GUARANTOR/NON-GUARANTOR FINANCIAL INFORMATION (Tables)

6 Months Ended

Jun. 30, 2012

GUARANTOR/NON-GUARANTOR FINANCIAL INFORMATION

Condensed Consolidated Statements of Operations

CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS AND COMPREHENSIVE INCOME
For the Thirteen Weeks ended June 30, 2012

	Parent			Guarantors			Non-Guarantors			Eliminations			Total
Net sales	$	347,643		$	152,159		$	333,171		$	(65,658	)	$	767,315
Cost of sales		249,557			121,658			261,374			(64,669	)		567,920
Gross profit		98,086			30,501			71,797			(989	)		199,395
Selling, general and administrative expenses		43,762			13,177			45,104			—			102,043
Operating income		54,324			17,324			26,693			(989	)		97,352
Other income (expense):
Interest expense		(7,573	)		(12,244	)		152			12,244			(7,421	)
Interest income		5			129			14,020			(12,244	)		1,910
Other		(454	)		11			(1,534	)		—			(1,977	)
		(8,022	)		(12,104	)		12,638			—			(7,488	)
Earnings before income taxes and equity in earnings of nonconsolidated subsidiaries		46,302			5,220			39,331			(989	)		89,864
Income tax expense (benefit):
Current		19,363			6,197			10,425			—			35,985
Deferred		(2,963	)		(1,031	)		(1,199	)		—			(5,193	)
		16,400			5,166			9,226			—			30,792
Earnings before equity in earnings of nonconsolidated subsidiaries		29,902			54			30,105			(989	)		59,072
Equity in earnings of nonconsolidated subsidiaries		30,078			23,253			2,276			(53,520	)		2,087
Net earnings		59,980			23,307			32,381			(54,509	)		61,159
Other comprehensive income (loss)		(28,247	)		14,123			(39,671	)		21,836			(31,959	)
Comprehensive income (loss)		31,733			37,430			(7,290	)		(32,673	)		29,200
Less: Comprehensive loss attributable to noncontrolling interests		—			—			2,533			—			2,533
Comprehensive income (loss) attributable to Valmont Industries, Inc	$	31,733		$	37,430		$	(4,757	)	$	(32,673	)	$	31,733

CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS AND COMPREHENSIVE INCOME
For the Twenty-six Weeks ended June 30, 2012

	Parent			Guarantors			Non-Guarantors			Eliminations			Total
Net sales	$	712,483		$	280,871		$	627,113		$	(135,802	)	$	1,484,665
Cost of sales		517,069			225,300			491,297			(134,710	)		1,098,956
Gross profit		195,414			55,571			135,816			(1,092	)		385,709
Selling, general and administrative expenses		87,034			26,965			91,540			—			205,539
Operating income		108,380			28,606			44,276			(1,092	)		180,170
Other income (expense):
Interest expense		(15,255	)		(24,501	)		27			24,501			(15,228	)
Interest income		14			323			28,152			(24,501	)		3,988
Other		1,005			25			(1,430	)		—			(400	)
		(14,236	)		(24,153	)		26,749			—			(11,640	)
Earnings before income taxes and equity in earnings of nonconsolidated subsidiaries		94,144			4,453			71,025			(1,092	)		168,530
Income tax expense (benefit):
Current		36,548			5,296			21,170			—			63,014
Deferred		(2,769	)		139			(1,826	)		—			(4,456	)
		33,779			5,435			19,344			—			58,558
Earnings (loss) before equity in earnings of nonconsolidated subsidiaries		60,365			(982	)		51,681			(1,092	)		109,972
Equity in earnings of nonconsolidated subsidiaries		51,940			46,361			3,932			(98,458	)		3,775
Net earnings		112,305			45,379			55,613			(99,550	)		113,747
Other comprehensive income (loss)		(1,465	)		(2,244	)		8,129			(4,846	)		(426	)
Comprehensive income		110,840			43,135			63,742			(104,396	)		113,321
Less: Comprehensive income attributable to noncontrolling interests		—			—			(2,481	)		—			(2,481	)
Comprehensive income attributable to Valmont Industries, Inc	$	110,840		$	43,135		$	61,261		$	(104,396	)	$	110,840

CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS AND COMPREHENSIVE INCOME
For the Thirteen Weeks Ended June 25, 2011

	Parent			Guarantors			Non-Guarantors			Eliminations			Total
Net sales	$	302,497		$	87,273		$	324,846		$	(46,007	)	$	668,609
Cost of sales		223,712			68,513			254,565			(46,163	)		500,627
Gross profit		78,785			18,760			70,281			156			167,982
Selling, general and administrative expenses		41,144			11,510			46,709			—			99,363
Operating income		37,641			7,250			23,572			156			68,619
Other income (expense):
Interest expense		(10,676	)		—			(107	)		—			(10,783	)
Interest income		39			—			1,962			—			2,001
Other		(179	)		19			664			—			504
		(10,816	)		19			2,519			—			(8,278	)
Earnings before income taxes and equity in earnings of nonconsolidated subsidiaries		26,825			7,269			26,091			156			60,341
Income tax expense (benefit):
Current		12,863			3,172			8,498			—			24,533
Deferred		(3,970	)		(707	)		(6,305	)		—			(10,982	)
		8,893			2,465			2,193			—			13,551
Earnings before equity in earnings of nonconsolidated subsidiaries		17,932			4,804			23,898			156			46,790
Equity in earnings of nonconsolidated subsidiaries		27,895			13,970			1,234			(41,898	)		1,201
Net earnings		45,827			18,774			25,132			(41,742	)		47,991
Other comprehensive income		6,110			—			10,274			(9,392	)		6,992
Comprehensive income		51,937			18,774			35,406			(51,134	)		54,983
Less: Comprehensive income attributable to noncontrolling interests		—			—			(3,046	)		—			(3,046	)
Comprehensive income attributable to Valmont Industries, Inc	$	51,937		$	18,774		$	32,360		$	(51,134	)	$	51,937

CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS AND COMPREHENSIVE INCOME
For the Twenty-six Weeks Ended June 25, 2011

	Parent			Guarantors			Non-Guarantors			Eliminations			Total
Net sales	$	565,143		$	161,114		$	594,915		$	(84,614	)	$	1,236,558
Cost of sales		422,015			126,819			467,950			(84,701	)		932,083
Gross profit		143,128			34,295			126,965			87			304,475
Selling, general and administrative expenses		78,253			22,261			90,041			—			190,555
Operating income		64,875			12,034			36,924			87			113,920
Other income (expense):
Interest expense		(18,855	)		—			(189	)		—			(19,044	)
Interest income		34			—			3,744			—			3,778
Other		192			30			672			—			894
		(18,629	)		30			4,227			—			(14,372	)
Earnings before income taxes and equity in earnings of nonconsolidated subsidiaries		46,246			12,064			41,151			87			99,548
Income tax expense (benefit):
Current		19,352			5,276			12,409			—			37,037
Deferred		(3,910	)		(968	)		(5,320	)		—			(10,198	)
		15,442			4,308			7,089			—			26,839
Earnings before equity in earnings of nonconsolidated subsidiaries		30,804			7,756			34,062			87			72,709
Equity in earnings of nonconsolidated subsidiaries		40,632			20,337			2,120			(60,934	)		2,155
Net earnings		71,436			28,093			36,182			(60,847	)		74,864
Other comprehensive income		27,614			—			33,756			(30,896	)		30,474
Comprehensive income		99,050			28,093			69,938			(91,743	)		105,338
Less: Comprehensive income attributable to noncontrolling interests		—			—			(6,288	)		—			(6,288	)
Comprehensive income attributable to Valmont Industries, Inc	$	99,050		$	28,093		$	63,650		$	(91,743	)	$	99,050

Condensed Consolidated Balance Sheets

CONDENSED CONSOLIDATED BALANCE SHEETS
June 30, 2012

	Parent			Guarantors			Non-Guarantors		Eliminations			Total
ASSETS
Current assets:
Cash and cash equivalents	$	23,542		$	40,473		$	264,366	$	—		$	328,381
Receivables, net		133,821			81,412			274,138		—			489,371
Inventories		135,926			84,968			220,402		—			441,296
Prepaid expenses		4,780			743			24,249		—			29,772
Refundable and deferred income taxes		21,862			5,890			16,247		—			43,999
Total current assets		319,931			213,486			799,402		—			1,332,819
Property, plant and equipment, at cost		440,285			112,489			388,951		—			941,725
Less accumulated depreciation and amortization		290,752			57,311			127,970		—			476,033
Net property, plant and equipment		149,533			55,178			260,981		—			465,692
Goodwill		20,108			107,542			185,127		—			312,777
Other intangible assets		580			56,454			104,931		—			161,965
Investment in subsidiaries and intercompany accounts		1,395,199			1,242,596			630,540		(3,268,335	)		—
Other assets		31,787			—			91,709		—			123,496
Total assets	$	1,917,138		$	1,675,256		$	2,072,690	$	(3,268,335	)	$	2,396,749
LIABILITIES AND SHAREHOLDERS' EQUITY
Current liabilities:
Current installments of long-term debt	$	179		$	—		$	69	$	—		$	248
Notes payable to banks		—			—			17,374		—			17,374
Accounts payable		58,810			26,823			136,583		—			222,216
Accrued expenses		75,352			13,032			67,567		—			155,951
Dividends payable		5,985			—			—		—			5,985
Total current liabilities		140,326			39,855			221,593		—			401,774
Deferred income taxes		18,932			27,472			32,813		—			79,217
Long-term debt, excluding current installments		472,548			587,258			1,044		(587,258	)		473,592
Other noncurrent liabilities		31,558			—			102,769		—			134,327
Commitments and contingencies
Shareholders' equity:
Common stock of $1 par value		27,900			457,950			254,982		(712,932	)		27,900
Additional paid-in capital		—			150,286			893,274		(1,043,560	)		—
Retained earnings		1,186,603			415,637			439,011		(854,648	)		1,186,603
Accumulated other comprehensive income		62,587			(3,202	)		73,139		(69,937	)		62,587
Treasury stock		(23,316	)		—			—		—			(23,316	)
Total Valmont Industries, Inc. shareholders' equity		1,253,774			1,020,671			1,660,406		(2,681,077	)		1,253,774
Noncontrolling interest in consolidated subsidiaries		—			—			54,065		—			54,065
Total shareholders' equity		1,253,774			1,020,671			1,714,471		(2,681,077	)		1,307,839
Total liabilities and shareholders' equity	$	1,917,138		$	1,675,256		$	2,072,690	$	(3,268,335	)	$	2,396,749

CONDENSED CONSOLIDATED BALANCE SHEETS
December 31, 2011

	Parent			Guarantors			Non-Guarantors		Eliminations			Total
ASSETS
Current assets:
Cash and cash equivalents	$	27,545		$	18,257		$	317,092	$	—		$	362,894
Receivables, net		122,409			53,567			250,707		—			426,683
Inventories		125,862			77,838			190,082		—			393,782
Prepaid expenses		3,448			1,009			21,308		—			25,765
Refundable and deferred income taxes		22,053			6,218			15,548		—			43,819
Total current assets		301,317			156,889			794,737		—			1,252,943
Property, plant and equipment, at cost		427,398			107,315			376,929		—			911,642
Less accumulated depreciation and amortization		283,786			54,740			118,239		—			456,765
Net property, plant and equipment		143,612			52,575			258,690		—			454,877
Goodwill		20,108			107,542			187,012		—			314,662
Other intangible assets		661			59,389			108,033		—			168,083
Investment in subsidiaries and intercompany accounts		1,338,299			695,745			596,301		(2,630,345	)		—
Other assets		30,192			—			85,319		—			115,511
Total assets	$	1,834,189		$	1,072,140		$	2,030,092	$	(2,630,345	)	$	2,306,076
LIABILITIES AND SHAREHOLDERS' EQUITY
Current liabilities:
Current installments of long-term debt	$	187		$	—		$	48	$	—		$	235
Notes payable to banks		—			—			11,403		—			11,403
Accounts payable		85,974			21,428			127,135		—			234,537
Accrued expenses		72,341			14,259			70,528		—			157,128
Dividends payable		4,767			—			—		—			4,767
Total current liabilities		163,269			35,687			209,114		—			408,070
Deferred income taxes		21,891			27,661			35,945		—			85,497
Long-term debt, excluding current installments		473,419			—			996		—			474,415
Other noncurrent liabilities		28,648			—			111,535		—			140,183
Commitments and contingencies
Shareholders' equity:
Common stock of $1 par value		27,900			457,950			254,982		(712,932	)		27,900
Additional paid-in capital		—			181,542			893,884		(1,075,426	)		—
Retained earnings		1,079,698			370,258			407,677		(777,935	)		1,079,698
Accumulated other comprehensive income		64,052			(958	)		65,010		(64,052	)		64,052
Treasury stock		(24,688	)		—			—		—			(24,688	)
Total Valmont Industries, Inc. shareholders' equity		1,146,962			1,008,792			1,621,553		(2,630,345	)		1,146,962
Noncontrolling interest in consolidated subsidiaries		—			—			50,949		—			50,949
Total shareholders' equity		1,146,962			1,008,792			1,672,502		(2,630,345	)		1,197,911
Total liabilities and shareholders' equity	$	1,834,189		$	1,072,140		$	2,030,092	$	(2,630,345	)	$	2,306,076

Condensed Consolidated Statements of Cash Flows

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
For the Twenty-six Weeks Ended June 30, 2012

	Parent			Guarantors			Non-Guarantors			Eliminations			Total
Cash flows from operating activities:
Net earnings	$	112,305		$	45,379		$	55,613		$	(99,550	)	$	113,747
Adjustments to reconcile net earnings to net cash flows from operations:
Depreciation and amortization		9,121			6,341			18,905			—			34,367
Stock-based compensation		3,067			—			—			—			3,067
Defined benefit pension plan expense		—			—			2,050			—			2,050
Contribution to defined benefit pension plan		—			—			(10,750	)		—			(10,750	)
Gain on sale of property, plant and equipment		(65	)		(44	)		(55	)		—			(164	)
Equity in earnings of nonconsolidated subsidiaries		157			—			(3,933	)		—			(3,776	)
Deferred income taxes		(2,769	)		139			(1,826	)		—			(4,456	)
Changes in assets and liabilities:
Receivables		(11,412	)		(27,844	)		(30,666	)		—			(69,922	)
Inventories		(10,063	)		(7,131	)		(31,471	)		167			(48,498	)
Prepaid expenses		(1,332	)		266			(2,994	)		—			(4,060	)
Accounts payable		(13,913	)		5,395			10,494			—			1,976
Accrued expenses		3,009			(1,227	)		(2,403	)		—			(621	)
Other noncurrent liabilities		719			—			(1,127	)		—			(408	)
Income taxes payable (refundable)		(13,249	)		38			(2,878	)					(16,089	)
Net cash flows from operating activities		75,575			21,312			(1,041	)		(99,383	)		(3,537	)
Cash flows from investing activities:
Purchase of property, plant and equipment		(15,037	)		(6,017	)		(18,167	)		—			(39,221	)
Proceeds from sale of assets		98			52			4,717			—			4,867
Other, net		(59,181	)		6,599			(44,964	)		99,383			1,837
Net cash flows from investing activities		(74,120	)		634			(58,414	)		99,383			(32,517	)
Cash flows from financing activities:
Net borrowings under short-term agreements		—			—			5,931			—			5,931
Proceeds from long-term borrowings		39,000			—			126			—			39,126
Principal payments on long-term borrowings		(39,191	)		—			(41	)		—			(39,232	)
Proceeds from sale of partial ownership interest		—			—			1,404			—			1,404
Dividends paid		(9,545	)		—			—			—			(9,545	)
Dividends to noncontrolling interest		—			—			(1,379	)		—			(1,379	)
Proceeds from exercises under stock plans		15,153			—			—			—			15,153
Excess tax benefits from stock option exercises		3,211			—			—			—			3,211
Purchase of common treasury shares—stock plan exercises:		(14,086	)		—			—			—			(14,086	)
Net cash flows from financing activities		(5,458	)		—			6,041			—			583
Effect of exchange rate changes on cash and cash equivalents		—			270			688			—			958
Net change in cash and cash equivalents		(4,003	)		22,216			(52,726	)		—			(34,513	)
Cash and cash equivalents—beginning of year		27,545			18,257			317,092			—			362,894
Cash and cash equivalents—end of period	$	23,542		$	40,473		$	264,366		$	—		$	328,381

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
For the Twenty-six Weeks Ended June 25, 2011

	Parent			Guarantors			Non-Guarantors			Eliminations			Total
Cash flows from operations:
Net earnings	$	71,436		$	28,093		$	36,182		$	(60,847	)	$	74,864
Adjustments to reconcile net earnings to net cash flows from operations:
Depreciation and amortization		9,982			6,147			19,741			—			35,870
Stock-based compensation		2,618			—			—			—			2,618
Defined benefit pension plan expense		—			—			2,962			—			2,962
Contribution to defined benefit pension plan		—			—			(10,086	)		—			(10,086	)
Gain on sale of property, plant and equipment		(216	)		—			(23	)		—			(239	)
Equity in earnings of nonconsolidated subsidiaries		(34	)		—			(2,121	)		—			(2,155	)
Deferred income taxes		(3,910	)		(968	)		(5,320	)		—			(10,198	)
Changes in assets and liabilities:
Receivables		(16,627	)		2,791			(17,227	)		—			(31,063	)
Inventories		(41,343	)		(15,317	)		(22,296	)		—			(78,956	)
Prepaid expenses		(1,270	)		(57	)		(4,301	)		—			(5,628	)
Accounts payable		14,104			3,050			21,740			—			38,894
Accrued expenses		2,860			836			(13,170	)		—			(9,474	)
Other noncurrent liabilities		(5,438	)		—			1,036			—			(4,402	)
Income taxes payable (refundable)		27,822			—			(10,914	)		—			16,908
Net cash flows from operations		59,984			24,575			(3,797	)		(60,847	)		19,915
Cash flows from investing activities:
Purchase of property, plant and equipment		(4,644	)		(7,604	)		(15,663	)		—			(27,911	)
Proceeds from sale of assets		14			13			2,428			—			2,455
Acquisitions, net of cash acquired		—			—			(1,539	)		—			(1,539	)
Other, net		(58,343	)		(17,122	)		16,566			60,847			1,948
Net cash flows from investing activities		(62,973	)		(24,713	)		1,792			60,847			(25,047	)
Cash flows from financing activities:
Net borrowings under short-term agreements		—			—			2,160			—			2,160
Proceeds from long-term borrowings		187,770			—			—			—			187,770
Principal payments on long-term borrowings		(167,186	)		—			(44	)		—			(167,230	)
Purchase of noncontrolling interest		—			—			(25,253	)		—			(25,253	)
Dividends paid		(8,710	)		—			—			—			(8,710	)
Dividends to noncontrolling interest		—			—			(4,958	)		—			(4,958	)
Settlement of financial derivative		(3,568	)		—			—			—			(3,568	)
Debt issues fees		(1,284	)		—			—			—			(1,284	)
Proceeds from exercises under stock plans		16,933			—			—			—			16,933
Excess tax benefits from stock option exercises		2,533			—			—			—			2,533
Purchase of treasury shares		(4,802	)		—			—			—			(4,802	)
Purchase of common treasury shares—stock plan exercises		(18,443	)		—			—			—			(18,443	)
Net cash flows from financing activities		3,243			—			(28,095	)		—			(24,852	)
Effect of exchange rate changes on cash and cash equivalents		—			—			9,870			—			9,870
Net change in cash and cash equivalents		254			(138	)		(20,230	)		—			(20,114	)
Cash and cash equivalents—beginning of year		8,015			619			338,270			—			346,904
Cash and cash equivalents—end of period	$	8,269		$	481		$	318,040		$	—		$	326,790