividends paid	(8,892)	(7,967)
Excess tax benefits from share-based compensation plans	773	22
Net cash provided by financing activities	92,241	1,118
Effect of exchange-rate changes on cash	(3,421)	2,868
Net increase in cash and cash equivalents	59,339	45,159
Cash and cash equivalents at beginning of period	112,023	194,387
Cash and cash equivalents at end of period	171,362	239,546
Supplemental disclosure of non-cash activities:
Capital expenditures incurred but not yet paid	$ 1,500	$ 3,670

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FAIR VALUE OF FINANCIAL INSTRUMENTS (Balance Sheet) (Detail) (USD $) In Thousands, unless otherwise specified	Sep. 30, 2013		Dec. 31, 2012
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Assets	$ 184	[1]	$ 927	[1]
Liabilities	39,930	[2]	1,589	[2]
Designated as Hedging Instrument [Member] | Interest Rate Swap [Member]
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Assets	0		677
Liabilities	39,679		1,419
Not Designated as Hedging Instrument [Member] | Foreign Exchange Forward [Member]
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Assets	184		250
Liabilities	$ 251		$ 170

[1] Forward exchange derivatives are included in Other current assets and interest rate swap assets are included in Other assets.

[2] Forward exchange derivatives are included in Other current liabilities and interest rate swap liabilities are included in Other liabilities.

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INVENTORIES (Narrative) (Detail) (USD $) In Millions, unless otherwise specified	Sep. 30, 2013	Dec. 31, 2012
Inventory, Net [Abstract]
Other inventory, capitalized costs	$ 30.5	$ 23.8
Other inventory, capitalized costs to be liquidated under firm orders	$ 5.2	$ 5.4

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WARRANTY RESERVES (Table)

9 Months Ended

Sep. 30, 2013

Product Warranties Disclosures [Abstract]

Schedule of Product Warranty Liability

The following table presents the changes in the Corporation’s warranty reserves:

	(In thousands)
	2013			2012
Warranty reserves at January 1,	$	18,169		$	16,076
Provision for current year sales	6,018			5,495
Current year claims	(5,846		)	(4,056		)
Change in estimates to pre-existing warranties	(2,615		)	(2,242		)
Increase due to acquisitions	—			75
Foreign currency translation adjustment	(84		)	99
Warranty reserves at September 30,	$	15,642		$	15,447

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CONTINGENCIES AND COMMITMENTS (Detail) (USD $)								9 Months Ended		9 Months Ended			0 Months Ended
	Sep. 30, 2013	Sep. 30, 2013 Environmental Matters [Member]	Dec. 31, 2012 Environmental Matters [Member]	Sep. 30, 2013 Standby Letters Of Credit [Member]	Dec. 31, 2012 Standby Letters Of Credit [Member]	Sep. 30, 2013 FinancialStandbyLetterOfCreditMember	Dec. 31, 2012 FinancialStandbyLetterOfCreditMember	Sep. 30, 2013 PENNSYLVANIA	Jun. 03, 2013 PENNSYLVANIA building acre sqft	Sep. 30, 2013 IDAHO	Jun. 05, 2013 IDAHO building sqft acre	Oct. 10, 2013 Subsequent Event [Member]	Oct. 10, 2013 Subsequent Event [Member] Failure to Meet Contractual Obligations [Member]
Loss Contingencies [Line Items]
Accrual for environmental loss contingencies		$ 16,800,000	$ 16,400,000
Letters of credit, outstanding				51,100,000	51,800,000	18,300,000	6,800,000
Surety Bond Outstanding	52,900,000
Damages sought													25,000,000
Range of possible loss, minimum												0
Range of possible loss, maximum												25,000,000
Number of buildings									2		2
Area of real estate property									178,975		112,000
Area of land									12.5		8.6
Future minimum operating expenses								$ 1,900,000		$ 1,100,000
Annual rent escalation								2.50%		2.50%
Term of operating lease								15 years		15 years

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PENSION AND OTHER POSTRETIREMENT BENEFIT PLANS (Additional) (Detail) (USD $)	1 Months Ended	3 Months Ended		9 Months Ended		12 Months Ended	1 Months Ended	3 Months Ended	9 Months Ended	1 Months Ended	9 Months Ended			12 Months Ended	9 Months Ended		3 Months Ended
	Sep. 30, 2013	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012	Dec. 31, 2012	May 31, 2013 Domestic Defined Benefit Plan [Member]	Jun. 30, 2013 Domestic Defined Benefit Plan [Member]	Sep. 30, 2013 Domestic Defined Benefit Plan [Member]	Sep. 30, 2013 Salaried Staff Pension Scheme and Penny and Giles Pension Plan [Member]	Sep. 30, 2013 Foreign Defined Benefit [Member]	Sep. 30, 2013 Other Postretirement Benefit Plan, Defined Benefit [Member]	Sep. 30, 2013 Accumulated Defined Benefit Plans Adjustment [Member]	Dec. 31, 2012 Accumulated Defined Benefit Plans Adjustment [Member]	Sep. 30, 2013 Accumulated Defined Benefit Plans Adjustment [Member] Domestic Defined Benefit Plan [Member]	Sep. 30, 2013 Accumulated Defined Benefit Plans Adjustment [Member] Salaried Staff Pension Scheme and Penny and Giles Pension Plan [Member]	Jun. 30, 2013 Change in Assumptions for Pension Plans [Member]
Defined Benefit Plan Disclosure [Line Items]
Reduction in defined benefit plan							$ 3,000,000			$ 7,000,000
Curtailments								2,000,000		2,800,000
Benefit obligation, period increase (decrease)	(1,000,000)						(45,000,000)
Prior period reclassification adjustment																	18,000,000
Gain (loss) in other comprehensive income		19,904,000	25,302,000	33,805,000	28,857,000	9,623,000							41,669,000	(16,331,000)	(32,000,000)	2,000,000
Contributions by employer									40,800,000		4,100,000	800,000
Future employer contributions											$ 5,000,000	$ 1,200,000

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PENSION AND OTHER POSTRETIREMENT BENEFIT PLANS

9 Months Ended

Sep. 30, 2013

General Discussion of Pension and Other Postretirement Benefits [Abstract]

PENSION AND OTHER POSTRETIREMENT BENEFIT PLANS

PENSION AND OTHER POSTRETIREMENT BENEFIT PLANS

The following tables are consolidated disclosures of all domestic and foreign defined pension plans as described in the Corporation’s 2012 Annual Report on Form 10-K.  The postretirement benefits information includes the domestic Curtiss-Wright Corporation and EMD postretirement benefit plans, as there are no foreign postretirement benefit plans.

Pension Plans

The components of net periodic pension cost for the three and nine months ended September 30, 2013 and 2012 are as follows:

	(In thousands)
	Three Months Ended						Nine Months Ended
	September 30,						September 30,
	2013			2012			2013			2012
Service cost	$	8,449		$	10,061		$	30,167		$	30,194
Interest cost	7,163			6,564			20,679			19,695
Expected return on plan assets	(9,306		)	(8,382		)	(27,067		)	(25,152		)
Amortization of prior service cost	165			300			719			901
Amortization of unrecognized actuarial loss	3,560			2,755			11,767			8,266
Curtailments	(2,818		)	—			(107		)	—
Net periodic benefit cost	$	7,213		$	11,298		$	36,158		$	33,904

In May 2013, the Corporation's Board of Directors approved an amendment to the CW Pension Plan.   The amendment, which is effective January 1, 2014, changes the time period used to calculate final and career average pay formulas and resulted  

in a $3 million reduction to the projected benefit obligation of the plan and a second quarter 2013 curtailment charge of $2 million. The plan amendments also required a remeasurement of the assets and liabilities of the Curtiss-Wright Pension Plan.  Due to favorable asset performance and an increase in the discount rate, the remeasurement decreased the pension liability by $45 million in the second quarter of 2013. The tax impact of the remeasurement was $18 million and recorded during the third quarter of 2013 as an out of period adjustment. The combined impact of the amendment, curtailment, and remeasurement resulted in a gain in Accumulated other comprehensive income, net of tax, of $32 million.

In September 2013, the Corporation amended the Metal Improvement Company - Salaried Staff pension Scheme (U.K.) and the Penny & Giles Pension Plan (U.K.) to cease the accrual of future benefits effective December 31, 2013. The amendments to the plans resulted in a $7 million reduction to the projected benefit obligations and a curtailment gain of $2.8 million. The plan amendments also required a remeasurement of the assets and liabilities, which resulted in an increase to the pension liability of approximately $1 million. The combined impact of the amendment, curtailment and remeasurement resulted in a gain in Accumulated other comprehensive income, net of tax, of $2 million.

During the nine months ended September 30, 2013, the Corporation made $41 million in contributions to the Curtiss-Wright Pension Plan, and does not expect to make any further contributions in 2013.  In addition, contributions of $4 million were made to the Corporation’s foreign benefit plans during the nine months ended September 30, 2013.  Contributions to the foreign benefit plans are expected to be $5 million in 2013.

Other Postretirement Benefit Plans

The components of the net postretirement benefit cost for the Curtiss-Wright and EMD postretirement benefit plans for the three and nine months ended September 30, 2013 and 2012 are as follows:

	(In thousands)
	Three Months Ended						Nine Months Ended
	September 30,						September 30,
	2013			2012			2013			2012
Service cost	$	81		$	109		$	280		$	329
Interest cost	213			232			630			695
Amortization of prior service cost	(158		)	(158		)	(472		)	(472		)
Amortization of unrecognized actuarial gain	(140		)	(180		)	(460		)	(539		)
Net postretirement benefit cost (income)	$	(4	)	$	3		$	(22	)	$	13

During the nine months endedSeptember 30, 2013, the Corporation paid $0.8 million to the postretirement plans.  During 2013, the Corporation anticipates contributing $1.2 million to the postretirement plans.

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OTHER INTANGIBLE ASSETS, NET

9 Months Ended

Sep. 30, 2013

Intangible Assets, Net (Excluding Goodwill) [Abstract]

OTHER INTANGIBLE ASSETS, NET

OTHER INTANGIBLE ASSETS, NET

The following tables present the cumulative composition of the Corporation’s intangible assets:

	(In thousands)
September 30, 2013	Gross		Accumulated Amortization			Net
Technology	$	205,169	$	(85,290	)	$	119,879
Customer related intangibles	381,203		(118,690		)	262,513
Other intangible assets	65,036		(21,808		)	43,228
Total	$	651,408	$	(225,788	)	$	425,620
	(In thousands)
December 31, 2012	Gross		Accumulated Amortization			Net
Technology	$	186,869	$	(76,067	)	$	110,802
Customer related intangibles	337,558		(95,880		)	241,678
Other intangible assets	86,157		(19,616		)	66,541
Total	$	610,584	$	(191,563	)	$	419,021

During the first nine months of 2013, the Corporation acquired intangible assets of $44.1 million. The Corporation acquired Technology of $12.6 million, Customer related intangibles of $28.8 million, and Other intangibles of $2.7 million, which have a weighted average amortization period of 15, 16.2, and 6.9 years, respectively.

Total intangible amortization expense for the nine months endedSeptember 30, 2013 was $36.0 million as compared to $22.2 million in the prior year period.  The estimated amortization expense for the five years ending December 31, 2013 through 2017 is $48.4 million, $41.6 million, $39.6 million, $38.7 million, and $38.2 million, respectively.

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ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS)

9 Months Ended

Sep. 30, 2013

Stockholders' Equity Note [Abstract]

ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS)

ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS)

The cumulative balance of each component of accumulated other comprehensive (loss) income, net of tax, is as follows:

	(In thousands)
	Foreign currency translation adjustments, net			Total pension and postretirement adjustments, net			Accumulated other comprehensive income (loss)
December 31, 2011	$	39,768		$	(104,899	)	$	(65,131	)
Current period other comprehensive income (loss)	25,954			(16,331		)	9,623
December 31, 2012	$	65,722		$	(121,230	)	$	(55,508	)
Other comprehensive income (loss) before reclassifications (1)	(7,864		)	32,959			25,095
Amounts reclassified from accumulated other comprehensive loss (1)	—			8,710			8,710
Net current period other comprehensive income (loss)	(7,864		)	41,669			33,805
September 30, 2013	$	57,858		$	(79,561	)	$	(21,703	)

(1) All amounts are after tax.

Details of amounts reclassified from accumulated other comprehensive income (loss) are below:

	(In thousands)
	Amount reclassified from Accumulated other comprehensive income (loss)			Affected line item in the statement where net earnings is presented
Defined benefit pension and other postretirement benefit plans
Amortization of prior service costs	(247		)	(1)
Amortization of actuarial losses	(11,307		)	(1)
Curtailments	(2,178		)	(1)
	(13,732		)	Total before tax
	5,022			Income tax
Total reclassifications	$	(8,710	)	Net of tax

(1) These items are included in the computation of net periodic pension cost.  See Note 11, Pension and Other Postretirement Benefit Plans.

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EARNINGS PER SHARE

9 Months Ended

Sep. 30, 2013

Earnings Per Share [Abstract]

EARNINGS PER SHARE

EARNINGS PER SHARE

Diluted earnings per share were computed based on the weighted-average number of shares outstanding plus all potentially dilutive common shares.  A reconciliation of basic to diluted shares used in the earnings per share calculation is as follows:

	(In thousands)
	Three Months Ended		Nine Months Ended
	September 30,		September 30,
	2013	2012	2013	2012
Basic weighted-average shares outstanding	47,081	46,884	46,839	46,795
Dilutive effect of stock options and deferred stock compensation	982	531	846	698
Diluted weighted-average shares outstanding	48,063	47,415	47,685	47,493

As of September 30, 2013 and 2012, there were 304,000 and 1,260,000 stock options outstanding, respectively, that could potentially dilute earnings per share in the future, which were excluded from the computation of diluted earnings per share as they would be considered anti-dilutive.

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Document and Entity Information	9 Months Ended
	Sep. 30, 2013	Oct. 31, 2013
Document And Entity Information [Abstract]
Entity Registrant Name	Curtiss Wright Corporation
Entity Central Index Key	0000026324
Current Fiscal Year End Date	--12-31
Entity Filer Category	Large Accelerated Filer
Document Type	10-Q
Document Period End Date	Sep. 30, 2013
Document Fiscal Year Focus	2013
Document Fiscal Period Focus	Q3
Amendment Flag	false
Entity common stock shares outstanding		47,367,918
Entity well known seasoned issuer	Yes
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes

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SEGMENT INFORMATION

9 Months Ended

Sep. 30, 2013

Segment Reporting [Abstract]

SEGMENT INFORMATION

SEGMENT INFORMATION

The Corporation manages and evaluates its operations based on the products and services it offers and the different markets it serves.  Based on this approach, the Corporation operates through three segments: Flow Control, Controls, and Surface Technologies.

	(In thousands)
	Three Months Ended						Nine Months Ended
	September 30,						September 30,
	2013			2012			2013			2012
Net sales
Flow Control	$	311,480		$	236,733		$	943,164		$	778,177
Controls	212,623			176,649			635,555			528,472
Surface Technologies	77,004			68,446			235,137			209,602
Less: Intersegment revenues	(440		)	(2,606		)	(2,815		)	(8,982		)
Total consolidated	$	600,667		$	479,222		$	1,811,041		$	1,507,269
Operating income (expense)
Flow Control	$	24,858		$	1,194		$	76,696		$	38,335
Controls	32,620			22,790			72,142			59,246
Surface Technologies	11,728			8,200			38,556			23,993
Corporate and eliminations (1)	(6,319		)	(8,818		)	(28,693		)	(22,109		)
Total consolidated	$	62,887		$	23,366		$	158,701		$	99,465

⁽¹⁾ Corporate and eliminations includes pension expense, environmental remediation and administrative expenses, legal, foreign currency transactional gains and losses, and other expenses.

Operating income by reportable segment and the reconciliation to income from continuing operations before income taxes are as follows:

	(In thousands)
	Three Months Ended						Nine Months Ended
	September 30,						September 30,
	2013			2012			2013			2012
Total operating income	$	62,887		$	23,366		$	158,701		$	99,465
Interest expense	(9,690		)	(6,648		)	(27,681		)	(19,656		)
Other income, net	378			(119		)	1,076			113
Earnings from continuing operations before income taxes	$	53,575		$	16,599		$	132,096		$	79,922

	(In thousands)
	September 30, 2013		December 31, 2012
Identifiable assets
Flow Control	$	1,559,339	$	1,417,047
Controls	1,360,945		1,365,112
Surface Technologies	311,162		302,079
Corporate and Other	57,720		30,350
Total consolidated	$	3,289,166	$	3,114,588

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EARNINGS PER SHARE (AntiDilutive) (Detail)	9 Months Ended
	Sep. 30, 2013	Sep. 30, 2012
Earnings Per Share [Abstract]
Antidilutive securities excluded from computation of earnings per share, amount	304,000	1,260,000

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EARNINGS PER SHARE (Detail) In Thousands, unless otherwise specified	3 Months Ended		9 Months Ended
	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012
Earnings Per Share Reconciliation [Abstract]
Basic weighted-average shares outstanding (shares)	47,081	46,884	46,839	46,795
Dilutive effect of stock options and deferred stock compensation (shares)	982	531	846	698
Diluted weighted-average shares outstanding (shares)	48,063	47,415	47,685	47,493