Note S – Quarterly Results of Operations (Unaudited)

The following table summarizes the unaudited quarterly consolidated results of operations for fiscal 2011 and fiscal 2010:


(in thousands, except per share)	Three Months Ended
Fiscal 2011	August 31		November 30		February 28			May 31
Net sales	$	616,805	$	580,687	$	569,439		$	675,693
Gross margin		78,914		69,819		88,254			119,170
Net earnings attributable to controlling interest		22,354		14,469		26,326			51,917
Earnings per share - basic	$	0.29	$	0.20	$	0.35		$	0.71
Earnings per share - diluted		0.29		0.20		0.35			0.70

Fiscal 2010	August 31		November 30		February 28			May 31
Net sales	$	417,527	$	447,981	$	451,113		$	626,413
Gross margin		49,200		67,233		57,714			105,783
Net earnings (loss) attributable to controlling interest		6,675		23,249		(17,740	)		33,057
Earnings (loss) per share - basic	$	0.08	$	0.29	$	(0.22	)	$	0.42
Earnings (loss) per share - diluted		0.08		0.29		(0.22	)		0.42

The sum of the quarterly earnings (loss) per share data presented in the table may not equal the annual results due to rounding and the impact of dilutive securities on the annual versus the quarterly earnings (loss) per share calculations.

Results for the fourth quarter of fiscal 2011 (ended May 31, 2011) were favorably impacted by higher volumes, most notably in the Steel Processing and Pressure Cylinders operating segments. An increased spread between average selling prices and the cost of steel also favorably impacted our results for the three months ended May 31, 2011. Our results were also favorably impacted by a one-time gain of $10,436,000 related to the formation of the ClarkDietrich and ArtiFlex joint ventures as more fully discussed in "Note A – Summary of Significant Accounting Policies."

Results for the third quarter of fiscal 2011 (ended February 28, 2011) were favorably impacted by a reduction in pre-tax impairment and restructuring charges over the comparable period in the prior year when we incurred charges of $35,481,000, or $0.28 per share, primarily related to the previously reported Construction Services segment. Higher volumes across all of our operating segments, most notably in the Steel Processing and Pressure Cylinders operating segments, and an increased spread between average selling prices and the cost of steel also favorably impacted our results for the three months ended February 28, 2011.

Results for the second quarter of fiscal 2011 (ended November 30, 2010) were negatively impacted by higher SG&A expenses driven by a $2,500,000 bad debt credit in the comparable prior year period, the impact of acquisitions, and higher profit sharing and bonus expenses due to higher earnings during the three months ended November 30, 2010 versus the comparable quarter in the prior year.

Results for the first quarter of fiscal 2011 (ended August 31, 2010) were favorably impacted by higher volumes, most notably in the Steel Processing and Pressure Cylinders operating segments, and an increased spread between average selling prices and the cost of steel. The favorable impact of these items was offset by higher SG&A expenses due to the impact of acquisitions and increased profit sharing and bonus expenses as a result of higher earnings during the three months ended August 31, 2010 versus the comparable quarter in the prior year.

Results for the fourth quarter of fiscal 2010 (ended May 31, 2010) were favorably impacted by higher volumes in the Steel Processing and Pressure Cylinders operating segments, and improved spreads between average selling price and the cost of steel. Strong performance from our unconsolidated joint ventures also added to the favorable results during the fourth quarter of fiscal 2010.

Results for the third quarter of fiscal 2010 (ended February 28, 2010) were negatively impacted by pre-tax impairment and restructuring charges totaling $35,481,000, or $0.28 per share, primarily related to the previously reported Construction Services segment. The impairment charges within the then Construction Services segment included a write-off of goodwill of $24,651,000 and an additional $8,055,000 charge related to definitely-lived assets. During the third quarter of fiscal 2010, results were also negatively impacted by $4,855,000, or $0.04 per share, in charges and legal fees related to litigation with a former customer.

Results for the second quarter of fiscal 2010 (ended November 30, 2009) were negatively impacted by $2,122,000 of restructuring and other expense, and $2,703,000 of impairment of long-lived assets. The restructuring and other expense primarily related to previously announced plant closures in the Metal Framing operating segment and the impairment of long-lived assets related to certain assets of the Steel Packaging operating segment. The negative impact of these items, however, was largely offset by restructuring and other income of $4,783,000, which resulted from gains on the sale of our Metal Framing operations in Canada and on the sale of the remaining assets of the Louisville, Kentucky, Steel Processing facility. The results for the second quarter of fiscal 2010 were also favorably impacted by higher steel prices and operational improvements realized from efforts of the Transformation Plan.

Results for the first quarter of fiscal 2010 (ended August 31, 2009) were negatively impacted by $3,626,000 of restructuring and other expense, or $0.03 per diluted share. The restructuring and other expense primarily related to previously announced plant closures in the Metal Framing operating segment.