8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 8-K

CURRENT REPORT

PURSUANT TO SECTION 13 OR 15(d) OF THE

SECURITIES EXCHANGE ACT OF 1934

Date of report (Date of earliest event reported): January 17, 2007

PARKER-HANNIFIN CORPORATION

(Exact Name of Registrant as Specified in Charter)

Ohio	1-4982	34-0451060
(State or Other Jurisdiction of Incorporation)	(Commission File Number)	(IRS Employer Identification No.)

6035 Parkland Blvd. Cleveland, Ohio	44124-4141
(Address of Principal Executive Offices)	(Zip Code)

Registrant’s telephone number, including area code: (216) 896-3000

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

¨ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

¨ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

¨ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)

¨ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Item 2.02 Results of Operations and Financial Condition

Item 7.01 Regulation FD Disclosure

The following information is furnished pursuant to Item 2.02, “Results of Operations and Financial Condition” and Item 7.01, “Regulation FD Disclosure”

On January 17, 2007, Parker-Hannifin Corporation issued a press release and presented a Webcast announcing earnings for the quarter ended December 31, 2006. A copy of the press release is filed as Exhibit 99.1 to this report. A copy of the Webcast presentation is filed as Exhibit 99.2 to this report.

Item 9.01 Financial Statements and Exhibits

(c) Exhibits:

99.1	Press release issued by Parker-Hannifin Corporation, dated January 17, 2007.
99.2	Webcast presentation by Parker-Hannifin Corporation, dated January 17, 2007.

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, hereunto duly authorized.

PARKER-HANNIFIN CORPORATION
By:	/s/ Timothy K. Pistell
	Timothy K. Pistell
	Executive Vice President - Finance and Administration and Chief Financial Officer

Date: January 17, 2007

EX-99.1

Exhibit 99.1

For Release: Immediately

Contact:
Media – Christopher Farage - Vice President Corp. Communications	216/896-2750
cfarage@parker.com
Financial Analysts –Pamela Huggins, Vice President - Treasurer	216/896-2240
phuggins@parker.com

Stock Symbol: PH – NYSE

Parker Hannifin Earnings Per Share Up 53 Percent on Strong Sales in Record Second Quarter

CLEVELAND, January 17, 2007 — Parker Hannifin Corporation (NYSE: PH), the world leader in motion and control technologies, today reported second quarter fiscal year 2007 results. The company set new second quarter records for sales and income from continuing operations, both of which increased by double digit percentages from a year ago.

Sales for the second quarter of fiscal-year 2007 were $2.5 billion, up 16.4 percent, as compared to sales of $2.2 billion from the same period last year. Income from continuing operations in the second quarter of fiscal 2007, including the realization of a 9 cent per diluted share benefit from the December renewal of the Federal Tax Credit for Increasing Research Activities, was $1.64 per diluted share, an increase of 53.3 percent over the $1.07 per diluted share posted in the same period a year ago.

“Led by exceptional performance in our Industrial International and Aerospace segments, we were able to deliver another record second quarter, and we remain solidly on track for another outstanding year in fiscal 2007,” said Chairman, CEO and President Don Washkewicz. “The

1

record results we are delivering, quarter after quarter, are being driven by our employees’ ongoing execution of our Win Strategy.”

Second Quarter Segment Results

In the North American Industrial segment, second quarter operating income increased 2.8 percent over the prior year to $133.9 million, on sales of $959.7 million.

In the International Industrial segment, second quarter operating income increased 78.9 percent over the prior year to $121.8 million, on sales of $922.0 million.

In the Aerospace segment, second quarter operating income increased 43.2 percent over the prior year to $67.8 million, on sales of $402.0 million.

In the Climate & Industrial Controls segment, second quarter operating income decreased 29.8 percent over the prior year to $7.0 million, on sales of $227.4 million.

Total operating margin across all segments in the second quarter was 13.2 percent versus 11.8 percent in the same period a year ago.

Fiscal Year to Date Results

For the first six months of fiscal-year 2007, sales were $5.1 billion, up 18.5 percent, as compared to sales of $4.3 billion from the same period last year. Income from continuing operations for the first six months of fiscal 2007 was $3.39 per diluted share, up 49.3 percent from the $2.27 per diluted share reported in the same period in the prior year.

2

Cash flow from operations for the first six months of fiscal year 2007 reached $307.6 million. “The level of cash generation allows us to be flexible in terms of strategic acquisitions, share repurchases, capital investments and dividends,” said Washkewicz. “In the second quarter, cash was used to repurchase $197 million of stock, bringing the fiscal 2007 year-to-date repurchase amount to $393 million. These expenditures are in addition to the discretionary contributions of $111 million made to the employees’ pension funds in the first quarter of fiscal year 2007.”

Highlights

“Our 16.4 percent sales growth in the quarter significantly exceeded our growth goal of 10 percent,” said Washkewicz. “The growth was profitable and balanced, with 6.4 percent derived organically, 6.4 percent via acquisitions and 3.6 percent from the favorable impact of foreign currency.”

“While we are very pleased with our overall results this quarter, special mention must be made of our International Industrial and Aerospace segments,” continued Washkewicz. “In the International segment sales grew by 36 percent and operating income increased by nearly 80 percent. Our Aerospace business also delivered excellent results this quarter. Revenues grew by 16 percent and operating income by 43 percent. We expect continued strength in this segment of our business.”

“This is especially good news as International Industrial and Aerospace now represent more than half of our total revenues,” said Washkewicz. “Particularly diligent execution of the Win Strategy in Europe is enabling us to achieve margins comparable to our North American business.”

3

Outlook

As a result of the continued strong results, the company increased its guidance for fiscal year 2007 income from continuing operations from $6.05 to $6.45 per diluted share to $6.35 to $6.75 per diluted share.

# # #

In addition to this information, Parker advises shareholders to note order trends, for which the company makes a disclosure several business days after the conclusion of each month. This information is available on the company’s investor information web site, at www.phstock.com.

NOTICE OF CONFERENCE CALL: Parker Hannifin’s conference call and slide presentation to discuss its fiscal second-quarter results is available to all interested parties via live webcast today at 10:00 a.m. ET, on the company’s investor information web site, www.phstock.com. To access the call, click on the “Live Webcast” link. From this link, users also may complete a pre-call system test and register for e-mail notification of future events and information available from Parker.

With annual sales exceeding $9 billion, Parker Hannifin is the world’s leading diversified manufacturer of motion and control technologies and systems, providing precision-engineered solutions for a wide variety of commercial, mobile, industrial and aerospace markets. The company employs more than 57,000 people in 43 countries around the world. Parker has increased its annual dividends paid to shareholders for 50 consecutive years, among the top five longest-running dividend-increase records in the S&P 500 index. For more information, visit the company’s web site at www.parker.com, or its investor information site at www.phstock.com.

Forward-Looking Statements: Forward-looking statements contained in this document and other written reports and oral statements are made based on known events and circumstances at the time of release, and as such, are subject in the future to unforeseen uncertainties and risks. All statements regarding future performance, earnings projections, events or developments are forward-looking statements. It is possible that the Company’s future performance and earnings projections of the Company may differ materially from current expectations, depending on economic conditions within both its industrial and aerospace markets, and the Company’s ability to achieve and maintain anticipated benefits associated with announced realignment activities, strategic initiatives to improve operating margins and growth and innovation initiatives. A change in economic conditions in individual markets may have a particularly volatile effect on segment performance. Among other factors which may affect future performance are: changes in business relationships with and purchases by or from major customers or suppliers, including delays or cancellations in shipments, or significant changes in financial condition, uncertainties surrounding timing, successful completion or integration of acquisitions, threats associated with and efforts to combat terrorism, competitive market conditions and resulting effects on sales and pricing, increases in raw material costs that cannot be recovered in product pricing, the Company’s ability to manage costs related to insurance and employee retirement and health care benefits, and global economic factors, including manufacturing activity, air travel trends, currency exchange rates, difficulties entering new markets and general economic conditions such as interest rates. The Company undertakes no obligation to update or publicly revise these forward-looking statements to reflect events or circumstances that arise after the date of this Report.

4

PARKER HANNIFIN CORPORATION - DECEMBER 31, 2006

CONSOLIDATED STATEMENT OF INCOME

(Unaudited)

	Three Months Ended December 31,					Six Months Ended December 31,
(Dollars in thousands except per share amounts)	2006			2005		2006			2005
Net sales	$	2,511,152		$	2,157,537	$	5,062,725		$	4,271,088
Cost of sales		1,938,007			1,705,683		3,885,365			3,361,436
Gross profit		573,145			451,854		1,177,360			909,652
Selling, general and administrative expenses		292,855			245,845		584,865			482,859
Interest expense		22,304			19,587		39,476			36,058
Other (income) expense, net		(6,777	)		10,898		(13,403	)		11,171
Income from continuing operations before income taxes		264,763			175,524		566,422			379,564
Income taxes		71,796			46,500		162,871			106,692
Income from continuing operations		192,967			129,024		403,551			272,872
Discontinued operations										28,884
Net income	$	192,967		$	129,024	$	403,551		$	301,756
Earnings per share:
Basic earnings per share from continuing operations	$	1.66		$	1.09	$	3.44		$	2.30
Discontinued operations										.24
Basic earnings per share	$	1.66		$	1.09	$	3.44		$	2.54
Diluted earnings per share from continuing operations	$	1.64		$	1.07	$	3.39		$	2.27
Discontinued operations										.24
Diluted earnings per share	$	1.64		$	1.07	$	3.39		$	2.51
Average shares outstanding during period - Basic		115,938,153			118,821,006		117,305,843			118,851,843
Average shares outstanding during period - Diluted		117,926,398			120,324,168		119,139,690			120,385,768
Cash dividends per common share	$	.26		$	.23	$	.52		$	.46
BUSINESS SEGMENT INFORMATION BY INDUSTRY (Unaudited)
	Three Months Ended December 31,					Six Months Ended December 31,
(Dollars in thousands)	2006			2005		2006			2005
Net sales
Industrial:
North America	$	959,663		$	929,734	$	1,960,428		$	1,858,965
International		922,011			676,526		1,799,715			1,297,290
Aerospace		402,039			345,274		804,397			694,081
Climate & Industrial Controls		227,439			206,003		498,185			420,752
Total	$	2,511,152		$	2,157,537	$	5,062,725		$	4,271,088
Segment operating income
Industrial:
North America	$	133,890		$	130,230	$	287,028		$	267,360
International		121,769			68,068		249,300			148,509
Aerospace		67,778			47,322		136,403			102,105
Climate & Industrial Controls		6,963			9,914		37,787			28,530
Total segment operating income	$	330,400		$	255,534	$	710,518		$	546,504
Corporate general and administrative expenses		43,960			28,489		80,630			57,316
Income from continuing operations before interest expense and other		286,440			227,045		629,888			489,188
Interest expense		22,304			19,587		39,476			36,058
Other (income) expense		(627	)		31,934		23,990			73,566
Income from continuing operations before income taxes	$	264,763		$	175,524	$	566,422		$	379,564

5

PARKER HANNIFIN CORPORATION - DECEMBER 31, 2006

CONSOLIDATED BALANCE SHEET

(Unaudited)

(Dollars in thousands) December 31,	2006			2005
Assets
Current assets:
Cash and cash equivalents	$	157,098		$	313,338
Accounts receivable, net		1,524,240			1,250,448
Inventories		1,314,400			1,153,521
Prepaid expenses		49,281			51,953
Deferred income taxes		131,228			133,508
Total current assets		3,176,247			2,902,768
Plant and equipment, net		1,706,795			1,643,941
Goodwill		2,170,715			2,012,596
Intangible assets, net		469,222			428,632
Other assets		933,316			807,860
Total assets	$	8,456,295		$	7,795,797
Liabilities and shareholders’ equity
Current liabilities:
Notes payable	$	439,180		$	534,423
Accounts payable		700,973			584,347
Accrued liabilities		658,536			563,619
Accrued domestic and foreign taxes		120,094			64,496
Total current liabilities		1,918,783			1,746,885
Long-term debt		1,066,330			1,082,584
Pensions and other postretirement benefits		834,413			1,059,314
Deferred income taxes		108,669			96,894
Other liabilities		211,035			202,748
Shareholders’ equity		4,317,065			3,607,372
Total liabilities and shareholders’ equity	$	8,456,295		$	7,795,797
CONSOLIDATED STATEMENT OF CASH FLOWS (Unaudited)
	Six Months Ended December 31,
(Dollars in thousands)	2006			2005
Cash flows from operating activities:
Net income	$	403,551		$	301,756
Net (income) from discontinued operations					(28,884	)
Depreciation and amortization		148,198			136,678
Stock-based compensation		24,218			22,802
Net change in receivables, inventories, and trade payables		(77,596	)		5,259
Net change in other assets and liabilities		(134,060	)		4,778
Other, net		(56,664	)		(12,936	)
Discontinued operations					(9,266	)
Net cash provided by operating activities		307,647			420,187
Cash flows from investing activities:
Acquisitions (net of cash of $1,050 in 2006 and $17,013 in 2005)		(160,429	)		(818,036	)
Capital expenditures		(115,441	)		(105,859	)
Proceeds from sale of businesses					92,715
Other, net		21,923			6,784
Discontinued operations					(100	)
Net cash (used in) investing activities		(253,947	)		(824,496	)
Cash flows from financing activities:
Net (payments for) proceeds from common share activity		(360,616	)		1,813
Net proceeds from debt		354,182			434,796
Dividends		(61,192	)		(54,669	)
Net cash (used in) provided by financing activities		(67,626	)		381,940
Effect of exchange rate changes on cash		(529	)		(373	)
Net (decrease) in cash and cash equivalents		(14,455	)		(22,742	)
Cash and cash equivalents at beginning of period		171,553			336,080
Cash and cash equivalents at end of period	$	157,098		$	313,338

Note: Certain prior period amounts have been reclassified to conform to the current year presentation.

6

EX-99.2

Parker Hannifin Corporation

Quarterly Earnings Release

2nd Quarter FY 2007

January 17, 2007

Exhibit

99.2

*

*

*

*

Slide 2

Forward-Looking Statements

Forward-Looking Statements:

Forward-looking statements contained in this and other written and oral reports are made based on known

events and circumstances at the time of release, and as such, are subject in the future to unforeseen

uncertainties and risks. All statements regarding future performance, earnings projections, events or

developments are forward-looking statements. It is possible that the future performance and earnings

projections of the company and individual segments may differ materially from current expectations,

depending on economic conditions within both its industrial and aerospace markets, and the company's

ability to maintain and achieve anticipated benefits associated with announced realignment activities,

strategic initiatives to improve operating margins, and growth and innovation initiatives. A change in

economic conditions in individual markets may have a particularly volatile effect on segment results.

Among

the

other

factors

which

may

affect

future

performance

are:

changes

in

business

relationships

with

and

purchases

by

or

from

major

customers

or

suppliers,

including

delays

or

cancellations

in

shipments

or

significant changes in financial condition; uncertainties surrounding timing, successful completion or

integration

of

acquisitions;

threats

associated

with

and

efforts

to

combat

terrorism;

competitive

market

conditions

and

resulting

effects

on

sales

and

pricing;

increases

in

raw-material

costs

that

cannot

be

recovered in product pricing; the company’s ability to manage costs related to employee retirement and

health

care

benefits

and

insurance;

and

global

economic

factors,

including

manufacturing

activity,

air

travel trends, currency exchange rates, difficulties entering new markets and general economic conditions

such as inflation and interest rates. The company makes these statements as of the date of this

disclosure, and undertakes no obligation to update them.

Slide 3

Non-GAAP Financial Measure

This presentation reconciles sales amounts reported in accordance with

U.S. GAAP to sales amounts adjusted to remove the effects of acquisitions

made

within the prior four quarters as well as the effects

of

currency

exchange

rates

on

sales.

The

effects

of

acquisitions

and

currency exchange rates are removed to allow investors and the company

to meaningfully evaluate changes in sales on a comparable basis from

period to period.

Slide 4

Discussion Agenda

CEO 2

nd

quarter highlights

Key performance measures & outlook

Questions & answers

CEO closing comments

Slide 5

Second Quarter Highlights

Sales increased 16% to $2.5 billion for the

quarter

6% organic growth

Segment operating income margins

improved from 11.8% last year to 13.2%,

including the effects of acquisitions

Repurchased 2.4 million shares making it

5.0 million shares year to date

Slide 6

Financial Highlights

EPS from Continuing Operations

2

nd

Quarter and 1

st

Half

$2.27

$3.39

$1.64

$1.07

$0.00

$0.50

$1.00

$1.50

$2.00

$2.50

$3.00

$3.50

$4.00

Q2 FY07

Q2 FY06

1st Half FY07

1st

Half FY06

Slide 7

Influences on Earnings

Increased volume

Win Strategy

Repurchased shares

Lower “Other”

expense

Litigation

Pensions

Deferred gain on divestiture

Thermoplastics loss in prior year

Slide 8

Financial Highlights

Sales –

2

nd

Quarter and 1

st

Half

Dollars in millions

FY2007

%

Change

FY2006

FY2007

%

Change

FY2006

Sales

Adjusted Sales

2,295

$

6.4 %

4,579

$

7.2 %

Acquisitions

138

6.4 %

366

8.5 %

Currency

78

3.6 %

118

2.8 %

$

As reported

2,511

16.4 %

2,158

$

5,063

$

18.5 %

4,271

$

2nd Quarter

First Half

Slide 9

Influences on Sales

Continued end market strength

Industrial International

Aerospace

Emerging markets

Acquisitions

Slide 10

Segment Reporting

Industrial North America

Dollars in millions

FY2007

%

Change

FY2006

FY2007

%

Change

FY2006

Sales

Adjusted Sales

939

$  

1.0 %

1,896

$

2.0 %

Acquisitions

20

2.2 %

61

3.3 %

Currency

1

0.0 %

3

0.2 %

As reported

960

$  

3.2 %

930

$  

1,960

$

5.5 %

1,859

$

Operating Margin

As reported

134

$  

130

$  

287

$  

267

$  

% of Sales

14.0 %

14.0 %

14.6 %

14.4 %

First Half

2nd Quarter

Slide 11

Segment Reporting

Industrial International

Dollars in millions

FY2007

%

Change

FY2006

FY2007

%

Change

FY2006

Sales

Adjusted Sales

758

$  

12.1 %

1,448

$

11.6 %

Acquisitions

96

14.1 %

252

19.4 %

Currency

68

10.1 %

100

7.7 %

As reported

922

$  

36.3 %

677

$  

1,800

$

38.7 %

1,297

$

Operating Margin

As reported

122

$  

68

$     

249

$  

149

$  

% of Sales

13.2 %

10.1 %

13.9 %

11.4 %

2nd Quarter

First Half

Slide 12

Segment Reporting

Aerospace

Dollars in millions

FY2007

%

Change

FY2006

FY2007

%

Change

FY2006

Sales

Adjusted Sales

394

$  

14.0 %

789

$  

13.7 %

Acquisitions

4

1.2 %

9

1.3 %

Currency

4

1.2 %

6

0.9 %

As reported

402

$  

16.4 %

345

$  

804

$  

15.9 %

694

$  

Operating Margin

As reported

68

$     

47

$     

136

$  

102

$  

% of Sales

16.9 %

13.7 %

17.0 %

14.7 %

2nd Quarter

First Half

Slide 13

Segment Reporting

Climate & Industrial Controls

Dollars in millions

FY2007

%

Change

FY2006

FY2007

%

Change

FY2006

Sales

Adjusted Sales

204

$  

(0.7)%

445

$  

5.8 %

Acquisitions

18

8.7 %

45

10.7 %

Currency

5

2.4 %

8

1.9 %

As reported

227

$  

10.4 %

206

$  

498

$  

18.4 %

421

$  

Operating Margin

As reported

7

$       

10

$     

38

$     

29

$     

% of Sales

3.1 %

4.8 %

7.6 %

6.8 %

2nd Quarter

First Half

Slide 14

Parker New Order rates

Excludes Acquisitions & Currency

Year over year comparisons

Aerospace is calculated using a 12-month moving average

FY07

FY06

FY05

Total Parker

6 %

+   

14 %

+

--

Industrial North America

2 %

-    

13 %

+

4 %

+   

Industrial International

17 %

+

14 %

+

15 %

+

Aerospace

10 %

+

13 %

+

25 %

+

Climate & Industrial Controls

1 %

-    

20 %

+

4 %

+   

December

Slide 15

Balance Sheet Summary

Cash

Working capital

Inventory

Accounts receivable

Slide 16

Strong Cash Flow –

Cash From Operations

FY 07 YTD -

$308

$111 pension contribution

Dollars in millions

459

538

529

631

662

854

558

955

$0

$100

$200

$300

$400

$500

$600

$700

$800

$900

$1,000

4.0%

6.0%

8.0%

10.0%

12.0%

Slide 17

Financial Leverage

Debt to Debt Equity

25.9%

16.0%

18.0%

20.0%

22.0%

24.0%

26.0%

28.0%

30.0%

32.0%

34.0%

36.0%

38.0%

FY99

FY00

FY01

FY02

FY03

FY04

FY05

FY06

FY07 YTD

Not to exceed 37% over the cycle

Slide 18

FY

2007

Earnings

Outlook

Assumptions

Segment

Sales

&

Operating

Income

  FY 2007 Sales change versus FY 2006

  Industrial North America

.4 %

  -- 

.8 %

  Industrial International

28.1 %

  -- 

28.5 %

  Aerospace

9.4 %

  -- 

9.8 %

  Climate & Industrial Controls

3.8 %

  -- 

4.2 %

  FY 2007 Operating margin percentages

  Industrial North America

14.8 %

  -- 

15.2 %

  Industrial International

13.3 %

  -- 

13.7 %

  Aerospace

15.2 %

  -- 

15.6 %

  Climate & Industrial Controls

7.1 %

  -- 

7.5 %

Slide 19

FY 2007  Earnings Outlook Assumptions

below Operating Margin

Corporate Admin

+  5 % to + 12 % vs. FY 2006

Interest Expense

+  4 % to + 10 % vs. FY 2006

Other Exp. (Income) 

-

27 % to -

20 % vs. FY 2006

Tax Rate

29 %

Slide 20

Earnings Outlook –

FY07

Low

High

EPS from continuing operations

6.35

$ 

6.75

$ 

Slide 21

Questions & Answers...

Appendix

Income Statements

2

nd

Quarter FY2007

1

st

Half FY2007

*

*

*

*

*

*

*

*

*

*

*

*

*     *       * *     *       * *     *       * *     *       * *     *       *

Slide 23

Income Statement –

2

nd

Quarter

Dollars in millions

% of Sales

% of Sales

Net Sales

2,511.2

$

100.0 %

2,157.5

$

100.0 %

Cost of sales

1,938.0

77.2 %

1,705.7

79.1 %

Gross profit

573.2

22.8 %

451.8

20.9 %

S, G & A

292.9

11.7 %

245.8

11.4 %

Interest expense

22.3

.9 %

19.6

.9 %

Other (income) expense

(6.8)

(.3)%

10.9

.5 %

Income from cont'g

operations before taxes

264.8

10.5 %

175.5

8.1 %

Income taxes

71.8

2.8 %

46.5

2.1 %

Income from cont'g

operations

193.0

7.7 %

129.0

6.0 %

Discontinued operations

Net income

193.0

$   

7.7 %

129.0

$  

6.0 %

FY 2007

FY 2006

Slide 24

Income Statement –

1

st

Half

Dollars in millions

% of Sales

% of Sales

Net Sales

5,062.7

$

100.0 %

4,271.1

$

100.0 %

Cost of sales

3,885.4

76.7 %

3,361.4

78.7 %

Gross profit

1,177.3

23.3 %

909.7

21.3 %

S, G & A

584.9

11.6 %

482.9

11.3 %

Interest expense

39.4

.8 %

36.0

.8 %

Other (income) expense

(13.4)

(.3)%

11.2

.3 %

Income from cont'g operations before taxes

566.4

11.2 %

379.6

8.9 %

Income taxes

162.8

3.2 %

106.7

2.5 %

Income from cont'g operations

403.6

8.0 %

272.9

6.4 %

  Discontinued operations

28.9

.7 %

Net income

403.6

$    

8.0 %

301.8

$   

7.1 %

FY 2007

FY 2006