10-Q

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

Form 10-Q

(Mark One)

ý QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 FOR THE QUARTERLY PERIOD ENDED JUNE 30, 2011, OR

TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 FOR THE TRANSITION PERIOD FROM                      TO                     

Commission File Number: 1-13595

Mettler-Toledo International Inc.

(Exact name of registrant as specified in its charter)

Delaware	13-3668641
(State or other jurisdiction of incorporation or organization)	(I.R.S Employer Identification No.)

1900 Polaris Parkway
Columbus, Ohio 43240
and
Im Langacher, P.O. Box MT-100
CH 8606 Greifensee, Switzerland

            (Address of principal executive offices)            
(Zip Code)

1-614-438-4511 and +41-44-944-22-11

            (Registrant’s telephone number, including area code)            

not applicable

              (Former name, former address and former fiscal year, if changed since last report)              

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    

Indicate by checkmark 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 (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files). Yes  X     No    

Indicate by checkmark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer or a smaller reporting company. See the definitions of “large accelerated filer,” “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Exchange Act. (Check one): Large accelerated filer  X  Accelerated filer      Non-accelerated filer      (Do not check if a smaller reporting company) Smaller reporting company     

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes         No X 

The Registrant had 31,884,134 shares of Common Stock outstanding at June 30, 2011.

METTLER-TOLEDO INTERNATIONAL INC.
INDEX TO QUARTERLY REPORT ON FORM 10-Q

		PAGE
	PART I. FINANCIAL INFORMATION
Item 1.	Financial Statements
	Unaudited Interim Consolidated Financial Statements:
	Interim Consolidated Statements of Operations for the three months ended June 30, 2011 and 2010		3
	Interim Consolidated Statements of Operations for the six months ended June 30, 2011 and 2010		4
	Interim Consolidated Balance Sheets as of June 30, 2011 and December 31, 2010		5
	Interim Consolidated Statements of Shareholders' Equity and Comprehensive Income for the six months ended June 30, 2011 and twelve months ended December 31, 2010		6
	Interim Consolidated Statements of Cash Flows for the six months ended June 30, 2011 and 2010		7
	Notes to the Interim Consolidated Financial Statements at June 30, 2011		8
Item 2.	Management's Discussion and Analysis of Financial Condition and Results of Operations		21
Item 3.	Quantitative and Qualitative Disclosures About Market Risk		32
Item 4.	Controls and Procedures		32
	PART II. OTHER INFORMATION
Item 1.	Legal Proceedings		33
Item 1A.	Risk Factors		33
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds		33
Item 3.	Defaults upon Senior Securities		33
Item 5.	Other Information		33
Item 6.	Exhibits		34
SIGNATURE
EX-31.1
EX-31.2
EX-32
EX-101 INSTANCE DOCUMENT
EX-101 SCHEMA DOCUMENT
EX-101 CALCULATION LINKBASE DOCUMENT
EX-101 LABELS LINKBASE DOCUMENT
EX-101 PRESENTATION LINKBASE DOCUMENT
EX-101 DEFINITION LINKBASE DOCUMENT

PART I. FINANCIAL INFORMATION

Item 1. Financial Statements

METTLER-TOLEDO INTERNATIONAL INC.

INTERIM CONSOLIDATED STATEMENTS OF OPERATIONS

Three months ended June 30, 2011 and 2010
(In thousands, except share data)
(unaudited)

		June 30,		June 30,
	2011		2010
Net sales
Products	$	439,321	$	358,829
Service		121,767		109,720
Total net sales		561,088		468,549
Cost of sales
Products		189,253		154,770
Service		75,644		67,154
Gross profit		296,191		246,625
Research and development		29,605		23,105
Selling, general and administrative		172,054		143,602
Amortization		4,325		3,565
Interest expense		5,692		4,711
Restructuring charges		1,971		1,526
Other charges (income), net		1,207		730
Earnings before taxes		81,337		69,386
Provision for taxes		21,149		18,039
Net earnings	$	60,188	$	51,347
Basic earnings per common share:
Net earnings	$	1.88	$	1.53
Weighted average number of common shares		31,997,850		33,536,105
Diluted earnings per common share:
Net earnings	$	1.82	$	1.49
Weighted average number of common and common equivalent shares		33,013,887		34,395,487

The accompanying notes are an integral part of these interim consolidated financial statements.

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METTLER-TOLEDO INTERNATIONAL INC.

INTERIM CONSOLIDATED STATEMENTS OF OPERATIONS

Six months ended June 30, 2011 and 2010
(In thousands, except share data)
(unaudited)

	June 30,		June 30,
	2011		2010
Net sales
Products	$	826,395	$	672,233
Service		233,459		212,967
Total net sales		1,059,854		885,200
Cost of sales
Products		356,966		289,101
Service		145,190		131,548
Gross profit		557,698		464,551
Research and development		55,956		45,570
Selling, general and administrative		333,432		278,616
Amortization		7,947		6,946
Interest expense		11,403		9,965
Restructuring charges		2,469		1,910
Other charges (income), net		1,876		984
Earnings before taxes		144,615		120,560
Provision for taxes		37,600		31,345
Net earnings	$	107,015	$	89,215
Basic earnings per common share:
Net earnings	$	3.33	$	2.65
Weighted average number of common shares		32,144,223		33,646,640
Diluted earnings per common share:
Net earnings	$	3.23	$	2.59
Weighted average number of common and common equivalent shares		33,152,760		34,464,277

The accompanying notes are an integral part of these interim consolidated financial statements.

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METTLER-TOLEDO INTERNATIONAL INC.

INTERIM CONSOLIDATED BALANCE SHEETS
As of June 30, 2011 and December 31, 2010
(In thousands, except share data)
(unaudited)

	June 30,			December 31,
	2011			2010
ASSETS
Current assets:
Cash and cash equivalents	$	328,763		$	447,577
Trade accounts receivable, less allowances of $12,525 at June 30, 2011 and $11,536 at December 31, 2010		382,089			368,936
Inventories		268,154			217,104
Current deferred tax assets, net		51,932			44,548
Other current assets and prepaid expenses		67,231			66,730
Total current assets		1,098,169			1,144,895
Property, plant and equipment, net		416,872			364,472
Goodwill		447,599			434,699
Other intangible assets, net		113,686			104,372
Non-current deferred tax assets, net		100,264			95,996
Other non-current assets		164,689			138,629
Total assets	$	2,341,279		$	2,283,063
LIABILITIES AND SHAREHOLDERS’ EQUITY
Current liabilities:
Trade accounts payable	$	151,499		$	138,105
Accrued and other liabilities		107,207			100,793
Accrued compensation and related items		114,132			138,358
Deferred revenue and customer prepayments		107,247			86,746
Taxes payable		54,285			49,577
Current deferred tax liabilities		18,999			17,705
Short-term borrowings and current maturities of long-term debt		12,626			10,902
Total current liabilities		565,995			542,186
Long-term debt		621,359			670,301
Non-current deferred tax liabilities		129,907			124,523
Other non-current liabilities		185,613			174,469
Total liabilities		1,502,874			1,511,479
Commitments and contingencies (Note 14)
Shareholders’ equity:
Preferred stock, $0.01 par value per share; authorized 10,000,000 shares		–			–
Common stock, $0.01 par value per share; authorized 125,000,000 shares; issued 44,786,011 and 44,786,011 shares; outstanding 31,884,134 and 32,425,315 shares at June 30, 2011 and December 31, 2010, respectively		448			448
Additional paid-in capital		608,543			597,195
Treasury stock at cost (12,901,877 shares at June 30, 2011 and 12,360,696 shares at December 31, 2010)		(1,159,848	)		(1,057,390	)
Retained earnings		1,325,007			1,223,130
Accumulated other comprehensive income (loss)		64,255			8,201
Total shareholders’ equity		838,405			771,584
Total liabilities and shareholders’ equity	$	2,341,279		$	2,283,063

The accompanying notes are an integral part of these interim consolidated financial statements.

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METTLER-TOLEDO INTERNATIONAL INC.

INTERIM CONSOLIDATED STATEMENTS OF SHAREHOLDERS’ EQUITY AND COMPREHENSIVE INCOME

Six months ended June 30, 2011 and twelve months ended December 31, 2010
(In thousands, except share data)
(unaudited)

														Accumulated
	Common Stock					Additional								Other
						Paid-in		Treasury			Retained			Comprehensive
	Shares			Amount		Capital		Stock			Earnings			Income (Loss)			Total
Balance at December 31, 2009		33,851,124		$	448	$	574,034	$	(857,130	)	$	1,009,995		$	(16,209	)	$	711,138
Exercise of stock options and restricted stock units		527,276			-		-		39,555			(19,100	)		-			20,455
Other treasury stock issuances		2,549			-		-		183			87			-			270
Repurchases of common stock		(1,955,634	)		-		-		(239,998	)		-			-			(239,998	)
Tax benefit resulting from exercise of certain employee stock options		-			-		10,776		-			-			-			10,776
Share-based compensation		-			-		12,385		-			-			-			12,385
Comprehensive income:
Net earnings		-			-		-		-			232,148			-			232,148
Net unrealized loss on cash flow hedging arrangements, net of tax		-			-		-		-			-			(6,410	)		(6,410	)
Change in currency translation adjustment, net of tax		-			-		-		-			-			31,647			31,647
Pension adjustment, net of tax		-			-		-		-			-			(827	)		(827	)
Total comprehensive income																		256,558
Balance at December 31, 2010		32,425,315		$	448	$	597,195	$	(1,057,390	)	$	1,223,130		$	8,201		$	771,584
Exercise of stock options and restricted stock units		146,898			-		-		11,721			(5,138	)		-			6,583
Repurchases of common stock		(688,079	)		-		-		(114,179	)		-			-			(114,179	)
Tax benefit resulting from exercise of certain employee stock options		-			-		5,626		-			-			-			5,626
Share-based compensation		-			-		5,722		-			-			-			5,722
Comprehensive income:
Net earnings		-			-		-		-			107,015			-			107,015
Net unrealized loss on cash flow hedging arrangements, net of tax		-			-		-		-			-			(599	)		(599	)
Change in currency translation adjustment, net of tax		-			-		-		-			-			54,605			54,605
Pension adjustment, net of tax		-			-		-		-			-			2,048			2,048
Total comprehensive income (a)																		163,069
Balance at June 30, 2011		31,884,134		$	448	$	608,543	$	(1,159,848	)	$	1,325,007		$	64,255		$	838,405

(a) Total comprehensive income for the three months ended June 30, 2011 and 2010 was $97,326 and $37,263, respectively and $59,651 for the six months ended June 30, 2010.

The accompanying notes are an integral part of these interim consolidated financial statements.

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METTLER-TOLEDO INTERNATIONAL INC.

INTERIM CONSOLIDATED STATEMENTS OF CASH FLOWS

Six months ended June 30, 2011 and 2010
(In thousands)
(unaudited)

	June 30,			June 30,
	2011			2010
Cash flows from operating activities:
Net earnings	$	107,015		$	89,215
Adjustments to reconcile net earnings to net cash provided by operating activities:
Depreciation		14,854			14,465
Amortization		7,947			6,946
Deferred tax provision		(8,058	)		(4,534	)
Excess tax benefits from share-based payment arrangements		(4,931	)		(2,718	)
Share-based compensation		5,722			6,009
Other		(515	)		129
Increase (decrease) in cash resulting from changes in:
Trade accounts receivable, net		4,121			(10,697	)
Inventories		(33,628	)		(23,633	)
Other current assets		1,229			(2,325	)
Trade accounts payable		6,874			9,481
Taxes payable		(796	)		8,957
Accruals and other		(6,281	)		27,963
Net cash provided by operating activities		93,553			119,258
Cash flows from investing activities:
Proceeds from sale of property, plant and equipment		2,302			102
Purchase of property, plant and equipment		(40,517	)		(19,803	)
Acquisitions		(15,463	)		(12,557	)
Other investing activities		(882	)		—
Net cash used in investing activities		(54,560	)		(32,258	)
Cash flows from financing activities:
Proceeds from borrowings		46,443			52,143
Repayments of borrowings		(104,200	)		(47,058	)
Proceeds from stock option exercises		6,583			9,384
Repurchases of common stock		(114,179	)		(72,794	)
Excess tax benefits from share-based payment arrangements		4,931			2,718
Other financing activities		67			(3,538	)
Net cash used in financing activities		(160,355	)		(59,145	)
Effect of exchange rate changes on cash and cash equivalents		2,548			(1,295	)
Net (decrease) increase in cash and cash equivalents		(118,814	)		26,560
Cash and cash equivalents:
Beginning of period		447,577			85,031
End of period	$	328,763		$	111,591

The accompanying notes are an integral part of these interim consolidated financial statements.

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METTLER-TOLEDO INTERNATIONAL INC.

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS

At June 30, 2011 — Unaudited
(In thousands, except share data, unless otherwise stated)

1.       BASIS OF PRESENTATION

          Mettler-Toledo International Inc. (“Mettler-Toledo” or the “Company”) is a leading global supplier of precision instruments and services. The Company manufactures weighing instruments for use in laboratory, industrial, packaging, logistics and food retailing applications. The Company also manufactures several related analytical instruments and provides automated chemistry solutions used in drug and chemical compound discovery and development. In addition, the Company manufactures metal detection and other end-of-line inspection systems used in production and packaging and provides solutions for use in certain process analytics applications. The Company’s primary manufacturing facilities are located in China, Germany, Switzerland, the United Kingdom and the United States. The Company’s principal executive offices are located in Columbus, Ohio and Greifensee, Switzerland.

          The accompanying interim consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) and include all entities in which the Company has control, which are its wholly-owned subsidiaries. The interim consolidated financial statements have been prepared without audit, pursuant to the rules and regulations of the Securities and Exchange Commission. Certain information and footnote disclosures normally included in financial statements prepared in accordance with U.S. GAAP have been condensed or omitted pursuant to such rules and regulations. The interim consolidated financial statements as of June 30, 2011 and for the three and six month periods ended June 30, 2011 and 2010 should be read in conjunction with the consolidated financial statements and the notes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2010.

          The accompanying interim consolidated financial statements reflect all adjustments which, in the opinion of management, are necessary for a fair statement of the results of the interim periods presented. Operating results for the three and six months ended June 30, 2011 are not necessarily indicative of the results to be expected for the full year ending December 31, 2011.

          The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, as well as disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting periods. Actual results may differ from those estimates. A discussion of the Company’s critical accounting policies is included in Management’s Discussion and Analysis of Financial Condition and Results of Operations and the Notes to the Consolidated Financial Statements included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2010.

          All intercompany transactions and balances have been eliminated.

          Certain reclassifications have been made to prior year amounts to conform to the current year presentation.

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METTLER-TOLEDO INTERNATIONAL INC.

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS

At June 30, 2011 — Unaudited (Continued)
(In thousands, except share data, unless otherwise stated)

2.        SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Trade Accounts Receivable

          Trade accounts receivable are recorded at the invoiced amount and do not bear interest. The allowance for doubtful accounts represents the Company’s best estimate of probable credit losses in its existing trade accounts receivable. The Company determines the allowance based upon a review of both specific accounts for collection and the age of the accounts receivable portfolio.

Inventories

          Inventories are valued at the lower of cost or net realizable value. Cost, which includes direct materials, labor and overhead, is generally determined using the first in, first out (FIFO) method. The estimated net realizable value is based on assumptions for future demand and related pricing. Adjustments to the cost basis of the Company’s inventory are made for excess and obsolete items based on usage, orders and technological obsolescence. If actual market conditions are less favorable than those projected by management, reductions in the value of inventory may be required.

          Inventories consisted of the following:

	June 30,		December 31,
	2011		2010
Raw materials and parts	$	114,839	$	101,660
Work-in-progress		51,014		36,615
Finished goods		102,301		78,829
	$	268,154	$	217,104

Goodwill and Other Intangible Assets

          Goodwill, representing the excess of purchase price over the net asset value of companies acquired, and indefinite-lived intangible assets are not amortized, but are reviewed for impairment annually in the fourth quarter, or more frequently if events or changes in circumstances indicate that an asset might be impaired. The annual evaluation is based on valuation models that estimate fair value based on expected future cash flows and profitability projections.

          Other intangible assets include indefinite-lived assets and assets subject to amortization. Where applicable, amortization is charged on a straight-line basis over the expected period to be benefited. The straight-line method of amortization reflects an appropriate allocation of the cost of the intangible assets to earnings in proportion to the amount of economic benefits obtained by the Company in each reporting period. The Company assesses the initial acquisition of intangible assets in accordance with the provisions of ASC 805 “Business Combinations” and the continued accounting for previously recognized intangible assets and goodwill in accordance with the provisions of ASC 350 “Intangibles — Goodwill and Other” and ASC 360 “Property, Plant and Equipment.”

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METTLER-TOLEDO INTERNATIONAL INC.
NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS
At June 30, 2011 — Unaudited (Continued)
(In thousands, except share data, unless otherwise stated)

          Other intangible assets consisted of the following:

	June 30, 2011					December 31, 2010
	Gross		Accumulated			Gross		Accumulated
	Amount		Amortization			Amount		Amortization
Customer relationships	$	86,928	$	(17,342	)	$	80,674	$	(15,968	)
Proven technology and patents		41,417		(24,449	)		36,262		(22,298	)
Tradename (finite life)		4,101		(960	)		2,420		(760	)
Tradename (indefinite life)		23,634		-			23,634		-
Other		510		(153	)		510		(102	)
	$	156,590	$	(42,904	)	$	143,500	$	(39,128	)

          The Company recognized amortization expense associated with the above intangible assets of $1.7 million and $1.5 million for the three months ended June 30, 2011 and 2010, respectively and $3.2 million and $3.1 million for the six months ended June 30, 2011 and 2010, respectively. The annual aggregate amortization expense based on the current balance of other intangible assets is estimated at $6.6 million for 2011 and 2012, $5.1 million for 2013, $5.0 million for 2014, $4.4 million for 2015 and $4.2 million for 2016. Purchased intangible amortization, net of tax was $1.0 million and $0.9 million for the three months ended June 30, 2011 and 2010, respectively and $1.8 million for both the six month periods ended June 30, 2011 and 2010.

          In addition to the above amortization, the Company recorded amortization expense associated with capitalized software of $2.6 million and $2.1 million for the three months ended June 30, 2011 and 2010, respectively and of $4.7 million and $3.9 million for the six months ended June 30, 2011 and 2010, respectively.

Revenue Recognition

          Revenue is recognized when title to a product has transferred and any significant customer obligations have been fulfilled. Standard shipping terms are generally FOB shipping point in most countries and, accordingly, title and risk of loss transfers upon shipment. In countries where title cannot legally transfer before delivery, the Company defers revenue recognition until delivery has occurred. The Company generally maintains the right to accept or reject a product return in its terms and conditions and also maintains appropriate accruals for outstanding credits. Shipping and handling costs charged to customers are included in total net sales and the associated expense is recorded in cost of sales for all periods presented. Other than a few small software applications, the Company does not sell software products without the related hardware instrument as the software is embedded in the instrument. The Company’s products typically require no significant production, modification or customization of the hardware or software that is essential to the functionality of the products. To the extent the Company’s solutions have a post-shipment obligation, such as customer acceptance, revenue is deferred until the obligation has been completed. The Company defers product revenue where installation is required, unless such installation is deemed perfunctory. The Company also sometimes enters into certain arrangements that require the separate delivery of multiple goods and/or services. These deliverables are accounted for separately if the deliverables have standalone value and the performance of undelivered items is probable and within the Company’s control. The allocation of revenue between the separate deliverables is typically based

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METTLER-TOLEDO INTERNATIONAL INC.
NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS
At June 30, 2011 — Unaudited (Continued)
(In thousands, except share data, unless otherwise stated)

on the relative selling price at the time of the sale in accordance with a number of factors including service technician billing rates, time to install and geographic location. The adoption of the recently issued multiple-element arrangement guidance on January 1, 2011, has not and is not expected to have a material impact on the Company’s financial statements.

          Further, certain products are also sold through indirect distribution channels whereby the distributor assumes any further obligations to the customer upon title transfer. Revenue is recognized on these products upon transfer of title and risk of loss to its distributors. Distributor discounts are offset against revenue at the time such revenue is recognized.

          Service revenue not under contract is recognized upon the completion of the service performed. Spare parts sold on a stand-alone basis are recognized upon title and risk of loss transfer which is generally at the time of shipment. Revenues from service contracts are recognized ratably over the contract period. These contracts represent an obligation to perform repair and other services including regulatory compliance qualification, calibration, certification and preventative maintenance on a customer’s pre-defined equipment over the contract period. Service contracts are separately priced and payment is typically received from the customer at the beginning of the contract period.

Warranty

          The Company generally offers one-year warranties on most of its products. Product warranties are recorded at the time revenue is recognized. While the Company engages in extensive product quality programs and processes, its warranty obligation is affected by product failure rates, material usage and service costs incurred in correcting a product failure.

          The Company’s accrual for product warranties is included in accrued and other liabilities in the consolidated balance sheets. Changes to the Company’s accrual for product warranties for the six months ended June 30 are as follows:

	June 30,			June 30,
	2011			2010
Balance at beginning of period	$	15,680		$	15,856
Accruals for warranties		7,451			6,851
Foreign currency translation		722			(997	)
Payments / utilizations		(7,073	)		(8,656	)
Balance at end of period	$	16,780		$	13,054

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METTLER-TOLEDO INTERNATIONAL INC.
NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS
At June 30, 2011 — Unaudited (Continued)
(In thousands, except share data, unless otherwise stated)

Employee Termination Benefits

          In situations where contractual termination benefits exist, the Company records accruals for employee termination benefits when it is probable that a liability has been incurred and the amount of the liability is reasonably estimable. All other employee termination arrangements are recognized and measured at their fair value at the communication date unless the employee is required to render additional service beyond the legal notification period, in which case the liability is recognized ratably over the future service period.

Share-Based Compensation

          The Company recognizes share-based compensation expense within selling, general and administrative in the consolidated statement of operations with a corresponding offset to additional paid-in capital in the consolidated balance sheet. The Company recorded $2.5 million and $5.7 million of share-based compensation expense for the three and six months ended June 30, 2011, respectively, compared to $3.0 million and $6.0 million for the corresponding periods in 2010.

Research and Development

          Research and development costs primarily consist of salaries, consulting and other costs. The Company expenses these costs as incurred.

3.         ACQUISITIONS

          In March 2011, the Company completed acquisitions totaling $15.4 million, of which $12.0 million related to an X-ray inspection solutions business that will be integrated into the Company’s product inspection product offering. Goodwill recorded in connection with these acquisitions totaled $4.4 million, of which $1.9 million is included in the Company’s U.S. Operations segment and $2.5 million is included in the Company’s Swiss Operations segment. The Company also recorded $9.9 million of identified intangibles pertaining to tradename, customer relationships and technology. The weighted average amortization periods are 15 years for both tradename and customer relationships and 9 years for technology.

          In January 2010, the Company acquired a pipette distributor located in the United Kingdom for an aggregate purchase price of approximately $12.5 million. Goodwill recorded in connection with the acquisition totaled $7.4 million, which is included in the Company’s Western European Operations segment. The Company also recorded $4.5 million of identified intangibles pertaining to tradename and customer relationships. The weighted average amortization periods are 7 years for tradename and 30 years for customer relationships.

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METTLER-TOLEDO INTERNATIONAL INC.
NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS
At June 30, 2011 — Unaudited (Continued)
(In thousands, except share data, unless otherwise stated)

4.         FINANCIAL INSTRUMENTS

          As more fully described below, the Company enters into certain interest rate swap agreements in order to manage its exposure to changes in interest rates. The amount of the Company’s fixed obligation interest payments may change based upon the expiration dates of its interest rate swap agreements and the level and composition of its debt. The Company also enters into certain foreign currency forward contracts to limit the Company’s exposure to currency fluctuations on the respective hedged items. The Company does not use derivative financial instruments for trading purposes. For additional disclosures on the fair value of financial instruments, also see Note 5 to the interim consolidated financial statements.

          Cash Flow Hedge

          The Company has an interest rate swap agreement, designated as a cash flow hedge. The agreement is a forward-starting swap which changed the floating rate LIBOR-based interest payments associated with $100 million in forecasted borrowings under the Company’s credit facility to a fixed obligation of 3.24% beginning in October 2010. During the six months ended June 30, 2010, the Company settled $100 million of its original $200 million arrangement, resulting in expense of $0.6 million being reclassified from other comprehensive income to interest expense. The swap is recorded in other non-current liabilities in the consolidated balance sheet at its fair value at June 30, 2011 and December 31, 2010 of $6.8 million and $5.8 million, respectively. The effective portion of the loss reclassified from accumulated other comprehensive income (loss) to interest expense was $0.8 million for the three month period ended June 30, 2011 and $1.5 million and $0.6 million for the six month periods ended June 30, 2011 and 2010 respectively. No reclassification occurred for the three month period ended June 30, 2010. The amount recognized in other comprehensive income (loss) during the three month periods ended June 30, 2011 and 2010 was a loss of $1.9 million and $4.7 million, respectively and during the six month periods ended June 30, 2011 and 2010 was a loss of $0.9 million and $8.8 million, respectively. A net after tax derivative loss of $1.9 million based upon interest rates at June 30, 2011, is expected to be reclassified from other comprehensive income (loss) to earnings in the next twelve months. Through June 30, 2011 no hedge ineffectiveness has occurred in relation to this hedge.

          Other Derivatives

          The Company enters into foreign currency forward contracts in order to economically hedge short-term intercompany balances largely denominated in Swiss franc and other major European currencies with its foreign businesses. In accordance with U.S. GAAP, these contracts are considered “derivatives not designated as hedging instruments”. Gains or losses on these instruments are reported in current earnings. The foreign currency forward contracts were reported at their fair value in the consolidated balance sheet at June 30, 2011 and December 31, 2010 in other current assets of $1.0 million and $1.8 million, respectively and other liabilities of $0.3 million at both balance sheet dates. The net gain recognized in other charges (income), net during both the three and six month periods ended June 30, 2011 was $4.4 million. The net loss recognized during the three and six month periods ended June 30, 2010 was $3.0 million and $4.6 million, respectively. At June 30, 2011 and December 31, 2010, these contracts had a notional value of $98.4 million and $99.3 million, respectively.

- 13 -

METTLER-TOLEDO INTERNATIONAL INC.
NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS
At June 30, 2011 — Unaudited (Continued)
(In thousands, except share data, unless otherwise stated)

5.        FAIR VALUE MEASUREMENTS

          At June 30, 2011 and December 31, 2010, the Company had derivative assets totaling $1.0 million and $1.8 million, respectively, and derivative liabilities totaling $7.1 million and $6.1 million, respectively. The fair values of the interest rate swap agreement and foreign currency forward contracts that economically hedge short-term intercompany balances are estimated based upon inputs from current valuation information obtained from dealer quotes and priced with observable market assumptions and appropriate valuation adjustments for credit risk. The Company has evaluated the valuation methodologies used to develop the fair values by dealers in order to determine whether such valuations are representative of an exit price in the Company’s principal market. In addition, the Company uses an internally developed model to perform testing on the valuations received from brokers. The Company has also considered both its own credit risk and counterparty credit risk in determining fair value and determined these adjustments were insignificant at June 30, 2011 and December 31, 2010.

          At June 30, 2011 and December 31, 2010, the Company had $163.0 million and $243.5 million of cash equivalents, respectively, the fair value of which is determined through quoted and corroborated prices in active markets. The fair value of cash equivalents approximates cost.

          The difference between the fair value and carrying value of the Company’s long-term debt is not material.

          Under U.S. GAAP, fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. A fair value measurement consists of observable and unobservable inputs that reflect the assumptions that a market participant would use in pricing an asset or liability.

          A fair value hierarchy has been established that categorizes these inputs into three levels:

Level 1:	Quoted prices in active markets for identical assets and liabilities
Level 2:	Observable inputs other than quoted prices in active markets for identical assets and liabilities
Level 3:	Unobservable inputs

- 14 -

METTLER-TOLEDO INTERNATIONAL INC.
NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS
At June 30, 2011 — Unaudited (Continued)
(In thousands, except share data, unless otherwise stated)

          The following table presents for each of these hierarchy levels, the Company’s assets and liabilities that are measured at fair value on a recurring basis at June 30, 2011 and December 31, 2010:

	June 30, 2011								December 31, 2010
	Total		Level 1		Level 2		Level 3		Total		Level 1		Level 2		Level 3
Assets:
Cash equivalents	$	162,996	$	150,003	$	12,993	$	-	$	243,514	$	230,000	$	13,514	$	-
Foreign currency forward contracts		1,042		-		1,042		-		1,763		-		1,763		-
Total	$	164,038	$	150,003	$	14,035	$	-	$	245,277	$	230,000	$	15,277	$	-
Liabilities:
Interest rate swap agreement	$	6,787	$	-	$	6,787	$	-	$	5,842	$	-	$	5,842	$	-
Foreign currency forward contracts		263		-		263		-		305		-		305		-
Total	$	7,050	$	-	$	7,050	$	-	$	6,147	$	-	$	6,147	$	-

6.        INCOME TAXES

          The provision for taxes is based upon the Company’s projected annual effective rate of 26% for both the three and six month periods ended June 30, 2011.

7.       DEBT

          Debt consisted of the following at June 30, 2011:

	June 30, 2011
			Other Principal
			Trading
	U.S. Dollar		Currencies			Total
6.30% $100 million Senior Notes	$	100,000	$	-		$	100,000
Credit facility		440,100		65,659			505,759
Other local arrangements		-		28,226			28,226
Total debt		540,100		93,885			633,985
Less: current portion		-		(12,626	)		(12,626	)
Total long-term debt	$	540,100	$	81,259		$	621,359

          As of June 30, 2011, the Company had $438.6 million of availability remaining under the credit facility.

- 15 -

METTLER-TOLEDO INTERNATIONAL INC.
NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS
At June 30, 2011 — Unaudited (Continued)
(In thousands, except share data, unless otherwise stated)

8.       SHARE REPURCHASE PROGRAM AND TREASURY STOCK

          The Company has a $2.25 billion share repurchase program, of which there is $806.4 million remaining to repurchase common shares as of June 30, 2011. The share repurchases are expected to be funded from cash balances, borrowings and cash generated from operating activities. Repurchases will be made through open market transactions, and the amount and timing of purchases will depend on business and market conditions, the stock price, trading restrictions, the level of acquisition activity and other factors. The Company has purchased 17.9 million shares since the inception of the program through June 30, 2011.

          During the six months ended June 30, 2011 and 2010, the Company spent $114.2 million and $72.8 million on the repurchase of 688,079 shares and 662,999 shares at an average price per share of $165.92 and $109.78, respectively. The Company reissued 146,898 shares and 216,270 shares held in treasury for the exercise of stock options and restricted stock units during the six months ended June 30, 2011 and 2010, respectively. The Company also reissued 2,549 shares held in treasury during the six months ended June 30, 2010, pursuant to its 2007 Share Plan which extends certain eligible employees the option to receive a percentage of their annual cash incentive in shares of the Company’s stock. There were no shares reissued related to the 2007 Share Plan during the six months ended June 30, 2011.

9.       EARNINGS PER COMMON SHARE

          In accordance with the treasury stock method, the Company has included the following common equivalent shares in the calculation of diluted weighted average number of common shares outstanding for the three and six month periods ended June 30, solely relating to outstanding stock options and restricted stock units:

	2011		2010
Three months ended		1,016,037		859,382
Six months ended		1,008,537		817,637

          Outstanding options and restricted stock units to purchase or receive 171,991 and 517,328 shares of common stock for the three month periods ended June 30, 2011 and 2010, respectively, and options and restricted stock units to purchase or receive 171,923 and 620,226 shares of common stock for the six month periods ended June 30, 2011 and 2010, respectively, have been excluded from the calculation of diluted weighted average number of common and common equivalent shares as such options and restricted stock units would be anti-dilutive.

- 16 -

METTLER-TOLEDO INTERNATIONAL INC.
NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS
At June 30, 2011 — Unaudited (Continued)
(In thousands, except share data, unless otherwise stated)

10.      NET PERIODIC BENEFIT COST

           Net periodic pension cost for the Company’s defined benefit pension plans and U.S. post-retirement medical plan includes the following components for the three months ended June 30:

													Other U.S.
	U.S. Pension Benefits						Non-U.S. Pension Benefits						Post-retirement Benefits
	2011			2010			2011			2010			2011			2010
Service cost, net	$	83		$	66		$	3,590		$	2,978		$	76		$	74
Interest cost on projected benefit obligations		1,606			1,610			6,282			5,339			183			190
Expected return on plan assets		(1,875	)		(1,727	)		(8,704	)		(6,943	)		-			-
Net amortization and deferral		-			-			(378	)		(295	)		-			(167	)
Recognition of actuarial losses/(gains)		1,276			1,325			291			260			(173	)		(184	)
Recognition of settlement/curtailment losses, net		-			-			-			58			-			-
Net periodic pension cost/(credit)	$	1,090		$	1,274		$	1,081		$	1,397		$	86		$	(87	)

           Net periodic pension cost for the Company’s defined benefit pension plans and U.S. post-retirement medical plan includes the following components for the six months ended June 30:

													Other U.S.
	U.S. Pension Benefits						Non-U.S. Pension Benefits						Post-retirement Benefits
	2011			2010			2011			2010			2011			2010
Service cost, net	$	166		$	132		$	6,947		$	6,268		$	152		$	148
Interest cost on projected benefit obligations		3,212			3,220			12,196			10,971			366			379
Expected return on plan assets		(3,750	)		(3,454	)		(16,852	)		(14,209	)		-			-
Net amortization and deferral		-			-			(727	)		(608	)		-			(335	)
Recognition of actuarial losses/(gains)		2,552			2,649			576			530			(346	)		(368	)
Recognition of settlement/curtailment losses, net		-			-			-			58			-			-
Net periodic pension cost/(credit)	$	2,180		$	2,547		$	2,140		$	3,010		$	172		$	(176	)

            As previously disclosed in the Company’s Annual Report on Form 10-K for the year ended December 31, 2010, the Company expects to make employer contributions of approximately $19.1 million to its non-U.S. pension plans and employer contributions of approximately $1.4 million to its U.S. post-retirement medical plan during the year ended December 31, 2011. These estimates may change based upon several factors, including fluctuations in currency exchange rates, actual returns on plan assets and changes in legal requirements.

11.     RESTRUCTURING CHARGES

          During the fourth quarter of 2008, the Company initiated a global cost reduction program which has substantially been completed. Charges under the program primarily comprise severance costs.

- 17 -

METTLER-TOLEDO INTERNATIONAL INC.
NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS
At June 30, 2011 — Unaudited (Continued)
(In thousands, except share data, unless otherwise stated)

          A rollforward of the Company’s accrual for restructuring activities for the six months ended June 30, 2011 is as follows:

	Employee Related			Lease Termination			Other			Total
Balance at December 31, 2010	$	7,721		$	4		$	131		$	7,856
Restructuring charges		2,224			-			245			2,469
Cash payments		(2,495	)		(4	)		(339	)		(2,838	)
Impact of foreign currency		365			-			-			365
Balance at June 30, 2011	$	7,815		$	-		$	37		$	7,852

12.      OTHER CHARGES (INCOME), NET

          Other charges (income), net consists primarily of interest income, (gains) losses from foreign currency transactions and other items.

13.      SEGMENT REPORTING

          As disclosed in Note 18 to the Company’s consolidated financial statements for the year ending December 31, 2010, the Company has determined there are five reportable segments: U.S. Operations, Swiss Operations, Western European Operations, Chinese Operations and Other.

          The Company evaluates segment performance based on Segment Profit (gross profit less research and development and selling, general and administrative expenses, before amortization, interest expense, restructuring charges, other charges (income), net and taxes).

          The following tables show the operations of the Company’s operating segments:

	Net Sales to		Net Sales to
For the three months ended	External		Other			Total Net			Segment
June 30, 2011	Customers		Segments			Sales			Profit			Goodwill (c)
U.S. Operations	$	167,017	$	19,412		$	186,429		$	30,834		$	308,467
Swiss Operations		32,179		91,489			123,668			21,978			25,695
Western European Operations		167,419		26,089			193,508			20,609			98,076
Chinese Operations		95,721		34,433			130,154			34,443			695
Other (a)		98,752		1,526			100,278			10,640			14,666
Eliminations and Corporate (b)		-		(172,949	)		(172,949	)		(23,972	)		-
Total	$	561,088	$	-		$	561,088		$	94,532		$	447,599

- 18 -

METTLER-TOLEDO INTERNATIONAL INC.
NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS
At June 30, 2011 — Unaudited (Continued)
(In thousands, except share data, unless otherwise stated)

	Net Sales to		Net Sales to
For the six months ended	External		Other			Total Net			Segment
June 30, 2011	Customers		Segments			Sales			Profit
U.S. Operations	$	315,229	$	38,100		$	353,329		$	53,164
Swiss Operations		63,824		192,751			256,575			51,058
Western European Operations		320,279		51,677			371,956			39,076
Chinese Operations		170,558		64,770			235,328			55,132
Other (a)		189,964		2,335			192,299			20,107
Eliminations and Corporate (b)		—		(349,633	)		(349,633	)		(50,227	)
Total	$	1,059,854	$	—		$	1,059,854		$	168,310

	Net Sales to		Net Sales to
For the three months ended	External		Other			Total Net			Segment
June 30, 2010	Customers		Segments			Sales			Profit			Goodwill (c)
U.S. Operations	$	153,905	$	14,899		$	168,804		$	31,091		$	318,883
Swiss Operations		26,619		79,941			106,560			20,447			17,800
Western European Operations		139,310		22,011			161,321			19,560			89,058
Chinese Operations		72,847		26,002			98,849			23,917			654
Other (a)		75,868		879			76,747			6,376			12,875
Eliminations and Corporate (b)		—		(143,732	)		(143,732	)		(21,473	)		—
Total	$	468,549	$	—		$	468,549		$	79,918		$	439,270
	Net Sales to		Net Sales to
For the six months ended	External		Other			Total Net			Segment
June 30, 2010	Customers		Segments			Sales			Profit
U.S. Operations	$	287,457	$	28,944		$	316,401		$	54,483
Swiss Operations		49,123		152,910			202,033			38,396
Western European Operations		276,068		41,654			317,722			34,632
Chinese Operations		127,598		46,822			174,420			38,753
Other (a)		144,954		1,677			146,631			10,621
Eliminations and Corporate (b)		—		(272,007	)		(272,007	)		(36,520	)
Total	$	885,200	$	—		$	885,200		$	140,365

(a)	Other includes reporting units in Eastern Europe, Latin America, Southeast Asia and other countries.
(b)	Eliminations and Corporate includes the elimination of inter-segment transactions and certain corporate expenses and intercompany investments, which are not included in the Company’s operating segments.
(c)	Goodwill as of June 30, 2011 includes additions of $1.9 million in U.S. Operations and $2.5 million in Swiss Operations related to acquisitions in the first quarter of 2011. See Note 3 for additional information. Goodwill as of June 30, 2010 included an addition of $7.4 million in Western European Operations related to our acquisition of a pipette distributor in the first quarter of 2010. Other goodwill changes are primarily related to foreign currency fluctuations.

- 19 -

METTLER-TOLEDO INTERNATIONAL INC.
NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS
At June 30, 2011 — Unaudited (Continued)
(In thousands, except share data, unless otherwise stated)

          A reconciliation of earnings before taxes to segment profit for the three and six month periods ended June 30 follows:

	Three Months Ended				Six Months Ended
	2011		2010		2011		2010
Earnings before taxes	$	81,337	$	69,386	$	144,615	$	120,560
Amortization		4,325		3,565		7,947		6,946
Interest expense		5,692		4,711		11,403		9,965
Restructuring charges		1,971		1,526		2,469		1,910
Other charges (income), net		1,207		730		1,876		984
Segment profit	$	94,532	$	79,918	$	168,310	$	140,365

          During the three months ended June 30, 2011, restructuring charges of $2.0 million were recognized, of which $0.3 million, $1.3 million, $0.1 million and $0.3 million related to the Company’s U.S., Western European, Chinese and Other operations, respectively. Restructuring charges of $1.5 million were recognized during the three months ended June 30, 2010, of which $0.1 million and $1.4 million related to the Company’s Chinese and Other operations, respectively. Restructuring charges of $2.5 million were recognized during the six months ended June 30, 2011, of which $0.6 million, $0.2 million, $1.3 million, $0.1 million and $0.3 million related to the Company’s U.S., Swiss, Western European, Chinese and Other operations, respectively. Restructuring charges of $1.9 million were recognized during the six months ended June 30, 2010, of which $0.1 million, $0.2 million, $0.2 million and $1.4 million related to the Company’s U.S., Western European, Chinese and Other operations, respectively.

14. CONTINGENCIES

          The Company is party to various legal proceedings, including certain environmental matters, incidental to the normal course of business. Management does not expect that any of such proceedings, either individually or in the aggregate, will have a material adverse effect on the Company’s financial condition, results of operations or cash flows.

- 20 -

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

          The following discussion and analysis of our financial condition and results of operations should be read in conjunction with the Unaudited Interim Consolidated Financial Statements included herein.

General

          Our interim consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America. Operating results for the three and six months ended June 30, 2011 are not necessarily indicative of the results to be expected for the full year ending December 31, 2011.

          Local currency changes exclude the effect of currency exchange rate fluctuations that result from translating activity outside of the United States into U.S. dollars. Local currency amounts are determined by translating current and previous year consolidated financial information at an index utilizing historical currency exchange rates. Because changes in foreign currency exchange rates have a non-operating impact on our financial results, we believe local currency information provides a helpful assessment of business performance and a useful measure of results between periods. We do not, nor do we suggest that investors should, consider such non-GAAP financial measures in isolation from, or as a substitute for, financial information prepared in accordance with GAAP. We present non-GAAP financial measures in reporting our financial results to provide investors with an additional analytical tool to evaluate our operating results.

Results of Operations — Consolidated

          The following tables set forth certain items from our interim consolidated statements of operations for the three and six month periods ended June 30, 2011 and 2010 (amounts in thousands).

	Three months ended June 30,								Six months ended June 30,
	2011				2010				2011				2010
	(unaudited)		%		(unaudited)		%		(unaudited)		%		(unaudited)		%
Net sales	$	561,088		100.0	$	468,549		100.0	$	1,059,854		100.0	$	885,200		100.0
Cost of sales		264,897		47.2		221,924		47.4		502,156		47.4		420,649		47.5
Gross profit		296,191		52.8		246,625		52.6		557,698		52.6		464,551		52.5
Research and development		29,605		5.3		23,105		4.9		55,956		5.3		45,570		5.2
Selling, general and administrative		172,054		30.7		143,602		30.6		333,432		31.5		278,616		31.5
Amortization		4,325		0.8		3,565		0.8		7,947		0.7		6,946		0.8
Interest expense		5,692		1.0		4,711		1.0		11,403		1.1		9,965		1.1
Restructuring charges		1,971		0.3		1,526		0.3		2,469		0.2		1,910		0.2
Other charges (income), net		1,207		0.2		730		0.2		1,876		0.2		984		0.1
Earnings before taxes		81,337		14.5		69,386		14.8		144,615		13.6		120,560		13.6
Provision for taxes		21,149		3.8		18,039		3.8		37,600		3.5		31,345		3.5
Net earnings	$	60,188		10.7	$	51,347		11.0	$	107,015		10.1	$	89,215		10.1

- 21 -

          Net sales

          Net sales were $561.1 million and $1.1 billion for the three and six months ended June 30, 2011, respectively, compared to $468.5 million and $885.2 million for the corresponding periods in 2010. This represents an increase in U.S. dollars of 20% for both the three and six months ended June 30, 2011. Excluding the effect of currency exchange rate fluctuations, or in local currencies, net sales increased 11% and 14%, respectively, for the three and six months ended June 30, 2011.

          Net sales by geographic destination for the three and six months ended June 30, 2011, in U.S. dollars increased 10% and 11% in the Americas, 25% and 22% in Europe and 26% and 29% in Asia/Rest of World. In local currencies, our net sales by geographic destination increased 9% and 10% in the Americas, 9% and 12% in Europe and 17% and 21% in Asia/Rest of World. A discussion of sales by operating segment is included below.

          As described in Note 18 to our consolidated financial statements for the year ended December 31, 2010, our net sales comprise product sales of precision instruments and related services. Service revenues are primarily derived from repair and other services, including regulatory compliance qualification, calibration, certification, preventative maintenance and spare parts.

          Net sales of products increased in U.S. dollars by 22% and 23% for the three and six months ended June 30, 2011, respectively, and in local currencies by 14% and 17%, respectively, compared to the corresponding prior periods. Service revenue (including spare parts) in U.S. dollars increased 11% and 10% during the three and six months ended June 30, 2011, respectively, and increased in local currencies by 3% and 4% during the three and six months ended June 30, 2011, respectively, compared to corresponding prior periods.

          Net sales of our laboratory-related products, which represented approximately 43% and 45% of our total net sales for the three and six months ended June 30, 2011, increased 13% and 16% in U.S. dollars and increased 4% and 10% in local currencies during the three and six months ended June 30, 2011, respectively. The increase for the three months ended June 30, 2011 was principally driven by laboratory balances and process analytics products. The six months ended June 30, 2011 also includes strong growth in our analytical instrument products.

          Net sales of our industrial-related products, which represented approximately 47% and 45% of our total net sales for the three and six months ended June 30, 2011, increased 30% and 26% in U.S. dollars and increased 21% in local currencies during the three and six months ended June 30, 2011, respectively. We experienced strong sales growth across most product categories and geographies. Acquisitions contributed approximately 3% and 2% to our net sales growth of industrial-related products for the three and six months ended June 30, 2011, respectively.

          Net sales in our food retailing markets, which represented approximately 10% of our total net sales for both the three and six months ended June 30, 2011, increased 4% and 5% in U.S. dollars and decreased 3% and increased 1% in local currencies during the three and six months ended June 30, 2011, respectively, primarily due to decreased sales in the U.S., offset by sales growth in Europe related to increased project activity. Food retailing sales were reduced by approximately 6% and 5% for the three and six months ended June 30, 2011, respectively, due to product line exits.

- 22 -

          Gross profit

          Gross profit as a percentage of net sales was 52.8% and 52.6% for the three and six months ended June 30, 2011, respectively, compared to 52.6% and 52.5% for the corresponding periods in 2010.

          Gross profit as a percentage of net sales for products was 56.9% and 56.8% for the three and six months ended June 30, 2011, respectively, compared to 56.9% and 57.0% for the corresponding periods in 2010.

          Gross profit as a percentage of net sales for services (including spare parts) was 37.9% and 37.8% for the three and six months ended June 30, 2011, respectively, compared to 38.8% and 38.2% for the corresponding periods in 2010.

          The increase in gross profit as a percentage of net sales for the three and six months ended June 30, 2011 primarily reflects benefits from increased sales volume and operating efficiencies, as well as pricing. These results were partly offset by unfavorable currency rate changes, as well as increased material costs.

          Research and development and selling, general and administrative expenses

          Research and development expenses as a percentage of net sales were 5.3% for both the three and six months ended June 30, 2011, respectively, compared to 4.9% and 5.2% for the corresponding periods during 2010. Research and development expenses increased 28% and 23% in U.S. dollars and increased 11% in local currencies, during the three and six months ended June 30, 2011, respectively, compared to the corresponding periods in 2010 relating to the timing of research and development project activity.

          Selling, general and administrative expenses as a percentage of net sales were 30.7% and 31.5% for the three and six months ended June 30, 2011, respectively, compared to 30.6% and 31.5% in the corresponding periods during 2010. Selling, general and administrative expenses increased 20% in U.S. dollars and increased 9% and 12% in local currencies, during the three and six months ended June 30, 2011, respectively, compared to the corresponding periods in 2010. The increase is primarily due to increased sales and marketing activities, costs related to our Blue Ocean program, a program to globalize our business processes and information technology systems that includes the implementation of a Company-wide enterprise resource planning system, and acquisition-related expenses.

          Interest expense, other charges (income), net and taxes

          Interest expense was $5.7 million and $11.4 million for the three and six months ended June 30, 2011, respectively, and $4.7 million and $10.0 million for the corresponding periods in 2010. The increase in interest expense for the three and six month period ended June 30, 2011 is primarily a result of additional borrowings during the fourth quarter of 2010, in order to facilitate foreign earnings repatriation.

          Other charges (income), net consists primarily of interest income, (gains) losses from foreign currency transactions and other items. The increase in other charges (income), net for the three and six months ended June 30, 2011 of $0.5 million and $0.9 million, respectively, compared to the prior year was primarily due to unfavorable foreign currency fluctuations.

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          The provision for taxes is based upon our projected annual effective tax rate of 26% for both the three and six months ended June 30, 2011, respectively. Our consolidated income tax rate is lower than the U.S. statutory rate primarily because of benefits from lower-taxed non-U.S. operations. The most significant of these lower-taxed operations are in Switzerland and China.

Results of Operations — by Operating Segment

          The following is a discussion of the financial results of our operating segments. We currently have five reportable segments: U.S. Operations, Swiss Operations, Western European Operations, Chinese Operations and Other. A more detailed description of these segments is outlined in Note 18 to our consolidated financial statements for the year ended December 31, 2010.

     U.S. Operations (amounts in thousands)

	Three months ended June 30							Six months ended June 30
	2011		2010		%1)			2011		2010		%1)
Total net sales	$	186,429	$	168,804		10	%	$	353,329	$	316,401		12	%
Net sales to external customers	$	167,017	$	153,905		9	%	$	315,229	$	287,457		10	%
Segment profit	$	30,834	$	31,091		-1	%	$	53,164	$	54,483		-2	%

¹⁾ Represents U.S. dollar (decline) growth for net sales and segment profit.

          Total net sales increased 10% and 12% for the three and six months ended June 30, 2011, respectively, and net sales to external customers increased 9% and 10% for the three and six months ended June 30, 2011, respectively, compared with the corresponding periods in 2010. The increase in total net sales and net sales to external customers for the three and six months ended June 30, 2011 reflects strong growth in product inspection, laboratory balances and core-industrial products, offset in part by reduced sales in retail products. Acquisitions/divestitures, net contributed approximately 1% to our segment net sales growth for the three months ended June 30, 2011. The six months ended June 30, 2011 also reflects strong growth in analytical instruments.

          Segment profit decreased $0.3 million and $1.3 million for the three and six months ended June 30, 2011, respectively, compared to the corresponding periods in 2010. The decrease in segment profit was primarily due to a product line exit, as well as business transfers to other operating segments, investments in sales and marketing, expenses related to our Blue Ocean program and increased product costs, partially offset by increased sales volume.

          Swiss Operations (amounts in thousands)

	Three months ended June 30							Six months ended June 30
	2011		2010		%1)			2011		2010		%1)
Total net sales	$	123,668	$	106,560		16	%	$	256,575	$	201,532		27	%
Net sales to external customers	$	32,179	$	26,619		21	%	$	63,824	$	49,123		30	%
Segment profit	$	21,978	$	20,447		7	%	$	51,058	$	38,396		33	%

¹⁾ Represents U.S. dollar growth (decline) for net sales and segment profit.

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          Total net sales increased 16% and 27% in U.S. dollars for the three and six months ended June 30, 2011, respectively. Total net sales in local currency decreased 9% for the three month

          period ended June 30, 2011 and increased 6% for the six month period ended June 30, 2011, compared to the corresponding periods in 2010. Net sales to external customers increased 21% and 30% in U.S. dollars and decreased 5% and increased 8% in local currency during the three and six months ended June 30, 2011, respectively, compared to the corresponding periods in 2010. The decrease in local currency net sales and net sales to external customers for the three months ended June 30, 2011 resulted from a timing effect in certain product categories after a particularly strong first quarter of 2011. The increase in net sales and net sales to external customers for the six months ended June 30, 2011 includes strong growth in laboratory balances and core-industrial products.

          Segment profit increased $1.5 million and $12.7 million for the three and six month periods ended June 30, 2011, respectively, compared to the corresponding periods in 2010. The increase in segment profit is primarily due to increased inter-segment sales, partially offset by unfavorable currency translation fluctuations.

          Western European Operations (amounts in thousands)

	Three months ended June 30							Six months ended June 30
	2011		2010		%1)			2011		2010		%1)
Total net sales	$	193,508	$	161,321		20	%	$	371,956	$	317,722		17	%
Net sales to external customers	$	167,419	$	139,310		20	%	$	320,279	$	276,068		16	%
Segment profit	$	20,609	$	19,560		5	%	$	39,076	$	34,632		13	%

1)  Represents U.S. dollar growth (decline) for net sales and segment profit.

          Total net sales increased 20% and 17% in U.S. dollars and 6% and 9% in local currency during the three and six month periods ended June 30, 2011, respectively, compared to the corresponding periods in 2010. Net sales to external customers increased 20% and 16% in U.S. dollars and increased 6% and 8% in local currency for the same periods versus the prior year comparable periods. The increase in net sales and net sales to external customers for the three months ended June 30, 2011 reflect strong sales growth in product inspection products and industrial products. Sales for the six months ended June 30, 2011 reflect growth across most product categories.

          Segment profit increased $1.0 million and $4.4 million for the three and six month periods ended June 30, 2011, respectively, compared to the corresponding periods in 2010. The increase in segment profit for the three and six months ended June 30, 2011 resulted primarily from increases in sales volume. Segment profit for the three and six months ended June 30, 2011 was partially offset by unfavorable currency translation fluctuations.

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          Chinese Operations (amounts in thousands)

	Three months ended June 30							Six months ended June 30
	2011		2010		%1)			2011		2010		%1)
Total net sales	$	130,154	$	98,849		32	%	$	235,328	$	174,420		35	%
Net sales to external customers	$	95,721	$	72,847		31	%	$	170,558	$	127,598		34	%
Segment profit	$	34,443	$	23,917		44	%	$	55,132	$	38,753		42	%

1)  Represents U.S. dollar growth (decline) for net sales and segment profit.

          Total net sales increased 32% and 35% in U.S. dollars and increased 26% and 29% in local currency during the three and six months ended June 30, 2011, respectively, compared to the corresponding periods in 2010. Net sales to external customers increased 31% and 34% in U.S. dollars and increased 25% and 28% in local currency during the three and six months ended June 30, 2011, respectively, as compared to the corresponding periods in 2010. The increase in net sales and net sales to external customers for the three and six month periods ended June 30, 2011 is due to strong sales growth in most product categories.

          Segment profit increased $10.5 million and $16.4 million for the three and six month periods ended June 30, 2011, respectively, compared to the corresponding periods in 2010. The increase in segment profit for both the three and six month periods ended June 30, 2011 is primarily due to increased sales volume.

          Our Chinese operations are expected to go-live on our Blue Ocean program later this year. Our Chinese operations account for approximately 15% of our consolidated net sales to external customers and approximately 30% of our global production with approximately 2,400 users on the system. We could suffer disruptions in operations, customer-facing activities and financial reporting as a result of the go-live. Such disruptions could harm our reputation and financial condition.

          Other (amounts in thousands)

	Three months ended June 30							Six months ended June 30
	2011		2010		%1)			2011		2010		%1)
Total net sales	$	100,278	$	76,747		31	%	$	192,299	$	146,631		31	%
Net sales to external customers	$	98,752	$	75,868		30	%	$	189,964	$	144,954		31	%
Segment profit	$	10,640	$	6,376		67	%	$	20,107	$	10,621		89	%

1) Represents U.S. dollar growth (decline) for net sales and segment profit.

          Total net sales in U.S. dollars increased 31% and increased 24% and 25% in local currency during the three and six month periods ended June 30, 2011, respectively, compared to the corresponding periods in 2010. Net sales to external customers in U.S. dollars increased 30% and 31% and increased 24% in local currency for the same periods versus the prior year comparable periods. The increase in net sales and net sales to external customers reflects strong sales growth across most geographies, especially Asia Pacific.

          During March 2011, Japan was struck by major earthquakes. Japan accounts for approximately 3% of our consolidated net sales. Net Sales to external customers in Japan increased 2% during the three months ended June 30, 2011 and were flat during the six months ended June 30, 2011 compared to prior comparable periods. Japan is also an important source of many

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electronic components within our global supply chain. The impact of the earthquakes on the Japanese economic environment remains uncertain and it is difficult to predict the extent to which our future results may be adversely affected.

          Segment profit increased $4.3 million and $9.5 million for the three and six months ended June 30, 2011, respectively, compared to the corresponding periods in 2010. The increase in segment profit is primarily due to increased sales volume.

Liquidity and Capital Resources

          Liquidity is our ability to generate sufficient cash flows from operating activities to meet our obligations and commitments. In addition, liquidity includes the ability to obtain appropriate financing. Currently, our financing requirements are primarily driven by working capital requirements, capital expenditures, share repurchases and acquisitions.

          Cash provided by operating activities totaled $93.6 million during the six months ended June 30, 2011, compared to $119.3 million in the corresponding period in 2010. The decrease in 2011 resulted principally from increased incentive payments of approximately $39 million related to previous year performance-related compensation incentives, as well as increased inventory balances and the timing of tax payments, partially offset by increased net earnings and increased cash receipts.

          Capital expenditures are made primarily for investments in information systems and technology, machinery, equipment and the purchase and expansion of facilities. Our capital expenditures totaled $40.5 million for the six months ended June 30, 2011 compared to $19.8 million in the corresponding period in 2010. Our capital expenditures during the six months ended June 30, 2011 included approximately $26.6 million of investments related to our Blue Ocean multi-year program of information technology investment, as compared with $10.1 million during the prior year comparable period.

          We continue to explore potential acquisitions. In connection with any acquisition, we may incur additional indebtedness. During the first quarter of 2011, we completed acquisitions totaling $15.4 million, of which $12.0 million related to an X-ray inspection solutions business that will be integrated into the Company’s product inspection product offering. We paid approximately $14.5 million for these acquisitions during the first quarter 2011. During the first quarter 2010 we spent approximately $12.5 million related to the acquisition of our pipette distributor in the United Kingdom. In August 2011, we acquired a leader in vision inspection technology for end-of-line packaging systems located in Germany that will be integrated into our product inspection product offering for an aggregate purchase price of approximately $22 million. We may be required to pay additional cash consideration up to a maximum amount of approximately $3 million related to an earn-out period. We will also pay additional cash consideration (previously accrued at the time of acquisition) of $7.8 million in the third quarter of 2011 related to an earn-out period associated with an acquisition in 2009.

          We plan to repatriate earnings from China, Switzerland, the United Kingdom and certain other countries in future years and expect the only additional cost associated with the repatriation of such earnings outside the United States will be withholding taxes. All other undistributed earnings are considered to be permanently reinvested. As of June 30, 2011, we have an immaterial amount of cash and cash equivalents outside the United States where undistributed earnings are considered

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permanently reinvested. Accordingly, we believe the tax impact associated with repatriating our undistributed foreign earnings will not have a material effect on our liquidity.

          Senior Notes and Credit Facility Agreement

          Our debt consisted of the following at June 30, 2011:

	June 30, 2011
			Other Principal
	U.S. Dollar		Trading Currencies			Total
6.30% $100 million Senior Notes	$	100,000	$	—		$	100,000
Credit facility		440,100		65,659			505,759
Other local arrangements		—		28,226			28,226
Total debt		540,100		93,885			633,985
Less: current portion		—		(12,626	)		(12,626	)
Total long-term debt	$	540,100	$	81,259		$	621,359

          As of June 30, 2011, approximately $438.6 million was available under our credit facility. Changes in exchange rates between the currencies in which we generate cash flows and the currencies in which our borrowings are denominated affect our liquidity. In addition, because we borrow in a variety of currencies, our debt balances fluctuate due to changes in exchange rates.

          We currently believe that cash flow from operating activities, together with liquidity available under our credit facility and local working capital facilities, will be sufficient to fund currently anticipated working capital needs and capital spending requirements for at least the foreseeable future.

          We continue to explore potential acquisitions. In connection with any acquisition, we may incur additional indebtedness.

          Share Repurchase Program

          We have a $2.25 billion share repurchase program, of which there is $806.4 million remaining to repurchase common shares as of June 30, 2011. The share repurchases are expected to be funded from cash balances, borrowings and cash generated from operating activities. Repurchases will be made through open market transactions, and the amount and timing of purchases will depend on business and market conditions, the stock price, trading restrictions, the level of acquisition activity and other factors. We have purchased 17.9 million shares since the inception of the program through June 30, 2011.

          During the six months ended June 30, 2011 and 2010, we spent $114.2 million and $72.8 million on the repurchase of 688,079 shares and 662,999 shares at an average price per share of $165.92 and $109.78, respectively. We reissued 146,898 shares and 216,270 shares held in treasury for the exercise of stock options and restricted stock units during the six months ended June 30, 2011 and 2010, respectively. We also reissued 2,549 shares held in treasury during the six months ended June 30, 2010, pursuant to our 2007 Share Plan which extends certain eligible employees the option to receive a percentage of their annual cash incentive in shares of the Company’s stock. There were no shares reissued related to the 2007 Share Plan during the six months ended June 30, 2011.

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Effect of Currency on Results of Operations

          Because we conduct operations in many countries, our operating income can be significantly affected by fluctuations in currency exchange rates. Swiss franc-denominated expenses represent a much greater percentage of our total operating expenses than Swiss franc-denominated sales represent of our total net sales. In part, this is because most of our manufacturing costs in Switzerland relate to products that are sold outside Switzerland. In addition, we have a number of corporate functions located in Switzerland. Therefore, if the Swiss franc strengthens against all or most of our major trading currencies (e.g., the U.S. dollar, the euro, other major European currencies, the Chinese yuan and the Japanese yen), our operating profit is reduced. We also have significantly more sales in euro than we have expenses. Therefore, when the euro weakens against the U.S. dollar and the Swiss franc, it also decreases our operating profits. Accordingly, the Swiss franc exchange rate to the euro is an important cross-rate that we monitor. We have seen higher volatility in exchange rates generally than in the past, and recently the Swiss franc has strengthened against the euro. The exchange rate between the Swiss franc and the euro was 1.27 for six months ended June 30, 2011 as compared to 1.44 for the prior corresponding period reflecting a 12% strengthening of the Swiss franc against the euro. The current exchange rate for the Swiss franc to the euro is 1.16 as of July 26, 2011, which compares to 1.33 for both periods of July 1 to September 30, 2010, and July 1 to December 31, 2010, respectively, reflecting a 13% strengthening of the Swiss franc against the euro, respectively. We estimate that a 1% strengthening of the Swiss franc against the euro would result in a decrease in our earnings before tax of $1.6 million to $2.2 million on an annual basis. In addition to the Swiss franc and major European currencies, we also conduct business in many geographies throughout the world, including Asia Pacific, the United Kingdom, Eastern Europe, Latin America and Canada. Fluctuations in these currency exchange rates against the U.S. dollar can also affect our operating results. In addition to the effects of exchange rate movements on operating profits, our debt levels can fluctuate due to changes in exchange rates, particularly between the U.S. dollar and the Swiss franc. Based on our outstanding debt at June 30, 2011, we estimate that a 10% weakening of the U.S. dollar against the currencies in which our debt is denominated would result in an increase of approximately $10.4 million in the reported U.S. dollar value of the debt.

Recent Accounting Pronouncements

          In October 2009, the FASB issued authoritative guidance impacting two areas of revenue recognition. First, the guidance revises previous criteria for separating deliverables and allocating consideration to units of accounting in multiple deliverable arrangements. Arrangement consideration under the new guidance is allocated on the basis of “relative selling price” rather than fair value. The guidance establishes a hierarchy for determining relative selling price requiring first the use of vendor-specific objective evidence (“VSOE”) if it exists, then the use of third party evidence. If neither VSOE nor third party evidence exists, estimated selling price may be used. In addition, the guidance no longer permits the use of the residual method of allocation. Secondly, guidance was issued excluding software components essential to the functionality of tangible products from the scope of software revenue recognition. This new authoritative guidance requires expanded disclosures and became effective for the Company on January 1, 2011. The adoption of this guidance has not and is not expected to have a material impact on the Company’s consolidated results of operations or financial position in periods after initial adoption.

          In June 2011, the FASB issued authoritative guidance on the presentation of comprehensive income. An entity has the option to present the components and total of net income and the components and total of other comprehensive income in one continuous statement or in two

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separate but consecutive statements. Regardless of presentation chosen, an entity is required to present reclassification adjustments for items reclassified from other comprehensive income to net income in the statement(s) where the components of net income and the components of other comprehensive income are presented. This guidance becomes effective for the Company on January 1, 2012. The adoption of this guidance will not impact the Company’s consolidated results of operations or financial position.

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Forward-Looking Statements Disclaimer

     Some of the statements in this quarterly report and in documents incorporated by reference constitute “forward-looking statements” within the meaning of Section 27A of the U.S. Securities Act of 1933 and Section 21E of the U.S. Securities Exchange Act of 1934. These statements relate to future events or our future financial performance, including, but not limited to, the following: projected earnings and sales growth in U.S. dollars and local currencies, projected earnings per share, strategic plans and contingency plans, potential growth opportunities or economic downturns in both developed markets and emerging markets, including China, factors influencing growth in our laboratory, industrial and food retail markets, our expectations in respect of the impact of general economic conditions on our business, our projections for growth in certain markets or industries, our capability to respond to future changes in market conditions, impact of inflation, currency and interest rate fluctuations, our ability to maintain a leading position in our key markets, our expected market share, our ability to leverage our market-leading position and diverse product offering to weather an economic downturn, the effectiveness of our “Spinnaker” initiatives relating to sales and marketing, planned research and development efforts, product introductions and innovation, manufacturing capacity, adequacy of facilities, access to and the costs of raw materials, shipping and supplier costs, expanding our operating margins, anticipated gross margins, anticipated customer spending patterns and levels, expected customer demand, meeting customer expectations, warranty claim levels, anticipated growth in service revenues, anticipated pricing, our ability to realize planned price increases, planned operational changes and productivity improvements, effect of changes in internal control over financial reporting, research and development expenditures, competitors’ product development, levels of competitive pressure, our future position vis-à-vis competitors, expected capital expenditures, the timing, impact, cost, benefits from and effectiveness of our cost reduction programs, future cash sources and requirements, cash flow targets, liquidity, value of inventories, impact of long-term incentive plans, continuation of our stock repurchase program and the related impact on cash flow, expected pension and other benefit contributions and payments, expected tax treatment and assessment, impact of taxes and changes in tax benefits, the need to take additional restructuring charges, expected compliance with laws, changes in laws and regulations, impact of environmental costs, expected trading volume and value of stocks and options, impact of issuance of preferred stock, expected cost savings, impact of legal proceedings, satisfaction of contractual obligations by counterparties, timeliness of payments by our customers, the adequacy of reserves for bad debts against our accounts receivable, benefits and other effects of completed or future acquisitions.

     These statements involve known and unknown risks, uncertainties and other factors that may cause our or our businesses’ actual results, levels of activity, performance or achievements to be materially different from those expressed or implied by any forward-looking statements. In some cases, you can identify forward-looking statements by terminology such as “may,” “will,” “could,” “would,” “should,” “expect,” “plan,” “anticipate,” “intend,” “believe,” “estimate,” “predict,” “potential” or “continue” or the negative of those terms or other comparable terminology. These statements are only predictions. Actual events or results may differ materially because of market conditions in our industries or other factors. Moreover, we do not, nor does any other person, assume responsibility for the accuracy and completeness of those statements. Unless otherwise required by applicable laws, we disclaim any intention or obligation to publicly update or revise any of the forward-looking statements after the date of this quarterly report to conform them to actual results, whether as a result of new information, future events or otherwise. All of the forward-looking statements are qualified in their entirety by reference to the factors discussed under the captions “Factors affecting our future operating results” in the “Business” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in Part I, Item 1A of our annual report on Form 10-K for the fiscal year ended December 31, 2010, which describe risks and factors that could cause results to differ materially from those projected in those forward-looking statements.

     We caution the reader that the above list of risks and factors that may affect results addressed in the forward-looking statements may not be exhaustive. Other sections of this quarterly report on Form 10-Q for the period ended June 30, 2011 and other documents incorporated by reference may describe additional risks or factors that could adversely impact our business and financial performance. We operate in a

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continually changing business environment, and new risk factors emerge from time to time. Management cannot predict these new risk factors, nor can it assess the impact, if any, of these new risk factors on our businesses or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those projected in any forward-looking statements. Accordingly, forward-looking statements should not be relied upon as a prediction of actual results.

Item 3. Quantitative and Qualitative Disclosures About Market Risk

          As of June 30, 2011, there was no material change in the information provided under Item 7A in the Company’s Annual Report on Form 10-K for the year ended December 31, 2010.

Item 4. Controls and Procedures

          Under the supervision and with the participation of our management, including the Chief Executive Officer and the Chief Financial Officer, we have evaluated the effectiveness of our disclosure controls and procedures as required by Exchange Act Rule 13a-15(b) as of the end of the period covered by this report. Based upon that evaluation, the Chief Executive Officer and the Chief Financial Officer have concluded that these disclosure controls and procedures are effective. There were no changes in our internal control over financial reporting during the quarter ended June 30, 2011 that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.

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PART II. OTHER INFORMATION

Item 1. Legal Proceedings. None

Item 1A. Risk Factors.

          For the six months ended June 30, 2011 there were no material changes from risk factors disclosed in Part I, Item 1A of the Company’s Annual Report on Form 10-K for the year ended December 31, 2010.

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

          Issuer Purchases of Equity Securities

	(a)		(b)		(c)		(d)
							Approximate Dollar
							Value (in
					Total Number of		thousands) of
					Shares Purchased as		Shares that may yet
	Total Number of		Average Price Paid		Part of Publicly		be Purchased under
	Shares Purchased		per Share		Announced Program		the Program
April 1 to April 30, 2011		118,400	$	172.67		118,400	$	842,978
May 1 to May 31, 2011		116,955	$	176.70		116,955	$	822,310
June 1 to June 30, 2011		98,724	$	160.89		98,724	$	806,424
Total		334,079	$	170.60		334,079	$	806,424

          We have a share repurchase program, of which there is $806.4 million remaining to repurchase common shares as of June 30, 2011. We have purchased 17.9 million shares since the inception of the program through June 30, 2011.

          During the six months ended June 30, 2011 and 2010, we spent $114.2 million and $72.8 million on the repurchase of 688,079 and 662,999 shares at an average price per share of $165.92 and $109.78, respectively. We reissued 146,898 shares and 216,270 shares held in treasury for the exercise of stock options and restricted stock units for the six months ended June 30, 2011 and 2010, respectively. We also reissued 2,549 shares held in treasury during the six months ended June 30, 2010, pursuant to our 2007 Share Plan which extends certain eligible employees the option to receive a percentage of their annual cash incentive in shares of the Company’s stock. There were no shares reissued related to the 2007 Share Plan during the six months ended June 30, 2011.

Item 3. Defaults Upon Senior Securities. None

Item 5. Other information. None

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Item 6. Exhibits. See Exhibit Index below.

- 34 -

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.

	Mettler-Toledo International Inc.
Date: August 1, 2011	By:	/s/ William P. Donnelly
		William P. Donnelly
		Group Vice President and Chief Financial Officer

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EXHIBIT INDEX

Exhibit No.		Description
	31.1*	Certification of the Chief Executive Officer Pursuant to Section 302 of the Sarbanes — Oxley Act of 2002
	31.2*	Certification of the Chief Financial Officer Pursuant to Section 302 of the Sarbanes — Oxley Act of 2002
	32*	Certification Pursuant to Section 906 of the Sarbanes — Oxley Act of 2002

          101. INS* XBRL Instance Document

          101. SCH* XBRL Taxonomy Extension Schema Document

          101. CAL* XBRL Taxonomy Extension Calculation Linkbase Document

          101. LAB* XBRL Taxonomy Extension Label Linkbase Document

          101. PRE* XBRL Taxonomy Extension Presentation Linkbase Document

          101. DEF*XBRL Taxonomy Extension Definition Linkbase Document

* Filed herewith

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EX-31.1

Exhibit 31.1

Certification Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002

I, Olivier A. Filliol, certify that:

(1) I have reviewed this quarterly report on Form 10-Q of Mettler-Toledo International Inc.;

(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

Exhibit 31.1

   (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 the registrant’s Board of Directors (or persons performing the equivalent functions):

   (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 control over financial reporting.

Dated: August 1, 2011

/s/ Olivier A. Filliol

Olivier A. Filliol

Chief Executive Officer

EX-31.2

Exhibit 31.2

Certification Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002

I, William P. Donnelly, certify that:

(1) I have reviewed this quarterly report on Form 10-Q of Mettler-Toledo International Inc.;

(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

Exhibit 31.2

   (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 the registrant’s Board of Directors (or persons performing the equivalent functions):

   (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 control over financial reporting.

Dated: August 1, 2011

/s/ William P. Donnelly

William P. Donnelly

Chief Financial Officer

EX-32

Exhibit 32

Certification Pursuant to
Section 906 of the Sarbanes-Oxley Act of 2002

Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 (subsections (a) and (b) of Section 1350, Chapter 63 of Title 18, United States Code), each of the undersigned officers of Mettler-Toledo International Inc. (the “Company”) does hereby certify, to such officer’s knowledge, that:

This quarterly report on Form 10-Q for the period ending June 30, 2011 fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934 and the information contained in this periodic report fairly presents, in all material respects, the financial condition and results of operations of the Company.

Dated: August 1, 2011

/s/ Olivier A. Filliol

Olivier A. Filliol
Chief Executive Officer

/s/ William P. Donnelly

William P. Donnelly
Chief Financial Officer

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Interim Consolidated Balance Sheets (Unaudited) (USD $) In Thousands	Jun. 30, 2011	Dec. 31, 2010
Current assets:
Cash and cash equivalents	$ 328,763	$ 447,577
Trade accounts receivable, less allowances of $12,525 at June 30, 2011 and $11,536 at December 31, 2010	382,089	368,936
Inventories	268,154	217,104
Current deferred tax assets, net	51,932	44,548
Other current assets and prepaid expenses	67,231	66,730
Total current assets	1,098,169	1,144,895
Property, plant and equipment, net	416,872	364,472
Goodwill	447,599	434,699
Other intangible assets, net	113,686	104,372
Non-current deferred tax assets, net	100,264	95,996
Other non-current assets	164,689	138,629
Total assets	2,341,279	2,283,063
Current liabilities:
Trade accounts payable	151,499	138,105
Accrued and other liabilities	107,207	100,793
Accrued compensation and related items	114,132	138,358
Deferred revenue and customer prepayments	107,247	86,746
Taxes payable	54,285	49,577
Current deferred tax liabilities	18,999	17,705
Short-term borrowings and current maturities of long-term debt	12,626	10,902
Total current liabilities	565,995	542,186
Long-term debt	621,359	670,301
Non-current deferred tax liabilities	129,907	124,523
Other non-current liabilities	185,613	174,469
Total liabilities	1,502,874	1,511,479
Commitments and contingencies (Note 14)
Shareholders' equity:
Preferred stock, $0.01 par value per share; authorized 10,000,000 shares	0	0
Common stock, $0.01 par value per share; authorized 125,000,000 shares; issued 44,786,011 and 44,786,011 shares; outstanding 31,884,134 and 32,425,315 shares at June 30, 2011 and December 31, 2010, respectively	448	448
Additional paid-in capital	608,543	597,195
Treasury stock at cost (12,901,877 shares at June 30, 2011 and 12,360,696 shares at December 31, 2010)	(1,159,848)	(1,057,390)
Retained earnings	1,325,007	1,223,130
Accumulated other comprehensive income (loss)	64,255	8,201
Total shareholders' equity	838,405	771,584
Total liabilities and shareholders' equity	$ 2,341,279	$ 2,283,063

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Interim Consolidated Balance Sheets (Unaudited) (Parenthetical) (USD $) In Thousands, except Share data	Jun. 30, 2011	Dec. 31, 2010
Current assets:
Allowances for trade accounts receivable	$ 12,525	$ 11,536
Shareholders' equity:
Preferred stock, par value	$ 0.01	$ 0.01
Preferred stock, shares authorized	10,000,000	10,000,000
Common stock, par value	$ 0.01	$ 0.01
Common stock, shares authorized	125,000,000	125,000,000
Common stock, shares issued	44,786,011	44,786,011
Common stock, shares outstanding	31,884,134	32,425,315
Treasury stock, shares	12,901,877	12,360,696

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Summary of Significant Accounting Policies (Tables)

6 Months Ended

Jun. 30, 2011

Summary of Significant Accounting Policies [Abstract]

Components of inventories

	June 30,		December 31,
	2011		2010
Raw materials and parts	$	114,839	$	101,660
Work-in-progress		51,014		36,615
Finished goods		102,301		78,829
	$	268,154	$	217,104

Components of other intangible assets

	June 30, 2011					December 31, 2010
	Gross		Accumulated			Gross		Accumulated
	Amount		Amortization			Amount		Amortization
Customer relationships	$	86,928	$	(17,342	)	$	80,674	$	(15,968	)
Proven technology and patents		41,417		(24,449	)		36,262		(22,298	)
Tradename (finite life)		4,101		(960	)		2,420		(760	)
Tradename (indefinite life)		23,634		-			23,634		-
Other		510		(153	)		510		(102	)
	$	156,590	$	(42,904	)	$	143,500	$	(39,128	)

Changes to the Company's accrual for product warranties

	June 30,			June 30,
	2011			2010
Balance at beginning of period	$	15,680		$	15,856
Accruals for warranties		7,451			6,851
Foreign currency translation		722			(997	)
Payments / utilizations		(7,073	)		(8,656	)
Balance at end of period	$	16,780		$	13,054

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Document and Entity Information (USD $) In Billions, except Share data	6 Months Ended
	Jun. 30, 2011	Jun. 30, 2010
Document and Entity Information [Abstract]
Entity Registrant Name	METTLER TOLEDO INTERNATIONAL INC/
Entity Central Index Key	0001037646
Document Type	10-Q
Document Period End Date	Jun. 30, 2011
Amendment Flag	false
Document Fiscal Year Focus	2011
Document Fiscal Period Focus	Q2
Current Fiscal Year End Date	--12-31
Entity Well-known Seasoned Issuer	Yes
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Filer Category	Large Accelerated Filer
Entity Public Float		$ 3.7
Entity Common Stock, Shares Outstanding	31,884,134

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Earnings Per Common Share (Tables)

6 Months Ended

Jun. 30, 2011

Earnings Per Common Share [Abstract]

Diluted weighted average number of common shares outstanding

	2011		2010
Three months ended		1,016,037		859,382
Six months ended		1,008,537		817,637

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Segment Reporting (Details Textuals) (USD $)	3 Months Ended		6 Months Ended
	Jun. 30, 2011	Jun. 30, 2010	Jun. 30, 2011	Jun. 30, 2010
Segment Reporting (Textuals) [Abstract]
Restructuring charges	$ 1,971,000	$ 1,526,000	$ 2,469,000	$ 1,910,000
U.S. Operations [Member]
Segment Reporting (Textuals) [Abstract]
Goodwill Acquired			1,900,000
Restructuring charges	300,000		600,000	100,000
Swiss Operations [Member]
Segment Reporting (Textuals) [Abstract]
Goodwill Acquired			2,500,000
Restructuring charges			200,000
Western European Operations [Member]
Segment Reporting (Textuals) [Abstract]
Goodwill Acquired				7,400,000
Restructuring charges	1,300,000		1,300,000	200,000
Chinese Operations [Member]
Segment Reporting (Textuals) [Abstract]
Restructuring charges	100,000	100,000	100,000	200,000
Other Operations [Member]
Segment Reporting (Textuals) [Abstract]
Restructuring charges	$ 300,000	$ 1,400,000	$ 300,000	$ 1,400,000

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Fair Value Measurements

6 Months Ended

Jun. 30, 2011

Fair Value Measurements [Abstract]

FAIR VALUE MEASUREMENTS

5.        FAIR VALUE MEASUREMENTS

          At June 30, 2011 and December 31, 2010, the Company had derivative assets totaling $1.0 million and $1.8 million, respectively, and derivative liabilities totaling $7.1 million and $6.1 million, respectively. The fair values of the interest rate swap agreement and foreign currency forward contracts that economically hedge short-term intercompany balances are estimated based upon inputs from current valuation information obtained from dealer quotes and priced with observable market assumptions and appropriate valuation adjustments for credit risk. The Company has evaluated the valuation methodologies used to develop the fair values by dealers in order to determine whether such valuations are representative of an exit price in the Company’s principal market. In addition, the Company uses an internally developed model to perform testing on the valuations received from brokers. The Company has also considered both its own credit risk and counterparty credit risk in determining fair value and determined these adjustments were insignificant at June 30, 2011 and December 31, 2010.

          At June 30, 2011 and December 31, 2010, the Company had $163.0 million and $243.5 million of cash equivalents, respectively, the fair value of which is determined through quoted and corroborated prices in active markets. The fair value of cash equivalents approximates cost.

          The difference between the fair value and carrying value of the Company’s long-term debt is not material.

          Under U.S. GAAP, fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. A fair value measurement consists of observable and unobservable inputs that reflect the assumptions that a market participant would use in pricing an asset or liability.

          A fair value hierarchy has been established that categorizes these inputs into three levels:

Level 1:	Quoted prices in active markets for identical assets and liabilities
Level 2:	Observable inputs other than quoted prices in active markets for identical assets and liabilities
Level 3:	Unobservable inputs

          The following table presents for each of these hierarchy levels, the Company’s assets and liabilities that are measured at fair value on a recurring basis at June 30, 2011 and December 31, 2010:

	June 30, 2011								December 31, 2010
	Total		Level 1		Level 2		Level 3		Total		Level 1		Level 2		Level 3
Assets:
Cash equivalents	$	162,996	$	150,003	$	12,993	$	-	$	243,514	$	230,000	$	13,514	$	-
Foreign currency forward contracts		1,042		-		1,042		-		1,763		-		1,763		-
Total	$	164,038	$	150,003	$	14,035	$	-	$	245,277	$	230,000	$	15,277	$	-
Liabilities:
Interest rate swap agreement	$	6,787	$	-	$	6,787	$	-	$	5,842	$	-	$	5,842	$	-
Foreign currency forward contracts		263		-		263		-		305		-		305		-
Total	$	7,050	$	-	$	7,050	$	-	$	6,147	$	-	$	6,147	$	-

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Net Periodic Benefit Cost (Tables)

6 Months Ended

Jun. 30, 2011

Net Periodic Benefit Cost [Abstract]

Components of Net Periodic Pension cost for the Company's defined benefit pension plans and U.S. post-retirement plan

           Net periodic pension cost for the Company’s defined benefit pension plans and U.S. post-retirement medical plan includes the following components for the three months ended June 30:

													Other U.S.
	U.S. Pension Benefits						Non-U.S. Pension Benefits						Post-retirement Benefits
	2011			2010			2011			2010			2011			2010
Service cost, net	$	83		$	66		$	3,590		$	2,978		$	76		$	74
Interest cost on projected benefit obligations		1,606			1,610			6,282			5,339			183			190
Expected return on plan assets		(1,875	)		(1,727	)		(8,704	)		(6,943	)		-			-
Net amortization and deferral		-			-			(378	)		(295	)		-			(167	)
Recognition of actuarial losses/(gains)		1,276			1,325			291			260			(173	)		(184	)
Recognition of settlement/curtailment losses, net		-			-			-			58			-			-
Net periodic pension cost/(credit)	$	1,090		$	1,274		$	1,081		$	1,397		$	86		$	(87	)

           Net periodic pension cost for the Company’s defined benefit pension plans and U.S. post-retirement medical plan includes the following components for the six months ended June 30:

													Other U.S.
	U.S. Pension Benefits						Non-U.S. Pension Benefits						Post-retirement Benefits
	2011			2010			2011			2010			2011			2010
Service cost, net	$	166		$	132		$	6,947		$	6,268		$	152		$	148
Interest cost on projected benefit obligations		3,212			3,220			12,196			10,971			366			379
Expected return on plan assets		(3,750	)		(3,454	)		(16,852	)		(14,209	)		-			-
Net amortization and deferral		-			-			(727	)		(608	)		-			(335	)
Recognition of actuarial losses/(gains)		2,552			2,649			576			530			(346	)		(368	)
Recognition of settlement/curtailment losses, net		-			-			-			58			-			-
Net periodic pension cost/(credit)	$	2,180		$	2,547		$	2,140		$	3,010		$	172		$	(176	)

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Net Periodic Benefit Cost (Details) (USD $)	3 Months Ended		6 Months Ended		3 Months Ended		6 Months Ended			3 Months Ended		6 Months Ended
	Jun. 30, 2011 U.S. Pension Benefits [Member]	Jun. 30, 2010 U.S. Pension Benefits [Member]	Jun. 30, 2011 U.S. Pension Benefits [Member]	Jun. 30, 2010 U.S. Pension Benefits [Member]	Jun. 30, 2011 Non-U.S. Pension Benefits [Member]	Jun. 30, 2010 Non-U.S. Pension Benefits [Member]	Jun. 30, 2011 Non-U.S. Pension Benefits [Member]	Jun. 30, 2010 Non-U.S. Pension Benefits [Member]	Dec. 31, 2010 Non-U.S. Pension Benefits [Member]	Jun. 30, 2011 Other U.S.Post-retirement Benefits [Member]	Jun. 30, 2010 Other U.S.Post-retirement Benefits [Member]	Jun. 30, 2011 Other U.S.Post-retirement Benefits [Member]	Jun. 30, 2010 Other U.S.Post-retirement Benefits [Member]	Dec. 31, 2011 Other U.S.Post-retirement Benefits [Member]
Components of Net periodic pension cost for the Company's defined benefit pension plans and U.S. post-retirement medical plan
Service cost, net	$ 83,000	$ 66,000	$ 166,000	$ 132,000	$ 3,590,000	$ 2,978,000	$ 6,947,000	$ 6,268,000		$ 76,000	$ 74,000	$ 152,000	$ 148,000
Interest cost on projected benefit obligations	1,606,000	1,610,000	3,212,000	3,220,000	6,282,000	5,339,000	12,196,000	10,971,000		183,000	190,000	366,000	379,000
Expected return on plan assets	(1,875,000)	(1,727,000)	(3,750,000)	(3,454,000)	(8,704,000)	(6,943,000)	(16,852,000)	(14,209,000)
Net amortization and deferral					(378,000)	(295,000)	(727,000)	(608,000)		0	(167,000)		(335,000)
Recognition of actuarial losses/(gains)	1,276,000	1,325,000	2,552,000	2,649,000	291,000	260,000	576,000	530,000		(173,000)	(184,000)	(346,000)	(368,000)
Recognition of settlement/curtailment losses, net						58,000		58,000
Net periodic pension cost/(credit)	1,090,000	1,274,000	2,180,000	2,547,000	1,081,000	1,397,000	2,140,000	3,010,000		86,000	(87,000)	172,000	(176,000)
Net Periodic Benefit Cost (Textuals) [Abstract]
Defined Benefit Plan Estimated Future Employer Contributions for the current year									$ 19,100,000					$ 1,400,000

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Income Taxes (Details)	3 Months Ended	6 Months Ended
	Jun. 30, 2011	Jun. 30, 2011
Income Taxes (Textuals) [Abstract]
Annual effective tax rate	26.00%	26.00%

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Debt (Tables)

6 Months Ended

Jun. 30, 2011

Debt [Abstract]

Debt

	June 30, 2011
			Other Principal
			Trading
	U.S. Dollar		Currencies			Total
6.30% $100 million Senior Notes	$	100,000	$	-		$	100,000
Credit facility		440,100		65,659			505,759
Other local arrangements		-		28,226			28,226
Total debt		540,100		93,885			633,985
Less: current portion		-		(12,626	)		(12,626	)
Total long-term debt	$	540,100	$	81,259		$	621,359

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Net Periodic Benefit Cost

6 Months Ended

Jun. 30, 2011

Net Periodic Benefit Cost [Abstract]

NET PERIODIC BENEFIT COST

10.      NET PERIODIC BENEFIT COST

           Net periodic pension cost for the Company’s defined benefit pension plans and U.S. post-retirement medical plan includes the following components for the three months ended June 30:

													Other U.S.
	U.S. Pension Benefits						Non-U.S. Pension Benefits						Post-retirement Benefits
	2011			2010			2011			2010			2011			2010
Service cost, net	$	83		$	66		$	3,590		$	2,978		$	76		$	74
Interest cost on projected benefit obligations		1,606			1,610			6,282			5,339			183			190
Expected return on plan assets		(1,875	)		(1,727	)		(8,704	)		(6,943	)		-			-
Net amortization and deferral		-			-			(378	)		(295	)		-			(167	)
Recognition of actuarial losses/(gains)		1,276			1,325			291			260			(173	)		(184	)
Recognition of settlement/curtailment losses, net		-			-			-			58			-			-
Net periodic pension cost/(credit)	$	1,090		$	1,274		$	1,081		$	1,397		$	86		$	(87	)

           Net periodic pension cost for the Company’s defined benefit pension plans and U.S. post-retirement medical plan includes the following components for the six months ended June 30:

													Other U.S.
	U.S. Pension Benefits						Non-U.S. Pension Benefits						Post-retirement Benefits
	2011			2010			2011			2010			2011			2010
Service cost, net	$	166		$	132		$	6,947		$	6,268		$	152		$	148
Interest cost on projected benefit obligations		3,212			3,220			12,196			10,971			366			379
Expected return on plan assets		(3,750	)		(3,454	)		(16,852	)		(14,209	)		-			-
Net amortization and deferral		-			-			(727	)		(608	)		-			(335	)
Recognition of actuarial losses/(gains)		2,552			2,649			576			530			(346	)		(368	)
Recognition of settlement/curtailment losses, net		-			-			-			58			-			-
Net periodic pension cost/(credit)	$	2,180		$	2,547		$	2,140		$	3,010		$	172		$	(176	)

            As previously disclosed in the Company’s Annual Report on Form 10-K for the year ended December 31, 2010, the Company expects to make employer contributions of approximately $19.1 million to its non-U.S. pension plans and employer contributions of approximately $1.4 million to its U.S. post-retirement medical plan during the year ended December 31, 2011. These estimates may change based upon several factors, including fluctuations in currency exchange rates, actual returns on plan assets and changes in legal requirements.

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Basis of Presentation

6 Months Ended

Jun. 30, 2011

Basis of Presentation [Abstract]

BASIS OF PRESENTATION

1.       BASIS OF PRESENTATION

          Mettler-Toledo International Inc. (“Mettler-Toledo” or the “Company”) is a leading global supplier of precision instruments and services. The Company manufactures weighing instruments for use in laboratory, industrial, packaging, logistics and food retailing applications. The Company also manufactures several related analytical instruments and provides automated chemistry solutions used in drug and chemical compound discovery and development. In addition, the Company manufactures metal detection and other end-of-line inspection systems used in production and packaging and provides solutions for use in certain process analytics applications. The Company’s primary manufacturing facilities are located in China, Germany, Switzerland, the United Kingdom and the United States. The Company’s principal executive offices are located in Columbus, Ohio and Greifensee, Switzerland.

          The accompanying interim consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) and include all entities in which the Company has control, which are its wholly-owned subsidiaries. The interim consolidated financial statements have been prepared without audit, pursuant to the rules and regulations of the Securities and Exchange Commission. Certain information and footnote disclosures normally included in financial statements prepared in accordance with U.S. GAAP have been condensed or omitted pursuant to such rules and regulations. The interim consolidated financial statements as of June 30, 2011 and for the three and six month periods ended June 30, 2011 and 2010 should be read in conjunction with the consolidated financial statements and the notes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2010.

          The accompanying interim consolidated financial statements reflect all adjustments which, in the opinion of management, are necessary for a fair statement of the results of the interim periods presented. Operating results for the three and six months ended June 30, 2011 are not necessarily indicative of the results to be expected for the full year ending December 31, 2011.

          The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, as well as disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting periods. Actual results may differ from those estimates. A discussion of the Company’s critical accounting policies is included in Management’s Discussion and Analysis of Financial Condition and Results of Operations and the Notes to the Consolidated Financial Statements included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2010.

          All intercompany transactions and balances have been eliminated.

          Certain reclassifications have been made to prior year amounts to conform to the current year presentation.

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Financial Instruments (Details) (USD $) In Millions, unless otherwise specified	3 Months Ended		6 Months Ended
	Jun. 30, 2011	Jun. 30, 2010	Jun. 30, 2011	Jun. 30, 2010	Dec. 31, 2010
Cash Flow Hedge Settlement (Textuals) [Abstract]
Line of Credit Facility Forecasted Borrowing Amount	$ 100		$ 100
Fixed rate of interest rate swap agreements	3.24%		3.24%
Amount of notional settled				100
Amount of notional in original hedge		200		200
Expense in Settling Derivatives				0.6
Financial Instruments (Textuals) [Abstract]
Fair value of derivative liability, other non-current, designated as hedging instrument in cash flow hedge	6.8		6.8		5.8
Derivative value recognized in other comprehensive income (loss)	1.9	4.7	0.9	8.8
Foreign currency forward contracts assets fair value	1.0		1.0		1.8
Foreign currency forward contracts liabilities fair value	0.3		0.3		0.3
Net gain from other charges (income)	4.4		4.4
Notional value of other derivatives	98.4		98.4		99.3
Net gain/loss recognized in earnings		3.0		4.6
Interest rate swap Cash Flow Hedge Loss Reclassified To Interest Expense	0.8	0	1.5	0.6
Interest rate swap cash flow hedge gain (loss) to be reclassified within twelve months			$ (1.9)

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Debt

6 Months Ended

Jun. 30, 2011

Debt [Abstract]

DEBT

7.       DEBT

          Debt consisted of the following at June 30, 2011:

	June 30, 2011
			Other Principal
			Trading
	U.S. Dollar		Currencies			Total
6.30% $100 million Senior Notes	$	100,000	$	-		$	100,000
Credit facility		440,100		65,659			505,759
Other local arrangements		-		28,226			28,226
Total debt		540,100		93,885			633,985
Less: current portion		-		(12,626	)		(12,626	)
Total long-term debt	$	540,100	$	81,259		$	621,359

          As of June 30, 2011, the Company had $438.6 million of availability remaining under the credit facility.

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Other Charges (Income), Net

6 Months Ended

Jun. 30, 2011

Other Charges (Income), Net [Abstract]

OTHER CHARGES (INCOME), NET

12.      OTHER CHARGES (INCOME), NET

          Other charges (income), net consists primarily of interest income, (gains) losses from foreign currency transactions and other items.

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Share Repurchase Program and Treasury Stock

6 Months Ended

Jun. 30, 2011

Equity [Abstract]

SHARE REPURCHASE PROGRAM AND TREASURY STOCK

8.       SHARE REPURCHASE PROGRAM AND TREASURY STOCK

          The Company has a $2.25 billion share repurchase program, of which there is $806.4 million remaining to repurchase common shares as of June 30, 2011. The share repurchases are expected to be funded from cash balances, borrowings and cash generated from operating activities. Repurchases will be made through open market transactions, and the amount and timing of purchases will depend on business and market conditions, the stock price, trading restrictions, the level of acquisition activity and other factors. The Company has purchased 17.9 million shares since the inception of the program through June 30, 2011.

          During the six months ended June 30, 2011 and 2010, the Company spent $114.2 million and $72.8 million on the repurchase of 688,079 shares and 662,999 shares at an average price per share of $165.92 and $109.78, respectively. The Company reissued 146,898 shares and 216,270 shares held in treasury for the exercise of stock options and restricted stock units during the six months ended June 30, 2011 and 2010, respectively. The Company also reissued 2,549 shares held in treasury during the six months ended June 30, 2010, pursuant to its 2007 Share Plan which extends certain eligible employees the option to receive a percentage of their annual cash incentive in shares of the Company’s stock. There were no shares reissued related to the 2007 Share Plan during the six months ended June 30, 2011.

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Summary of Significant Accounting Policies (Details 2) (USD $) In Thousands	6 Months Ended
	Jun. 30, 2011	Jun. 30, 2010
Changes to the Company's accrual for product warranties
Warranty Accrual, Balance at beginning of period	$ 15,680	$ 15,856
Accruals for warranties	7,451	6,851
Foreign currency translation	722	(997)
Payments / utilizations	(7,073)	(8,656)
Warranty Accrual, Balance at end of period	$ 16,780	$ 13,054

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Income Taxes

6 Months Ended

Jun. 30, 2011

Income Taxes [Abstract]

INCOME TAXES

6.        INCOME TAXES

          The provision for taxes is based upon the Company’s projected annual effective rate of 26% for both the three and six month periods ended June 30, 2011.

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Interim Consolidated Statements of Shareholders' Equity and Comprehensive Income (Unaudited) (Parenthetical) (USD $) In Thousands	3 Months Ended		6 Months Ended			12 Months Ended
	Jun. 30, 2011	Jun. 30, 2010	Jun. 30, 2011		Jun. 30, 2010	Dec. 31, 2010
Comprehensive income:
Total comprehensive income	$ 97,326	$ 37,263	$ 163,069	[1]	$ 59,651	$ 256,558

[1] Total comprehensive income for the three months ended June 30, 2011 and 2010 was $97,326 and $37,263, respectively and $59,651 for the six months ended June 30, 2010.

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Summary of Significant Accounting Policies

6 Months Ended

Jun. 30, 2011

Summary of Significant Accounting Policies [Abstract]

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

2.        SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Trade Accounts Receivable

          Trade accounts receivable are recorded at the invoiced amount and do not bear interest. The allowance for doubtful accounts represents the Company’s best estimate of probable credit losses in its existing trade accounts receivable. The Company determines the allowance based upon a review of both specific accounts for collection and the age of the accounts receivable portfolio.

Inventories

          Inventories are valued at the lower of cost or net realizable value. Cost, which includes direct materials, labor and overhead, is generally determined using the first in, first out (FIFO) method. The estimated net realizable value is based on assumptions for future demand and related pricing. Adjustments to the cost basis of the Company’s inventory are made for excess and obsolete items based on usage, orders and technological obsolescence. If actual market conditions are less favorable than those projected by management, reductions in the value of inventory may be required.

          Inventories consisted of the following:

	June 30,		December 31,
	2011		2010
Raw materials and parts	$	114,839	$	101,660
Work-in-progress		51,014		36,615
Finished goods		102,301		78,829
	$	268,154	$	217,104

Goodwill and Other Intangible Assets

          Goodwill, representing the excess of purchase price over the net asset value of companies acquired, and indefinite-lived intangible assets are not amortized, but are reviewed for impairment annually in the fourth quarter, or more frequently if events or changes in circumstances indicate that an asset might be impaired. The annual evaluation is based on valuation models that estimate fair value based on expected future cash flows and profitability projections.

          Other intangible assets include indefinite-lived assets and assets subject to amortization. Where applicable, amortization is charged on a straight-line basis over the expected period to be benefited. The straight-line method of amortization reflects an appropriate allocation of the cost of the intangible assets to earnings in proportion to the amount of economic benefits obtained by the Company in each reporting period. The Company assesses the initial acquisition of intangible assets in accordance with the provisions of ASC 805 “Business Combinations” and the continued accounting for previously recognized intangible assets and goodwill in accordance with the provisions of ASC 350 “Intangibles — Goodwill and Other” and ASC 360 “Property, Plant and Equipment.”

          Other intangible assets consisted of the following:

	June 30, 2011					December 31, 2010
	Gross		Accumulated			Gross		Accumulated
	Amount		Amortization			Amount		Amortization
Customer relationships	$	86,928	$	(17,342	)	$	80,674	$	(15,968	)
Proven technology and patents		41,417		(24,449	)		36,262		(22,298	)
Tradename (finite life)		4,101		(960	)		2,420		(760	)
Tradename (indefinite life)		23,634		-			23,634		-
Other		510		(153	)		510		(102	)
	$	156,590	$	(42,904	)	$	143,500	$	(39,128	)

          The Company recognized amortization expense associated with the above intangible assets of $1.7 million and $1.5 million for the three months ended June 30, 2011 and 2010, respectively and $3.2 million and $3.1 million for the six months ended June 30, 2011 and 2010, respectively. The annual aggregate amortization expense based on the current balance of other intangible assets is estimated at $6.6 million for 2011 and 2012, $5.1 million for 2013, $5.0 million for 2014, $4.4 million for 2015 and $4.2 million for 2016. Purchased intangible amortization, net of tax was $1.0 million and $0.9 million for the three months ended June 30, 2011 and 2010, respectively and $1.8 million for both the six month periods ended June 30, 2011 and 2010.

          In addition to the above amortization, the Company recorded amortization expense associated with capitalized software of $2.6 million and $2.1 million for the three months ended June 30, 2011 and 2010, respectively and of $4.7 million and $3.9 million for the six months ended June 30, 2011 and 2010, respectively.

Revenue Recognition

          Revenue is recognized when title to a product has transferred and any significant customer obligations have been fulfilled. Standard shipping terms are generally FOB shipping point in most countries and, accordingly, title and risk of loss transfers upon shipment. In countries where title cannot legally transfer before delivery, the Company defers revenue recognition until delivery has occurred. The Company generally maintains the right to accept or reject a product return in its terms and conditions and also maintains appropriate accruals for outstanding credits. Shipping and handling costs charged to customers are included in total net sales and the associated expense is recorded in cost of sales for all periods presented. Other than a few small software applications, the Company does not sell software products without the related hardware instrument as the software is embedded in the instrument. The Company’s products typically require no significant production, modification or customization of the hardware or software that is essential to the functionality of the products. To the extent the Company’s solutions have a post-shipment obligation, such as customer acceptance, revenue is deferred until the obligation has been completed. The Company defers product revenue where installation is required, unless such installation is deemed perfunctory. The Company also sometimes enters into certain arrangements that require the separate delivery of multiple goods and/or services. These deliverables are accounted for separately if the deliverables have standalone value and the performance of undelivered items is probable and within the Company’s control. The allocation of revenue between the separate deliverables is typically based on the relative selling price at the time of the sale in accordance with a number of factors including service technician billing rates, time to install and geographic location. The adoption of the recently issued multiple-element arrangement guidance on January 1, 2011, has not and is not expected to have a material impact on the Company’s financial statements.

          Further, certain products are also sold through indirect distribution channels whereby the distributor assumes any further obligations to the customer upon title transfer. Revenue is recognized on these products upon transfer of title and risk of loss to its distributors. Distributor discounts are offset against revenue at the time such revenue is recognized.

          Service revenue not under contract is recognized upon the completion of the service performed. Spare parts sold on a stand-alone basis are recognized upon title and risk of loss transfer which is generally at the time of shipment. Revenues from service contracts are recognized ratably over the contract period. These contracts represent an obligation to perform repair and other services including regulatory compliance qualification, calibration, certification and preventative maintenance on a customer’s pre-defined equipment over the contract period. Service contracts are separately priced and payment is typically received from the customer at the beginning of the contract period.

Warranty

          The Company generally offers one-year warranties on most of its products. Product warranties are recorded at the time revenue is recognized. While the Company engages in extensive product quality programs and processes, its warranty obligation is affected by product failure rates, material usage and service costs incurred in correcting a product failure.

          The Company’s accrual for product warranties is included in accrued and other liabilities in the consolidated balance sheets. Changes to the Company’s accrual for product warranties for the six months ended June 30 are as follows:

	June 30,			June 30,
	2011			2010
Balance at beginning of period	$	15,680		$	15,856
Accruals for warranties		7,451			6,851
Foreign currency translation		722			(997	)
Payments / utilizations		(7,073	)		(8,656	)
Balance at end of period	$	16,780		$	13,054

Employee Termination Benefits

          In situations where contractual termination benefits exist, the Company records accruals for employee termination benefits when it is probable that a liability has been incurred and the amount of the liability is reasonably estimable. All other employee termination arrangements are recognized and measured at their fair value at the communication date unless the employee is required to render additional service beyond the legal notification period, in which case the liability is recognized ratably over the future service period.

Share-Based Compensation

          The Company recognizes share-based compensation expense within selling, general and administrative in the consolidated statement of operations with a corresponding offset to additional paid-in capital in the consolidated balance sheet. The Company recorded $2.5 million and $5.7 million of share-based compensation expense for the three and six months ended June 30, 2011, respectively, compared to $3.0 million and $6.0 million for the corresponding periods in 2010.

Research and Development

          Research and development costs primarily consist of salaries, consulting and other costs. The Company expenses these costs as incurred.

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Debt (Details Textuals) (USD $) In Millions	Jun. 30, 2011
Debt (Textuals) [Abstract]
Amount remaining under the credit facility	$ 438.6

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Summary of Significant Accounting Policies (Details1) (USD $) In Thousands	Jun. 30, 2011	Dec. 31, 2010
Finite-Lived Intangible Assets [Line Items]
Total Accumulated Amortization	$ (42,904)	$ (39,128)
Finite and Indefinite Lived Intangible Asset by Major Class [Line Items]
Finite and Indefinite-Lived Intangible Assets, Gross, Total	156,590	143,500
Customer Relationships [Member]
Finite-Lived Intangible Assets [Line Items]
Gross amount	86,928	80,674
Accumulated Amortization	(17,342)	(15,968)
Proven technology and patents [Member]
Finite-Lived Intangible Assets [Line Items]
Gross amount	41,417	36,262
Accumulated Amortization	(24,449)	(22,298)
Tradename (finite life) [Member]
Finite-Lived Intangible Assets [Line Items]
Gross amount	4,101	2,420
Accumulated Amortization	(960)	(760)
Tradename (indefinite life) [Member]
Finite and Indefinite Lived Intangible Asset by Major Class [Line Items]
Gross amount, Tradename (indefinite life)	23,634	23,634
Other Intangible Assets [Member]
Finite-Lived Intangible Assets [Line Items]
Gross amount	510	510
Accumulated Amortization	$ (153)	$ (102)

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Acquisitions

6 Months Ended

Jun. 30, 2011

Acquisitions [Abstract]

ACQUISITIONS

3.         ACQUISITIONS

          In March 2011, the Company completed acquisitions totaling $15.4 million, of which $12.0 million related to an X-ray inspection solutions business that will be integrated into the Company’s product inspection product offering. Goodwill recorded in connection with these acquisitions totaled $4.4 million, of which $1.9 million is included in the Company’s U.S. Operations segment and $2.5 million is included in the Company’s Swiss Operations segment. The Company also recorded $9.9 million of identified intangibles pertaining to tradename, customer relationships and technology. The weighted average amortization periods are 15 years for both tradename and customer relationships and 9 years for technology.

          In January 2010, the Company acquired a pipette distributor located in the United Kingdom for an aggregate purchase price of approximately $12.5 million. Goodwill recorded in connection with the acquisition totaled $7.4 million, which is included in the Company’s Western European Operations segment. The Company also recorded $4.5 million of identified intangibles pertaining to tradename and customer relationships. The weighted average amortization periods are 7 years for tradename and 30 years for customer relationships.

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Earnings Per Common Share (Details)	3 Months Ended		6 Months Ended
	Jun. 30, 2011	Jun. 30, 2010	Jun. 30, 2011	Jun. 30, 2010
Diluted weighted average number of common shares outstanding
Weighted Average Number of Shares Outstanding, Diluted, Total	1,016,037	859,382	1,008,537	817,637
Earnings Per Common Share (Textuals) [Abstract]
Antidilutive Shares	171,991	517,328	171,923	620,226

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Restructuring Charges (Tables)

6 Months Ended

Jun. 30, 2011

Restructuring Charges [Abstract]

Company's accrual for restructuring activities

	Employee Related			Lease Termination			Other			Total
Balance at December 31, 2010	$	7,721		$	4		$	131		$	7,856
Restructuring charges		2,224			-			245			2,469
Cash payments		(2,495	)		(4	)		(339	)		(2,838	)
Impact of foreign currency		365			-			-			365
Balance at June 30, 2011	$	7,815		$	-		$	37		$	7,852

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Summary of Significant Accounting Policies (Details Textuals) (USD $) In Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2011	Jun. 30, 2010	Jun. 30, 2011	Jun. 30, 2010
Summary of Significant Accounting Policies (Textuals) [Abstract]
Aggregate amortization expense, current			$ 6.6
Aggregate amortization expense for 2012			6.6
Aggregate amortization expense for 2013			5.1
Aggregate amortization expense for 2014			5.0
Aggregate amortization expense for 2015			4.4
Aggregate amortization expense for 2016			4.2
Amortization expense	1.7	1.5	3.2	3.1
Purchased intangible amortization, net of tax	1.0	0.9	1.8	1.8
Amortization expense associated with capitalized software	2.6	2.1	4.7	3.9
Product warranty period	1 year		1 year
Share - based compensation expense	$ 2.5	$ 3.0	$ 5.7	$ 6.0

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Share Repurchase Program and Treasury Stock (Details) (USD $)	6 Months Ended		12 Months Ended
	Jun. 30, 2011	Jun. 30, 2010	Dec. 31, 2010
Share Repurchase Program and Treasury Stock (Textuals) [Abstract]
Authorized amount under share repurchase program	$ 2,250,000,000
Remaining Amount to Repurchase under the program	806,400,000
Shares Purchased Under Share Repurchase Program	17,900,000
Treasury Stock, Value, Acquired, Cost Method	$ 114,179,000	$ 72,800,000	$ 239,998,000
Number of shares repurchased	688,079	622,999
Average price of share repurchased, per share	$ 165.92	$ 109.78
Exercise of stock options and restricted stock units, shares reissued	146,898	216,270
Other Treasury Stock Issuances	0	2,549

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Summary of Significant Accounting Policies (Details) (USD $) In Thousands	Jun. 30, 2011	Dec. 31, 2010
Components of inventory
Raw materials and parts	$ 114,839	$ 101,660
Work-in-progress	51,014	36,615
Finished goods	102,301	78,829
Total Inventory, Net	$ 268,154	$ 217,104

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Restructuring Charges

6 Months Ended

Jun. 30, 2011

Restructuring Charges [Abstract]

RESTRUCTURING CHARGES

11.     RESTRUCTURING CHARGES

          During the fourth quarter of 2008, the Company initiated a global cost reduction program which has substantially been completed. Charges under the program primarily comprise severance costs.

          A rollforward of the Company’s accrual for restructuring activities for the six months ended June 30, 2011 is as follows:

	Employee Related			Lease Termination			Other			Total
Balance at December 31, 2010	$	7,721		$	4		$	131		$	7,856
Restructuring charges		2,224			-			245			2,469
Cash payments		(2,495	)		(4	)		(339	)		(2,838	)
Impact of foreign currency		365			-			-			365
Balance at June 30, 2011	$	7,815		$	-		$	37		$	7,852

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Financial Instruments

6 Months Ended

Jun. 30, 2011

Financial Instruments [Abstract]

FINANCIAL INSTRUMENTS

4.         FINANCIAL INSTRUMENTS

          As more fully described below, the Company enters into certain interest rate swap agreements in order to manage its exposure to changes in interest rates. The amount of the Company’s fixed obligation interest payments may change based upon the expiration dates of its interest rate swap agreements and the level and composition of its debt. The Company also enters into certain foreign currency forward contracts to limit the Company’s exposure to currency fluctuations on the respective hedged items. The Company does not use derivative financial instruments for trading purposes. For additional disclosures on the fair value of financial instruments, also see Note 5 to the interim consolidated financial statements.

          Cash Flow Hedge

          The Company has an interest rate swap agreement, designated as a cash flow hedge. The agreement is a forward-starting swap which changed the floating rate LIBOR-based interest payments associated with $100 million in forecasted borrowings under the Company’s credit facility to a fixed obligation of 3.24% beginning in October 2010. During the six months ended June 30, 2010, the Company settled $100 million of its original $200 million arrangement, resulting in expense of $0.6 million being reclassified from other comprehensive income to interest expense. The swap is recorded in other non-current liabilities in the consolidated balance sheet at its fair value at June 30, 2011 and December 31, 2010 of $6.8 million and $5.8 million, respectively. The effective portion of the loss reclassified from accumulated other comprehensive income (loss) to interest expense was $0.8 million for the three month period ended June 30, 2011 and $1.5 million and $0.6 million for the six month periods ended June 30, 2011 and 2010 respectively. No reclassification occurred for the three month period ended June 30, 2010. The amount recognized in other comprehensive income (loss) during the three month periods ended June 30, 2011 and 2010 was a loss of $1.9 million and $4.7 million, respectively and during the six month periods ended June 30, 2011 and 2010 was a loss of $0.9 million and $8.8 million, respectively. A net after tax derivative loss of $1.9 million based upon interest rates at June 30, 2011, is expected to be reclassified from other comprehensive income (loss) to earnings in the next twelve months. Through June 30, 2011 no hedge ineffectiveness has occurred in relation to this hedge.

          Other Derivatives

          The Company enters into foreign currency forward contracts in order to economically hedge short-term intercompany balances largely denominated in Swiss franc and other major European currencies with its foreign businesses. In accordance with U.S. GAAP, these contracts are considered “derivatives not designated as hedging instruments”. Gains or losses on these instruments are reported in current earnings. The foreign currency forward contracts were reported at their fair value in the consolidated balance sheet at June 30, 2011 and December 31, 2010 in other current assets of $1.0 million and $1.8 million, respectively and other liabilities of $0.3 million at both balance sheet dates. The net gain recognized in other charges (income), net during both the three and six month periods ended June 30, 2011 was $4.4 million. The net loss recognized during the three and six month periods ended June 30, 2010 was $3.0 million and $4.6 million, respectively. At June 30, 2011 and December 31, 2010, these contracts had a notional value of $98.4 million and $99.3 million, respectively.

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Contingencies

6 Months Ended

Jun. 30, 2011

Contingencies [Abstract]

CONTINGENCIES

14. CONTINGENCIES

          The Company is party to various legal proceedings, including certain environmental matters, incidental to the normal course of business. Management does not expect that any of such proceedings, either individually or in the aggregate, will have a material adverse effect on the Company’s financial condition, results of operations or cash flows.

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Debt (Details) (USD $) In Thousands	Jun. 30, 2011	Dec. 31, 2010
Long-Term Debt, by Current and Noncurrent, and Short-Term Debt
Total debt	$ 633,985
Less: current portion	(12,626)	(10,902)
Long-Term Debt
Long-term debt	621,359	670,301
6.30% Senior Notes [Member]
Long-Term Debt, by Current and Noncurrent, and Short-Term Debt
Total debt	100,000
6.30% Senior Notes [Member] | Other Principal Trading Currencies [Member]
Long-Term Debt, by Current and Noncurrent, and Short-Term Debt
Total debt	0
6.30% Senior Notes [Member] | US Dollar Amounts [Member]
Long-Term Debt, by Current and Noncurrent, and Short-Term Debt
Total debt	100,000
Credit facility [Member]
Long-Term Debt, by Current and Noncurrent, and Short-Term Debt
Total debt	505,759
Credit facility [Member] | Other Principal Trading Currencies [Member]
Long-Term Debt, by Current and Noncurrent, and Short-Term Debt
Total debt	65,659
Credit facility [Member] | US Dollar Amounts [Member]
Long-Term Debt, by Current and Noncurrent, and Short-Term Debt
Total debt	440,100
Other local arrangements [Member]
Long-Term Debt, by Current and Noncurrent, and Short-Term Debt
Total debt	28,226
Other local arrangements [Member] | Other Principal Trading Currencies [Member]
Long-Term Debt, by Current and Noncurrent, and Short-Term Debt
Total debt	28,226
Other local arrangements [Member] | US Dollar Amounts [Member]
Long-Term Debt, by Current and Noncurrent, and Short-Term Debt
Total debt	0
Other Principal Trading Currencies [Member]
Long-Term Debt, by Current and Noncurrent, and Short-Term Debt
Total debt	93,885
Less: current portion	(12,626)
Long-Term Debt
Long-term debt	81,259
US Dollar Amounts [Member]
Long-Term Debt, by Current and Noncurrent, and Short-Term Debt
Total debt	540,100
Less: current portion	0
Long-Term Debt
Long-term debt	$ 540,100

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Segment Reporting (Tables)

6 Months Ended

Jun. 30, 2011

Segment Reporting [Abstract]

Operations of the Company's operating segments

	Net Sales to		Net Sales to
For the three months ended	External		Other			Total Net			Segment
June 30, 2011	Customers		Segments			Sales			Profit			Goodwill (c)
U.S. Operations	$	167,017	$	19,412		$	186,429		$	30,834		$	308,467
Swiss Operations		32,179		91,489			123,668			21,978			25,695
Western European Operations		167,419		26,089			193,508			20,609			98,076
Chinese Operations		95,721		34,433			130,154			34,443			695
Other (a)		98,752		1,526			100,278			10,640			14,666
Eliminations and Corporate (b)		-		(172,949	)		(172,949	)		(23,972	)		-
Total	$	561,088	$	-		$	561,088		$	94,532		$	447,599

	Net Sales to		Net Sales to
For the six months ended	External		Other			Total Net			Segment
June 30, 2011	Customers		Segments			Sales			Profit
U.S. Operations	$	315,229	$	38,100		$	353,329		$	53,164
Swiss Operations		63,824		192,751			256,575			51,058
Western European Operations		320,279		51,677			371,956			39,076
Chinese Operations		170,558		64,770			235,328			55,132
Other (a)		189,964		2,335			192,299			20,107
Eliminations and Corporate (b)		—		(349,633	)		(349,633	)		(50,227	)
Total	$	1,059,854	$	—		$	1,059,854		$	168,310

	Net Sales to		Net Sales to
For the three months ended	External		Other			Total Net			Segment
June 30, 2010	Customers		Segments			Sales			Profit			Goodwill (c)
U.S. Operations	$	153,905	$	14,899		$	168,804		$	31,091		$	318,883
Swiss Operations		26,619		79,941			106,560			20,447			17,800
Western European Operations		139,310		22,011			161,321			19,560			89,058
Chinese Operations		72,847		26,002			98,849			23,917			654
Other (a)		75,868		879			76,747			6,376			12,875
Eliminations and Corporate (b)		—		(143,732	)		(143,732	)		(21,473	)		—
Total	$	468,549	$	—		$	468,549		$	79,918		$	439,270
	Net Sales to		Net Sales to
For the six months ended	External		Other			Total Net			Segment
June 30, 2010	Customers		Segments			Sales			Profit
U.S. Operations	$	287,457	$	28,944		$	316,401		$	54,483
Swiss Operations		49,123		152,910			202,033			38,396
Western European Operations		276,068		41,654			317,722			34,632
Chinese Operations		127,598		46,822			174,420			38,753
Other (a)		144,954		1,677			146,631			10,621
Eliminations and Corporate (b)		—		(272,007	)		(272,007	)		(36,520	)
Total	$	885,200	$	—		$	885,200		$	140,365

(a)	Other includes reporting units in Eastern Europe, Latin America, Southeast Asia and other countries.
(b)	Eliminations and Corporate includes the elimination of inter-segment transactions and certain corporate expenses and intercompany investments, which are not included in the Company’s operating segments.
(c)	Goodwill as of June 30, 2011 includes additions of $1.9 million in U.S. Operations and $2.5 million in Swiss Operations related to acquisitions in the first quarter of 2011. See Note 3 for additional information. Goodwill as of June 30, 2010 included an addition of $7.4 million in Western European Operations related to our acquisition of a pipette distributor in the first quarter of 2010. Other goodwill changes are primarily related to foreign currency fluctuations.

Reconciliation of earnings before taxes to segment profit

	Three Months Ended				Six Months Ended
	2011		2010		2011		2010
Earnings before taxes	$	81,337	$	69,386	$	144,615	$	120,560
Amortization		4,325		3,565		7,947		6,946
Interest expense		5,692		4,711		11,403		9,965
Restructuring charges		1,971		1,526		2,469		1,910
Other charges (income), net		1,207		730		1,876		984
Segment profit	$	94,532	$	79,918	$	168,310	$	140,365

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Interim Consolidated Statements of Shareholders' Equity and Comprehensive Income (Unaudited) (USD $) In Thousands, except Share data		Total	Common Stock	Additional Paid-in Capital	Treasury Stock	Retained Earnings	Accumulated Other Comprehensive Income (Loss)
Beginning balance at Dec. 31, 2009		$ 711,138	$ 448	$ 574,034	$ (857,130)	$ 1,009,995	$ (16,209)
Beginning balance, shares at Dec. 31, 2009			33,851,124
Exercise of stock options and restricted stock units		20,455			39,555	(19,100)
Exercise of stock options and restricted stock units, shares			527,276
Other treasury stock issuances		270			183	87
Other treasury stock issuances, shares			2,549
Repurchases of common stock		(239,998)			(239,998)
Repurchases of common stock, shares			(1,955,634)
Tax benefit resulting from exercise of certain employee stock options		10,776		10,776
Share-based compensation		12,385		12,385
Comprehensive income:
Net earnings		232,148				232,148
Net unrealized loss on cash flow hedging arrangements, net of tax		(6,410)					(6,410)
Change in currency translation adjustment, net of tax		31,647					31,647
Pension adjustment, net of tax		(827)					(827)
Total comprehensive income		256,558
Ending balance at Dec. 31, 2010		771,584	448	597,195	(1,057,390)	1,223,130	8,201
Ending balance, shares at Dec. 31, 2010		32,425,315	32,425,315
Exercise of stock options and restricted stock units		6,583			11,721	(5,138)
Exercise of stock options and restricted stock units, shares		146,898	146,898
Other treasury stock issuances, shares		0
Repurchases of common stock		(114,179)			(114,179)
Repurchases of common stock, shares		(688,079)	(688,079)
Tax benefit resulting from exercise of certain employee stock options		5,626		5,626
Share-based compensation		5,722		5,722
Comprehensive income:
Net earnings		107,015				107,015
Net unrealized loss on cash flow hedging arrangements, net of tax		(599)					(599)
Change in currency translation adjustment, net of tax		54,605					54,605
Pension adjustment, net of tax		2,048					2,048
Total comprehensive income	[1]	163,069
Ending balance at Jun. 30, 2011		$ 838,405	$ 448	$ 608,543	$ (1,159,848)	$ 1,325,007	$ 64,255
Ending balance, shares at Jun. 30, 2011		31,884,134	31,884,134

[1] Total comprehensive income for the three months ended June 30, 2011 and 2010 was $97,326 and $37,263, respectively and $59,651 for the six months ended June 30, 2010.

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Summary of Significant Accounting Policies (Policies)

6 Months Ended

Jun. 30, 2011

Summary of Significant Accounting Policies [Abstract]

Trade Accounts Receivable

Trade Accounts Receivable

          Trade accounts receivable are recorded at the invoiced amount and do not bear interest. The allowance for doubtful accounts represents the Company’s best estimate of probable credit losses in its existing trade accounts receivable. The Company determines the allowance based upon a review of both specific accounts for collection and the age of the accounts receivable portfolio.

Inventories

Inventories

          Inventories are valued at the lower of cost or net realizable value. Cost, which includes direct materials, labor and overhead, is generally determined using the first in, first out (FIFO) method. The estimated net realizable value is based on assumptions for future demand and related pricing. Adjustments to the cost basis of the Company’s inventory are made for excess and obsolete items based on usage, orders and technological obsolescence. If actual market conditions are less favorable than those projected by management, reductions in the value of inventory may be required.

          Inventories consisted of the following:

	June 30,		December 31,
	2011		2010
Raw materials and parts	$	114,839	$	101,660
Work-in-progress		51,014		36,615
Finished goods		102,301		78,829
	$	268,154	$	217,104

Goodwill and Other Intangible Assets

Goodwill and Other Intangible Assets

          Goodwill, representing the excess of purchase price over the net asset value of companies acquired, and indefinite-lived intangible assets are not amortized, but are reviewed for impairment annually in the fourth quarter, or more frequently if events or changes in circumstances indicate that an asset might be impaired. The annual evaluation is based on valuation models that estimate fair value based on expected future cash flows and profitability projections.

          Other intangible assets include indefinite-lived assets and assets subject to amortization. Where applicable, amortization is charged on a straight-line basis over the expected period to be benefited. The straight-line method of amortization reflects an appropriate allocation of the cost of the intangible assets to earnings in proportion to the amount of economic benefits obtained by the Company in each reporting period. The Company assesses the initial acquisition of intangible assets in accordance with the provisions of ASC 805 “Business Combinations” and the continued accounting for previously recognized intangible assets and goodwill in accordance with the provisions of ASC 350 “Intangibles — Goodwill and Other” and ASC 360 “Property, Plant and Equipment.”

          Other intangible assets consisted of the following:

	June 30, 2011					December 31, 2010
	Gross		Accumulated			Gross		Accumulated
	Amount		Amortization			Amount		Amortization
Customer relationships	$	86,928	$	(17,342	)	$	80,674	$	(15,968	)
Proven technology and patents		41,417		(24,449	)		36,262		(22,298	)
Tradename (finite life)		4,101		(960	)		2,420		(760	)
Tradename (indefinite life)		23,634		-			23,634		-
Other		510		(153	)		510		(102	)
	$	156,590	$	(42,904	)	$	143,500	$	(39,128	)

          The Company recognized amortization expense associated with the above intangible assets of $1.7 million and $1.5 million for the three months ended June 30, 2011 and 2010, respectively and $3.2 million and $3.1 million for the six months ended June 30, 2011 and 2010, respectively. The annual aggregate amortization expense based on the current balance of other intangible assets is estimated at $6.6 million for 2011 and 2012, $5.1 million for 2013, $5.0 million for 2014, $4.4 million for 2015 and $4.2 million for 2016. Purchased intangible amortization, net of tax was $1.0 million and $0.9 million for the three months ended June 30, 2011 and 2010, respectively and $1.8 million for both the six month periods ended June 30, 2011 and 2010.

          In addition to the above amortization, the Company recorded amortization expense associated with capitalized software of $2.6 million and $2.1 million for the three months ended June 30, 2011 and 2010, respectively and of $4.7 million and $3.9 million for the six months ended June 30, 2011 and 2010, respectively.

Revenue Recognition

Revenue Recognition

          Revenue is recognized when title to a product has transferred and any significant customer obligations have been fulfilled. Standard shipping terms are generally FOB shipping point in most countries and, accordingly, title and risk of loss transfers upon shipment. In countries where title cannot legally transfer before delivery, the Company defers revenue recognition until delivery has occurred. The Company generally maintains the right to accept or reject a product return in its terms and conditions and also maintains appropriate accruals for outstanding credits. Shipping and handling costs charged to customers are included in total net sales and the associated expense is recorded in cost of sales for all periods presented. Other than a few small software applications, the Company does not sell software products without the related hardware instrument as the software is embedded in the instrument. The Company’s products typically require no significant production, modification or customization of the hardware or software that is essential to the functionality of the products. To the extent the Company’s solutions have a post-shipment obligation, such as customer acceptance, revenue is deferred until the obligation has been completed. The Company defers product revenue where installation is required, unless such installation is deemed perfunctory. The Company also sometimes enters into certain arrangements that require the separate delivery of multiple goods and/or services. These deliverables are accounted for separately if the deliverables have standalone value and the performance of undelivered items is probable and within the Company’s control. The allocation of revenue between the separate deliverables is typically based on the relative selling price at the time of the sale in accordance with a number of factors including service technician billing rates, time to install and geographic location. The adoption of the recently issued multiple-element arrangement guidance on January 1, 2011, has not and is not expected to have a material impact on the Company’s financial statements.

          Further, certain products are also sold through indirect distribution channels whereby the distributor assumes any further obligations to the customer upon title transfer. Revenue is recognized on these products upon transfer of title and risk of loss to its distributors. Distributor discounts are offset against revenue at the time such revenue is recognized.

          Service revenue not under contract is recognized upon the completion of the service performed. Spare parts sold on a stand-alone basis are recognized upon title and risk of loss transfer which is generally at the time of shipment. Revenues from service contracts are recognized ratably over the contract period. These contracts represent an obligation to perform repair and other services including regulatory compliance qualification, calibration, certification and preventative maintenance on a customer’s pre-defined equipment over the contract period. Service contracts are separately priced and payment is typically received from the customer at the beginning of the contract period.

Warranty

Warranty

          The Company generally offers one-year warranties on most of its products. Product warranties are recorded at the time revenue is recognized. While the Company engages in extensive product quality programs and processes, its warranty obligation is affected by product failure rates, material usage and service costs incurred in correcting a product failure.

          The Company’s accrual for product warranties is included in accrued and other liabilities in the consolidated balance sheets. Changes to the Company’s accrual for product warranties for the six months ended June 30 are as follows:

	June 30,			June 30,
	2011			2010
Balance at beginning of period	$	15,680		$	15,856
Accruals for warranties		7,451			6,851
Foreign currency translation		722			(997	)
Payments / utilizations		(7,073	)		(8,656	)
Balance at end of period	$	16,780		$	13,054

Employee Termination Benefits

Employee Termination Benefits

          In situations where contractual termination benefits exist, the Company records accruals for employee termination benefits when it is probable that a liability has been incurred and the amount of the liability is reasonably estimable. All other employee termination arrangements are recognized and measured at their fair value at the communication date unless the employee is required to render additional service beyond the legal notification period, in which case the liability is recognized ratably over the future service period.

Share - Based Compensation

Share-Based Compensation

          The Company recognizes share-based compensation expense within selling, general and administrative in the consolidated statement of operations with a corresponding offset to additional paid-in capital in the consolidated balance sheet. The Company recorded $2.5 million and $5.7 million of share-based compensation expense for the three and six months ended June 30, 2011, respectively, compared to $3.0 million and $6.0 million for the corresponding periods in 2010.

Research and Development

Research and Development

          Research and development costs primarily consist of salaries, consulting and other costs. The Company expenses these costs as incurred.

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Restructuring Charges (Details) (USD $) In Thousands	6 Months Ended
	Jun. 30, 2011
Company's accrual for restructuring activities:-
Beginning Restructuring Accrual Balance, as of December 31, 2010	$ 7,856
Restructuring charges	2,469
Restructuring Cash Payments	(2,838)
Impact of foreign currency on restructuring reserve	365
Ending Restructuring Accrual Balance, as of June 30, 2011	7,852
Employee Related [Member]
Company's accrual for restructuring activities:-
Beginning Restructuring Accrual Balance, as of December 31, 2010	7,721
Restructuring charges	2,224
Restructuring Cash Payments	(2,495)
Impact of foreign currency on restructuring reserve	365
Ending Restructuring Accrual Balance, as of June 30, 2011	7,815
Lease Termination [Member]
Company's accrual for restructuring activities:-
Beginning Restructuring Accrual Balance, as of December 31, 2010	4
Restructuring Cash Payments	(4)
Other Restructuring Charges [Member]
Company's accrual for restructuring activities:-
Beginning Restructuring Accrual Balance, as of December 31, 2010	131
Restructuring charges	245
Restructuring Cash Payments	(339)
Ending Restructuring Accrual Balance, as of June 30, 2011	$ 37

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Fair Value Measurements (Tables)

6 Months Ended

Jun. 30, 2011

Fair Value Measurements [Abstract]

Assets and liabilities measured at fair value on a recurring basis

	June 30, 2011								December 31, 2010
	Total		Level 1		Level 2		Level 3		Total		Level 1		Level 2		Level 3
Assets:
Cash equivalents	$	162,996	$	150,003	$	12,993	$	-	$	243,514	$	230,000	$	13,514	$	-
Foreign currency forward contracts		1,042		-		1,042		-		1,763		-		1,763		-
Total	$	164,038	$	150,003	$	14,035	$	-	$	245,277	$	230,000	$	15,277	$	-
Liabilities:
Interest rate swap agreement	$	6,787	$	-	$	6,787	$	-	$	5,842	$	-	$	5,842	$	-
Foreign currency forward contracts		263		-		263		-		305		-		305		-
Total	$	7,050	$	-	$	7,050	$	-	$	6,147	$	-	$	6,147	$	-

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Interim Consolidated Statements of Cash Flows (Unaudited) (USD $) In Thousands	6 Months Ended
	Jun. 30, 2011	Jun. 30, 2010
Cash flows from operating activities:
Net earnings	$ 107,015	$ 89,215
Adjustments to reconcile net earnings to net cash provided by operating activities:
Depreciation	14,854	14,465
Amortization	7,947	6,946
Deferred tax provision	(8,058)	(4,534)
Excess tax benefits from share-based payment arrangements	(4,931)	(2,718)
Share-based compensation	5,722	6,009
Other	(515)	129
Increase (decrease) in cash resulting from changes in:
Trade accounts receivable, net	4,121	(10,697)
Inventories	(33,628)	(23,633)
Other current assets	1,229	(2,325)
Trade accounts payable	6,874	9,481
Taxes payable	(796)	8,957
Accruals and other	(6,281)	27,963
Net cash provided by operating activities	93,553	119,258
Cash flows from investing activities:
Proceeds from sale of property, plant and equipment	2,302	102
Purchase of property, plant and equipment	(40,517)	(19,803)
Acquisitions	(15,463)	(12,557)
Other investing activities	(882)
Net cash used in investing activities	(54,560)	(32,258)
Cash flows from financing activities:
Proceeds from borrowings	46,443	52,143
Repayments of borrowings	(104,200)	(47,058)
Proceeds from stock option exercises	6,583	9,384
Repurchases of common stock	(114,179)	(72,794)
Excess tax benefits from share - based payment arrangements	4,931	2,718
Other financing activities	67	(3,538)
Net cash used in financing activities	(160,355)	(59,145)
Effect of exchange rate changes on cash and cash equivalents	2,548	(1,295)
Net (decrease) increase in cash and cash equivalents	(118,814)	26,560
Cash and cash equivalents:
Beginning of period	447,577	85,031
End of period	$ 328,763	$ 111,591

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Earnings Per Common Share

6 Months Ended

Jun. 30, 2011

Earnings Per Common Share [Abstract]

EARNINGS PER COMMON SHARE

9.       EARNINGS PER COMMON SHARE

          In accordance with the treasury stock method, the Company has included the following common equivalent shares in the calculation of diluted weighted average number of common shares outstanding for the three and six month periods ended June 30, solely relating to outstanding stock options and restricted stock units:

	2011		2010
Three months ended		1,016,037		859,382
Six months ended		1,008,537		817,637

          Outstanding options and restricted stock units to purchase or receive 171,991 and 517,328 shares of common stock for the three month periods ended June 30, 2011 and 2010, respectively, and options and restricted stock units to purchase or receive 171,923 and 620,226 shares of common stock for the six month periods ended June 30, 2011 and 2010, respectively, have been excluded from the calculation of diluted weighted average number of common and common equivalent shares as such options and restricted stock units would be anti-dilutive.

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Acquisitions (Details) (USD $) In Millions, unless otherwise specified	1 Months Ended
	Mar. 31, 2011	Jan. 31, 2010
Business Acquisition [Line Items]
Business Acquisition, Cost of Acquired Entity, Purchase Price	15.4	12.5
Acquisitions (Textuals) [Abstract]
Intangible assets	9.9	4.5
Goodwill	4.4	7.4
U.S. Operations segment [Member]
Business Acquisitions Segment Reporting [Line Items]
Goodwill	1.9
Swiss Operations segment [Member]
Business Acquisitions Segment Reporting [Line Items]
Goodwill	2.5
Portion of Current Year $15.4MM Price Related to X-ray Inspection Solution Business Acquisition [Member]
Business Acquisition [Line Items]
Business Acquisition, Cost of Acquired Entity, Purchase Price	12.0
Intangibles [Member] | Trade Names [Member]
Acquired Finite-Lived Intangible Assets [Line Items]
Acquired Finite-lived Intangible Asset, Weighted Average Useful Life	15	7
Intangibles [Member] | Customer Relationships [Member]
Acquired Finite-Lived Intangible Assets [Line Items]
Acquired Finite-lived Intangible Asset, Weighted Average Useful Life	15	30
Intangibles [Member] | Technology [Member]
Acquired Finite-Lived Intangible Assets [Line Items]
Acquired Finite-lived Intangible Asset, Weighted Average Useful Life	9

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Segment Reporting

6 Months Ended

Jun. 30, 2011

Segment Reporting [Abstract]

SEGMENT REPORTING

13.      SEGMENT REPORTING

          As disclosed in Note 18 to the Company’s consolidated financial statements for the year ending December 31, 2010, the Company has determined there are five reportable segments: U.S. Operations, Swiss Operations, Western European Operations, Chinese Operations and Other.

          The Company evaluates segment performance based on Segment Profit (gross profit less research and development and selling, general and administrative expenses, before amortization, interest expense, restructuring charges, other charges (income), net and taxes).

          The following tables show the operations of the Company’s operating segments:

	Net Sales to		Net Sales to
For the three months ended	External		Other			Total Net			Segment
June 30, 2011	Customers		Segments			Sales			Profit			Goodwill (c)
U.S. Operations	$	167,017	$	19,412		$	186,429		$	30,834		$	308,467
Swiss Operations		32,179		91,489			123,668			21,978			25,695
Western European Operations		167,419		26,089			193,508			20,609			98,076
Chinese Operations		95,721		34,433			130,154			34,443			695
Other (a)		98,752		1,526			100,278			10,640			14,666
Eliminations and Corporate (b)		-		(172,949	)		(172,949	)		(23,972	)		-
Total	$	561,088	$	-		$	561,088		$	94,532		$	447,599

	Net Sales to		Net Sales to
For the six months ended	External		Other			Total Net			Segment
June 30, 2011	Customers		Segments			Sales			Profit
U.S. Operations	$	315,229	$	38,100		$	353,329		$	53,164
Swiss Operations		63,824		192,751			256,575			51,058
Western European Operations		320,279		51,677			371,956			39,076
Chinese Operations		170,558		64,770			235,328			55,132
Other (a)		189,964		2,335			192,299			20,107
Eliminations and Corporate (b)		—		(349,633	)		(349,633	)		(50,227	)
Total	$	1,059,854	$	—		$	1,059,854		$	168,310

	Net Sales to		Net Sales to
For the three months ended	External		Other			Total Net			Segment
June 30, 2010	Customers		Segments			Sales			Profit			Goodwill (c)
U.S. Operations	$	153,905	$	14,899		$	168,804		$	31,091		$	318,883
Swiss Operations		26,619		79,941			106,560			20,447			17,800
Western European Operations		139,310		22,011			161,321			19,560			89,058
Chinese Operations		72,847		26,002			98,849			23,917			654
Other (a)		75,868		879			76,747			6,376			12,875
Eliminations and Corporate (b)		—		(143,732	)		(143,732	)		(21,473	)		—
Total	$	468,549	$	—		$	468,549		$	79,918		$	439,270
	Net Sales to		Net Sales to
For the six months ended	External		Other			Total Net			Segment
June 30, 2010	Customers		Segments			Sales			Profit
U.S. Operations	$	287,457	$	28,944		$	316,401		$	54,483
Swiss Operations		49,123		152,910			202,033			38,396
Western European Operations		276,068		41,654			317,722			34,632
Chinese Operations		127,598		46,822			174,420			38,753
Other (a)		144,954		1,677			146,631			10,621
Eliminations and Corporate (b)		—		(272,007	)		(272,007	)		(36,520	)
Total	$	885,200	$	—		$	885,200		$	140,365

(a)	Other includes reporting units in Eastern Europe, Latin America, Southeast Asia and other countries.
(b)	Eliminations and Corporate includes the elimination of inter-segment transactions and certain corporate expenses and intercompany investments, which are not included in the Company’s operating segments.
(c)	Goodwill as of June 30, 2011 includes additions of $1.9 million in U.S. Operations and $2.5 million in Swiss Operations related to acquisitions in the first quarter of 2011. See Note 3 for additional information. Goodwill as of June 30, 2010 included an addition of $7.4 million in Western European Operations related to our acquisition of a pipette distributor in the first quarter of 2010. Other goodwill changes are primarily related to foreign currency fluctuations.

          A reconciliation of earnings before taxes to segment profit for the three and six month periods ended June 30 follows:

	Three Months Ended				Six Months Ended
	2011		2010		2011		2010
Earnings before taxes	$	81,337	$	69,386	$	144,615	$	120,560
Amortization		4,325		3,565		7,947		6,946
Interest expense		5,692		4,711		11,403		9,965
Restructuring charges		1,971		1,526		2,469		1,910
Other charges (income), net		1,207		730		1,876		984
Segment profit	$	94,532	$	79,918	$	168,310	$	140,365

          During the three months ended June 30, 2011, restructuring charges of $2.0 million were recognized, of which $0.3 million, $1.3 million, $0.1 million and $0.3 million related to the Company’s U.S., Western European, Chinese and Other operations, respectively. Restructuring charges of $1.5 million were recognized during the three months ended June 30, 2010, of which $0.1 million and $1.4 million related to the Company’s Chinese and Other operations, respectively. Restructuring charges of $2.5 million were recognized during the six months ended June 30, 2011, of which $0.6 million, $0.2 million, $1.3 million, $0.1 million and $0.3 million related to the Company’s U.S., Swiss, Western European, Chinese and Other operations, respectively. Restructuring charges of $1.9 million were recognized during the six months ended June 30, 2010, of which $0.1 million, $0.2 million, $0.2 million and $1.4 million related to the Company’s U.S., Western European, Chinese and Other operations, respectively.

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Interim Consolidated Statements of Operations (Unaudited) (USD $) In Thousands, except Share data	3 Months Ended		6 Months Ended
	Jun. 30, 2011	Jun. 30, 2010	Jun. 30, 2011	Jun. 30, 2010
Net sales
Products	$ 439,321	$ 358,829	$ 826,395	$ 672,233
Service	121,767	109,720	233,459	212,967
Total net sales	561,088	468,549	1,059,854	885,200
Cost of sales
Products	189,253	154,770	356,966	289,101
Service	75,644	67,154	145,190	131,548
Gross profit	296,191	246,625	557,698	464,551
Research and development	29,605	23,105	55,956	45,570
Selling, general and administrative	172,054	143,602	333,432	278,616
Amortization	4,325	3,565	7,947	6,946
Interest expense	5,692	4,711	11,403	9,965
Restructuring charges	1,971	1,526	2,469	1,910
Other charges (income), net	1,207	730	1,876	984
Earnings before taxes	81,337	69,386	144,615	120,560
Provision for taxes	21,149	18,039	37,600	31,345
Net earnings	$ 60,188	$ 51,347	$ 107,015	$ 89,215
Basic earnings per common share:
Net earnings	$ 1.88	$ 1.53	$ 3.33	$ 2.65
Weighted average number of common shares	31,997,850	33,536,105	32,144,223	33,646,640
Diluted earnings per common share:
Net earnings	$ 1.82	$ 1.49	$ 3.23	$ 2.59
Weighted average number of common and common equivalent shares	33,013,887	34,395,487	33,152,760	34,464,277

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Fair Value Measurements (Details) (USD $) In Thousands	Jun. 30, 2011	Dec. 31, 2010
Assets:
Cash Equivalents	$ 163,000	$ 243,500
Fair Value, Measurements, Recurring [Member]
Assets:
Cash Equivalents	162,996	243,514
Foreign currency forward contracts	1,042	1,763
Total Assets at Fair Value	164,038	245,277
Liabilities:
Interest rate swap agreements	6,787	5,842
Foreign currency forward contracts	263	305
Total Liabilities at Fair Value	7,050	6,147
Fair Value, Measurements, Recurring [Member] | Level 1[Member]
Assets:
Cash Equivalents	150,003	230,000
Foreign currency forward contracts	0	0
Total Assets at Fair Value	150,003	230,000
Liabilities:
Interest rate swap agreements	0	0
Foreign currency forward contracts	0	0
Total Liabilities at Fair Value	0	0
Fair Value, Measurements, Recurring [Member] | Level 2 [Member]
Assets:
Cash Equivalents	12,993	13,514
Foreign currency forward contracts	1,042	1,763
Total Assets at Fair Value	14,035	15,277
Liabilities:
Interest rate swap agreements	6,787	5,842
Foreign currency forward contracts	263	305
Total Liabilities at Fair Value	7,050	6,147
Fair Value, Measurements, Recurring [Member] | Level 3 [Member]
Assets:
Cash Equivalents	0	0
Foreign currency forward contracts	0	0
Total Assets at Fair Value	0	0
Liabilities:
Interest rate swap agreements	0	0
Foreign currency forward contracts	0	0
Total Liabilities at Fair Value	$ 0	$ 0

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Segment Reporting (Details) (USD $) In Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2011	Jun. 30, 2010	Jun. 30, 2011	Jun. 30, 2010	Dec. 31, 2010
Operations of the Company's operating segments
Net Sales to External Customers	$ 561,088	$ 468,549	$ 1,059,854	$ 885,200
Net Sales to Other Segments	0	0	0	0
Total net sales	561,088	468,549	1,059,854	885,200
Segment Profit	94,532	79,918	168,310	140,365
Goodwill	447,599	439,270	447,599	439,270	434,699
U.S. Operations [Member]
Operations of the Company's operating segments
Net Sales to External Customers	167,017	153,905	315,229	287,457
Net Sales to Other Segments	19,412	14,899	38,100	28,944
Total net sales	186,429	168,804	353,329	316,401
Segment Profit	30,834	31,091	53,164	54,483
Goodwill	308,467	318,883	308,467	318,883
Swiss Operations [Member]
Operations of the Company's operating segments
Net Sales to External Customers	32,179	26,619	63,824	49,123
Net Sales to Other Segments	91,489	79,941	192,751	152,910
Total net sales	123,668	106,560	256,575	202,033
Segment Profit	21,978	20,447	51,058	38,396
Goodwill	25,695	17,800	25,695	17,800
Western European Operations [Member]
Operations of the Company's operating segments
Net Sales to External Customers	167,419	139,310	320,279	276,068
Net Sales to Other Segments	26,089	22,011	51,677	41,654
Total net sales	193,508	161,321	371,956	317,722
Segment Profit	20,609	19,560	39,076	34,632
Goodwill	98,076	89,058	98,076	89,058
Chinese Operations [Member]
Operations of the Company's operating segments
Net Sales to External Customers	95,721	72,847	170,558	127,598
Net Sales to Other Segments	34,433	26,002	64,770	46,822
Total net sales	130,154	98,849	235,328	174,420
Segment Profit	34,443	23,917	55,132	38,753
Goodwill	695	654	695	654
Other Operations [Member]
Operations of the Company's operating segments
Net Sales to External Customers	98,752	75,868	189,964	144,954
Net Sales to Other Segments	1,526	879	2,335	1,677
Total net sales	100,278	76,747	192,299	146,631
Segment Profit	10,640	6,376	20,107	10,621
Goodwill	14,666	12,875	14,666	12,875
Eliminations and Corporate [Member]
Operations of the Company's operating segments
Net Sales to Other Segments	(172,949)	(143,732)	(349,633)	(272,007)
Total net sales	(172,949)	(143,732)	(349,633)	(272,007)
Segment Profit	$ (23,972)	$ (21,473)	$ (50,227)	$ (36,520)

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Segment Reporting (Details 1) (USD $) In Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2011	Jun. 30, 2010	Jun. 30, 2011	Jun. 30, 2010
Reconciliation of earnings before taxes to segment profit
Earnings before taxes	$ 81,337	$ 69,386	$ 144,615	$ 120,560
Amortization	4,325	3,565	7,947	6,946
Interest expense	5,692	4,711	11,403	9,965
Restructuring charges	1,971	1,526	2,469	1,910
Other charges (income), net	1,207	730	1,876	984
Segment profit	$ 94,532	$ 79,918	$ 168,310	$ 140,365

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Fair Value Measurements (Details Textuals) (USD $) In Millions	Jun. 30, 2011	Dec. 31, 2010
Fair Value Measurements (Textuals) [Abstract]
Total derivative assets	$ 1.0	$ 1.8
Total derivative liabilities	7.1	6.1
Cash Equivalents	$ 163.0	$ 243.5