Avnet 2002 Annual Report Download - page 64

AVNET, INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS Ì (Continued)
($26,644,000), $1,443,000 and $8,788,000, respectively, have been excluded from the consolidated statements
of operations and cash Öows, respectively. The restated Ñnancial information includes certain reclassiÑcations
to conform Kent's Ñnancial statement presentation to that of Avnet. Intercompany transactions between the
combined companies are not material in any of the periods presented. The combination of the two entities in
this document for periods prior to the acquisition did not give eÅect to any synergies that the Company has
realized from the combined operations since completing the acquisition.
The following table is a reconciliation of the results of operations of the previously separate Avnet and
Kent companies to reported combined results of operations for the most recent interim period preceding the
acquisition, as well as the year ended June 30, 2000:
Avnet Before Kent Before Avnet As
Pooling Pooling Restated
(Thousands)
Nine months ended March 30, 2001
Sales ÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏ $9,557,204 $719,051 $10,276,255
Income from continuing operations ÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏ 205,596 25,536 231,132
Net income ÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏ 205,596 45,952 251,548
Year ended June 30, 2000
Sales ÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏ 9,172,205 742,837 9,915,042
Income from continuing operations ÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏ 145,141 17,423 162,564
Net income ÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏ 145,141 18,251 163,392
The acquisitions completed during 2000 required a total investment of $1,039,506,000 (net of $1,570,000
of cash on the books of the companies acquired), of which $675,030,000 was paid in cash, $351,877,000 in
Avnet stock, $11,745,000 in Avnet stock options ($6,985,000 net of related tax beneÑts) and amounts payable
at June 30, 2000 of $854,000. In the aggregate, the operations acquired during 2000 had sales totaling
approximately $2,852,000,000 during the Ñscal year of each such operation immediately preceding its
acquisition.
The following unaudited pro forma results reÖect the acquisition of Marshall Industries (which occurred
during 2000) as if it occurred on July 3, 1999, the Ñrst day of the Company's 2000 Ñscal year and does not
purport to present what actual results would have been had the acquisition, in fact, occurred at that date or to
project results for any future period:
Year Ended
June 30, 2000
(Thousands, except
per share amounts)
Sales ÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏ $10,477,752
Income from continuing operations before income taxes ÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏ 296,688
Income from continuing operationsÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏ 169,610
Net income ÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏ 170,438
Diluted earnings per share from continuing operationsÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏ 1.51
Diluted net earnings per shareÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏ 1.52
The unaudited pro forma results shown above include the special charges referred to in Note 17. In
addition, the unaudited pro forma results shown above exclude any beneÑts that resulted from the acquisition
due to synergies that were derived from the elimination of any duplicated costs. The historical results of
operations of other companies acquired during 2000 would not have had a material eÅect on the Company's
results of operations in that year and therefore no unaudited pro forma results are presented herein.
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