----

----

| Delaware                      | 77-0100596                                |
|-------------------------------|-------------------------------------------|
| (State      of Incorporation) | (I.R.S.      Employer Identification No.) |

| Title      of each class          |   | Name      of each exchange on which registered |
|-----------------------------------|--------|------------------------------------------------|
| Common      Stock $2.50 par value |   | New      York Stock Exchange                   |

| Large      accelerated filer ¨ | Accelerated      filer x | Non-accelerated      filer ¨ |
|-------------------------------------|--------------------------|-----------------------------------|

----

----

----

AMER

PARTI

ITEM1 - BUSINESS

ITEM1A - RISK FACTORS

ITEM1B - UNRESOLVED STAFF COMMENTS

ITEM2 - PROPERTIES

ITEM3 - LEGAL PROCEEDINGS

ITEM4 - SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS

PARTII

ITEM5 - MARKET FOR REGISTRANT'S COMMON EQUITY AND RELATED STOCKHOLDERMATTERS

ITEM6 - SELECTED FINANCIAL DATA

ITEM7 - MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OFOPERATIONS

ITEM7A - QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKETRISK

ITEM8 - FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA

ITEM9 - CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND FINANCIALDISCLOSURE

ITEM9A - CONTROLS AND PROCEDURES

ITEM9B - OTHER INFORMATION

PARTIII

ITEM10 - DIRECTORS, EXECUTIVE OFFICERS AND CORPORATEGOVERNANCE

ITEM11 - EXECUTIVE COMPENSATION

ITEM12 - SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT AND RELATEDSTOCKHOLDER MATTERS

ITEM13 - CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS, AND DIRECTORINDEPENDENCE

ITEM14 - PRINCIPAL ACCOUNTING FEES AND SERVICES

PARTIV

ITEM15 - EXHIBITS, FINANCIAL STATEMENT SCHEDULES

----

PAR

ITEM 1

Table of Contents

----

Table of Contents

----

| SEGMENT                              |   | 2007                |    |   | 2006   |   |
|--------------------------------------|--------|---------------------|---------|--------|--------|--------|
|                                 |   | (in      thousands) |    |
| Water      Transmission Group        |   | $                   | 133,862 |   |   | $      | 183,802 |   |
| Fiberglass-Composite      Pipe Group |   |                | 71,391  |   |   |   | 51,310 |   |
| Infrastructure      Products Group   |   |                | 28,512  |   |   |   | 34,866 |   |
|                                 |   |                |    |   |   |   |   |   |
| Total                                |   | $                   | 233,765 |   |   | $      | 269,978 |   |

|   |   | In      thousands |   |
|--------|--------|-------------------|--------|
| 2007   |   | $                 | 34,044 |   |
| 2006   |   |              | 27,811 |   |
| 2005   |   |              | 22,858 |   |

Table of Contents

----

ITEM 1A

Table of Contents

----

ITEM 1B

ITEM 2

Table of Contents

----

| Division      - Location                            |   | Description                 |
|-----------------------------------------------------|--------|-----------------------------|
| FIBERGLASS-COMPOSITE      PIPE GROUP                |   |                        |
| Fiberglass      Pipe Division - USA                 |   |                        |
| Houston,      TX                                    |   | *Office                     |
| Burkburnett,      TX                                |   | Office,      Plant          |
| Centron      International, Inc.                    |   |                        |
| Mineral      Wells, TX                              |   | Office,      Plant          |
| Ameron      B.V.                                    |   |                        |
| Geldermalsen,      the Netherlands                  |   | Office,      Plant          |
| Ameron      (Pte) Ltd.                              |   |                        |
| Singapore                                           |   | *Office,      Plant         |
| Ameron      Malaysia Sdn. Bhd.                      |   |                        |
| Malaysia                                            |   | *Office,      Plant         |
| Ameron      Polyplaster                             |   |                        |
| Brazil                                              |   | Office,      Plant          |
|                                                |   |                        |
| WATER      TRANSMISSION GROUP                       |   |                        |
| Rancho      Cucamonga, CA                           |   | *Office                     |
| Rancho      Cucamonga, CA                           |   | Office,      Plant          |
| Fontana,      CA                                    |   | Office,      Plant          |
| Lakeside,      CA                                   |   | Office,      Plant          |
| Phoenix,      AZ                                    |   | Office,      Plant          |
| Tracy,      CA                                      |   | Office,      Plant          |
|                                                |   |                        |
| Protective      Linings Division                    |   |                        |
| Brea,      CA                                       |   | Office,      Plant          |
| Tubos      California                               |   |                        |
| Pasadena,      CA                                   |   | *Office                     |
| Tubos      Y Activos                                |   |                        |
| Mexicali,      Mexico                               |   | *Office,      Plant         |
| American      Pipe & Construction International |   |                        |
| Bogota,      Colombia                               |   | Office,      Plant          |
| Cali,      Colombia                                 |   | Office,      Plant          |
|                                                |   |                        |
| INFRASTRUCTURE      PRODUCTS GROUP                  |   |                        |
| Hawaii      Division                                |   |                        |
| Honolulu,      Oahu, HI                             |   | *Office,      Plant         |
| Kailua,      Oahu, HI                               |   | *Plant,      Quarry         |
| Barbers      Point, Oahu, HI                        |   | Office,      Plant          |
| Puunene,      Maui, HI                              |   | *Office,      Plant, Quarry |
| Pole      Products Division                         |   |                        |
| Ventura,      CA                                    |   | *Office                     |
| Fillmore,      CA                                   |   | Office,      Plant          |
| Oakland,      CA                                    |   | *Plant                      |
| Everett,      WA                                    |   | *Office,      Plant         |
| Tulsa,      OK                                      |   | *Office,      Plant         |
| Anniston,      AL                                   |   | *Office,      Plant         |
|                                                |   |                        |
| CORPORATE                                           |   |                        |
| Corporate      Headquarters                         |   |                        |
| Pasadena,      CA                                   |   | *Office                     |
| Houston,      TX                                    |   | Warehouse                   |
| Hull,      UK                                       |   | **Office,      Plant        |
| Corporate      Research & Engineering           |   |                        |
| Long      Beach, CA                                 |   | *Office                     |
| South      Gate, CA                                 |   | Office,      Laboratory     |

Table of Contents

----

ITEM 3

Table of Contents

----

ITEM 4

|  Name               |   | Age    |   | Title      and Year Elected as Officer                                             |
|--------------------------|--------|--------|--------|------------------------------------------------------------------------------------|
| Daniel      J. Emmett    |   | 47     |   | Vice      President, Controller                                                    | 2006 |
|                     |   |   |   |                                                                               |   |
| Ralph      S. Friedrich  |   | 60     |   | Vice      President-Research & Engineering                                     | 2003 |
|                     |   |   |   |                                                                               |   |
| James      R. McLaughlin |   | 60     |   | Senior      Vice President-Chief Financial Officer & Treasurer                 | 1997 |
|                     |   |   |   |                                                                               |   |
| Terrence      P. O'Shea  |   | 61     |   | Vice      President-Human Resources                                                | 2003 |
|                     |   |   |   |                                                                               |   |
| Javier      Solis        |   | 61     |   | Senior      Vice President of Administration, Secretary & General      Counsel | 1984 |
|                     |   |   |   |                                                                               |   |
| Gary      Wagner         |   | 56     |   | Executive      Vice President & Chief Operating Officer                        | 1990 |
|                     |   |   |   |                                                                               |   |

PART

ITEM 5

Table of Contents

----

|                                    |   | Dec-02 |   | Nov-03 |   | Nov-04 |   | Nov-05 |   | Nov-06 |   | Nov-07 |
|-----------------------------------------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|
| Ameron      International Corporation   |   | 100    |   | 118.54 |   | 139.59 |   | 168.89 |   | 286.28 |   | 406.88 |
| NYSE      Market Value Index            |   | 100    |   | 117.77 |   | 135.05 |   | 150.32 |   | 174.84 |   | 192.41 |
| New      Peer Group Composite Index     |   | 100    |   | 121.36 |   | 169.73 |   | 237.43 |   | 301.84 |   | 376.30 |
| Old      Peer Group Composite Index (1) |   | 100    |   | 120.86 |   | 156.77 |   | 195.79 |   | 242.95 |   | 258.02 |

|                        |   |                   |   |                 |   | (c)                       |   | (d)                                |
|-----------------------------|--------|------------------------|--------|----------------------|--------|---------------------------|--------|------------------------------------|
|                        |   |                   |   |                 |   | Number      of Shares     |   | Maximum      Number                |
|                        |   | (a)                    |   | (b)                  |   | (or      Units) Purchased |   | (or      Approximate Dollar Value) |
|                        |   | Total      Number of   |   | Average      Price   |   | As      Part of Publicly  |   | Of      Shares (or Units) that May |
|                        |   | Shares      (or Units) |   | Paid      per        |   | Announced      Plans or   |   | Yet      Be Purchased Under        |
| Period                      |   | Purchased              |   | Share      (or Unit) |   | Programs                  |   | The      Plans or Programs**       |
| 8/27/07      thru 9/23/07   |   | -                      |   | N/A                  |   | -                         |   | 32,520                             |
| 9/24/07      thru 10/28/07  |   | -                      |   | N/A                  |   | -                         |   | 32,520                             |
| 10/29/07      thru 11/30/07 |   | 158                    |   | $105.78              |   | -                         |   | 32,345                             |

Table of Contents

----

ITEM

|                                                   |   | Year      ended November 30, |      |
|--------------------------------------------------------|--------|------------------------------|-----------|
| (Dollars      in thousands, except per share data)     |   | 2007                         |      |   | 2006 |   |   | 2005 |   |   | 2004 |   |   | 2003 |   |
|                                                   |   |                         |      |   |   |   |   |   |   |   |   |   |   |   |   |
| PER      COMMON SHARE DATA (1)                         |   |                         |      |   |   |   |   |   |   |   |   |   |   |   |   |
| Basic      earnings per share:                         |   |                         |      |   |   |   |   |   |   |   |   |   |   |   |   |
| Income      from continuing operations                 |   | $                            | 6.77      |   |   | $ | 5.73 |   |   | $ | 3.51 |   |   | $ | 1.35 |   |   | $ | 3.00 |   |
| Income      from discontinued operations, net of taxes |   |                         | .68       |   |   |   | .25 |   |   |   | .37 |   |   |   | .28 |   |   |   | .77 |   |
| Net      income                                        |   |                         | 7.45      |   |   |   | 5.98 |   |   |   | 3.88 |   |   |   | 1.63 |   |   |   | 3.77 |   |
| Diluted      earnings per share:                       |   |                         |      |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Income      from continuing operations                 |   |                         | 6.73      |   |   |   | 5.64 |   |   |   | 3.44 |   |   |   | 1.32 |   |   |   | 2.92 |   |
| Income      from discontinued operations, net of taxes |   |                         | .67       |   |   |   | .24 |   |   |   | .36 |   |   |   | .27 |   |   |   | .75 |   |
| Net      income                                        |   |                         | 7.40      |   |   |   | 5.88 |   |   |   | 3.80 |   |   |   | 1.59 |   |   |   | 3.67 |   |
|                                                   |   |                         |      |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Weighted-average      shares (basic)                   |   |                         | 9,029,487 |   |   |   | 8,731,839 |   |   |   | 8,410,563 |   |   |   | 8,270,487 |   |   |   | 7,925,229 |   |
| Weighted-average      shares (diluted)                 |   |                         | 9,090,846 |   |   |   | 8,871,695 |   |   |   | 8,579,194 |   |   |   | 8,448,987 |   |   |   | 8,149,460 |   |
| Dividends                                              |   |                         | .90       |   |   |   | .80 |   |   |   | .80 |   |   |   | .80 |   |   |   | .76 |   |
| Stock      price - high                                |   |                         | 109.60    |   |   |   | 80.01 |   |   |   | 46.61 |   |   |   | 40.05 |   |   |   | 35.53 |   |
| Stock      price - low                                 |   |                         | 64.35     |   |   |   | 44.66 |   |   |   | 31.76 |   |   |   | 28.60 |   |   |   | 24.89 |   |
| Price/earnings      ratio (range)                      |   |                         | 15-9      |   |   |   | 14-8 |   |   |   | 12-8 |   |   |   | 25-18 |   |   |   | 10-7 |   |
| OPERATING      RESULTS                                 |   |                         |      |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Sales                                                  |   | $                            | 631,010   |   |   | $ | 549,180 |   |   | $ | 494,767 |   |   | $ | 406,230 |   |   | $ | 410,215 |   |
| Gross      profit                                      |   |                         | 146,029   |   |   |   | 132,389 |   |   |   | 125,210 |   |   |   | 92,209 |   |   |   | 110,221 |   |
| Interest      income/(expense), net                    |   |                         | 1,927     |   |   |   | (1,682 | ) |   |   | (5,520 | ) |   |   | (5,522 | ) |   |   | (6,755 | ) |
| Provision      for income taxes                        |   |                         | (10,359   | ) |   |   | (10,905 | ) |   |   | (11,040 | ) |   |   | (4,789 | ) |   |   | (9,474 | ) |
| Equity      in earnings of joint venture, net of taxes |   |                         | 15,383    |   |   |   | 13,550 |   |   |   | 9,005 |   |   |   | 10,791 |   |   |   | 614 |   |
| Income      from continuing operations                 |   |                         | 61,140    |   |   |   | 50,060 |   |   |   | 29,509 |   |   |   | 11,151 |   |   |   | 23,808 |   |
| Income      from discontinued operations, net of taxes |   |                         | 6,099     |   |   |   | 2,140 |   |   |   | 3,101 |   |   |   | 2,308 |   |   |   | 6,092 |   |
| Net      income                                        |   |                         | 67,239    |   |   |   | 52,200 |   |   |   | 32,610 |   |   |   | 13,459 |   |   |   | 29,900 |   |
| Net      income/sales                                  |   |                         | 10.7      | % |   |   | 9.5 | % |   |   | 6.6 | % |   |   | 3.3 | % |   |   | 7.3 | % |
| Return      on equity                                  |   |                         | 16.6      | % |   |   | 15.8 | % |   |   | 11.3 | % |   |   | 5.0 | % |   |   | 12.8 | % |
| FINANCIAL      CONDITION AT YEAR-END (2)               |   |                         |      |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Working      capital                                   |   | $                            | 314,339   |   |   | $ | 280,467 |   |   | $ | 216,126 |   |   | $ | 180,813 |   |   | $ | 177,009 |   |
| Property,      plant and equipment, net                |   |                         | 173,731   |   |   |   | 134,470 |   |   |   | 154,665 |   |   |   | 153,651 |   |   |   | 150,586 |   |
| Investments      in joint ventures                     |   |                         |      |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Equity      method                                     |   |                         | 14,677    |   |   |   | 14,501 |   |   |   | 13,777 |   |   |   | 16,042 |   |   |   | 13,064 |   |
| Cost      method                                       |   |                         | 3,784     |   |   |   | 3,784 |   |   |   | 5,922 |   |   |   | 5,922 |   |   |   | 5,479 |   |
| Total      assets                                      |   |                         | 705,812   |   |   |   | 616,351 |   |   |   | 578,036 |   |   |   | 543,937 |   |   |   | 533,492 |   |
| Long-term      debt, less current portion              |   |                         | 57,593    |   |   |   | 72,525 |   |   |   | 77,109 |   |   |   | 75,349 |   |   |   | 86,044 |   |
| CASH      FLOW (2)                                     |   |                         |      |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Expenditures      for property, plant and equipment    |   | $                            | 47,697    |   |   | $ | 35,519 |   |   | $ | 25,371 |   |   | $ | 18,312 |   |   | $ | 17,107 |   |
| Depreciation      and amortization                     |   |                         | 17,034    |   |   |   | 17,440 |   |   |   | 18,924 |   |   |   | 18,897 |   |   |   | 18,371 |   |

Table of Contents

----

ITEM

Table of Contents

----

Table of Contents

----

|                                         |   | 1%      Increase |    |   | 1%      Decrease |   |
|----------------------------------------------|--------|------------------|---------|--------|------------------|--------|
|                                         |   | Increase/        |    |   | Increase/        |   |   | Increase/ |   |   | Increase/ |   |
|                                         |   | (Decrease)       |    |   | (Decrease)       |   |   | (Decrease) |   |   | (Decrease) |   |
|                                         |   | in      Benefit  |    |   | in      Benefit  |   |   | in      Benefit |   |   | in      Benefit |   |
|  (In      thousands)                    |   | Obligations      |    |   | Costs            |   |   | Obligations |   |   | Costs |   |
| Discount      rate:                          |   |             |    |   |             |   |   |   |   |   |   |   |
| Pensions                                     |   | $                | (26,323 | )      |             | $      | (2,941 | ) |   | $ | 31,826 |   |   | $ | 3,905 |   |
| Other      postretirement benefits           |   |             | (333    | )      |             |   | (27 | ) |   |   | 393 |   |   |   | 25 |   |
| Expected      rate of return on assets       |   |             | N/A     |   |             |   | (1,898 | ) |   |   | N/A |   |   |   | 1,898 |   |
| Rate      of increase in compensation levels |   |             | 2,597   |   |             |   | 637 |   |   |   | (2,357 | ) |   |   | (576 | ) |
| Rate      of increase in health care costs   |   |             | 182     |   |             |   | 25 |   |   |   | (154 | ) |   |   | (20 | ) |

Table of Contents

----

Table of Contents

----

|                                   |   | Payments      Due by Period |    |
|----------------------------------------|--------|-----------------------------|---------|
|                                   |   |                        |    |   | Less      than |   |   |   |   |   |   |   |   | After      5 |   |
| Contractual      Obligations           |   | Total                       |    |   | 1      year |   |   | 1-3      years |   |   | 3-5      years |   |   | years |   |
| Long-term      debt (a)                |   | $                           | 74,648  |   |   | $ | 17,055 |   |   | $ | 27,784 |   |   | $ | 14,109 |   |   | $ | 15,700 |   |
|                                   |   |                        |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Interest      payments on debt (b)     |   |                        | 13,077  |   |   |   | 2,981 |   |   |   | 4,365 |   |   |   | 2,095 |   |   |   | 3,636 |   |
|                                   |   |                        |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Operating      leases                  |   |                        | 38,455  |   |   |   | 4,289 |   |   |   | 7,665 |   |   |   | 4,574 |   |   |   | 21,927 |   |
|                                   |   |                        |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Purchase      obligations (c)          |   |                        | 528     |   |   |   | 528 |   |   |   | - |   |   |   | - |   |   |   | - |   |
|                                   |   |                        |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Total      contractual obligations (d) |   | $                           | 126,708 |   |   | $ | 24,853 |   |   | $ | 39,814 |   |   | $ | 20,778 |   |   | $ | 41,263 |   |

|                                  |   | Commitments      Expiring Per Period |   |
|---------------------------------------|--------|--------------------------------------|--------|
|                                  |   |                                 |   |   | Less      than |   |   |   |   |   |   |   |   | After |   |
| Contractual      Commitments          |   | Total                                |   |   | 1      year |   |   | 1-3      years |   |   | 3-5      years |   |   | 5      years |   |
| Standby      letters of credit (e)    |   | $                                    | 3,123  |   |   | $ | 3,123 |   |   | $ | - |   |   | $ | - |   |   | $ | - |   |
|                                  |   |                                 |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Total      commercial commitments (d) |   | $                                    | 3,123  |   |   | $ | 3,123 |   |   | $ | - |   |   | $ | - |   |   | $ | - |   |

Table of Contents

----

Table of Contents

----

Table of Contents

----

Table of Contents

----

Table of Contents

----

Table of Contents

----

Table of Contents

----

ITEM 

|                                                                                |   |                        |   |    | Total      Outstanding            |   |
|-------------------------------------------------------------------------------------|--------|-----------------------------|--------|---------|-----------------------------------|--------|
|                                                                                |   |                        |   |    | As      of November 30, 2007 |   |
|                                                                                |   | Expected      Maturity Date |   |    | Recorded                          |   |   | Fair |   |
|  (Dollars      in thousands)                                                   |   | 2008                        |   |    | 2009                              |   |   | 2010 |   |   | 2011 |   |   | 2012 |   |   | Thereafter |   |   | Value |   |   | Value |   |
| Liabilities                                                                         |   |                        |   |    |                              |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Long-term      debt:                                                                |   |                        |   |    |                              |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Fixed-rate      secured notes, payable in US$                                       |   | $                           | 10,000 |    |                              | $      | 10,000 |   |   | $ | - |   |   | $ | - |   |   | $ | - |   |   | $ | - |   |   | $ | 20,000 |   |   | $ | 20,114 |   |
| Average      interest rate                                                          |   |                        | 5.36   | %       |                              |   | 5.36 | % |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | 5.36 | % |   |   |   |   |
|                                                                                |   |                        |   |    |                              |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Fixed-rate      secured notes, payable in Singapore dollars                         |   |                        | 7,055  |    |                              |   | 7,055 |   |   |   | 7,055 |   |   |   | 7,055 |   |   |   | 7,054 |   |   |   | - |   |   |   | 35,274 |   |   |   | 35,330 |   |
| Average      interest rate                                                          |   |                        | 4.25   | %  |                              |   | 4.25 | % |   |   | 4.25 | % |   |   | 4.25 | % |   |   | 4.25 | % |   |   | - |   |   |   | 4.25 | % |   |   |   |   |
|                                                                                |   |                        |   |    |                              |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Variable-rate      bank revolving credit facilities, payable in local    currencies |   |                        | -      |    |                              |   | - |   |   |   | 3,674 |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | 3,674 |   |   |   | 3,674 |   |
| Average      interest rate                                                          |   |                        | -      |    |                              |   | - |   |   |   | 13.51 | %  |   |   | - |   |   |   | - |   |   |   | - |   |   |   | 13.51 | % |   |   |   |   |
|                                                                                |   |                        |   |    |                              |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Variable-rate      industrial development bonds, payable in US$                     |   |                        | -      |    |                              |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | 7,200 |   |   |   | 7,200 |   |   |   | 7,200 |   |
| Average      interest rate                                                          |   |                        | -      |    |                              |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | 3.81 | % |   |   | 3.81 | % |   |   |   |   |
|                                                                                |   |                        |   |    |                              |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Variable-rate      industrial development bonds, payable in US$                     |   |                        | -      |    |                              |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | 8,500 |   |   |   | 8,500 |   |   |   | 8,500 |   |
| Average      interest rate                                                          |   |                        | -      |    |                              |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | 3.81 | % |   |   | 3.81 | % |   |   |   |   |

Table of Contents

----

ITEM 

|                                                                                                              |   | Year      ended November 30, |      |
|-------------------------------------------------------------------------------------------------------------------|--------|------------------------------|-----------|
|                                                                                                              |   |                         |      |   |   |   |   |   |   |
| (Dollars      in thousands, except per share data)                                                                |   | 2007                         |      |   | 2006 |   |   | 2005 |   |
| Sales                                                                                                             |   | $                            | 631,010   |   |   | $ | 549,180 |   |   | $ | 494,767 |   |
| Cost      of sales                                                                                                |   |                         | (484,981  | ) |   |   | (416,791 | ) |   |   | (369,557 | ) |
| Gross      profit                                                                                                 |   |                         | 146,029   |   |   |   | 132,389 |   |   |   | 125,210 |   |
|                                                                                                              |   |                         |      |   |   |   |   |   |   |   |   |   |
| Selling,      general and administrative expenses                                                                 |   |                         | (97,870   | ) |   |   | (94,689 | ) |   |   | (90,283 | ) |
| Other      income, net                                                                                            |   |                         | 6,030     |   |   |   | 11,397 |   |   |   | 2,137 |   |
| Income      from continuing operations before interest, income taxes and equity in      earnings of joint venture |   |                         | 54,189    |   |   |   | 49,097 |   |   |   | 37,064 |   |
| Interest      income/(expense), net                                                                               |   |                         | 1,927     |   |   |   | (1,682 | ) |   |   | (5,520 | ) |
| Income      from continuing operations before income taxes and equity in earnings of      joint venture           |   |                         | 56,116    |   |   |   | 47,415 |   |   |   | 31,544 |   |
| Provision      for income taxes                                                                                   |   |                         | (10,359   | ) |   |   | (10,905 | ) |   |   | (11,040 | ) |
| Income      from continuing operations before equity in earnings of joint      venture                            |   |                         | 45,757    |   |   |   | 36,510 |   |   |   | 20,504 |   |
| Equity      in earnings of joint venture, net of taxes                                                            |   |                         | 15,383    |   |   |   | 13,550 |   |   |   | 9,005 |   |
| Income      from continuing operations                                                                            |   |                         | 61,140    |   |   |   | 50,060 |   |   |   | 29,509 |   |
| Income      from discontinued operations, net of taxes                                                            |   |                         | 6,099     |   |   |   | 2,140 |   |   |   | 3,101 |   |
| Net      income                                                                                                   |   | $                            | 67,239    |   |   | $ | 52,200 |   |   | $ | 32,610 |   |
|                                                                                                              |   |                         |      |   |   |   |   |   |   |   |   |   |
| Basic      earnings per share:                                                                                    |   |                         |      |   |   |   |   |   |   |   |   |   |
| Income      from continuing operations                                                                            |   | $                            | 6.77      |   |   | $ | 5.73 |   |   | $ | 3.51 |   |
| Income      from discontinued operations, net of taxes                                                            |   |                         | .68       |   |   |   | .25 |   |   |   | .37 |   |
| Net      income                                                                                                   |   | $                            | 7.45      |   |   | $ | 5.98 |   |   | $ | 3.88 |   |
|                                                                                                              |   |                         |      |   |   |   |   |   |   |   |   |   |
| Diluted      earnings per share:                                                                                  |   |                         |      |   |   |   |   |   |   |   |   |   |
| Income      from continuing operations                                                                            |   | $                            | 6.73      |   |   | $ | 5.64 |   |   | $ | 3.44 |   |
| Income      from discontinued operations, net of taxes                                                            |   |                         | .67       |   |   |   | .24 |   |   |   | .36 |   |
| Net      income                                                                                                   |   | $                            | 7.40      |   |   | $ | 5.88 |   |   | $ | 3.80 |   |
|                                                                                                              |   |                         |      |   |   |   |   |   |   |   |   |   |
| Weighted-average      shares (basic)                                                                              |   |                         | 9,029,487 |   |   |   | 8,731,839 |   |   |   | 8,410,563 |   |
| Weighted-average      shares (diluted)                                                                            |   |                         | 9,090,846 |   |   |   | 8,871,695 |   |   |   | 8,579,194 |   |

Table of Contents

----

|                                                                                              |   | As      of November 30, |     |
|---------------------------------------------------------------------------------------------------|--------|-------------------------|----------|
|                                                                                              |   |                    |     |   |   |   |
| (Dollars      in thousands, except per share data)                                                |   | 2007                    |     |   | 2006 |   |
| ASSETS                                                                                            |   |                    |     |   |   |   |
|                                                                                              |   |                    |     |   |   |   |
| Current      assets                                                                               |   |                    |     |   |   |   |
| Cash      and cash equivalents                                                                    |   | $                       | 155,433  |   |   | $ | 139,479 |   |
| Receivables,      less allowances of $6,235 in 2007 and $4,912 in 2006                            |   |                    | 185,335  |   |   |   | 160,173 |   |
| Inventories                                                                                       |   |                    | 97,717   |   |   |   | 77,134 |   |
| Deferred      income taxes                                                                        |   |                    | 22,446   |   |   |   | 23,861 |   |
| Prepaid      expenses and other current assets                                                    |   |                    | 12,100   |   |   |   | 15,921 |   |
|                                                                                              |   |                    |     |   |   |   |   |   |
| Total      current assets                                                                         |   |                    | 473,031  |   |   |   | 416,568 |   |
|                                                                                              |   |                    |     |   |   |   |   |   |
| Investments      in joint ventures                                                                |   |                    |     |   |   |   |   |   |
| Equity      method                                                                                |   |                    | 14,677   |   |   |   | 14,501 |   |
| Cost      method                                                                                  |   |                    | 3,784    |   |   |   | 3,784 |   |
|                                                                                              |   |                    |     |   |   |   |   |   |
| Property,      plant and equipment                                                                |   |                    |     |   |   |   |   |   |
| Land                                                                                              |   |                    | 35,860   |   |   |   | 33,327 |   |
| Buildings                                                                                         |   |                    | 75,245   |   |   |   | 57,434 |   |
| Machinery      and equipment                                                                      |   |                    | 292,563  |   |   |   | 261,538 |   |
| Construction      in progress                                                                     |   |                    | 24,655   |   |   |   | 20,657 |   |
|                                                                                              |   |                    |     |   |   |   |   |   |
| Total      property, plant and equipment at cost                                                  |   |                    | 428,323  |   |   |   | 372,956 |   |
| Accumulated      depreciation                                                                     |   |                    | (254,592 | ) |   |   | (238,486 | ) |
|                                                                                              |   |                    |     |   |   |   |   |   |
| Total      property, plant and equipment, net                                                     |   |                    | 173,731  |   |   |   | 134,470 |   |
| Deferred      income taxes                                                                        |   |                    | 4,202    |   |   |   | - |   |
| Intangible      assets, net of accumulated amortization of $1,130 in 2007 and $3,017 in      2006 |   |                    | 2,243    |   |   |   | 2,143 |   |
| Other      assets                                                                                 |   |                    | 34,144   |   |   |   | 44,885 |   |
|                                                                                              |   |                    |     |   |   |   |   |   |
| Total      assets                                                                                 |   | $                       | 705,812  |   |   | $ | 616,351 |   |

Table of Contents

----

|                                                                                                                                                                            |   | As      of November 30, |    |
|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|-------------------------|---------|
|                                                                                                                                                                            |   |                    |    |   |   |   |
| (Dollars      in thousands, except per share data)                                                                                                                              |   | 2007                    |    |   | 2006 |   |
| LIABILITIES      AND STOCKHOLDERS' EQUITY                                                                                                                                       |   |                    |    |   |   |   |
|                                                                                                                                                                            |   |                    |    |   |   |   |
| Current      liabilities                                                                                                                                                        |   |                    |    |   |   |   |
| Current      portion of long-term debt                                                                                                                                          |   | $                       | 17,055  |   |   | $ | 10,000 |   |
| Trade      payables                                                                                                                                                             |   |                    | 45,216  |   |   |   | 45,650 |   |
| Accrued      liabilities                                                                                                                                                        |   |                    | 84,436  |   |   |   | 68,970 |   |
| Income      taxes payable                                                                                                                                                       |   |                    | 11,985  |   |   |   | 11,481 |   |
|                                                                                                                                                                            |   |                    |    |   |   |   |   |   |
| Total      current liabilities                                                                                                                                                  |   |                    | 158,692 |   |   |   | 136,101 |   |
|                                                                                                                                                                            |   |                    |    |   |   |   |   |   |
| Long-term      debt, less current portion                                                                                                                                       |   |                    | 57,593  |   |   |   | 72,525 |   |
| Other      long-term liabilities                                                                                                                                                |   |                    | 44,154  |   |   |   | 44,500 |   |
|                                                                                                                                                                            |   |                    |    |   |   |   |   |   |
| Total      liabilities                                                                                                                                                          |   |                    | 260,439 |   |   |   | 253,126 |   |
|                                                                                                                                                                            |   |                    |    |   |   |   |   |   |
| Commitments      and contingencies                                                                                                                                              |   |                    |    |   |   |   |   |   |
|                                                                                                                                                                            |   |                    |    |   |   |   |   |   |
|  Stockholders'      equity                                                                                                                                                 |   |                    |    |   |   |   |   |   |
| Common      Stock, par value $2.50 per share, authorized 24,000,000 shares,      outstanding 9,138,563 shares in 2007 and 9,075,094 shares in 2006, net of      treasury shares |   |                    | 29,623  |   |   |   | 29,431 |   |
| Additional      paid-in capital                                                                                                                                                 |   |                    | 46,675  |   |   |   | 39,500 |   |
| Retained      earnings                                                                                                                                                          |   |                    | 430,925 |   |   |   | 371,894 |   |
| Accumulated      other comprehensive loss                                                                                                                                       |   |                    | (9,870  | ) |   |   | (27,232 | ) |
| Treasury      Stock (2,710,479 shares in 2007 and 2,697,148 shares in    2006)                                                                                                  |   |                    | (51,980 | ) |   |   | (50,368 | ) |
|                                                                                                                                                                            |   |                    |    |   |   |   |   |   |
| Total      stockholders' equity                                                                                                                                                 |   |                    | 445,373 |   |   |   | 363,225 |   |
|                                                                                                                                                                            |   |                    |    |   |   |   |   |   |
| Total      liabilities and stockholders' equity                                                                                                                                 |   | $                       | 705,812 |   |   | $ | 616,351 |   |

Table of Contents

----

|                                                                     |   | Common      Stock |      |   |   |   |   |       |   |   |       |   |   | Accumulated |   |   |          |   |    |     |   |
|--------------------------------------------------------------------------|--------|-------------------|-----------|--------|--------|--------|--------|------------|--------|--------|------------|--------|--------|-------------|--------|--------|---------------|--------|---------|----------|--------|
|                                                                     |   |              |      |   |   |   |   | Additional |   |   | Unearned   |   |   |        |   |   | Other         |   |    |     |   |   |   |   |
|                                                                     |   | Shares            |      |   |   |   |   | Paid-in    |   |   | Restricted |   |   | Retained    |   |   | Comprehensive |   |    | Treasury |   |   |   |   |
| (Dollars      in thousands)                                              |   | Outstanding       |      |   | Amount |   |   | Capital    |   |   | Stock      |   |   | Earnings    |   |   | Loss          |   |    | Stock    |   |   | Total |   |
| Balance,      November 30, 2004                                          |   |              | 8,431,471 |   |   | $      | 27,745 |       |   | $      | 21,903     |   |   | $           | (2,300 | )      |          | $      | 301,013 |     |   | $ | (20,420 | ) |   | $ | (48,774 | ) |   | $ | 279,167 |   |
| Net      Income - 2005                                                   |   |              | -         |   |   |   | -      |       |   |   | -          |   |   |        | -      |   |          |   | 32,610  |     |   |   | - |   |   |   | - |   |   |   | 32,610 |   |
| Exercise      of stock options                                           |   |              | 239,318   |   |   |   | 599    |       |   |   | 4,701      |   |   |        | -      |   |          |   | -       |     |   |   | - |   |   |   | - |   |   |   | 5,300 |   |
| Foreign      currency translation adjustment                             |   |              | -         |   |   |   | -      |       |   |   | -          |   |   |        | -      |   |          |   | -       |     |   |   | (10,329 | ) |   |   | - |   |   |   | (10,329 | ) |
| Minimum      pension liability adjustment, net of tax                    |   |              | -         |   |   |   | -      |       |   |   | -          |   |   |        | -      |   |          |   | -       |     |   |   | (5,209 | ) |   |   | - |   |   |   | (5,209 | ) |
| Comprehensive      income from joint venture                             |   |              | -         |   |   |   | -      |       |   |   | -          |   |   |        | -      |   |          |   | -       |     |   |   | (366 | ) |   |   | - |   |   |   | (366 | ) |
| Cash      dividends on Common Stock                                      |   |              | -         |   |   |   | -      |       |   |   | -          |   |   |        | -      |   |          |   | (6,828  | )        |   |   | - |   |   |   | - |   |   |   | (6,828 | ) |
| Stock      compensation expense                                          |   |              | -         |   |   |   | -      |       |   |   | 899        |   |   |        | -      |   |          |   | -       |     |   |   | - |   |   |   | - |   |   |   | 899 |   |
| Issuance      of restricted stock                                        |   |              | 42,500    |   |   |   | 106    |       |   |   | 1,433      |   |   |        | (1,539 | )      |          |   | -       |     |   |   | - |   |   |   | - |   |   |   | - |   |
| Restricted      stock compensation expense                               |   |              | -         |   |   |   | -      |       |   |   | -          |   |   |        | 1,755  |   |          |   | -       |     |   |   | - |   |   |   | - |   |   |   | 1,755 |   |
| Treasury      stock purchase                                             |   |              | (15,141   | )      |   |   | -      |       |   |   | -          |   |   |        | -      |   |          |   | -       |     |   |   | - |   |   |   | (501 | ) |   |   | (501 | ) |
| Balance,      November 30, 2005                                          |   |              | 8,698,148 |   |   |   | 28,450 |       |   |   | 28,936     |   |   |        | (2,084 | )      |          |   | 326,795 |     |   |   | (36,324 | ) |   |   | (49,275 | ) |   |   | 296,498 |   |
| Net      Income - 2006                                                   |   |              | -         |   |   |   | -      |       |   |   | -          |   |   |        | -      |   |          |   | 52,200  |     |   |   | - |   |   |   | - |   |   |   | 52,200 |   |
| Exercise      of stock options                                           |   |              | 347,283   |   |   |   | 853    |       |   |   | 7,032      |   |   |        | -      |   |          |   | -       |     |   |   | - |   |   |   | 109 |   |   |   | 7,994 |   |
| Foreign      currency translation adjustment                             |   |              | -         |   |   |   | -      |       |   |   | -          |   |   |        | -      |   |          |   | -       |     |   |   | 2,330 |   |   |   | - |   |   |   | 2,330 |   |
| Minimum      pension liability adjustment, net of tax                    |   |              | -         |   |   |   | -      |       |   |   | -          |   |   |        | -      |   |          |   | -       |     |   |   | 6,314 |   |   |   | - |   |   |   | 6,314 |   |
| Comprehensive      income from joint venture                             |   |              | -         |   |   |   | -      |       |   |   | -          |   |   |        | -      |   |          |   | -       |     |   |   | 448 |   |   |   | - |   |   |   | 448 |   |
| Cash      dividends on Common Stock                                      |   |              | -         |   |   |   | -      |       |   |   | -          |   |   |        | -      |   |          |   | (7,101  | )        |   |   | - |   |   |   | - |   |   |   | (7,101 | ) |
| Stock      compensation expense                                          |   |              | -         |   |   |   | -      |       |   |   | 151        |   |   |        | -      |   |          |   | -       |     |   |   | - |   |   |   | - |   |   |   | 151 |   |
| Issuance      of restricted stock                                        |   |              | 51,000    |   |   |   | 128    |       |   |   | (128       | )      |   |        | -      |   |          |   | -       |     |   |   | - |   |   |   | - |   |   |   | - |   |
| Excess      Tax Benefit related to stock-based compensation              |   |              | -         |   |   |   | -      |       |   |   | 2,469      |   |   |        | -      |   |          |   | -       |     |   |   | - |   |   |   | - |   |   |   | 2,469 |   |
| Restricted      stock compensation expense                               |   |              | -         |   |   |   | -      |       |   |   | 3,124      |   |   |        | -      |   |          |   | -       |     |   |   | - |   |   |   | - |   |   |   | 3,124 |   |
| Treasury      stock purchase                                             |   |              | (21,337   | )      |   |   | -      |       |   |   | -          |   |   |        | -      |   |          |   | -       |     |   |   | - |   |   |   | (1,202 | ) |   |   | (1,202 | ) |
| Reclassification      of unearned restricted stock under SFAS No. 123(R) |   |              | -         |   |   |   | -      |       |   |   | (2,084     | )      |   |        | 2,084  |   |          |   | -       |     |   |   | - |   |   |   | - |   |   |   | - |   |
| Balance,      November 30, 2006                                          |   |              | 9,075,094 |   |   |   | 29,431 |       |   |   | 39,500     |   |   |        | -      |   |          |   | 371,894 |     |   |   | (27,232 | ) |   |   | (50,368 | ) |   |   | 363,225 |   |
| Net      Income - 2007                                                   |   |              | -         |   |   |   | -      |       |   |   | -          |   |   |        | -      |   |          |   | 67,239  |     |   |   | - |   |   |   | - |   |   |   | 67,239 |   |
| Exercise      of stock options                                           |   |              | 49,125    |   |   |   | 106    |       |   |   | 1,456      |   |   |        | -      |   |          |   | -       |     |   |   | - |   |   |   | - |   |   |   | 1,562 |   |
| Foreign      currency translation adjustment                             |   |              | -         |   |   |   | -      |       |   |   | -          |   |   |        | -      |   |          |   | -       |     |   |   | 8,210 |   |   |   | - |   |   |   | 8,210 |   |
| Minimum      pension liability adjustment, net of tax                    |   |              | -         |   |   |   | -      |       |   |   | -          |   |   |        | -      |   |          |   | -       |     |   |   | 15,237 |   |   |   | - |   |   |   | 15,237 |   |
| Adjustment      for initial adoption of SFAS No. 158, net of tax         |   |              | -         |   |   |   | -      |       |   |   | -          |   |   |        | -      |   |          |   | -       |     |   |   | (6,035 | ) |   |   | - |   |   |   | (6,035 | ) |
| Comprehensive      income from joint venture                             |   |              | -         |   |   |   | -      |       |   |   | -          |   |   |        | -      |   |          |   | -       |     |   |   | (50 | ) |   |   | - |   |   |   | (50 | ) |
| Cash      dividends on Common Stock                                      |   |              | -         |   |   |   | -      |       |   |   | -          |   |   |        | -      |   |          |   | (8,208  | )        |   |   | - |   |   |   | - |   |   |   | (8,208 | ) |
| Stock      compensation expense                                          |   |              | -         |   |   |   | -      |       |   |   | 103        |   |   |        | -      |   |          |   | -       |     |   |   | - |   |   |   | - |   |   |   | 103 |   |
| Issuance      of restricted stock                                        |   |              | 34,550    |   |   |   | 86     |       |   |   | (86        | )      |   |        | -      |   |          |   | -       |     |   |   | - |   |   |   | - |   |   |   | - |   |
| Excess      Tax Benefit related to stock-based compensation              |   |              | -         |   |   |   | -      |       |   |   | 1,955      |   |   |        | -      |   |          |   | -       |     |   |   | - |   |   |   | - |   |   |   | 1,955 |   |
| Restricted      stock compensation expense                               |   |              | -         |   |   |   | -      |       |   |   | 3,747      |   |   |        | -      |   |          |   | -       |     |   |   | - |   |   |   | - |   |   |   | 3,747 |   |
| Treasury      stock purchase                                             |   |              | (20,206   | )      |   |   | -      |       |   |   | -          |   |   |        | -      |   |          |   | -       |     |   |   | - |   |   |   | (1,612 | ) |   |   | (1,612 | ) |
| Balance,      November 30, 2007                                          |   |              | 9,138,563 |   |   | $      | 29,623 |       |   | $      | 46,675     |   |   | $           | -      |   |          | $      | 430,925 |     |   | $ | (9,870 | ) |   | $ | (51,980 | ) |   | $ | 445,373 |   |

Table of Contents

----

|                                                  |   | Year      ended November 30, |   |
|-------------------------------------------------------|--------|------------------------------|--------|
| (In      thousands)                                   |   | 2007                         |   |   | 2006 |   |   | 2005 |   |
|                                                  |   |                         |   |   |   |   |   |   |   |
| Net      income                                       |   | $                            | 67,239 |   |   | $ | 52,200 |   |   | $ | 32,610 |   |
| Foreign      currency translation adjustment          |   |                         | 8,210  |   |   |   | 2,330 |   |   |   | (10,329 | ) |
| Minimum      pension liability adjustment, net of tax |   |                         | 15,237 |   |   |   | 6,314 |   |   |   | (5,209 | ) |
| Comprehensive      income/(loss) from joint venture   |   |                         | (50    | ) |   |   | 448 |   |   |   | (366 | ) |
| Comprehensive      income                             |   | $                            | 90,636 |   |   | $ | 61,292 |   |   | $ | 16,706 |   |

|                                                                                        |   | Year      ended November 30, |    |
|---------------------------------------------------------------------------------------------|--------|------------------------------|---------|
| (In      thousands)                                                                         |   | 2007                         |    |   | 2006 |   |   | 2005 |   |
| OPERATING      ACTIVITIES                                                                   |   |                         |    |   |   |   |   |   |   |
| Net      income                                                                             |   | $                            | 67,239  |   |   | $ | 52,200 |   |   | $ | 32,610 |   |
| Adjustments      to reconcile net income to net cash provided by operating      activities: |   |                         |    |   |   |   |   |   |   |   |   |   |
| Depreciation                                                                                |   |                         | 16,993  |   |   |   | 17,270 |   |   |   | 18,718 |   |
| Amortization                                                                                |   |                         | 41      |   |   |   | 170 |   |   |   | 206 |   |
| Provision/(benefit)      for deferred income taxes                                          |   |                         | 7,016   |   |   |   | (5,631 | ) |   |   | 701 |   |
| Net      earnings in excess of distributions from joint ventures                            |   |                         | (227    | ) |   |   | (276 | ) |   |   | 1,901 |   |
| Loss/(gain)      from sale of property, plant and equipment                                 |   |                         | 17      |   |   |   | (8,864 | ) |   |   | (1,634 | ) |
| (Gain)/loss      from sale of discontinued operations                                       |   |                         | (5,943  | ) |   |   | 157 |   |   |   | - |   |
| Stock      compensation expense                                                             |   |                         | 3,850   |   |   |   | 3,275 |   |   |   | 2,654 |   |
| Non-cash      write-down of assets                                                          |   |                         | 643     |   |   |   | - |   |   |   | - |   |
| Changes      in operating assets and liabilities:                                           |   |                         |    |   |   |   |   |   |   |   |   |   |
| Receivables,      net                                                                       |   |                         | (21,747 | ) |   |   | (23,284 | ) |   |   | (23,649 | ) |
| Inventories                                                                                 |   |                         | (19,200 | ) |   |   | (25,906 | ) |   |   | (10,624 | ) |
| Prepaid      expenses and other current assets                                              |   |                         | 3,847   |   |   |   | (5,890 | ) |   |   | (884 | ) |
| Other      assets                                                                           |   |                         | (440    | ) |   |   | 6,323 |   |   |   | 1,894 |   |
| Trade      payables                                                                         |   |                         | (1,626  | ) |   |   | 6,937 |   |   |   | 6,686 |   |
| Accrued      liabilities and income taxes payable                                           |   |                         | 14,024  |   |   |   | 22,330 |   |   |   | 3,660 |   |
| Other      long-term liabilities                                                            |   |                         | (1,284  | ) |   |   | (21,968 | ) |   |   | 4,945 |   |
| Net      cash provided by operating activities                                              |   |                         | 63,203  |   |   |   | 16,843 |   |   |   | 37,184 |   |
| INVESTING      ACTIVITIES                                                                   |   |                         |    |   |   |   |   |   |   |   |   |   |
| Proceeds      from sale of property, plant and equipment                                    |   |                         | 288     |   |   |   | 10,253 |   |   |   | 3,855 |   |
| Proceeds      from sale of discontinued operations                                          |   |                         | 16,319  |   |   |   | 115,000 |   |   |   | - |   |
| Acquisitions                                                                                |   |                         | (5,977  | ) |   |   | (989 | ) |   |   | - |   |
| Additions      to property, plant and equipment                                             |   |                         | (47,697 | ) |   |   | (34,530 | ) |   |   | (25,371 | ) |
| Net      cash (used in)/provided by investing activities                                    |   |                         | (37,067 | ) |   |   | 89,734 |   |   |   | (21,516 | ) |
| FINANCING      ACTIVITIES                                                                   |   |                         |    |   |   |   |   |   |   |   |   |   |
| Net      change in short-term borrowings                                                    |   |                         | -       |   |   |   | (8,333 | ) |   |   | - |   |
| Issuance      of debt                                                                       |   |                         | 2,483   |   |   |   | 3,279 |   |   |   | 59,424 |   |
| Repayment      of debt                                                                      |   |                         | (12,708 | ) |   |   | (11,069 | ) |   |   | (57,073 | ) |
| Debt      issuance costs                                                                    |   |                         | -       |   |   |   | - |   |   |   | (322 | ) |
| Dividends      on Common Stock                                                              |   |                         | (8,208  | ) |   |   | (7,101 | ) |   |   | (6,828 | ) |
| Issuance      of Common Stock                                                               |   |                         | 1,562   |   |   |   | 7,994 |   |   |   | 5,300 |   |
| Excess      tax benefits related to stock-based compensation                                |   |                         | 1,955   |   |   |   | 2,469 |   |   |   | - |   |
| Purchase      of treasury stock                                                             |   |                         | (1,612  | ) |   |   | (1,202 | ) |   |   | (501 | ) |
| Net      cash used in financing activities                                                  |   |                         | (16,528 | ) |   |   | (13,963 | ) |   |   | - |   |
|                                                                                        |   |                         |    |   |   |   |   |   |   |   |   |   |
| Effect      of exchange rate changes on cash and cash equivalents                           |   |                         | 6,346   |   |   |   | 2,194 |   |   |   | (1,121 | ) |
| Net      change in cash and cash equivalents                                                |   |                         | 15,954  |   |   |   | 94,808 |   |   |   | 14,547 |   |
| Cash      and cash equivalents at beginning of year                                         |   |                         | 139,479 |   |   |   | 44,671 |   |   |   | 30,124 |   |
|                                                                                        |   |                         |    |   |   |   |   |   |   |   |   |   |
| Cash      and cash equivalents at end of year                                               |   | $                            | 155,433 |   |   | $ | 139,479 |   |   | $ | 44,671 |   |

Table of Contents

----

Table of Contents

----

| (In      thousands, except per share data)                 |   | 2007   |      |   | 2006   |   |      | 2005   |   |
|------------------------------------------------------------|--------|--------|-----------|--------|--------|--------|-----------|--------|--------|
| Numerator:                                                 |   |   |      |   |   |   |      |   |   |
| Income      from continuing operations                     |   | $      | 61,140    |   |   | $      | 50,060    |   |   | $ | 29,509 |   |
| Income      from discontinued operations, net of taxes     |   |   | 6,099     |   |   |   | 2,140     |   |   |   | 3,101 |   |
| Net      income                                            |   | $      | 67,239    |   |   | $      | 52,200    |   |   | $ | 32,610 |   |
|                                                       |   |   |      |   |   |   |      |   |   |   |   |   |
| Denominator      for basic income per share:               |   |   |      |   |   |   |      |   |   |   |   |   |
| Weighted-average      shares outstanding, basic            |   |   | 9,029,487 |   |   |   | 8,731,839 |   |   |   | 8,410,563 |   |
|                                                       |   |   |      |   |   |   |      |   |   |   |   |   |
| Denominator      for diluted income per share:             |   |   |      |   |   |   |      |   |   |   |   |   |
| Weighted-average      shares outstanding, basic            |   |   | 9,029,487 |   |   |   | 8,731,839 |   |   |   | 8,410,563 |   |
| Dilutive      effect of stock options and restricted stock |   |   | 61,359    |   |   |   | 139,856   |   |   |   | 168,631 |   |
| Weighted-average      shares outstanding, diluted          |   |   | 9,090,846 |   |   |   | 8,871,695 |   |   |   | 8,579,194 |   |
|                                                       |   |   |      |   |   |   |      |   |   |   |   |   |
| Basic      net income per share:                           |   |   |      |   |   |   |      |   |   |   |   |   |
| Income      from continuing operations                     |   | $      | 6.77      |   |   | $      | 5.73      |   |   | $ | 3.51 |   |
| Income      from discontinued operations, net of taxes     |   |   | .68       |   |   |   | .25       |   |   |   | .37 |   |
| Net      income                                            |   | $      | 7.45      |   |   | $      | 5.98      |   |   | $ | 3.88 |   |
|                                                       |   |   |      |   |   |   |      |   |   |   |   |   |
| Diluted      net income per share:                         |   |   |      |   |   |   |      |   |   |   |   |   |
| Income      from continuing operations                     |   | $      | 6.73      |   |   | $      | 5.64      |   |   | $ | 3.44 |   |
| Income      from discontinued operations, net of taxes     |   |   | .67       |   |   |   | .24       |   |   |   | .36 |   |
| Net      income                                            |   | $      | 7.40      |   |   | $      | 5.88      |   |   | $ | 3.80 |   |

Table of Contents

----

|                            | Useful      Lives |
|---------------------------------|-------------------|
|                            | in      Years     |
| Buildings                       | 10-40             |
| Machinery      and equipment    |              |
| Autos,      trucks and trailers | 3-8               |
| Cranes      and tractors        | 5-15              |
| Manufacturing      equipment    | 3-15              |
| Other                           | 3-20              |

Table of Contents

----

| (In      thousands)                                  |   | 2007   |    |   | 2006   |   |
|------------------------------------------------------|--------|--------|---------|--------|--------|--------|
| Foreign      currency translation adjustment         |   | $      | 8,128   |   |   | $      | (82 | ) |
| Comprehensive      loss from TAMCO                   |   |   | (1,146  | )      |   |   | (1,096 | ) |
| Unrecognized      pension and postretirement expense |   |   | (6,035  | )      |   |   | - |   |
| Minimum      pension liability adjustment            |   |   | (10,817 | )      |   |   | (26,054 | ) |
| Accumulated      other comprehensive loss            |   | $      | (9,870  | )      |   | $      | (27,232 | ) |

Table of Contents

----

| (In      thousands)    |   | 2007   |   |   | 2006   |   |   | 2005   |   |
|------------------------|--------|--------|--------|--------|--------|--------|--------|--------|--------|
| Interest      paid     |   | $      | 3,996  |   |   | $      | 4,891  |   |   | $ | 5,863 |   |
| Income      taxes paid |   |   | 18,687 |   |   |   | 9,663  |   |   |   | 18,244 |   |

| (In      thousands)                                                                |   | 2007   |   |   | 2006   |   |    | 2005   |   |
|------------------------------------------------------------------------------------|--------|--------|--------|--------|--------|--------|---------|--------|--------|
| Revenue      from discontinued operations                                          |   | $      | -      |   |   | $      | 152,190 |   |   | $ | 209,807 |   |
|                                                                               |   |   |   |   |   |   |    |   |   |   |   |   |
| Income      from discontinued operations before disposal, before income      taxes |   | $      | -      |   |   | $      | 5,308   |   |   | $ | 6,531 |   |
| Income      taxes on income from discontinued operations                           |   |   | 156    |   |   |   | (3,011  | )      |   |   | (3,430 | ) |
| Income      from discontinued operations before disposal, net of taxes             |   |   | 156    |   |   |   | 2,297   |   |   |   | 3,101 |   |
|                                                                               |   |   |   |   |   |   |    |   |   |   |   |   |
| Gain      from sale of discontinued operations, before income taxes                |   |   | 5,358  |   |   |   | 862     |   |   |   | - |   |
| Income      taxes on gain from sale of discontinued operations                     |   |   | 585    |   |   |   | (1,019  | )      |   |   | - |   |
| Gain/(loss)      on sale of discontinued operations, net of taxes                  |   |   | 5,943  |   |   |   | (157    | )      |   |   | - |   |
| Income      from discontinued operations, net of taxes                             |   | $      | 6,099  |   |   | $      | 2,140   |   |   | $ | 3,101 |   |
|                                                                               |   |   |   |   |   |   |    |   |   |   |   |   |

Table of Contents

----

| (In      thousands)                                       |   | 2007   |   |   | 2006   |   |   | 2005   |   |
|-----------------------------------------------------------|--------|--------|--------|--------|--------|--------|--------|--------|--------|
| Dividends      from joint ventures-cost method            |   | $      | 2,451  |   |   | $      | -      |   |   | $ | 1,300 |   |
| Royalties,      fees and other income                     |   |   | 751    |   |   |   | 887    |   |   |   | 602 |   |
| (Loss)/gain      on sale of property, plant and equipment |   |   | (17    | )      |   |   | 8,837  |   |   |   | (220 | ) |
| Foreign      currency (loss)/gain                         |   |   | (116   | )      |   |   | (1,089 | )      |   |   | 520 |   |
| Other                                                     |   |   | 2,961  |   |   |   | 2,762  |   |   |   | (65 | ) |
|                                                      |   | $      | 6,030  |   |   | $      | 11,397 |   |   | $ | 2,137 |   |

| (In      thousands) |   | 2007   |    |   | 2006   |   |
|---------------------|--------|--------|---------|--------|--------|--------|
| Trade               |   | $      | 156,562 |   |   | $      | 124,308 |   |
| Joint      ventures |   |   | 2,714   |   |   |   | 9,478 |   |
| Other               |   |   | 32,294  |   |   |   | 31,299 |   |
| Allowances          |   |   | (6,235  | )      |   |   | (4,912 | ) |
|                |   | $      | 185,335 |   |   | $      | 160,173 |   |

| (In      thousands)         |   | 2007   |   |   | 2006   |   |
|-----------------------------|--------|--------|--------|--------|--------|--------|
| Finished      products      |   | $      | 41,580 |   |   | $      | 30,802 |   |
| Materials      and supplies |   |   | 28,246 |   |   |   | 22,224 |   |
| Products      in process    |   |   | 27,891 |   |   |   | 24,108 |   |
|                        |   | $      | 97,717 |   |   | $      | 77,134 |   |

| (In      thousands)            |   | 2007   |   |   | 2006   |   |
|--------------------------------|--------|--------|--------|--------|--------|--------|
| Investment--equity      method |   | $      | 14,677 |   |   | $      | 14,501 |   |
| Investments--cost      method  |   |   | 3,784  |   |   |   | 3,784 |   |
|                           |   | $      | 18,461 |   |   | $      | 18,285 |   |

Table of Contents

----

|                 |   |                           |   | Ownership |
|----------------------|--------|--------------------------------|--------|-----------|
| Products             |   | Joint      Ventures            |   | Interest  |
| Fiberglass      pipe |   | Bondstrand,      Ltd.          |   | 40%       |
| Concrete      pipe   |   | Ameron      Saudi Arabia, Ltd. |   | 30%       |
| Steel      products  |   | TAMCO                          |   | 50%       |

|                                                   |   | Fiberglass |   |   | Concrete |   |   | Steel    |   |   |   |   |
|--------------------------------------------------------|--------|------------|--------|--------|----------|--------|--------|----------|--------|--------|--------|--------|
| (In      thousands)                                    |   | Pipe       |   |   | Pipe     |   |   | Products |   |   | Total  |   |
| Cost                                                   |   | $          | 3,784  |   |     | $      | -      |     |   | $      | 8,482  |   |   | $ | 12,266 |   |
| Accumulated      comprehensive loss from joint venture |   |       | -      |   |     |   | -      |     |   |   | (1,146 | )      |   |   | (1,146 | ) |
| Accumulated      equity in undistributed earnings      |   |       | -      |   |     |   | -      |     |   |   | 7,341  |   |   |   | 7,341 |   |
|                                                   |   |       |   |   |     |   |   |     |   |   |   |   |   |   |   |   |
| Investment,      November 30, 2007                     |   | $          | 3,784  |   |     | $      | -      |     |   | $      | 14,677 |   |   | $ | 18,461 |   |
|                                                   |   |       |   |   |     |   |   |     |   |   |   |   |   |   |   |   |
| 2007      Dividends                                    |   | $          | 2,451  |   |     | $      | -      |     |   | $      | 16,792 |   |   | $ | 19,243 |   |
|                                                   |   |       |   |   |     |   |   |     |   |   |   |   |   |   |   |   |
| Cost                                                   |   | $          | 3,784  |   |     | $      | -      |     |   | $      | 8,482  |   |   | $ | 12,266 |   |
| Accumulated      comprehensive loss from joint venture |   |       | -      |   |     |   | -      |     |   |   | (1,096 | )      |   |   | (1,096 | ) |
| Accumulated      equity in undistributed earnings      |   |       | -      |   |     |   | -      |     |   |   | 7,115  |   |   |   | 7,115 |   |
|                                                   |   |       |   |   |     |   |   |     |   |   |   |   |   |   |   |   |
| Investment,      November 30, 2006                     |   | $          | 3,784  |   |     | $      | -      |     |   | $      | 14,501 |   |   | $ | 18,285 |   |
|                                                   |   |       |   |   |     |   |   |     |   |   |   |   |   |   |   |   |
| 2006      Dividends                                    |   | $          | -      |   |     | $      | -      |     |   | $      | 15,004 |   |   | $ | 15,004 |   |

| (In      thousands)         |   | 2007   |    |   | 2006   |   |
|-----------------------------|--------|--------|---------|--------|--------|--------|
| Current      assets         |   | $      | 80,167  |   |   | $      | 64,766 |   |
| Noncurrent      assets      |   |   | 40,215  |   |   |   | 34,189 |   |
|                        |   | $      | 120,382 |   |   | $      | 98,955 |   |
|                        |   |   |    |   |   |   |   |   |
| Current      liabilities    |   | $      | 67,147  |   |   | $      | 46,434 |   |
| Noncurrent      liabilities |   |   | 8,140   |   |   |   | 7,780 |   |
| Stockholders'      equity   |   |   | 45,095  |   |   |   | 44,741 |   |
|                        |   | $      | 120,382 |   |   | $      | 98,955 |   |

| (In      thousands) |   | 2007   |    |   | 2006   |   |    | 2005   |   |
|---------------------|--------|--------|---------|--------|--------|--------|---------|--------|--------|
| Net      sales      |   | $      | 268,208 |   |   | $      | 273,036 |   |   | $ | 252,435 |   |
| Gross      profit   |   |   | 66,494  |   |   |   | 61,336  |   |   |   | 42,188 |   |
| Net      income     |   |   | 34,037  |   |   |   | 30,559  |   |   |   | 20,391 |   |

Table of Contents

----

| (In      thousands)                             |   | 2007   |   |   | 2006   |   |
|-------------------------------------------------|--------|--------|--------|--------|--------|--------|
| Cash      surrender value of insurance policies |   | $      | 25,294 |   |   | $      | 24,828 |   |
| Assets      held for sale                       |   |   | 3,599  |   |   |   | 14,737 |   |
| Other                                           |   |   | 5,251  |   |   |   | 5,320 |   |
|                                            |   | $      | 34,144 |   |   | $      | 44,885 |   |

| (In      thousands)                             |   | 2007   |   |   | 2006   |   |
|-------------------------------------------------|--------|--------|--------|--------|--------|--------|
| Self      insurance reserves                    |   | $      | 29,877 |   |   | $      | 30,088 |   |
| Compensation      and benefits                  |   |   | 22,843 |   |   |   | 21,331 |   |
| Deferred      Income                            |   |   | 13,759 |   |   |   | 475 |   |
| Product      warranties and guarantees          |   |   | 3,590  |   |   |   | 3,146 |   |
| Taxes      (other than income taxes)            |   |   | 3,363  |   |   |   | 1,382 |   |
| Reserves      for pending claims and litigation |   |   | 2,331  |   |   |   | 1,231 |   |
| Commissions      and royalties                  |   |   | 1,866  |   |   |   | 6,562 |   |
| Interest                                        |   |   | 172    |   |   |   | 153 |   |
| Other                                           |   |   | 6,635  |   |   |   | 4,602 |   |
|                                            |   | $      | 84,436 |   |   | $      | 68,970 |   |

| (In      thousands)                                         |   | 2007   |   |   | 2006   |   |
|-------------------------------------------------------------|--------|--------|--------|--------|--------|--------|
| Balance,      beginning of period                           |   | $      | 3,146  |   |   | $      | 4,026 |   |
| Payments                                                    |   |   | (2,594 | )      |   |   | (1,680 | ) |
| Warranty      adjustment related to discontinued operations |   |   | 130    |   |   |   | (1,675 | ) |
| Warranties      issued during the period                    |   |   | 2,908  |   |   |   | 2,475 |   |
| Balance,      end of period                                 |   | $      | 3,590  |   |   | $      | 3,146 |   |

| (In      thousands)                  |   | 2007   |   |   | 2006   |   |
|--------------------------------------|--------|--------|--------|--------|--------|--------|
| Accrued      pension cost            |   | $      | 23,345 |   |   | $      | 35,827 |   |
| Deferred      income tax liabilities |   |   | 15,740 |   |   |   | 785 |   |
| Compensation      and benefits       |   |   | 3,336  |   |   |   | 4,618 |   |
| Deferred      income                 |   |   | -      |   |   |   | 3,167 |   |
| Other                                |   |   | 1,733  |   |   |   | 103 |   |
|                                 |   | $      | 44,154 |   |   | $      | 44,500 |   |

Table of Contents

----

| (In      thousands) |   | 2007   |   |   | 2006   |   |    | 2005   |   |
|---------------------|--------|--------|--------|--------|--------|--------|---------|--------|--------|
| Current             |   |   |   |   |   |   |    |   |   |
| Federal             |   | $      | (2,678 | )      |   | $      | 14,615  |   |   | $ | 2,260 |   |
| Foreign             |   |   | 7,413  |   |   |   | 5,364   |   |   |   | 3,449 |   |
| State               |   |   | (1,392 | )      |   |   | 3,459   |   |   |   | 797 |   |
|                |   | $      | 3,343  |   |   | $      | 23,438  |   |   | $ | 6,506 |   |
|                |   |   |   |   |   |   |    |   |   |   |   |   |
| Deferred            |   |   |   |   |   |   |    |   |   |   |   |   |
| Federal             |   | $      | 10,646 |   |   | $      | (10,309 | )      |   | $ | 3,573 |   |
| Foreign             |   |   | (5,078 | )      |   |   | (386    | )      |   |   | 173 |   |
| State               |   |   | 1,448  |   |   |   | (1,838  | )      |   |   | 788 |   |
|                |   |   | 7,016  |   |   |   | (12,533 | )      |   |   | 4,534 |   |
|                |   | $      | 10,359 |   |   | $      | 10,905  |   |   | $ | 11,040 |   |

| (In      thousands)                                 |   | 2007   |    |   | 2006   |   |
|-----------------------------------------------------|--------|--------|---------|--------|--------|--------|
| Current      deferred income taxes                  |   |   |    |   |   |   |
| Self-insurance      and claims reserves             |   | $      | 10,572  |   |   | $      | 15,142 |   |
| Inventories                                         |   |   | 5,541   |   |   |   | 4,998 |   |
| Employee      benefits                              |   |   | 4,406   |   |   |   | 5,631 |   |
| Accounts      receivable                            |   |   | 1,731   |   |   |   | 1,097 |   |
| Valuation      allowances                           |   |   | (2,641  | )      |   |   | (3,708 | ) |
| Other                                               |   |   | 2,837   |   |   |   | 701 |   |
|                                                |   |   |    |   |   |   |   |   |
| Net      current deferred income tax assets         |   |   | 22,446  |   |   |   | 23,861 |   |
|                                                |   |   |    |   |   |   |   |   |
| Noncurrent      deferred income taxes               |   |   |    |   |   |   |   |   |
| Net      operating loss carry-overs                 |   |   | 12,597  |   |   |   | 17,138 |   |
| Pension      benefit costs                          |   |   | 6,134   |   |   |   | 12,854 |   |
| Employee      benefits                              |   |   | 1,661   |   |   |   | 831 |   |
| Investments                                         |   |   | (227    | )      |   |   | 3,234 |   |
| Valuation      allowances                           |   |   | (12,969 | )      |   |   | (18,193 | ) |
| Property,      plant and equipment                  |   |   | (17,277 | )      |   |   | (16,341 | ) |
| Other                                               |   |   | (1,457  | )      |   |   | (308 | ) |
|                                                |   |   |    |   |   |   |   |   |
| Net      noncurrent deferred income tax liabilities |   |   | (11,538 | )      |   |   | (785 | ) |
|                                                |   |   |    |   |   |   |   |   |
| Net      deferred income tax assets                 |   | $      | 10,908  |   |   | $      | 23,076 |   |

Table of Contents

----

| (In      thousands)                                                            |   | 2007   |   |   | 2006   |   |   | 2005   |   |
|--------------------------------------------------------------------------------|--------|--------|--------|--------|--------|--------|--------|--------|--------|
| Domestic      pretax income                                                    |   | $      | 6,721  |   |   | $      | 30,036 |   |   | $ | 19,532 |   |
| Foreign      pretax income                                                     |   |   | 49,395 |   |   |   | 17,379 |   |   |   | 12,012 |   |
|                                                                           |   | $      | 56,116 |   |   | $      | 47,415 |   |   | $ | 31,544 |   |
| Taxes      at federal statutory rate                                           |   | $      | 19,641 |   |   | $      | 16,596 |   |   | $ | 11,040 |   |
| State      taxes, net of federal tax benefit                                   |   |   | (293   | )      |   |   | 1,053  |   |   |   | 942 |   |
| Foreign      earnings taxed at different rates, including withholding    taxes |   |   | (4,782 | )      |   |   | 1,264  |   |   |   | (484 | ) |
| Percentage      depletion                                                      |   |   | (618   | )      |   |   | (558   | )      |   |   | (449 | ) |
| Non-deductible      compensation                                               |   |   | 2,612  |   |   |   | 1,702  |   |   |   | 693 |   |
| Research      and development credits                                          |   |   | (449   | )      |   |   | (28    | )      |   |   | (329 | ) |
| Section      199 deduction                                                     |   |   | (262   | )      |   |   | (490   | )      |   |   | - |   |
| Settlement      of tax examinations                                            |   |   | (1,285 | )      |   |   | (7,233 | )      |   |   | - |   |
| Repatriation      of foreign earnings under the AJCA                           |   |   | -      |   |   |   | -      |   |   |   | 1,077 |   |
| Investment      write-off                                                      |   |   | (4,723 | )      |   |   | -      |   |   |   | - |   |
| Other,      net                                                                |   |   | 518    |   |   |   | (1,401 | )      |   |   | (1,450 | ) |
|                                                                           |   | $      | 10,359 |   |   | $      | 10,905 |   |   | $ | 11,040 |   |

Table of Contents

----

| (In      thousands)                                                                       |   | 2007   |    |   | 2006   |   |
|-------------------------------------------------------------------------------------------|--------|--------|---------|--------|--------|--------|
| Fixed-rate      notes:                                                                    |   |   |    |   |   |   |
| 5.36%,      payable in annual principal installments of $10,000                           |   | $      | 20,000  |   |   | $      | 30,000 |   |
| 4.25%,      payable in Singapore Dollars, in annual principal installments of      $7,055 |   |   | 35,274  |   |   |   | 33,173 |   |
| Variable-rate      industrial development bonds:                                          |   |   |    |   |   |   |   |   |
| payable      in 2016 (3.81% at November 30, 2007)                                         |   |   | 7,200   |   |   |   | 7,200 |   |
| payable      in 2021 (3.81% at November 30, 2007)                                         |   |   | 8,500   |   |   |   | 8,500 |   |
| Variable-rate      bank revolving credit facility (13.51% at November 30,    2007)        |   |   | 3,674   |   |   |   | 3,652 |   |
|                                                                                      |   |   | 74,648  |   |   |   | 82,525 |   |
| Less      current portion                                                                 |   |   | (17,055 | )      |   |   | (10,000 | ) |
|                                                                                      |   | $      | 57,593  |   |   | $      | 72,525 |   |

|                | Year      ending  |   |   |   |
|---------------------|-------------------|--------|--------|--------|
| (In      thousands) | November      30, |   | Amount |   |
|                | 2008              |   | $      | 17,055 |   |
|                | 2009              |   |   | 17,055 |   |
|                | 2010              |   |   | 10,729 |   |
|                | 2011              |   |   | 7,055  |   |
|                | 2012              |   |   | 7,054  |   |
|                | Thereafter        |   |   | 15,700 |   |
|                |              |   | $      | 74,648 |   |

Table of Contents

----

| (In      thousands)                 |   | 2007   |   |   | 2006   |   |   | 2005   |   |
|-------------------------------------|--------|--------|--------|--------|--------|--------|--------|--------|--------|
| Interest      income                |   | $      | 5,161  |   |   | $      | 2,899  |   |   | $ | 259 |   |
| Interest      expense               |   |   | (3,234 | )      |   |   | (4,581 | )      |   |   | (5,779 | ) |
| Interest      income/(expense), net |   | $      | 1,927  |   |   | $      | (1,682 | )      |   | $ | (5,520 | ) |

|                               |   | Carrying |   |   | Fair   |   |
|------------------------------------|--------|----------|--------|--------|--------|--------|
| (In      thousands)                |   | Amount   |   |   | Value  |   |
| November      30, 2007             |   |     |   |   |   |   |
| Fixed-rate,      long-term debt    |   | $        | 55,274 |   |   | $      | 55,444 |   |
| Variable-rate,      long-term debt |   |     | 19,374 |   |   |   | 19,374 |   |
|                               |   |     |   |   |   |   |   |   |
| November      30, 2006             |   |     |   |   |   |   |   |   |
| Fixed-rate,      long-term debt    |   | $        | 63,173 |   |   | $      | 63,397 |   |
| Variable-rate,      long-term debt |   |     | 19,352 |   |   |   | 19,352 |   |

|                | Year      ending  |   |   |   |
|---------------------|-------------------|--------|--------|--------|
| (In      thousands) | November      30, |   | Amount |   |
|                | 2008              |   | $      | 4,289  |   |
|                | 2009              |   |   | 4,144  |   |
|                | 2010              |   |   | 3,521  |   |
|                | 2011              |   |   | 2,639  |   |
|                | 2012              |   |   | 1,935  |   |
|                | Thereafter        |   |   | 21,927 |   |
|                |              |   | $      | 38,455 |   |

Table of Contents

----

Table of Contents

----

| (In      thousands, except per share data)                                                            |   | 2005   |   |
|-------------------------------------------------------------------------------------------------------|--------|--------|--------|
| Reported      net income                                                                              |   | $      | 32,610 |   |
| Add:      stock-based employee compensation expense included in reported net income,      net of tax  |   |   | 1,645  |   |
| Deduct:      stock-based employee compensation expense determined under SFAS No. 123,      net of tax |   |   | (1,212 | ) |
| Pro      forma net income                                                                             |   | $      | 33,043 |   |
|                                                                                                  |   |   |   |   |
| Earnings      per share (basic)                                                                       |   |   |   |   |
| As      reported                                                                                      |   | $      | 3.88   |   |
| Pro      forma                                                                                        |   |   | 3.93   |   |
|                                                                                                  |   |   |   |   |
| Earnings      per share (diluted)                                                                     |   |   |   |   |
| As      reported                                                                                      |   |   | 3.80   |   |
| Pro      forma                                                                                        |   |   | 3.85   |   |

|                                          |   |           |    |   |                |   |   | Weighted-         |   |   |                 |   |
|-----------------------------------------------|--------|----------------|---------|--------|---------------------|--------|--------|-------------------|--------|--------|----------------------|--------|
|                                          |   |           |    |   | Weighted-           |   |   | Average           |   |   |                 |   |
|                                          |   |           |    |   | Average             |   |   | Remaining         |   |   | Aggregate            |   |
|                                          |   | Number      of |    |   | Exercise      Price |   |   | Contractual       |   |   | Intrinsic      Value |   |
| Options                                       |   | Options        |    |   | per      Share      |   |   | Term      (Years) |   |   | (in      thousands)  |   |
| Outstanding      at November 30, 2006         |   |           | 120,500 |   |                | $      | 27.25  |              |   |   |                 |   |   |   |
| Exercised                                     |   |           | (53,250 | )      |                |   | 25.33  |              |   |   |                 |   |   |   |
| Outstanding      at November 30, 2007         |   |           | 67,250  |   |                |   | 28.77  |              |   |   | 4.54                 |   |   | $ | 5,179 |   |
|                                          |   |           |    |   |                |   |   |              |   |   |                 |   |   |   |   |   |
| Options      exercisable at November 30, 2007 |   |           | 62,750  |   |                |   | 28.43  |              |   |   | 4.70                 |   |   | $ | 4,854 |   |

Table of Contents

----

|                           |   |              |   |   | Foreign     |   |   |              |   |
|--------------------------------|--------|-------------------|--------|--------|-------------|--------|--------|-------------------|--------|
|                           |   |              |   |   | Currency    |   |   |              |   |
|                           |   | November      30, |   |   | Translation |   |   | November      30, |   |
| (In      thousands)            |   | 2006              |   |   | Adjustments |   |   | 2007              |   |
| Fiberglass-Composite      Pipe |   | $                 | 1,440  |   |        | $      | -      |              |   | $ | 1,440 |   |
| Water      Transmission        |   |              | 390    |   |        |   | 2      |              |   |   | 392 |   |
| Infrastructure      Products   |   |              | 201    |   |        |   | -      |              |   |   | 201 |   |
|                           |   | $                 | 2,031  |   |        | $      | 2      |              |   | $ | 2,033 |   |

|                        |   | November      30, 2007 |   |   | November      30, 2006 |   |
|-----------------------------|--------|------------------------|--------|--------|------------------------|--------|
|                        |   | Gross      Intangible  |   |   | Accumulated            |   |   | Gross      Intangible |   |   | Accumulated |   |
| (In      thousands)         |   | Assets                 |   |   | Amortization           |   |   | Assets |   |   | Amortization |   |
| Trademarks                  |   | $                      | 113    |   |                   | $      | (101 | ) |   | $ | 100 |   |   | $ | (100 | ) |
| Non-compete      agreements |   |                   | 299    |   |                   |   | (163 | ) |   |   | 252 |   |   |   | (140 | ) |
| Patents                     |   |                   | 212    |   |                   |   | (212 | ) |   |   | 212 |   |   |   | (212 | ) |
| Leasehold      interests    |   |                   | -      |   |                   |   | - |   |   |   | 1,930 |   |   |   | (1,930 | ) |
| Other                       |   |                   | 79     |   |                   |   | (17 | ) |   |   | - |   |   |   | - |   |
|                        |   | $                      | 703    |   |                   | $      | (493 | ) |   | $ | 2,494 |   |   | $ | (2,382 | ) |

Table of Contents

----

Table of Contents

----

|                                                    |   | Before            |    |   | Effect      of    |   |   | As      Reported  |   |
|---------------------------------------------------------|--------|-------------------|---------|--------|-------------------|--------|--------|-------------------|--------|
|                                                    |   | Adoption      of  |    |   | Adopting          |   |   | Under             |   |
| (In      thousands)                                     |   | SFAS      No. 158 |    |   | SFAS      No. 158 |   |   | SFAS      No. 158 |   |
| Intangible      assets                                  |   | $                 | 1,225   |   |              | $      | (1,225 | )                 |   | $ | - |   |
| Accrued      pension liability                          |   |              | (14,705 | )      |              |   | (8,670 | )                 |   |   | (23,375 | ) |
| Deferred      income tax asset                          |   |              | 6,915   |   |              |   | 3,860  |              |   |   | 10,775 |   |
| Accumulated      other comprehensive loss, net of taxes |   |              | 10,817  |   |              |   | 6,035  |              |   |   | 16,852 |   |

|                             |   |                  |   |   |                     |   |
|----------------------------------|--------|-----------------------|--------|--------|--------------------------|--------|
|                             |   | Pension      Benefits |   |   | U.S.      Postretirement |   |
| (In      thousands)              |   | U.S.                  |   |   | Non-U.S.                 |   |   | Benefits |   |
| Net      actuarial loss          |   | $                     | 25,416 |   |                     | $      | (1,064 | ) |   | $ | 275 |   |
| Prior      service cost/(credit) |   |                  | 358    |   |                     |   | 2,140 |   |   |   | 227 |   |
| Net      transition asset        |   |                  | -      |   |                     |   | - |   |   |   | 275 |   |
| Net      amount recognized       |   | $                     | 25,774 |   |                     | $      | 1,076 |   |   | $ | 777 |   |

|                             |   |                  |   |   |                     |   |
|----------------------------------|--------|-----------------------|--------|--------|--------------------------|--------|
|                             |   | Pension      Benefits |   |   | U.S.      Postretirement |   |
| (In      thousands)              |   | U.S.                  |   |   | Non-U.S.                 |   |   | Benefits |   |
| Net      actuarial loss          |   | $                     | 931    |   |                     | $      | - |   |   | $ | - |   |
| Prior      service cost/(credit) |   |                  | 111    |   |                     |   | (304 | ) |   |   | - |   |
| Net      amount recognized       |   | $                     | 1,042  |   |                     | $      | (304 | ) |   | $ | - |   |

Table of Contents

----

|                                                |   | U.S.      Pension Benefits |    |   | Non-U.S.      Pension Benefits |   |
|-----------------------------------------------------|--------|----------------------------|---------|--------|--------------------------------|--------|
| (In      thousands)                                 |   |                       |    |   |                           |   |   |   |   |   |   |   |
|                                                |   | 2007                       |    |   | 2006                           |   |   | 2007 |   |   | 2006 |   |
| Change      in Benefit Obligation                   |   |                       |    |   |                           |   |   |   |   |   |   |   |
| Projected      benefit obligation-beginning of year |   | $                          | 192,504 |   |                           | $      | 184,747 |   |   | $ | 49,066 |   |   | $ | 51,546 |   |
| Service      cost                                   |   |                       | 2,928   |   |                           |   | 3,255 |   |   |   | 529 |   |   |   | 1,101 |   |
| Interest      cost                                  |   |                       | 11,178  |   |                           |   | 10,198 |   |   |   | 2,260 |   |   |   | 1,870 |   |
| Participant      contributions                      |   |                       | -       |   |                           |   | - |   |   |   | 163 |   |   |   | 295 |   |
| Amendments                                          |   |                       | -       |   |                           |   | 208 |   |   |   | - |   |   |   | (333 | ) |
| Curtailment                                         |   |                       | -       |   |                           |   | (1,997 | ) |   |   | - |   |   |   | (4,156 | ) |
| Settlement                                          |   |                       | -       |   |                           |   | - |   |   |   | - |   |   |   | (757 | ) |
| Special      termination benefit                    |   |                       | -       |   |                           |   | 268 |   |   |   | - |   |   |   | - |   |
| Actuarial      (gain)/loss                          |   |                       | (2,829  | )      |                           |   | 6,742 |   |   |   | (9,227 | ) |   |   | (5,449 | ) |
| Foreign      currency exchange rate changes         |   |                       | -       |   |                           |   | - |   |   |   | 4,333 |   |   |   | 5,666 |   |
| Benefit      payments                               |   |                       | (11,371 | )      |                           |   | (10,917 | ) |   |   | (1,216 | ) |   |   | (717 | ) |
| Projected      benefit obligation-end of year       |   | $                          | 192,410 |   |                           | $      | 192,504 |   |   | $ | 45,908 |   |   | $ | 49,066 |   |
| Accumulated      Benefit Obligation                 |   | $                          | 184,724 |   |                           | $      | 185,453 |   |   | $ | 45,370 |   |   | $ | 48,489 |   |
| Change      in Plan Assets                          |   |                       |    |   |                           |   |   |   |   |   |   |   |   |   |   |   |
| Plan      assets at fair value-beginning of year    |   | $                          | 166,138 |   |                           | $      | 134,758 |   |   | $ | 31,973 |   |   | $ | 31,718 |   |
| Actual      return on plan assets                   |   |                       | 26,142  |   |                           |   | 20,667 |   |   |   | (324 | ) |   |   | (618 | ) |
| Foreign      currency exchange rate changes         |   |                       | -       |   |                           |   | - |   |   |   | 3,049 |   |   |   | 3,534 |   |
| Employer      contributions                         |   |                       | 3,031   |   |                           |   | 21,630 |   |   |   | 665 |   |   |   | 887 |   |
| Participant      contributions                      |   |                       | -       |   |                           |   | - |   |   |   | 163 |   |   |   | 295 |   |
| Settlement                                          |   |                       | -       |   |                           |   | - |   |   |   | - |   |   |   | (3,126 | ) |
| Benefit      payments                               |   |                       | (11,371 | )      |                           |   | (10,917 | ) |   |   | (1,216 | ) |   |   | (717 | ) |
| Plan      assets at fair value-end of year          |   | $                          | 183,940 |   |                           | $      | 166,138 |   |   | $ | 34,310 |   |   | $ | 31,973 |   |
| Funded      Status                                  |   |                       |    |   |                           |   |   |   |   |   |   |   |   |   |   |   |
| Funded      status                                  |   | $                          | (8,470  | )      |                           | $      | (26,366 | ) |   | $ | (11,598 | ) |   | $ | (17,093 | ) |
| Unrecognized      actuarial loss                    |   |                       |    |   |                           |   | 44,118 |   |   |   |   |   |   |   | 6,222 |   |
| Unrecognized      prior service cost                |   |                       |    |   |                           |   | 471 |   |   |   |   |   |   |   | 2,206 |   |
| Net      amount recognized                          |   |                       |    |   |                           | $      | 18,223 |   |   |   |   |   |   | $ | (8,665 | ) |
| Balance      Sheet Amounts                          |   |                       |    |   |                           |   |   |   |   |   |   |   |   |   |   |   |
| Before      Adoption of SFAS No. 158                |   |                       |    |   |                           |   |   |   |   |   |   |   |   |   |   |   |
| Accrued      cost                                   |   | $                          | (787    | )      |                           | $      | (19,315 | ) |   | $ | (11,557 | ) |   | $ | (16,516 | ) |
| Intangible      asset                               |   |                       | 358     |   |                           |   | 472 |   |   |   | 1,034 |   |   |   | 2,206 |   |
| Accumulated      other comprehensive loss, pretax   |   |                       | 17,732  |   |                           |   | 37,066 |   |   |   | - |   |   |   | 5,645 |   |
| Net      amount recognized                          |   | $                          | 17,303  |   |                           | $      | 18,223 |   |   | $ | (10,523 | ) |   | $ | (8,665 | ) |
| After      Adoption of SFAS No. 158                 |   |                       |    |   |                           |   |   |   |   |   |   |   |   |   |   |   |
| Noncurrent      assets                              |   | $                          | -       |   |                           |   |   |   |   | $ | 167 |   |   |   |   |   |
| Current      liabilities                            |   |                       | (30     | )      |                           |   |   |   |   |   | - |   |   |   |   |   |
| Noncurrent      liabilities                         |   |                       | (8,440  | )      |                           |   |   |   |   |   | (11,765 | ) |   |   |   |   |
| Net      amount recognized                          |   | $                          | (8,470  | )      |                           |   |   |   |   | $ | (11,598 | ) |   |   |   |   |

Table of Contents

----

|                | Year      Ending  |   | U.S.      Pension |   |   | Non-U.S.      Pension |   |
|---------------------|-------------------|--------|-------------------|--------|--------|-----------------------|--------|
| (In      thousands) | November      30, |   | Benefits          |   |   | Benefits              |   |
|                | 2008              |   | $                 | 11,553 |   |                  | $      | 1,454 |   |
|                | 2009              |   |              | 11,969 |   |                  |   | 1,605 |   |
|                | 2010              |   |              | 12,410 |   |                  |   | 1,830 |   |
|                | 2011              |   |              | 12,962 |   |                  |   | 1,867 |   |
|                | 2012              |   |              | 13,334 |   |                  |   | 1,935 |   |
|                | 2013-2017         |   |              | 71,339 |   |                  |   | 12,013 |   |

|                                                        |   | U.S.      Pension Benefits |    |   | Non-U.S.      Pension Benefits |   |
|-------------------------------------------------------------|--------|----------------------------|---------|--------|--------------------------------|--------|
| (In      thousands)                                         |   | 2007                       |    |   | 2006                           |   |   | 2005 |   |   | 2007 |   |   | 2006 |   |   | 2005 |   |
| Service      cost                                           |   | $                          | 2,928   |   |                           | $      | 3,255 |   |   | $ | 3,122 |   |   | $ | 529 |   |   | $ | 1,101 |   |   | $ | 1,334 |   |
| Interest      cost                                          |   |                       | 11,178  |   |                           |   | 10,198 |   |   |   | 10,082 |   |   |   | 2,260 |   |   |   | 1,870 |   |   |   | 1,850 |   |
| Expected      return on plan assets                         |   |                       | (14,172 | )      |                           |   | (12,210 | ) |   |   | (11,203 | ) |   |   | (1,680 | ) |   |   | (1,433 | ) |   |   | (1,382 | ) |
| Amortization      of unrecognized prior service cost        |   |                       | 113     |   |                           |   | 104 |   |   |   | 106 |   |   |   | 281 |   |   |   | 488 |   |   |   | 656 |   |
| Curtailment                                                 |   |                       | -       |   |                           |   | 325 |   |   |   | - |   |   |   | - |   |   |   | 2,911 |   |   |   | - |   |
| Amortization      of unrecognized net transition obligation |   |                       | -       |   |                           |   | - |   |   |   | - |   |   |   | 151 |   |   |   | 317 |   |   |   | 76 |   |
| Amortization      of accumulated loss                       |   |                       | 3,904   |   |                           |   | 4,434 |   |   |   | 4,954 |   |   |   | - |   |   |   | - |   |   |   | - |   |
| Other,      net                                             |   |                       | -       |   |                           |   | - |   |   |   | - |   |   |   | - |   |   |   | 610 |   |   |   | - |   |
| Net      periodic cost                                      |   | $                          | 3,951   |   |                           | $      | 6,106 |   |   | $ | 7,061 |   |   | $ | 1,541 |   |   | $ | 5,864 |   |   | $ | 2,534 |   |

|                                         |   | U.S.      Pension Benefits |   |   | Non-U.S.      Pension Benefits |   |
|----------------------------------------------|--------|----------------------------|--------|--------|--------------------------------|--------|
|                                         |   | 2007                       |   |   | 2006                           |   |   | 2005 |   |   | 2007 |   |   | 2006 |   |   | 2005 |   |
| Weighted-average      discount rate          |   |                       | 6.15   | %      |                           |   | 5.95 | % |   |   | 5.60 | % |   |   | 5.60 | % |   |   | 4.50 | % |   |   | 4.00 | % |
| Rate      of increase in compensation levels |   |                       | 3.65   | %      |                           |   | 3.45 | % |   |   | 3.10 | % |   |   | 2.00 | % |   |   | 2.00 | % |   |   | 2.00 | % |

|                                                  |   | U.S.      Pension Benefits |   |   | Non-U.S.      Pension Benefits |   |
|-------------------------------------------------------|--------|----------------------------|--------|--------|--------------------------------|--------|
|                                                  |   | 2007                       |   |   | 2006                           |   |   | 2005 |   |   | 2007 |   |   | 2006 |   |   | 2005 |   |
| Weighted-average      discount rate                   |   |                       | 5.95   | %      |                           |   | 5.60 | % |   |   | 5.85 | % |   |   | 4.50 | % |   |   | 4.00 | % |   |   | 4.75 | % |
| Expected      long-term rate of return on plan assets |   |                       | 8.75   | %      |                           |   | 8.75 | % |   |   | 8.75 | % |   |   | 5.00 | % |   |   | 5.20 | % |   |   | 5.40 | % |
| Rate      of increase in compensation levels          |   |                       | 3.45   | %      |                           |   | 3.10 | % |   |   | 3.35 | % |   |   | 2.00 | % |   |   | 2.00 | % |   |   | 2.00 | % |

|                               |   | Target |   |   | 2007   |   |   | 2006 |   |
|------------------------------------|--------|--------|--------|--------|--------|--------|--------|------|--------|
|  Domestic      equities       |   |   | 65     | %      |   |   | 71     | %    |   |   | 70 | % |
|  International      equities  |   |   | 10     | %      |   |   | 11     | %    |   |   | 10 | % |
|  Fixed-income      securities |   |   | 25     | %      |   |   | 18     | %    |   |   | 20 | % |
| Total                         |   |   | 100    | %      |   |   | 100    | %    |   |   | 100 | % |

Table of Contents

----

|                                                |   | U.S.      Postretirement Benefits |   |
|-----------------------------------------------------|--------|-----------------------------------|--------|
| (In      thousands)                            |   | 2007                              |   |   | 2006 |   |
| Change      in Benefit Obligation                   |   |                              |   |   |   |   |
| Projected      benefit obligation-beginning of year |   | $                                 | 3,492  |   |   | $ | 3,315 |   |
| Service      cost                                   |   |                              | 88     |   |   |   | 78 |   |
| Interest      cost                                  |   |                              | 202    |   |   |   | 179 |   |
| Actuarial      gain                                 |   |                              | (149   | ) |   |   | (167 | ) |
| Amendments                                          |   |                              | -      |   |   |   | 324 |   |
| Benefit      payments                               |   |                              | (129   | ) |   |   | (237 | ) |
| Projected      benefit obligation-end of year       |   | $                                 | 3,504  |   |   | $ | 3,492 |   |
| Change      in Plan Assets                          |   |                              |   |   |   |   |   |   |
| Plan      assets at fair value-beginning of year    |   | $                                 | 396    |   |   | $ | 324 |   |
| Actual      return on plan assets                   |   |                              | 1      |   |   |   | 106 |   |
| Benefit      payments                               |   |                              | (32    | ) |   |   | (34 | ) |
| Plan      assets at fair value-end of year          |   | $                                 | 365    |   |   | $ | 396 |   |
| Funded      Status                                  |   |                              |   |   |   |   |   |   |
| Funded      status                                  |   | $                                 | (3,139 | ) |   | $ | (3,096 | ) |
| Unrecognized      actuarial loss                    |   |                              |   |   |   |   | 405 |   |
| Unrecognized      transition obligation             |   |                              |   |   |   |   | 321 |   |
| Unrecognized      prior service cost                |   |                              |   |   |   |   | 246 |   |
| Net      amount recognized                          |   |                              |   |   |   | $ | (2,124 | ) |
| Balance      Sheet Amounts                          |   |                              |   |   |   |   |   |   |
| Before      Adoption of SFAS No. 158                |   |                              |   |   |   |   |   |   |
| Accrued      benefit liability                      |   | $                                 | (2,362 | ) |   | $ | (2,124 | ) |
| Net      amount recognized                          |   | $                                 | (2,362 | ) |   | $ | (2,124 | ) |
| After      Adoption of SFAS No. 158                 |   |                              |   |   |   |   |   |   |
| Noncurrent      liabilities                         |   | $                                 | (3,139 | ) |   |   |   |   |
| Net      amount recognized                          |   | $                                 | (3,139 | ) |   |   |   |   |

|                |              |   | U.S.      Post- |   |
|---------------------|-------------------|--------|-----------------|--------|
|                | Year      Ending  |   | Retirement      |   |
| (In      thousands) | November      30, |   | Benefits        |   |
|                | 2008              |   | $               | 222    |   |
|                | 2009              |   |            | 225    |   |
|                | 2010              |   |            | 226    |   |
|                | 2011              |   |            | 216    |   |
|                | 2012              |   |            | 229    |   |
|                | 2013      - 2017  |   |            | 1,425  |   |

Table of Contents

----

|                                  |   | U.S.      Postretirement Benefits |   |
|---------------------------------------|--------|-----------------------------------|--------|
| (In      thousands)              |   | 2007                              |   |   | 2006 |   |   | 2005 |   |
| Service      cost                     |   | $                                 | 88     |   |   | $ | 78 |   |   | $ | 118 |   |
| Interest      cost                    |   |                              | 202    |   |   |   | 179 |   |   |   | 204 |   |
| Expected      return on plan assets   |   |                              | (35    | ) |   |   | (27 | ) |   |   | (31 | ) |
| Amortization      of unrecognized     |   |                              |   |   |   |   |   |   |   |   |   |   |
| prior      service cost/(gain)        |   |                              | 19     |   |   |   | (14 | ) |   |   | (14 | ) |
| Amortization      of unrecognized     |   |                              |   |   |   |   |   |   |   |   |   |   |
| net      transition obligation        |   |                              | 46     |   |   |   | 46 |   |   |   | 71 |   |
| Amortization      of accumulated loss |   |                              | 15     |   |   |   | 41 |   |   |   | 59 |   |
| Net      periodic cost                |   | $                                 | 335    |   |   | $ | 303 |   |   | $ | 407 |   |

|                                         |   | U.S.      Postretirement Benefits |   |
|----------------------------------------------|--------|-----------------------------------|--------|
|                                         |   | 2007                              |   |   | 2006 |   |   | 2005 |   |
| Weighted-average      discount rate          |   |                              | 6.15   | % |   |   | 5.95 | % |   |   | 5.60 | % |
| Rate      of increase in compensation levels |   |                              | 3.65   | % |   |   | 3.45 | % |   |   | 3.10 | % |

|                                         |   | U.S.      Postretirement Benefits |   |
|----------------------------------------------|--------|-----------------------------------|--------|
|                                         |   | 2007                              |   |   | 2006 |   |   | 2005 |   |
| Weighted-average      discount rate          |   |                              | 5.95   | % |   |   | 5.60 | % |   |   | 5.85 | % |
| Rate      of increase in compensation levels |   |                              | 3.45   | % |   |   | 3.10 | % |   |   | 3.35 | % |

|                                                                                      |   |     | 1      | %      |     |   | 1    | % |
|-------------------------------------------------------------------------------------------|--------|----------|--------|--------|----------|--------|------|---|
| (In      thousands)                                                                       |   | Increase |   |   | Decrease |   |
| Effect      on total of service and interest cost components of net periodic      expense |   | $        | 21     |   |     | $      | (19  | ) |
| Effect      on postretirement benefit obligation                                          |   |     | 182    |   |     |   | (154 | ) |

Table of Contents

----

Table of Contents

----

|                                                                          |   | SEGMENT      INFORMATION |    |
|-------------------------------------------------------------------------------|--------|--------------------------|---------|
|                                                                          |   | Fiberglass-              |    |   | Water |   |   | Infrastructure |   |   |   |   |   | Discontinued |   |   |   |   |   |   |   |
| (In      thousands)                                                           |   | Composite      Pipe      |    |   | Transmission |   |   | Products |   |   | Other |   |   | Operations |   |   | Eliminations |   |   | Total |   |
| 2007                                                                          |   |                     |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Sales                                                                         |   | $                        | 237,850 |   |   | $ | 190,261 |   |   | $ | 205,711 |   |   | $ | - |   |   | $ | - |   |   | $ | (2,812 | ) |   | $ | 631,010 |   |
| Income      from continuing operations                                        |   |                     |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| before      interest, income taxes and equity in earnings of joint    venture |   |                     | 62,347  |   |   |   | (6,026 | ) |   |   | 35,929 |   |   |   | (38,061 | ) |   |   | - |   |   |   | - |   |   |   | 54,189 |   |
| Equity      in earnings of joint venture, net of taxes                        |   |                     | -       |   |   |   | - |   |   |   | - |   |   |   | 15,383 |   |   |   | - |   |   |   | - |   |   |   | 15,383 |   |
| Income      from joint ventures - cost method                                 |   |                     | 2,451   |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | 2,451 |   |
| Investments      in joint ventures                                            |   |                     |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|         Equity method                                               |   |                     | -       |   |   |   | - |   |   |   | - |   |   |   | 14,677 |   |   |   | - |   |   |   | - |   |   |   | 14,677 |   |
|         Cost method                                                 |   |                     | 3,784   |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | 3,784 |   |
| Long-lived      assets                                                        |   |                     | 42,270  |   |   |   | 77,429 |   |   |   | 53,747 |   |   |   | 34,536 |   |   |   | (107 | ) |   |   | - |   |   |   | 207,875 |   |
| Total      assets                                                             |   |                     | 260,567 |   |   |   | 218,247 |   |   |   | 103,993 |   |   |   | 226,239 |   |   |   | 144 |   |   |   | (103,378 | ) |   |   | 705,812 |   |
| Capital      expenditures                                                     |   |                     | 6,810   |   |   |   | 31,219 |   |   |   | 8,675 |   |   |   | 993 |   |   |   | - |   |   |   | - |   |   |   | 47,697 |   |
| Depreciation      and amortization                                            |   |                     | 5,294   |   |   |   | 4,911 |   |   |   | 5,891 |   |   |   | 938 |   |   |   | - |   |   |   | - |   |   |   | 17,034 |   |
| 2006                                                                          |   |                     |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Sales                                                                         |   | $                        | 176,721 |   |   | $ | 174,986 |   |   | $ | 198,177 |   |   | $ | - |   |   | $ | - |   |   | $ | (704 | ) |   | $ | 549,180 |   |
| Income      from continuing operations                                        |   |                     |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| before      interest, income taxes and equity in earnings of joint    venture |   |                     | 37,804  |   |   |   | 7,577 |   |   |   | 30,607 |   |   |   | (26,891 | ) |   |   | - |   |   |   | - |   |   |   | 49,097 |   |
| Equity      in earnings of joint venture, net of taxes                        |   |                     | -       |   |   |   | - |   |   |   | - |   |   |   | 13,550 |   |   |   | - |   |   |   | - |   |   |   | 13,550 |   |
| Income      from joint ventures - cost method                                 |   |                     | -       |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |
| Investments      in joint ventures                                            |   |                     |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|         Equity method                                               |   |                     | -       |   |   |   | - |   |   |   | - |   |   |   | 14,501 |   |   |   | - |   |   |   | - |   |   |   | 14,      501 |   |
|         Cost method                                                 |   |                     | 3,784   |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | 3,784 |   |
| Long-lived      assets                                                        |   |                     | 31,957  |   |   |   | 51,041 |   |   |   | 48,796 |   |   |   | 47,561 |   |   |   | - |   |   |   | - |   |   |   | 179,355 |   |
| Total      assets                                                             |   |                     | 206,326 |   |   |   | 167,463 |   |   |   | 97,249 |   |   |   | 252,710 |   |   |   | - |   |   |   | (107,397 | ) |   |   | 616,351 |   |
| Capital      expenditures                                                     |   |                     | 4,558   |   |   |   | 16,502 |   |   |   | 10,659 |   |   |   | (236 | ) |   |   | 4,036 |   |   |   | - |   |   |   | 35,519 |   |
| Depreciation      and amortization                                            |   |                     | 4,685   |   |   |   | 4,000 |   |   |   | 4,509 |   |   |   | 609 |   |   |   | 3,637 |   |   |   | - |   |   |   | 17,440 |   |
| 2005                                                                          |   |                     |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Sales                                                                         |   | $                        | 134,071 |   |   | $ | 192,731 |   |   | $ | 168,990 |   |   | $ | - |   |   | $ | - |   |   | $ | (1,025 | ) |   | $ | 494,767 |   |
| Income      from continuing operations                                        |   |                     |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| before      interest, income taxes and equity in earnings of joint    venture |   |                     | 24,482  |   |   |   | 25,845 |   |   |   | 22,127 |   |   |   | (35,390 | ) |   |   | - |   |   |   | - |   |   |   | 37,064 |   |
| Equity      in earnings of joint venture, net of taxes                        |   |                     | -       |   |   |   | - |   |   |   | - |   |   |   | 9,005 |   |   |   | - |   |   |   | - |   |   |   | 9,005 |   |
| Income      from joint ventures - cost method                                 |   |                     | 1,300   |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | 1,300 |   |
| Investments      in joint ventures                                            |   |                     |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|         Equity method                                               |   |                     | -       |   |   |   | - |   |   |   | - |   |   |   | 13,777 |   |   |   | - |   |   |   | - |   |   |   | 13,777 |   |
|         Cost method                                                 |   |                     | 3,784   |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | 2,138 |   |   |   | - |   |   |   | 5,922 |   |
| Long-lived      assets                                                        |   |                     | 30,199  |   |   |   | 38,520 |   |   |   | 43,553 |   |   |   | 39,048 |   |   |   | 40,685 |   |   |   | - |   |   |   | 192,005 |   |
| Total      assets                                                             |   |                     | 176,713 |   |   |   | 132,803 |   |   |   | 83,053 |   |   |   | 162,979 |   |   |   | 170,784 |   |   |   | (148,296 | ) |   |   | 578,036 |   |
| Capital      expenditures                                                     |   |                     | 8,919   |   |   |   | 5,567 |   |   |   | 4,607 |   |   |   | 1,170 |   |   |   | 5,108 |   |   |   | - |   |   |   | 25,371 |   |
| Depreciation      and amortization                                            |   |                     | 4,070   |   |   |   | 3,910 |   |   |   | 4,444 |   |   |   | 710 |   |   |   | 5,790 |   |   |   | - |   |   |   | 18,924 |   |

Table of Contents

----

|                             |   | GEOGRAPHIC      AREAS |    |
|----------------------------------|--------|-----------------------|---------|
|                             |   | United                |    |   |   |   |   |   |   |   |   |   |   | Discontinued |   |   |   |   |   |   |   |
| (In      thousands)              |   | States                |    |   | Europe |   |   | Asia |   |   | Other |   |   | Operations |   |   | Eliminations |   |   | Total |   |
| 2007                             |   |                  |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Sales      to external customers |   | $                     | 453,705 |   |   | $ | 47,844 |   |   | $ | 112,306 |   |   | $ | 19,967 |   |   | $ | - |   |   | $ | (2,812 | ) |   | $ | 631,010 |   |
| Long-lived      assets           |   |                  | 165,144 |   |   |   | 10,110 |   |   |   | 24,115 |   |   |   | 8,506 |   |   |   | - |   |   |   | - |   |   |   | 207,875 |   |
| Total      assets                |   |                  | 452,697 |   |   |   | 53,718 |   |   |   | 246,742 |   |   |   | 56,033 |   |   |   | - |   |   |   | (103,378 | ) |   |   | 705,812 |   |
| 2006                             |   |                  |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Sales      to external customers |   | $                     | 432,670 |   |   | $ | 26,545 |   |   | $ | 80,726 |   |   | $ | 9,239 |   |   | $ | - |   |   | $ | - |   |   | $ | 549,180 |   |
| Long-lived      assets           |   |                  | 154,882 |   |   |   | 15,229 |   |   |   | 20,866 |   |   |   | (11,622 | ) |   |   | - |   |   |   | - |   |   |   | 179,355 |   |
| Total      assets                |   |                  | 538,254 |   |   |   | 50,785 |   |   |   | 139,514 |   |   |   | (4,805 | ) |   |   | - |   |   |   | (107,397 | ) |   |   | 616,351 |   |
| 2005                             |   |                  |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Sales      to external customers |   | $                     | 406,939 |   |   | $ | 20,157 |   |   | $ | 62,155 |   |   | $ | 5,516 |   |   | $ | - |   |   | $ | - |   |   | $ | 494,767 |   |
| Long-lived      assets           |   |                  | 125,310 |   |   |   | 6,046 |   |   |   | 19,202 |   |   |   | 762 |   |   |   | 40,685 |   |   |   | - |   |   |   | 192,005 |   |
| Total      assets                |   |                  | 419,103 |   |   |   | 20,907 |   |   |   | 110,602 |   |   |   | 4,936 |   |   |   | 170,784 |   |   |   | (148,296 | ) |   |   | 578,036 |   |

|                                                   |   | First   |    |   | Second  |   |    | Third   |   |   | Fourth  |   |
|--------------------------------------------------------|--------|---------|---------|--------|---------|--------|---------|---------|--------|--------|---------|--------|
| (In      thousands except per share data)              |   | Quarter |    |   | Quarter |   |    | Quarter |   |   | Quarter |   |
| 2007                                                   |   |    |    |   |    |   |    |    |   |   |    |   |
| Sales                                                  |   | $       | 120,355 |   |    | $      | 156,756 |    |   | $      | 165,048 |   |   | $ | 188,851 |   |
| Gross      profit                                      |   |    | 25,320  |   |    |   | 40,762  |    |   |   | 37,001  |   |   |   | 42,946 |   |
| Income      from continuing operations                 |   |    | 8,312   |   |    |   | 14,813  |    |   |   | 20,659  |   |   |   | 17,356 |   |
| Income      from discontinued operations, net of taxes |   |    | 156     |   |    |   | 990     |    |   |   | 463     |   |   |   | 4,490 |   |
| Net      income                                        |   |    | 8,468   |   |    |   | 15,803  |    |   |   | 21,122  |   |   |   | 21,846 |   |
| Diluted      net income per share:                     |   |    |    |   |    |   |    |    |   |   |    |   |   |   |   |   |
| Income      from continuing operations                 |   |    | .92     |   |    |   | 1.63    |    |   |   | 2.27    |   |   |   | 1.90 |   |
| Income      from discontinued operations, net of taxes |   |    | .02     |   |    |   | .11     |    |   |   | .05     |   |   |   | .49 |   |
| Net      income                                        |   |    | .94     |   |    |   | 1.74    |    |   |   | 2.32    |   |   |   | 2.39 |   |
| Stock      price per share-high                        |   |    | 84.25   |   |    |   | 81.28   |    |   |   | 109.60  |   |   |   | 109.16 |   |
| Stock      price per share-low                         |   |    | 71.57   |   |    |   | 64.35   |    |   |   | 76.02   |   |   |   | 85.10 |   |
| Dividends      per share                               |   |    | .20     |   |    |   | .20     |    |   |   | .25     |   |   |   | .25 |   |
|                                                   |   |    |    |   |    |   |    |    |   |   |    |   |   |   |   |   |
| 2006                                                   |   |    |    |   |    |   |    |    |   |   |    |   |   |   |   |   |
| Sales                                                  |   | $       | 125,972 |   |    | $      | 132,657 |    |   | $      | 139,941 |   |   | $ | 150,610 |   |
| Gross      profit                                      |   |    | 28,582  |   |    |   | 34,771  |    |   |   | 36,082  |   |   |   | 32,954 |   |
| Income      from continuing operations                 |   |    | 3,962   |   |    |   | 16,998  |    |   |   | 16,982  |   |   |   | 12,118 |   |
| Income      from discontinued operations, net of taxes |   |    | (351    | )      |    |   | 1,704   |    |   |   | 997     |   |   |   | (210 | ) |
| Net      income                                        |   |    | 3,611   |   |    |   | 18,702  |    |   |   | 17,979  |   |   |   | 11,908 |   |
| Diluted      net income/(loss) per share:              |   |    |    |   |    |   |    |    |   |   |    |   |   |   |   |   |
| Income      from continuing operations                 |   |    | .45     |   |    |   | 1.92    |    |   |   | 1.91    |   |   |   | 1.35 |   |
| Income      from discontinued operations, net of taxes |   |    | (.04    | )      |    |   | .19     |    |   |   | .11     |   |   |   | (.02 | ) |
| Net      income                                        |   |    | .41     |   |    |   | 2.11    |    |   |   | 2.02    |   |   |   | 1.33 |   |
| Stock      price per share-high                        |   |    | 61.81   |   |    |   | 76.04   |    |   |   | 70.70   |   |   |   | 80.01 |   |
| Stock      price per share-low                         |   |    | 44.66   |   |    |   | 54.54   |    |   |   | 50.63   |   |   |   | 64.03 |   |
| Dividends      per share                               |   |    | .20     |   |    |   | .20     |    |   |   | .20     |   |   |   | .20 |   |

Table of Contents

----

Table of Contents

----

ITEM 

ITEM 

ITEM 

PART 

ITEM 

Table of Contents

----

ITEM 

ITEM 

ITEM 

ITEM 

Table of Contents

----

PART 

ITEM 

| Consolidated      Statements of Income for the years ended November 30, 2007, 2006 and      2005.               |
|-----------------------------------------------------------------------------------------------------------------|
| Consolidated      Balance Sheets as of November 30, 2007 and 2006.                                              |
| Consolidated      Statements of Stockholders' Equity for the years ended November 30, 2007,      2006 and 2005. |
| Consolidated      Statements of Comprehensive Income for the years ended November 30, 2007,      2006 and 2005. |
| Consolidated      Statements of Cash Flows for the years ended November 30, 2007, 2006 and      2005.           |
| Notes      to Consolidated Financial Statements                                                                 |
| Report      of Independent Registered Public AccountingFirm                                                     |

| SCHEDULE | SCHEDULES OF AMERON                                |
|----------|----------------------------------------------------|
| II       | Valuation      and Qualifying Accounts andReserves |

| EXHIBIT | EXHIBITS OF AMERON                                                                                                                                                                                   |
|---------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| 3(i)    | Certificate      of Incorporation (1)                                                                                                                                                                |
| 3(ii)   | Bylaws      (2)                                                                                                                                                                                      |
| 4       | Instruments      Defining the Rights of Security Holders, Including    Indentures                                                                                                                    |
| 10      | Material      Contracts                                                                                                                                                                              |
| 21      | Subsidiaries      of the Registrant                                                                                                                                                                  |
| 23.1    | Consent      of PricewaterhouseCoopers LLP                                                                                                                                                           |
| 23.2    | Consent      of PricewaterhouseCoopers LLP regarding TAMCO                                                                                                                                           |
| 31.1    | Section 302      Certification of Chief Executive Officer                                                                                                                                       |
| 31.2    | Section 302      Certification of Chief Financial Officer                                                                                                                                       |
| 32      | Section 906      Certification of Chief Executive Officer and Chief Financial      Officer                                                                                                      |
| 99.1    | TAMCO      Financial Statements as of November 30, 2007, and for each of the three      years in the period ended November 30, 2007 and Report of Independent      Registered Public Accounting Firm |

Table of Contents

----

Table of Contents

----

|                                 |   |            |   | Additions       |   | Deductions, |   |              |   |           |
|--------------------------------------|--------|-----------------|--------|-----------------|--------|-------------|--------|-------------------|--------|----------------|
|                                 |   | Balance      at |   | Charged      to |   | Payments    |   |              |   | Balance        |
|                                 |   | Beginning       |   | Costs      and  |   | And         |   | Reclassifications |   | at      End of |
| Classification                       |   | of      Year    |   | Expenses        |   | Write-offs  |   | and      Other    |   | Year           |
| DEDUCTED FROM ASSETACCOUNTS          |   |            |   |            |   |        |   |              |   |           |
|                                 |   |            |   |            |   |        |   |              |   |           |
| Allowance      for doubtful accounts |   | $4,912          |   | $3,248          |   | $(2,212)    |   | $287              | *      | $6,235         |

|                                 |   |            |   | Additions       |   | Deductions, |   |              |   |           |
|--------------------------------------|--------|-----------------|--------|-----------------|--------|-------------|--------|-------------------|--------|----------------|
|                                 |   | Balance      at |   | Charged      to |   | Payments    |   |              |   | Balance        |
|                                 |   | Beginning       |   | Costs      and  |   | And         |   | Reclassifications |   | at      End of |
| Classification                       |   | of      Year    |   | Expenses        |   | Write-offs  |   | and      Other    |   | Year           |
| DEDUCTED FROM ASSETACCOUNTS          |   |            |   |            |   |        |   |              |   |           |
|                                 |   |            |   |            |   |        |   |              |   |           |
| Allowance      for doubtful accounts |   | $7,693          |   | $1,351          |   | $(1,339)    |   | $(2,793)          | **     | $4,912         |

|                                 |   |            |   | Additions       |   | Deductions, |   |              |   |           |
|--------------------------------------|--------|-----------------|--------|-----------------|--------|-------------|--------|-------------------|--------|----------------|
|                                 |   | Balance      at |   | Charged      to |   | Payments    |   |              |   | Balance        |
|                                 |   | Beginning       |   | Costs      and  |   | And         |   | Reclassifications |   | at      End of |
| Classification                       |   | of      Year    |   | Expenses        |   | Write-offs  |   | and      Other    |   | Year           |
| DEDUCTED FROM ASSETACCOUNTS          |   |            |   |            |   |        |   |              |   |           |
|                                 |   |            |   |            |   |        |   |              |   |           |
| Allowance      for doubtful accounts |   | $7,984          |   | $2,502          |   | $(2,362)    |   | $(431)            | *      | $7,693         |

Table of Contents

----

| By:    |    /s/      Javier Solis                    |   |
|--------|------------------------------------------------------------|--------|
|   | Javier      Solis, Executive Vice President &Secretary |

|              |                         |   |                                                                |
|-------------------|------------------------------|--------|---------------------------------------------------------------------|
| Date:      2-8-08 | /s/      James S. Marlen     |   | Director,      Chairman of the Board,                               |
|              | James      S. Marlen         |   | and      Chief Executive Officer                                    |
|              |                         |   |  (Principal      Executive Officer)                            |
|              |                         |   |                                                                |
| Date:      2-8-08 | /s/      James R. McLaughlin |   | Senior      Vice President, Chief Financial Officer & Treasurer |
|              | James      R. McLaughlin     |   | (Principal      Financial & Accounting Officer)                 |
|              |                         |   |                                                                |
| Date:      2-8-08 | /s/      Daniel J. Emmett    |   | Vice      President, Controller                                     |
|              | Daniel      J. Emmett        |   |                                                                |
|              |                         |   |                                                                |
| Date:      2-8-08 | /s/David      Davenport      |   | Director                                                            |
|              | David      Davenport         |   |                                                                |
|              |                         |   |                                                                |
| Date:      2-8-08 | /s/J.      Michael Hagan     |   | Director                                                            |
|              | J.      Michael Hagan        |   |                                                                |
|              |                         |   |                                                                |
| Date:      2-8-08 | /s/Terry      L.Haines       |   | Director                                                            |
|              | Terry      L. Haines         |   |                                                                |
|              |                         |   |                                                                |
| Date:      2-8-08 | /s/William      D. Horsfall  |   | Director                                                            |
|              | William      D. Horsfall     |   |                                                                |
|              |                         |   |                                                                |
| Date:      2-8-08 | /s/John      E. Peppercorn   |   | Director                                                            |
|              | John      E. Peppercorn      |   |                                                                |
|              |                         |   |                                                                |
| Date:      2-8-08 | /s/Dennis      C. Poulsen    |   | Director                                                            |
|              | Dennis      C. Poulsen       |   |                                                                |

Table of Contents

----