News From

Q3 Orders increased 26% vs. Q3 2010

Q3 Backlog of $301 million versus $217 million at year-end 2010

Q3 Net Sales of $194 million, +8% versus Q3 2010

Q3 Operating Income of $7.3 million versus $4.8 million in Q3 2010

Earnings per share from continuing operations of $0.03

Orders

Net sales

Operating income

Operating margin

Depreciation and amortization

Orders increased $9.1 million for the three months ended September 30, 2011 compared to the respective prior year period. U.S. orders increased $4.4 million due to improved municipal spending in the police, fire and outdoor warning markets and a 5% improvement in the industrial market. Non-U.S. orders increased $4.7 million as strong demand for industrial and outdoor warning systems were offset by weak demand in the police and fire markets. Orders increased $7.6 million or 5% for the nine months ended September 30, 2011 compared to the respective prior year period. U.S. orders increased $2.9 million, as strong industrial demand was offset with flat municipal spending in the police, fire and outdoor warning markets. Non-U.S. orders increased $4.7 million, driven primarily by a strong demand for U.S. products overseas.

Net sales increased $1.3 million for the three months ended September 30, 2011 compared to the respective prior year period, primarily within the export markets. Net sales increased $1.4 million for the nine months ended September 30, 2011 compared to the respective prior year period as a result of increased U.S. industrial sales, mining products, and U.S. export products in Thailand and Latin America, partially offset by a soft U.S. police and fire market and weak demand in Europe.

Operating income decreased $1.6 million for the three months ended September 30, 2011 compared to the respective prior year period despite sales increases, primarily resulting from increased warranty and legal expenses. Operating income decreased $0.6 million for the nine months ended September 30, 2011 compared to the respective prior year period due to increased warranty costs, research and development, and legal expenses. Cost increases were partially offset by restructuring costs incurred in 2010 of $1.7 million.

Orders

Net sales

Operating income

Operating margin

Depreciation and amortization

Orders increased $20.9 million for the three months ended September 30, 2011 compared to the respective prior year period. The increase is due to improved demand in the Asian market for fire-lift products and in Australia for industrial and rental products. Orders increased $36.3 million for the nine months ended September 30, 2011 compared to the respective prior year period, primarily as result of strong demand for the fire-lift product in the Asian market and favorable currency impact, partially offset by a soft European market.

Net sales increased $2.3 million for the three months ended September 30, 2011 compared to the respective prior year period as a result of favorable currency impact, despite flat volumes. Net sales decreased $6.2 million for the nine months ended September 30, 2011 compared to the respective prior year period as a result of low order backlog from previous quarters, partially offset by a favorable currency impact.

Operating income decreased by $1.2 million and $3.3 million for the three and nine months ended September 30, 2011, respectively, compared to the respective prior year periods. For the three months ended September 30, 2011, operating income decreased despite increased sales volume primarily due to unfavorable product mix. For the nine months ended September 30, 2011 compared to the respective prior year period, operating income decreased due to lower sales volumes and unfavorable product mix, partially offset by favorable currency impacts.

Orders

Net sales

Operating income

Operating margin

Depreciation and amortization

Orders of $95.5 million in the third quarter were up 20% compared to the same quarter in 2010. U.S. orders have increased $9.3 million from the prior year period largely reflecting increases in municipal sewer cleaner orders of $6.3 million and increases in waterblasting orders of $3.0 million offset by declines in sweeper orders of $3.3 million. Non-U.S. orders were up $6.8 million from the prior year period. Year to date orders of $312.3 million were up from the previous year by $68.3 million, or 28%. U.S. orders were up 24%, or $47.9 million, from the prior year, primarily as a result of increases in industrial vacuum trucks of $28.6 million and municipal sewer cleaners of $11.9 million. Non-U.S. orders were up 47%, or $20.4 million, from the prior year.

Net sales increased $10.2 million for the three months ended September 30, 2011 compared to the respective prior year period as a result of increased demand, both domestically and internationally. Net sales increased $26.7 million for the nine months ended September 30, 2011 compared to the respective prior year period as a result of improvements within the industrial market, partially offset with mix changes between domestic and international sales.

Operating income increased $2.8 million and $1.7 million for the three and nine months ended September 30, 2011, respectively, compared to the respective prior year periods due to higher gross margins resulting from increased volumes, somewhat offset by an unfavorable product mix between domestic and international markets. Operating margin increased 2.3% for the three months ended September 30, 2011 and was down 0.1% for the nine months ended September 30, 2011 compared to the respective prior year periods.

Orders

Net sales

Operating (loss) income

Operating margin

Depreciation and amortization

Orders decreased $1.9 million to $19.3 million for the three months ended September 30, 2011 compared to the respective prior year period. U.S. orders decreased $1.2 million for the three months ended September 30, 2011 compared to the respective prior year period, primarily due to a reduction in RFID sales. Non-U.S. orders decreased $0.7 million for the three months ended September 30, 2011 compared to the respective prior year

period. Orders decreased $3.1 million for the nine months ended September 30, 2011 compared to the respective prior year period. U.S. orders decreased $3.2 million for the nine months ended September 30, 2011 compared to the respective prior year period due to the absence of a large parking system project order that was recorded in 2010, partially offset by new business from the newly acquired businesses of Sirit and VESystems. Non-U.S. orders were flat for the nine months ended September 30, 2011 compared to the respective prior year period.

Net sales increased $0.8 million for the three months ended September 30, 2011 compared to the respective prior year period due to an increase in ALPR cameras sales. Net sales increased $10.6 million for the nine months ended September 30, 2011 compared to the respective prior year period, primarily due to the newly acquired businesses of Sirit and VESystems and increased ALPR camera sales.

Operating loss improved $1.3 million for the three months ended September 30, 2011. Operating loss improved $2.3 million for the nine months ended September 30, 2011. The improvements in operating income for the three and nine months ended September 30, 2011 resulted from increased volumes due to the newly acquired businesses, partially offset by higher facility consolidation and research and development costs.

Corporate expenses were $4.0 million and $5.2 million for the three months ended September 30, 2011 and 2010, respectively. The decrease was primarily due to a $1.3 million reduction in an insurance reserve associated with carrier paid claims.

Corporate expenses for the nine months ended September 30, 2011 were $14.4 million and $23.5 million for the comparable period in 2010. The decrease was due to a $6.2 million reduction in legal expenses primarily associated with the hearing loss litigation, the absence of $3.8 million in acquisition and integration related costs associated with Sirit and VESystems in 2011, a $1.3 million reduction in an insurance reserve associated with carrier paid claims, and a $0.6 million reduction in restructuring expense, partially offset by an increase in insurance and other costs of $2.8 million.

Corporate expenses included depreciation and amortization expense of $0.2 million and $0.6 million for the three and nine months ended September 30, 2011, respectively, and $0.2 million and $0.6 million for the comparable periods in 2010, respectively.

At September 30, 2011, the $186.0 million of debt outstanding under the Company’s Revolving Credit Facility has been classified as a current liability based on the April 2012 maturity date. It is the Company’s intention to refinance, prior to maturity, all debt outstanding under the Revolving Credit Facility and Private Placement Notes.

Net sales

Costs and expenses

Cost of sales

Selling, engineering, general and administrative

Goodwill impairment

Acquisition and integration related costs

Restructuring charges

Operating income

Interest expense

Other (expense) income, net

Income (loss) before income taxes

Income tax (expense) benefit

Income (loss) from continuing operations

Loss from discontinued operations and disposal, net of income tax benefit (expense) of $0.0, $1.7, ($0.1), and $2.9, respectively

Net income (loss)

COMMON STOCK DATA:

Basic and diluted earnings (loss) per share:

Earnings (loss) from continuing operations

Loss from discontinued operations and disposal

Earnings (loss) per share

Weighted average common shares outstanding (in millions):

Basic

Diluted

Cash dividends per share of common stock

ASSETS

Current assets

Cash and cash equivalents

Accounts receivable, net of allowances for doubtful accounts of $3.1 and $2.8, respectively

Inventories, net

Other current assets

Total current assets

Properties and equipment, net

Other assets

Goodwill

Intangible assets

Deferred charges and other assets

Total assets of continuing operations

Assets of discontinued operations

Total assets

LIABILITIES AND SHAREHOLDERS’ EQUITY

Current liabilities

Short-term borrowings

Current portion of long-term borrowings and capital lease obligations

Accounts payable

Customer deposits

Deferred revenue

Accrued liabilities

Compensation and withholding taxes

Other

Total current liabilities

Long-term borrowings and capital lease obligations, less current portion

Long-term pension liabilities

Deferred gain

Deferred tax liabilities

Other long-term liabilities

Total liabilities of continuing operations

Liabilities of discontinued operations

Total liabilities

Shareholders’ equity

Common stock, $1 par value per share, 90.0 million shares authorized, 63.1 million and 63.0 million shares issued, respectively

Capital in excess of par value

Retained earnings

Treasury stock, 0.9 million and 0.9 million shares at cost, respectively

Accumulated other comprehensive loss

Total shareholders’ equity

Total liabilities and shareholders’ equity

Operating activities

Net income (loss)

Adjustments to reconcile net income (loss) to net cash used for operating activities

Loss on discontinued operations and disposal

Depreciation and amortization

Stock-based compensation expense

Goodwill impairment

Changes in operating assets and liabilities, net of effects from acquisitions and dispositions of companies

Net cash provided by continuing operating activities

Net cash used for discontinued operating activities

Net cash provided by operating activities

Investing activities

Purchases of properties and equipment

Proceeds from sales of properties, plant and equipment

Payments for acquisitions, net of cash acquired

Net cash used for continuing investing activities

Net cash provided by discontinued investing activities

Net cash used for investing activities

Financing activities

(Reduction) increase in debt outstanding under revolving credit facilities

Proceeds on short-term borrowings

Payments on short-term borrowings

Proceeds from issuance of long-term borrowings

Payments on long-term borrowings

Payments of debt amendment fees

Cash dividends paid to shareholders

Proceeds from equity offering, net of fees

Other, net

Net cash (used for) provided by continuing financing activities

Net cash used for discontinued financing activities

Net cash (used for) provided by financing activities

Effects of foreign exchange rate changes on cash and cash equivalents

Decrease in cash and cash equivalents

Cash and cash equivalents at beginning of period

Cash and cash equivalents at end of period