Mohawk Industries, Inc. Announces Third Quarter Earnings: EPS of $1.57

Mohawk Industries, Inc. MHK today announced 2010 third quarter net earnings of $51 million and diluted earnings per share (EPS) of $0.74 which included unusual items that were offsetting. For the third quarter of 2009, the net earnings were $34 million and EPS was $0.50. Excluding the 2009 unusual items, net earnings and EPS would have been $44 million and $0.64 per share. Net sales for the third quarter of 2010 were $1.3 billion which was a decrease of 5.3% versus 2009 net sales or 3.8% decrease with a constant exchange rate. We have a strong financial position with free cash flow of $87 million in the quarter and an improving net debt to EBITDA ratio of 2.0. For the first nine months of 2010, our net earnings were $140 million and EPS was $2.03. Excluding unusual items, net earnings would have been $128 million and EPS would have been $1.86. In the first nine months of 2009, our net loss was $25 million and loss per share was $0.37. Excluding the 2009 unusual items, net earnings and EPS would have been $108 million and $1.57. Net sales for the first nine months of 2010 were $4.1 billion representing a 1.5% increase from 2009. On a constant exchange rate, constant days and excluding 2009 sales adjustments, net sales decreased 2.9%.