Alamo`s European Division reported sales of $43.2 million, an increase of 12%compared to sales of $38.7 million in the first quarter of the prior year.Without the acquisition of Rivard, which is included in this Division`s results,sales for the quarter were $29.3 million, a decrease of 24% compared to thefirst quarter of 2008. This decrease is primarily the result of changes inexchange rates. In local currency the Division showed a slight increase in saleswithout the effects of the acquisition of Rivard. This improvement was achieveddespite softer market conditions that also affected the Company`s Europeanmarkets. Ron Robinson, Alamo Group`s President and CEO, commented, "Our Company`s resultsin the first quarter of 2009 reflected the weakness in the overall economy,particularly cutbacks in governmental spending, and seasonal softness which wasexacerbated by actions by many dealers to cut back on inventory stocking levelsin light of uncertain market conditions.
This was certainly true with some ofour higher priced products such as Gradall excavators and VacAll vacuum trucks.We are hopeful such items will show some improvement as we move into the moreactive spring and summer selling seasons, particularly since dealer inventoriesare currently low." "That said, we are pleased by the performance of many of our operations,especially our European Division, which has continued to show growth despite thecurrent economy and further effects of the strengthening dollar. Also, our mostrecent acquisitions, Rivard and Henke, have performed well and have been keycontributors in these challenging times." "In light of current market conditions we continue to exercise stringent costcontrol measures throughout our organization, including reductions in staffing.These actions have resulted in an increase in our gross margins, though notenough to offset the effects of the decline in volume and the short term costsassociated with our various initiatives. We have also made progress instrengthening our balance sheet where, adjusting for the acquisition of Rivard,our receivables and inventory are below last year`s levels, as is our long termdebt. We believe these actions will help us meet the challenges of themarketplace as we continue to take steps necessary to protect profitability inthis environment." "Although we remain concerned about both the depth and length of the currentdownturn, which we feel will continue throughout 2009, product inquiries remainat healthy levels, and we are already seeing more activity as we enter ourbusier selling season when demand for the types of maintenance equipment we selltypically picks up. While we are diligently controlling costs, managing ourassets and reducing debt levels, we remain strongly committed to supporting ourcustomers` needs and having the resources available to back that commitment. Ouradded focus on profitability and a stronger balance sheet should not onlybenefit us during this downturn, but even more so when our markets begin torebound." Alamo Group is a leader in the design, manufacture, distribution and service ofhigh quality equipment for right-of-way maintenance and agriculture. Ourproducts include truck and tractor mounted mowing and other vegetationmaintenance equipment, street sweepers, snow removal equipment, potholepatchers, excavators, vacuum trucks, agricultural implements and related aftermarket parts and services.
The Company, founded in 1969, has over 2,330employees and operates seventeen plants in North America and Europe as of March31, 2009 The corporate offices of Alamo Group Inc. are located in Seguin, Texasand the headquarters for the Company`s European operations are located inSalford Priors, England. This release contains forward-looking statements that are made pursuant to thesafe harbor provisions of the Private Securities Litigation Reform Act of1995.Forward-looking statements involve known and unknown risks anduncertainties, which may cause the Company`s actual results in future periods todiffer materially from forecasted results. Among those factors which could causeactual results to differ materially are the following: market demand,competition, weather, seasonality, currency-related issues, general economicconditions and other risk factors listed from time to time in the Company`s SECreports.The Company does not undertake any obligation to update the informationcontained herein, which speaks only as of this date.(Tables Follow) ALAMO GROUP REPORTS 2009 FIRST QUARTER RESULTS Alamo Group Inc. George, 830-372-9621Vice PresidentorFDEric Boyriven/Alexandra Tramont, 212-850-5600 Copyright Business Wire 2009. PORTLAND, OR, May 06 (MARKET WIRE) -- FLIR Systems, Inc (NASDAQ: FLIR) announced today that John W. Wood, Jr.has been elected to the Board of Directors for a term expiring at theCompany's 2010 Annual Meeting of Shareholders Mr.