| **UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |
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| **Quarterly Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1938**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            |
| **                                                                                                                                                   ** |
| ****                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |
| **For the Quarter Ended April 3, 2005**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
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|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   | Commission File Number:  1-5761 |   |
| **                    **                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |
| **LaBarge, Inc.**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |
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|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   | (Exact name of registrant as specified in its charter.) |   |
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|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   | DELAWARE |                              | 73-0574586 |   |
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|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              | (State or other jurisdiction of incorporation or organization) |           | (I.R.S. Employer Identification Number) |              |
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|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    | 9900A Clayton Road, St. Louis, Missouri |     | 63124 |      |
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|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   | (Address) |   | (Zip Code) |   |
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|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   | (314) 997-0800 |   |
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|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   | (Registrant's telephone number, including area code.) |   |
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|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |   | N/A |   |   |
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|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |   | *(Former name, former address and former fiscal year, if changed since last report.)* |   |   |
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|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |   |   |   |   |

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 (or for such shorter period that theregistrant was required to file such reports), 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 an accelerated filer (as defined in Rule 12b-2 of the Act).  Yes [  ]  No [X].

Indicate the number of shares outstanding of each of the Issuer's classes of common stock as of April 3, 2005: 15,040,019 shares of common stock.

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| **LaBarge, Inc.**                       |
|-----------------------------------------|
|                                    |
| **FORM 10-Q**                           |
|                                         |
| **For the Quarter Ended April 3, 2005** |
|                                    |
| **Table of Contents**                   |
|                                    |
| **Part I**                              |
|                                         | Item 1 | Financial Information (Unaudited) |
|                     |
|                     |     | Consolidated Statements of Income |
|                                    | Consolidated Balance Sheets |
|                                    | Consolidated Statements of Cash Flows |
|                                    | Notes to Financial Statements |
|                                    |
| **   **                  | Item 2    | Management's Discussion and Analysis of Financial Condition and Results of Operations |
|                                    |  |
|                                    | Item 3 |    | Quantitative and Qualitative Disclosures about Market Risk |
|                                         |
| **Part II**                             |
|                                    | Item 4 | Controls and Procedures |
|                                         | Item 6 | Exhibits |
|                                         |  |  |
|                                         |
|                                    |
|                                         |

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LaBARGE, INC.CONSOLIDATED STATEMENTS OF INCOME*(Unaudited)*

***(Amounts In Thousands -- Except Per-Share Amounts)***
|                  |               |                                                    | Three Months Ended |                   | Nine Months Ended |
|--------------------------------------------------------------------------------------------------|--------------------------------------------------------------------------------|--------------------------------------------------------------------------------------------------------------------------|--------------------|------------------------|-------------------|
|                                                                                                  |                                                                                |                                                                                                                          |                    |                        |                   |
|                                                                                             |                                                                           |                                                                                                                     | **April 3,**       |                        | March 28,         |   | **April 3,** |  | March 28, |
|                                                                                             |                                                                           |                                                                                                                     | **2005**           |                        | 2004              |   | **2005** |  | 2004 |
|                                                                                                  |
|                                                                                             | **Net sales**                                                                  |                                                                                                                          |                    | **$**                  | **44,837**        |  | $ | 31,787 |  | **$** | **137,189** |  | $ | 90,600 |  |
|                                                                                             |                                                                           |                                                                                                                     |               |                   |              |   |   |   | ** ** |  |  |   |  |  | ** ** |  |  |   |  |  |
|                                                                                             | **Costs and expenses:**                                                        |                                                                                                                     |               |                   |                   |  |   |  |  |  |  |  |  |  |  |
|                                                                                             |                                                                           | Cost of sales                                                                                                            |                    |                        |              |   |  | **34,706** |  |  | 24,437 |  |  | **106,476** |  |  | 69,903 |  |
|                                                                                             |                                                                           | Selling and administrative expense                                                                                       |                    |                        | **5,972**         |  |  | 4,442 |  |  | **17,642** |  |  | 13,492 |  |
|                                                                                             |                                                                           | Interest expense                                                                                                         |                    |                        | **426**           |  |  | 192 |  |  | **1,345** |  |  | 291 |  |
|                                                                                             |                                                                           | Other income, net                                                                                                        |                    |                        | **(228**          | **)** |  | (228 | ) |  | **(430** | **)** |  | (518 | ) |
|                                                                                                  |
|                                                                                             | Earnings from continuing operations  before income taxes                  |                                                                                                                          |                    |                        | **3,961**         |  |  | 2,944 |  |  | **12,156** |  |  | 7,432 |  |
|                                                                                             | Income tax expense                                                             |                                                                                                                          |                    |                        | **954**           |  |  | 1,249 |  |  | **4,125** |  |  | 2,962 |  |
|                                                                                                  |
|                                                                                             | Net earnings from continuing operations                                        |                                                                                                                          |                    |                        | **3,007**         |  |  | 1,695 |  |  | **8,031** |  |  | 4,470 |  |
|                                                                                                  |
|                                                                                             |                                                                                |                      |                    |                        |                   |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|                                                                                             | **Discontinued operations:**                                                   |                                                                                                                          |                    |                        |                   | ** ** |   |   |   | ** ** | **  ** | ** ** |   |   |  |
|                                                                                             |                                                                                | Loss from discontinued operations (less applicable income tax benefit of $70)                                            |                    |                        | **---**           |  |   | --- |  | ** ** | **---** |  |   | (114 | ) |
|                                                                                             |                                                                                | Gain on disposal of discontinued operations of $20 (less applicable income tax expense of $8)                            |                    |                        | **---**           |  |  | --- |  |  | ****

**---** |  |  | 12 |  |
|                                                                                                  |
|                                                                                             |                                                                                |                                                                                                                     |               |                        |                   |  | **  ** |  |  |  |  |  |  |  |  |  |  |
|                                                                                             | **Net earnings**                                                               |                                                                                                 |     |                        | **$**             | **3,007** |  | $ | 1,695 |  | **$** | **8,031** |  | $ | 4,368 |  |
|                                                                                                  |
|                                                                                                  |                                                                                |                                                                                                                          |                    |                        |                   |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|                                                                                                  |
|                                                                                                  | **   **                                                         |                                                                                                                          |                    | **   ** |                   |  |  |  |  |  |  |  |  |  |
|                                                                                             | **Basic net earnings per common share:**                                       |                                                                                                                          |                    | **   ** |                   |  |  |  |  |  |  |  |  |  |
|                                                                                             | Net earnings from continuing operations                                        |                                                                                                                          | **$**              | **0.20**               |                   | $ | 0.11 |  | **$** | **0.54** |  | $ | 0.30 |  |
|                                                                                                  | Net loss from discontinued operations                                          |                                                                                                                          |                    | **---**                |                   |  | --- |  |  | **---** |  |  | (0.01 | ) |
|                                                                                                  |
|                                                                                                  | **Basic net earnings**                                                         |                                                                                                                          |                    | **$**                  | **0.20**          |  | $ | 0.11 |  | **$** | **0.54** |  | $ | 0.29 |  |
|                                                                                                  |
| ** **                                                                                       | **Average common shares outstanding**                                          |                                                                                                                          |                    | **15,026**             |                   |  | 14,985 |  |  | **15,002** |  |  | 14,907 |  |
|                                                                                                  |
|                                                                                                  |                                                                                |                                                                                                                          |                    |                        |                   |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|                                                                                                  |
|                                                                                                  |                                                                                |                                                                                                                          |                    |                        |                   |  |  |  |  |  |  |  |  |  |  |
|                                                                                             | **Diluted net earnings per share:**                                            |                                                                                                                          |                    |                        |                   |  |  |  |  |  |  |  |  |  |  |
|                                                                                        | Net earnings from continuing operations                                        |                                                                                                                          |                    | **$**                  | **0.19**          |  | $ | 0.11 |  | **$** | **0.51** |  | $ | 0.29 |  |
|                                                                                        | Net loss from discontinued operations                                          |                                                                                                                          |                    | **---**                |                   |  | --- |  |  | **---** |  |  | (0.01 | ) |
|                                                                                                  |
|                                                                                        | **Diluted net earnings**                                                       |                                                                                                                          | **$**              | **0.19**               |                   | $ | 0.11 |  | **$** | **0.51** |  | $ | 0.28 |  |
|                                                                                                  |
|                                                                                        | **Average diluted common   shares outstanding**                      | **15,938**                                                                                                               |                    |                        | 15,556            |  |  | **15,803** |  |  | 15,419 |  |
|                                                                                                  |
|                                                                                                  |                                                                                |                                                                                                                          |                    |                        |                   |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|                                                                                                  |
|                                                                                                  |                                                                 |                                                                                                                          |                    |                        |                   |  |  |  |  |  |  |  |  |

See accompanying notes to consolidated financial statements.

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LaBARGE, INC.CONSOLIDATED BALANCE SHEETS***(Amounts In Thousands -- Except Share Amounts)***
| **      **                   | ** **                                                                                                                                              | **April 3, 2005**                              |               | June 27, 2004 |             |
|------------------------------------------------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------|------------------------------------------------|---------------|---------------|-------------|
|                                                            |                                                                                                                                                         |                                                |               |               |             |
|                                                            |                                                                                                                                                         |                                                | *(Unaudited)* |               |             |  |  |
| **ASSETS**                                                 |                                                                                                                                                    |                                                |               |               |             |  |   |
| **Current assets:**                                        |                                                                                                                                                    |                                                |               |               |             |  |   |
|                                                       | Cash and cash equivalents                                                                                                                               |                                           | **$**         | **645**       |             | $ | 793 |   |
|                                                       | Accounts and other receivables, net                                                                                                                     |                                           |               | **22,299**    |             |  | 22,335 |   |
|                                                       | Inventories                                                                                                                                             |                                           |               | **43,800**    |             |  | 40,202 |   |
|                                                       | Prepaid expenses                                                                                                                                        |                                           |               | **1,001**     |             |  | 854 |   |
|                                                       | Deferred tax assets, net                                                                                                                                |                                           |               | **1,083**     |             |  | 818 |   |
|                                                            |                                                                                                                                                         |                                                |               |               |             |
|                                                            | **Total current assets**                                                                                                                                |                                           |               | **68,828**    |             |  | 65,002 |   |
|                                                            |                                                                                                                                                         |                                                |               |               |             |
|                                                            |                                                                                                                                                    |                                                |               |               |        |
| Property, plant and equipment, net                         |                                                                                                                                                    |                                                | **19,029**    |               |             | 18,910 |   |
| Intangible assets, net                                     |                                                                                                                                                    |                                                | **3,384**     |               |             | 3,881 |   |
| Goodwill, net                                              |                                                                                                                                                         |                                                | **24,292**    |               |             | 24,471 |  |
| Other assets, net                                          |                                                                                                                                                    |                                                | **5,332**     |               |             | 5,694 |   |
|                                                            |                                                                                                                                                         |                                                |               |               |             |
|                                                            |                                                                                                                                                    |                                                |               |               |        |
|                                                            | **Total assets**                                                                                                                                        |                                           | **$**         | **120,865**   |             | $ | 117,958 |   |
|                                                            |                                                                                                                                                         |                                                |               |               |             |
|                                                            |                                                                                                                                                         |                                                |               |               |             |
|                                                            |                                                                                                                                                         |                                                |               |               |             |
|                                                       |                                                                                                                                                         |                                                |               |               |             |
| **LIABILITIES AND STOCKHOLDERS' EQUITY**                   |                                                                                                                                                    |                                                |               |               |             |  |   |
| **Current liabilities:**                                   |                                                                                                                                                    |                                                |               |               |             |  |   |
|                                                            | Short-term borrowings                                                                                                                                   |                                                | **$**         | **5,425**     |             | $ | 7,050 |  |
|                                                       | Current maturities of long-term debt                                                                                                                    |                                           |               | **4,409**     |             |  | 4,415 |   |
|                                                       | Trade accounts payable                                                                                                                                  |                                           |               | **9,236**     |             |  | 12,305 |   |
|                                                       | Accrued employee compensation                                                                                                                           |                                           |               | **8,930**     |             |  | 8,466 |   |
|                                                       | Other accrued liabilities                                                                                                                               |                                           |               | **3,116**     |             |  | 2,567 |   |
|                                                            | Cash advances                                                                                                                                           |                                                |               | **11,018**    |             |  | 8,864 |  |
|                                                            |                                                                                                                                                         |                                                |               |               |             |
|                                                       | **Total current liabilities**                                                                                                                           |                                           |               | **42,134**    |             |  | 43,667 |   |
|                                                            |                                                                                                                                                         |                                                |               |               |             |
|                                                            |                                                                                                                                                    |                                                |               |               |        |
| Long-term advances from customer for purchase of materials |                                                                                                                                                    |                                                | **4,577**     |               |             | 5,370 |   |
| Deferred tax liabilities, net                              |                                                                                                                                                         |                                                | **364**       |               |             | 67 |  |
| Long-term debt                                             |                                                                                                                                                    |                                                | **22,937**    |               |             | 26,270 |   |
|                                                            |                                                                                                                                                         |                                                |               |               |             |
|                                             |                                                                                                                                                    |                                                |               |               |        |
| **Stockholders' equity:**                                  |                                                                                                                                                    |                                                |               |               |             |  |   |
|                                                       | Common stock, $.01 par value.  Authorized 40,000,000 shares; 15,773,253 issued at April 3, 2005 and at June 27, 2004, including shares in treasury |                                           |               | **158**       |             |  | 158 |   |
|                                                       | Additional paid-in capital                                                                                                                              |                                           |               | **13,622**    |             |  | 13,462 |   |
|                                                       | Retained earnings                                                                                                                                       |                                           |               | **39,884**    |             |  | 31,853 |   |
|                                                            | Accumulated other comprehensive income                                                                                                                  |                                                | **---**       |               | 157         |  |
|                                                            | Less cost of common stock in treasury shares of 733,234 at April 3, 2005 and 808,754 at June 27, 2004                                                   |                                                | **(2,811**    | **)**         | (3,046      | ) |
|                                                            |                                                                                                                                                         |                                                |               |               |             |
|                                                            |                                                                                                                                                    |                                                |               |               |        |
|                                                            | **Total stockholders' equity**                                                                                                                          |                                           |               | **50,853**    |             |  | 42,584 |   |
|                                                            |                                                                                                                                                         |                                                |               |               |             |
|                                                            |                                                                                                                                                    |                                                |               |               |        |
|                                                       |                                                                                                                                                         | **Total liabilities and stockholders' equity** |          | **$**         | **120,865** |  | $ | 117,958 |   |
|                                                            |                                                                                                                                                         |                                                |               |               |             |
|                                                            |                                                                                                                                                         |                                                |               |               |             |
|                                                            |                                                                                                                                                         |                                                |               |               |             |

See accompanying notes to consolidated financial statements.

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LaBARGE, INC.CONSOLIDATED STATEMENTS OF CASH FLOWS(Unaudited)

***(Amounts In Thousands)***
|                                                      |                                                                               | Nine Months Ended                  |             |
|------------------------------------------------------|-------------------------------------------------------------------------------|------------------------------------|------------------|
|                                                      |                                                                               |                                    |                  |
| **    **                         | ** **                                                                    | **April 3, 2005**                  | **  ** | March 28, 2004 |  |
|                                                      |                                                                               |                                    |                  |  |  |
| **Cash flows from operating activities:**            |                                                                          |                                    |                  |  |  |  |  |   |
|                                                 | Net earnings                                                                  |                               | **$**            | **8,031** | ** ** | $ | 4,368 |   |   |
|                                                 | Adjustments to reconcile net cash provided by operating activities:** ** |                                    | ** **       |   |  |   |   |
|                                                 | Gain on disposal of discontinued operations                                   |                                    |                  | **---** |  |  | (12 | ) |   |
|                                                 | Taxes payable on gain from discontinued operations                            |                                    |                  |  |  |  |    |     |   |
|                                                 |  (included in other accrued liabilities)                                 |                                    |                  | **---** |  |  | (8 | ) |   |
|                                                 | Net loss from discontinued operations                                         |                                    |                  | **---** |  |  | 114 |  |   |
|                                                 | Depreciation and amortization                                                 |                               |             | **3,395** |  |   | 2,323 |  |   |
|                                                      | Loss on disposal of property, plant and equipment                             |                                    |                  | **10** |  |  | 1 |  |   |
|                                                      | Other than temporary impairment                                               |                                    |                  |  |  |  |  |  |   |
|                                                      |  of investment                                                           |                                    |                  | **283** |  |  | --- |  |   |
|                                                      | Realized gain on sale of investment                                           |                                    |                  | **---** |  |  | (158 | ) |   |
|                                                 | Deferred taxes                                                                |                               |             | **122** |  |   | (222 | ) |   |
|                                                 | Changes in assets and liabilities, net of acquisitions:                       |                               |             |  |  |   |  |  |   |
|                                                 |                                                                          | Accounts and notes receivable, net |             |   | **36** |  |   | 1,193 |  |   |
|                                                 |                                                                          | Inventories                        |             |   | **(3,598** | **)** |   | (2,616 | ) |   |
|                                                 |                                                                          | Prepaid expenses                   |             |   | **(147** | **)** |   | (271 | ) |   |
|                                                      |                                                                               | Trade accounts payable             |                  |  | **(3,069** | **)** |  | 1,669 |  |   |
|                                                 |                                                                          | Advance payments                   |             |   | **1,361** |  |   | 7,077 |  |   |
|                                                      |                                                                               | Accrued liabilities and other      |                  |  | **1,013** |  |  | 250 |  |   |
|                                                      |                                                                               |                                    |                  |  |  |
| **Net cash provided by continuing operations**       |                                                                          |                               | **7,437**        |  |   | 13,708 |  |   |
| **Net cash provided by discontinued operations**     |                                                                               |                                    | **---**          |  |  | 2 |  |   |
|                                                      |                                                                               |                                    |                  |  |  |
| **Net cash provided by operating activities**        |                                                                               |                                    | **7,437**        |  |  | 13,710 |  |   |
|                                                      |                                                                               |                                    |                  |  |  |
| **Cash flows from investing activities:**            |                                                                          |                               |             |   |   |  |   |   |
|                                                      | Acquisition of Pinnacle                                                       |                                    |                  | **---** |  |  | (43,396 | ) |   |
|                                                 | Additions to property, plant and equipment                                    |                               |             | **(2,677** | **)** |  | (2,026 | ) |   |
|                                                      | Proceeds from sale of investment                                              |                                    |                  | **---** |  |  | 585 |  |   |
|                                                 | (Additions to) disposition of other assets and  intangibles              |                               |             | **(341** | **)** |  | 340 |  |   |
|                                                      | Proceeds from disposal of property and equipment                              |                                    |                  | **2** |  |  | 7 |  |   |
|                                                 | Proceeds from disposal of discontinued operations                             |                               |             | **---** |  |  | 225 |  |   |
|                                                      | Purchase of investment                                                        |                                    |                  | **---** |  |  | (1,425 | ) |   |
|                                                      |                                                                               |                                    |                  |  |  |
| **Net cash (used) by investing activities**          |                                                                          |                               | **(3,016**       | **)** |  | (45,690 | ) |   |
|                                                      |                                                                               |                                    |                  |  |  |
| **Cash flows from financing activities:**            |                                                                          |                               |                  |  |  |  |  |   |
|                                                      | Additions to long-term debt                                                   |                                    |                  | **---** |  |  | 25,000 |  |   |
|                                                 | Repayments of long-term senior debt                                           |                               |             | **(3,339** | **)** |  | (309 | ) |   |
|                                                 | Issuance of stock to employees                                                |                               |             | **413** |  |  | 578 |  |   |
|                                                 | Purchase of treasury stock                                                    |                               |             | **(76** | **)** |  | (886 | ) |   |
|                                                      | Additional capital contribution by shareholder                                |                                    |                  | **58** |  |  | --- |  |   |
|                                                 | Borrowings on revolving credit facility                                       |                               |             | **46,125** |  |  | 10,200 |  |   |
|                                                      | Payments on revolving credit facility                                         |                                    |                  | **(47,750** | **)** |  | (5,200 | ) |   |
|                                                      |                                                                               |                                    |                  |  |  |
| **Net cash (used) provided by financing activities** |                                                                          |                               | **(4,569**       | **)** |  | 29,383 |  |   |
|                                                      |                                                                               |                                    |                  |  |  |
| **Net decrease in cash and cash equivalents**        |                                                                          |                               | **(148**         | **)** |  | (2,597 | ) |   |
| **Cash and cash equivalents at beginning of year**   |                                                                          | ** **                         | **793**          |  |  | 4,030 |  |   |
|                                                      |                                                                               |                                    |                  |  |  |
| **Cash and cash equivalents at end of period**       |                                                                               | **$**                              | **645**          |  | $ | 1,433 |  |   |
|                                                      |                                                                               |                                    |                  |  |  |
|                                                      |                                                                               |                                    |                  |  |  |
|                                                      |                                                                               |                                    |                  |  |  |

See accompanying notes to consolidated financial statements.

----

 
|         | **LaBarge, Inc****.**                          |          |
|--------------------------------------------|------------------------------------------------|--------------------------------------------------|
|                                            | **NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** |                                                  |
|                                            | (Unaudited)                                    |                                                  |
| **1.** | **  ** | **CONSOLIDATED FINANCIAL STATEMENT -- BASIS OF PRESENTATION** |
|--------|------------------|---------------------------------------------------------------|

The consolidated balance sheet at April 3, 2005, the related consolidated statements of income for the three and nine months ended April 3, 2005 and March 28, 2004, and the consolidated statements of cash flows for the threeand nine months ended April 3, 2005 and March 28, 2004, have been prepared by LaBarge, Inc. (the "Company" or "LaBarge") without audit.  In the opinion of management, adjustments, all of a normal and recurring nature, necessary to present fairly the financialposition and the results of operations and cash flows for the aforementioned periods, have been made.  Certain prior year amounts have been reclassified to conform to the current year's presentation.

Certain information and footnote disclosures normally included in consolidated financial statements prepared in conformity with generally accepted accounting principles have been condensed or omitted.  These consolidatedfinancial statements should be read in conjunction with the audited financial statements and notes thereto included in the Company's Annual Report on Form 10-K for the fiscal year ended June 27, 2004.

**Stock-Based Compensation**In December 2002, the Financial Accounting Standards Board ("FASB") issued Statement of Financial Accounting Standard ("SFAS") No. 148 "Accounting for Stock-Based Compensation – Transition and Disclosure, an Amendment ofFASB Statement No. 123," to require prominent disclosures in both annual and interim financial statements about the method of accounting for stock-based employee compensation and the effect of the method used on reported results.  The Company previously adoptedthe disclosure-only provisions of SFAS No. 123, "Accounting for Stock-Based Compensation."  Under Accounting Principles Board opinion ("APB") No. 25, "Accounting for Stock Issued to Employees," no compensation expense is recognized for the Company's stock optionplans. 

The following table illustrates the effect on net earnings and net earnings per share if the Company had applied the fair value recognition provisions of SFAS No. 123 to stock-based employee compensation.

*(dollars in thousands, except per-share amounts)*
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