SECURITIES AND EXCHANGE
COMMISSION Washington, D.C. 20549

# FORM 10-Q

# QUARTERLY REPORT UNDER
SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the Quarter Ended June 30, 2009

Commission File Number 0-23539

|Ladish Co., Inc.                                      
|------------------------------------------------------
|(Exact name of registrant as specified in its charter)

|Wisconsin                       | 31-1145953         
|------------------------------- | -------------------
|(State or other Jurisdiction of | (I.R.S. Employer   
|incorporation or organization)  | Identification No.)

|5481 South Packard Avenue, Cudahy, Wisconsin | 53110     
|-------------------------------------------- | ----------
|(Address of principal executive offices)     | (Zip Code)

|(414) 747-2611                                      
|----------------------------------------------------
|(Registrants telephone number, including area code)

Indicate
by check mark whether the Registrant (1) has filed all reports required to be filed by
Section 13 or 15 (d) of the Securities Exchange Act of 1934 during the preceding 12
months, and (2) has been subject to such filing requirements for the past 90 days.

| | Yes     X                      No
| | ---------------------------------

Indicate
by check mark whether the Registrant is a large accelerated filer, an accelerated filer or
a non-accelerated filer. See definition of accelerated filer and large accelerated filer
in Rule 12b-2 of the Exchange Act.

|Large accelerated filer | Accelerated filer X | Non-accelerated filer
|----------------------- | ------------------- | ---------------------

Indicate
by check mark whether the Registrant is a shell company (as defined in Rule 12b-2 of the
Exchange Act).

| | Yes                           No  X
| | -----------------------------------

Indicate
the number of shares outstanding of each of the issuers classes of common stock, as
of the latest practicable date.

|Class                         | Outstanding at June 30, 2009
|----------------------------- | ----------------------------
|Common Stock, $0.01 Par Value | 15,901,216                  

---

Page 2 of 16

# PART I 
FINANCIAL INFORMATION

---

Page 3 of 16

# LADISH CO., INC.CONDENSED
CONSOLIDATED STATEMENTS OF OPERATIONS

(Dollars in Thousands,
Except Per Share Data)

|                                                            
|------------------------------------------------------------
|(unaudited)                                                 
|2009                                                        
|Net sales                                                   
|Cost of sales                                               
|                                                            
|Gross profit                                                
|Selling, general and administrative expenses                
|                                                            
|Income from operations                                      
|Other income (expense):                                     
|Interest expense                                            
|Other, net                                                  
|                                                            
|Income before income tax provision                          
|Income tax provision                                        
|                                                            
|Net income                                                  
|Noncontrolling interest in net (loss) earnings of subsidiary
|                                                            
|Net income attributable to the controlling interest         
|                                                            
|Basic earnings per share                                    
|Diluted earnings per share                                  
|Basic weighted average shares outstanding                   
|Diluted weighted average shares outstanding                 

See accompanying notes to condensed
consolidated financial statements.

---

Page 4 of 16

# LADISH CO., INC.CONDENSED
CONSOLIDATED BALANCE SHEETS

(Dollars in Thousands,
Except Share Data)

|                                                                  
|------------------------------------------------------------------
|Assets:                                                           
|Current assets:                                                   
|Cash and cash equivalents                                         
|Accounts receivable, less allowance of $75 and $84 at each date   
|Inventories                                                       
|Deferred income taxes                                             
|Prepaid expenses and other current assets                         
|                                                                  
|Total current assets                                              
|Property, plant and equipment:                                    
|Land and improvements                                             
|Buildings and improvements                                        
|Machinery and equipment                                           
|Construction in progress                                          
|                                                                  
|                                                                  
|Less - accumulated depreciation                                   
|                                                                  
|Net property, plant and equipment                                 
|Deferred income taxes                                             
|Goodwill                                                          
|Other intangible assets, net                                      
|Other assets                                                      
|                                                                  
|Total assets                                                      
|                                                                  
|Liabilities:                                                      
|Current liabilities:                                              
|Accounts payable                                                  
|Senior bank debt                                                  
|Senior notes                                                      
|Accrued liabilities:                                              
|Pensions                                                          
|Postretirement benefits                                           
|Officers' deferred compensation                                   
|Wages and salaries                                                
|Taxes, other than income taxes                                    
|Interest                                                          
|Profit sharing                                                    
|Paid progress billings                                            
|Other                                                             
|                                                                  
|Total current liabilities                                         
|Noncurrent liabilities:                                           
|Senior notes                                                      
|Pensions                                                          
|Postretirement benefits                                           
|Officers deferred compensation                                   
|Other noncurrent liabilities                                      
|                                                                  
|Total liabilities                                                 
|Equity:                                                           
|Common stock - authorized 100,000,000, issued 15,907,552          
|shares at each date of $.01 par value                             
|Additional paid-in capital                                        
|Retained earnings                                                 
|Treasury stock, 6,336  shares of common stock at each date at cost
|Accumulated other comprehensive loss                              
|                                                                  
|Total stockholders equity                                        
|                                                                  
|Noncontrolling interest in equity of subsidiary                   
|                                                                  
|Total equity                                                      
|                                                                  
|Total liabilities and equity                                      
|                                                                  

See accompanying notes to condensed
consolidated financial statements.

---

Page 5 of 16

# LADISH CO., INC.CONDENSED
CONSOLIDATED STATEMENTS OF CASH FLOWS

(Dollars in Thousands)

|                                                             
|-------------------------------------------------------------
|(unaudited)                                                  
|2009                                                         
|CASH FLOWS FROM OPERATING ACTIVITIES:                        
|Net income                                                   
|Adjustments to reconcile net income to net cash              
|provided by (used in) operating activities:                  
|Depreciation                                                 
|Amortization of intangibles                                  
|Non-cash compensation related to deferred compensation plans 
|Deferred income taxes                                        
|Noncontrolling interest in net (loss) earnings of subsidiary 
|Loss (Gain) on purchase of stock - noncontrolling interest   
|Loss (Gain) on disposal of property, plant and equipment     
|Changes in assets and liabilities:                           
|Accounts receivable                                          
|Inventories                                                  
|Other assets                                                 
|Accounts payable and accrued liabilities                     
|Other liabilities                                            
|                                                             
|Net cash provided by operating activities                    
|                                                             
|CASH FLOWS FROM INVESTING ACTIVITIES:                        
|Additions to property, plant and equipment                   
|Proceeds from sale of property, plant and equipment          
|Purchase of subsidiary stock - noncontrolling interest       
|Proceeds from working capital adjustment on Aerex acquisition
|                                                             
|Net cash used in investing activities                        
|                                                             
|CASH FLOWS FROM FINANCING ACTIVITIES:                        
|Proceeds from (repayment of) senior bank debt                
|Repayment of capital lease obligations                       
|Proceeds from exercise of stock options                      
|                                                             
|Net cash (used in) provided by financing activities          
|                                                             
|Effect of exchange rate changes on cash and cash equivalents 
|                                                             
|DECREASE IN CASH AND CASH EQUIVALENTS                        
|CASH AND CASH EQUIVALENTS, beginning of period               
|                                                             
|CASH AND CASH EQUIVALENTS, end of period                     
|                                                             

See accompanying notes to condensed
consolidated financial statements.

---

Page 6 of 16

# LADISH CO., INC.NOTES
TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Dollars in Thousands,
Except Share Data)

|(1) | Basis
of Presentation
|--- | ---------------------

In the opinion of the Company, the
accompanying unaudited condensed consolidated financial statements contain all adjustments
necessary to present fairly its financial position at June 30, 2009 and its results
of operations and cash flows for the interim periods presented. All adjustments are of a
normal recurring nature.

The accompanying unaudited
consolidated condensed financial statements have been prepared in accordance with Article
10 of Regulation S-X and therefore do not include all disclosures required for annual
financial statements presented in conformity with accounting principles generally accepted
in the United States of America. The Company has filed a report on Form 10-K which
contains audited consolidated financial statements that include all information and
footnotes necessary for a fair presentation of its financial position at December 31,
2008 and 2007, and the related consolidated statements of operations, stockholders
equity, and cash flows for the years ended December 31, 2008, 2007 and 2006. The
December 31, 2008 consolidated balance sheet and the 2008 condensed consolidated
statements of operations as previously presented have been modified pursuant to the
adoption in 2009 of SFAS No. 160, Noncontrolling Interests in Consolidated Financial
Statements-an amendment of ARB No. 51.

The preparation of financial
statements in conformity with accounting principles generally accepted in the United
States of America requires management to make estimates and assumptions that affect the
reported amounts of assets and liabilities and the disclosure of contingent assets and
liabilities at the date of financial statements and the reported amounts of revenues and
expenses during the reporting periods. Actual results will likely differ from those
estimates, but management believes such differences will not be material.

The results of operations for any
interim period are not necessarily indicative of the results to be expected for a full
year.

|(2) | Inventories
|--- | -----------

|                                  
|----------------------------------
|Raw material and supplies         
|Work-in-process and finished goods
|Less progress payments            
|                                  
|Total inventories                 
|                                  

(3) Interest and Income
Tax Payments

|                            
|----------------------------
|2009                        
|Interest paid               
|Income taxes (refunded) paid

---

Page 7 of 16

|(4) | Cash
and Cash Equivalents
|--- | -------------------------

Cash in excess of daily requirements
is invested in marketable securities consisting of commercial paper and money market
instruments which mature in three months or less. Such investments are deemed to be cash
equivalents. Outstanding payroll and accounts payable checks related to certain bank
accounts are recorded as accounts payable on the balance sheets. These checks amounted to
$4,739 and $4,933 as of June 30, 2009 and December 31, 2008, respectively. The
Company received $1,200 in the second quarter of 2009 as a working capital adjustment from
the prior owner of Aerex.

|(5) | Revenue
Recognition
|--- | -------------------

Sales revenue is recognized when the
title and risk of loss have passed to the customer, there is pervasive evidence of an
arrangement, delivery has occurred or the services have been provided, the sales price is
determinable and collectibility is reasonably assured. This generally occurs at the time
of shipment. Net sales include freight out as well as reductions for returns and
allowances, and sales discounts. Progress payments on contracts are generally recognized
as reductions of the related inventory costs. Progress payments in excess of inventory
costs are reflected as a liability.

|(6) | Income
Taxes
|--- | ------------

The year-to-date tax provisions for
2009 and 2008 are based on annualized combined federal, state and foreign effective tax
rates of 35.4% and 37.3%, respectively. The principal difference from the expected federal
tax rate of 35% is due primarily to state income taxes, offset by the impact of lower
income tax rates in Poland and the benefit of the Domestic Production Activities
deduction. The decrease in the tax rate for 2009 is attributable to tax benefits
recognized in 2009 from the 2008 Chen-Tech acquisition, offset by the reduced tax benefit
of estimated losses of the Companys Polish subsidiary due to the application of
lower foreign income tax rates.

|(7) | Pension
and Postretirement Benefits
|--- | -----------------------------------

The components of net periodic
benefit costs recognized for the six-month periods ended June 30, 2009 and 2008 are
presented in the table below.

|                                  
|----------------------------------
|2009                              
|Service cost                      
|Interest cost                     
|Expected return on plan assets    
|Amortization of prior service cost
|Amortization of the net loss      
|                                  
|Net periodic benefit cost         
|                                  

The Company previously disclosed in
its financial statements for the year ended December 31, 2008, that it expected to
contribute $8,309 to its pension plans in 2009. As of June 30, 2009, the Company has
made $1,478 of cash contributions to the pension plans versus $1,971 during the same
period in 2008. The Company currently estimates its total contributions to its pension
plans in 2009 will be $2,554.

In December 2003, the Medicare
Prescription Drug, Improvement and Modernization Act of 2003 was enacted. The Company has
concluded that certain benefits provided by its postretirement benefit plan are
actuarially equivalent to Medicare Part D under the Act and has filed a refund request
with the Claims Management Services, a division of the Health and Human Services
Department. In the first six months of 2009 and 2008, respectively, the Company received
refunds of $159 and $166.

---

Page 8 of 16

|(8) | Debt
|--- | ----

The Company sold $30,000 of Series A
senior notes (the Series A Notes) in a private placement to certain
institutional investors on July 20, 2001. The Series A Notes were unsecured and bore
interest at a rate of 7.19% per annum with the interest being paid semiannually. The
Series A Notes had a seven-year duration with the principal amortizing equally over the
duration after the third year. Amortization payments of $6,000 annually were made on
July 20, 2004 through 2008, at which point the Series A Notes were retired.

On May 16, 2006, the Company
sold $40,000 of Series B senior notes (the Series B Notes) in a private
placement to certain institutional investors. The Series B Notes are unsecured and bear
interest at a rate of 6.14% per annum with interest being paid semiannually. The Series B
Notes have a ten-year duration with the principal amortizing equally over the duration
after the fourth year.

On September 2, 2008, the Company
sold $50,000 of Series C senior notes (the Series C Notes) in a private
placement to certain institutional investors. The Series C Notes are unsecured and bear
interest at a rate of 6.41% per annum with interest being paid semiannually. The Series C
Notes have a seven-year duration with the principal amortizing equally over the duration
after the third year.

The Companys Series B and
Series C Notes contain financial covenants which (a) limit the incurrence of certain
additional debt; (b) require a certain level of consolidated net worth; (c) require a
minimum fixed charges coverage ratio; and (d) require a limited amount of funded debt to
consolidated adjusted cash flow. The covenant on incurrence of additional debt limits
funded debt to 60% of total capitalization. At June 30, 2009, funded debt at Ladish was at
26% of total capitalization. This covenant also limits priority debt to 20% of adjusted
net worth. Ladish had no priority debt at June 30, 2009. The covenant on adjusted net
worth requires a minimum of $111,306. At June 30, 2009, Ladish had $255,626 of adjusted
net worth. The covenant on fixed charges coverage ratio requires that consolidated cash
flow to fixed charges be a minimum of 2.00. The Companys fixed charges coverage
ratio at June 30, 2009 was 12.17. The final covenant on funded debt to consolidated cash
flow allows for a maximum level of 4.00. At June 30, 2009, the Companys actual level
was 2.14. The Note Agreement for the Series B and Series C Notes also contains customary
representations and warranties and events of default.

The Company and a syndicate of
lenders have entered into a revolving credit facility (the Facility) which was
most recently renewed on April 10, 2009. The Facility consists of a $35,000 unsecured
revolving line of credit which bears interest at a rate of LIBOR plus 2.00% or at a base
rate. At June 30, 2009, there were no borrowings under the Facility and $35,000 was
available pursuant to the terms of the Facility. The Facility has a maturity date of April
9, 2010.

The Facility also contains certain
financial covenants which (a) allow a maximum indebtedness to EBITDA ratio of 3.00x; and
(b) require a minimum fixed charge coverage ratio of 1.7x. At June 30, 2009, the Company
had an indebtedness to EBITDA ratio of 2.14x and a fixed charge coverage ratio of 4.48x.
The Facility also contains customary representations and warranties and events of default.

At June 30, 2009, the Company was in
compliance with all covenants in the Series B and Series C Notes and the Facility.

On July 31, 2009, the Company and the
syndicate of lenders participating in the Facility entered into Amendment No. 1 to the
Facility. This Amendment, effective as of the date of execution, modified the covenant on
maximum indebtedness to EBITDA by deleting that covenant and substituting in its place a
covenant on minimum EBITDA. In addition, the lenders and the Company agreed to modify the
definition of EBITDA for this covenant by now allowing the Company to add back non-cash
charges to EBITDA.

---

Page 9 of 16

|(9) | Earnings
Per Share
|--- | ------------------

The incremental difference between
basic weighted average shares outstanding and diluted weighted average shares outstanding
is due to the dilutive impact of outstanding options.

|(10) | Stockholders Equity
|---- | --------------------

The Company has a Stock Option Plan
(the Plan) that covers certain employees. Under the Plan, incentive stock
options for up to 983,333 shares may be granted to employees of the Company, of which
943,833 options have been granted. These options expire ten years from the grant date.
Options granted vest over two years. There were no options granted or exercised in the six
months ended June 30, 2009. As of June 30, 2009, 6,336 options granted under the
Plan remain outstanding and exercisable.

|(11) | Legal
Proceedings
|---- | -----------------

From time to time the Company is
involved in legal proceedings relating to claims arising out of its operations in the
normal course of business. Although the Company believes that there are no material legal
proceedings pending or threatened against the Company or any of its properties, the
Company has been named as a defendant in a number of asbestos cases. As of the date of
this filing, the Company has thirteen individual claims pending in Mississippi, one
individual claim pending in Illinois and one individual claim pending in Wisconsin. The
Company has never manufactured or processed asbestos. The Companys only exposure to
asbestos involves products the Company purchased from third parties. Given that the
consortium of insurers are handling the defense of the Company, combined with the lack of
actual exposure or prior negative judgments, the Company has not made any provision in its
financial statements for the asbestos litigation.

The Company is also participating in
an investigation initiated by U.S. Customs & Border Protection (Customs)
into duty drawback claims filed on behalf of the Company by its former export agent. The
Company is cooperating with Customs in this investigation and has voluntarily suspended
its duty drawback claims. Based upon its internal investigation, the Company believes any
errors or omissions with respect to its filings were solely attributable to its former
export agent. The Company intends to continue to cooperate with Customs in resolving this
matter. The Company has not made any provision in its financial statements for the Customs
investigation.

|(12) | New
Accounting Pronouncements
|---- | -----------------------------

In December 2007, the FASB issued
SFAS No. 160, Noncontrolling Interests in Consolidated Financial Statements-an
Amendment of ARB No. 51(SFAS No. 160). The objective of SFAS No. 160 is
to improve the financial information provided in consolidated financial statements. SFAS
No. 160 amends ARB No. 51 to establish accounting and reporting standards for the
noncontrolling interest in a subsidiary and for the deconsolidation of a subsidiary. SFAS
No. 160 also changes the way the consolidated income statement is presented, establishes a
single method of accounting for changes in a parents ownership interest in a
subsidiary that do not result in deconsolidation, requires that a parent recognize a gain
or loss in net income when a subsidiary is deconsolidated, and expands disclosures in the
consolidated financial statements in order to clearly identify and distinguish between the
interests of the parents owners and the interest of the noncontrolling owners of a
subsidiary. SFAS No. 160 is effective for the Companys 2009 fiscal year. The Company
adopted SFAS No. 160 effective January 1, 2009. SFAS No. 160 modifies the manner in which
the Company reports on the noncontrolling interest in ZKM as the noncontrolling interest
has been classified as a component of equity.

---

Page 10 of 16

On December 30, 2008, the FASB issued
FASB Staff Position (FSP) FAS 132R-1, Employers Disclosures about
Postretirement Benefit Plan Assets, which significantly expands the disclosures
required by employers for postretirement plan assets. The FSP requires plan sponsors to
provide extensive new disclosures about assets in defined benefit postretirement benefit
plans as well as any concentrations of associated risks. In addition, the FSP requires new
disclosures similar to those in FASB Statement 157, Fair Value Measurements, in
terms of the three-level fair value hierarchy, including a reconciliation of the beginning
and ending balances of plan assets that fall within Level 3 of the hierarchy. FSP FAS
132R-1 also includes a technical amendment to FASB Statement 132 (revised 2003),
Employers Disclosures about Pensions and Other Postretirement Benefits, to
restore a provision that was inadvertently deleted by FASB Statement 158,
Employers Accounting for Defined Benefit Pension and Other Postretirement
Plans. FSP FAS 132R-1 is effective for periods ending after December 15, 2009. The
disclosure requirements are annual and do not apply to interim financial statements. The
technical amendment to Statement 132R was effective as of December 30, 2008.

In May 2009, the FASB issued
Statement 165, Subsequent Events, to incorporate the accounting and disclosure
requirements for subsequent events into U.S. generally accepted accounting principles.
Statement 165 introduces new terminology, defines a date through which management must
evaluate subsequent events, and lists the circumstances under which an entity must
recognize and disclose events or transactions occurring after the balance sheet date. The
Company adopted Statement 165 as of June 30, 2009, which was the required effective date.

The Company evaluated its June 30,
2009 financial statements for subsequent events through July 31, 2009, the date the
financial statements were available to be issued. Other than the agreement noted below,
the Company is not aware of any subsequent events which would require recognition or
disclosure in the financial statements.

In June 2009, FASB issued,
Accounting Standards Update No. 2009-1, Topic 105  Generally Accepted
Accounting Principles amendments based on the Statement of Financial Standards No. 168
 the FASB Accounting Standard Codifications and the Hierarchy of Generally Accepted
Accounting Principles and Statement of Financial Accounting Standard No. 168, the FASB
Accounting Standards Codification and the Hierarchy of Generally Accepted Accounting
Principles, a replacement of FASB Statement No. 62. The Accounting Standards Update
and SFAS No. 168 make the FASB Codification the authoritative source of GAAP. The FASB
Codification is effective for interim and annual reporting periods ending after September
15, 2009, which will be September 30, 2009 for the Company. The Company will update GAAP
referencing for the third quarter 2009 Form 10-Q. The FASB Codification is not expected to
have a material impact on financial reporting of the Company.

|(13) | Subsequent
Events
|---- | -----------------

On July 31, 2009, the Company and the
syndicate of lenders participating in the Facility entered into Amendment No. 1 to the
Facility. This amendment, effective as of the date of execution, modified the covenant on
maximum indebtedness to EBITDA by deleting that covenant and substituting in its place a
covenant on minimum EBITDA. In addition, the lenders and the Company agreed to modify the
definition of EBITDA for this covenant by now allowing the Company to add back non-cash
charges to EBITDA.

---

Page 11 of 16

MANAGEMENTS
DISCUSSIONAND ANALYSIS OF RESULTS OF OPERATIONS AND  CHANGES IN FINANCIAL POSITION(Dollars
in Thousands, except per share data)

RESULTS OF OPERATIONS

Second Quarter 2009
Compared to Second Quarter 2008

Net sales for the three months ended
June 30, 2009 were $84,686 compared to $118,959 for the same period in 2008. The
28.8% decrease in net sales for the second quarter of 2009 versus 2008 was due to the
worldwide decline in all markets served by the Company. Net sales in the second quarter of
2009, in comparison to the same period of 2008, benefited from the acquisitions of
Chen-Tech in September 2008 and Aerex in July 2008. But for those acquisitions, net sales
would have declined 36.7% in comparison to 2008. Gross profit for the second quarter of
2009 was 7.5% of net sales in contrast to 13.0% of net sales in the second quarter of
2008. The reduction in gross profit in the second quarter of 2009 is primarily a result of
the decline in sales, which diminished the Companys opportunity for incremental
earnings, combined with additional pension expense, a reduction of by-product sales,
higher depreciation and employment reduction expenses.

Selling, general and administrative
expenses were $4,273 and $4,841 and, as a percentage of net sales, were 5.0% and 4.1% for
the second quarters of 2009 and 2008, respectively. The percentage increase in selling,
general and administrative expenses was directly attributed to the 28.8% decrease in net
sales.

Interest expense for the second
quarter of 2009 was $1,321 in contrast to $241 for the same period in 2008. The higher
interest expense in 2009 is due primarily to an increased level of long-term debt
associated with the Series C Notes and reduced capitalization of interest expense on
capital projects. During the second quarter of 2009, the Companys revolving line of
credit had an interest rate equal to the LIBOR rate plus 2.00% or at a base rate. Series B
and Series C senior notes bore interest at the rate of 6.14% and 6.41%, respectively. The
Company had no borrowings under the revolving line of credit facility and had $90,000 of
senior notes outstanding at the end of the second quarter of 2009.

Pretax income for the second quarter
of 2009 was $844 in contrast to $9,950 for the same period in 2008. The decline in pretax
income was due to the loss of incremental sales, the relative absence of by-product sales,
and significantly higher expenses associated with pensions, employment reductions,
depreciation and interest.

The 2009 and 2008 second quarter
income tax provisions are based on effective tax rates of 24.3% and 37.3%, respectively.
The decrease in the tax rate for the second quarter 2009 versus second quarter 2008 is due
primarily to tax benefits recognized in the second quarter of 2009 from the 2008 Chen-Tech
acquisition.

The Companys net income for the
second quarter of 2009 was $650, a decrease from $6,219 in the second quarter of 2008.
Profitability decreased from the prior period due to the lower sales combined with
increases of $1,098 in pension costs, $498 in depreciation expense, $1,080 in interest due
to the Series C senior notes, $446 in early retirement incentive costs, a reduction of
$3,374 in by-product sales offset by lower income taxes. The Companys contract
backlog at June 30, 2009 was $487,541 in comparison to backlogs of $618,836 and
$628,754 at June 30, 2008 and December 31, 2008, respectively.

---

Page 12 of 16

In response to the lower net sales
and accompanying reduction in net income, the Company has taken, and continues to take, a
number of steps to reduce its costs. These steps have included personnel reductions, an
early retirement program at one facility, temporary plant shutdowns, wage and hiring
freezes and other cost containment measures.

First Six Months 2009
Compared to First Six Months 2008

Net sales for the first six months of
2009 were $190,425, a 19.4% reduction from the $236,156 of net sales in the same period of
2008. The decrease in sales in the first half of 2009 is due to the overall decline, both
domestically and internationally, in the jet engine, aerospace and industrial markets
served by the Company. But for the acquisitions of Chen-Tech and Aerex in the second half
of 2008, the Companys net sales would have declined 28.3% in the first half of 2009.
Gross profit was $13,661 or 7.2% of sales, in the first six months of 2009 compared to
$30,328, or 12.8% of sales, in the same period in 2008. The decline in gross profit in
2009 is due to reduced sales which diminished any incremental profit opportunity, lower
by-product sales, and higher expenses for pensions, depreciation and employment
reductions.

In the first half of 2009, selling,
general and administrative expenses were $8,315, or 4.4% of net sales in comparison to
$9,244, or 3.9% of net sales in the same period of 2008. Although the total expense
decreased by approximately $900 year over year, the percent of sales increased due
primarily to the 19.4% reduction in net sales.

Interest expense of $2,166 in the
first six months of 2009 was $1,486 higher than the charge for the equivalent period of
2008. The increase in interest expense is due to the placement of the Series C notes in
the third quarter of 2008 and the reduced amount of capitalized interest in 2009 in
contrast to 2008.

Pretax income of $2,847 in the first
half of 2009 was significantly reduced from the $19,520 of pretax income in the same
period of 2008. The reduction in pretax income in 2009 is due to the reduced net sales and
lower by-product sales along with increased interest, pension, depreciation, and
employment reduction expenses.

The tax provision of $1,008, or
35.4%, compares to $7,281, or 37.3%, for the same period in 2008. The variation in the tax
rate between the two periods is attributed to tax benefits recognized in 2009 from the
2008 Chen-Tech acquisition offset by the reduced tax benefit of estimated losses of the
Companys Polish subsidiary due to the application of lower foreign income tax rates.

Net income for the first six months
of 2009 was $1,850, or 1% of sales, versus $12,202, or 5.2% of sales in 2008. The net
income decrease in 2009 is the result of the 19.4% reduction in sales combined with
increases of $1,486 in interest expense, $1,139 in depreciation expense, approximately
$1,300 in expenses associated with employment reductions, $2,196 in pension expense and a
reduction of $6,285 in by-product sales.

Liquidity and Capital
Resources

The Companys cash position as
of June 30, 2009 was approximately $800 less than it was at December 31, 2008.
For the first six months of 2009, the Company generated $37,218 of cash from operating
activities in contrast to $14,284 of cash from operations in the same period of 2008. The
Company utilized its additional cash flow in 2009 to reduce its short-term borrowing by
$28,900 and to retire $1,660 of capital leases. The Company expended $8,353 and $22,893 of
cash on capital expenditures in the first six months of 2009 and 2008, respectively. The
Company expects capital expenditures for the second half of 2009 will be at a reduced
level from the first half expenditures.

---

Page 13 of 16

On July 20, 2001, the Company
sold $30,000 of Series A Notes in a private placement to certain institutional investors.
The Series A Notes were unsecured and bore interest at a rate of 7.19% per annum with the
interest being paid semiannually. The Series A Notes had a seven-year duration with the
principal amortizing equally over the duration after the third year. Amortization payments
of $6,000 annually were made on July 20, 2004 through 2008, at which time the Series
A Notes were retired.

On May 16, 2006, the Company
sold $40,000 of Series B Notes in a private placement to certain institutional investors.
The Series B Notes are unsecured and bear interest at a rate of 6.14% per annum with
interest being paid semiannually. The Series B Notes have a ten-year duration with the
principal amortizing equally over the duration after the fourth year.

On September 2, 2008, the Company
sold $50,000 of Series C Notes in a private placement to certain institutional investors.
The Series C Notes are unsecured and bear interest at a rate of 6.41% per annum with
interest being paid semiannually. The Series C Notes have a seven-year duration with the
principal amortizing equally over the duration after the third year.

The Companys Series B and
Series C Notes contain financial covenants which (a) limit the incurrence of certain
additional debt; (b) require a certain level of consolidated adjusted net worth; (c)
require a minimum fixed charges coverage ratio; and (d) require a limited amount of funded
debt to consolidated cash flow. The covenant on incurrence of additional debt limits
funded debt to 60% of total capitalization. At June 30, 2009, funded debt at Ladish was at
26% of total capitalization. This covenant also limits priority debt to 20% of adjusted
net worth. Ladish had no priority debt at June 30, 2009. The covenant on adjusted net
worth requires a minimum of $111,306. At June 30, 2009, Ladish had $255,626 of adjusted
net worth. The covenant on fixed charges coverage ratio requires that consolidated cash
flow to fixed charges be a minimum of 2.00. The Companys fixed charges coverage
ratio at June 30, 2009 was 12.17. The final covenant on funded debt to consolidated cash
flow allows for a maximum level of 4.00. At June 30, 2009, the Companys actual level
was 2.14. The Note Agreement for the Series B and Series C Notes also contains customary
representations and warranties and events of default.

In addition, the Company and a
syndicate of lenders have entered into the Facility which was most recently renewed on
April 10, 2009. The Facility consists of a $35,000 unsecured revolving line of credit
which bears interest at a rate of LIBOR plus 2.00% or at a base rate. At June 30,
2009, there were no borrowings under the Facility and $35,000 of credit was available
pursuant to the terms of the Facility. See Item 5. Other Information. The Facility has a
maturity date of April 9, 2010.

The Facility also contains certain
financial covenants which (a) allow a maximum indebtedness to EBITDA ratio of 3.00x; and
(b) require a minimum fixed charge coverage ratio of 1.7x. At June 30, 2009, the Company
had an indebtedness to EBITDA ratio of 2.14x and a fixed charge coverage ratio of 4.48x.
The Facility also contains customary representations and warranties and events of default.

At June 30, 2009, the Company was in
compliance with all covenants in the Series B and Series C Notes and the Facility.

On July 31, 2009, the Company and the
syndicate of lenders participating in the Facility entered into Amendment No. 1 to the
Facility. This amendment, effective as of the date of execution, modified the covenant on
maximum indebtedness to EBITDA by deleting that covenant and substituting in its place a
covenant on minimum EBITDA. In addition, the lenders and the Company agreed to modify the
definition of EBITDA for this covenant by now allowing the Company to add back non-cash
charges to EBITDA.

---

Page 14 of 16

As of June 30, 2009 and December 31,
2008, the Company had net deferred tax assets of $25,875 and $26,660, respectively.
Realization of net deferred tax assets is dependent upon the Company generating sufficient
taxable income in future periods. In determining that realization of net deferred tax
assets was more likely than not, the Company has given consideration to a number of
factors including its recent earnings history, expectations for earnings in the future,
the timing of reversal of temporary differences and tax planning strategies available to
the Company. If, in the future, the Company determines that it is no longer more likely
than not that net deferred tax assets will be realized, a valuation allowance will be
established against all or part of the domestic net deferred tax assets with an offsetting
charge to the income tax provision.

The Companys market
capitalization at June 30, 2009 was $206,239. The increase in the trading price of the
Companys common stock is believed to be related to overall improvement in the
domestic equity markets and aerospace stocks in particular rather than any direct
assessment of the Company.

Item 3. Quantitative and
Qualitative Disclosures about Market Risk

The Company believes that its exposure
to market risk related to changes in foreign currency exchange rates and trade accounts
receivable is immaterial as the vast majority of the Companys sales are made in U.S.
dollars. The Company does not consider itself subject to the market risks addressed by
Item 305 of Regulation S-K.

---

Any statements contained herein that
are not historical facts are forward-looking statements within the meaning of the Private
Securities Litigation Reform Act of 1995, and involve risks and uncertainties. These
forward-looking statements include expectations, beliefs, plans, objectives, future
financial performance, estimates, projections, goals and forecasts. Potential factors
which could cause the Companys actual results of operations to differ materially
from those in the forward-looking statements include:

| | Market conditions and demand for the Companys products            |  | Competition     
|- | ------------------------------------------------------------------ | - | ----------------
| | Interest rates and capital costs                                   |  | Technologies    
| | Unstable governments and business conditions in emerging economies |  | Raw material and
| | Legal, regulatory and environmental issues                         |   | energy prices   
| | Health care costs                                                  |  | Taxes           

Any forward-looking statement speaks
only as of the date on which such statement is made. The Company undertakes no obligation
to update any forward-looking statement to reflect events or circumstances after the date
on which such statement is made.

Item 4. Controls and
Procedures

Under the direction of the principal
executive officer and principal financial officer, the Company has evaluated the
effectiveness of its disclosure controls and procedures (as defined in Exchange Act Rules
13a-15(e) and 15d-15(e)) as of June 30, 2009. Based on that evaluation, the Company
has concluded that its disclosure controls and procedures were effective.

There were no significant changes in
the Companys internal controls over financial reporting or in other factors that
could significantly affect these controls during the quarter ended June 30, 2009,
including any corrective actions with regard to significant deficiencies and material
weaknesses.

---

Page 15 of 16

# PART II  OTHER
INFORMATION

Item 4.     Submission of Matters
to a Vote of Security Holders

At the May 2009 Annual Meeting of the Stockholders
of the Company, the Stockholders were asked to vote on the election of a New Board of
Directors for the next year or until their successors are duly elected. The following
table reflects the results of the election:

|Director Name       | Authority Granted | Authority Withheld
|------------------- | ----------------- | ------------------
|Lawrence W. Bianchi | 12,489,339        | 1,231,313         
|James C. Hill       | 13,420,435        | 300,217           
|Leon A. Kranz       | 13,371,628        | 349,024           
|J. Robert Peart     | 13,400,466        | 320,175           
|John W. Splude      | 13,400,473        | 320,179           
|Kerry L. Woody      | 13,421,732        | 298,920           

The Stockholders were also asked to
ratify the action taken by the Audit Committee of the Board of Directors in selecting the
audit firm Grant Thornton LLP as the independent auditors of the Company for the year
ending December 31, 2009. The Stockholders approved this action by the following vote:

|For        | Against | Abstain
|---------- | ------- | -------
|13,653,405 | 47,882  | 19,362 

Item 5. Other Information

On April 10, 2009, the Company
entered into the Second Amended and Restated Credit Agreement with the lenders named
therein and U.S. Bank as agent. This agreement provides for an unsecured revolving loan of
up to $35,000 for up to 364 days. Interest rates for borrowing under this agreement are
LIBOR plus 200 basis points or at a base rate. Covenants and other terms of this agreement
are essentially the equivalent of those contained in the Facility.

On July 31, 2009, the Company and the
syndicate of lenders participating in the Facility entered into Amendment No. 1 to the
Facility. This amendment, effective as of the date of execution, modified the covenant on
maximum indebtedness to EBITDA by deleting that covenant and substituting in its place a
covenant on minimum EBITDA. In addition, the lenders and the Company agreed to modify the
definition of EBITDA for this covenant by now allowing the Company to add back non-cash
charges to EBITDA.

Item 6. Exhibits

Exhibit No. 10 is Amendment No. 1 to
the Second Amended and Restated Credit Agreement dated  April 10, 2009

Exhibit 31.1 is the written statement
of the chief executive officer of the Company certifying this Form 10-Q complies with the
requirements of Section 13(a) of the Securities Exchange Act of 1934.

Exhibit 31.2 is the written statement
of the chief financial officer of the Company certifying this Form 10-Q complies with the
requirements of Section 13(a) of the Securities Exchange Act of 1934.

Exhibit 32.1 is the written statement
of the chief executive officer and chief financial officer of the Company pursuant to
Section 906 of the Sarbanes-Oxley Act of 2002.

---

Page 16 of 16

SIGNATURES

Pursuant to the requirements of the
Securities Exchange Act of 1934, the registrant has duly caused this report to be signed
on its behalf by the undersigned, thereunto duly authorized.

|                     | LADISH CO., INC.          
|-------------------- | --------------------------
|Date:  July 31, 2009 | By:  /s/ WAYNE E. LARSEN  
|                     | Wayne E. Larsen           
|                     | Vice President Law/Finance
|                     | & Secretary