PHOTRONICS, INC. AND SUBSIDIARIES
Condensed Consolidated Statements of Cash Flows
(in thousands)

	Year Ended
	November 2,			October 28,
	2008			2007
Cash flows from operating activities:
Net income (loss)	$	(210,765	)	$	24,523
Adjustments to reconcile net income (loss) to net cash
provided by operating activities:
Depreciation and amortization		103,931			98,018
Gain on sale of facility		-			(2,254	)
Minority interest in income of consolidated subsidiaries		1,374			2,539
Impairment of goodwill		138,534			-
Impairment of long-lived assets		67,384			-
Changes in assets and liabilities and other		(8,378	)		11,867
Net cash provided by operating activities		92,080			134,693
Cash flows from investing activities:
Purchases of property, plant and equipment		(105,125	)		(94,132	)
Purchases of short-term investments and other		(327	)		(4,151	)
Proceeds from sales of investments and other		3,815			66,304
Proceeds from sale of facility and other		-			5,784
Distribution from joint venture		5,000			-
Investment in joint venture		(2,598	)		(3,499	)
Net cash used in investing activities		(99,235	)		(29,694	)
Cash flows from financing activities:
Repayments of long-term borrowings		(183,509	)		(94,584	)
Proceeds from long-term borrowings		139,640			4,303
Proceeds from exercised stock options and other		-			988
Other		(3,790	)		(527	)
Net cash used in financing activities		(47,659	)		(89,820	)
Effect of exchange rate changes on cash		(7,472	)		1,445
Net increase (decrease) in cash and cash equivalents		(62,286	)		16,624
Cash and cash equivalents, beginning of period		146,049			129,425
Cash and cash equivalents, end of period	$	83,763		$	146,049
Supplemental disclosure of cash flow information:
Change in accrual for purchases of property, plant and equipment	$	(46,769	)	$	51,582
Capital lease obligation for purchases of property, plant and
equipment	$	61,662		$	19,912