##### Table of Contents



UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
 WASHINGTON, D.C. 20549
 FORM 10-Q
 QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
 For the quarterly period ended September 30, 2009
 Commission file number: 0-31164
 Preformed Line Products Company
  Ohio
    
    34-0676895(State or Other Jurisdiction of Incorporation or Organization)
    
    (I.R.S. Employer Identification No.)660 Beta Drive 
Mayfield Village, Ohio
    
    44143(Address of Principal Executive Office)
    
    (Zip Code)
  
  þ o
 Yes o No o
  Large accelerated filer o
    
    Accelerated filer þ
    
    Non-accelerated filer o
    
    Smaller reporting company o(Do not check if a smaller reporting company)
 o þ




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##### 



Table of Contents
 PagePart I  Financial InformationItem 1. Financial Statements
    
    
    3Item 2. Managements Discussion and Analysis of Financial Condition and Results
of Operations
    
    
    17Item 3. Quantitative and Qualitative Disclosures About Market Risk
    
    
    27Item 4. Controls and Procedures
    
    
    28Part II  Other InformationItem 1. Legal Proceedings
    
    
    28Item 1A. Risk Factors
    
    
    28Item 2. Unregistered Sales of Equity Securities and Use of Proceeds
    
    
    28Item 3. Defaults Upon Senior Securities
    
    
    29Item 4. Submission of Matters to a Vote of Security Holders
    
    
    29Item 5. Other Information
    
    
    29Item 6. Exhibits
    
    
    29SIGNATURES
    
    
    31Exhibit 31.1Exhibit 31.2Exhibit 32.1Exhibit 32.2
   2




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##### Table of Contents



PART
I  FINANCIAL INFORMATION
 
 ITEM 1.    FINANCIAL STATEMENTS
 PREFORMED LINE PRODUCTS COMPANY
CONSOLIDATED BALANCE SHEETS
(UNAUDITED)
 September 30
    
    
    December 31Thousands of dollars, except share and per share data
    
    2009
    
    
    2008ASSETSCash and cash equivalents
    
    $
    35,520
    
    
    $
    19,869Accounts receivable, less allowances of $920 ($972 in 2008)
    
    
    45,937
    
    
    
    36,899Inventories  net
    
    
    48,439
    
    
    
    48,412Deferred income taxes
    
    
    2,184
    
    
    
    2,786Prepaids and other
    
    
    5,242
    
    
    
    4,704TOTAL CURRENT ASSETS
    
    
    137,322
    
    
    
    112,670Property and equipment  net
    
    
    61,124
    
    
    
    55,940Patents and other intangibles  net
    
    
    3,505
    
    
    
    3,858Goodwill
    
    
    6,436
    
    
    
    5,520Deferred income taxes
    
    
    5,885
    
    
    
    6,943Other assets
    
    
    7,072
    
    
    
    5,944TOTAL ASSETS
    
    $
    221,344
    
    
    $
    190,875LIABILITIES AND SHAREHOLDERS EQUITYNotes payable to banks
    
    $
    3,301
    
    
    $
    3,101Current portion of long-term debt
    
    
    967
    
    
    
    494Trade accounts payable
    
    
    17,188
    
    
    
    14,632Accrued compensation and amounts withheld from employees
    
    
    10,221
    
    
    
    6,606Accrued expenses and other liabilities
    
    
    7,517
    
    
    
    4,574Accrued profit-sharing and other benefits
    
    
    3,239
    
    
    
    3,687Dividends payable
    
    
    1,072
    
    
    
    1,054Income taxes and deferred taxes payable
    
    
    1,394
    
    
    
    1,100TOTAL CURRENT LIABILITIES
    
    
    44,899
    
    
    
    35,248Long-term debt, less current portion
    
    
    3,441
    
    
    
    2,653Unfunded pension obligation
    
    
    10,096
    
    
    
    11,303Income taxes payable, noncurrent
    
    
    746
    
    
    
    1,405Deferred income taxes
    
    
    607
    
    
    
    725Other noncurrent liabilities
    
    
    2,757
    
    
    
    2,540SHAREHOLDERS EQUITYPLPC shareholders equity:Common stock  $2 par value per share, 15,000,000 shares
authorized, 5,234,039 and 5,223,830 issued and outstanding,
net of 554,059 and 551,059 treasury shares at par, respectively
    
    
    10,468
    
    
    
    10,448Paid in capital
    
    
    5,369
    
    
    
    3,704Retained earnings
    
    
    156,086
    
    
    
    146,624Accumulated other comprehensive loss
    
    
    (13,549
    )
    
    
    (24,511
    )TOTAL PLPC SHAREHOLDERS EQUITY
    
    
    158,374
    
    
    
    136,265Noncontrolling interest
    
    
    424
    
    
    
    736TOTAL SHAREHOLDERS EQUITY
    
    
    158,798
    
    
    
    137,001TOTAL LIABILITIES AND SHAREHOLDERS EQUITY
    
    $
    221,344
    
    
    $
    190,875
 See notes to consolidated financial statements (unaudited).
  3




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##### Table of Contents



PREFORMED LINE PRODUCTS COMPANY
STATEMENTS OF CONSOLIDATED INCOME
(UNAUDITED)
 Three
month periodsended September 30
    
    
    Nine month periods
ended September 30Thousands, except per share data
    
    2009
    
    
    2008
    
    
    2009
    
    
    2008Net sales
    
    $
    69,132
    
    
    $
    73,952
    
    
    $
    187,394
    
    
    $
    209,179Cost of products sold
    
    
    44,518
    
    
    
    48,489
    
    
    
    124,352
    
    
    
    141,034GROSS PROFIT
    
    
    24,614
    
    
    
    25,463
    
    
    
    63,042
    
    
    
    68,145Costs and expensesSelling
    
    
    5,750
    
    
    
    6,119
    
    
    
    16,640
    
    
    
    17,879General and administrative
    
    
    8,609
    
    
    
    7,506
    
    
    
    23,032
    
    
    
    22,553Research and engineering
    
    
    2,411
    
    
    
    2,218
    
    
    
    6,631
    
    
    
    6,545Other operating expense (income)
    
    
    (337
    )
    
    
    462
    
    
    
    (359
    )
    
    
    60516,433
    
    
    
    16,305
    
    
    
    45,944
    
    
    
    47,582OPERATING INCOME
    
    
    8,181
    
    
    
    9,158
    
    
    
    17,098
    
    
    
    20,563Other income (expense)Interest income
    
    
    95
    
    
    
    225
    
    
    
    307
    
    
    
    655Interest expense
    
    
    (153
    )
    
    
    (138
    )
    
    
    (369
    )
    
    
    (415
    )Other income
    
    
    326
    
    
    
    176
    
    
    
    983
    
    
    
    196268
    
    
    
    263
    
    
    
    921
    
    
    
    436INCOME BEFORE INCOME TAXES AND DISCONTINUED OPERATIONS
    
    
    8,449
    
    
    
    9,421
    
    
    
    18,019
    
    
    
    20,999Income taxes
    
    
    2,190
    
    
    
    2,807
    
    
    
    5,501
    
    
    
    6,604INCOME FROM CONTINUING OPERATIONS, NET OF TAX
    
    
    6,259
    
    
    
    6,614
    
    
    
    12,518
    
    
    
    14,395Income (loss) from discontinued operations, net of tax
    
    
    
    
    
    
    (34
    )
    
    
    
    
    
    
    735NET INCOME
    
    
    6,259
    
    
    
    6,580
    
    
    
    12,518
    
    
    
    15,130Net income (loss) attributable to noncontrolling interest, net of tax
    
    
    (61
    )
    
    
    157
    
    
    
    (108
    )
    
    
    268NET INCOME ATTRIBUTABLE TO PLPC
    
    $
    6,320
    
    
    $
    6,423
    
    
    $
    12,626
    
    
    $
    14,862BASIC EARNINGS PER SHAREIncome per share from continuing operations attributable to PLPC shareholders
    
    $
    1.21
    
    
    $
    1.24
    
    
    $
    2.41
    
    
    $
    2.67Discontinued operations attributable to PLPC common shareholders
    
    $
    
    
    
    $
    (0.01
    )
    
    $
    
    
    
    $
    0.14Net income attributable to PLPC common shareholders
    
    $
    1.21
    
    
    $
    1.23
    
    
    $
    2.41
    
    
    $
    2.81DILUTED EARNINGS PER SHAREIncome per share from continuing operations attributable to PLPC shareholders
    
    $
    1.19
    
    
    $
    1.23
    
    
    $
    2.38
    
    
    $
    2.64Discontinued operations attributable to PLPC common shareholders
    
    $
    
    
    
    $
    (0.01
    )
    
    $
    
    
    
    $
    0.14Net income attributable to PLPC common shareholders
    
    $
    1.19
    
    
    $
    1.22
    
    
    $
    2.38
    
    
    $
    2.78Cash dividends declared per share
    
    $
    0.20
    
    
    $
    0.20
    
    
    $
    0.60
    
    
    $
    0.60Weighted-average number of shares outstanding  basic
    
    
    5,235
    
    
    
    5,218
    
    
    
    5,231
    
    
    
    5,298Weighted-average number of shares outstanding  diluted
    
    
    5,316
    
    
    
    5,269
    
    
    
    5,309
    
    
    
    5,345Amount attributable to PLPC common shareholdersIncome from continuing operations, net of tax
    
    $
    6,320
    
    
    $
    6,457
    
    
    $
    12,626
    
    
    $
    14,127Discontinued operations, net of tax
    
    
    
    
    
    
    (34
    )
    
    
    
    
    
    
    735Net Income
    
    $
    6,320
    
    
    $
    6,423
    
    
    $
    12,626
    
    
    $
    14,862
 See notes to consolidated financial statements (unaudited).
  4




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PREFORMED LINE PRODUCTS COMPANY
STATEMENTS OF CONSOLIDATED CASH FLOWS
(UNAUDITED)
 Nine
month periods
ended September 30Thousands of dollars
    
    2009
    
    
    2008OPERATING ACTIVITIESNet income
    
    $
    12,518
    
    
    $
    15,130Less: income from discontinued operations
    
    
    
    
    
    
    735Income from continuing operations
    
    
    12,518
    
    
    
    14,395Adjustments to reconcile net income to net cash provided by operations:Depreciation and amortization
    
    
    5,162
    
    
    
    6,054Provision for accounts receivable allowances
    
    
    410
    
    
    
    395Provision for inventory reserves
    
    
    1,316
    
    
    
    1,236Deferred income taxes
    
    
    1,683
    
    
    
    (1,044
    )Share-based compensation expense
    
    
    1,425
    
    
    
    196Excess tax benefits from share-based awards
    
    
    (75
    )
    
    
    (74
    )Net investment in life insurance
    
    
    (361
    )
    
    
    (281
    )Other  net
    
    
    15
    
    
    
    51Changes in operating assets and liabilities:Accounts receivable
    
    
    (7,171
    )
    
    
    (11,663
    )Inventories
    
    
    4,268
    
    
    
    (6,447
    )Trade accounts payables and accrued liabilities
    
    
    3,629
    
    
    
    9,269Income taxes payable
    
    
    (140
    )
    
    
    2,060Other  net
    
    
    (618
    )
    
    
    (60
    )NET CASH PROVIDED BY OPERATING ACTIVITIES
    
    
    22,061
    
    
    
    14,087INVESTING ACTIVITIESCapital expenditures
    
    
    (6,699
    )
    
    
    (9,002
    )Business acquisitions
    
    
    (433
    )
    
    
    (644
    )Proceeds from the sale of discontinued operations
    
    
    750
    
    
    
    10,486Proceeds from the sale of property and equipment
    
    
    168
    
    
    
    201NET CASH (USED IN) PROVIDED BY INVESTING ACTIVITIES
    
    
    (6,214
    )
    
    
    1,041FINANCING ACTIVITIESIncrease (decrease) in notes payable to banks
    
    
    140
    
    
    
    (800
    )Proceeds from the issuance of long-term debt
    
    
    1,174
    
    
    
    6,500Payments of long-term debt
    
    
    (375
    )
    
    
    (7,810
    )Dividends paid
    
    
    (3,198
    )
    
    
    (3,195
    )Excess tax benefits from share-based awards
    
    
    75
    
    
    
    74Proceeds from issuance of common shares
    
    
    191
    
    
    
    442Purchase of common shares for treasury
    
    
    (165
    )
    
    
    (7,458
    )NET CASH USED IN FINANCING ACTIVITIES
    
    
    (2,158
    )
    
    
    (12,247
    )Effects of exchange rate changes on cash and cash equivalents
    
    
    1,962
    
    
    
    (860
    )Net increase in cash and cash equivalents
    
    
    15,651
    
    
    
    2,021NET CASH USED IN DISCONTINUED OPERATIONSOperating cash flows
    
    
    
    
    
    
    958Investing cash flows
    
    
    
    
    
    
    (1,596
    )NET CASH USED IN DISCONTINUED OPERATIONS
    
    
    
    
    
    
    (638
    )Cash and cash equivalents at beginning of period
    
    
    19,869
    
    
    
    23,392CASH AND CASH EQUIVALENTS AT END OF PERIOD
    
    $
    35,520
    
    
    $
    24,775
 See notes to consolidated financial statements (unaudited).
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PREFORMED LINE PRODUCTS COMPANY
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(UNAUDITED)
 In thousands, except share and per share data, unless specifically noted
      Reclassifications
   Inventories
 net
 September 30
    
    
    December 312009
    
    
    2008Finished products
    
    $
    21,440
    
    
    $
    21,829Work-in-process
    
    
    3,132
    
    
    
    2,382Raw materials
    
    
    30,734
    
    
    
    32,23155,306
    
    
    
    56,442Excess of current cost over LIFO cost
    
    
    (3,303
    )
    
    
    (5,122
    )Noncurrent portion of inventory
    
    
    (3,564
    )
    
    
    (2,908
    )$
    48,439
    
    
    $
    48,412
   6




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##### Table of Contents



Property and equipment  net
  September 30
    
    
    December 312009
    
    
    2008Land and improvements
    
    $
    5,909
    
    
    $
    5,490Buildings and improvements
    
    
    50,215
    
    
    
    47,048Machinery and equipment
    
    
    100,233
    
    
    
    91,097Construction in progress
    
    
    3,501
    
    
    
    2,133159,858
    
    
    
    145,768Less accumulated depreciation
    
    
    98,734
    
    
    
    89,828$
    61,124
    
    
    $
    55,940
   Comprehensive
income (loss)
  PLPC
    
    
    Noncontrolling interest
    
    
    TotalThree month period
    
    
    Three month period
    
    
    Three month periodended September 30
    
    
    ended September 30
    
    
    ended September 302009
    
    
    2008
    
    
    2009
    
    
    2008
    
    
    2009
    
    
    2008Net income (loss)
    
    $
    6,320
    
    
    $
    6,423
    
    
    $
    (61
    )
    
    $
    157
    
    
    $
    6,259
    
    
    $
    6,580Other comprehensive income, net of tax:Foreign currency translation adjustments
    
    
    4,773
    
    
    
    (8,458
    )
    
    
    (2
    )
    
    
    (31
    )
    
    
    4,771
    
    
    
    (8,489
    )Recognized net actuarial loss
    
    
    99
    
    
    
    4
    
    
    
    
    
    
    
    
    
    
    
    99
    
    
    
    4Total other comprehensive income, net of tax
    
    
    4,872
    
    
    
    (8,454
    )
    
    
    (2
    )
    
    
    (31
    )
    
    
    4,870
    
    
    
    (8,485
    )Comprehensive income (loss)
    
    $
    11,192
    
    
    $
    (2,031
    )
    
    $
    (63
    )
    
    $
    126
    
    
    $
    11,129
    
    
    $
    (1,905
    )
  7




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PLPC
    
    
    Noncontrolling interest
    
    
    TotalNine month period
    
    
    Nine month period
    
    
    Nine month periodended September 30
    
    
    ended September 30
    
    
    ended September 302009
    
    
    2008
    
    
    2009
    
    
    2008
    
    
    2009
    
    
    2008Net income (loss)
    
    $
    12,626
    
    
    $
    14,862
    
    
    $
    (108
    )
    
    $
    268
    
    
    $
    12,518
    
    
    $
    15,130Other comprehensive income, net of tax:Foreign currency translation adjustments
    
    
    10,696
    
    
    
    (3,354
    )
    
    
    4
    
    
    
    (25
    )
    
    
    10,700
    
    
    
    (3,379
    )Recognized net actuarial loss
    
    
    266
    
    
    
    12
    
    
    
    
    
    
    
    
    
    
    
    266
    
    
    
    12Total other comprehensive income, net of tax
    
    
    10,962
    
    
    
    (3,342
    )
    
    
    4
    
    
    
    (25
    )
    
    
    10,966
    
    
    
    (3,367
    )Comprehensive income (loss)
    
    $
    23,588
    
    
    $
    11,520
    
    
    $
    (104
    )
    
    $
    243
    
    
    $
    23,484
    
    
    $
    11,763
 Legal proceedings
    Three
month periodended September 30,
    
    
    Nine month period
ended September 30,2009
    
    
    2008
    
    
    2009
    
    
    2008Service cost
    
    $
    250
    
    
    $
    167
    
    
    $
    681
    
    
    $
    502Interest cost
    
    
    312
    
    
    
    256
    
    
    
    896
    
    
    
    768Expected return on plan assets
    
    
    (203
    )
    
    
    (261
    )
    
    
    (569
    )
    
    
    (783
    )Recognized net actuarial loss (gain)
    
    
    158
    
    
    
    6
    
    
    
    422
    
    
    
    18Net periodic benefit cost
    
    $
    517
    
    
    $
    168
    
    
    $
    1,430
    
    
    $
    505
     8




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##### Table of Contents



For
the three month periodended September 30
    
    
    For the nine month period
ended September 302009
    
    
    2008
    
    
    2009
    
    
    2008NumeratorAmount attributable to PLPC shareholdersIncome from continuing operations
    
    $
    6,320
    
    
    $
    6,457
    
    
    $
    12,626
    
    
    $
    14,127Income (loss) from discontinued operations
    
    
    
    
    
    
    (34
    )
    
    
    
    
    
    
    735Net income attributable to PLPC
    
    $
    6,320
    
    
    $
    6,423
    
    
    $
    12,626
    
    
    $
    14,862Denominator (in thousands)Determination of sharesWeighted-average common shares outstanding
    
    
    5,235
    
    
    
    5,218
    
    
    
    5,231
    
    
    
    5,298Dilutive effect  share-based awards
    
    
    81
    
    
    
    51
    
    
    
    78
    
    
    
    47Diluted weighted-average common shares outstanding
    
    
    5,316
    
    
    
    5,269
    
    
    
    5,309
    
    
    
    5,345Earnings per common share attributable to PLPC shareholdersBasicIncome from continuing operations
    
    $
    1.21
    
    
    $
    1.24
    
    
    $
    2.41
    
    
    $
    2.67Income (loss) from discontinued operations
    
    $
    
    
    
    $
    (0.01
    )
    
    $
    
    
    
    $
    0.14Net income attributable to PLPC
    
    $
    1.21
    
    
    $
    1.23
    
    
    $
    2.41
    
    
    $
    2.81DilutedIncome from continuing operations
    
    $
    1.19
    
    
    $
    1.23
    
    
    $
    2.38
    
    
    $
    2.64Income (loss) from discontinued operations
    
    $
    
    
    
    $
    (0.01
    )
    
    $
    
    
    
    $
    0.14Net income attributable to PLPC
    
    $
    1.19
    
    
    $
    1.22
    
    
    $
    2.38
    
    
    $
    2.78
    September 30, 2009
    
    
    December 31, 2008Gross Carrying
    
    
    Accumulated
    
    
    Gross Carrying
    
    
    AccumulatedAmount
    
    
    Amortization
    
    
    Amount
    
    
    AmortizationFinite-lived intangible assetsPatents
    
    $
    4,809
    
    
    $
    (3,135
    )
    
    $
    4,807
    
    
    $
    (2,901
    )Land use rights
    
    
    1,360
    
    
    
    (49
    )
    
    
    1,350
    
    
    
    (32
    )Customer relationships
    
    
    1,003
    
    
    
    (483
    )
    
    
    1,003
    
    
    
    (369
    )$
    7,172
    
    
    $
    (3,667
    )
    
    $
    7,160
    
    
    $
    (3,302
    )Indefinite-lived intangible assetsGoodwill
    
    $
    6,436
    
    
    
    
    
    
    $
    5,520
    9




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##### Table of Contents



Australia
    
    
    South Africa
    
    
    Poland
    
    
    All Other
    
    
    TotalBalance at January 1, 2009
    
    $
    1,735
    
    
    $
    41
    
    
    $
    1,140
    
    
    $
    2,604
    
    
    $
    5,520Additions
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    433
    
    
    
    433Currency translation
    
    
    457
    
    
    
    11
    
    
    
    16
    
    
    
    (1
    )
    
    
    483Balance at September 30, 2009
    
    $
    2,192
    
    
    $
    52
    
    
    $
    1,156
    
    
    $
    3,036
    
    
    $
    6,436
  The 1999 Stock Option Plan
   2008Risk-free interest rate
    
    
    4.2
    %Dividend yield
    
    
    2.8
    %Expected life (years)
    
    
    6Expected volatility
    
    
    34.4
    %
  Weighted -
    
    
    Weighted -Average
    
    
    AverageExercise
    
    
    Remaining
    
    
    AggregateNumber
    
    
    Price per
    
    
    Contractual
    
    
    Intrinsicof Shares
    
    
    Share
    
    
    Term (Years)
    
    
    ValueOutstanding at January 1, 2009
    
    
    107,092
    
    
    $
    27.83Granted
    
    
    
    
    
    
    Exercised
    
    
    (13,809
    )
    
    $
    15.94Forfeited
    
    
    
    
    
    
    Outstanding (vested and expected
to vest) at September 30, 2009
    
    
    93,283
    
    
    $
    29.59
    
    
    
    4.8
    
    
    $
    1,140Exercisable at September 30, 2009
    
    
    83,033
    
    
    $
    27.60
    
    
    
    4.4
    
    
    $
    1,123
   10




---



##### Table of Contents



Long Term Incentive Plan of 2008
     Restricted Share AwardsPerformance
    
    
    
    
    
    
    Total
    
    
    Weighted-Averageand Service
    
    
    Service
    
    
    Restricted
    
    
    Grant-DateRequired
    
    
    Required
    
    
    Awards
    
    
    Fair ValueNonvested as of January 1, 2009
    
    
    39,364
    
    
    
    4,273
    
    
    
    43,637
    
    
    $
    54.74Granted
    
    
    75,982
    
    
    
    8,202
    
    
    
    84,184
    
    
    
    29.75Vested
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    Forfeited
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    Nonvested as of September 30,
2009
    
    
    115,346
    
    
    
    12,475
    
    
    
    127,821
    
    
    $
    38.28
    11




---



##### Table of Contents



September 30, 2009
    
    
    December 31, 2008Fair Value
    
    
    Carrying Value
    
    
    Fair Value
    
    
    Carrying ValueLong-term debt and
related current
maturities
    
    $
    4,345
    
    
    $
    4,408
    
    
    $
    3,294
    
    
    $
    3,147
  12




---



##### Table of Contents



13




---



##### Table of Contents



14




---



##### Table of Contents



Three month period
ended September 30
    
    

Nine month period
ended September 302009
    
    
    2008
    
    
    2009
    
    
    2008Net salesPLP-USA
    
    $
    27,007
    
    
    $
    30,021
    
    
    $
    81,706
    
    
    $
    85,725Australia
    
    
    7,207
    
    
    
    7,754
    
    
    
    19,149
    
    
    
    22,442Brazil
    
    
    9,132
    
    
    
    8,244
    
    
    
    20,014
    
    
    
    24,183South Africa
    
    
    3,284
    
    
    
    3,416
    
    
    
    7,431
    
    
    
    7,553Canada
    
    
    2,885
    
    
    
    2,613
    
    
    
    8,440
    
    
    
    7,685Poland
    
    
    3,053
    
    
    
    6,984
    
    
    
    8,748
    
    
    
    16,358All Other
    
    
    16,564
    
    
    
    14,920
    
    
    
    41,906
    
    
    
    45,233Total net sales
    
    $
    69,132
    
    
    $
    73,952
    
    
    $
    187,394
    
    
    $
    209,179Intersegment salesPLP-USA
    
    $
    1,504
    
    
    $
    2,181
    
    
    $
    4,579
    
    
    $
    5,232Australia
    
    
    19
    
    
    
    25
    
    
    
    53
    
    
    
    44Brazil
    
    
    804
    
    
    
    387
    
    
    
    1,774
    
    
    
    1,397South Africa
    
    
    191
    
    
    
    178
    
    
    
    395
    
    
    
    678Canada
    
    
    97
    
    
    
    130
    
    
    
    213
    
    
    
    343Poland
    
    
    182
    
    
    
    86
    
    
    
    926
    
    
    
    318All Other
    
    
    2,824
    
    
    
    2,801
    
    
    
    8,054
    
    
    
    7,135Total intersegment sales
    
    $
    5,621
    
    
    $
    5,788
    
    
    $
    15,994
    
    
    $
    15,147Interest incomePLP-USA
    
    $
    
    
    
    $
    38
    
    
    $
    15
    
    
    $
    105Australia
    
    
    10
    
    
    
    37
    
    
    
    19
    
    
    
    92Brazil
    
    
    21
    
    
    
    20
    
    
    
    59
    
    
    
    49South Africa
    
    
    32
    
    
    
    27
    
    
    
    99
    
    
    
    100Canada
    
    
    3
    
    
    
    27
    
    
    
    13
    
    
    
    80Poland
    
    
    9
    
    
    
    4
    
    
    
    27
    
    
    
    8All Other
    
    
    20
    
    
    
    72
    
    
    
    75
    
    
    
    221Total interest income
    
    $
    95
    
    
    $
    225
    
    
    $
    307
    
    
    $
    655Interest expensePLP-USA
    
    $
    (15
    )
    
    $
    (8
    )
    
    $
    (23
    )
    
    $
    (30
    )Australia
    
    
    (25
    )
    
    
    (40
    )
    
    
    (60
    )
    
    
    (136
    )Brazil
    
    
    (38
    )
    
    
    (7
    )
    
    
    (63
    )
    
    
    (12
    )South Africa
    
    
    
    
    
    
    (1
    )
    
    
    (1
    )
    
    
    (1
    )Canada
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    Poland
    
    
    (7
    )
    
    
    (19
    )
    
    
    (19
    )
    
    
    (59
    )All Other
    
    
    (68
    )
    
    
    (63
    )
    
    
    (203
    )
    
    
    (177
    )Total interest expense
    
    $
    (153
    )
    
    $
    (138
    )
    
    $
    (369
    )
    
    $
    (415
    )Income from continuing operations, net of taxPLP-USA
    
    $
    2,557
    
    
    $
    2,935
    
    
    $
    4,807
    
    
    $
    5,284Australia
    
    
    136
    
    
    
    203
    
    
    
    248
    
    
    
    430Brazil
    
    
    764
    
    
    
    327
    
    
    
    909
    
    
    
    903South Africa
    
    
    153
    
    
    
    706
    
    
    
    764
    
    
    
    1,620Canada
    
    
    526
    
    
    
    435
    
    
    
    1,464
    
    
    
    1,276Poland
    
    
    183
    
    
    
    963
    
    
    
    731
    
    
    
    1,685All Other
    
    
    1,940
    
    
    
    1,045
    
    
    
    3,595
    
    
    
    3,197Total income from continuing operations, net of tax
    
    
    6,259
    
    
    
    6,614
    
    
    
    12,518
    
    
    
    14,395Income (loss) from discontinued operations, net of tax
    
    
    
    
    
    
    (34
    )
    
    
    
    
    
    
    735Net income
    
    
    6,259
    
    
    
    6,580
    
    
    
    12,518
    
    
    
    15,130Net income (loss) attributable to noncontrolling interest,
net of tax
    
    
    (61
    )
    
    
    157
    
    
    
    (108
    )
    
    
    268Net income attributable to PLPC
    
    $
    6,320
    
    
    $
    6,423
    
    
    $
    12,626
    
    
    $
    14,862
  15




---



##### Table of Contents



September 30
    
    
    December 312009
    
    
    2008AssetsPLP-USA
    
    $
    76,692
    
    
    $
    72,641Australia
    
    
    26,798
    
    
    
    19,438Brazil
    
    
    23,066
    
    
    
    16,087South Africa
    
    
    7,674
    
    
    
    5,569Canada
    
    
    11,471
    
    
    
    8,545Poland
    
    
    14,746
    
    
    
    13,920All Other
    
    
    60,897
    
    
    
    54,675Total assets
    
    $
    221,344
    
    
    $
    190,875
           16




---



##### Table of Contents



ITEM 2.
    
    MANAGEMENTS DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS
           17




---



##### Table of Contents



Preface
     18




---



##### Table of Contents



Net Sales.
 Three month period ended September 30Change
    
    
    Changedue to
    
    
    excludingcurrency
    
    
    currency
    
    
    %thousands of dollars
    
    2009
    
    
    2008
    
    
    Change
    
    
    translation
    
    
    translation
    
    
    changeNet salesPLP-USA
    
    $
    27,007
    
    
    $
    30,021
    
    
    $
    (3,014
    )
    
    $
    
    
    
    $
    (3,014
    )
    
    
    (10
    )%Australia
    
    
    7,207
    
    
    
    7,754
    
    
    
    (547
    )
    
    
    (503
    )
    
    
    (44
    )
    
    
    (1
    )Brazil
    
    
    9,132
    
    
    
    8,244
    
    
    
    888
    
    
    
    (1,191
    )
    
    
    2,079
    
    
    
    25South Africa
    
    
    3,284
    
    
    
    3,416
    
    
    
    (132
    )
    
    
    (35
    )
    
    
    (97
    )
    
    
    (3
    )Canada
    
    
    2,885
    
    
    
    2,613
    
    
    
    272
    
    
    
    (153
    )
    
    
    425
    
    
    
    16Poland
    
    
    3,053
    
    
    
    6,984
    
    
    
    (3,931
    )
    
    
    (1,045
    )
    
    
    (2,886
    )
    
    
    (41
    )All Other
    
    
    16,564
    
    
    
    14,920
    
    
    
    1,644
    
    
    
    (1,038
    )
    
    
    2,682
    
    
    
    18Consolidated
    
    $
    69,132
    
    
    $
    73,952
    
    
    $
    (4,820
    )
    
    $
    (3,965
    )
    
    $
    (855
    )
    
    
    (1
    )%
  Gross profit
 Three month period ended September 30Change
    
    
    Changedue to
    
    
    excludingcurrency
    
    
    currency
    
    
    %thousands of dollars
    
    2009
    
    
    2008
    
    
    Change
    
    
    translation
    
    
    translation
    
    
    changeGross profitPLP-USA
    
    $
    10,241
    
    
    $
    10,730
    
    
    $
    (489
    )
    
    $
    
    
    
    $
    (489
    )
    
    
    (5
    )%Australia
    
    
    2,236
    
    
    
    2,603
    
    
    
    (367
    )
    
    
    (166
    )
    
    
    (201
    )
    
    
    (8
    )Brazil
    
    
    2,940
    
    
    
    2,484
    
    
    
    456
    
    
    
    (379
    )
    
    
    835
    
    
    
    34South Africa
    
    
    951
    
    
    
    1,456
    
    
    
    (505
    )
    
    
    (6
    )
    
    
    (499
    )
    
    
    (34
    )Canada
    
    
    1,293
    
    
    
    1,144
    
    
    
    149
    
    
    
    (71
    )
    
    
    220
    
    
    
    19Poland
    
    
    901
    
    
    
    2,174
    
    
    
    (1,273
    )
    
    
    (306
    )
    
    
    (967
    )
    
    
    (44
    )All Other
    
    
    6,052
    
    
    
    4,872
    
    
    
    1,180
    
    
    
    (472
    )
    
    
    1,652
    
    
    
    34Consolidated
    
    $
    24,614
    
    
    $
    25,463
    
    
    $
    (849
    )
    
    $
    (1,400
    )
    
    $
    551
    
    
    
    2
    %
   19




---



##### Table of Contents



Cost and expenses
 Three month period ended September 30Change
    
    
    Changedue to
    
    
    excludingcurrency
    
    
    currency
    
    
    %thousands of dollars
    
    2009
    
    
    2008
    
    
    Change
    
    
    translation
    
    
    translation
    
    
    changeCosts and expensesPLP-USA
    
    $
    8,668
    
    
    $
    8,117
    
    
    $
    551
    
    
    $
    
    
    
    $
    551
    
    
    
    7
    %Australia
    
    
    1,743
    
    
    
    1,921
    
    
    
    (178
    )
    
    
    (47
    )
    
    
    (131
    )
    
    
    (7
    )Brazil
    
    
    1,594
    
    
    
    1,750
    
    
    
    (156
    )
    
    
    (219
    )
    
    
    63
    
    
    
    4South Africa
    
    
    481
    
    
    
    345
    
    
    
    136
    
    
    
    (3
    )
    
    
    139
    
    
    
    40Canada
    
    
    390
    
    
    
    407
    
    
    
    (17
    )
    
    
    (22
    )
    
    
    5
    
    
    
    1Poland
    
    
    658
    
    
    
    894
    
    
    
    (236
    )
    
    
    (240
    )
    
    
    4
    
    
    
    All Other
    
    
    2,899
    
    
    
    2,871
    
    
    
    28
    
    
    
    (197
    )
    
    
    225
    
    
    
    8Consolidated
    
    $
    16,433
    
    
    $
    16,305
    
    
    $
    128
    
    
    $
    (728
    )
    
    $
    856
    
    
    
    5
    %
  Operating income
  20




---



##### Table of Contents



Other income (expense)
 Income taxes
 Income from continuing operations, net of tax
 Three month period ended September 30Change
    
    
    Changedue to
    
    
    excludingcurrency
    
    
    currency
    
    
    %thousands of dollars
    
    2009
    
    
    2008
    
    
    Change
    
    
    translation
    
    
    translation
    
    
    changeIncome from continuing
operations, net of taxPLP-USA
    
    
    2,557
    
    
    $
    2,935
    
    
    $
    (378
    )
    
    $
    
    
    
    $
    (378
    )
    
    
    (13
    )%Australia
    
    
    136
    
    
    
    203
    
    
    
    (67
    )
    
    
    (13
    )
    
    
    (54
    )
    
    
    (27
    )Brazil
    
    
    764
    
    
    
    327
    
    
    
    437
    
    
    
    (93
    )
    
    
    530
    
    
    
    162South Africa
    
    
    153
    
    
    
    706
    
    
    
    (553
    )
    
    
    (8
    )
    
    
    (545
    )
    
    
    (77
    )Canada
    
    
    526
    
    
    
    435
    
    
    
    91
    
    
    
    (29
    )
    
    
    120
    
    
    
    28Poland
    
    
    183
    
    
    
    963
    
    
    
    (780
    )
    
    
    (51
    )
    
    
    (729
    )
    
    
    (76
    )All Other
    
    
    1,940
    
    
    
    1,045
    
    
    
    895
    
    
    
    (146
    )
    
    
    1,041
    
    
    
    100Consolidated
    
    $
    6,259
    
    
    $
    6,614
    
    
    $
    (355
    )
    
    $
    (340
    )
    
    $
    (15
    )
    
    
    
    %
   21




---



##### Table of Contents



Net Sales
 Nine month period ended September 30Change
    
    
    Changedue to
    
    
    excludingcurrency
    
    
    currency
    
    
    %thousands of dollars
    
    2009
    
    
    2008
    
    
    Change
    
    
    translation
    
    
    translation
    
    
    changeNet salesPLP-USA
    
    $
    81,706
    
    
    $
    85,725
    
    
    $
    (4,019
    )
    
    $
    
    
    
    $
    (4,019
    )
    
    
    (5
    )%Australia
    
    
    19,149
    
    
    
    22,442
    
    
    
    (3,293
    )
    
    
    (4,142
    )
    
    
    849
    
    
    
    4Brazil
    
    
    20,014
    
    
    
    24,183
    
    
    
    (4,169
    )
    
    
    (4,398
    )
    
    
    229
    
    
    
    1South Africa
    
    
    7,431
    
    
    
    7,553
    
    
    
    (122
    )
    
    
    (757
    )
    
    
    635
    
    
    
    8Canada
    
    
    8,440
    
    
    
    7,685
    
    
    
    755
    
    
    
    (1,212
    )
    
    
    1,967
    
    
    
    26Poland
    
    
    8,748
    
    
    
    16,358
    
    
    
    (7,610
    )
    
    
    (3,791
    )
    
    
    (3,819
    )
    
    
    (23
    )All Other
    
    
    41,906
    
    
    
    45,233
    
    
    
    (3,327
    )
    
    
    (4,339
    )
    
    
    1,012
    
    
    
    2Consolidated
    
    $
    187,394
    
    
    $
    209,179
    
    
    $
    (21,785
    )
    
    $
    (18,639
    )
    
    $
    (3,146
    )
    
    
    (2
    )%
   22




---



##### Table of Contents



Gross profit.
 Nine month period ended September 30Change
    
    
    Changedue to
    
    
    excludingcurrency
    
    
    currency
    
    
    %thousands of dollars
    
    2009
    
    
    2008
    
    
    Change
    
    
    translation
    
    
    translation
    
    
    changeGross profitPLP-USA
    
    $
    28,369
    
    
    $
    28,414
    
    
    $
    (45
    )
    
    $
    
    
    
    $
    (45
    )
    
    
    
    %Australia
    
    
    5,483
    
    
    
    6,976
    
    
    
    (1,493
    )
    
    
    (1,135
    )
    
    
    (358
    )
    
    
    (5
    )Brazil
    
    
    5,679
    
    
    
    5,998
    
    
    
    (319
    )
    
    
    (1,188
    )
    
    
    869
    
    
    
    14South Africa
    
    
    2,595
    
    
    
    3,444
    
    
    
    (849
    )
    
    
    (309
    )
    
    
    (540
    )
    
    
    (16
    )Canada
    
    
    3,695
    
    
    
    3,425
    
    
    
    270
    
    
    
    (530
    )
    
    
    800
    
    
    
    23Poland
    
    
    2,642
    
    
    
    4,605
    
    
    
    (1,963
    )
    
    
    (1,150
    )
    
    
    (813
    )
    
    
    (18
    )All Other
    
    
    14,579
    
    
    
    15,283
    
    
    
    (704
    )
    
    
    (1,547
    )
    
    
    843
    
    
    
    6Consolidated
    
    $
    63,042
    
    
    $
    68,145
    
    
    $
    (5,103
    )
    
    $
    (5,859
    )
    
    $
    756
    
    
    
    1
    %
  Cost and expenses
 Nine month period ended September 30, 2009Change
    
    
    Changedue to
    
    
    excludingcurrency
    
    
    currency
    
    
    %thousands of dollars
    
    2009
    
    
    2008
    
    
    Change
    
    
    translation
    
    
    translation
    
    
    changeCosts and expensesPLP-USA
    
    $
    25,053
    
    
    $
    24,405
    
    
    $
    648
    
    
    $
    
    
    
    $
    648
    
    
    
    3
    %Australia
    
    
    4,269
    
    
    
    5,240
    
    
    
    (971
    )
    
    
    (844
    )
    
    
    (127
    )
    
    
    (2
    )Brazil
    
    
    4,047
    
    
    
    4,281
    
    
    
    (234
    )
    
    
    (874
    )
    
    
    640
    
    
    
    15South Africa
    
    
    1,172
    
    
    
    935
    
    
    
    237
    
    
    
    (118
    )
    
    
    355
    
    
    
    38Canada
    
    
    1,171
    
    
    
    1,262
    
    
    
    (91
    )
    
    
    (177
    )
    
    
    86
    
    
    
    7Poland
    
    
    1,719
    
    
    
    2,375
    
    
    
    (656
    )
    
    
    (744
    )
    
    
    88
    
    
    
    4All Other
    
    
    8,513
    
    
    
    9,084
    
    
    
    (571
    )
    
    
    (1,049
    )
    
    
    478
    
    
    
    5Consolidated
    
    $
    45,944
    
    
    $
    47,582
    
    
    $
    (1,638
    )
    
    $
    (3,806
    )
    
    $
    2,168
    
    
    
    5
    %
  23




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##### Table of Contents



Operating income
 Other income (expense)
 Income taxes
  24




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##### Table of Contents



Income from continuing operations, net of tax
 Nine month period ended September 30Change
    
    
    Changedue to
    
    
    excludingcurrency
    
    
    currency
    
    
    %thousands of dollars
    
    2009
    
    
    2008
    
    
    Change
    
    
    translation
    
    
    translation
    
    
    changeIncome from
continuing operations, net of taxPLP-USA
    
    $
    4,807
    
    
    $
    5,284
    
    
    $
    (477
    )
    
    $
    
    
    
    $
    (477
    )
    
    
    (9
    )%Australia
    
    
    248
    
    
    
    430
    
    
    
    (182
    )
    
    
    (36
    )
    
    
    (146
    )
    
    
    (34
    )Brazil
    
    
    909
    
    
    
    903
    
    
    
    6
    
    
    
    (202
    )
    
    
    208
    
    
    
    23South Africa
    
    
    764
    
    
    
    1,620
    
    
    
    (856
    )
    
    
    (130
    )
    
    
    (726
    )
    
    
    (45
    )Canada
    
    
    1,464
    
    
    
    1,276
    
    
    
    188
    
    
    
    (204
    )
    
    
    392
    
    
    
    31Poland
    
    
    731
    
    
    
    1,685
    
    
    
    (954
    )
    
    
    (317
    )
    
    
    (637
    )
    
    
    (38
    )All Other
    
    
    3,595
    
    
    
    3,197
    
    
    
    398
    
    
    
    (318
    )
    
    
    716
    
    
    
    22Consolidated
    
    $
    12,518
    
    
    $
    14,395
    
    
    $
    (1,877
    )
    
    $
    (1,207
    )
    
    $
    (670
    )
    
    
    (5
    )%
        25




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##### Table of Contents



26




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##### Table of Contents



ITEM 3.
    
    QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK
    27




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##### Table of Contents



ITEM 4.
    
    CONTROLS AND PROCEDURES
 Evaluation of Disclosure Controls and Procedures
  Changes in Internal Control over Financial Reporting
  
 PART II  OTHER INFORMATION
 
 ITEM 1.
    
    LEGAL PROCEEDINGS
  
 ITEM 1A.
    
    RISK FACTORS
  
 ITEM 2.
    
    UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS
   28




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##### Table of Contents



Total Number ofTotal
    
    
    
    
    
    
    Shares Purchased as
    
    
    Maximum Number ofNumber of
    
    
    Average
    
    
    Part of Publicly
    
    
    Shares that may yet beShares
    
    
    Price Paid
    
    
    Announced Plans or
    
    
    Purchased under thePeriod (2009)
    
    Purchased
    
    
    per Share
    
    
    Programs
    
    
    Plans or ProgramsJuly
    
    
    
    
    
    
    
    
    
    
    185,748
    
    
    
    14,252August
    
    
    3,000
    
    
    $
    35.01
    
    
    
    185,748
    
    
    
    14,252September
    
    
    
    
    
    
    
    
    
    
    188,748
    
    
    
    11,252Total
    
    
    3,000
 
 ITEM 3.
    
    DEFAULTS UPON SENIOR SECURITIES
  
 ITEM 4.
    
    SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS
  
 ITEM 5.
    
    OTHER INFORMATION
  
 ITEM 6.
    
    EXHIBITS
 31.1
    
    
    Certifications of the Principal Executive Officer, Robert G. Ruhlman, pursuant to Section 302
of the Sarbanes-Oxley Act of 2002, filed herewith.31.2
    
    
    Certifications of the Principal Financial Officer, Eric R. Graef, pursuant to Section 302 of
the Sarbanes-Oxley Act of 2002, filed herewith.32.1
    
    
    Certification of the Principal Executive Officer, Robert G. Ruhlman, pursuant to Section 906
of the Sarbanes-Oxley Act of 2002, furnished.32.2
    
    
    Certification of the Principal Accounting Officer, Eric R. Graef, pursuant to Section 906 of
the Sarbanes-Oxley Act of 2002, furnished.
  29




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##### Table of Contents




    
    The overall demand for cable anchoring and control hardware for electrical transmission
and distribution lines on a worldwide basis, which has a slow growth rate in mature markets
such as the United States, Canada, and Western Europe;
 
    
    The ability of our customers to raise funds needed to build the facilities their
customers require;
 
    
    Technological developments that affect longer-term trends for communication lines such
as wireless communication;
 
    
    The decreasing demands for product supporting copper-based infrastructure due to the
introduction of products using new technologies or adoption of new industry standards;
 
    
    The Companys success at continuing to develop proprietary technology to meet or exceed
new industry performance standards and individual customer expectations;
 
    
    The Companys success in strengthening and retaining relationships with the Companys
customers, growing sales at targeted accounts and expanding geographically;
 
    
    The extent to which the Company is successful in expanding the Companys product line
into new areas;
 
    
    The Companys ability to identify, complete and integrate acquisitions for profitable
growth;
 
    
    The potential impact of consolidation, deregulation and bankruptcy among the Companys
suppliers, competitors and customers;
 
    
    The relative degree of competitive and customer price pressure on the Companys
products;
 
    
    The cost, availability and quality of raw materials required for the manufacture of
products;
 
    
    The effects of fluctuation in currency exchange rates upon the Companys reported
results from international operations, together with non-currency risks of investing in and
conducting significant operations in foreign countries, including those relating to
political, social, economic and regulatory factors;
 
    
    Changes in significant government regulations affecting environmental compliances;
 
    
    The telecommunication markets continued deployment of Fiber-to-the-Premises;
 
    
    The Companys ability to obtain funding for future acquisitions;
    
    The potential impact of the depressed housing market on the Companys ongoing
profitability and future growth opportunities;
 
    
    Those factors described under the heading Risk Factors on page 12 of the Companys
Annual Report on Form 10-K for the year ended December 31, 2008 filed on March 13, 2009.
  30




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##### Table of Contents



SIGNATURES
  November 3, 2009
    /s/ Robert G. RuhlmanRobert G. RuhlmanChairman, President and Chief Executive Officer

(Principal Executive Officer)November 3, 2009
    /s/ Eric R. GraefEric R. GraefChief Financial Officer and Vice
President  Finance
(Principal Accounting Officer)  31




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##### Table of Contents



EXHIBIT INDEX
 31.1
    
    
    Certifications of the Principal Executive Officer, Robert G. Ruhlman, pursuant to Section 302
of the Sarbanes-Oxley Act of 2002, filed herewith.31.2
    
    
    Certifications of the Principal Financial Officer, Eric R. Graef, pursuant to Section 302 of
the Sarbanes-Oxley Act of 2002, filed herewith.32.1
    
    
    Certification of the Principal Executive Officer, Robert G. Ruhlman, pursuant to Section 906
of the Sarbanes-Oxley Act of 2002, furnished.32.2
    
    
    Certification of the Principal Accounting Officer, Eric R. Graef, pursuant to Section 906 of
the Sarbanes-Oxley Act of 2002, furnished.
  32