10-Q

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

(Mark One)

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

For the quarterly period ended June 30, 2012

or

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

Commission File No. 1-9973

THE MIDDLEBY CORPORATION

(Exact Name of Registrant as Specified in its Charter)  

Delaware	36-3352497
(State or Other Jurisdiction of	(I.R.S. Employer Identification No.)
Incorporation or Organization)

1400 Toastmaster Drive, Elgin, Illinois	60120
(Address of Principal Executive Offices)	(Zip Code)

Registrant's Telephone No., including Area Code (847) 741-3300

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 that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.

Yes x 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 during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).

Yes x   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 “accelerated filer, large accelerated filer and smaller reporting company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer x Accelerated filer o Non-accelerated filer o 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 x

As of August 3, 2012 there were 18,709,436 shares of the registrant's common stock outstanding.

THE MIDDLEBY CORPORATION AND SUBSIDIARIES

QUARTER ENDED June 30, 2012

INDEX

DESCRIPTION		PAGE
PART I.  FINANCIAL INFORMATION
Item 1.	Condensed Consolidated Financial Statements (unaudited)
	CONDENSED CONSOLIDATED BALANCE SHEETS June 30, 2012 and December 31, 2011	1
	CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME June 30, 2012 and July 2, 2011	2
	CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS June 30, 2012 and July 2, 2011	3
	NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS	4
Item 2.	Management's Discussion and Analysis of Financial Condition and Results of Operations	25
Item 3.	Quantitative and Qualitative Disclosures About Market Risk	33
Item 4.	Controls and Procedures	36
PART II. OTHER INFORMATION
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	37
Item 6.	Exhibits	38

PART I. FINANCIAL INFORMATION

Item 1. Condensed Consolidated Financial Statements

THE MIDDLEBY CORPORATION AND SUBSIDIARIES

CONDENSED CONSOLIDATED BALANCE SHEETS

(In Thousands, Except Share Data)

(Unaudited)

ASSETS	Jun 30, 2012			Dec 31, 2011
Current assets:
Cash and cash equivalents	$	35,227		$	40,216
Accounts receivable, net of reserve for doubtful accounts of $7,116 and $6,878	140,665			151,441
Inventories, net	131,559			124,300
Prepaid expenses and other	19,318			12,336
Current deferred taxes	36,554			39,090
Total current assets	363,323			367,383
Property, plant and equipment, net of accumulated depreciation of $57,940 and $54,014	62,206			62,507
Goodwill	484,627			477,812
Other intangibles	226,137			234,726
Other assets	4,721			4,084
Total assets	$	1,141,014		$	1,146,512
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Current maturities of long-term debt	$	5,696		$	315,831
Accounts payable	66,524			63,394
Accrued expenses	147,300			170,392
Total current liabilities	219,520			549,617
Long-term debt	268,503			1,504
Long-term deferred tax liability	40,281			37,845
Other non-current liabilities	46,405			46,577
Stockholders' equity:
Preferred stock, $0.01 par value; nonvoting; 2,000,000 shares authorized; none issued	—			—
Common stock, $0.01 par value; 47,500,000 shares authorized; 23,295,541 and 23,093,338 shares issued in 2012 and 2011, respectively	139			137
Paid-in capital	220,440			202,321
Treasury stock at cost; 4,586,105 and 4,437,428 shares in 2012 and 2011, respectively	(141,154		)	(126,682		)
Retained earnings	508,867			455,727
Accumulated other comprehensive loss	(21,987		)	(20,534		)
Total stockholders' equity	566,305			510,969
Total liabilities and stockholders' equity	$	1,141,014		$	1,146,512

See accompanying notes

1

THE MIDDLEBY CORPORATION AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

(In Thousands, Except Per Share Data)

(Unaudited)

	Three Months Ended					Six Months Ended
	Jun 30, 2012			Jul 2, 2011		Jun 30, 2012		Jul 2, 2011
Net sales	$	260,040		$	210,855	$	488,863	$	393,427
Cost of sales	158,224			125,518		299,564		236,260
Gross profit	101,816			85,337		189,299		157,167
Selling and distribution expenses	28,274			21,569		53,449		42,137
General and administrative expenses	28,204			28,520		53,852		48,418
Income from operations	45,338			35,248		81,998		66,612
Net interest expense and deferred financing amortization, net	1,967			2,119		4,058		4,179
Other (income) expense, net	(380		)	1,608		887		1,446
Earnings before income taxes	43,751			31,521		77,053		60,987
Provision for income taxes	12,706			11,893		23,913		23,534
Net earnings	$	31,045		$	19,628	$	53,140	$	37,453
Net earnings per share:
Basic	$	1.70		$	1.09	$	2.92	$	2.08
Diluted	$	1.67		$	1.06	$	2.87	$	2.02
Weighted average number of shares
Basic	18,267			18,052		18,207		17,976
Dilutive common stock equivalents1	307			527		312		536
Diluted	18,574			18,579		18,519		18,512
Comprehensive income	$	23,592		$	20,641	$	51,686	$	39,099

¹ There were no anti-dilutive equity awards excluded from common stock equivalents for any period presented.

See accompanying notes

2

THE MIDDLEBY CORPORATION AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(In Thousands)

(Unaudited)

	Six Months Ended
	Jun 30, 2012			Jul 2, 2011
Cash flows from operating activities--
Net earnings	$	53,140		$	37,453
Adjustments to reconcile net earnings to net cash provided by operating activities--
Depreciation and amortization	13,589			9,333
Non-cash share-based compensation	5,877			7,349
Deferred taxes	2,402			(600		)
Unrealized loss/(gain) on derivative financial instruments	13			(3		)
Changes in assets and liabilities, net of acquisitions
Accounts receivable, net	10,491			(7,104		)
Inventories, net	(5,664		)	(7,628		)
Prepaid expenses and other assets	(8,053		)	1,161
Accounts payable	3,016			(5,638		)
Accrued expenses and other liabilities	(20,515		)	(4,601		)
Net cash provided by operating activities	54,296			29,722
Cash flows from investing activities--
Additions to property and equipment	(3,097		)	(3,151		)
Acquisition of Giga	—			(1,603		)
Acquisition of Cooktek	(335		)	(86		)
Acquisition of Danfotech	361			—
Acquisition of Cozzini	—			(2,000		)
Acquisition of Baker (formerly known as Turkington)	(10,250		)	—
Acquisition of Beech, net of cash acquired	—			(12,959		)
Acquisition of Lincat, net of cash acquired	—			(82,130		)
Acquisition of Drake, net of cash acquired	(403		)	—
Net cash (used in) by investing activities	(13,724		)	(101,929		)
Cash flows from financing activities--
Net (repayments) proceeds under current revolving credit facilities	(42,300		)	93,400
Net (repayments) proceeds under foreign bank loan	(641		)	1,327
Repurchase of treasury stock	(14,472		)	(9,453		)
Debt issuance costs	—			(373		)
Excess tax benefit related to share-based compensation	10,945			—
Net proceeds from stock issuances	1,299			224
Net cash (used in) provided by financing activities	(45,169		)	85,125
Effect of exchange rates on cash and cash equivalents	$	(392	)	$	815
Changes in cash and cash equivalents--
Net (decrease) increase in cash and cash equivalents	(4,989		)	13,733
Cash and cash equivalents at beginning of year	40,216			7,656
Cash and cash equivalents at end of period	$	35,227		$	21,389

See accompanying notes

3

THE MIDDLEBY CORPORATION AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

June 30, 2012

(Unaudited)

1) Summary of Significant Accounting Policies

A) Basis of Presentation

The condensed consolidated financial statements have been prepared by The Middleby Corporation (the "company" or “Middleby”), pursuant to the rules and regulations of the Securities and Exchange Commission. The financial statements are unaudited and certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America have been condensed or omitted pursuant to such rules and regulations, although the company believes that the disclosures are adequate to make the information not misleading. These financial statements should be read in conjunction with the financial statements and related notes contained in the company's 2011 Form 10-K. The company’s interim results are not necessarily indicative of future full year results for the fiscal year 2012. 

In the opinion of management, the financial statements contain all adjustments necessary to present fairly the financial position of the company as of June 30, 2012 and December 31, 2011, and the results of operations for the three and six months endedJune 30, 2012 and July 2, 2011 and cash flows for the six months endedJune 30, 2012 and July 2, 2011.

B) Non-Cash Share-Based Compensation

The company estimates the fair value of market-based stock awards and stock options at the time of grant and recognizes compensation cost over the vesting period of the awards and options. Non-cash share-based compensation expense was $3.2 million and $5.3 million for the second quarter periods ended June 30, 2012 and July 2, 2011, respectively. Non-cash share-based compensation expense was $5.9 million and $7.3 million for the six month periods ended June 30, 2012 and July 2, 2011, respectively.

C) Income Tax Contingencies

As of December 31, 2011, the total amount of liability for unrecognized tax benefits related to federal, state and foreign taxes was approximately $15.6 million (of which $14.1 million would impact the effective tax rate if recognized) plus approximately $1.9 million of accrued interest and $2.0 million of penalties. The company recognizes interest and penalties accrued related to unrecognized tax benefits in income tax expense. Interest of $(0.2) million and $0.1 million were recognized in the second quarter of 2012 and 2011, respectively. Penalties of $(0.4) million and $0.1 million were recognized in the second quarter of 2012 and 2011, respectively. In the first six months endedJune 30, 2012, the company recognized a benefit of $4.1 million for unrecognized tax benefits related to reduced tax exposures.

It is reasonably possible that the amounts of unrecognized tax benefits associated with state, federal and foreign tax positions may decrease over the next twelve months due to expiration of a statute or completion of an audit. The company believes that it is reasonably possible that approximately $0.1 million of its currently remaining unrecognized tax benefits may be recognized over the next twelve months as a result of lapses of statutes of limitations.

4

A summary of the tax years that remain subject to examination in the company’s major tax jurisdictions are: 

United States - federal	2008 – 2011
United States - states	2004 – 2011
Australia	2011
Brazil	2010 – 2011
Canada	2009 – 2011
China	2003 – 2011
Denmark	2009 – 2011
France	2011
Germany	2011
Italy	2009 – 2011
Luxembourg	2011
Mexico	2007 – 2011
Philippines	2008 – 2011
South Korea	2006 – 2011
Spain	2008 – 2011
Taiwan	2008 – 2011
United Kingdom	2008 – 2011

5

D) Fair Value Measures

ASC 820 defines fair value as the price that would be received for an asset or paid to transfer a liability (an exit price) in the principal most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. ASC 820 establishes a fair value hierarchy, which prioritizes the inputs used in measuring fair value into the following levels:

Level 1 – Quoted prices in active markets for identical assets or liabilities.

Level 2 – Inputs, other than quoted prices in active markets, that are observable either directly or indirectly.

Level 3 – Unobservable inputs based on our own assumptions.

The company’s financial assets and liabilities that are measured at fair value and are categorized using the fair value hierarchy are as follows (in thousands):

	Fair Value Level 1		Fair Value Level 2		Fair Value Level 3		Total
As of June 30, 2012
Financial Assets:
Pension plans	$	21,599	$	1,217	$	—	$	22,816
Financial Liabilities:
Interest rate swaps	$	—	$	3,338	$	—	$	3,338
Contingent consideration	$	—	$	—	$	2,017	$	2,017
As of December 31, 2011
Financial Assets:
Pension plans	$	21,229	$	1,297	$	—	$	22,526
Financial Liabilities:
Interest rate swaps	$	—	$	3,216	$	—	$	3,216
Contingent consideration	$	—	$	—	$	3,398	$	3,398

The contingent consideration relates to the earnout provisions recorded in conjunction with the acquisitions of CookTek and Danfotech.

E) Consolidated Statements of Cash Flows

Cash paid for interest was $3.7 million and $3.8 million for the six months endedJune 30, 2012 and July 2, 2011, respectively. Cash payments totaling $15.3 million and $11.3 million were made for income taxes for the six months endedJune 30, 2012 and July 2, 2011, respectively, respectively.

6

2) Acquisitions and Purchase Accounting

The company operates in a highly fragmented industry and has completed numerous acquisitions over the past several years as a component of its growth strategy. The company has acquired industry leading brands and technologies to position itself as a leader in the commercial foodservice equipment and food processing equipment industries.

The company has accounted for all business combinations using the acquisition method to record a new cost basis for the assets acquired and liabilities assumed. The difference between the purchase price and the fair value of the assets acquired and liabilities assumed has been recorded as goodwill in the financial statements. The results of operations are reflected in the consolidated financial statements of the company from the date of acquisition.

Beech

On April 12, 2011, the company completed its acquisition of all of the capital stock of J.W. Beech Pty. Ltd., together with its subsidiary, Beech Ovens Pty. Ltd. (collectively “Beech”), a leading manufacturer of stone hearth ovens for the commercial foodservice industry for a purchase price of approximately $13.0 million, net of cash acquired. During the first quarter of 2012, the company finalized the working capital provision provided for by the purchase agreement resulting in no additional payments.

The final allocation of cash paid for the Beech acquisition is summarized as follows (in thousands):

	(as initially reported) Apr 12, 2011			Measurement Period Adjustments			(as adjusted) Apr 12, 2011
Cash	$	525		$	—		$	525
Current assets	1,145			(299		)	846
Property, plant and equipment	57			—			57
Goodwill	11,433			(192		)	11,241
Other intangibles	2,317			(294		)	2,023
Current liabilities	(1,100		)	(41		)	(1,141		)
Other non-current liabilities	(893		)	826			(67		)
Net assets acquired and liabilities assumed	13,484			—			13,484

The goodwill and $1.9 million of other intangibles associated with the trade name are subject to the non-amortization provisions of ASC 350. Other intangibles also includes $0.1 million allocated to backlog which was amortized over a period of 3 months. Goodwill and other intangibles of Beech are allocated to the Commercial Foodservice Equipment Group for segment reporting purposes. These assets are expected to be deductible for tax purposes.

7

Lincat Group

On May 27, 2011, the company completed its acquisition of Lincat Group PLC (“Lincat”), a leading manufacturer of ranges, ovens, and counterline equipment for the commercial foodservice industry for a purchase price of approximately $82.1 million, net of cash acquired.

The final allocation of cash paid for the Lincat acquisition is summarized as follows (in thousands): 

	(as initially reported) May 27, 2011			Measurement Period Adjustments			(as adjusted) May 27, 2011
Cash	$	12,392		$	—		$	12,392
Current assets	16,992			(29		)	16,963
Property, plant and equipment	14,368			—			14,368
Goodwill	45,765			(7,274		)	38,491
Other intangibles	31,343			1,976			33,319
Current liabilities	(10,924		)	1,174			(9,750		)
Long-term deferred tax liability	(13,803		)	4,153			(9,650		)
Other non-current liabilities	(1,611		)	—			(1,611		)
Net assets acquired and liabilities assumed	$	94,522		$	—		$	94,522

The goodwill and $15.2 million of other intangibles associated with the trade name are subject to the non-amortization provisions of ASC 350. Other intangibles also includes $17.6 million allocated to customer relationships and $0.5 million allocated to backlog, which are being amortized over periods of 5 years and 3 months, respectively. Goodwill and other intangibles of Lincat are allocated to the Commercial Foodservice Equipment Group for segment reporting purposes. These assets are not expected to be deductible for tax purposes.

8

Danfotech

On July 5, 2011, the company completed its acquisition of all of the capital stock of Danfotech Inc. (“Danfotech”), a manufacturer of meat presses and defrosting equipment for the food processing industry for a purchase price of approximately $6.1 million, net of cash acquired. The purchase price is subject to adjustment based upon a working capital provision within the purchase agreements. Pursuant to terms of the purchase agreement, in December 2011 the company purchased additional assets from the sellers of Danfotech for approximately $0.7 million. An additional contingent payment is also payable upon the achievement of certain sales targets. During the first quarter of 2012, the company finalized the working capital provision provided for by the purchase agreement resulting in a refund from the seller in the amount of $0.4 million.

The following estimated fair values of assets acquired and liabilities assumed are provisional and are based on the information that was available as of the acquisition date to estimate the fair value of assets acquired and liabilities assumed (in thousands): 

	(as initially reported) July 5, 2011			Measurement Period Adjustments			(as adjusted) July 5, 2011
Cash	$	165		$	—		$	165
Current assets	1,073			(370		)	703
Property, plant and equipment	102			(55		)	47
Goodwill	3,423			2,543			5,966
Other intangibles	1,864			(778		)	1,086
Other assets	4			—			4
Current liabilities	(309		)	(807		)	(1,116		)
Long-term deferred tax liability	(46		)	(144		)	(190		)
Other non-current liabilities	—			(750		)	(750		)
Consideration paid at closing	$	6,276		$	(361	)	$	5,915
Additional assets acquired post closing	—			730			730
Contingent consideration	1,500			—			1,500
Net assets acquired and liabilities assumed	$	7,776		$	369		$	8,145

The long term deferred tax liabilities amounted to $0.2 million. This net liability represents $0.1 million arising from the difference between the book and tax basis of tangible assets and $0.1 million related to the difference between the book and tax basis of identifiable intangible assets.

The goodwill and $0.6 million of other intangibles associated with the trade name are subject to the non-amortization provisions of ASC 350. Other intangibles also includes $0.4 million allocated to customer relationships, $0.1 million allocated to developed technology and less than $0.1 million allocated to backlog, which are being amortized over periods of 4 years, 3 years and 3 months, respectively. Goodwill and other intangibles of Danfotech are allocated to the Food Processing Equipment Group for segment reporting purposes. These assets are not expected to be deductible for tax purposes.

The company believes that information gathered to date provides a reasonable basis for estimating the fair values of assets acquired and liabilities assumed but the company is waiting for additional information necessary to finalize those fair values. Thus, the provisional measurements of fair value set forth above are subject to change. The company expects to complete the purchase price allocation as soon as practicable but no later than one year from the acquisition date.

9

Maurer

On July 22, 2011, the company completed its acquisition of substantially all of the assets of Maurer-Atmos GmbH (“Maurer”), a manufacturer of batch ovens and thermal processing systems for the food processing industry for a purchase price of approximately $3.3 million. In the fourth quarter of 2011, pursuant to terms of the purchase agreement, the purchase price was adjusted to reflect the final valuation of acquired inventories, resulting in a net reduction of approximately $0.6 million.

The following estimated fair values of assets acquired and liabilities assumed are provisional and are based on the information that was available as of the acquisition date to estimate the fair value of assets acquired and liabilities assumed (in thousands): 

	(as initially reported) July 22, 2011			Measurement Period Adjustments			(as adjusted) July 22, 2011
Current assets	$	1,673		$	(668	)	$	1,005
Property, plant and equipment	628			—			628
Goodwill	870			350			1,220
Other intangibles	922			—			922
Current liabilities	(246		)	(264		)	(510		)
Net assets acquired and liabilities assumed	$	3,847		$	(582	)	$	3,265

The goodwill and $0.6 million of other intangibles associated with the trade name are subject to the non-amortization provisions of ASC 350. Other intangibles also includes $0.3 million allocated to customer relationships and less than $0.1 million allocated to developed technology, which are being amortized over periods of 4 years and 3 years, respectively. Goodwill and other intangibles of Maurer are allocated to the Food Processing Equipment Group for segment reporting purposes. These assets are expected to be deductible for tax purposes.

The company believes that information gathered to date provides a reasonable basis for estimating the fair values of assets acquired and liabilities assumed but the company is waiting for additional information necessary to finalize those fair values. Thus, the provisional measurements of fair value set forth above are subject to change. The company expects to complete the purchase price allocation as soon as practicable but no later than one year from the acquisition date.

10

Auto-Bake

On August 1, 2011, the company completed its acquisition of all of the capital stock of Auto-Bake Proprietary Limited (“Auto-Bake”), a manufacturer of automated baking ovens for the food processing industry for a purchase price of approximately $22.5 million, net of cash acquired. During the fourth quarter of 2011, the company finalized the working capital provision provided for by the purchase agreement resulting in no additional adjustment to the purchase price.

The following estimated fair values of assets acquired and liabilities assumed are provisional and are based on the information that was available as of the acquisition date to estimate the fair value of assets acquired and liabilities assumed (in thousands): 

	(as initially reported) Aug 1, 2011			Measurement Period Adjustments			(as adjusted) Aug 1, 2011
Cash	$	110		$	—		$	110
Current assets	3,209			47			3,256
Property, plant and equipment	477			—			477
Goodwill	16,259			1,865			18,124
Other intangibles	6,784			(2,726		)	4,058
Other assets	336			(11		)	325
Current liabilities	(2,506		)	8			(2,498		)
Long-term deferred tax liability	(2,035		)	817			(1,218		)
Net assets acquired and liabilities assumed	$	22,634		$	—		$	22,634

The goodwill and $2.0 million of other intangibles associated with the trade name are subject to the non-amortization provisions of ASC 350. Other intangibles also includes $1.9 million allocated to customer relationships and $0.2 million allocated to backlog, which are being amortized over periods of 5 years and 3 months, respectively. Goodwill and other intangibles of Auto-Bake are allocated to the Food Processing Equipment Group for segment reporting purposes. These assets are not expected to be deductible for tax purposes.

The company believes that information gathered to date provides a reasonable basis for estimating the fair values of assets acquired and liabilities assumed but the company is waiting for additional information necessary to finalize those fair values. Thus, the provisional measurements of fair value set forth above are subject to change. The company expects to complete the purchase price allocation as soon as practicable but no later than one year from the acquisition date.

11

Drake

On December 2, 2011, the company completed its acquisition of all of the capital stock of the F.R. Drake Company (“Drake”), a manufacturer of automated loading systems for the food processing industry for a purchase price of approximately $21.7 million, net of cash acquired. During the second quarter of 2012, the company finalized the working capital provision provided for by the purchase agreement resulting in an additional payment to the seller of $0.4 million.

The following estimated fair values of assets acquired and liabilities assumed are provisional and are based on the information that was available as of the acquisition date to estimate the fair value of assets acquired and liabilities assumed (in thousands):

	(as initially reported) Dec 2, 2011			Measurement Period Adjustments		(as adjusted) Dec 2, 2011
Cash	$	427		$	—	$	427
Current assets	4,245			—		4,245
Deferred tax asset	390			—		390
Property, plant and equipment	1,773			—		1,773
Goodwill	15,237			403		15,640
Other intangibles	5,810			—		5,810
Other assets	9			—		9
Current liabilities	(3,334		)	—		(3,334		)
Long-term deferred tax liability	(2,395		)	—		(2,395		)
Net assets acquired and liabilities assumed	$	22,162		$	403	$	22,565

The current deferred tax asset and long term deferred tax liability amounted to $0.4 million and $2.4 million, respectively. The current deferred tax asset represents $0.4 million of assets arising from the difference between the book and tax basis of tangible asset and liability accounts. The net long term deferred tax liability is comprised of $0.1 million arising from the difference between the book and tax basis of tangible assets and liability accounts and $2.3 million related to the difference between the book and tax basis of identifiable intangible assets.

The goodwill and $3.2 million of other intangibles associated with the trade name are subject to the non-amortization provisions of ASC 350. Other intangibles also includes $2.5 million allocated to customer relationships and $0.1 million allocated to backlog, which are being amortized over periods of 5 years and 1 month, respectively. Goodwill and other intangibles of Drake are allocated to the Food Processing Equipment Group for segment reporting purposes. These assets are not expected to be deductible for tax purposes.

The company believes that information gathered to date provides a reasonable basis for estimating the fair values of assets acquired and liabilities assumed but the company is waiting for additional information necessary to finalize those fair values. Thus, the provisional measurements of fair value set forth above are subject to change. The company expects to complete the purchase price allocation as soon as practicable but no later than one year from the acquisition date.

12

Armor Inox

On December 21, 2011, the company completed its acquisition of all of the capital stock of Armor Inox, S.A., together with its subsidiaries Armor Inox Production S.a.r.l and Armor Inox UK Ltd (collectively “Armor Inox”), a manufacturer of thermal processing systems for the food processing industry for a purchase price of approximately $28.7 million, net of cash acquired.

The following estimated fair values of assets acquired and liabilities assumed are provisional and are based on the information that was available as of the acquisition date to estimate the fair value of assets acquired and liabilities assumed (in thousands):

	(as initially reported) Dec 21, 2011			Measurement Period Adjustments			(as adjusted) Dec 21, 2011
Cash	$	18,201		$	—		$	18,201
Current assets	14,612			(875		)	13,737
Property, plant and equipment	941			489			1,430
Goodwill	23,789			386			24,175
Other intangibles	12,155			—			12,155
Other assets	25			—			25
Current liabilities	(18,440		)	—			(18,440		)
Long-term deferred tax liability	(3,975		)	—			(3,975		)
Other non-current liabilities	(450		)	—			(450		)
Net assets acquired and liabilities assumed	$	46,858		$	—		$	46,858

The goodwill and $3.9 million of other intangibles associated with the trade name are subject to the non-amortization provisions of ASC 350. Other intangibles also includes $1.3 million allocated to customer relationships, $1.8 million allocated to developed technology and $5.2 million allocated to backlog, which are being amortized over periods of 5 years, 6 years and 2 years, respectively. Goodwill and other intangibles of Armor Inox are allocated to the Food Processing Equipment Group for segment reporting purposes. These assets are not expected to be deductible for tax purposes.

The company believes that information gathered to date provides a reasonable basis for estimating the fair values of assets acquired and liabilities assumed but the company is waiting for additional information necessary to finalize those fair values. Thus, the provisional measurements of fair value set forth above are subject to change. The company expects to complete the purchase price allocation as soon as practicable but no later than one year from the acquisition date.

13

Baker

On March 14, 2012, the company completed its acquisition of certain assets of Turkington USA, LLC (now known as "Baker"), a manufacturer of automated baking ovens for the food processing industry, for a purchase price of approximately $10.3 million.

The following estimated fair values of assets acquired and liabilities assumed are provisional and are based on the information that was available as of the acquisition date to estimate the fair value of assets acquired and liabilities assumed (in thousands): 

	(as initially reported) Mar 14, 2012			Measurement Period Adjustments			(as adjusted) Mar 14, 2012
Current assets	$	4,617		$	(736	)	$	3,881
Property, plant and equipment	221			—			221
Goodwill	5,797			(14		)	5,783
Other Intangibles	—			750			750
Current Liabilities	(385		)	—			(385		)
Net assets acquired and liabilities assumed	$	10,250		$	—		$	10,250

The goodwill is subject to the non-amortization provisions of ASC 350. Other intangibles includes $0.8 million allocated to customer relationships, which are being amortized over 5 years. Goodwill of Baker is allocated to the Food Processing Equipment Group for segment reporting purposes. These assets are expected to be deductible for tax purposes.

The company believes that information gathered to date provides a reasonable basis for estimating the fair values of assets acquired and liabilities assumed but the company is waiting for additional information necessary to finalize those fair values. Thus, the provisional measurements of fair value set forth above are subject to change. The company expects to complete the purchase price allocation as soon as practicable but no later than one year from the acquisition date.

3) Litigation Matters

From time to time, the company is subject to proceedings, lawsuits and other claims related to products, suppliers, employees, customers and competitors. The company maintains insurance to partially cover product liability, workers compensation, property and casualty, and general liability matters.  The company is required to assess the likelihood of any adverse judgments or outcomes to these matters as well as potential ranges of probable losses.  A determination of the amount of accrual required, if any, for these contingencies is made after assessment of each matter and the related insurance coverage.  The accrual requirement may change in the future due to new developments or changes in approach such as a change in settlement strategy in dealing with these matters.  The company does not believe that any pending litigation will have a material effect on its financial condition, results of operations or cash flows.

4) Recently Issued Accounting Standards

In May 2011, the FASB issued ASU No. 2011-04, “Amendments to Achieve Common Fair Value Measurement and Disclosure Requirements in U.S. GAAP and IFRSs.” This update provides clarification on existing fair value measurement requirements, amends existing guidance primarily related to fair value measurements for financial instruments, and requires enhanced disclosures on fair value measurements. The additional disclosures are specific to Level 3 fair value measurements, transfers between Level 1 and Level 2 of the fair value hierarchy, financial instruments not measured at fair value and use of an asset measured or disclosed at fair value differing from its highest and best use. The company adopted the provisions of ASU No. 2011-04 on January 1, 2012.  There was no impact to the company’s financial position, results of operations or cash flows.

14

In June 2011 and December 2011, the FASB issued ASU No. 2011-05, “Presentation of Comprehensive Income” and ASU No. 2011-12, “Deferral of the Effective Date for Amendments to the Presentation of Reclassifications of Items Out of Accumulated Other Comprehensive Income in Accounting Standards Update No. 2011-05”, respectively.  ASU No. 2011-05 eliminated the option to present the components of other comprehensive income in the statement of changes in stockholders’ equity. Instead, entities have the option to present the components of net income, the components of other comprehensive income and total comprehensive income in a single continuous statement or in two separate but consecutive statements. The guidance does not change the items reported in other comprehensive income or when an item of other comprehensive income is reclassified to net income. The company adopted the provisions of ASU No. 2011-05 on January 1, 2012.  As this guidance only revises the presentation of comprehensive income, there was no impact to the company’s financial position, results of operations or cash flows.  For interim reporting purposes, the company has elected to present comprehensive income in a single continuous statement now referred to as the Condensed Consolidated Statements of Comprehensive Income.

In September 2011, the FASB issued ASU No. 2011-08, “Intangibles – Goodwill and Other (Topic 350).” This ASU will allow an entity the option to make a qualitative evaluation about the likelihood of goodwill impairment to determine whether it should calculate the fair value of a reporting unit. The ASU also amends previous guidance by expanding upon the examples of events and circumstances that an entity should consider between annual impairment tests in determining whether it is more likely than not that the fair value of a reporting unit is less than its carrying amount. Also, the ASU provides additional examples of events and circumstances that an entity having a reporting unit with a zero or negative carrying amount should consider in determining whether to measure an impairment loss, if any, under the second step of the goodwill impairment test. The company adopted the provisions of ASU 2011-08 on January 1, 2012. There was no impact to the company’s financial position, results of operation or cash flows. The company will determine whether to apply the qualitative evaluation allowed under this ASU in connection with the company’s annual goodwill impairment test.

On July 27, 2012, the FASB issued ASU 2012-02, “Intangibles - Goodwill and Other (Topic 350)”. Similar to ASU 2011-08, this ASU amends the guidance in ASC 350-30. While ASU 2011-08 allows an entity the option to make a qualitative evaluation about the likelihood of goodwill impairment to determine whether it should calculate the fair value of a reporting unit, ASU-2012-02 allows an entity the option to make a qualitative evaluation to determine whether the existence of events and circumstances indicate that it is more likely than not the indefinite-lived intangible asset is impaired thus requiring the entity to perform quantitative impairment tests in accordance with ASC 350-30. The ASU also amends previous guidance by expanding upon the examples of events and circumstances that an entity should consider when making the qualitative evaluation. The company is currently evaluating its adoption approach to this guidance.

5) Other Comprehensive Income

The company reports changes in equity during a period, except those resulting from investments by owners and distributions to owners, in accordance with ASC 220, "Comprehensive Income."

Components of other comprehensive income were as follows (in thousands):

	Three Months Ended						Six Months Ended
	Jun 30, 2012			Jul 2, 2011			Jun 30, 2012			Jul 2, 2011
Net earnings	$	31,045		$	19,628		$	53,140		$	37,453
Currency translation adjustment	(7,527		)	1,285			(1,542		)	1,844
Pension liability adjustment, net of tax	169			—			141			—
Unrealized gain on interest rate swaps, net of tax	(95		)	(272		)	(53		)	(198		)
Comprehensive income	$	23,592		$	20,641		$	51,686		$	39,099

Accumulated other comprehensive loss is comprised of unrecognized pension benefit costs of $7.5 million, net of taxes as of June 30, 2012 and December 31, 2011, cumulative foreign currency translation losses of $12.8 million and $11.2 million as of June 30, 2012 and December 31, 2011, respectively and an unrealized loss on interest rate swaps of $1.7 million and $1.7 million, net of taxes as of June 30, 2012 and December 31, 2011, respectively.

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6) Inventories

Inventories are composed of material, labor and overhead and are stated at the lower of cost or market. Costs for inventory at two of the company's manufacturing facilities have been determined using the last-in, first-out ("LIFO") method. These inventories under the LIFO method amounted to $18.9 million at June 30, 2012 and $18.6 million at December 31, 2011 and represented approximately 14.4% and 15.0% of the total inventory in each respective period. Costs for all other inventory have been determined using the first-in, first-out ("FIFO") method. The company estimates reserves for inventory obsolescence and shrinkage based on its judgment of future realization. Inventories at June 30, 2012 and December 31, 2011 are as follows: 

	Jun 30, 2012		Dec 31, 2011
	(in thousands)
Raw materials and parts	$	76,714	$	69,576
Work-in-process	17,454		15,204
Finished goods	37,132		39,261
	131,300		124,041
LIFO reserve	259		259
	$	131,559	$	124,300

7) Goodwill

Changes in the carrying amount of goodwill for the three months endedJune 30, 2012 are as follows (in thousands):

	Commercial Foodservice		Food Processing			Total
Balance as of December 31, 2011	$	375,352	$	102,460		$	477,812
Goodwill acquired during the year	—		5,783			5,783
Measurement period adjustments to goodwill acquired in prior year	528		639			1,167
Exchange effect	452		(587		)	(135		)
Balance as of June 30, 2012	$	376,332	$	108,295		$	484,627

8) Accrued Expenses

Accrued expenses consist of the following:

	Jun 30, 2012		Dec 31, 2011
	(in thousands)
Advanced customer deposits	$	33,622	$	33,246
Accrued payroll and related expenses	31,609		41,434
Accrued warranty	15,474		13,842
Accrued customer rebates	13,812		23,136
Accrued product liability and workers compensation	11,970		10,771
Accrued agent commission	8,607		8,668
Accrued professional services	7,316		7,497
Other accrued expenses	24,890		31,798
	$	147,300	$	170,392

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9) Warranty Costs

In the normal course of business the company issues product warranties for specific product lines and provides for the estimated future warranty cost in the period in which the sale is recorded.  The estimate of warranty cost is based on contract terms and historical warranty loss experience that is periodically adjusted for recent actual experience. Because warranty estimates are forecasts that are based on the best available information, actual claims costs may differ from amounts provided. Adjustments to initial obligations for warranties are made as changes in the obligations become reasonably estimable.

A rollforward of the warranty reserve is as follows:

	Six Months Ended
	Jun 30, 2012
	(in thousands)
Beginning balance	$	13,842
Warranty reserve related to acquisitions	292
Warranty expense	13,888
Warranty claims	(12,548		)
Ending balance	$	15,474

10) Financing Arrangements

	Jun 30, 2012		Dec 31, 2011
	(in thousands)
Senior secured revolving credit line	$	267,100	$	309,400
Foreign loans	7,099		7,935
Total debt	$	274,199	$	317,335
Less:  Current maturities of long-term debt	5,696		315,831
Long-term debt	$	268,503	$	1,504

Terms of the company’s senior credit agreement provide for $600.0 million of availability under a revolving credit line. As of June 30, 2012, the company had $267.1 million of borrowings outstanding under this facility. The company also had $5.6 million in outstanding letters of credit as of June 30, 2012, which reduces the borrowing availability under the revolving credit line. Remaining borrowing availability under this facility, which is also reduced by the company’s foreign borrowings, was $320.2 million at June 30, 2012.

At June 30, 2012, borrowings under the senior secured credit facility are assessed at an interest rate of 1.00% above LIBOR for long-term borrowings or at the higher of the Prime rate and the Federal Funds Rate. At June 30, 2012 the average interest rate on the senior debt amounted to 1.26%. The interest rates on borrowings under the senior secured credit facility may be adjusted quarterly based on the company’s indebtedness ratio on a rolling four-quarter basis. Additionally, a commitment fee based upon the indebtedness ratio is charged on the unused portion of the revolving credit line. This variable commitment fee amounted to 0.20% as of June 30, 2012.

In August 2006, the company completed its acquisition of Houno A/S in Denmark. This acquisition was funded in part with locally established debt facilities with borrowings in Danish Krone.  On June 30, 2012 these facilities amounted to $3.0 million in U.S. dollars, including $1.5 million outstanding under a revolving credit facility and $1.5 million of a term loan.  The interest rate on the revolving credit facility is assessed at 1.25% above Euro LIBOR, which amounted to 4.63% on June 30, 2012. The term loan matures in 2013 and the interest rate is assessed at 4.55%.

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In April 2008, the company completed its acquisition of Giga Grandi Cucine S.r.l in Italy. This acquisition was funded in part with locally established debt facilities with borrowings denominated in Euro.  On June 30, 2012 these facilities amounted to $3.7 million in U.S. dollars.  The interest rate on the credit facilities is variable based on the three-month Euro LIBOR. At June 30, 2012, the average interest rate on these facilities was approximately 4.15%. The facilities mature in April 2015.

In December 2011, the company completed its acquisition of Armor Inox in France. This acquisition was funded in part with locally established debt facilities with borrowings denominated in Euro.  On June 30, 2012, these facilities amounted to $0.4 million in U.S. dollars.   The interest rate on the credit facilities is variable based on the six-month Euro LIBOR. The facilities mature in April 2015. At June 30, 2012, the average interest rate on these facilities was approximately 1.70%.

The company’s debt is reflected on the balance sheet at cost. Based on current market conditions, the company believes its interest rate margins on its existing debt are below the rate available in the market, which causes the fair value of debt to fall below the carrying value. The company believes the current interest rate margin is approximately 0.5% below current market rates. However, as the interest rate margin is based upon numerous factors, including but not limited to the credit rating of the borrower, the duration of the loan, the structure and restrictions under the debt agreement, current lending policies of the counterparty, and the company’s relationships with its lenders, there is no readily available market data to ascertain the current market rate for an equivalent debt instrument. As a result, the current interest rate margin is based upon the company’s best estimate based upon discussions with its lenders.

The company estimated the fair value of its loans by calculating the upfront cash payment a market participant would require to assume the company’s obligations. The upfront cash payment is the amount that a market participant would be able to lend at June 30, 2012 to achieve sufficient cash inflows to cover the cash outflows under the company’s senior revolving credit facility assuming the facility was outstanding in its entirety until maturity. Since the company maintains its borrowings under a revolving credit facility and there is no predetermined borrowing or repayment schedule, for purposes of this calculation the company calculated the fair value of its obligations assuming the current amount of debt at the end of the period was outstanding until the maturity of the company’s senior revolving credit facility in December 2012. Although borrowings could be materially greater or less than the current amount of borrowings outstanding at the end of the period, it is not practical to estimate the amounts that may be outstanding during future periods. The carrying value and estimated aggregate fair value, a level 2 measurement, based primarily on market prices, of debt is as follows (in thousands):

	Jun 30, 2012				Dec 31, 2011
	Carrying Value		Fair Value		Carrying Value		Fair Value
Total debt	$	274,199	$	272,828	$	317,335	$	315,749

The company believes that its current capital resources, including cash and cash equivalents, cash generated from operations, funds available from its revolving credit facility and access to the credit and capital markets will be sufficient to finance its operations, debt service obligations, capital expenditures, acquisitions, product development and integration expenditures for the foreseeable future.

The company has historically entered into interest rate swap agreements to effectively fix the interest rate on a portion of its outstanding debt. The agreements swap one-month LIBOR for fixed rates. As of June 30, 2012 the company had the following interest rate swaps in effect:

	Fixed
Notional	Interest	Effective	Maturity
Amount	Rate	Date	Date
$20,000,000	1.800%	11/23/09	11/23/12
20,000,000	1.560%	03/11/10	12/11/12
15,000,000	0.950%	08/06/10	12/06/12
25,000,000	1.610%	02/23/11	02/24/14
25,000,000	2.520%	02/23/11	02/23/16
25,000,000	0.975%	07/18/11	07/18/14
15,000,000	1.185%	09/12/11	09/12/16
15,000,000	0.620%	09/12/11	09/11/14

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The terms of the senior secured credit facility limit the paying of dividends, capital expenditures and leases, and require, among other things, a maximum ratio of indebtedness to earnings before interest, taxes, depreciation and amortization (“EBITDA”) of 3.5 and a minimum EBITDA to fixed charges ratio of 1.25. The credit agreement also provides that if a material adverse change in the company’s business operations or conditions occurs, the lender could declare an event of default. Under terms of the agreement, a material adverse effect is defined as (a) a material adverse change in, or a material adverse effect upon, the operations, business properties, condition (financial and otherwise) or prospects of the company and its subsidiaries taken as a whole; (b) a material impairment of the ability of the company to perform under the loan agreements and to avoid any event of default; or (c) a material adverse effect upon the legality, validity, binding effect or enforceability against the company of any loan document. A material adverse effect is determined on a subjective basis by the company's creditors. The credit facility is secured by the capital stock of the company’s domestic subsidiaries, 65% of the capital stock of the company’s foreign subsidiaries and substantially all other assets of the company. At June 30, 2012, the company was in compliance with all covenants pursuant to its borrowing agreements.

The current senior revolving facility matures on December 28, 2012. Subsequent to the end of the second quarter, the company entered into a new senior secured multi-currency credit facility. See Note 14 for further information.

11) Financial Instruments

ASC 815 “Derivatives and Hedging” requires an entity to recognize all derivatives as either assets or liabilities and measure those instruments at fair value. Derivatives that do not qualify as a hedge must be adjusted to fair value in earnings. If a derivative does qualify as a hedge under ASC 815, changes in the fair value will either be offset against the change in fair value of the hedged assets, liabilities or firm commitments or recognized in other accumulated comprehensive income until the hedged item is recognized in earnings. The ineffective portion of a hedge's change in fair value will be immediately recognized in earnings.

Foreign Exchange: The company uses foreign currency forward purchase and sale contracts with terms of less than one year to hedge its exposure to changes in foreign currency exchange rates. The company’s primary hedging activities are to mitigate its exposure to changes in exchange rates on intercompany and third party trade receivables and payables. The company does not currently enter into derivative financial instruments for speculative purposes. In managing its foreign currency exposures, the company identifies and aggregates naturally occurring offsetting positions and then hedges residual balance sheet exposures. The following table summarizes the forward contracts outstanding at June 30, 2012. The fair value of the forward contracts was a liability of $0.4 million at the end of the second quarter of 2012.

Sell		Purchase		Maturity
15,000,000	British Pounds	18,537,000	Euro Dollars	September 28, 2012
10,000,000	British Pounds	12,461,000	Euro Dollars	September 28, 2012
3,000,000	British Pounds	4,641,000	US Dollars	September 28, 2012
4,000,000	Canadian Dollars	3,860,000	US Dollars	September 28, 2012
30,000,000	Euro Dollars	37,290,000	US Dollars	September 28, 2012
20,000,000	Mexican Pesos	1,452,000	US Dollars	September 28, 2012

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Interest Rate: The company has entered into interest rate swaps to fix the interest rate applicable to certain of its variable-rate debt. The agreements swap one-month LIBOR for fixed rates. The company has designated these swaps as cash flow hedges and all changes in fair value of the swaps are recognized in accumulated other comprehensive income. As of June 30, 2012, the fair value of these instruments was a liability of $3.3 million. The change in fair value of these swap agreements in the first six months of 2012 was a loss of $0.1 million, net of taxes.

The following tables summarize the company’s fair value of interest rate swaps (in thousands):

	Condensed Consolidated Balance Sheet Presentation	Jun 30, 2012			Dec 31, 2011
Fair value	Other non-current liabilities	$	(3,338	)	$	(3,216	)

The impact on earnings from interest rate swaps was as follows (in thousands):

		Three Months Ended						Six Months Ended
	Presentation of Gain/(loss)	Jun 30, 2012			Jul 2, 2011			Jun 30, 2012			Jul 2, 2011
Gain/(loss) recognized in accumulated other comprehensive income	Other comprehensive income	$	(701	)	$	(1,286	)	$	(1,152	)	$	(1,920	)
Gain/(loss) reclassified from accumulated other comprehensive income (effective portion)	Interest expense	$	(510	)	$	(787	)	$	(1,017	)	$	(1,577	)
Gain/(loss) recognized in income (ineffective portion)	Other expense	$	14		$	(37	)	$	13		$	3

Interest rate swaps are subject to default risk to the extent the counterparties are unable to satisfy their settlement obligations under the interest rate swap agreements. The company reviews the credit profile of the financial institutions and assesses its creditworthiness prior to entering into the interest rate swap agreements. The interest rate swap agreements typically contain provisions that allow the counterparty to require early settlement in the event that the company becomes insolvent or is unable to maintain compliance with its covenants under its existing debt agreements.

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12) Segment Infomation

The company operates in two reportable operating segments defined by management reporting structure and operating activities.

The Commercial Foodservice Equipment Group manufactures, sells, and distributes cooking equipment for the restaurant and institutional kitchen industry. This business segment has manufacturing facilities in California, Illinois, Michigan, New Hampshire, North Carolina, Tennessee, Texas, Vermont, Australia, China, Denmark, Italy, the Philippines and the United Kingdom. Principal product lines of this group include conveyor ovens, ranges, steamers, convection ovens, combi-ovens, broilers and steam cooking equipment, induction cooking systems, baking and proofing ovens, charbroilers, catering equipment, fryers, toasters, hot food servers, foodwarming equipment, griddles, coffee and beverage dispensing equipment and kitchen processing and ventilation equipment. These products are sold and marketed under the brand names: Anets, Beech, Blodgett, Blodgett Combi, Blodgett Range, Bloomfield, Britannia, CTX, Carter-Hoffmann, CookTek, Doyon, Frifri, Giga, Holman, Houno, IMC, Jade, Lang, Lincat, MagiKitch’n, Middleby Marshall, MPC, Nu-Vu, PerfectFry, Pitco, Southbend, Star, Toastmaster, TurboChef and Wells.

The Food Processing Equipment Group manufactures preparation, cooking, packaging and food safety equipment for the food processing industry. This business segment has manufacturing operations in Illinois, Iowa, North Carolina, Virginia, Wisconsin, Australia, France, Germany and Mexico. Principal product lines of this group include batch ovens, belt ovens, continuous processing ovens, automated thermal processing systems, automated loading and unloading systems, meat presses, breading, battering, mixing, forming, grinding and slicing equipment, food suspension, reduction and emulsion systems, defrosting equipment, packaging and food safety equipment. These products are sold and marketed under the brand names: Alkar, Armor Inox, Auto-Bake, Baker Thermal Solutions (formerly known as Turkington), Danfotech, Drake, Maurer-Atmos, MP Equipment and RapidPak.

The accounting policies of the segments are the same as those described in the summary of significant accounting policies. The chief operating decision maker evaluates individual segment performance based on operating income. Management believes that intersegment sales are made at established arms length transfer prices.

Net Sales Summary

(dollars in thousands)

	Three Months Ended								Six Months Ended
	Jun 30, 2012				Jul 2, 2011				Jun 30, 2012				Jul 2, 2011
	Sales		Percent		Sales		Percent		Sales		Percent		Sales		Percent
Business Segments:
Commercial Foodservice	$	196,546	75.6	%	$	178,271	84.5	%	$	374,816	76.7	%	$	332,004	84.4	%
Food Processing	63,494		24.4	%	32,584		15.5	%	114,047		23.3	%	61,423		15.6	%
Total	$	260,040	100.0	%	$	210,855	100.0	%	$	488,863	100.0	%	$	393,427	100.0	%

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The following table summarizes the results of operations for the company's business segments(1) (in thousands):

	Commercial  Foodservice		Food Processing		Corporate and Other(2)			Total
Three Months Ended June 30, 2012
Net sales	$	196,546	$	63,494	$	—		$	260,040
Income from operations	49,657		9,658		(13,977		)	45,338
Depreciation and amortization expense	4,291		2,021		230			6,542
Net capital expenditures	1,025		468		20			1,513
Six Months Ended June 30, 2012
Net sales	374,816		114,047		—			488,863
Income from operations	89,403		15,878		(23,283		)	81,998
Depreciation and amortization expense	9,207		3,932		450			13,589
Net capital expenditures	2,329		723		45			3,097
Total assets	842,585		239,714		58,715			1,141,014
Long-lived assets	608,770		150,561		18,360			777,691
Three Months Ended July 2, 2011
Net sales	$	178,271	$	32,584	$	—		$	210,855
Income from operations	43,408		6,435		(14,595		)	35,248
Depreciation and amortization expense	4,568		550		168			5,286
Net capital expenditures	1,261		113		74			1,448
Six Months Ended July 2, 2011
Net sales	332,004		61,423		—			393,427
Income from operations	79,243		11,222		(23,853		)	66,612
Depreciation and amortization expense	7,891		1,101		341			9,333
Net capital expenditures	2,794		139		218			3,151
Total assets	857,058		98,793		63,235			1,019,086
Long-lived assets	617,454		56,659		33,595			707,708

(1)Non-operating expenses are not allocated to the operating segments. Non-operating expenses consist of interest expense and deferred financing amortization, foreign exchange gains and losses and other income and expense items outside of income from operations.

(2)Includes corporate and other general company assets and operations.

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Long-lived assets by major geographic region are as follows (in thousands):

	Jun 30, 2012		Jul 2, 2011
United States and Canada	$	607,036	$	581,134
Asia	35,729		15,442
Europe and Middle East	133,665		110,245
Latin America	1,261		887
Total international	$	170,655	$	126,574
	$	777,691	$	707,708

Net sales by major geographic region were as follows (in thousands):

	Three Months Ended				Six Months Ended
	Jun 30, 2012		Jul 2, 2011		Jun 30, 2012		Jul 2, 2011
United States and Canada	$	177,424	$	155,549	$	334,493	$	296,180
Asia	24,057		13,528		43,139		23,824
Europe and Middle East	41,227		31,710		80,876		53,620
Latin America	17,332		10,068		30,355		19,803
Total international	$	82,616	$	55,306	$	154,370	$	97,247
	$	260,040	$	210,855	$	488,863	$	393,427

13) Employee Retirement Plans

(a) Pension Plans

The company maintains a non-contributory defined benefit plan for its union employees at the Elgin, Illinois facility. Benefits are determined based upon retirement age and years of service with the company. This defined benefit plan was frozen on April 30, 2002, and no further benefits accrue to the participants beyond this date. Plan participants will receive or continue to receive payments for benefits earned on or prior to April 30, 2002 upon reaching retirement age. The employees participating in the defined benefit plan were enrolled in a newly established 401K savings plan on July 1, 2002, further described below.

The company maintains a non-contributory defined benefit plan for its employees at the Smithville, Tennessee facility, which was acquired as part of the Star acquisition. Benefits are determined based upon retirement age and years of service with the company. This defined benefit plan was frozen on April 1, 2008, and no further benefits accrue to the participants beyond this date. Plan participants will receive or continue to receive payments for benefits earned on or prior to April 1, 2008 upon reaching retirement age.

The company maintains a defined benefit plan for its employees at the Wrexham, the United Kingdom facility, which was acquired as part of the Lincat acquisition. Benefits are determined based upon retirement age and years of service with the company. This defined benefit plan was frozen on April 30, 2010 prior to Middleby’s acquisition of the company. No further benefits accrue to the participants beyond this date. Plan participants will receive or continue to receive payments for benefits earned on or prior to April 30, 2010 upon reaching retirement age. 

The company also maintains a retirement benefit agreement with its Chairman. The retirement benefits are based upon a percentage of the Chairman’s final base salary. 

(b) 401K Savings Plans

The company maintains two separate defined contribution 401K savings plans covering all employees in the United States. These two plans separately cover the union employees at the Elgin, Illinois facility and all other remaining union and non-union employees in the United States. The company makes profit sharing contributions to the various plans in accordance with the requirements of the plan. Profit sharing contributions for the Elgin Union 401K savings plans are made in accordance with the agreement.

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14) Subsequent Event

On August 7, 2012, the company entered into a new senior secured multi-currency credit facility. Terms of the new credit agreement provide for $1.0 billion of availability under a revolving credit line. The revolving credit facility will terminate and all amounts outstanding thereunder will be due and payable in August of 2017. On August 7, 2012, the company borrowed approximately $272.1 million to refinance the balances under the company’s previous credit facility. Under the credit facility, borrowings assessed at an interest rate of LIBOR plus a credit margin, which fluctuates based on the company's leverage covenant, or the higher of the Prime Rate and the Federal Funds Rate. At the inception of the new credit facility, company borrowings will be assessed at an interest rate of LIBOR plus 1.50%.

The terms of the new senior secured credit facility limit the paying of dividends, capital expenditures and leases, and require, among other things, a maximum ratio of indebtedness to earnings before interest, taxes, depreciation and amortization (“EBITDA”) of 3.5 and a minimum EBITDA to fixed charges ratio of 1.25. The credit agreement also provides that if a material adverse change in the company’s business operations or conditions occurs, the lender could declare an event of default. Under terms of the agreement, a material adverse effect is defined as (a) a material adverse change in, or a material adverse effect upon, the operations, business properties, condition (financial and otherwise) or prospects of the company and its subsidiaries taken as a whole; (b) a material impairment of the ability of the company to perform under the loan agreements and to avoid any event of default; or (c) a material adverse effect upon the legality, validity, binding effect or enforceability against the company of any loan document. A material adverse effect is determined on a subjective basis by the company's creditors. The credit facility is secured by the capital stock of the company’s domestic subsidiaries, 65.0% of the capital stock of the company’s foreign subsidiaries and substantially all other assets of the company.

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Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations.

Informational Notes

This report contains forward-looking statements subject to the safe harbor created by the Private Securities Litigation Reform Act of 1995. The company cautions readers that these projections are based upon future results or events and are highly dependent upon a variety of important factors which could cause such results or events to differ materially from any forward-looking statements which may be deemed to have been made in this report, or which are otherwise made by or on behalf of the company. Such factors include, but are not limited to, volatility in earnings resulting from goodwill impairment losses which may occur irregularly and in varying amounts; variability in financing costs; quarterly variations in operating results; dependence on key customers; international exposure; foreign exchange and political risks affecting international sales; ability to protect trademarks, copyrights and other intellectual property; changing market conditions; the impact of competitive products and pricing; the timely development and market acceptance of the company’s products; the availability and cost of raw materials; and other risks detailed herein and from time-to-time in the company’s Securities and Exchange Commission (“SEC”) filings, including the company’s 2011 Annual Report on Form 10-K.

Net Sales Summary

(dollars in thousands)

	Three Months Ended								Six Months Ended
	Jun 30, 2012				Jul 2, 2011				Jun 30, 2012				Jul 2, 2011
	Sales		Percent		Sales		Percent		Sales		Percent		Sales		Percent
Business Segments:
Commercial Foodservice	$	196,546	75.6	%	$	178,271	84.5	%	$	374,816	76.7	%	$	332,004	84.4	%
Food Processing	63,494		24.4	%	32,584		15.5	%	114,047		23.3	%	61,423		15.6	%
Total	$	260,040	100.0	%	$	210,855	100.0	%	$	488,863	100.0	%	$	393,427	100.0	%

Results of Operations

The following table sets forth certain consolidated statements of earnings items as a percentage of net sales for the periods.

	Three Months Ended				Six Months Ended
	Jun 30, 2012		Jul 2, 2011		Jun 30, 2012		Jul 2, 2011
Net sales	100.0	%	100.0 %		100.0	%	100.0 %
Cost of sales	60.8	%	59.5	%	61.3	%	60.1	%
Gross profit	39.2	%	40.5	%	38.7	%	39.9	%
Selling, general and administrative expenses	21.8	%	23.8	%	21.9	%	23.0	%
Income from operations	17.4	%	16.7	%	16.8	%	16.9	%
Net interest expense and deferred financing amortization	0.7	%	1.0	%	0.8	%	1.1	%
Other (income) expense, net	(0.1	)%	0.8	%	0.2	%	0.3	%
Earnings before income taxes	16.8	%	14.9	%	15.8	%	15.5	%
Provision for income taxes	4.9	%	5.6	%	4.9	%	6.0	%
Net earnings	11.9	%	9.3	%	10.9	%	9.5	%

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Three Months EndedJune 30, 2012 Compared to Three Months EndedJuly 2, 2011

NET SALES. Net sales for the second quarter of fiscal 2012 were $260.0 million as compared to $210.9 million in the second quarter of 2011. The increase in net sales of $38.8 million, or 18.4%, was attributable to acquisition growth, resulting from the fiscal 2011 acquisitions of Lincat, Danfotech, Maurer, Auto-Bake, Drake and Armor Inox and the fiscal 2012 acquisition of Baker. Excluding acquisitions, net sales increased $10.3 million, or 4.9%, from the prior year, reflecting a net sales increase of 5.4% at the Commercial Foodservice Equipment Group and an increase of 2.1% at the Food Processing Equipment Group.

• Net sales of the Commercial Foodservice Equipment Group increased by $18.2 million, or 10.2%, to $196.5 million million in the second quarter of 2012 as compared to $178.3 million in the prior year quarter. Net sales resulting from the acquisition of Lincat, which was acquired on May 27, 2011, accounted for an increase of $8.6 million during the second quarter of 2012. Excluding the impact of these acquisitions, net sales of Commercial Foodservice Equipment increased by $9.6 million, or 5.4%, as compared to the prior year quarter. International sales increased $6.4 million, or 13.7%, to $53.0 million, as compared to $46.6 million in the prior year quarter. This includes the increase of $8.6 million from the recent acquisitions, as these companies primarily have international sales. The increase in international sales reflects continued market penetration resulting from investments in the international selling organization over the past several years and growing business in emerging markets where the company is well positioned. Domestically, the company also realized a sales increase of $11.8 million, or 9.0%, to $143.5 million, as compared to $131.7 million in the prior year quarter. This increase in domestic sales includes increased sales with major restaurant chains on new product initiatives and reflects improvements in general market conditions.

• Net sales of the Food Processing Equipment Group increased by $30.9 million, or 94.8%, to $63.5 million in the second quarter of 2012 as compared to $32.6 million in the prior year quarter. Net sales resulting from the acquisitions of Danfotech, Maurer, Auto-Bake, Drake, Armor Inox and Baker, which were acquired on July 5, 2011, July 22, 2011, August 1, 2011, December 2, 2011, December 21, 2011 and March 14, 2012, respectively, accounted for an increase of $30.2 million during the second quarter of 2012. Excluding the impact of these acquisitions, net sales of Food Processing Equipment increased by $0.7 million, or 2.1%, as compared to the prior year quarter. International sales increased by $20.8 million, or 236.4%, to $29.6 million, as compared to $8.8 million in the prior year quarter. This includes an increase of $16.8 million from the recent acquisitions. Domestically, the company also realized a sales increase of $10.1 million, or 42.4%, to $33.9 million, as compared to $23.8 million in the prior year quarter. This includes an increase of $13.3 million from the recent acquisitions.The increase in sales, both international and domestic, is reflective of the strong order backlog at the end of 2011.

GROSS PROFIT. Gross profit increased to $101.8 million in the second quarter of 2012 from $85.3 million in the prior year period, reflecting the impact of higher sales volumes. The gross margin rate decreased from 40.5% in the second quarter of 2011 to 39.2% in the second quarter of 2012. The net decrease in the gross margin rate reflects the impact of lower margins at certain of the newly acquired companies and an unfavorable sales mix offset in part by the impact of increased sales volumes.

• Gross profit at the Commercial Foodservice Equipment Group increased by $7.7 million, or 10.5%, to $80.8 million million in the second quarter of 2012 as compared to $73.1 million in the prior year quarter. The gross margin rate was relatively consistent at 41.1% as compared to 41.0% in the prior year quarter. Gross profit from the acquisition of Lincat, which was acquired during fiscal 2011, accounted for approximately $3.5 million of the increase in gross profit during the quarter. Excluding the recent acquisitions, the gross profit increased by approximately $4.2 million on higher sales volumes.

• Gross profit at the Food Processing Equipment Group increased by $10.0 million, or 82.0%, to $22.2 million in the second quarter of 2012 as compared to $12.2 million in prior year quarter. The gross margin rate declined to 35.0% as compared to 37.4% in the prior year quarter due to lower margins at recently acquired companies. Gross profit from the acquisitions of Danfotech, Maurer, Auto-Bake, Drake, Armor Inox and Baker, accounted for approximately $9.5 million of the increase. Excluding the recent acquisition, the gross profit increased by approximately $0.5 million.

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SELLING, GENERAL AND ADMINISTRATIVE EXPENSES. Combined selling, general, and administrative expenses increased from $50.1 million in the second quarter of 2011 to $56.5 million in the second quarter of 2012. As a percentage of net sales, operating expenses were 23.8% in the second quarter of 2011 as compared to 21.8% in the second quarter of 2012. Selling expenses increased from $21.6 million in the second quarter of 2011 to $28.3 million in the second quarter of 2012. Selling expenses reflect increased costs of $4.7 million associated with the Lincat, Danfotech, Maurer, Auto-Bake, Drake, Armor Inox and Baker acquisitions. Additionally, expenses increased $0.8 million due to sales incentive programs and $0.5 million related to higher commissions and bonuses on higher sales volumes. General and administrative expenses decreased from $28.5 million in the second quarter of 2011 to $28.2 million in the second quarter of 2012. General and administrative expenses reflect $3.9 million of increased costs associated with the Lincat, Danfotech, Maurer, Auto-Bake, Drake, Armor Inox and Baker acquisitions including $1.9 million of non-cash intangible amortization expense. The increase related to acquisition costs is offset by decreases of $1.9 million in incentive compensation, $1.0 million in professional fees and $0.5 million in professional services associated with acquisition related activities.

NON-OPERATING EXPENSES. Interest and deferred financing amortization costs decreased to $2.0 million in the second quarter of 2012 as compared to $2.1 million in the second quarter of 2011. Other income was $(0.4) million in the second quarter of 2012 as compared to $1.6 million of other expense in the prior year second quarter and consists primarily of foreign exchange gains and losses.

INCOME TAXES. A tax provision of $12.7 million, at an effective rate of 29.0%, was recorded during the second quarter 2012, as compared to an $11.9 million provision a 37.8% effective rate in the prior year quarter. In comparison to the prior year quarter, the tax provision reflects a lower effective rate on increased income in lower tax rate foreign jurisdictions, increased deductions related to U.S. manufacturing activities and favorable adjustments to tax reserves related to reduced state exposures.

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Six Months Ended June 30, 2012 Compared to Six Months Ended July 2, 2011

NET SALES. Net sales for the six month period ended June 30, 2012 were $488.9 million as compared to $393.4 million in the six month period ended July 2, 2011. The increase in net sales of $75.2 million, or 19.1%, was attributable to acquisition growth, resulting from the fiscal 2011 acquisitions of Beech, Lincat, Danfotech, Maurer, Auto-Bake, Drake and Armor Inox and the fiscal 2012 acquisition of Baker. Excluding acquisitions, net sales increased $20.2 million, or 5.1%, from the prior year, reflecting a net sales increase of 5.8% at the Commercial Foodservice Equipment Group and an increase of 1.8% at the Food Processing Equipment Group.

• Net sales of the Commercial Foodservice Equipment Group increased by $42.8 million, or 12.9%, to $374.8 million in the six month period ended June 30, 2012 as compared to $332.0 million in the prior period. Net sales resulting from the acquisitions of Beech and Lincat, which were acquired on April 12, 2011 and May 27, 2011, respectively, accounted for an increase of $23.7 million during the six month period ended June 30, 2012. Excluding the impact of these acquisitions, net sales of Commercial Foodservice Equipment increased by $19.1 million, or 5.8%, as compared to the prior period. International sales increased $22.1 million, or 27.3%, to $103.2 million, as compared to $81.1 million in the prior period. This includes the increase of $23.7 million from the recent acquisitions, as these companies primarily have international sales. The increase in international sales reflects continued market penetration resulting from investments in the international selling organization over the past several years and growing business in emerging markets where the company is well positioned. Domestically, the company also realized a sales increase of $20.7 million, or 8.3%, to $271.6 million, as compared to $250.9 million in the prior period. This increase in domestic sales includes increased sales with major restaurant chains on new product initiatives and reflects improvements in general market conditions.

• Net sales of the Food Processing Equipment Group increased by $52.6 million, or 85.7%, to $114.0 million in the six month period ended June 30, 2012 as compared to $61.4 million in the prior period. Net sales resulting from the acquisitions of Danfotech, Maurer, Auto-Bake, Drake, Armor Inox and Baker, which were acquired on July 5, 2011, July 22, 2011, August 1, 2011, December 2, 2011, December 21, 2011 and March 14, 2012, respectively, accounted for an increase of $51.5 million during the six month period ended June 30, 2012. Excluding the impact of these acquisitions, net sales of Food Processing Equipment increased by $1.1 million, or 1.8%, as compared to the prior period. International sales increased by $35.0 million, or 217.4%, to $51.1 million, as compared to $16.1 million in the prior period. This includes an increase of $28.0 million from the recent acquisitions. Domestically, the company also realized a sales increase of $17.6 million, or 38.9%, to $62.9 million, as compared to $45.3 million in the prior year quarter. The increase in sales, both international and domestic, is reflective of the strong order backlog at the end of 2011.

GROSS PROFIT. Gross profit increased to $189.3 million in the six month period ended June 30, 2012 from $157.2 million in the prior year period, reflecting the impact of higher sales volumes. The gross margin rate decreased from 39.9% in the six month period end July 2, 2011 to 38.7% in the current year period. The net decrease in the gross margin rate reflects the impact of lower margins at certain of the newly acquired companies and an unfavorable sales mix offset in part by the impact of increased sales volumes.

• Gross profit at the Commercial Foodservice Equipment Group increased by $17.0 million, or 12.6%, to $152.0 million in the six month period ended June 30, 2012 as compared to $135.0 million in the prior year period. The gross margin rate was relatively consistent at 40.6% as compared to 40.7% in the prior year period. Gross profit from the acquisitions of Beech and Lincat, which were acquired during fiscal 2011, accounted for approximately $9.1 million of the increase in gross profit during the period. Excluding the recent acquisitions, the gross profit increased by approximately $7.9 million on higher sales volumes.

• Gross profit at the Food Processing Equipment Group increased by $16.9 million, or 75.8%, to $39.2 million in the six month period ended June 30, 2012 as compared to $22.3 million in prior year period. The gross margin rate declined to 34.4% as compared to 36.3% in the prior year period due to lower margins at recently acquired companies. Gross profit from the acquisitions of Danfotech, Maurer, Auto-Bake, Drake, Armor Inox and Baker, accounted for approximately $16.9 million of the increase.

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SELLING, GENERAL AND ADMINISTRATIVE EXPENSES. Combined selling, general, and administrative expenses increased from $90.5 million in the six month period ended July 2, 2011 to $107.3 million in the six month period ended June 30, 2012. As a percentage of net sales, operating expenses were 23.0% in the six month period ended July 2, 2011 as compared to 21.9% in the six month period ended June 30, 2012. Selling expenses increased from $42.1 million in the six month period ended July 2, 2011 to $53.4 million in the six month period ended June 30, 2012. Selling expenses reflect increased costs of $9.1 million associated with the Beech, Lincat, Danfotech, Maurer, Auto-Bake, Drake, Armor Inox and Baker acquisitions. Additionally, expenses increased $1.0 million due to sales incentive programs and $0.9 million related to higher commissions and bonuses on higher sales volumes. General and administrative expenses increased from $48.4 million in the six month period ended July 2, 2011 to $53.9 million in the six month period ended June 30, 2012. General and administrative expenses reflect $9.2 million of increased costs associated with the Beech, Lincat, Danfotech, Maurer, Auto-Bake, Drake, Armor Inox and Baker acquisitions including $4.0 million of non-cash intangible amortization expense. The increase related to acquisition costs is offset by a decreases of $0.8 million in incentive compensation, $0.5 million in professional fees, $0.5 million in professional services associated with acquisition related activities and $1.0 million in reduction to acquisition related future earnout payments.

NON-OPERATING EXPENSES. Interest and deferred financing amortization costs were $4.1 million in the six month period ended June 30, 2012 as compared to $4.2 million in the prior period. Other expense was $0.9 million in the six month period ended June 30, 2012 as compared to $1.4 million of other income in the prior year period and consists primarily of foreign exchange gains and losses.

INCOME TAXES. A tax provision of $23.9 million, at an effective rate of 31.0%, was recorded during the six month period ended June 30, 2012, as compared to a $23.5 million provision at a 38.6% effective rate in the prior year period. In comparison to the prior year period, the tax provision reflects a lower effective rate on increased income in lower tax rate foreign jurisdictions, increased deductions related to U.S. manufacturing activities and favorable adjustments to tax reserves related to reduced state exposures.

Financial Condition and Liquidity

During the six months ended June 30, 2012, cash and cash equivalents decreased by $5.0 million to $35.2 million at June 30, 2012 from $40.2 million at December 31, 2011. Net borrowings decreased from $317.3 million at December 31, 2011 to $274.2 million at June 30, 2012.

OPERATING ACTIVITIES. Net cash provided by operating activities was $54.3 million for the six months endedJune 30, 2012 compared to $29.7 million for the six months endedJuly 2, 2011 due primarily to increased earnings.

During the six months endedJune 30, 2012, working capital levels changed due to increased working capital needs. These changes in working capital levels included a $5.7 millionincrease in inventory, due to several factors including increased order rates, increased inventory levels during build out periods in conjunction with plant consolidation efforts and higher levels of stock associated with foreign sourcing initiatives. Accounts receivable decreased$10.5 million due to the seasonal impact of lower sales volumes in the second quarter and lower receivable balances at the Food Processing Group due to the timing of projects which are often paid in advance. Changes in working capital levels also included an $8.1 millionincrease in prepaid expenses and other assets, $3.0 millionincrease in accounts payable and $20.5 milliondecrease in accrued expenses and other non-current liabilities.

INVESTING ACTIVITIES. During the six months endedJune 30, 2012, net cash used in investing activities included $10.0 million related to the 2012 acquisition of Baker and prior year acquisitions of CookTek, Danfotech and Drake along with $3.1 million of additions and upgrades of production equipment and manufacturing facilities.

FINANCING ACTIVITIES. Net cash flows used by financing activities were $45.2 million during the six months endedJune 30, 2012. The company’s borrowing activities included $42.3 million of net repayments under its $600.0 million revolving credit facility and $0.6 million of net repayments of foreign borrowings.

The company used $14.5 million to repurchase 148,677 shares of its common stock that were surrendered to the company by employees in lieu of cash for payment for withholding taxes related to restricted stock vestings and stock option exercises that occurred during the six months endedJune 30, 2012.

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At June 30, 2012, the company was in compliance with all covenants pursuant to its borrowing agreements. The company believes that its current capital resources, including cash and cash equivalents, cash generated from operations, funds available from its revolving credit facility and access to the credit and capital markets will be sufficient to finance its operations, debt service obligations, capital expenditures, acquisitions, product development and integration expenditures for the foreseeable future.

Subsequent to the end of the second quarter, the company entered into a new senior secured multi-currency credit facility. See Note 14 to the the Notes to the Condensed Consolidated Financial Statements for further information.

Recently Issued Accounting Standards

In May 2011, the FASB issued ASU No. 2011-04, “Amendments to Achieve Common Fair Value Measurement and Disclosure Requirements in U.S. GAAP and IFRSs.” This update provides clarification on existing fair value measurement requirements, amends existing guidance primarily related to fair value measurements for financial instruments, and requires enhanced disclosures on fair value measurements. The additional disclosures are specific to Level 3 fair value measurements, transfers between Level 1 and Level 2 of the fair value hierarchy, financial instruments not measured at fair value and use of an asset measured or disclosed at fair value differing from its highest and best use. The company adopted the provisions of ASU No. 2011-04 on January 1, 2012.  There was no impact to the company’s financial position, results of operations or cash flows.

In June 2011 and December 2011, the FASB issued ASU No. 2011-05, “Presentation of Comprehensive Income” and ASU No. 2011-12, “Deferral of the Effective Date for Amendments to the Presentation of Reclassifications of Items Out of Accumulated Other Comprehensive Income in Accounting Standards Update No. 2011-05”, respectively.  ASU No. 2011-05 eliminated the option to present the components of other comprehensive income in the statement of changes in stockholders’ equity. Instead, entities have the option to present the components of net income, the components of other comprehensive income and total comprehensive income in a single continuous statement or in two separate but consecutive statements. The guidance does not change the items reported in other comprehensive income or when an item of other comprehensive income is reclassified to net income. The company adopted the provisions of ASU No. 2011-05 on January 1, 2012.  As this guidance only revises the presentation of comprehensive income, there was no impact to the company’s financial position, results of operations or cash flows.  For interim reporting purposes, the company has elected to present comprehensive income in a single continuous statement now referred to as the Condensed Consolidated Statements of Comprehensive Income.

In September 2011, the FASB issued ASU No. 2011-08, “Intangibles – Goodwill and Other (Topic 350).” This ASU will allow an entity the option to make a qualitative evaluation about the likelihood of goodwill impairment to determine whether it should calculate the fair value of a reporting unit. The ASU also amends previous guidance by expanding upon the examples of events and circumstances that an entity should consider between annual impairment tests in determining whether it is more likely than not that the fair value of a reporting unit is less than its carrying amount. Also, the ASU provides additional examples of events and circumstances that an entity having a reporting unit with a zero or negative carrying amount should consider in determining whether to measure an impairment loss, if any, under the second step of the goodwill impairment test. The company adopted the provisions of ASU 2011-08 on January 1, 2012. There was no impact to the company’s financial position, results of operation or cash flows. The company will determine whether to apply the qualitative evaluation allowed under this ASU in connection with the company’s annual goodwill impairment test. 

On July 27, 2012, the FASB issued ASU 2012-02, “Intangibles - Goodwill and Other (Topic 350)”. Similar to ASU 2011-08, this ASU amends the guidance in ASC 350-30. While ASU 2011-08 allows an entity the option to make a qualitative evaluation about the likelihood of goodwill impairment to determine whether it should calculate the fair value of a reporting unit, ASU-2012-02 allows an entity the option to make a qualitative evaluation to determine whether the existence of events and circumstances indicate that it is more likely than not the indefinite-lived intangible asset is impaired thus requiring the entity to perform quantitative impairment tests in accordance with ASC 350-30. The ASU also amends previous guidance by expanding upon the examples of events and circumstances that an entity should consider when making the qualitative evaluation. The company is currently evaluating its adoption approach to this guidance.

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Critical Accounting Policies and Estimates

Management's discussion and analysis of financial condition and results of operations are based upon the company's consolidated financial statements, which have been prepared in accordance with accounting principles generally accepted in the United States. The preparation of these financial statements requires the company to make significant estimates and judgments that affect the reported amounts of assets, liabilities, revenues and expenses as well as related disclosures. On an ongoing basis, the company evaluates its estimates and judgments based on historical experience and various other factors that are believed to be reasonable under the circumstances. Actual results may differ from these estimates under different assumptions or conditions and any such differences could be material to our consolidated financial statements. 

Revenue Recognition. At the Commercial Foodservice Group, the company recognizes revenue on the sale of its products when risk of loss has passed to the customer, which occurs at the time of shipment, and collectibility is reasonably assured. The sale prices of the products sold are fixed and determinable at the time of shipment. Sales are reported net of sales returns, sales incentives and cash discounts based on prior experience and other quantitative and qualitative factors.

At the Food Processing Equipment Group, the company enters into long-term sales contracts for certain products that are often significant relative to the business. Revenue under these long-term sales contracts is recognized using the percentage of completion method defined within ASC 605-35 “Construction-Type and Production-Type Contracts” due to the length of time to fully manufacture and assemble the equipment. The company measures revenue recognized based on the ratio of actual labor hours incurred in relation to the total estimated labor hours to be incurred related to the contract. Because estimated labor hours to complete a project are based upon forecasts using the best available information, the actual hours may differ from original estimates. The percentage of completion method of accounting for these contracts most accurately reflects the status of these uncompleted contracts in the company's financial statements and most accurately measures the matching of revenues with expenses. At the time a loss on a contract becomes known, the amount of the estimated loss is recognized in the consolidated financial statements. Revenue for sales of products and services not covered by long-term sales contracts are recognized risk of loss has passed to the customer, which occurs at the time of shipment, and collectibility is reasonably assured. The sale prices of the products sold are fixed and determinable at the time of shipment. Sales are reported net of sales returns, sales incentives and cash discounts based on prior experience and other quantitative and qualitative factors.

Inventories. Inventories are stated at the lower of cost or market using the first-in, first-out method for the majority of the company’s inventories.  The company evaluates the need to record valuation adjustments for inventory on a regular basis.  The company’s policy is to evaluate all inventories including raw material, work-in-process, finished goods, and spare parts.  Inventory in excess of estimated usage requirements is written down to its estimated net realizable value.  Inherent in the estimates of net realizable value are estimates related to our future manufacturing schedules, customer demand, possible alternative uses, and ultimate realization of potentially excess inventory. 

Goodwill and Other Intangibles. The company’s business acquisitions result in the recognition of goodwill and other intangible assets, which are a significant portion of the company’s total assets. The company recognizes goodwill and other intangible assets under the guidance of ASC Topic 350-10, “Intangibles — Goodwill and Other.”  Goodwill represents the excess of acquisition costs over the fair value of the net tangible assets and identifiable intangible assets acquired in a business combination. Identifiable intangible assets are recognized separately from goodwill and include trademarks and trade names, technology, customer relationships and other specifically identifiable assets.  Trademarks and trade names are deemed to be indefinite-lived. Goodwill and indefinite-lived intangible assets are not amortized, but are subject to impairment testing. On an annual basis, or more frequently if triggering events occur, the company compares the estimated fair value to the carrying value to determine if a potential goodwill impairment exists. If the fair value is less than its carrying value, an impairment loss, if any, is recorded for the difference between the implied fair value and the carrying value of goodwill. In estimating the fair value of specific intangible assets, management relies on a number of factors, including operating results, business plans, economic projections, anticipated future cash flows, comparable transactions and other market data. There are inherent uncertainties related to these factors and management’s judgment in applying them in the impairment tests of goodwill and other intangible assets. 

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Income Taxes. The company provides deferred income tax assets and liabilities based on the estimated future tax effects of differences between the financial and tax bases of assets and liabilities based on currently enacted tax laws. The company’s deferred and other tax balances are based on management’s interpretation of the tax regulations and rulings in numerous taxing jurisdictions. Income tax expense and liabilities recognized by the company also reflect its best estimates and assumptions regarding, among other things, the level of future taxable income, the effect of the Company’s various tax planning strategies and uncertain tax positions. Future tax authority rulings and changes in tax laws, changes in projected levels of taxable income and future tax planning strategies could affect the actual effective tax rate and tax balances recorded by the company. The company follows the provisions under ASC 740-10-25 that provides a recognition threshold and measurement criteria for the financial statement recognition of a tax benefit taken or expected to be taken in a tax return. Tax benefits are recognized only when it is more likely than not, based on the technical merits, that the benefits will be sustained on examination. Tax benefits that meet the more-likely-than-not recognition threshold are measured using a probability weighting of the largest amount of tax benefit that has greater than 50% likelihood of being realized upon settlement. Whether the more-likely-than-not recognition threshold is met for a particular tax benefit is a matter of judgment based on the individual facts and circumstances evaluated in light of all available evidence as of the balance sheet date.

Contractual Obligations

The company's contractual cash payment obligations as of June 30, 2012 are set forth below (in thousands):

	Amounts Due Sellers From Acquisitions		Debt		Estimated Interest on Debt		Operating Leases		Idle Facility Lease		Total Contractual Cash Obligations
Less than 1 year	$	2,017	$	5,696	$	3,523	$	5,555	$	252	$	17,043
1-3 years	—		228		254		7,387		—		7,869
3-5 years	—		250		143		2,912		—		3,305
After 5 years	—		268,025		17		1,405		—		269,447
	$	2,017	$	274,199	$	3,937	$	17,259	$	252	$	297,664

The company has obligations to make $2.0 million of purchase price payments to the sellers of CookTek and Danfotech that were deferred in conjunction with the acquisition.

As of June 30, 2012, the company had $267.1 million outstanding under its revolving credit line as part of its senior credit agreement. The average interest rate on this debt amounted to 1.26% at June 30, 2012. This facility matures on 2012-12-28. As of June 30, 2012, the company also has $7.1 million of debt outstanding under various foreign credit facilities. The estimated interest payments reflected in the table above assume that the level of debt and average interest rate on the company’s revolving credit line under its senior credit agreement does not change until the facility reaches maturity in December 2012. The estimated payments also assume that relative to the company’s foreign borrowings: all scheduled term loan payments are made; the level of borrowings does not change; and the average interest rates remain at their June 30, 2012 rates. Also reflected in the table above is $1.0 million of payments to be made related to the company’s interest rate swap agreements in 2012.

Idle facility lease consists of an obligation for a manufacturing location that was exited in conjunction with the company's manufacturing consolidation efforts. This lease obligation continues through June 2012. The obligations presented above do not reflect any anticipated sublease income from the facilities.

The company’s projected benefit obligation under its defined benefit plans exceeded the plans’ assets by $22.6 million at the end of 2011.  The unfunded benefit obligations were comprised of a $1.6 million underfunding of the company's union plan, $7.4 million underfunding of the company’s Smithville plan, which was acquired as part of the Star acquisition, $2.2 million underfunding of the company’s Wrexham plan, which was acquired as part of the Lincat acquisition, and $11.4 million underfunding of the company's director plans.  The company expects to continue to make minimum contributions to the Smithville and union plans as required by ERISA, of $0.3 million and $0.1 million, respectively, in 2012.  The company expects to contribute $0.5 million to the Wrexham plan in 2012.

The company places purchase orders with its suppliers in the ordinary course of business. These purchase orders are generally to fulfill short-term manufacturing requirements of less than 90 days and most are cancelable with a restocking penalty. The company has no long-term purchase contracts or minimum purchase obligations with any supplier.

The company has no activities, obligations or exposures associated with off-balance sheet arrangements.

32

Item 3.   Quantitative and Qualitative Disclosures About Market Risk 

Interest Rate Risk

The company is exposed to market risk related to changes in interest rates. The following table summarizes the maturity of the company’s debt obligations.

Twelve Month Period Ending	Fixed Rate Debt		Variable Rate Debt
	(in thousands)
June 30, 2013	$	—	$	5,696
June 30, 2014	—		112
June 30, 2015	—		116
June 30, 2016	—		122
June 30, 2017 and thereafter	—		268,153
	$	—	$	274,199

Terms of the company’s senior credit agreement provide for $600.0 million of availability under a revolving credit line. As of June 30, 2012, the company had $267.1 million of borrowings outstanding under this facility. The company also has $5.6 million in outstanding letters of credit as of June 30, 2012, which reduces the borrowing availability under the revolving credit line. Remaining borrowing availability under this facility, which is also reduced by the company’s foreign borrowings, was $320.2 million at June 30, 2012.

At June 30, 2012, borrowings under the senior secured credit facility are assessed at an interest rate 1.00% above LIBOR for long-term borrowings or at the higher of the Prime rate and the Federal Funds Rate. At June 30, 2012 the average interest rate on the senior debt amounted to 1.26%. The interest rates on borrowings under the senior secured credit facility may be adjusted quarterly based on the company’s indebtedness ratio on a rolling four-quarter basis. Additionally, a commitment fee, based upon the indebtedness ratio is charged on the unused portion of the revolving credit line. This variable commitment fee amounted to 0.20% as of June 30, 2012.

In August 2006, the company completed its acquisition of Houno A/S in Denmark. This acquisition was funded in part with locally established debt facilities with borrowings in Danish Krone.  On June 30, 2012 these facilities amounted to $3.0 million in U.S. dollars, including $1.5 million outstanding under a revolving credit facility and $1.5 million of a term loan.  The interest rate on the revolving credit facility is assessed at 1.25% above Euro LIBOR, which amounted to 4.63% on June 30, 2012. The term loan matures in 2013 and the interest rate is assessed at 4.55%. 

In April 2008, the company completed its acquisition of Giga Grandi Cucine S.r.l in Italy. This acquisition was funded in part with locally established debt facilities with borrowings denominated in Euro.  On June 30, 2012 these facilities amounted to $3.7 million in U.S. dollars.  The interest rate on the credit facilities is variable based on the three-month Euro LIBOR. At June 30, 2012, the average interest rate on these facilities was approximately 4.15%. The facilities mature in April 2015.

In December 2011, the company completed its acquisition of Armor Inox in France. This acquisition was funded in part with locally established debt facilities with borrowings denominated in Euro.  On March 31, 2011, these facilities amounted to $0.4 million in U.S. dollars.   The interest rate on the credit facilities is variable based on the six-month Euro LIBOR. The facilities mature in April 2015. At June 30, 2012, the average interest rate on these facilities was approximately 1.70%.

The company believes that its current capital resources, including cash and cash equivalents, cash generated from operations, funds available from its revolving credit facility and access to the credit and capital markets will be sufficient to finance its operations, debt service obligations, capital expenditures, product development and integration expenditures for the foreseeable future.

33

The company has historically entered into interest rate swap agreements to effectively fix the interest rate on a portion of its outstanding debt. The agreements swap one-month LIBOR for fixed rates. As of June 30, 2012 the company had the following interest rate swaps in effect:

	Fixed
Notional	Interest	Effective	Maturity
Amount	Rate	Date	Date
$20,000,000	1.800%	11/23/09	11/23/12
20,000,000	1.560%	03/11/10	12/11/12
15,000,000	0.950%	08/06/10	12/06/12
25,000,000	1.610%	02/23/11	02/24/14
25,000,000	2.520%	02/23/11	02/23/16
25,000,000	0.975%	07/18/11	07/18/14
15,000,000	1.185%	09/12/11	09/12/16
15,000,000	0.620%	09/12/11	09/11/14

The terms of the senior secured credit facility limit the paying of dividends, capital expenditures and leases, and require, among other things, a maximum ratio of indebtedness to earnings before interest, taxes, depreciation and amortization (“EBITDA”) of 3.5 and a minimum EBITDA to fixed charges ratio of 1.25. The credit agreement also provides that if a material adverse change in the company’s business operations or conditions occurs, the lender could declare an event of default. Under terms of the agreement a material adverse effect is defined as (a) a material adverse change in, or a material adverse effect upon, the operations, business properties, condition (financial and otherwise) or prospects of the company and its subsidiaries taken as a whole; (b) a material impairment of the ability of the company to perform under the loan agreements and to avoid any event of default; or (c) a material adverse effect upon the legality, validity, binding effect or enforceability against the company of any loan document. A material adverse effect is determined on a subjective basis by the company's creditors. The credit facility is secured by the capital stock of the company’s domestic subsidiaries, 65% of the capital stock of the company’s foreign subsidiaries and substantially all other assets of the company. At June 30, 2012, the company was in compliance with all covenants pursuant to its borrowing agreements.

Subsequent to the end of the second quarter, the company entered into a new senior secured multi-currency credit facility. See Note 14 to the the Notes to the Condensed Consolidated Financial Statements for further information.

Financing Derivative Instruments

The company has entered into interest rate swaps to fix the interest rate applicable to certain of its variable-rate debt. The agreements swap one-month LIBOR for fixed rates. The company has designated these swaps as cash flow hedges and all changes in fair value of the swaps are recognized in accumulated other comprehensive income. As of June 30, 2012, the fair value of these instruments was a liability of $3.3 million. The change in fair value of these swap agreements in the first three months of 2011 was a loss of $0.1 million, net of taxes.

34

Foreign Exchange Derivative Financial Instruments

The company uses foreign currency forward purchase and sale contracts with terms of less than one year to hedge its exposure to changes in foreign currency exchange rates. The company’s primary hedging activities are to mitigate its exposure to changes in exchange rates on intercompany and third party trade receivables and payables. The company does not currently enter into derivative financial instruments for speculative purposes. In managing its foreign currency exposures, the company identifies and aggregates naturally occurring offsetting positions and then hedges residual balance sheet exposures. The following table summarizes the forward contracts outstanding at June 30, 2012. The fair value of the forward contracts was a liability of $0.4 million at the end of the second quarter of 2012.

Sell		Purchase		Maturity
15,000,000	British Pounds	18,537,000	Euro Dollars	September 28, 2012
10,000,000	British Pounds	12,461,000	Euro Dollars	September 28, 2012
3,000,000	British Pounds	4,641,000	US Dollars	September 28, 2012
4,000,000	Canadian Dollars	3,860,000	US Dollars	September 28, 2012
30,000,000	Euro Dollars	37,290,000	US Dollars	September 28, 2012
20,000,000	Mexican Pesos	1,452,000	US Dollars	September 28, 2012

35

Item 4. Controls and Procedures

The company maintains disclosure controls and procedures that are designed to ensure that information required to be disclosed in the company's Exchange Act reports is recorded, processed, summarized and reported within the time periods specified in the SEC's rules and forms, and that such information is accumulated and communicated to the company's management, including its Chief Executive Officer and Chief Financial Officer, as appropriate, to allow timely decisions regarding required disclosure.

As of June 30, 2012, the company carried out an evaluation, under the supervision and with the participation of the company's management, including the company's Chief Executive Officer and Chief Financial Officer, of the effectiveness of the company's disclosure controls and procedures. Based on the foregoing, the company's Chief Executive Officer and Chief Financial Officer concluded that the company's disclosure controls and procedures were effective as of the end of this period. 

During the quarter ended June 30, 2012, there has been no change in the company's internal control over financial reporting that has materially affected, or is reasonably likely to materially affect, the company's internal control over financial reporting.

36

PART II. OTHER INFORMATION

The company was not required to report the information pursuant to Items 1 through 6 of Part II of Form 10-Q for the six months endedJune 30, 2012, except as follows:

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds

c) Issuer Purchases of Equity Securities

	Total Number of Shares Purchased	Average Price Paid per Share		Total Number of Shares Purchased as Part of Publicly Announced Plan or Program	Maximum Number of Shares that May Yet be Purchased Under the Plan or Program
April 1 to April 28, 2012	34,599	$	99.00	34,599	111,140
April 29, to May 26, 2012	—	—		—	111,140
May 27 to June 30, 2012	—	—		—	111,140
Quarter ended June 30, 2012	34,599	$	99.00	34,599	111,140

In July 1998, the company's Board of Directors adopted a stock repurchase program that authorized the purchase of common shares in open market purchases. As of June 30, 2012, 1,688,860 shares had been purchased under the 1998 stock repurchase program.   

37

Item 6. Exhibits

Exhibits – The following exhibits are filed herewith:
Exhibit 31.1 –	Rule 13a-14(a)/15d -14(a) Certification of the Chief Executive Officer as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
Exhibit 31.2 –	Rule 13a-14(a)/15d -14(a) Certification of the Chief Financial Officer as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
Exhibit 32.1 –	Certification by the Principal Executive Officer of The Middleby Corporation Pursuant to Rule 13A-14(b) under the Exchange Act and Section 906 of the Sarbanes-Oxley Act of 2002(18 U.S.C. 1350).
Exhibit 32.2 –	Certification by the Principal Financial Officer of The Middleby Corporation Pursuant to Rule 13A-14(b) under the Exchange Act and Section 906 of the Sarbanes-Oxley Act of 2002(18 U.S.C. 1350).
Exhibit 101 –	Financial statements on Form 10-Q for the quarter ended June 30, 2012, filed on August 9, 2012, formatted in Extensive Business Reporting Language (XBRL); (i) condensed consolidated balance sheets, (ii) condensed consolidated statements of earnings, (iii) condensed statements of cash flows, (iv) notes to the condensed consolidated financial statements.

38

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.

		THE MIDDLEBY CORPORATION
		(Registrant)
Date:	August 9, 2012	By:	/s/  Timothy J. FitzGerald
			Timothy J. FitzGerald
			Vice President,
			Chief Financial Officer

39

EX-31.1

EXHIBIT 31.1

CERTIFICATIONS

I, Selim A. Bassoul, certify that:

1. I have reviewed this report on Form 10-Q of The Middleby 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 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 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 registrant’s board of directors (or persons performing the equivalent function):

(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 controls over financial reporting.

Date:	August 9, 2012	/s/ Selim A. Bassoul
		Selim A. Bassoul
		Chairman, President and
		Chief Executive Officer of The Middleby Corporation

EX-31.2

EXHIBIT 31.2

CERTIFICATIONS

I, Timothy J. Fitzgerald, certify that:

1. I have reviewed this report on Form 10-Q of The Middleby 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 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 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 registrant’s board of directors (or persons performing the equivalent function):

(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 controls over financial reporting.

Date:	August 9, 2012	/s/ Timothy J. FitzGerald
		Timothy J. FitzGerald
		Chief Financial Officer of The Middleby Corporation

EX-32.1

Exhibit 32.1

CERTIFICATION BY THE PRINCIPAL EXECUTIVE OFFICER OF

THE MIDDLEBY CORPORATION

PURSUANT TO RULE 13A-14(b) UNDER THE EXCHANGE ACT AND

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002 (18 U.S.C. 1350)

This certification is being furnished pursuant to Rule 13a-14(b) under the Securities Exchange Act of 1934, as amended (the "Exchange Act"), and 18 U.S.C. 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.

I, Selim A. Bassoul, Chairman, President and Chief Executive Officer (principal executive officer) of The Middleby Corporation (the “Registrant”), certify, to the best of my knowledge, based upon a review of the Quarterly Report on Form 10-Q for the period ended June 30, 2012 of the Registrant (the “Report”), that:

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

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

Date:	August 9, 2012	/s/ Selim A. Bassoul
		Selim A. Bassoul

EX-32.2

Exhibit 32.2

CERTIFICATION BY THE PRINCIPAL EXECUTIVE OFFICER OF

THE MIDDLEBY CORPORATION

PURSUANT TO RULE 13A-14(b) UNDER THE EXCHANGE ACT AND

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002 (18 U.S.C. 1350)

This certification is being furnished pursuant to Rule 13a-14(b) under the Securities Exchange Act of 1934, as amended (the "Exchange Act"), and 18 U.S.C. 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.

I, Selim A. Bassoul, Chairman, President and Chief Executive Officer (principal executive officer) of The Middleby Corporation (the “Registrant”), certify, to the best of my knowledge, based upon a review of the Quarterly Report on Form 10-Q for the period ended June 30, 2012 of the Registrant (the “Report”), that:

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

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

Date:	August 9, 2012
		/s/ Timothy J. FitzGerald
		Timothy J. FitzGerald

XML

Estimated Fair Values of Assets Acquired and Liabilities Assumed for Auto-Bake Acquisition (Details) (Auto-Bake, USD $) In Thousands, unless otherwise specified	Aug. 01, 2011
Business Acquisition [Line Items]
Cash	$ 110
Current assets	3,256
Property, plant and equipment	477
Goodwill	18,124
Other intangibles	4,058
Other assets	325
Current liabilities	(2,498)
Long-term deferred tax liability	(1,218)
Net assets acquired and liabilities assumed	22,634
as initially reported
Business Acquisition [Line Items]
Cash	110
Current assets	3,209
Property, plant and equipment	477
Goodwill	16,259
Other intangibles	6,784
Other assets	336
Current liabilities	(2,506)
Long-term deferred tax liability	(2,035)
Net assets acquired and liabilities assumed	22,634
Measurement Period Adjustments
Business Acquisition [Line Items]
Cash	0
Current assets	47
Property, plant and equipment	0
Goodwill	1,865
Other intangibles	(2,726)
Other assets	(11)
Current liabilities	8
Long-term deferred tax liability	817
Net assets acquired and liabilities assumed	$ 0

XML

Forward and Option Purchase Contracts Outstanding (Details) In Thousands, unless otherwise specified	6 Months Ended
	Jun. 30, 2012 Currency, British Pound Sterling Derivative Instrument 1 GBP (£)	Jun. 30, 2012 Currency, British Pound Sterling Derivative Instrument 2 GBP (£)	Jun. 30, 2012 Currency, British Pound Sterling Derivative Instrument 3 GBP (£)	Jun. 30, 2012 Currency, Canadian Dollar CAD	Jun. 30, 2012 Currency, Euro EUR (€)	Jun. 30, 2012 Currency, Euro Derivative Instrument 1 EUR (€)	Jun. 30, 2012 Currency, Euro Derivative Instrument 2 EUR (€)	Jun. 30, 2012 Currency, Mexican Peso MXN	Jun. 30, 2012 Currency, U.S. Dollar Derivative Instrument 1 USD ($)	Jun. 30, 2012 Currency, U.S. Dollar Derivative Instrument 2 USD ($)	Jun. 30, 2012 Currency, U.S. Dollar Derivative Instrument 3 USD ($)	Jun. 30, 2012 Currency, U.S. Dollar Derivative Instrument 4 USD ($)
Derivative [Line Items]
Forward contracts to purchase						€ 18,537,000	€ 12,461,000		$ 4,641,000	$ 3,860,000	$ 37,290,000	$ 1,452,000
Forward contracts to sell	£ 15,000,000	£ 10,000,000	£ 3,000,000	4,000,000	€ 30,000,000			20,000,000
Maturity	Sep. 28, 2012	Sep. 28, 2012	Sep. 28, 2012	Sep. 28, 2012	Sep. 28, 2012	Sep. 28, 2012	Sep. 28, 2012	Sep. 28, 2012	Sep. 28, 2012	Sep. 28, 2012	Sep. 28, 2012	Sep. 28, 2012

XML

Accrued Expenses (Details) (USD $) In Thousands, unless otherwise specified	Jun. 30, 2012	Dec. 31, 2011
Disclosure Accrued Expenses [Abstract]
Advanced customer deposits	$ 33,622	$ 33,246
Accrued payroll and related expenses	31,609	41,434
Accrued warranty	15,474	13,842
Accrued customer rebates	13,812	23,136
Accrued product liability and workers compensation	11,970	10,771
Accrued agent commission	8,607	8,668
Accrued professional services	7,316	7,497
Other accrued expenses	24,890	31,798
Accrued expenses	$ 147,300	$ 170,392

XML

Financial Instruments - Additional Information (Details) (USD $) In Millions, unless otherwise specified	6 Months Ended
	Jun. 30, 2012
Derivative [Line Items]
Fair value of interest rate swaps liability	$ 3.3
Maximum
Derivative [Line Items]
Loss in fair value of interest rate swaps	0.1
Foreign Exchange Forward
Derivative [Line Items]
Fair value of the forward contracts liability	$ (0.4)

XML

Inventories (Details) (USD $) In Thousands, unless otherwise specified	Jun. 30, 2012	Dec. 31, 2011
Schedule of Inventory [Line Items]
Raw materials and parts	$ 76,714	$ 69,576
Work-in-process	17,454	15,204
Finished goods	37,132	39,261
Inventory, Gross, Total	131,300	124,041
LIFO reserve	259	259
Inventories, net	$ 131,559	$ 124,300

XML

Financial Assets and Liabilities that are Measured At Fair Value and are Categorized Using Fair Value Hierarchy (Detail) (Fair Value, Measurements, Recurring, USD $) In Thousands, unless otherwise specified	Jun. 30, 2012	Dec. 31, 2011
Pension Plan
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items]
Financial Assets	$ 22,816	$ 22,526
Interest Rate Swap
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items]
Financial Liabilities	3,338	3,216
Contingent Consideration
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items]
Financial Liabilities	2,017	3,398
Fair Value, Inputs, Level 1 | Pension Plan
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items]
Financial Assets	21,599	21,229
Fair Value, Inputs, Level 1 | Interest Rate Swap
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items]
Financial Liabilities	0	0
Fair Value, Inputs, Level 1 | Contingent Consideration
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items]
Financial Liabilities	0	0
Fair Value, Inputs, Level 2 | Pension Plan
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items]
Financial Assets	1,217	1,297
Fair Value, Inputs, Level 2 | Interest Rate Swap
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items]
Financial Liabilities	3,338	3,216
Fair Value, Inputs, Level 2 | Contingent Consideration
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items]
Financial Liabilities	0	0
Fair Value, Inputs, Level 3 | Pension Plan
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items]
Financial Assets	0	0
Fair Value, Inputs, Level 3 | Interest Rate Swap
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items]
Financial Liabilities	0	0
Fair Value, Inputs, Level 3 | Contingent Consideration
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items]
Financial Liabilities	$ 2,017	$ 3,398

XML

Impact on Earnings from Interest Rate Swaps (Details) (Interest Rate Swap, USD $) In Thousands, unless otherwise specified	3 Months Ended		6 Months Ended
	Jun. 30, 2012	Jul. 02, 2011	Jun. 30, 2012	Jul. 02, 2011
Other Comprehensive Income
Derivative Instruments, Gain (Loss) [Line Items]
Gain/(loss) recognized in accumulated other comprehensive income	$ (701)	$ (1,286)	$ (1,152)	$ (1,920)
Interest Expense
Derivative Instruments, Gain (Loss) [Line Items]
Gain/(loss) reclassified from accumulated other comprehensive income (effective portion)	(510)	(787)	(1,017)	(1,577)
Other Expense
Derivative Instruments, Gain (Loss) [Line Items]
Gain/(loss) recognized in income (ineffective portion)	$ 14	$ (37)	$ 13	$ 3

XML

Goodwill (Tables)

6 Months Ended

Jun. 30, 2012

Notes To Financial Statements [Abstract]

Schedule of Goodwill

Changes in the carrying amount of goodwill for the three months endedJune 30, 2012 are as follows (in thousands):

	Commercial Foodservice		Food Processing			Total
Balance as of December 31, 2011	$	375,352	$	102,460		$	477,812
Goodwill acquired during the year	—		5,783			5,783
Measurement period adjustments to goodwill acquired in prior year	528		639			1,167
Exchange effect	452		(587		)	(135		)
Balance as of June 30, 2012	$	376,332	$	108,295		$	484,627

XML

Long-Term Debt (Details) (USD $) In Thousands, unless otherwise specified	Jun. 30, 2012	Dec. 31, 2011
Debt Disclosure [Line Items]
Senior secured revolving credit line	$ 267,100	$ 309,400
Total debt	274,199	317,335
Less: Current maturities of long-term debt	5,696	315,831
Long-term debt	268,503	1,504
Foreign
Debt Disclosure [Line Items]
Foreign loans	$ 7,099	$ 7,935

XML

Estimated Fair Values of Assets Acquired and Liabilities Assumed for Baker Acquisition (Details) (Baker, USD $) In Thousands, unless otherwise specified	Mar. 14, 2012
Business Acquisition [Line Items]
Current assets	$ 3,881
Property, plant and equipment	221
Goodwill	5,783
Other intangibles	750
Current liabilities	(385)
Net assets acquired and liabilities assumed	10,250
as initially reported
Business Acquisition [Line Items]
Current assets	4,617
Property, plant and equipment	221
Goodwill	5,797
Other intangibles	0
Current liabilities	(385)
Net assets acquired and liabilities assumed	10,250
Measurement Period Adjustments
Business Acquisition [Line Items]
Current assets	(736)
Property, plant and equipment	0
Goodwill	(14)
Other intangibles	750
Current liabilities	0
Net assets acquired and liabilities assumed	$ 0

XML

Estimated Fair Values of Assets Acquired and Liabilities Assumed for Danfotech Acquisition (Details) (Danfotech, USD $) In Thousands, unless otherwise specified	Jul. 05, 2011
Business Acquisition [Line Items]
Cash	$ 165
Current assets	703
Property, plant and equipment	47
Goodwill	5,966
Other intangibles	1,086
Other assets	4
Current liabilities	(1,116)
Long-term deferred tax liability	(190)
Other non-current liabilities	(750)
Consideration paid at closing	5,915
Additional assets acquired post closing	730
Contingent consideration	1,500
Net assets acquired and liabilities assumed	8,145
as initially reported
Business Acquisition [Line Items]
Cash	165
Current assets	1,073
Property, plant and equipment	102
Goodwill	3,423
Other intangibles	1,864
Other assets	4
Current liabilities	(309)
Long-term deferred tax liability	(46)
Other non-current liabilities	0
Consideration paid at closing	6,276
Additional assets acquired post closing	0
Contingent consideration	1,500
Net assets acquired and liabilities assumed	7,776
Measurement Period Adjustments
Business Acquisition [Line Items]
Cash	0
Current assets	(370)
Property, plant and equipment	(55)
Goodwill	2,543
Other intangibles	(778)
Other assets	0
Current liabilities	(807)
Long-term deferred tax liability	(144)
Other non-current liabilities	(750)
Consideration paid at closing	(361)
Additional assets acquired post closing	730
Contingent consideration	0
Net assets acquired and liabilities assumed	$ 369

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Carrying Value and Estimated Aggregate Fair Value of Debt (Details) (USD $) In Thousands, unless otherwise specified	Jun. 30, 2012	Dec. 31, 2011
Disclosure Carrying Value And Estimated Aggregate Fair Value Of Debt [Abstract]
Carrying Value	$ 274,199	$ 317,335
Fair Value	$ 272,828	$ 315,749

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Net Sales by Major Geographic Region (Details) (USD $) In Thousands, unless otherwise specified	3 Months Ended				6 Months Ended
	Jun. 30, 2012		Jul. 02, 2011		Jun. 30, 2012		Jul. 02, 2011
Revenues from External Customers and Long-Lived Assets [Line Items]
Net sales	$ 260,040	[1]	$ 210,855	[1]	$ 488,863	[1]	$ 393,427	[1]
United States and Canada
Revenues from External Customers and Long-Lived Assets [Line Items]
Net sales	177,424		155,549		334,493		296,180
Asia
Revenues from External Customers and Long-Lived Assets [Line Items]
Net sales	24,057		13,528		43,139		23,824
Europe and Middle East
Revenues from External Customers and Long-Lived Assets [Line Items]
Net sales	41,227		31,710		80,876		53,620
Latin America
Revenues from External Customers and Long-Lived Assets [Line Items]
Net sales	17,332		10,068		30,355		19,803
Total International
Revenues from External Customers and Long-Lived Assets [Line Items]
Net sales	$ 82,616		$ 55,306		$ 154,370		$ 97,247

[1] Non-operating expenses are not allocated to the operating segments. Non-operating expenses consist of interest expense and deferred financing amortization, foreign exchange gains and losses and other income and expense items outside of income from operations.

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Changes in Carrying Amount of Goodwill (Details) (USD $) In Thousands, unless otherwise specified	6 Months Ended
	Jun. 30, 2012
Goodwill [Line Items]
Balance beginning of period	$ 477,812
Goodwill acquired during the year	5,783
Measurement period adjustments to goodwill acquired in prior year	1,167
Exchange effect	(135)
Balance end of period	484,627
Commercial Foodservice
Goodwill [Line Items]
Balance beginning of period	375,352
Goodwill acquired during the year	0
Measurement period adjustments to goodwill acquired in prior year	528
Exchange effect	452
Balance end of period	376,332
Food Processing
Goodwill [Line Items]
Balance beginning of period	102,460
Goodwill acquired during the year	5,783
Measurement period adjustments to goodwill acquired in prior year	639
Exchange effect	(587)
Balance end of period	$ 108,295

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Recently Issued Accounting Standards

6 Months Ended

Jun. 30, 2012

Notes To Financial Statements [Abstract]

Recently Issued Accounting Standards

Recently Issued Accounting Standards

In May 2011, the FASB issued ASU No. 2011-04, “Amendments to Achieve Common Fair Value Measurement and Disclosure Requirements in U.S. GAAP and IFRSs.” This update provides clarification on existing fair value measurement requirements, amends existing guidance primarily related to fair value measurements for financial instruments, and requires enhanced disclosures on fair value measurements. The additional disclosures are specific to Level 3 fair value measurements, transfers between Level 1 and Level 2 of the fair value hierarchy, financial instruments not measured at fair value and use of an asset measured or disclosed at fair value differing from its highest and best use. The company adopted the provisions of ASU No. 2011-04 on January 1, 2012.  There was no impact to the company’s financial position, results of operations or cash flows.

In June 2011 and December 2011, the FASB issued ASU No. 2011-05, “Presentation of Comprehensive Income” and ASU No. 2011-12, “Deferral of the Effective Date for Amendments to the Presentation of Reclassifications of Items Out of Accumulated Other Comprehensive Income in Accounting Standards Update No. 2011-05”, respectively.  ASU No. 2011-05 eliminated the option to present the components of other comprehensive income in the statement of changes in stockholders’ equity. Instead, entities have the option to present the components of net income, the components of other comprehensive income and total comprehensive income in a single continuous statement or in two separate but consecutive statements. The guidance does not change the items reported in other comprehensive income or when an item of other comprehensive income is reclassified to net income. The company adopted the provisions of ASU No. 2011-05 on January 1, 2012.  As this guidance only revises the presentation of comprehensive income, there was no impact to the company’s financial position, results of operations or cash flows.  For interim reporting purposes, the company has elected to present comprehensive income in a single continuous statement now referred to as the Condensed Consolidated Statements of Comprehensive Income.

In September 2011, the FASB issued ASU No. 2011-08, “Intangibles – Goodwill and Other (Topic 350).” This ASU will allow an entity the option to make a qualitative evaluation about the likelihood of goodwill impairment to determine whether it should calculate the fair value of a reporting unit. The ASU also amends previous guidance by expanding upon the examples of events and circumstances that an entity should consider between annual impairment tests in determining whether it is more likely than not that the fair value of a reporting unit is less than its carrying amount. Also, the ASU provides additional examples of events and circumstances that an entity having a reporting unit with a zero or negative carrying amount should consider in determining whether to measure an impairment loss, if any, under the second step of the goodwill impairment test. The company adopted the provisions of ASU 2011-08 on January 1, 2012. There was no impact to the company’s financial position, results of operation or cash flows. The company will determine whether to apply the qualitative evaluation allowed under this ASU in connection with the company’s annual goodwill impairment test.

On July 27, 2012, the FASB issued ASU 2012-02, “Intangibles - Goodwill and Other (Topic 350)”. Similar to ASU 2011-08, this ASU amends the guidance in ASC 350-30. While ASU 2011-08 allows an entity the option to make a qualitative evaluation about the likelihood of goodwill impairment to determine whether it should calculate the fair value of a reporting unit, ASU-2012-02 allows an entity the option to make a qualitative evaluation to determine whether the existence of events and circumstances indicate that it is more likely than not the indefinite-lived intangible asset is impaired thus requiring the entity to perform quantitative impairment tests in accordance with ASC 350-30. The ASU also amends previous guidance by expanding upon the examples of events and circumstances that an entity should consider when making the qualitative evaluation. The company is currently evaluating its adoption approach to this guidance.

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Employee Retirement Plans - Additional Information (Details)	6 Months Ended
	Jun. 30, 2012 plan
Defined Benefit Plan Disclosure [Line Items]
Number of defined contribution 401K savings plans	2

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Components of Other Comprehensive Income (Details) (USD $) In Thousands, unless otherwise specified	3 Months Ended		6 Months Ended
	Jun. 30, 2012	Jul. 02, 2011	Jun. 30, 2012	Jul. 02, 2011
Comprehensive Income (Loss) [Line Items]
Net earnings	$ 31,045	$ 19,628	$ 53,140	$ 37,453
Currency translation adjustment	(7,527)	1,285	(1,542)	1,844
Pension liability adjustment, net of tax	169	0	141	0
Unrealized gain on interest rate swaps, net of tax	(95)	(272)	(53)	(198)
Comprehensive income	$ 23,592	$ 20,641	$ 51,686	$ 39,099

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Financial Instruments (Tables)

6 Months Ended

Jun. 30, 2012

Notes To Financial Statements [Abstract]

Foreign Exchange Transaction

The fair value of the forward contracts was a liability of $0.4 million at the end of the second quarter of 2012.

Sell		Purchase		Maturity
15,000,000	British Pounds	18,537,000	Euro Dollars	September 28, 2012
10,000,000	British Pounds	12,461,000	Euro Dollars	September 28, 2012
3,000,000	British Pounds	4,641,000	US Dollars	September 28, 2012
4,000,000	Canadian Dollars	3,860,000	US Dollars	September 28, 2012
30,000,000	Euro Dollars	37,290,000	US Dollars	September 28, 2012
20,000,000	Mexican Pesos	1,452,000	US Dollars	September 28, 2012

Schedule of Derivative Instruments in Statement of Financial Position, Fair Value

The following tables summarize the company’s fair value of interest rate swaps (in thousands):

	Condensed Consolidated Balance Sheet Presentation	Jun 30, 2012			Dec 31, 2011
Fair value	Other non-current liabilities	$	(3,338	)	$	(3,216	)

Schedule of Derivative Instruments, Gain (Loss) in Statement of Financial Performance

The impact on earnings from interest rate swaps was as follows (in thousands):

		Three Months Ended						Six Months Ended
	Presentation of Gain/(loss)	Jun 30, 2012			Jul 2, 2011			Jun 30, 2012			Jul 2, 2011
Gain/(loss) recognized in accumulated other comprehensive income	Other comprehensive income	$	(701	)	$	(1,286	)	$	(1,152	)	$	(1,920	)
Gain/(loss) reclassified from accumulated other comprehensive income (effective portion)	Interest expense	$	(510	)	$	(787	)	$	(1,017	)	$	(1,577	)
Gain/(loss) recognized in income (ineffective portion)	Other expense	$	14		$	(37	)	$	13		$	3

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Financing Arrangements (Tables)

6 Months Ended

Jun. 30, 2012

Notes To Financial Statements [Abstract]

Schedule of Long-term Debt Instruments

	Jun 30, 2012		Dec 31, 2011
	(in thousands)
Senior secured revolving credit line	$	267,100	$	309,400
Foreign loans	7,099		7,935
Total debt	$	274,199	$	317,335
Less:  Current maturities of long-term debt	5,696		315,831
Long-term debt	$	268,503	$	1,504

Carrying Value And Fair Value Of Long Term Debt, Disclosure

The carrying value and estimated aggregate fair value, a level 2 measurement, based primarily on market prices, of debt is as follows (in thousands):

	Jun 30, 2012				Dec 31, 2011
	Carrying Value		Fair Value		Carrying Value		Fair Value
Total debt	$	274,199	$	272,828	$	317,335	$	315,749

Schedule of Interest Rate Derivatives

As of June 30, 2012 the company had the following interest rate swaps in effect:

	Fixed
Notional	Interest	Effective	Maturity
Amount	Rate	Date	Date
$20,000,000	1.800%	11/23/09	11/23/12
20,000,000	1.560%	03/11/10	12/11/12
15,000,000	0.950%	08/06/10	12/06/12
25,000,000	1.610%	02/23/11	02/24/14
25,000,000	2.520%	02/23/11	02/23/16
25,000,000	0.975%	07/18/11	07/18/14
15,000,000	1.185%	09/12/11	09/12/16
15,000,000	0.620%	09/12/11	09/11/14

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Summary of Fair Value of Interest Rate Swaps (Details) (Interest Rate Swap, Other Noncurrent Liabilities, USD $) In Thousands, unless otherwise specified	Jun. 30, 2012	Dec. 31, 2011
Interest Rate Swap | Other Noncurrent Liabilities
Derivatives, Fair Value [Line Items]
Fair value	$ (3,338)	$ (3,216)

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Other Comprehensive Income - Additional Information (Details) (USD $) In Millions, unless otherwise specified	Jun. 30, 2012	Dec. 31, 2011
Disclosure Other Comprehensive Income Additional Information [Abstract]
Accumulated other comprehensive income (loss), unrecognized pension benefit costs	$ 7.5	$ 7.5
Accumulated other comprehensive income (loss), foreign currency translation adjustments	12.8	11.2
Accumulated other comprehensive income (loss), unrealized loss on interest rate swaps	$ 1.7	$ 1.7

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Segment Information (Tables)

6 Months Ended

Jun. 30, 2012

Notes To Financial Statements [Abstract]

Net Sales Summary By Segment

Net Sales Summary

(dollars in thousands)

	Three Months Ended								Six Months Ended
	Jun 30, 2012				Jul 2, 2011				Jun 30, 2012				Jul 2, 2011
	Sales		Percent		Sales		Percent		Sales		Percent		Sales		Percent
Business Segments:
Commercial Foodservice	$	196,546	75.6	%	$	178,271	84.5	%	$	374,816	76.7	%	$	332,004	84.4	%
Food Processing	63,494		24.4	%	32,584		15.5	%	114,047		23.3	%	61,423		15.6	%
Total	$	260,040	100.0	%	$	210,855	100.0	%	$	488,863	100.0	%	$	393,427	100.0	%

Schedule of Segment Reporting Information, by Segment

The following table summarizes the results of operations for the company's business segments(1) (in thousands):

	Commercial  Foodservice		Food Processing		Corporate and Other(2)			Total
Three Months Ended June 30, 2012
Net sales	$	196,546	$	63,494	$	—		$	260,040
Income from operations	49,657		9,658		(13,977		)	45,338
Depreciation and amortization expense	4,291		2,021		230			6,542
Net capital expenditures	1,025		468		20			1,513
Six Months Ended June 30, 2012
Net sales	374,816		114,047		—			488,863
Income from operations	89,403		15,878		(23,283		)	81,998
Depreciation and amortization expense	9,207		3,932		450			13,589
Net capital expenditures	2,329		723		45			3,097
Total assets	842,585		239,714		58,715			1,141,014
Long-lived assets	608,770		150,561		18,360			777,691
Three Months Ended July 2, 2011
Net sales	$	178,271	$	32,584	$	—		$	210,855
Income from operations	43,408		6,435		(14,595		)	35,248
Depreciation and amortization expense	4,568		550		168			5,286
Net capital expenditures	1,261		113		74			1,448
Six Months Ended July 2, 2011
Net sales	332,004		61,423		—			393,427
Income from operations	79,243		11,222		(23,853		)	66,612
Depreciation and amortization expense	7,891		1,101		341			9,333
Net capital expenditures	2,794		139		218			3,151
Total assets	857,058		98,793		63,235			1,019,086
Long-lived assets	617,454		56,659		33,595			707,708

(1)Non-operating expenses are not allocated to the operating segments. Non-operating expenses consist of interest expense and deferred financing amortization, foreign exchange gains and losses and other income and expense items outside of income from operations.

(2)Includes corporate and other general company assets and operations.

Schedule of Entity-Wide Disclosure on Geographic Areas, Long-Lived Assets in Individual Foreign Countries by Country

Long-lived assets by major geographic region are as follows (in thousands):

	Jun 30, 2012		Jul 2, 2011
United States and Canada	$	607,036	$	581,134
Asia	35,729		15,442
Europe and Middle East	133,665		110,245
Latin America	1,261		887
Total international	$	170,655	$	126,574
	$	777,691	$	707,708

Schedule of Entity-Wide Information, Revenue from External Customers by Products and Services

Net sales by major geographic region were as follows (in thousands):

	Three Months Ended				Six Months Ended
	Jun 30, 2012		Jul 2, 2011		Jun 30, 2012		Jul 2, 2011
United States and Canada	$	177,424	$	155,549	$	334,493	$	296,180
Asia	24,057		13,528		43,139		23,824
Europe and Middle East	41,227		31,710		80,876		53,620
Latin America	17,332		10,068		30,355		19,803
Total international	$	82,616	$	55,306	$	154,370	$	97,247
	$	260,040	$	210,855	$	488,863	$	393,427

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Summary of Significant Accounting Policies - Additional Information (Detail) (USD $)	3 Months Ended		6 Months Ended
	Jun. 30, 2012	Jul. 02, 2011	Jun. 30, 2012	Jul. 02, 2011	Dec. 31, 2011
Significant Accounting Policies [Line Items]
Non-cash share-based compensation expense	$ 3,200,000	$ 5,300,000	$ 5,877,000	$ 7,349,000
Unrecognized tax benefits related to federal, state and foreign taxes					15,600,000
Unrecognized tax benefits related to federal, state and foreign taxes of which would impact the effective tax rate if recognized					14,100,000
Unrecognized tax benefits, accrued interest					1,900,000
Unrecognized tax benefits, penalties					2,000,000
Unrecognized tax benefits, interest recognized	(200,000)	100,000
Unrecognized tax benefits, penalties recognized	(400,000)	100,000
Unrecognized tax benefits recognized related to reduced tax exposures			4,100,000
Amount of unrecognized tax benefits that may be recognized over the next twelve months	100,000		100,000
Interest paid			3,700,000	3,800,000
Income tax payments			$ 15,300,000	$ 11,300,000

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Litigation Matters

6 Months Ended

Jun. 30, 2012

Notes To Financial Statements [Abstract]

Litigation Matters

Litigation Matters

From time to time, the company is subject to proceedings, lawsuits and other claims related to products, suppliers, employees, customers and competitors. The company maintains insurance to partially cover product liability, workers compensation, property and casualty, and general liability matters.  The company is required to assess the likelihood of any adverse judgments or outcomes to these matters as well as potential ranges of probable losses.  A determination of the amount of accrual required, if any, for these contingencies is made after assessment of each matter and the related insurance coverage.  The accrual requirement may change in the future due to new developments or changes in approach such as a change in settlement strategy in dealing with these matters.  The company does not believe that any pending litigation will have a material effect on its financial condition, results of operations or cash flows.

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Summary of Tax Years that Remain Subject to Examination in Company Major Tax Jurisdictions (Detail)	6 Months Ended
	Jun. 30, 2012
United States | Federal | Minimum
Income Tax Examination [Line Items]
Income Tax Examination, Years Subject to Examination	2008
United States | Federal | Maximum
Income Tax Examination [Line Items]
Income Tax Examination, Years Subject to Examination	2011
United States | States | Minimum
Income Tax Examination [Line Items]
Income Tax Examination, Years Subject to Examination	2004
United States | States | Maximum
Income Tax Examination [Line Items]
Income Tax Examination, Years Subject to Examination	2011
Australia
Income Tax Examination [Line Items]
Income Tax Examination, Years Subject to Examination	2011
Brazil | Minimum
Income Tax Examination [Line Items]
Income Tax Examination, Years Subject to Examination	2010
Brazil | Maximum
Income Tax Examination [Line Items]
Income Tax Examination, Years Subject to Examination	2011
Canada | Minimum
Income Tax Examination [Line Items]
Income Tax Examination, Years Subject to Examination	2009
Canada | Maximum
Income Tax Examination [Line Items]
Income Tax Examination, Years Subject to Examination	2011
China | Minimum
Income Tax Examination [Line Items]
Income Tax Examination, Years Subject to Examination	2003
China | Maximum
Income Tax Examination [Line Items]
Income Tax Examination, Years Subject to Examination	2011
Denmark | Minimum
Income Tax Examination [Line Items]
Income Tax Examination, Years Subject to Examination	2009
Denmark | Maximum
Income Tax Examination [Line Items]
Income Tax Examination, Years Subject to Examination	2011
France
Income Tax Examination [Line Items]
Income Tax Examination, Years Subject to Examination	2011
Germany
Income Tax Examination [Line Items]
Income Tax Examination, Years Subject to Examination	2011
Italy | Minimum
Income Tax Examination [Line Items]
Income Tax Examination, Years Subject to Examination	2009
Italy | Maximum
Income Tax Examination [Line Items]
Income Tax Examination, Years Subject to Examination	2011
Luxembourg
Income Tax Examination [Line Items]
Income Tax Examination, Years Subject to Examination	2011
Mexico | Minimum
Income Tax Examination [Line Items]
Income Tax Examination, Years Subject to Examination	2007
Mexico | Maximum
Income Tax Examination [Line Items]
Income Tax Examination, Years Subject to Examination	2011
Philippines | Minimum
Income Tax Examination [Line Items]
Income Tax Examination, Years Subject to Examination	2008
Philippines | Maximum
Income Tax Examination [Line Items]
Income Tax Examination, Years Subject to Examination	2011
South Korea | Minimum
Income Tax Examination [Line Items]
Income Tax Examination, Years Subject to Examination	2006
South Korea | Maximum
Income Tax Examination [Line Items]
Income Tax Examination, Years Subject to Examination	2011
Spain | Minimum
Income Tax Examination [Line Items]
Income Tax Examination, Years Subject to Examination	2008
Spain | Maximum
Income Tax Examination [Line Items]
Income Tax Examination, Years Subject to Examination	2011
Taiwan | Minimum
Income Tax Examination [Line Items]
Income Tax Examination, Years Subject to Examination	2008
Taiwan | Maximum
Income Tax Examination [Line Items]
Income Tax Examination, Years Subject to Examination	2011
United Kingdom | Minimum
Income Tax Examination [Line Items]
Income Tax Examination, Years Subject to Examination	2008
United Kingdom | Maximum
Income Tax Examination [Line Items]
Income Tax Examination, Years Subject to Examination	2011

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Estimated Fair Values of Assets Acquired and Liabilities Assumed for Drake Acquisition (Details) (Drake, USD $) In Thousands, unless otherwise specified	Dec. 02, 2011
Business Acquisition [Line Items]
Cash	$ 427
Current assets	4,245
Deferred tax asset	390
Property, plant and equipment	1,773
Goodwill	15,640
Other intangibles	5,810
Other assets	9
Current liabilities	(3,334)
Long-term deferred tax liability	(2,395)
Net assets acquired and liabilities assumed	22,565
as initially reported
Business Acquisition [Line Items]
Cash	427
Current assets	4,245
Deferred tax asset	390
Property, plant and equipment	1,773
Goodwill	15,237
Other intangibles	5,810
Other assets	9
Current liabilities	(3,334)
Long-term deferred tax liability	(2,395)
Net assets acquired and liabilities assumed	22,162
Measurement Period Adjustments
Business Acquisition [Line Items]
Cash	0
Current assets	0
Deferred tax asset	0
Property, plant and equipment	0
Goodwill	403
Other intangibles	0
Other assets	0
Current liabilities	0
Long-term deferred tax liability	0
Net assets acquired and liabilities assumed	$ 403

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Interest Rate Swaps in Effect (Details) (USD $)	6 Months Ended
	Jun. 30, 2012
Interest Rate Swap 1
Debt Disclosure [Line Items]
Notional Amount	$ 20,000,000,000
Fixed Interest Rate	1.80%
Effective Date	Nov. 23, 2009
Maturity Date	Nov. 23, 2012
Interest Rate Swap 2
Debt Disclosure [Line Items]
Notional Amount	20,000,000,000
Fixed Interest Rate	1.56%
Effective Date	Mar. 11, 2010
Maturity Date	Dec. 11, 2012
Interest Rate Swap 3
Debt Disclosure [Line Items]
Notional Amount	15,000,000,000
Fixed Interest Rate	0.95%
Effective Date	Aug. 06, 2010
Maturity Date	Dec. 06, 2012
Interest Rate Swap 4
Debt Disclosure [Line Items]
Notional Amount	25,000,000,000
Fixed Interest Rate	1.61%
Effective Date	Feb. 23, 2011
Maturity Date	Feb. 24, 2014
Interest Rate Swap 5
Debt Disclosure [Line Items]
Notional Amount	25,000,000,000
Fixed Interest Rate	2.52%
Effective Date	Feb. 23, 2011
Maturity Date	Feb. 23, 2016
Interest Rate Swap 6
Debt Disclosure [Line Items]
Notional Amount	25,000,000,000
Fixed Interest Rate	0.975%
Effective Date	Jul. 18, 2011
Maturity Date	Jul. 18, 2014
Interest Rate Swap 7
Debt Disclosure [Line Items]
Notional Amount	15,000,000,000
Fixed Interest Rate	1.185%
Effective Date	Sep. 12, 2011
Maturity Date	Sep. 12, 2016
Interest Rate Swap 8
Debt Disclosure [Line Items]
Notional Amount	$ 15,000,000,000
Fixed Interest Rate	0.62%
Effective Date	Sep. 12, 2011
Maturity Date	Sep. 11, 2014

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CONDENSED CONSOLIDATED BALANCE SHEETS (USD $) In Thousands, unless otherwise specified	Jun. 30, 2012		Dec. 31, 2011
Current assets:
Cash and cash equivalents	$ 35,227		$ 40,216
Accounts receivable, net of reserve for doubtful accounts of $7,116 and $6,878	140,665		151,441
Inventories, net	131,559		124,300
Prepaid expenses and other	19,318		12,336
Current deferred taxes	36,554		39,090
Total current assets	363,323		367,383
Property, plant and equipment, net of accumulated depreciation of $57,940 and $54,014	62,206		62,507
Goodwill	484,627		477,812
Other intangibles	226,137		234,726
Other assets	4,721		4,084
Total assets	1,141,014	[1]	1,146,512
Current liabilities:
Current maturities of long-term debt	5,696		315,831
Accounts payable	66,524		63,394
Accrued expenses	147,300		170,392
Total current liabilities	219,520		549,617
Long-term debt	268,503		1,504
Long-term deferred tax liability	40,281		37,845
Other non-current liabilities	46,405		46,577
Stockholders' equity:
Preferred stock, $0.01 par value; nonvoting; 2,000,000 shares authorized; none issued
Common stock, $0.01 par value; 47,500,000 shares authorized; 23,295,541 and 23,093,338 shares issued in 2012 and 2011, respectively	139		137
Paid-in capital	220,440		202,321
Treasury stock at cost; 4,586,105 and 4,437,428 shares in 2012 and 2011, respectively	(141,154)		(126,682)
Retained earnings	508,867		455,727
Accumulated other comprehensive loss	(21,987)		(20,534)
Total stockholders' equity	566,305		510,969
Total liabilities and stockholders' equity	$ 1,141,014		$ 1,146,512

[1] Non-operating expenses are not allocated to the operating segments. Non-operating expenses consist of interest expense and deferred financing amortization, foreign exchange gains and losses and other income and expense items outside of income from operations.

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Inventories - Additional Information (Details) (USD $) In Millions, unless otherwise specified	Jun. 30, 2012	Dec. 31, 2011
Disclosure Inventories Additional Information [Abstract]
Inventory under the LIFO method	$ 18.9	$ 18.6
Percentage of LIFO inventory to total inventory	14.40%	15.00%

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Summary of Significant Accounting Policies

6 Months Ended

Jun. 30, 2012

Notes To Financial Statements [Abstract]

Summary of Significant Accounting Policies

Summary of Significant Accounting Policies

A) Basis of Presentation

The condensed consolidated financial statements have been prepared by The Middleby Corporation (the "company" or “Middleby”), pursuant to the rules and regulations of the Securities and Exchange Commission. The financial statements are unaudited and certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America have been condensed or omitted pursuant to such rules and regulations, although the company believes that the disclosures are adequate to make the information not misleading. These financial statements should be read in conjunction with the financial statements and related notes contained in the company's 2011 Form 10-K. The company’s interim results are not necessarily indicative of future full year results for the fiscal year 2012. 

In the opinion of management, the financial statements contain all adjustments necessary to present fairly the financial position of the company as of June 30, 2012 and December 31, 2011, and the results of operations for the three and six months endedJune 30, 2012 and July 2, 2011 and cash flows for the six months endedJune 30, 2012 and July 2, 2011.

B) Non-Cash Share-Based Compensation

The company estimates the fair value of market-based stock awards and stock options at the time of grant and recognizes compensation cost over the vesting period of the awards and options. Non-cash share-based compensation expense was $3.2 million and $5.3 million for the second quarter periods ended June 30, 2012 and July 2, 2011, respectively. Non-cash share-based compensation expense was $5.9 million and $7.3 million for the six month periods ended June 30, 2012 and July 2, 2011, respectively.

C) Income Tax Contingencies

As of December 31, 2011, the total amount of liability for unrecognized tax benefits related to federal, state and foreign taxes was approximately $15.6 million (of which $14.1 million would impact the effective tax rate if recognized) plus approximately $1.9 million of accrued interest and $2.0 million of penalties. The company recognizes interest and penalties accrued related to unrecognized tax benefits in income tax expense. Interest of $(0.2) million and $0.1 million were recognized in the second quarter of 2012 and 2011, respectively. Penalties of $(0.4) million and $0.1 million were recognized in the second quarter of 2012 and 2011, respectively. In the first six months endedJune 30, 2012, the company recognized a benefit of $4.1 million for unrecognized tax benefits related to reduced tax exposures.

It is reasonably possible that the amounts of unrecognized tax benefits associated with state, federal and foreign tax positions may decrease over the next twelve months due to expiration of a statute or completion of an audit. The company believes that it is reasonably possible that approximately $0.1 million of its currently remaining unrecognized tax benefits may be recognized over the next twelve months as a result of lapses of statutes of limitations.

A summary of the tax years that remain subject to examination in the company’s major tax jurisdictions are: 

United States - federal	2008 – 2011
United States - states	2004 – 2011
Australia	2011
Brazil	2010 – 2011
Canada	2009 – 2011
China	2003 – 2011
Denmark	2009 – 2011
France	2011
Germany	2011
Italy	2009 – 2011
Luxembourg	2011
Mexico	2007 – 2011
Philippines	2008 – 2011
South Korea	2006 – 2011
Spain	2008 – 2011
Taiwan	2008 – 2011
United Kingdom	2008 – 2011

D) Fair Value Measures

ASC 820 defines fair value as the price that would be received for an asset or paid to transfer a liability (an exit price) in the principal most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. ASC 820 establishes a fair value hierarchy, which prioritizes the inputs used in measuring fair value into the following levels:

Level 1 – Quoted prices in active markets for identical assets or liabilities.

Level 2 – Inputs, other than quoted prices in active markets, that are observable either directly or indirectly.

Level 3 – Unobservable inputs based on our own assumptions.

The company’s financial assets and liabilities that are measured at fair value and are categorized using the fair value hierarchy are as follows (in thousands):

	Fair Value Level 1		Fair Value Level 2		Fair Value Level 3		Total
As of June 30, 2012
Financial Assets:
Pension plans	$	21,599	$	1,217	$	—	$	22,816
Financial Liabilities:
Interest rate swaps	$	—	$	3,338	$	—	$	3,338
Contingent consideration	$	—	$	—	$	2,017	$	2,017
As of December 31, 2011
Financial Assets:
Pension plans	$	21,229	$	1,297	$	—	$	22,526
Financial Liabilities:
Interest rate swaps	$	—	$	3,216	$	—	$	3,216
Contingent consideration	$	—	$	—	$	3,398	$	3,398

The contingent consideration relates to the earnout provisions recorded in conjunction with the acquisitions of CookTek and Danfotech.

E) Consolidated Statements of Cash Flows

Cash paid for interest was $3.7 million and $3.8 million for the six months endedJune 30, 2012 and July 2, 2011, respectively. Cash payments totaling $15.3 million and $11.3 million were made for income taxes for the six months endedJune 30, 2012 and July 2, 2011, respectively, respectively.

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Summary of Results of Operations for Business Segments (Details) (USD $) In Thousands, unless otherwise specified	3 Months Ended				6 Months Ended
	Jun. 30, 2012		Jul. 02, 2011		Jun. 30, 2012		Jul. 02, 2011		Dec. 31, 2011
Segment Reporting Information [Line Items]
Net sales	$ 260,040	[1]	$ 210,855	[1]	$ 488,863	[1]	$ 393,427	[1]
Income from operations	45,338	[1]	35,248	[1]	81,998	[1]	66,612	[1]
Depreciation and amortization expense	6,542	[1]	5,286	[1]	13,589	[1]	9,333	[1]
Net capital expenditures	1,513	[1]	1,448	[1]	3,097	[1]	3,151	[1]
Total assets	1,141,014	[1]	1,019,086	[1]	1,141,014	[1]	1,019,086	[1]	1,146,512
Long-lived assets	777,691	[1]	707,708	[1]	777,691	[1]	707,708	[1]
Commercial Foodservice
Segment Reporting Information [Line Items]
Net sales	196,546	[1]	178,271	[1]	374,816	[1]	332,004	[1]
Income from operations	49,657	[1]	43,408	[1]	89,403	[1]	79,243	[1]
Depreciation and amortization expense	4,291	[1]	4,568	[1]	9,207	[1]	7,891	[1]
Net capital expenditures	1,025	[1]	1,261	[1]	2,329	[1]	2,794	[1]
Total assets	842,585	[1]	857,058	[1]	842,585	[1]	857,058	[1]
Long-lived assets	608,770	[1]	617,454	[1]	608,770	[1]	617,454	[1]
Food Processing
Segment Reporting Information [Line Items]
Net sales	63,494	[1]	32,584	[1]	114,047	[1]	61,423	[1]
Income from operations	9,658	[1]	6,435	[1]	15,878	[1]	11,222	[1]
Depreciation and amortization expense	2,021	[1]	550	[1]	3,932	[1]	1,101	[1]
Net capital expenditures	468	[1]	113	[1]	723	[1]	139	[1]
Total assets	239,714	[1]	98,793	[1]	239,714	[1]	98,793	[1]
Long-lived assets	150,561	[1]	56,659	[1]	150,561	[1]	56,659	[1]
Corporate and Other
Segment Reporting Information [Line Items]
Net sales	0	[1],[2]	0	[1],[2]	0	[1],[2]	0	[1],[2]
Income from operations	(13,977)	[1],[2]	(14,595)	[1],[2]	(23,283)	[1],[2]	(23,853)	[1],[2]
Depreciation and amortization expense	230	[1],[2]	168	[1],[2]	450	[1],[2]	341	[1],[2]
Net capital expenditures	20	[1],[2]	74	[1],[2]	45	[1],[2]	218	[1],[2]
Total assets	58,715	[1],[2]	63,235	[1],[2]	58,715	[1],[2]	63,235	[1],[2]
Long-lived assets	$ 18,360	[1],[2]	$ 33,595	[1],[2]	$ 18,360	[1],[2]	$ 33,595	[1],[2]

[1] Non-operating expenses are not allocated to the operating segments. Non-operating expenses consist of interest expense and deferred financing amortization, foreign exchange gains and losses and other income and expense items outside of income from operations.

[2] Includes corporate and other general company assets and operations.

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Estimated Fair Values of Assets Acquired and Liabilities Assumed for Beech Acquisition (Details) (Beech, USD $) In Thousands, unless otherwise specified	Apr. 12, 2011
Business Acquisition [Line Items]
Cash	$ 525
Current assets	846
Property, plant and equipment	57
Goodwill	11,241
Other intangibles	2,023
Current liabilities	(1,141)
Other non-current liabilities	(67)
Net assets acquired and liabilities assumed	13,484
as initially reported
Business Acquisition [Line Items]
Cash	525
Current assets	1,145
Property, plant and equipment	57
Goodwill	11,433
Other intangibles	2,317
Current liabilities	(1,100)
Other non-current liabilities	(893)
Net assets acquired and liabilities assumed	13,484
Measurement Period Adjustments
Business Acquisition [Line Items]
Cash	0
Current assets	(299)
Property, plant and equipment	0
Goodwill	(192)
Other intangibles	(294)
Current liabilities	(41)
Other non-current liabilities	826
Net assets acquired and liabilities assumed	$ 0

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Acquisitions and Purchase Accounting (Tables)

6 Months Ended

Jun. 30, 2012

Beech

Schedule of Business Acquisitions, by Acquisition

The final allocation of cash paid for the Beech acquisition is summarized as follows (in thousands):

	(as initially reported) Apr 12, 2011			Measurement Period Adjustments			(as adjusted) Apr 12, 2011
Cash	$	525		$	—		$	525
Current assets	1,145			(299		)	846
Property, plant and equipment	57			—			57
Goodwill	11,433			(192		)	11,241
Other intangibles	2,317			(294		)	2,023
Current liabilities	(1,100		)	(41		)	(1,141		)
Other non-current liabilities	(893		)	826			(67		)
Net assets acquired and liabilities assumed	13,484			—			13,484

Lincat

Schedule of Business Acquisitions, by Acquisition

The final allocation of cash paid for the Lincat acquisition is summarized as follows (in thousands): 

	(as initially reported) May 27, 2011			Measurement Period Adjustments			(as adjusted) May 27, 2011
Cash	$	12,392		$	—		$	12,392
Current assets	16,992			(29		)	16,963
Property, plant and equipment	14,368			—			14,368
Goodwill	45,765			(7,274		)	38,491
Other intangibles	31,343			1,976			33,319
Current liabilities	(10,924		)	1,174			(9,750		)
Long-term deferred tax liability	(13,803		)	4,153			(9,650		)
Other non-current liabilities	(1,611		)	—			(1,611		)
Net assets acquired and liabilities assumed	$	94,522		$	—		$	94,522

Danfotech

Schedule of Business Acquisitions, by Acquisition

The following estimated fair values of assets acquired and liabilities assumed are provisional and are based on the information that was available as of the acquisition date to estimate the fair value of assets acquired and liabilities assumed (in thousands): 

	(as initially reported) July 5, 2011			Measurement Period Adjustments			(as adjusted) July 5, 2011
Cash	$	165		$	—		$	165
Current assets	1,073			(370		)	703
Property, plant and equipment	102			(55		)	47
Goodwill	3,423			2,543			5,966
Other intangibles	1,864			(778		)	1,086
Other assets	4			—			4
Current liabilities	(309		)	(807		)	(1,116		)
Long-term deferred tax liability	(46		)	(144		)	(190		)
Other non-current liabilities	—			(750		)	(750		)
Consideration paid at closing	$	6,276		$	(361	)	$	5,915
Additional assets acquired post closing	—			730			730
Contingent consideration	1,500			—			1,500
Net assets acquired and liabilities assumed	$	7,776		$	369		$	8,145

Maurer

Schedule of Business Acquisitions, by Acquisition

The following estimated fair values of assets acquired and liabilities assumed are provisional and are based on the information that was available as of the acquisition date to estimate the fair value of assets acquired and liabilities assumed (in thousands): 

	(as initially reported) July 22, 2011			Measurement Period Adjustments			(as adjusted) July 22, 2011
Current assets	$	1,673		$	(668	)	$	1,005
Property, plant and equipment	628			—			628
Goodwill	870			350			1,220
Other intangibles	922			—			922
Current liabilities	(246		)	(264		)	(510		)
Net assets acquired and liabilities assumed	$	3,847		$	(582	)	$	3,265

Auto-Bake

Schedule of Business Acquisitions, by Acquisition

The following estimated fair values of assets acquired and liabilities assumed are provisional and are based on the information that was available as of the acquisition date to estimate the fair value of assets acquired and liabilities assumed (in thousands): 

	(as initially reported) Aug 1, 2011			Measurement Period Adjustments			(as adjusted) Aug 1, 2011
Cash	$	110		$	—		$	110
Current assets	3,209			47			3,256
Property, plant and equipment	477			—			477
Goodwill	16,259			1,865			18,124
Other intangibles	6,784			(2,726		)	4,058
Other assets	336			(11		)	325
Current liabilities	(2,506		)	8			(2,498		)
Long-term deferred tax liability	(2,035		)	817			(1,218		)
Net assets acquired and liabilities assumed	$	22,634		$	—		$	22,634

Drake

Schedule of Business Acquisitions, by Acquisition

The following estimated fair values of assets acquired and liabilities assumed are provisional and are based on the information that was available as of the acquisition date to estimate the fair value of assets acquired and liabilities assumed (in thousands):

	(as initially reported) Dec 2, 2011			Measurement Period Adjustments		(as adjusted) Dec 2, 2011
Cash	$	427		$	—	$	427
Current assets	4,245			—		4,245
Deferred tax asset	390			—		390
Property, plant and equipment	1,773			—		1,773
Goodwill	15,237			403		15,640
Other intangibles	5,810			—		5,810
Other assets	9			—		9
Current liabilities	(3,334		)	—		(3,334		)
Long-term deferred tax liability	(2,395		)	—		(2,395		)
Net assets acquired and liabilities assumed	$	22,162		$	403	$	22,565

Armor Inox

Schedule of Business Acquisitions, by Acquisition

The following estimated fair values of assets acquired and liabilities assumed are provisional and are based on the information that was available as of the acquisition date to estimate the fair value of assets acquired and liabilities assumed (in thousands):

	(as initially reported) Dec 21, 2011			Measurement Period Adjustments			(as adjusted) Dec 21, 2011
Cash	$	18,201		$	—		$	18,201
Current assets	14,612			(875		)	13,737
Property, plant and equipment	941			489			1,430
Goodwill	23,789			386			24,175
Other intangibles	12,155			—			12,155
Other assets	25			—			25
Current liabilities	(18,440		)	—			(18,440		)
Long-term deferred tax liability	(3,975		)	—			(3,975		)
Other non-current liabilities	(450		)	—			(450		)
Net assets acquired and liabilities assumed	$	46,858		$	—		$	46,858

Baker

Schedule of Business Acquisitions, by Acquisition

The following estimated fair values of assets acquired and liabilities assumed are provisional and are based on the information that was available as of the acquisition date to estimate the fair value of assets acquired and liabilities assumed (in thousands): 

	(as initially reported) Mar 14, 2012			Measurement Period Adjustments			(as adjusted) Mar 14, 2012
Current assets	$	4,617		$	(736	)	$	3,881
Property, plant and equipment	221			—			221
Goodwill	5,797			(14		)	5,783
Other Intangibles	—			750			750
Current Liabilities	(385		)	—			(385		)
Net assets acquired and liabilities assumed	$	10,250		$	—		$	10,250

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Estimated Fair Values of Assets Acquired and Liabilities Assumed for Lincat Group Acquisition (Details) (Lincat, USD $) In Thousands, unless otherwise specified	May 27, 2011
Business Acquisition [Line Items]
Cash	$ 12,392
Current assets	16,963
Property, plant and equipment	14,368
Goodwill	38,491
Other intangibles	33,319
Current liabilities	(9,750)
Long-term deferred tax liability	(9,650)
Other non-current liabilities	(1,611)
Net assets acquired and liabilities assumed	94,522
as initially reported
Business Acquisition [Line Items]
Cash	12,392
Current assets	16,992
Property, plant and equipment	14,368
Goodwill	45,765
Other intangibles	31,343
Current liabilities	(10,924)
Long-term deferred tax liability	(13,803)
Other non-current liabilities	(1,611)
Net assets acquired and liabilities assumed	94,522
Measurement Period Adjustments
Business Acquisition [Line Items]
Cash	0
Current assets	(29)
Property, plant and equipment	0
Goodwill	(7,274)
Other intangibles	1,976
Current liabilities	1,174
Long-term deferred tax liability	4,153
Other non-current liabilities	0
Net assets acquired and liabilities assumed	$ 0

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Inventories (Tables)

6 Months Ended

Jun. 30, 2012

Notes To Financial Statements [Abstract]

Schedule of Inventory, Current

Inventories at June 30, 2012 and December 31, 2011 are as follows: 

	Jun 30, 2012		Dec 31, 2011
	(in thousands)
Raw materials and parts	$	76,714	$	69,576
Work-in-process	17,454		15,204
Finished goods	37,132		39,261
	131,300		124,041
LIFO reserve	259		259
	$	131,559	$	124,300

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Acquisitions and Purchase Accounting

6 Months Ended

Jun. 30, 2012

Notes To Financial Statements [Abstract]

Acquisitions and Purchase Accounting

Acquisitions and Purchase Accounting

The company operates in a highly fragmented industry and has completed numerous acquisitions over the past several years as a component of its growth strategy. The company has acquired industry leading brands and technologies to position itself as a leader in the commercial foodservice equipment and food processing equipment industries.

The company has accounted for all business combinations using the acquisition method to record a new cost basis for the assets acquired and liabilities assumed. The difference between the purchase price and the fair value of the assets acquired and liabilities assumed has been recorded as goodwill in the financial statements. The results of operations are reflected in the consolidated financial statements of the company from the date of acquisition.

Beech

On April 12, 2011, the company completed its acquisition of all of the capital stock of J.W. Beech Pty. Ltd., together with its subsidiary, Beech Ovens Pty. Ltd. (collectively “Beech”), a leading manufacturer of stone hearth ovens for the commercial foodservice industry for a purchase price of approximately $13.0 million, net of cash acquired. During the first quarter of 2012, the company finalized the working capital provision provided for by the purchase agreement resulting in no additional payments.

The final allocation of cash paid for the Beech acquisition is summarized as follows (in thousands):

	(as initially reported) Apr 12, 2011			Measurement Period Adjustments			(as adjusted) Apr 12, 2011
Cash	$	525		$	—		$	525
Current assets	1,145			(299		)	846
Property, plant and equipment	57			—			57
Goodwill	11,433			(192		)	11,241
Other intangibles	2,317			(294		)	2,023
Current liabilities	(1,100		)	(41		)	(1,141		)
Other non-current liabilities	(893		)	826			(67		)
Net assets acquired and liabilities assumed	13,484			—			13,484

The goodwill and $1.9 million of other intangibles associated with the trade name are subject to the non-amortization provisions of ASC 350. Other intangibles also includes $0.1 million allocated to backlog which was amortized over a period of 3 months. Goodwill and other intangibles of Beech are allocated to the Commercial Foodservice Equipment Group for segment reporting purposes. These assets are expected to be deductible for tax purposes.

Lincat Group

On May 27, 2011, the company completed its acquisition of Lincat Group PLC (“Lincat”), a leading manufacturer of ranges, ovens, and counterline equipment for the commercial foodservice industry for a purchase price of approximately $82.1 million, net of cash acquired.

The final allocation of cash paid for the Lincat acquisition is summarized as follows (in thousands): 

	(as initially reported) May 27, 2011			Measurement Period Adjustments			(as adjusted) May 27, 2011
Cash	$	12,392		$	—		$	12,392
Current assets	16,992			(29		)	16,963
Property, plant and equipment	14,368			—			14,368
Goodwill	45,765			(7,274		)	38,491
Other intangibles	31,343			1,976			33,319
Current liabilities	(10,924		)	1,174			(9,750		)
Long-term deferred tax liability	(13,803		)	4,153			(9,650		)
Other non-current liabilities	(1,611		)	—			(1,611		)
Net assets acquired and liabilities assumed	$	94,522		$	—		$	94,522

The goodwill and $15.2 million of other intangibles associated with the trade name are subject to the non-amortization provisions of ASC 350. Other intangibles also includes $17.6 million allocated to customer relationships and $0.5 million allocated to backlog, which are being amortized over periods of 5 years and 3 months, respectively. Goodwill and other intangibles of Lincat are allocated to the Commercial Foodservice Equipment Group for segment reporting purposes. These assets are not expected to be deductible for tax purposes.

Danfotech

On July 5, 2011, the company completed its acquisition of all of the capital stock of Danfotech Inc. (“Danfotech”), a manufacturer of meat presses and defrosting equipment for the food processing industry for a purchase price of approximately $6.1 million, net of cash acquired. The purchase price is subject to adjustment based upon a working capital provision within the purchase agreements. Pursuant to terms of the purchase agreement, in December 2011 the company purchased additional assets from the sellers of Danfotech for approximately $0.7 million. An additional contingent payment is also payable upon the achievement of certain sales targets. During the first quarter of 2012, the company finalized the working capital provision provided for by the purchase agreement resulting in a refund from the seller in the amount of $0.4 million.

The following estimated fair values of assets acquired and liabilities assumed are provisional and are based on the information that was available as of the acquisition date to estimate the fair value of assets acquired and liabilities assumed (in thousands): 

	(as initially reported) July 5, 2011			Measurement Period Adjustments			(as adjusted) July 5, 2011
Cash	$	165		$	—		$	165
Current assets	1,073			(370		)	703
Property, plant and equipment	102			(55		)	47
Goodwill	3,423			2,543			5,966
Other intangibles	1,864			(778		)	1,086
Other assets	4			—			4
Current liabilities	(309		)	(807		)	(1,116		)
Long-term deferred tax liability	(46		)	(144		)	(190		)
Other non-current liabilities	—			(750		)	(750		)
Consideration paid at closing	$	6,276		$	(361	)	$	5,915
Additional assets acquired post closing	—			730			730
Contingent consideration	1,500			—			1,500
Net assets acquired and liabilities assumed	$	7,776		$	369		$	8,145

The long term deferred tax liabilities amounted to $0.2 million. This net liability represents $0.1 million arising from the difference between the book and tax basis of tangible assets and $0.1 million related to the difference between the book and tax basis of identifiable intangible assets.

The goodwill and $0.6 million of other intangibles associated with the trade name are subject to the non-amortization provisions of ASC 350. Other intangibles also includes $0.4 million allocated to customer relationships, $0.1 million allocated to developed technology and less than $0.1 million allocated to backlog, which are being amortized over periods of 4 years, 3 years and 3 months, respectively. Goodwill and other intangibles of Danfotech are allocated to the Food Processing Equipment Group for segment reporting purposes. These assets are not expected to be deductible for tax purposes.

The company believes that information gathered to date provides a reasonable basis for estimating the fair values of assets acquired and liabilities assumed but the company is waiting for additional information necessary to finalize those fair values. Thus, the provisional measurements of fair value set forth above are subject to change. The company expects to complete the purchase price allocation as soon as practicable but no later than one year from the acquisition date.

Maurer

On July 22, 2011, the company completed its acquisition of substantially all of the assets of Maurer-Atmos GmbH (“Maurer”), a manufacturer of batch ovens and thermal processing systems for the food processing industry for a purchase price of approximately $3.3 million. In the fourth quarter of 2011, pursuant to terms of the purchase agreement, the purchase price was adjusted to reflect the final valuation of acquired inventories, resulting in a net reduction of approximately $0.6 million.

The following estimated fair values of assets acquired and liabilities assumed are provisional and are based on the information that was available as of the acquisition date to estimate the fair value of assets acquired and liabilities assumed (in thousands): 

	(as initially reported) July 22, 2011			Measurement Period Adjustments			(as adjusted) July 22, 2011
Current assets	$	1,673		$	(668	)	$	1,005
Property, plant and equipment	628			—			628
Goodwill	870			350			1,220
Other intangibles	922			—			922
Current liabilities	(246		)	(264		)	(510		)
Net assets acquired and liabilities assumed	$	3,847		$	(582	)	$	3,265

The goodwill and $0.6 million of other intangibles associated with the trade name are subject to the non-amortization provisions of ASC 350. Other intangibles also includes $0.3 million allocated to customer relationships and less than $0.1 million allocated to developed technology, which are being amortized over periods of 4 years and 3 years, respectively. Goodwill and other intangibles of Maurer are allocated to the Food Processing Equipment Group for segment reporting purposes. These assets are expected to be deductible for tax purposes.

The company believes that information gathered to date provides a reasonable basis for estimating the fair values of assets acquired and liabilities assumed but the company is waiting for additional information necessary to finalize those fair values. Thus, the provisional measurements of fair value set forth above are subject to change. The company expects to complete the purchase price allocation as soon as practicable but no later than one year from the acquisition date.

Auto-Bake

On August 1, 2011, the company completed its acquisition of all of the capital stock of Auto-Bake Proprietary Limited (“Auto-Bake”), a manufacturer of automated baking ovens for the food processing industry for a purchase price of approximately $22.5 million, net of cash acquired. During the fourth quarter of 2011, the company finalized the working capital provision provided for by the purchase agreement resulting in no additional adjustment to the purchase price.

The following estimated fair values of assets acquired and liabilities assumed are provisional and are based on the information that was available as of the acquisition date to estimate the fair value of assets acquired and liabilities assumed (in thousands): 

	(as initially reported) Aug 1, 2011			Measurement Period Adjustments			(as adjusted) Aug 1, 2011
Cash	$	110		$	—		$	110
Current assets	3,209			47			3,256
Property, plant and equipment	477			—			477
Goodwill	16,259			1,865			18,124
Other intangibles	6,784			(2,726		)	4,058
Other assets	336			(11		)	325
Current liabilities	(2,506		)	8			(2,498		)
Long-term deferred tax liability	(2,035		)	817			(1,218		)
Net assets acquired and liabilities assumed	$	22,634		$	—		$	22,634

The goodwill and $2.0 million of other intangibles associated with the trade name are subject to the non-amortization provisions of ASC 350. Other intangibles also includes $1.9 million allocated to customer relationships and $0.2 million allocated to backlog, which are being amortized over periods of 5 years and 3 months, respectively. Goodwill and other intangibles of Auto-Bake are allocated to the Food Processing Equipment Group for segment reporting purposes. These assets are not expected to be deductible for tax purposes.

The company believes that information gathered to date provides a reasonable basis for estimating the fair values of assets acquired and liabilities assumed but the company is waiting for additional information necessary to finalize those fair values. Thus, the provisional measurements of fair value set forth above are subject to change. The company expects to complete the purchase price allocation as soon as practicable but no later than one year from the acquisition date.

Drake

On December 2, 2011, the company completed its acquisition of all of the capital stock of the F.R. Drake Company (“Drake”), a manufacturer of automated loading systems for the food processing industry for a purchase price of approximately $21.7 million, net of cash acquired. During the second quarter of 2012, the company finalized the working capital provision provided for by the purchase agreement resulting in an additional payment to the seller of $0.4 million.

The following estimated fair values of assets acquired and liabilities assumed are provisional and are based on the information that was available as of the acquisition date to estimate the fair value of assets acquired and liabilities assumed (in thousands):

	(as initially reported) Dec 2, 2011			Measurement Period Adjustments		(as adjusted) Dec 2, 2011
Cash	$	427		$	—	$	427
Current assets	4,245			—		4,245
Deferred tax asset	390			—		390
Property, plant and equipment	1,773			—		1,773
Goodwill	15,237			403		15,640
Other intangibles	5,810			—		5,810
Other assets	9			—		9
Current liabilities	(3,334		)	—		(3,334		)
Long-term deferred tax liability	(2,395		)	—		(2,395		)
Net assets acquired and liabilities assumed	$	22,162		$	403	$	22,565

The current deferred tax asset and long term deferred tax liability amounted to $0.4 million and $2.4 million, respectively. The current deferred tax asset represents $0.4 million of assets arising from the difference between the book and tax basis of tangible asset and liability accounts. The net long term deferred tax liability is comprised of $0.1 million arising from the difference between the book and tax basis of tangible assets and liability accounts and $2.3 million related to the difference between the book and tax basis of identifiable intangible assets.

The goodwill and $3.2 million of other intangibles associated with the trade name are subject to the non-amortization provisions of ASC 350. Other intangibles also includes $2.5 million allocated to customer relationships and $0.1 million allocated to backlog, which are being amortized over periods of 5 years and 1 month, respectively. Goodwill and other intangibles of Drake are allocated to the Food Processing Equipment Group for segment reporting purposes. These assets are not expected to be deductible for tax purposes.

The company believes that information gathered to date provides a reasonable basis for estimating the fair values of assets acquired and liabilities assumed but the company is waiting for additional information necessary to finalize those fair values. Thus, the provisional measurements of fair value set forth above are subject to change. The company expects to complete the purchase price allocation as soon as practicable but no later than one year from the acquisition date.

Armor Inox

On December 21, 2011, the company completed its acquisition of all of the capital stock of Armor Inox, S.A., together with its subsidiaries Armor Inox Production S.a.r.l and Armor Inox UK Ltd (collectively “Armor Inox”), a manufacturer of thermal processing systems for the food processing industry for a purchase price of approximately $28.7 million, net of cash acquired.

The following estimated fair values of assets acquired and liabilities assumed are provisional and are based on the information that was available as of the acquisition date to estimate the fair value of assets acquired and liabilities assumed (in thousands):

	(as initially reported) Dec 21, 2011			Measurement Period Adjustments			(as adjusted) Dec 21, 2011
Cash	$	18,201		$	—		$	18,201
Current assets	14,612			(875		)	13,737
Property, plant and equipment	941			489			1,430
Goodwill	23,789			386			24,175
Other intangibles	12,155			—			12,155
Other assets	25			—			25
Current liabilities	(18,440		)	—			(18,440		)
Long-term deferred tax liability	(3,975		)	—			(3,975		)
Other non-current liabilities	(450		)	—			(450		)
Net assets acquired and liabilities assumed	$	46,858		$	—		$	46,858

The goodwill and $3.9 million of other intangibles associated with the trade name are subject to the non-amortization provisions of ASC 350. Other intangibles also includes $1.3 million allocated to customer relationships, $1.8 million allocated to developed technology and $5.2 million allocated to backlog, which are being amortized over periods of 5 years, 6 years and 2 years, respectively. Goodwill and other intangibles of Armor Inox are allocated to the Food Processing Equipment Group for segment reporting purposes. These assets are not expected to be deductible for tax purposes.

The company believes that information gathered to date provides a reasonable basis for estimating the fair values of assets acquired and liabilities assumed but the company is waiting for additional information necessary to finalize those fair values. Thus, the provisional measurements of fair value set forth above are subject to change. The company expects to complete the purchase price allocation as soon as practicable but no later than one year from the acquisition date.

Baker

On March 14, 2012, the company completed its acquisition of certain assets of Turkington USA, LLC (now known as "Baker"), a manufacturer of automated baking ovens for the food processing industry, for a purchase price of approximately $10.3 million.

The following estimated fair values of assets acquired and liabilities assumed are provisional and are based on the information that was available as of the acquisition date to estimate the fair value of assets acquired and liabilities assumed (in thousands): 

	(as initially reported) Mar 14, 2012			Measurement Period Adjustments			(as adjusted) Mar 14, 2012
Current assets	$	4,617		$	(736	)	$	3,881
Property, plant and equipment	221			—			221
Goodwill	5,797			(14		)	5,783
Other Intangibles	—			750			750
Current Liabilities	(385		)	—			(385		)
Net assets acquired and liabilities assumed	$	10,250		$	—		$	10,250

The goodwill is subject to the non-amortization provisions of ASC 350. Other intangibles includes $0.8 million allocated to customer relationships, which are being amortized over 5 years. Goodwill of Baker is allocated to the Food Processing Equipment Group for segment reporting purposes. These assets are expected to be deductible for tax purposes.

The company believes that information gathered to date provides a reasonable basis for estimating the fair values of assets acquired and liabilities assumed but the company is waiting for additional information necessary to finalize those fair values. Thus, the provisional measurements of fair value set forth above are subject to change. The company expects to complete the purchase price allocation as soon as practicable but no later than one year from the acquisition date.

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CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) (USD $) In Thousands, except Share data, unless otherwise specified	Jun. 30, 2012	Dec. 31, 2011
Accounts receivable, reserve for doubtful accounts	$ 7,116	$ 6,878
Property, plant and equipment, accumulated depreciation	$ 57,940	$ 54,014
Preferred stock, par value (in usd per share)	$ 0.01	$ 0.01
Preferred stock, shares authorized	2,000,000	2,000,000
Preferred stock, shares issued
Common stock, par value (in usd per share)	$ 0.01	$ 0.01
Common stock, shares authorized	47,500,000	47,500,000
Common stock, shares issued	23,295,541	23,093,338
Treasury stock, shares	4,586,105	4,437,428

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Segment Information

6 Months Ended

Jun. 30, 2012

Notes To Financial Statements [Abstract]

Segment Information

Segment Infomation

The company operates in two reportable operating segments defined by management reporting structure and operating activities.

The Commercial Foodservice Equipment Group manufactures, sells, and distributes cooking equipment for the restaurant and institutional kitchen industry. This business segment has manufacturing facilities in California, Illinois, Michigan, New Hampshire, North Carolina, Tennessee, Texas, Vermont, Australia, China, Denmark, Italy, the Philippines and the United Kingdom. Principal product lines of this group include conveyor ovens, ranges, steamers, convection ovens, combi-ovens, broilers and steam cooking equipment, induction cooking systems, baking and proofing ovens, charbroilers, catering equipment, fryers, toasters, hot food servers, foodwarming equipment, griddles, coffee and beverage dispensing equipment and kitchen processing and ventilation equipment. These products are sold and marketed under the brand names: Anets, Beech, Blodgett, Blodgett Combi, Blodgett Range, Bloomfield, Britannia, CTX, Carter-Hoffmann, CookTek, Doyon, Frifri, Giga, Holman, Houno, IMC, Jade, Lang, Lincat, MagiKitch’n, Middleby Marshall, MPC, Nu-Vu, PerfectFry, Pitco, Southbend, Star, Toastmaster, TurboChef and Wells.

The Food Processing Equipment Group manufactures preparation, cooking, packaging and food safety equipment for the food processing industry. This business segment has manufacturing operations in Illinois, Iowa, North Carolina, Virginia, Wisconsin, Australia, France, Germany and Mexico. Principal product lines of this group include batch ovens, belt ovens, continuous processing ovens, automated thermal processing systems, automated loading and unloading systems, meat presses, breading, battering, mixing, forming, grinding and slicing equipment, food suspension, reduction and emulsion systems, defrosting equipment, packaging and food safety equipment. These products are sold and marketed under the brand names: Alkar, Armor Inox, Auto-Bake, Baker Thermal Solutions (formerly known as Turkington), Danfotech, Drake, Maurer-Atmos, MP Equipment and RapidPak.

The accounting policies of the segments are the same as those described in the summary of significant accounting policies. The chief operating decision maker evaluates individual segment performance based on operating income. Management believes that intersegment sales are made at established arms length transfer prices.

Net Sales Summary

(dollars in thousands)

	Three Months Ended								Six Months Ended
	Jun 30, 2012				Jul 2, 2011				Jun 30, 2012				Jul 2, 2011
	Sales		Percent		Sales		Percent		Sales		Percent		Sales		Percent
Business Segments:
Commercial Foodservice	$	196,546	75.6	%	$	178,271	84.5	%	$	374,816	76.7	%	$	332,004	84.4	%
Food Processing	63,494		24.4	%	32,584		15.5	%	114,047		23.3	%	61,423		15.6	%
Total	$	260,040	100.0	%	$	210,855	100.0	%	$	488,863	100.0	%	$	393,427	100.0	%

The following table summarizes the results of operations for the company's business segments(1) (in thousands):

	Commercial  Foodservice		Food Processing		Corporate and Other(2)			Total
Three Months Ended June 30, 2012
Net sales	$	196,546	$	63,494	$	—		$	260,040
Income from operations	49,657		9,658		(13,977		)	45,338
Depreciation and amortization expense	4,291		2,021		230			6,542
Net capital expenditures	1,025		468		20			1,513
Six Months Ended June 30, 2012
Net sales	374,816		114,047		—			488,863
Income from operations	89,403		15,878		(23,283		)	81,998
Depreciation and amortization expense	9,207		3,932		450			13,589
Net capital expenditures	2,329		723		45			3,097
Total assets	842,585		239,714		58,715			1,141,014
Long-lived assets	608,770		150,561		18,360			777,691
Three Months Ended July 2, 2011
Net sales	$	178,271	$	32,584	$	—		$	210,855
Income from operations	43,408		6,435		(14,595		)	35,248
Depreciation and amortization expense	4,568		550		168			5,286
Net capital expenditures	1,261		113		74			1,448
Six Months Ended July 2, 2011
Net sales	332,004		61,423		—			393,427
Income from operations	79,243		11,222		(23,853		)	66,612
Depreciation and amortization expense	7,891		1,101		341			9,333
Net capital expenditures	2,794		139		218			3,151
Total assets	857,058		98,793		63,235			1,019,086
Long-lived assets	617,454		56,659		33,595			707,708

(1)Non-operating expenses are not allocated to the operating segments. Non-operating expenses consist of interest expense and deferred financing amortization, foreign exchange gains and losses and other income and expense items outside of income from operations.

(2)Includes corporate and other general company assets and operations.

Long-lived assets by major geographic region are as follows (in thousands):

	Jun 30, 2012		Jul 2, 2011
United States and Canada	$	607,036	$	581,134
Asia	35,729		15,442
Europe and Middle East	133,665		110,245
Latin America	1,261		887
Total international	$	170,655	$	126,574
	$	777,691	$	707,708

Net sales by major geographic region were as follows (in thousands):

	Three Months Ended				Six Months Ended
	Jun 30, 2012		Jul 2, 2011		Jun 30, 2012		Jul 2, 2011
United States and Canada	$	177,424	$	155,549	$	334,493	$	296,180
Asia	24,057		13,528		43,139		23,824
Europe and Middle East	41,227		31,710		80,876		53,620
Latin America	17,332		10,068		30,355		19,803
Total international	$	82,616	$	55,306	$	154,370	$	97,247
	$	260,040	$	210,855	$	488,863	$	393,427

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Document and Entity Information	6 Months Ended
	Jun. 30, 2012	Aug. 03, 2012
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Jun. 30, 2012
Document Fiscal Year Focus	2012
Document Fiscal Period Focus	Q2
Entity Registrant Name	Middleby Corp
Entity Central Index Key	0000769520
Current Fiscal Year End Date	--12-29
Entity Filer Category	Large Accelerated Filer
Entity Common Stock, Shares Outstanding		18,709,436

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Employee Retirement Plans

6 Months Ended

Jun. 30, 2012

Notes To Financial Statements [Abstract]

Employee Retirement Plans

Employee Retirement Plans

(a) Pension Plans

The company maintains a non-contributory defined benefit plan for its union employees at the Elgin, Illinois facility. Benefits are determined based upon retirement age and years of service with the company. This defined benefit plan was frozen on April 30, 2002, and no further benefits accrue to the participants beyond this date. Plan participants will receive or continue to receive payments for benefits earned on or prior to April 30, 2002 upon reaching retirement age. The employees participating in the defined benefit plan were enrolled in a newly established 401K savings plan on July 1, 2002, further described below.

The company maintains a non-contributory defined benefit plan for its employees at the Smithville, Tennessee facility, which was acquired as part of the Star acquisition. Benefits are determined based upon retirement age and years of service with the company. This defined benefit plan was frozen on April 1, 2008, and no further benefits accrue to the participants beyond this date. Plan participants will receive or continue to receive payments for benefits earned on or prior to April 1, 2008 upon reaching retirement age.

The company maintains a defined benefit plan for its employees at the Wrexham, the United Kingdom facility, which was acquired as part of the Lincat acquisition. Benefits are determined based upon retirement age and years of service with the company. This defined benefit plan was frozen on April 30, 2010 prior to Middleby’s acquisition of the company. No further benefits accrue to the participants beyond this date. Plan participants will receive or continue to receive payments for benefits earned on or prior to April 30, 2010 upon reaching retirement age. 

The company also maintains a retirement benefit agreement with its Chairman. The retirement benefits are based upon a percentage of the Chairman’s final base salary. 

(b) 401K Savings Plans

The company maintains two separate defined contribution 401K savings plans covering all employees in the United States. These two plans separately cover the union employees at the Elgin, Illinois facility and all other remaining union and non-union employees in the United States. The company makes profit sharing contributions to the various plans in accordance with the requirements of the plan. Profit sharing contributions for the Elgin Union 401K savings plans are made in accordance with the agreement.

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CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (USD $) In Thousands, except Per Share data, unless otherwise specified	3 Months Ended				6 Months Ended
	Jun. 30, 2012		Jul. 02, 2011		Jun. 30, 2012		Jul. 02, 2011
Net sales	$ 260,040	[1]	$ 210,855	[1]	$ 488,863	[1]	$ 393,427	[1]
Cost of sales	158,224		125,518		299,564		236,260
Gross profit	101,816		85,337		189,299		157,167
Selling and distribution expenses	28,274		21,569		53,449		42,137
General and administrative expenses	28,204		28,520		53,852		48,418
Income from operations	45,338	[1]	35,248	[1]	81,998	[1]	66,612	[1]
Net interest expense and deferred financing amortization, net	1,967		2,119		4,058		4,179
Other (income) expense, net	(380)		1,608		887		1,446
Earnings before income taxes	43,751		31,521		77,053		60,987
Provision for income taxes	12,706		11,893		23,913		23,534
Net earnings	31,045		19,628		53,140		37,453
Net earnings per share:
Basic (in usd per share)	$ 1.70		$ 1.09		$ 2.92		$ 2.08
Diluted (in usd per share)	$ 1.67		$ 1.06		$ 2.87		$ 2.02
Weighted average number of shares
Basic (in shares)	18,267		18,052		18,207		17,976
Dilutive common stock equivalents (in shares)	307	[2]	527	[2]	312	[2]	536	[2]
Diluted (in shares)	18,574		18,579		18,519		18,512
Comprehensive income	$ 23,592		$ 20,641		$ 51,686		$ 39,099

[1] Non-operating expenses are not allocated to the operating segments. Non-operating expenses consist of interest expense and deferred financing amortization, foreign exchange gains and losses and other income and expense items outside of income from operations.

[2] There were no anti-dilutive equity awards excluded from common stock equivalents for any period presented.

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Goodwill

6 Months Ended

Jun. 30, 2012

Notes To Financial Statements [Abstract]

Goodwill

Goodwill

Changes in the carrying amount of goodwill for the three months endedJune 30, 2012 are as follows (in thousands):

	Commercial Foodservice		Food Processing			Total
Balance as of December 31, 2011	$	375,352	$	102,460		$	477,812
Goodwill acquired during the year	—		5,783			5,783
Measurement period adjustments to goodwill acquired in prior year	528		639			1,167
Exchange effect	452		(587		)	(135		)
Balance as of June 30, 2012	$	376,332	$	108,295		$	484,627

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Inventories

6 Months Ended

Jun. 30, 2012

Notes To Financial Statements [Abstract]

Inventories

Inventories

Inventories are composed of material, labor and overhead and are stated at the lower of cost or market. Costs for inventory at two of the company's manufacturing facilities have been determined using the last-in, first-out ("LIFO") method. These inventories under the LIFO method amounted to $18.9 million at June 30, 2012 and $18.6 million at December 31, 2011 and represented approximately 14.4% and 15.0% of the total inventory in each respective period. Costs for all other inventory have been determined using the first-in, first-out ("FIFO") method. The company estimates reserves for inventory obsolescence and shrinkage based on its judgment of future realization. Inventories at June 30, 2012 and December 31, 2011 are as follows: 

	Jun 30, 2012		Dec 31, 2011
	(in thousands)
Raw materials and parts	$	76,714	$	69,576
Work-in-process	17,454		15,204
Finished goods	37,132		39,261
	131,300		124,041
LIFO reserve	259		259
	$	131,559	$	124,300

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Other Comprehensive Income (Tables)

6 Months Ended

Jun. 30, 2012

Notes To Financial Statements [Abstract]

Schedule of Comprehensive Income (Loss)

Components of other comprehensive income were as follows (in thousands):

	Three Months Ended						Six Months Ended
	Jun 30, 2012			Jul 2, 2011			Jun 30, 2012			Jul 2, 2011
Net earnings	$	31,045		$	19,628		$	53,140		$	37,453
Currency translation adjustment	(7,527		)	1,285			(1,542		)	1,844
Pension liability adjustment, net of tax	169			—			141			—
Unrealized gain on interest rate swaps, net of tax	(95		)	(272		)	(53		)	(198		)
Comprehensive income	$	23,592		$	20,641		$	51,686		$	39,099

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Subsequent Event

6 Months Ended

Jun. 30, 2012

Subsequent Events [Abstract]

Subsequent Events [Text Block]

Subsequent Event

On August 7, 2012, the company entered into a new senior secured multi-currency credit facility. Terms of the new credit agreement provide for $1.0 billion of availability under a revolving credit line. The revolving credit facility will terminate and all amounts outstanding thereunder will be due and payable in August of 2017. On August 7, 2012, the company borrowed approximately $272.1 million to refinance the balances under the company’s previous credit facility. Under the credit facility, borrowings assessed at an interest rate of LIBOR plus a credit margin, which fluctuates based on the company's leverage covenant, or the higher of the Prime Rate and the Federal Funds Rate. At the inception of the new credit facility, company borrowings will be assessed at an interest rate of LIBOR plus 1.50%.

The terms of the new senior secured credit facility limit the paying of dividends, capital expenditures and leases, and require, among other things, a maximum ratio of indebtedness to earnings before interest, taxes, depreciation and amortization (“EBITDA”) of 3.5 and a minimum EBITDA to fixed charges ratio of 1.25. The credit agreement also provides that if a material adverse change in the company’s business operations or conditions occurs, the lender could declare an event of default. Under terms of the agreement, a material adverse effect is defined as (a) a material adverse change in, or a material adverse effect upon, the operations, business properties, condition (financial and otherwise) or prospects of the company and its subsidiaries taken as a whole; (b) a material impairment of the ability of the company to perform under the loan agreements and to avoid any event of default; or (c) a material adverse effect upon the legality, validity, binding effect or enforceability against the company of any loan document. A material adverse effect is determined on a subjective basis by the company's creditors. The credit facility is secured by the capital stock of the company’s domestic subsidiaries, 65.0% of the capital stock of the company’s foreign subsidiaries and substantially all other assets of the company.

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Financing Arrangements

6 Months Ended

Jun. 30, 2012

Notes To Financial Statements [Abstract]

Financing Arrangements

Financing Arrangements

	Jun 30, 2012		Dec 31, 2011
	(in thousands)
Senior secured revolving credit line	$	267,100	$	309,400
Foreign loans	7,099		7,935
Total debt	$	274,199	$	317,335
Less:  Current maturities of long-term debt	5,696		315,831
Long-term debt	$	268,503	$	1,504

Terms of the company’s senior credit agreement provide for $600.0 million of availability under a revolving credit line. As of June 30, 2012, the company had $267.1 million of borrowings outstanding under this facility. The company also had $5.6 million in outstanding letters of credit as of June 30, 2012, which reduces the borrowing availability under the revolving credit line. Remaining borrowing availability under this facility, which is also reduced by the company’s foreign borrowings, was $320.2 million at June 30, 2012.

At June 30, 2012, borrowings under the senior secured credit facility are assessed at an interest rate of 1.00% above LIBOR for long-term borrowings or at the higher of the Prime rate and the Federal Funds Rate. At June 30, 2012 the average interest rate on the senior debt amounted to 1.26%. The interest rates on borrowings under the senior secured credit facility may be adjusted quarterly based on the company’s indebtedness ratio on a rolling four-quarter basis. Additionally, a commitment fee based upon the indebtedness ratio is charged on the unused portion of the revolving credit line. This variable commitment fee amounted to 0.20% as of June 30, 2012.

In August 2006, the company completed its acquisition of Houno A/S in Denmark. This acquisition was funded in part with locally established debt facilities with borrowings in Danish Krone.  On June 30, 2012 these facilities amounted to $3.0 million in U.S. dollars, including $1.5 million outstanding under a revolving credit facility and $1.5 million of a term loan.  The interest rate on the revolving credit facility is assessed at 1.25% above Euro LIBOR, which amounted to 4.63% on June 30, 2012. The term loan matures in 2013 and the interest rate is assessed at 4.55%.

In April 2008, the company completed its acquisition of Giga Grandi Cucine S.r.l in Italy. This acquisition was funded in part with locally established debt facilities with borrowings denominated in Euro.  On June 30, 2012 these facilities amounted to $3.7 million in U.S. dollars.  The interest rate on the credit facilities is variable based on the three-month Euro LIBOR. At June 30, 2012, the average interest rate on these facilities was approximately 4.15%. The facilities mature in April 2015.

In December 2011, the company completed its acquisition of Armor Inox in France. This acquisition was funded in part with locally established debt facilities with borrowings denominated in Euro.  On June 30, 2012, these facilities amounted to $0.4 million in U.S. dollars.   The interest rate on the credit facilities is variable based on the six-month Euro LIBOR. The facilities mature in April 2015. At June 30, 2012, the average interest rate on these facilities was approximately 1.70%.

The company’s debt is reflected on the balance sheet at cost. Based on current market conditions, the company believes its interest rate margins on its existing debt are below the rate available in the market, which causes the fair value of debt to fall below the carrying value. The company believes the current interest rate margin is approximately 0.5% below current market rates. However, as the interest rate margin is based upon numerous factors, including but not limited to the credit rating of the borrower, the duration of the loan, the structure and restrictions under the debt agreement, current lending policies of the counterparty, and the company’s relationships with its lenders, there is no readily available market data to ascertain the current market rate for an equivalent debt instrument. As a result, the current interest rate margin is based upon the company’s best estimate based upon discussions with its lenders.

The company estimated the fair value of its loans by calculating the upfront cash payment a market participant would require to assume the company’s obligations. The upfront cash payment is the amount that a market participant would be able to lend at June 30, 2012 to achieve sufficient cash inflows to cover the cash outflows under the company’s senior revolving credit facility assuming the facility was outstanding in its entirety until maturity. Since the company maintains its borrowings under a revolving credit facility and there is no predetermined borrowing or repayment schedule, for purposes of this calculation the company calculated the fair value of its obligations assuming the current amount of debt at the end of the period was outstanding until the maturity of the company’s senior revolving credit facility in December 2012. Although borrowings could be materially greater or less than the current amount of borrowings outstanding at the end of the period, it is not practical to estimate the amounts that may be outstanding during future periods. The carrying value and estimated aggregate fair value, a level 2 measurement, based primarily on market prices, of debt is as follows (in thousands):

	Jun 30, 2012				Dec 31, 2011
	Carrying Value		Fair Value		Carrying Value		Fair Value
Total debt	$	274,199	$	272,828	$	317,335	$	315,749

The company believes that its current capital resources, including cash and cash equivalents, cash generated from operations, funds available from its revolving credit facility and access to the credit and capital markets will be sufficient to finance its operations, debt service obligations, capital expenditures, acquisitions, product development and integration expenditures for the foreseeable future.

The company has historically entered into interest rate swap agreements to effectively fix the interest rate on a portion of its outstanding debt. The agreements swap one-month LIBOR for fixed rates. As of June 30, 2012 the company had the following interest rate swaps in effect:

	Fixed
Notional	Interest	Effective	Maturity
Amount	Rate	Date	Date
$20,000,000	1.800%	11/23/09	11/23/12
20,000,000	1.560%	03/11/10	12/11/12
15,000,000	0.950%	08/06/10	12/06/12
25,000,000	1.610%	02/23/11	02/24/14
25,000,000	2.520%	02/23/11	02/23/16
25,000,000	0.975%	07/18/11	07/18/14
15,000,000	1.185%	09/12/11	09/12/16
15,000,000	0.620%	09/12/11	09/11/14

The terms of the senior secured credit facility limit the paying of dividends, capital expenditures and leases, and require, among other things, a maximum ratio of indebtedness to earnings before interest, taxes, depreciation and amortization (“EBITDA”) of 3.5 and a minimum EBITDA to fixed charges ratio of 1.25. The credit agreement also provides that if a material adverse change in the company’s business operations or conditions occurs, the lender could declare an event of default. Under terms of the agreement, a material adverse effect is defined as (a) a material adverse change in, or a material adverse effect upon, the operations, business properties, condition (financial and otherwise) or prospects of the company and its subsidiaries taken as a whole; (b) a material impairment of the ability of the company to perform under the loan agreements and to avoid any event of default; or (c) a material adverse effect upon the legality, validity, binding effect or enforceability against the company of any loan document. A material adverse effect is determined on a subjective basis by the company's creditors. The credit facility is secured by the capital stock of the company’s domestic subsidiaries, 65% of the capital stock of the company’s foreign subsidiaries and substantially all other assets of the company. At June 30, 2012, the company was in compliance with all covenants pursuant to its borrowing agreements.

The current senior revolving facility matures on December 28, 2012. Subsequent to the end of the second quarter, the company entered into a new senior secured multi-currency credit facility. See Note 14 for further information.

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Long-Lived Assets by Major Geographic Region (Details) (USD $) In Thousands, unless otherwise specified	Jun. 30, 2012		Jul. 02, 2011
Revenues from External Customers and Long-Lived Assets [Line Items]
Long-lived assets	$ 777,691	[1]	$ 707,708	[1]
United States and Canada
Revenues from External Customers and Long-Lived Assets [Line Items]
Long-lived assets	607,036		581,134
Asia
Revenues from External Customers and Long-Lived Assets [Line Items]
Long-lived assets	35,729		15,442
Europe and Middle East
Revenues from External Customers and Long-Lived Assets [Line Items]
Long-lived assets	133,665		110,245
Latin America
Revenues from External Customers and Long-Lived Assets [Line Items]
Long-lived assets	1,261		887
Total International
Revenues from External Customers and Long-Lived Assets [Line Items]
Long-lived assets	$ 170,655		$ 126,574

[1] Non-operating expenses are not allocated to the operating segments. Non-operating expenses consist of interest expense and deferred financing amortization, foreign exchange gains and losses and other income and expense items outside of income from operations.

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Accrued Expenses

6 Months Ended

Jun. 30, 2012

Notes To Financial Statements [Abstract]

Accrued Expenses

Accrued Expenses

Accrued expenses consist of the following:

	Jun 30, 2012		Dec 31, 2011
	(in thousands)
Advanced customer deposits	$	33,622	$	33,246
Accrued payroll and related expenses	31,609		41,434
Accrued warranty	15,474		13,842
Accrued customer rebates	13,812		23,136
Accrued product liability and workers compensation	11,970		10,771
Accrued agent commission	8,607		8,668
Accrued professional services	7,316		7,497
Other accrued expenses	24,890		31,798
	$	147,300	$	170,392

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Warranty Costs

6 Months Ended

Jun. 30, 2012

Notes To Financial Statements [Abstract]

Warranty Costs

Warranty Costs

In the normal course of business the company issues product warranties for specific product lines and provides for the estimated future warranty cost in the period in which the sale is recorded.  The estimate of warranty cost is based on contract terms and historical warranty loss experience that is periodically adjusted for recent actual experience. Because warranty estimates are forecasts that are based on the best available information, actual claims costs may differ from amounts provided. Adjustments to initial obligations for warranties are made as changes in the obligations become reasonably estimable.

A rollforward of the warranty reserve is as follows:

	Six Months Ended
	Jun 30, 2012
	(in thousands)
Beginning balance	$	13,842
Warranty reserve related to acquisitions	292
Warranty expense	13,888
Warranty claims	(12,548		)
Ending balance	$	15,474

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Financial Instruments

6 Months Ended

Jun. 30, 2012

Notes To Financial Statements [Abstract]

Financial Instruments

Financial Instruments

ASC 815 “Derivatives and Hedging” requires an entity to recognize all derivatives as either assets or liabilities and measure those instruments at fair value. Derivatives that do not qualify as a hedge must be adjusted to fair value in earnings. If a derivative does qualify as a hedge under ASC 815, changes in the fair value will either be offset against the change in fair value of the hedged assets, liabilities or firm commitments or recognized in other accumulated comprehensive income until the hedged item is recognized in earnings. The ineffective portion of a hedge's change in fair value will be immediately recognized in earnings.

Foreign Exchange: The company uses foreign currency forward purchase and sale contracts with terms of less than one year to hedge its exposure to changes in foreign currency exchange rates. The company’s primary hedging activities are to mitigate its exposure to changes in exchange rates on intercompany and third party trade receivables and payables. The company does not currently enter into derivative financial instruments for speculative purposes. In managing its foreign currency exposures, the company identifies and aggregates naturally occurring offsetting positions and then hedges residual balance sheet exposures. The following table summarizes the forward contracts outstanding at June 30, 2012. The fair value of the forward contracts was a liability of $0.4 million at the end of the second quarter of 2012.

Sell		Purchase		Maturity
15,000,000	British Pounds	18,537,000	Euro Dollars	September 28, 2012
10,000,000	British Pounds	12,461,000	Euro Dollars	September 28, 2012
3,000,000	British Pounds	4,641,000	US Dollars	September 28, 2012
4,000,000	Canadian Dollars	3,860,000	US Dollars	September 28, 2012
30,000,000	Euro Dollars	37,290,000	US Dollars	September 28, 2012
20,000,000	Mexican Pesos	1,452,000	US Dollars	September 28, 2012

Interest Rate: The company has entered into interest rate swaps to fix the interest rate applicable to certain of its variable-rate debt. The agreements swap one-month LIBOR for fixed rates. The company has designated these swaps as cash flow hedges and all changes in fair value of the swaps are recognized in accumulated other comprehensive income. As of June 30, 2012, the fair value of these instruments was a liability of $3.3 million. The change in fair value of these swap agreements in the first six months of 2012 was a loss of $0.1 million, net of taxes.

The following tables summarize the company’s fair value of interest rate swaps (in thousands):

	Condensed Consolidated Balance Sheet Presentation	Jun 30, 2012			Dec 31, 2011
Fair value	Other non-current liabilities	$	(3,338	)	$	(3,216	)

The impact on earnings from interest rate swaps was as follows (in thousands):

		Three Months Ended						Six Months Ended
	Presentation of Gain/(loss)	Jun 30, 2012			Jul 2, 2011			Jun 30, 2012			Jul 2, 2011
Gain/(loss) recognized in accumulated other comprehensive income	Other comprehensive income	$	(701	)	$	(1,286	)	$	(1,152	)	$	(1,920	)
Gain/(loss) reclassified from accumulated other comprehensive income (effective portion)	Interest expense	$	(510	)	$	(787	)	$	(1,017	)	$	(1,577	)
Gain/(loss) recognized in income (ineffective portion)	Other expense	$	14		$	(37	)	$	13		$	3

Interest rate swaps are subject to default risk to the extent the counterparties are unable to satisfy their settlement obligations under the interest rate swap agreements. The company reviews the credit profile of the financial institutions and assesses its creditworthiness prior to entering into the interest rate swap agreements. The interest rate swap agreements typically contain provisions that allow the counterparty to require early settlement in the event that the company becomes insolvent or is unable to maintain compliance with its covenants under its existing debt agreements.

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Subsequent Event (Details) (USD $)	Jun. 30, 2012	Aug. 07, 2012 New Credit Agreement [Member]
Subsequent Event [Line Items]
NewDebtAvailability		$ 1,000,000,000
NewDebtRefinancedAmount		$ 272,100,000
Line Of Credit Average Interest Rate	1.26%	1.50%
Ratio of Indebtedness to Net Capital	3.5	3.5
Fixed Charge Coverage Ratio	1.25	1.25
Percentage Of Indebtedness To Net Capital	65.00%	65.00%

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Acquisitions and Purchase Accounting - Additional Information (Details) (USD $)			1 Months Ended					1 Months Ended		1 Months Ended								1 Months Ended		1 Months Ended		1 Months Ended					1 Months Ended		1 Months Ended					0 Months Ended		0 Months Ended							1 Months Ended		1 Months Ended					1 Months Ended		1 Months Ended		1 Months Ended				1 Months Ended
	Apr. 12, 2011 Beech	Apr. 12, 2011 Beech Commercial Foodservice Trade Names	Apr. 30, 2011 Beech Commercial Foodservice Backlog M	Apr. 12, 2011 Beech Commercial Foodservice Backlog	May 27, 2011 Lincat	May 27, 2011 Lincat Measurement Period Adjustments	May 27, 2011 Lincat Commercial Foodservice Trade Names	May 31, 2011 Lincat Commercial Foodservice Backlog M	May 27, 2011 Lincat Commercial Foodservice Backlog	May 31, 2011 Lincat Commercial Foodservice Customer Relationships Y	May 27, 2011 Lincat Commercial Foodservice Customer Relationships	Jul. 31, 2011 Danfotech	Jul. 05, 2011 Danfotech	Jul. 05, 2011 Danfotech Measurement Period Adjustments	Jul. 05, 2011 Danfotech Book and Tax Basis Difference Tangible Assets and Liability Accounts	Jul. 05, 2011 Danfotech Book and Tax Basis Difference Intangible Assets	Jul. 05, 2011 Danfotech Food Processing Trade Names	Jul. 31, 2011 Danfotech Food Processing Backlog M	Jul. 05, 2011 Danfotech Food Processing Backlog Maximum	Jul. 31, 2011 Danfotech Food Processing Customer Relationships Y	Jul. 05, 2011 Danfotech Food Processing Customer Relationships	Jul. 31, 2011 Danfotech Food Processing Developed Technology Y	Jul. 05, 2011 Danfotech Food Processing Developed Technology	Jul. 22, 2011 Maurer	Jul. 22, 2011 Maurer Measurement Period Adjustments	Jul. 22, 2011 Maurer Food Processing Trade Names	Jul. 31, 2011 Maurer Food Processing Customer Relationships Y	Jul. 22, 2011 Maurer Food Processing Customer Relationships	Jul. 31, 2011 Maurer Food Processing Developed Technology Y	Jul. 22, 2011 Maurer Food Processing Developed Technology	Aug. 01, 2011 Auto-Bake	Aug. 01, 2011 Auto-Bake Measurement Period Adjustments	Aug. 01, 2011 Auto-Bake Food Processing Trade Names	Sep. 02, 2011 Auto-Bake Food Processing Backlog M	Aug. 01, 2011 Auto-Bake Food Processing Backlog	Sep. 02, 2011 Auto-Bake Food Processing Customer Relationships Y	Aug. 01, 2011 Auto-Bake Food Processing Customer Relationships	Dec. 02, 2011 Drake	Dec. 02, 2011 Drake Measurement Period Adjustments	Dec. 02, 2011 Drake Book and Tax Basis Difference Tangible Assets and Liability Accounts	Dec. 02, 2011 Drake Book and Tax Basis Difference Intangible Assets	Dec. 02, 2011 Drake Trade Names	Dec. 31, 2011 Drake Backlog M	Dec. 02, 2011 Drake Backlog	Dec. 31, 2011 Drake Customer Relationships Y	Dec. 02, 2011 Drake Customer Relationships	Dec. 21, 2011 Armor Inox	Dec. 21, 2011 Armor Inox Measurement Period Adjustments	Dec. 21, 2011 Armor Inox Trade Names	Dec. 31, 2011 Armor Inox Backlog Y	Dec. 21, 2011 Armor Inox Backlog	Dec. 31, 2011 Armor Inox Customer Relationships Y	Dec. 21, 2011 Armor Inox Customer Relationships	Dec. 31, 2011 Armor Inox Developed Technology Y	Dec. 21, 2011 Armor Inox Developed Technology	Mar. 14, 2012 Baker	Mar. 14, 2012 Baker Customer Relationships	Dec. 31, 2011 Baker Developed Technology Y
Business Acquisition [Line Items]
Acquisition, purchase price	$ 13,000,000				$ 82,100,000								$ 6,100,000											$ 3,300,000	$ 600,000						$ 22,500,000							$ 21,700,000									$ 28,700,000									$ 10,300,000
Acquisition, other intangibles subject to non-amortization provision		1,900,000					15,200,000										600,000									600,000							2,000,000									3,200,000							3,900,000
Acquisition, other intangibles, amortized				100,000					500,000		17,600,000								100,000		400,000		100,000					300,000		100,000					200,000		1,900,000							100,000		2,500,000					5,200,000		1,300,000		1,800,000		800,000
Acquisition, other intangibles, amortization period			3					3		5								3		4		3					4		3					3		5							1		5					2		5		6				5
Acquisition, additional assets purchased													730,000	730,000
Working capital adjustment, refund												400,000
Long-term deferred tax liabilities					9,650,000	(4,153,000)							190,000	144,000	100,000	100,000															1,218,000	(817,000)															3,975,000	0
Current deferred tax asset																																						390,000	0	400,000
Long-term deferred tax liability																																						$ 2,395,000	$ 0	$ 100,000	$ 2,300,000

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Financing Arrangements - Additional Information (Details) (USD $)	6 Months Ended
	Jun. 30, 2012	Dec. 31, 2011
Debt Disclosure [Line Items]
Credit facility, amount	$ 600,000,000
Credit facility, outstanding	267,100,000	309,400,000
Letter of credit, outstanding	5,600,000
Credit facility, remaining	320,200,000
Credit facility, interest rate assessment	1.00% above LIBOR for long-term borrowings or at the higher of the Prime rate and the Federal Funds Rate.
Credit facility, additional interest rate above LIBOR	1.00%
Credit facility, average interest rate	1.26%
Variable commitment fee	0.20%
Term loan, amount	274,199,000	317,335,000
Facilities maturity date	2012-12-28
Percentage the company believes the current interest rate margin is below current market rates	0.50%
Indebtedness to EBITDA ratio	3.5
EBITDA to fixed charges ratio	1.25
Percentage of capital stock of the company's foreign subsidiaries used to secure credit facility	65.00%
Houno A/S
Debt Disclosure [Line Items]
Credit facility, amount	3,000,000
Credit facility, interest rate assessment	1.25% above Euro LIBOR
Credit facility, outstanding	1,500,000
Term loan, amount	1,500,000
Credit facility, additional interest rate above Euro LIBOR	1.25%
Credit facility, interest rate	4.63%
Term loan, maturity	2013
Term loan, interest rate	4.55%
Giga Grandi Cucine Srl
Debt Disclosure [Line Items]
Credit facility, amount	3,700,000
Credit facility, average interest rate	4.15%
Facilities maturity date	April 2015
Armor Inox
Debt Disclosure [Line Items]
Credit facility, amount	$ 400,000
Credit facility, average interest rate	1.70%
Credit facility, maturity	April 2015

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Summary of Significant Accounting Policies (Tables)

6 Months Ended

Jun. 30, 2012

Notes To Financial Statements [Abstract]

Summary of Income Tax Examinations

A summary of the tax years that remain subject to examination in the company’s major tax jurisdictions are: 

United States - federal	2008 – 2011
United States - states	2004 – 2011
Australia	2011
Brazil	2010 – 2011
Canada	2009 – 2011
China	2003 – 2011
Denmark	2009 – 2011
France	2011
Germany	2011
Italy	2009 – 2011
Luxembourg	2011
Mexico	2007 – 2011
Philippines	2008 – 2011
South Korea	2006 – 2011
Spain	2008 – 2011
Taiwan	2008 – 2011
United Kingdom	2008 – 2011

Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis

The company’s financial assets and liabilities that are measured at fair value and are categorized using the fair value hierarchy are as follows (in thousands):

	Fair Value Level 1		Fair Value Level 2		Fair Value Level 3		Total
As of June 30, 2012
Financial Assets:
Pension plans	$	21,599	$	1,217	$	—	$	22,816
Financial Liabilities:
Interest rate swaps	$	—	$	3,338	$	—	$	3,338
Contingent consideration	$	—	$	—	$	2,017	$	2,017
As of December 31, 2011
Financial Assets:
Pension plans	$	21,229	$	1,297	$	—	$	22,526
Financial Liabilities:
Interest rate swaps	$	—	$	3,216	$	—	$	3,216
Contingent consideration	$	—	$	—	$	3,398	$	3,398

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Accrued Expenses (Tables)

6 Months Ended

Jun. 30, 2012

Notes To Financial Statements [Abstract]

Schedule of Accrued Liabilities

Accrued expenses consist of the following:

	Jun 30, 2012		Dec 31, 2011
	(in thousands)
Advanced customer deposits	$	33,622	$	33,246
Accrued payroll and related expenses	31,609		41,434
Accrued warranty	15,474		13,842
Accrued customer rebates	13,812		23,136
Accrued product liability and workers compensation	11,970		10,771
Accrued agent commission	8,607		8,668
Accrued professional services	7,316		7,497
Other accrued expenses	24,890		31,798
	$	147,300	$	170,392

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Rollforward of Warranty Reserve (Details) (USD $) In Thousands, unless otherwise specified	6 Months Ended
	Jun. 30, 2012
Commitments and Contingencies Disclosure [Line Items]
Beginning balance	$ 13,842
Warranty reserve related to acquisitions	292
Warranty expense	13,888
Warranty claims	(12,548)
Ending balance	$ 15,474

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Estimated Fair Values of Assets Acquired and Liabilities Assumed for Armor Inox Acquisition (Details) (Armor Inox, USD $) In Thousands, unless otherwise specified	Dec. 21, 2011
Business Acquisition [Line Items]
Cash	$ 18,201
Current assets	13,737
Property, plant and equipment	1,430
Goodwill	24,175
Other intangibles	12,155
Other assets	25
Current liabilities	(18,440)
Long-term deferred tax liability	(3,975)
Other non-current liabilities	(450)
Net assets acquired and liabilities assumed	46,858
as initially reported
Business Acquisition [Line Items]
Cash	18,201
Current assets	14,612
Property, plant and equipment	941
Goodwill	23,789
Other intangibles	12,155
Other assets	25
Current liabilities	(18,440)
Long-term deferred tax liability	(3,975)
Other non-current liabilities	(450)
Net assets acquired and liabilities assumed	46,858
Measurement Period Adjustments
Business Acquisition [Line Items]
Cash	0
Current assets	(875)
Property, plant and equipment	489
Goodwill	386
Other intangibles	0
Other assets	0
Current liabilities	0
Long-term deferred tax liability	0
Other non-current liabilities	0
Net assets acquired and liabilities assumed	$ 0

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CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $) In Thousands, unless otherwise specified	6 Months Ended
	Jun. 30, 2012		Jul. 02, 2011
Cash flows from operating activities--
Net earnings	$ 53,140		$ 37,453
Adjustments to reconcile net earnings to net cash provided by operating activities--
Depreciation and amortization	13,589	[1]	9,333	[1]
Non-cash share-based compensation	5,877		7,349
Deferred taxes	2,402		(600)
Unrealized loss/(gain) on derivative financial instruments	13		(3)
Changes in assets and liabilities, net of acquisitions
Accounts receivable, net	10,491		(7,104)
Inventories, net	(5,664)		(7,628)
Prepaid expenses and other assets	(8,053)		1,161
Accounts payable	3,016		(5,638)
Accrued expenses and other liabilities	(20,515)		(4,601)
Net cash provided by operating activities	54,296		29,722
Cash flows from investing activities--
Additions to property and equipment	(3,097)		(3,151)
Net cash (used in) investing activities	(13,724)		(101,929)
Cash flows from financing activities--
Net (repayments) proceeds under current revolving credit facilities	(42,300)		93,400
Net (repayments) proceeds under foreign bank loan	(641)		1,327
Repurchase of treasury stock	(14,472)		(9,453)
Debt issuance costs	0		(373)
Excess tax benefit related to share-based compensation	10,945		0
Net proceeds from stock issuances	1,299		224
Net cash (used in) provided by financing activities	(45,169)		85,125
Effect of exchange rates on cash and cash equivalents	(392)		815
Changes in cash and cash equivalents--
Net (decrease) increase in cash and cash equivalents	(4,989)		13,733
Cash and cash equivalents at beginning of year	40,216
Cash and cash equivalents at end of quarter	35,227		21,389
Giga
Cash flows from investing activities--
Payments for Previous Acquisition	0		1,603
Cooktek
Cash flows from investing activities--
Payments for Previous Acquisition	335		86
Danfotech
Cash flows from investing activities--
Payments for (Proceeds from) Previous Acquisition	361		0
Cozzini
Cash flows from investing activities--
Payments for Previous Acquisition	0		2,000
Baker (formerly known as Turkington)
Cash flows from investing activities--
Acquisition of business	(10,250)		0
Beech
Cash flows from investing activities--
Acquisition of business, net of cash acquired	0		(12,959)
Lincat
Cash flows from investing activities--
Acquisition of business, net of cash acquired	0		(82,130)
Drake
Cash flows from investing activities--
Payments for (Proceeds from) Previous Acquisition	$ (403)		$ 0

[1] Non-operating expenses are not allocated to the operating segments. Non-operating expenses consist of interest expense and deferred financing amortization, foreign exchange gains and losses and other income and expense items outside of income from operations.

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Other Comprehensive Income

6 Months Ended

Jun. 30, 2012

Notes To Financial Statements [Abstract]

Other Comprehensive Income

Other Comprehensive Income

The company reports changes in equity during a period, except those resulting from investments by owners and distributions to owners, in accordance with ASC 220, "Comprehensive Income."

Components of other comprehensive income were as follows (in thousands):

	Three Months Ended						Six Months Ended
	Jun 30, 2012			Jul 2, 2011			Jun 30, 2012			Jul 2, 2011
Net earnings	$	31,045		$	19,628		$	53,140		$	37,453
Currency translation adjustment	(7,527		)	1,285			(1,542		)	1,844
Pension liability adjustment, net of tax	169			—			141			—
Unrealized gain on interest rate swaps, net of tax	(95		)	(272		)	(53		)	(198		)
Comprehensive income	$	23,592		$	20,641		$	51,686		$	39,099

Accumulated other comprehensive loss is comprised of unrecognized pension benefit costs of $7.5 million, net of taxes as of June 30, 2012 and December 31, 2011, cumulative foreign currency translation losses of $12.8 million and $11.2 million as of June 30, 2012 and December 31, 2011, respectively and an unrealized loss on interest rate swaps of $1.7 million and $1.7 million, net of taxes as of June 30, 2012 and December 31, 2011, respectively.

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Net Sales Summary (Details) (USD $) In Thousands, unless otherwise specified	3 Months Ended				6 Months Ended
	Jun. 30, 2012		Jul. 02, 2011		Jun. 30, 2012		Jul. 02, 2011
Segment Reporting Information [Line Items]
Sales	$ 260,040	[1]	$ 210,855	[1]	$ 488,863	[1]	$ 393,427	[1]
Percent	100.00%		100.00%		100.00%		100.00%
Commercial Foodservice
Segment Reporting Information [Line Items]
Sales	196,546	[1]	178,271	[1]	374,816	[1]	332,004	[1]
Percent	75.60%		84.50%		76.70%		84.40%
Food Processing
Segment Reporting Information [Line Items]
Sales	$ 63,494	[1]	$ 32,584	[1]	$ 114,047	[1]	$ 61,423	[1]
Percent	24.40%		15.50%		23.30%		15.60%

[1] Non-operating expenses are not allocated to the operating segments. Non-operating expenses consist of interest expense and deferred financing amortization, foreign exchange gains and losses and other income and expense items outside of income from operations.

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Warranty Costs (Tables)

6 Months Ended

Jun. 30, 2012

Notes To Financial Statements [Abstract]

Product Warranty Table Disclosure

A rollforward of the warranty reserve is as follows:

	Six Months Ended
	Jun 30, 2012
	(in thousands)
Beginning balance	$	13,842
Warranty reserve related to acquisitions	292
Warranty expense	13,888
Warranty claims	(12,548		)
Ending balance	$	15,474

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Estimated Fair Values of Assets Acquired and Liabilities Assumed for Maurer Acquisition (Details) (Maurer, USD $) In Thousands, unless otherwise specified	Jul. 22, 2011
Business Acquisition [Line Items]
Current assets	$ 1,005
Property, plant and equipment	628
Goodwill	1,220
Other intangibles	922
Current liabilities	(510)
Net assets acquired and liabilities assumed	3,265
as initially reported
Business Acquisition [Line Items]
Current assets	1,673
Property, plant and equipment	628
Goodwill	870
Other intangibles	922
Current liabilities	(246)
Net assets acquired and liabilities assumed	3,847
Measurement Period Adjustments
Business Acquisition [Line Items]
Current assets	(668)
Property, plant and equipment	0
Goodwill	350
Other intangibles	0
Current liabilities	(264)
Net assets acquired and liabilities assumed	$ (582)

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Summary of Significant Accounting Policies (Policies)

6 Months Ended

Jun. 30, 2012

Notes To Financial Statements [Abstract]

Basis of Presentation

A) Basis of Presentation

The condensed consolidated financial statements have been prepared by The Middleby Corporation (the "company" or “Middleby”), pursuant to the rules and regulations of the Securities and Exchange Commission. The financial statements are unaudited and certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America have been condensed or omitted pursuant to such rules and regulations, although the company believes that the disclosures are adequate to make the information not misleading. These financial statements should be read in conjunction with the financial statements and related notes contained in the company's 2011 Form 10-K. The company’s interim results are not necessarily indicative of future full year results for the fiscal year 2012. 

In the opinion of management, the financial statements contain all adjustments necessary to present fairly the financial position of the company as of June 30, 2012 and December 31, 2011, and the results of operations for the three and six months endedJune 30, 2012 and July 2, 2011 and cash flows for the six months endedJune 30, 2012 and July 2, 2011.

Non-Cash Share-Based Compensation

B) Non-Cash Share-Based Compensation

The company estimates the fair value of market-based stock awards and stock options at the time of grant and recognizes compensation cost over the vesting period of the awards and options. Non-cash share-based compensation expense was $3.2 million and $5.3 million for the second quarter periods ended June 30, 2012 and July 2, 2011, respectively. Non-cash share-based compensation expense was $5.9 million and $7.3 million for the six month periods ended June 30, 2012 and July 2, 2011, respectively

Income Tax Contingencies

C) Income Tax Contingencies

As of December 31, 2011, the total amount of liability for unrecognized tax benefits related to federal, state and foreign taxes was approximately $15.6 million (of which $14.1 million would impact the effective tax rate if recognized) plus approximately $1.9 million of accrued interest and $2.0 million of penalties. The company recognizes interest and penalties accrued related to unrecognized tax benefits in income tax expense. Interest of $(0.2) million and $0.1 million were recognized in the second quarter of 2012 and 2011, respectively. Penalties of $(0.4) million and $0.1 million were recognized in the second quarter of 2012 and 2011, respectively. In the first six months endedJune 30, 2012, the company recognized a benefit of $4.1 million for unrecognized tax benefits related to reduced tax exposures.

It is reasonably possible that the amounts of unrecognized tax benefits associated with state, federal and foreign tax positions may decrease over the next twelve months due to expiration of a statute or completion of an audit. The company believes that it is reasonably possible that approximately $0.1 million of its currently remaining unrecognized tax benefits may be recognized over the next twelve months as a result of lapses of statutes of limitations.

A summary of the tax years that remain subject to examination in the company’s major tax jurisdictions are: 

Fair Value Measures

D) Fair Value Measures

ASC 820 defines fair value as the price that would be received for an asset or paid to transfer a liability (an exit price) in the principal most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. ASC 820 establishes a fair value hierarchy, which prioritizes the inputs used in measuring fair value into the following levels:

Level 1 – Quoted prices in active markets for identical assets or liabilities.

Level 2 – Inputs, other than quoted prices in active markets, that are observable either directly or indirectly.

Level 3 – Unobservable inputs based on our own assumptions.

The company’s financial assets and liabilities that are measured at fair value and are categorized using the fair value hierarchy are as follows (in thousands):

	Fair Value Level 1		Fair Value Level 2		Fair Value Level 3		Total
As of June 30, 2012
Financial Assets:
Pension plans	$	21,599	$	1,217	$	—	$	22,816
Financial Liabilities:
Interest rate swaps	$	—	$	3,338	$	—	$	3,338
Contingent consideration	$	—	$	—	$	2,017	$	2,017
As of December 31, 2011
Financial Assets:
Pension plans	$	21,229	$	1,297	$	—	$	22,526
Financial Liabilities:
Interest rate swaps	$	—	$	3,216	$	—	$	3,216
Contingent consideration	$	—	$	—	$	3,398	$	3,398