##### Table of Contents





UNITED STATES SECURITIES AND
    EXCHANGE COMMISSIONWashington, D.C.
    20549
  Form 10-Q
   (Mark One)þ

QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d)  OF THE
    SECURITIES EXCHANGE ACT OF 1934For the quarterly period ended
    September 30, 2008oro

TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
    SECURITIES EXCHANGE ACT OF 1934For the transition period
    from          to   Commission file number 333-43005
  Park-Ohio Industries,
    Inc.
 (Exact name of registrant as
    specified in its charter)
   Ohio(State or other jurisdiction ofincorporation or organization)6065 Parkland Boulevard, Cleveland, Ohio(Address of principal executive offices)

34-6520107(I.R.S. EmployerIdentification No.)44124(Zip Code)   440/947-2000
 (Registrants telephone number, including area code)
  Pursuant to a corporate reorganization effective
    June 15, 1998,
 Park-Ohio Industries, Inc. became a wholly-owned subsidiary
    of Park-Ohio Holdings Corp.
       (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 twelve months (or for such shorter period that the
    registrant was required to file such reports) and(2)
    Has been subject to such filing requirements for the past
    90 days.  Yes o     No þ      Large
    accelerated filer
    o
    Accelerated
    filer
    o
    
    Non-accelerated
    filer þ
    
    Smaller
    reporting
    Company o   Rule 12b-2 o þ
     The
    Exhibit Index is located on page 29.




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##### 





PARK-OHIO
    INDUSTRIES, INC. AND SUBSIDIARIES
  INDEX
   
 PagePART I. FINANCIAL INFORMATIONItem 1.


Financial Statements


3Consolidated balance sheets 
    September 30, 2008 and December 31, 2007


3Consolidated statements of operations 
    Three and nine months ended September 30, 2008 and 2007


4Consolidated statement of shareholders
    equity  Nine months ended September 30, 2008


5Consolidated statements of cash flows 
    Nine months ended September 30, 2008 and 2007


6Notes to consolidated financial
    statements  September 30, 2008


7Report of independent registered public
    accounting firm


18Item 2.


Managements Discussion and Analysis of
    Financial Condition and Results of Operations


19Item 3.


Quantitative and Qualitative Disclosures About
    Market Risk


25Item 4.


Controls and Procedures


25PART II. OTHER INFORMATIONItem 1.


Legal Proceedings


26Item 1A.


Risk Factors


27Item 6.


Exhibits


27SIGNATURE


28EXHIBIT INDEX


29EX-31.1EX-31.2EX-32   2




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##### Table of Contents



PART I.
    Financial Information  ITEM 1.
    Financial
    Statements  PARK-OHIO
    INDUSTRIES, INC. AND SUBSIDIARIES
  CONSOLIDATED
    BALANCE SHEETS
  (Unaudited)September 30,


December 31,2008


2007(Dollars in thousands)ASSETSCurrent AssetsCash and cash equivalents

$
28,387


$
13,077Accounts receivable, less allowances for doubtful accounts of
    $3,026 at September 30, 2008 and $3,724 at
    December 31, 2007


185,666



172,357Inventories


236,581



215,409Deferred tax assets


21,897



21,897Unbilled contract revenue


21,014



24,817Other current assets


21,074



19,757Total Current Assets


514,619



467,314Property, Plant and Equipment


247,944



263,488Less accumulated depreciation


155,409



159,89692,535



103,592Other AssetsGoodwill


100,683



100,997Net assets held for sale


-0-



3,330Other


103,397



94,185$
811,234


$
769,418LIABILITIES AND SHAREHOLDERS EQUITYCurrent LiabilitiesTrade accounts payable

$
136,040


$
121,870Accrued expenses


74,803



66,923Current portion of long-term debt


8,063



2,362Current portion of other postretirement benefits


2,041



2,041Total Current Liabilities


220,947



193,196Long-Term Liabilities, less current portion8.375% Senior Subordinated Notes due 2014


210,000



210,000Revolving credit


160,200



145,400Other long-term debt


2,114



2,287Deferred tax liability


22,722



22,722Other postretirement benefits and other long-term liabilities


23,770



24,017418,806



404,426Shareholders EquityCommon Stock, par value $1 per share


-0-



-0-Additional paid-in capital


64,844



64,844Retained earnings


91,590



88,868Accumulated other comprehensive income


15,047



18,084171,481



171,796$
811,234


$
769,418   Note:
    The balance sheet at December 31, 2007 has been derived
    from the audited financial statements at that date, but does not
    include all of the information and footnotes required by
    generally accepted accounting principles for complete financial
    statements.   3




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##### Table of Contents



PARK-OHIO
    INDUSTRIES, INC. AND SUBSIDIARIES
  CONSOLIDATED
    STATEMENTS OF OPERATIONS (UNAUDITED)
  Three Months Ended


Nine Months EndedSeptember 30,


September 30,2008


2007


2008


2007(Amounts in thousands, except per share data)Net sales

$
266,148


$
269,104


$
819,178


$
823,626Cost of products sold


226,759



226,880



697,361



700,413Gross profit


39,389



42,224



121,817



123,213Selling, general and administrative expenses


27,936



23,656



80,164



72,816Impairment charges


17,480



-0-



17,480



-0-Operating income (loss)


(6,027
)


18,568



24,173



50,397Interest expense


6,775



7,993



20,672



24,286Income (loss) before income taxes


(12,802
)


10,575



3,501



26,111Income taxes (benefit)


(4,597
)


3,816



779



9,408Net income (loss)

$
(8,205
)

$
6,759


$
2,722


$
16,703    4




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##### Table of Contents



PARK-OHIO
    INDUSTRIES, INC. AND SUBSIDIARIES
  CONSOLIDATED STATEMENT OF SHAREHOLDERS
    EQUITY (UNAUDITED)
  AccumulatedAdditional





OtherCommon


Paid-In


Retained


ComprehensiveStock


Capital


Earnings


Income


Total(Dollars in thousands)Balance at January 1, 2008

$
-0-


$
64,844


$
88,868


$
18,084


$
171,796Comprehensive income (loss):Net income










2,722







2,722Foreign currency translation adjustment














(3,160
)


(3,160
)Pension and postretirement benefit adjustments, net of tax














123



123Comprehensive income (loss)


















(315
)Balance at September 30, 2008

$
-0-


$
64,844


$
91,590


$
15,047


$
171,481    5




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##### Table of Contents



PARK-OHIO
    INDUSTRIES, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED)
  Nine Months EndedSeptember 30,2008


2007(Dollars in thousands)OPERATING ACTIVITIESNet income

$
2,722


$
16,703Adjustments to reconcile net income to net cash provided (used)
    by operating activities:Depreciation and amortization


15,974



15,782Impairment charges


17,480



-0-Changes in operating assets and liabilities:Accounts receivable


(13,309
)


(15,751
)Inventories and other current assets


(18,685
)


(1,518
)Accounts payable and accrued expenses


22,049



(13,328
)Other


(15,493
)


4,665Net Cash Provided by Operating Activities


10,738



6,553INVESTING ACTIVITIESPurchases of property, plant and equipment, net


(15,756
)


(14,292
)Net Cash Used by Investing Activities


(15,756
)


(14,292
)FINANCING ACTIVITIESProceeds from debt, net


20,328



(311
)Net Cash Provided (Used) by Financing Activities


20,328



(311
)Increase (decrease) in Cash and Cash Equivalents


15,310



(8,050
)Cash and Cash Equivalents at Beginning of Period


13,077



20,872Cash and Cash Equivalents at End of Period

$
28,387


$
12,822Taxes paid

$
5,826


$
4,386Interest paid


15,236



18,048    6




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##### Table of Contents



PARK-OHIO
    INDUSTRIES, INC. AND SUBSIDIARIES
  NOTES TO
    CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)
  September 30, 2008
 (Dollar amounts in thousands)
  NOTE A 
    Basis of
    Presentation    Form 10-Q Regulation S-X. Form 10-K
  NOTE B 
    Segments  tm tm just-in-time
    Three Months Ended


Nine Months EndedSeptember 30,


September 30,2008


2007


2008


2007Net sales:Supply Technologies

$
131,668


$
134,066


$
399,452


$
403,956Aluminum Products


35,784



41,188



120,304



131,838Manufactured Products


98,696



93,850



299,422



287,832$
266,148


$
269,104


$
819,178


$
823,626Income (loss) before income taxes:Supply Technologies

$
5,259


$
8,288


$
16,551


$
20,420Aluminum Products


(17,557
)


1,131



(18,674
)


3,285Manufactured Products


10,062



11,619



37,703



35,292(2,236
)


21,038



35,580



58,997Corporate costs


(3,791
)


(2,470
)


(11,407
)


(8,600
)Interest expense


(6,775
)


(7,993
)


(20,672
)


(24,286
)Income (loss) before income taxes

$
(12,802
)

$
10,575


$
3,501


$
26,111  7




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##### Table of Contents



PARK-OHIO
    INDUSTRIES, INC. AND SUBSIDIARIES
  NOTES TO
    CONSOLIDATED FINANCIAL STATEMENTS
    (UNAUDITED)  (Continued)
  September 30,


December 31,2008


2007Identifiable assets were as follows:Supply Technologies

$
394,568


$
354,165Aluminum Products


92,187



98,524Manufactured Products


277,346



231,459General corporate


47,133



85,270$
811,234


$
769,418     Cost ofAsset


ProductsImpairment


Sold


TotalAluminum Products

$
13,189


$
579


$
13,768Manufactured Products


4,291



-0-



4,291$
17,480


$
579


$
18,059   NOTE C 
    Recent
    Accounting Pronouncements       8




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##### Table of Contents



PARK-OHIO
    INDUSTRIES, INC. AND SUBSIDIARIES
  NOTES TO
    CONSOLIDATED FINANCIAL STATEMENTS
    (UNAUDITED)  (Continued)
        NOTE D 
    Inventories    September 30,


December 31,2008


2007Finished goods

$
137,308


$
129,074Work in process


30,052



26,249Raw materials and supplies


69,221



60,086$
236,581


$
215,409   NOTE E 
    Pension
    Plans and Other Postretirement Benefits    Pension BenefitsThree Months


Nine Months


Postretirement BenefitsEnded


Ended


Three Months


Nine MonthsSeptember 30,


September 30,


Ended September 30,


Ended September 30,2008


2007


2008


2007


2008


2007


2008


2007Service costs

$
108


$
91


$
324


$
273


$
43


$
41


$
129


$
123Interest costs


722



702



2,166



2,105



290



333



870



1,000Expected return on plan assets


(2,408
)


(2,213
)


(7,224
)


(6,638
)


-0-



-0-



-0-



-0-Transition obligation


(12
)


(2
)


(36
)


(6
)


-0-



-0-



-0-



-0-Amortization of prior service cost


34



34



102



102



(13
)


(16
)


(39
)


(48
)Recognized net actuarial loss


(29
)


-0-



(87
)


-0-



71



146



213



438Benefit (income) costs

$
(1,585
)

$
(1,388
)

$
(4,755
)

$
(4,164
)

$
391


$
504


$
1,173


$
1,513  9




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##### Table of Contents



PARK-OHIO
    INDUSTRIES, INC. AND SUBSIDIARIES
  NOTES TO
    CONSOLIDATED FINANCIAL STATEMENTS
    (UNAUDITED)  (Continued)
  NOTE F 
    Comprehensive
    Income (Loss)    Three Months


Nine MonthsEnded


EndedSeptember 30,


September 30,2008


2007


2008


2007Net income (loss)

$
(8,205
)

$
6,759


$
2,722


$
16,703Foreign currency translation


(4,775
)


3,755



(3,160
)


7,001Pension and post retirement benefit adjustments, net of tax


40



59



123



178Total comprehensive income (loss)

$
(12,940
)

$
10,573


$
(315
)

$
23,882     September 30,


December 31,2008


2007Foreign currency translation adjustment

$
9,552


$
12,712Pension and postretirement benefit adjustments, net of tax


5,495



5,372$
15,047


$
18,084     NOTE G 
    Accrued
    Warranty Costs    2008


2007Balance at January 1

$
5,799


$
3,557Claims paid during the first nine months


(2,105
)


(1,167
)Additional warranties issued during the first nine months


3,506



3,312Balance at September 30

$
7,200


$
5,702   NOTE H 
    Income
    Taxes      NOTE I 
    Impairment
    Charges   10




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##### Table of Contents



PARK-OHIO
    INDUSTRIES, INC. AND SUBSIDIARIES
  NOTES TO
    CONSOLIDATED FINANCIAL STATEMENTS
    (UNAUDITED)  (Continued)
    Cost ofAsset


ProductsImpairment


Sold


TotalAluminum Products

$
13,189


$
579


$
13,768Manufactured Products


4,291



-0-



4,291$
17,480


$
579


$
18,059   NOTE J 
    Goodwill    NOTE K 
    Supplemental Guarantor Information
     11




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##### Table of Contents



PARK-OHIO
    INDUSTRIES, INC. AND SUBSIDIARIES
  NOTES TO
    CONSOLIDATED FINANCIAL STATEMENTS
    (UNAUDITED)  (Continued)
  PARK-OHIO
    INDUSTRIES, INC. AND SUBSIDIARIES
 CONDENSED CONSOLIDATING BALANCE SHEET
 September 30, 2008
  Combined


CombinedGuarantor


Non-Guarantor


Reclassifications/Parent


Subsidiaries


Subsidiaries


Eliminations


Consolidated(In thousands)ASSETSCurrent assets:Cash and cash equivalents

$
(53,490
)

$
47,746


$
19,407


$
14,724


$
28,387Accounts receivable, net


(299
)


148,037



37,928



-0-



185,666Inventories


-0-



188,603



47,978



-0-



236,581Other current assets


(11,780
)


11,929



20,960



20,979



42,088Deferred tax assets


-0-



-0-



-0-



21,897



21,897Total Current Assets


(65,569
)


396,315



126,273



57,600



514,619Investment in subsidiaries


423,415



23,851



(23,851
)


(423,415
)


-0-Inter-company advances


383,594



368,937



6,655



(759,186
)


-0-Property, Plant and Equipment, net


2,896



74,381



21,296



(6,038
)


92,535Other Assets:Goodwill


-0-



93,029



7,654



-0-



100,683Other


49,491



43,785



1,367



8,754



103,397Total Other Assets


49,491



136,814



9,021



8,754



204,080Total Assets

$
793,827


$
1,000,298


$
139,394


$
(1,122,285
)

$
811,234LIABILITIES AND SHAREHOLDERS EQUITYCurrent Liabilities:Trade accounts payable

$
2,968


$
97,417


$
21,019


$
14,636


$
136,040Accrued expenses


(10,868
)


49,411



23,391



12,869



74,803Current portion of long-term liabilities


-0-



194



7,868



2,042



10,104Total Current Liabilities


(7,900
)


147,022



52,278



29,547



220,947Long-Term Liabilities, less current portion8.375% Senior Subordinated Notes due 2014


210,000



-0-



-0-



-0-



210,000Revolving credit maturing on December 31, 2010


160,200



-0-



-0-



-0-



160,200Other long-term debt


-0-



556



1,558



-0-



2,114Deferred tax liability


(3,303
)


-0-



1,703



24,322



22,722Other postretirement benefits and other long-term liabilities


2,838



53,820



457



(33,345
)


23,770Total Long-Term Liabilities


369,735



54,376



3,718



(9,023
)


418,806Inter-company advances


270,694



440,497



27,982



(739,173
)


-0-Shareholders Equity


161,298



358,403



55,416



(403,636
)


171,481Total Liabilities and Shareholders Equity

$
793,827


$
1,000,298


$
139,394


$
(1,122,285
)

$
811,234  12




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##### Table of Contents



PARK-OHIO
    INDUSTRIES, INC. AND SUBSIDIARIES
  NOTES TO
    CONSOLIDATED FINANCIAL STATEMENTS
    UNAUDITED  (Continued)
  PARK-OHIO
    INDUSTRIES, INC. AND SUBSIDIARIES
 CONDENSED CONSOLIDATING BALANCE SHEET
 December 31, 2007
  Combined


CombinedGuarantor


Non-Guarantor


Reclassifications/Parent


Subsidiaries


Subsidiaries


Eliminations


Consolidated(In thousands)ASSETSCurrent assets:Cash and cash equivalents

$
(19,232
)

$
607


$
11,626


$
20,076


$
13,077Accounts receivable, net


(550
)


127,972



44,935



-0-



172,357Inventories


-0-



174,238



41,171



-0-



215,409Other current assets


(10,464
)


16,364



17,936



20,738



44,574Deferred tax assets


-0-



-0-



-0-



21,897



21,897Total Current Assets


(30,246
)


319,181



115,668



62,711



467,314Investment in subsidiaries


397,880



28,729



(28,729
)


(397,880
)


-0-Inter-company advances


370,880



349,186



(382
)


(719,684
)


-0-Property, Plant and Equipment, net


2,913



77,894



22,785



-0-



103,592Other Assets:Goodwill


-0-



93,029



7,968



-0-



100,997Other


47,176



47,364



949



2,026



97,515Total Other Assets


47,176



140,393



8,917



2,026



198,512Total Assets

$
788,603


$
915,383


$
118,259


$
(1,052,827
)

$
769,418LIABILITIES AND SHAREHOLDERS EQUITYCurrent Liabilities:Trade accounts payable

$
4,141


$
75,879


$
22,339


$
19,511


$
121,870Accrued expenses


(9,477
)


45,962



18,259



12,179



66,923Current portion of long-term liabilities


-0-



185



2,138



2,080



4,403Total Current Liabilities


(5,336
)


122,026



42,736



33,770



193,196Long-Term Liabilities, less current portion8.375% Senior Subordinated Notes due 2014


210,000



-0-



-0-



-0-



210,000Revolving credit maturing on December 31, 2010


145,400



-0-



-0-



-0-



145,400Other long-term debt


-0-



776



1,551



(40
)


2,287Deferred tax liability


(3,366
)


-0-



2,101



23,987



22,722Other postretirement benefits and other long-term liabilities


4,125



52,689



557



(33,354
)


24,017Total Long-Term Liabilities


356,159



53,465



4,209



(9,407
)


404,426Inter-company advances


279,672



398,938



20,947



(699,557
)


-0-Shareholders Equity


158,108



340,954



50,367



(377,633
)


171,796Total Liabilities and Shareholders Equity

$
788,603


$
915,383


$
118,259


$
(1,052,827
)

$
769,418  13




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##### Table of Contents



PARK-OHIO
    INDUSTRIES, INC. AND SUBSIDIARIES
    CONSOLIDATING STATEMENT OF OPERATIONS
    For the Nine Months Ended September 30, 2008
  Combined


CombinedGuarantor


Non-GuarantorParent


Subsidiaries


Subsidiaries


Eliminations


Consolidated(In thousands)Net sales

$
-0-


$
669,663


$
149,515


$
-0-


$
819,178Cost of sales


-0-



586,591



110,770



-0-



697,361Gross profit


-0-



83,072



38,745



-0-



121,817Selling, general and administrative expenses


(18,291
)


49,003



24,339



25,113



80,164Impairment charges


-0-



17,480



-0-



-0-



17,480Operating income (loss)


18,291



16,589



14,406



(25,113
)


24,173Interest expense


19,900



839



304



(371
)


20,672Income (loss) before income taxes


(1,609
)


15,750



14,102



(24,742
)


3,501Income taxes


(4,330
)


55



5,054



-0-



779Net income (loss)

$
2,721


$
15,695


$
9,048


$
(24,742
)

$
2,722   PARK-OHIO
    INDUSTRIES, INC. AND SUBSIDIARIES
    CONSOLIDATING STATEMENT OF OPERATIONS
    For the Nine Months Ended September 30, 2007
  Combined


CombinedGuarantor


Non-GuarantorParent


Subsidiaries


Subsidiaries


Eliminations


Consolidated(In thousands)Net sales

$
-0-


$
686,366


$
137,260


$
-0-


$
823,626Cost of sales


-0-



596,561



102,369



1,483



700,413Gross profit


-0-



89,805



34,891



(1,483
)


123,213Selling, general and administrative expenses


(45,323
)


52,488



18,404



47,247



72,816Operating income (loss)


45,323



37,317



16,487



(48,730
)


50,397Interest expense


23,619



990



128



(451
)


24,286Income (loss) before income taxes


21,704



36,327



16,359



(48,279
)


26,111Income taxes


5,293



11



4,104



-0-



9,408Net income (loss)

$
16,411


$
36,316


$
12,255


$
(48,279
)

$
16,703  14




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##### Table of Contents



PARK-OHIO
    INDUSTRIES, INC. AND SUBSIDIARIES
    CONSOLIDATING STATEMENT OF OPERATIONS
    For the Three Months Ended September 30, 2008
  Combined


CombinedGuarantor


Non-GuarantorParent


Subsidiaries


Subsidiaries


Eliminations


Consolidated(In thousands)Net sales

$
-0-


$
216,731


$
49,417


$
-0-


$
266,148Cost of sales


-0-



190,806



35,953



-0-



226,759Gross profit


-0-



25,925



13,464



-0-



39,389Selling, general and administrative expenses


7,426



15,566



9,854



(4,910
)


27,936Impairment charges


-0-



17,480



-0-



-0-



17,480Operating income (loss)


(7,426
)


(7,121
)


3,610



4,910



(6,027
)Interest expense


6,432



251



216



(124
)


6,775Income (loss) before income taxes


(13,858
)


(7,372
)


3,394



5,034



(12,802
)Income taxes


(5,825
)


55



1,173



-0-



(4,597
)Net income (loss)

$
(8,033
)

$
(7,427
)

$
2,221


$
5,034


$
(8,205
)   PARK-OHIO
    INDUSTRIES, INC. AND SUBSIDIARIES
    CONSOLIDATING STATEMENT OF OPERATIONS
    For the Three Months Ended September 30, 2007
  Combined


CombinedGuarantor


Non-GuarantorParent


Subsidiaries


Subsidiaries


Eliminations


Consolidated(In thousands)Net sales

$
-0-



221,561


$
46,838


$
705


$
269,104Cost of sales


-0-



192,175



34,317



388



226,880Gross profit


-0-



29,386



12,521



317



42,224Selling, general and administrative expenses


(16,543
)


(1,419
)


5,350



36,268



23,656Operating income (loss)


16,543



30,805



7,171



(35,951
)


18,568Interest expense


7,734



473



(63
)


(151
)


7,993Income (loss) before income taxes


8,809



30,332



7,234



(35,800
)


10,575Income taxes


2,149



13



1,654



-0-



3,816Net income (loss)

$
6,660


$
30,319


$
5,580


$
(35,800
)

$
6,759  15




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##### Table of Contents



PARK-OHIO
    INDUSTRIES, INC. AND SUBSIDIARIES
    CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS
    For the Nine Months Ended September 30, 2008
  Combined


CombinedGuarantor


Non-GuarantorParent


Subsidiaries


Subsidiaries


Eliminations


Consolidated(In thousands)Net cash provided (used ) by operations

$
(54,056
)

$
62,421


$
2,373


$
-0-


$
10,738Cash flows from investing activities:Purchases of property, plant and equipment, net


(354
)


(15,071
)


(331
)


-0-



(15,756
)Net cash provided (used) in investing activities


(354
)


(15,071
)


(331
)


-0-



(15,756
)Cash flows from financing activities:Proceeds from revolving credit arrangements


14,800



-0-



5,739



-0-



20,539Principal payments on long-term debt


-0-



(211
)


-0-



-0-



(211
)Net cash provided (used ) by financing activities


14,800



(211
)


5,739



-0-



20,328Increase (decrease) in cash and cash equivalents


(39,610
)


47,139



7,781



-0-



15,310Cash and cash equivalents at beginning of period


844



607



11,626



-0-



13,077Cash and cash equivalents at end of period

$
(38,766
)

$
47,746


$
19,407


$
-0-


$
28,387  16




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##### Table of Contents



PARK-OHIO
    INDUSTRIES, INC. AND SUBSIDIARIES
    CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS
    For the Nine Months Ended September 30, 2007
  Combined


CombinedGuarantor


Non-GuarantorParent


Subsidiaries


Subsidiaries


Eliminations


Consolidated(In thousands)Net cash provided (used ) by operations

$
(64,312
)

$
66,437


$
4,428


$
-0-


$
6,553Cash flows from investing activities:Purchases of property, plant and equipment, net


(1,071
)


(5,839
)


(7,382
)


-0-



(14,292
)Net cash used in investing activities


(1,071
)


(5,839
)


(7,382
)


-0-



(14,292
)Cash flows from financing activities:Proceeds from revolving credit arrangements


-0-



-0-



1,179



-0-



1,179Principal payments on long-term debt


(1,100
)


(390
)


-0-



-0-



(1,490
)Net cash provided (used) by financing activities


(1,100
)


(390
)


1,179



-0-



(311
)Increase (decrease) in cash and cash equivalents


(66,483
)


60,208



(1,775
)


-0-



(8,050
)Cash and cash equivalents at beginning of period


7,920



570



12,382



-0-



20,872Cash and cash equivalents at end of period

$
(58,563
)

$
60,778


$
10,607


$
-0-


$
12,822  17




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##### Table of Contents



REPORT OF
    INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM             
  
 18




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##### Table of Contents



Item 2.
    Managements
    Discussion and Analysis of Financial Condition and Results of
    Operations    Executive
    Overview
  tm tm tm just-in-time
      Accounting
    Changes
   19




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##### Table of Contents



20




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##### Table of Contents



Results
    of Operations
  Nine
    Months 2008 versus Nine Months 2007
  Net
    Sales by Segment:
  Nine MonthsEndedSeptember 30,





Percent2008


2007


Change


ChangeSupply Technologies

$
399.5


$
404.0


$
(4.5
)


(1
)%Aluminum Products


120.3



131.8



(11.5
)


(9
)%Manufactured Products


299.4



287.8



11.6



4
%Consolidated Net Sales

$
819.2


$
823.6


$
(4.4
)


(1
)%   ramp-up.
  Cost
    of Products Sold & Gross Profit:
  Nine MonthsEndedSeptember 30,





Percent2008


2007


Change


ChangeConsolidated cost of products sold

$
697.4


$
700.4


$
(3.0
)


0
%Consolidated gross profit

$
121.8


$
123.2


$
(1.4
)


(1
)%Gross Margin


14.9
%


15.0
%       Selling,
    General & Administrative (SG&A)
    Expenses:
  Nine MonthsEndedSeptember 30,





Percent2008


2007


Change


ChangeConsolidated SG&A expenses

$
80.2


$
72.8


$
7.4



10
%SG&A percent of sales


9.8
%


8.8
%  21




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##### Table of Contents



Interest
    Expense:
  Nine MonthsEndedSeptember 30,





Percent2008


2007


Change


ChangeInterest expense

$
20.7


$
24.3


$
(3.6
)

(15)%Average outstanding borrowings

$
385.7


$
387.6


$
(1.9
)

(1)%Average borrowing rate


7.15
%


8.35
%


(120
)

basis points     Impairment
    Charges
    Income
    Tax:
    Results
    of Operations
  Third
    Quarter 2008 versus Third Quarter 2007
  Net
    Sales by Segment:
  Three MonthsEndedSeptember 30,





Percent2008


2007


Change


ChangeSupply Technologies

$
131.7


$
134.1


$
(2.4
)


(2
)%Aluminum Products


35.8



41.2



(5.4
)


(13
)%Manufactured Products


98.6



93.8



4.8



5
%Consolidated Net Sales

$
266.1


$
269.1


$
(3.0
)


(1
)%    22




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##### Table of Contents



ramp-up
  Cost
    of Products Sold & Gross Profit:
  Three MonthsEndedSeptember 30,





Percent2008


2007


Change


ChangeConsolidated cost of products sold

$
226.8


$
226.9


$
(.1
)


0
%Consolidated gross profit

$
39.4


$
42.2


$
(2.8
)


7
%Gross Margin


14.8
%


15.7
%     ramp-ups.
  SG&A
    Expenses:
  Three MonthsEndedSeptember 30,





Percent2008


2007


Change


ChangeConsolidated SG&A expenses

$
27.9


$
23.7


$
4.2



18
%SG&A percent of sales


10.5
%


8.8
%     Interest
    Expense:
  Three MonthsEndedSeptember 30,





Percent2008


2007


Change


ChangeInterest expense

$
6.8


$
8.0


$
(1.2
)

(15)%Average outstanding borrowings

$
388.6


$
384.4


$
4.2


1%Average borrowing rate


7.00
%


8.32
%


(132
)

basis points    23




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##### Table of Contents



Impairment
    Changes
    Income
    Tax:
    Seasonality;
    Variability of Operating Results
      Forward-Looking
    Statements
  Form 10-Q
 24




---



##### Table of Contents



Review By
    Independent Registered Public Accounting Firm
    Item 3.
    Quantitative
    and Qualitative Disclosures About Market Risk        Item 4.
    Controls
    and Procedures  Rules 13a-15(e)
   25




---



##### Table of Contents



PART II  OTHER INFORMATION
  Item 1.
    Legal
    Proceedings             26




---



##### Table of Contents



Item 1A.
    Risk
    Factors  Form 10-K
  Item 6.
    Exhibits    10
.1

Separation agreement with Richard P. Elliott, former Vice
    President and Chief Financial Officer, dated as of July 17,
    2008 (filed as Exhibit 10.1 to the Form 10-Q of Park-Ohio
    Holdings Corp. for the quarter ended September 30, 2008
    (SEC File No. 000-03134) and incorporated herein by
    reference)31
.1

Principal Executive Officers Certification Pursuant to
    Section 302 of the Sarbanes-Oxley Act of 200231
.2

Principal Financial Officers Certification Pursuant to
    Section 302 of the Sarbanes-Oxley Act of 200232


Certification requirement under Section 906 of the
    Sarbanes-Oxley Act of 2002  27




---



##### Table of Contents



SIGNATURE



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.



PARK-OHIO INDUSTRIES, INC.



(Registrant) By
    /s/  Jeffrey
    L. Rutherford   Title:
    Vice President and Chief Financial Officer    28




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##### Table of Contents



EXHIBIT INDEXQUARTERLY REPORT ON
    FORM 10-Q
    PARK-OHIO INDUSTRIES, INC. AND SUBSIDIARIES
    FOR THE QUARTER ENDED SEPTEMBER 30, 2008 Exhibit10
.1

Separation agreement with Richard P. Elliott, former Vice
    President and Chief Financial Officer, dated as of July 17,
    2008 (filed as Exhibit 10.1 to the Form 10-Q of Park-Ohio
    Holdings Corp. for the quarter ended September 30, 2008
    (SEC File No. 000-03134) and incorporated herein by
    reference)31
.1

Principal Executive Officers Certification Pursuant to
    Section 302 of the Sarbanes-Oxley Act of 200231
.2

Principal Financial Officers Certification Pursuant to
    Section 302 of the Sarbanes-Oxley Act of 200232


Certification requirement under Section 906 of the
    Sarbanes-Oxley Act of 2002  29