##### 



UNITED STATES SECURITIES AND EXCHANGE COMMISSION
 Washington, D.C. 20549
 FORM 10-Q
  þ
    
    QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934
 For the quarterly period ended September 29, 2006
 OR
 o
    
    TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934
 For the transition period from  to.
 Commission file number: 1-12983
 GENERAL CABLE CORPORATION
  Delaware
    
    06-1398235(State or other jurisdiction of
    
    (I.R.S. Employer Identification No.)incorporation or organization)4 Tesseneer Drive
    
    41076-9753Highland Heights, KY
    
    (Zip Code)(Address of principal executive offices)
 Registrants telephone number, including area code: (859) 572-8000
 þ o
  þ o o
 o þ
  Class
    
    Outstanding at November 1, 2006Common Stock, $0.01 par value
    
    51,581,720




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##### 



GENERAL CABLE CORPORATION AND SUBSIDIARIES
INDEX TO QUARTERLY REPORT
ON FORM 10-Q
 PAGEPART I
    
    Financial InformationItem 1.
    
    Condensed Consolidated Financial Statements (Unaudited)
Statements of Operations -For the three fiscal months and nine fiscal months ended
September 29, 2006 and September 30, 2005
    
    
    3Balance Sheets -
September 29, 2006 and December 31, 2005
    
    
    4Statements of Cash Flows -
For the nine fiscal months ended September 29, 2006 and
September 30, 2005
    
    
    5Statements of Changes in Shareholders Equity -
For the nine fiscal months ended September 29, 2006 and
September 30, 2005
    
    
    6Notes to Condensed Consolidated Financial Statements
    
    
    7Item 2.
    
    Managements Discussion and Analysis of Financial Condition
and Results of Operations
    
    
    41Item 3.
    
    Quantitative and Qualitative Disclosures about Market Risk
    
    
    65Item 4.
    
    Controls and Procedures
    
    
    66PART II
    
    Other InformationItem 1A.
    
    Risk Factors
    
    
    66Item 6.
    
    Exhibits
    
    
    67Signature
    
    
    
    
    68Exhibit Index
    
    
    
    
    69
 2




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##### 



GENERAL CABLE CORPORATION AND SUBSIDIARIES
Condensed Consolidated Statements of Operations
(in millions, except per share data)
(unaudited)
 Three Fiscal Months Ended
    
    
    Nine Fiscal Months EndedSept. 29,
    
    
    Sept. 30,
    
    
    Sept. 29,
    
    
    Sept. 30,2006
    
    
    2005
    
    
    2006
    
    
    2005Net sales
    
    $
    948.4
    
    
    $
    600.5
    
    
    $
    2,739.8
    
    
    $
    1,763.3Cost of sales
    
    
    826.4
    
    
    
    540.6
    
    
    
    2,390.7
    
    
    
    1,564.7Gross profit
    
    
    122.0
    
    
    
    59.9
    
    
    
    349.1
    
    
    
    198.6Selling, general and administrative expenses
    
    
    56.2
    
    
    
    42.6
    
    
    
    170.7
    
    
    
    129.1Operating income
    
    
    65.8
    
    
    
    17.3
    
    
    
    178.4
    
    
    
    69.5Other income (expense)
    
    
    (0.3
    )
    
    
    0.1
    
    
    
    0.7
    
    
    
    Interest income (expense):Interest expense
    
    
    (8.3
    )
    
    
    (10.4
    )
    
    
    (30.7
    )
    
    
    (31.3
    )Interest income
    
    
    0.7
    
    
    
    0.5
    
    
    
    1.9
    
    
    
    2.4(7.6
    )
    
    
    (9.9
    )
    
    
    (28.8
    )
    
    
    (28.9
    )Income before income taxes
    
    
    57.9
    
    
    
    7.5
    
    
    
    150.3
    
    
    
    40.6Income tax provision
    
    
    (20.8
    )
    
    
    (3.3
    )
    
    
    (50.3
    )
    
    
    (15.6
    )Net income
    
    
    37.1
    
    
    
    4.2
    
    
    
    100.0
    
    
    
    25.0Less: preferred stock dividends
    
    
    (0.1
    )
    
    
    (1.5
    )
    
    
    (0.3
    )
    
    
    (4.5
    )Net income applicable to common shareholders
    
    $
    37.0
    
    
    $
    2.7
    
    
    $
    99.7
    
    
    $
    20.5Earnings per shareEarnings per common share-basic
    
    $
    0.74
    
    
    $
    0.07
    
    
    $
    2.00
    
    
    $
    0.52Weighted average common shares-basic
    
    
    50.3
    
    
    
    39.6
    
    
    
    49.8
    
    
    
    39.5Earnings per common share-assuming dilution
    
    $
    0.71
    
    
    $
    0.07
    
    
    $
    1.93
    
    
    $
    0.49Weighted average common shares-assuming dilution
    
    
    52.6
    
    
    
    40.9
    
    
    
    51.9
    
    
    
    50.9
  3




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##### 



GENERAL CABLE CORPORATION AND SUBSIDIARIES
Condensed Consolidated Balance Sheets
(in millions, except share data)
(unaudited)
 Sept. 29,
    
    
    December 31,2006
    
    
    2005AssetsCurrent Assets:Cash
    
    $
    80.4
    
    
    $
    72.2Receivables, net of allowances of $9.4 million at September 29, 2006 and
$8.6 million at December 31, 2005
    
    
    807.4
    
    
    
    542.9Inventories
    
    
    478.8
    
    
    
    363.9Deferred income taxes
    
    
    42.5
    
    
    
    41.9Prepaid expenses and other
    
    
    55.0
    
    
    
    48.6Total current assets
    
    
    1,464.1
    
    
    
    1,069.5Property, plant and equipment, net
    
    
    400.4
    
    
    
    366.4Deferred income taxes
    
    
    58.3
    
    
    
    52.5Other non-current assets
    
    
    37.0
    
    
    
    34.8Total assets
    
    $
    1,959.8
    
    
    $
    1,523.2Liabilities and Shareholders EquityCurrent Liabilities:Accounts payable
    
    $
    692.3
    
    
    $
    472.3Accrued liabilities
    
    
    255.8
    
    
    
    212.2Current portion of long-term debt
    
    
    50.1
    
    
    
    6.4Total current liabilities
    
    
    998.2
    
    
    
    690.9Long-term debt
    
    
    399.5
    
    
    
    445.2Deferred income taxes
    
    
    13.5
    
    
    
    13.4Other liabilities
    
    
    109.4
    
    
    
    80.4Total liabilities
    
    
    1,520.6
    
    
    
    1,229.9Shareholders Equity:Redeemable convertible preferred stock, at redemption value (liquidation
preference of $50.00 per share):September 29, 2006  101,949 sharesDecember 31, 2005  129,916 shares
    
    
    5.1
    
    
    
    6.5Common stock, $0.01 par value, issued and outstanding shares:September 29, 2006  51,439,709 (net of 4,999,035 treasury shares)December 31, 2005  49,520,209 (net of 4,968,755 treasury shares)
    
    
    0.6
    
    
    
    0.5Additional paid-in capital
    
    
    276.0
    
    
    
    246.3Treasury stock
    
    
    (53.0
    )
    
    
    (52.2
    )Retained earnings
    
    
    203.5
    
    
    
    103.8Accumulated other comprehensive income (loss)
    
    
    7.0
    
    
    
    (6.8
    )Other shareholders equity
    
    
    
    
    
    
    (4.8
    )Total shareholders equity
    
    
    439.2
    
    
    
    293.3Total liabilities and shareholders equity
    
    $
    1,959.8
    
    
    $
    1,523.2
  4




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##### 



GENERAL CABLE CORPORATION AND SUBSIDIARIES
Condensed Consolidated Statements of Cash Flows
(in millions)
(unaudited)
 Nine Fiscal Months EndedSept. 29,
    
    
    Sept. 30,2006
    
    
    2005Cash flows of operating activities:Net income
    
    $
    100.0
    
    
    $
    25.0Adjustments to reconcile net income to net cash flows of
operating activities:Depreciation and amortization
    
    
    38.3
    
    
    
    43.6Foreign currency exchange gain
    
    
    (0.7
    )
    
    
    Deferred income taxes
    
    
    7.5
    
    
    
    (2.2
    )Loss on disposal of property
    
    
    1.4
    
    
    
    0.9Changes in operating assets and liabilities, net of effect of
acquisitions and divestitures:Increase in receivables
    
    
    (205.6
    )
    
    
    (86.6
    )Increase in inventories
    
    
    (79.2
    )
    
    
    (9.8
    )(Increase) decrease in other assets
    
    
    (2.1
    )
    
    
    13.1Increase in accounts payable, accrued and other liabilities
    
    
    234.5
    
    
    
    90.9Net cash flows of operating activities
    
    
    94.1
    
    
    
    74.9Cash flows of investing activities:Capital expenditures
    
    
    (46.5
    )
    
    
    (25.7
    )Proceeds from properties sold
    
    
    0.5
    
    
    
    1.9Acquisitions, net of cash acquired
    
    
    (28.1
    )
    
    
    (7.4
    )Other, net
    
    
    0.6
    
    
    
    2.0Net cash flows of investing activities
    
    
    (73.5
    )
    
    
    (29.2
    )Cash flows of financing activities:Preferred stock dividends paid
    
    
    (0.3
    )
    
    
    (4.5
    )Excess tax benefits from stock-based compensation
    
    
    11.4
    
    
    
    Proceeds from revolving credit borrowings
    
    
    144.5
    
    
    
    224.0Repayments of revolving credit borrowings
    
    
    (198.3
    )
    
    
    (247.2
    )Proceeds from other debt
    
    
    10.4
    
    
    
    0.9Proceeds from exercise of stock options
    
    
    17.7
    
    
    
    1.6Net cash flows of financing activities
    
    
    (14.6
    )
    
    
    (25.2
    )Effect of exchange rate changes on cash
    
    
    2.2
    
    
    
    (5.6
    )Increase in cash
    
    
    8.2
    
    
    
    14.9Cash  beginning of period
    
    
    72.2
    
    
    
    36.4Cash  end of period
    
    $
    80.4
    
    
    $
    51.3Supplemental InformationCash paid during the period for:Income tax payments, net of refunds
    
    $
    20.5
    
    
    $
    3.8Interest paid
    
    $
    21.9
    
    
    $
    21.7Non-cash investing and financing activities:Issuance of nonvested shares
    
    $
    6.0
    
    
    $
    3.6Entrance into capital leases
    
    $
    0.1
    
    
    $
    0.2
  5




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##### 



GENERAL CABLE CORPORATION AND SUBSIDIARIES
 Condensed Consolidated Statements of Changes in Shareholders Equity
(dollars in millions, share amounts in thousands)
(unaudited)
 AccumulatedAddl
    
    
    
    
    
    
    
    
    
    
    Other
    
    
    OtherPreferred Stock
    
    
    Common Stock
    
    
    Paid in
    
    
    Treasury
    
    
    Retained
    
    
    Comprehensive
    
    
    ShareholdersShares
    
    
    Amount
    
    
    Shares
    
    
    Amount
    
    
    Capital
    
    
    Stock
    
    
    Earnings
    
    
    Income/ (Loss)
    
    
    Equity
    
    
    TotalBalance, December 31, 2004
    
    
    2,070
    
    
    $
    103.5
    
    
    
    39,336
    
    
    $
    0.4
    
    
    $
    144.1
    
    
    $
    (51.0
    )
    
    $
    86.4
    
    
    $
    22.4
    
    
    $
    (4.4
    )
    
    $
    301.4Comprehensive income:Net income
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    25.0
    
    
    
    
    
    
    
    
    
    
    
    25.0Foreign currency translation
adjustment
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    (22.5
    )
    
    
    
    
    
    
    (22.5
    )Unrealized investment gain
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    0.6
    
    
    
    
    
    
    
    0.6Gain on change in fair value of
financial instruments, net of
$1.7 million tax expense
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    2.6
    
    
    
    
    
    
    
    2.6Comprehensive income
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    5.7Preferred stock dividend
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    (4.5
    )
    
    
    
    
    
    
    
    
    
    
    (4.5
    )Issuance of nonvested shares
    
    
    
    
    
    
    
    
    
    
    294
    
    
    
    
    
    
    
    3.6
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    (3.6
    )
    
    
    Exercise of stock options
    
    
    
    
    
    
    
    
    
    
    169
    
    
    
    
    
    
    
    1.6
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    1.6Repayment of loans from shareholders
    
    
    
    
    
    
    
    
    
    
    (83
    )
    
    
    
    
    
    
    (1.2
    )
    
    
    (1.2
    )
    
    
    
    
    
    
    
    
    
    
    1.6
    
    
    
    (0.8
    )Amortization of nonvested shares
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    0.9
    
    
    
    0.9Other
    
    
    
    
    
    
    
    
    
    
    25
    
    
    
    
    
    
    
    0.4
    
    
    
    
    
    
    
    0.5
    
    
    
    
    
    
    
    (0.1
    )
    
    
    0.8Balance, September 30, 2005
    
    
    2,070
    
    
    $
    103.5
    
    
    
    39,741
    
    
    $
    0.4
    
    
    $
    148.5
    
    
    $
    (52.2
    )
    
    $
    107.4
    
    
    $
    3.1
    
    
    $
    (5.6
    )
    
    $
    305.1Balance, December 31, 2005
    
    
    130
    
    
    $
    6.5
    
    
    
    49,520
    
    
    $
    0.5
    
    
    $
    246.3
    
    
    $
    (52.2
    )
    
    $
    103.8
    
    
    $
    (6.8
    )
    
    $
    (4.8
    )
    
    $
    293.3Comprehensive income:Net income
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    100.0
    
    
    
    
    
    
    
    
    
    
    
    100.0Foreign currency translation
adjustment
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    13.1
    
    
    
    
    
    
    
    13.1Unrealized investment gain
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    2.6
    
    
    
    
    
    
    
    2.6Loss on change in fair value of
financial instruments, net of $1.0
million tax benefit
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    (1.9
    )
    
    
    
    
    
    
    (1.9
    )Comprehensive income
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    113.8Preferred stock dividend
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    (0.3
    )
    
    
    
    
    
    
    
    
    
    
    (0.3
    )Reclass of unearned stock
compensation
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    (4.8
    )
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    4.8
    
    
    
    Issuance of nonvested shares
    
    
    
    
    
    
    
    
    
    
    213
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    Stock option expense
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    0.9
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    0.9Exercise of stock options
    
    
    
    
    
    
    
    
    
    
    1,568
    
    
    
    0.1
    
    
    
    17.7
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    17.8Treasury shares related to nonvested
stock vesting
    
    
    
    
    
    
    
    
    
    
    (30
    )
    
    
    
    
    
    
    
    
    
    
    (0.8
    )
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    (0.8
    )Amortization of nonvested shares
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    3.0
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    3.0Excess tax benefits from
stock-based compensation
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    11.4
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    11.4Conversion of preferred stock
    
    
    (28
    )
    
    
    (1.4
    )
    
    
    140
    
    
    
    
    
    
    
    1.4
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    Other
    
    
    
    
    
    
    
    
    
    
    29
    
    
    
    
    
    
    
    0.1
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    0.1Balance, September 29, 2006
    
    
    102
    
    
    $
    5.1
    
    
    
    51,440
    
    
    $
    0.6
    
    
    $
    276.0
    
    
    $
    (53.0
    )
    
    $
    203.5
    
    
    $
    7.0
    
    
    $
    
    
    
    $
    439.2
  6




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##### 



GENERAL CABLE CORPORATION AND SUBSIDIARIES
 Notes to Condensed Consolidated Financial Statements (Unaudited)
 1. General
  2. Summary of Accounting Policies
 Principles of Consolidation
  Basis of Presentation
  Use of Estimates
  Revenue Recognition
  7




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##### 



GENERAL CABLE CORPORATION AND SUBSIDIARIES
 Notes to Condensed Consolidated Financial Statements (Unaudited)  (Continued)
  Stock-Based Compensation
   Three Fiscal
    
    
    Nine FiscalMonths Ended
    
    
    Months EndedSept. 30, 2005
    
    
    Sept. 30, 2005Net income as reported
    
    $
    4.2
    
    
    $
    25.0Less: preferred stock dividends
    
    
    (1.5
    )
    
    
    (4.5
    )Deduct: Total stock-based employee compensation
expense determined under fair value based method for
all awards, net of related tax effects
    
    
    (0.2
    )
    
    
    (0.6
    )Pro forma net income for basic EPS computation
    
    $
    2.5
    
    
    $
    19.9Net income as reported
    
    $
    4.2
    
    
    $
    25.0Less: preferred stock dividends, if applicable
    
    
    (1.5
    )
    
    
    Deduct: Total stock-based employee compensation expense
determined under fair value based method for all
awards, net of related tax effects
    
    
    (0.2
    )
    
    
    (0.6
    )Pro forma net income for diluted EPS computation
    
    $
    2.5
    
    
    $
    24.4Earnings per share:Basic  as reported
    
    $
    0.07
    
    
    $
    0.52Basic  pro forma
    
    $
    0.06
    
    
    $
    0.50Diluted  as reported
    
    $
    0.07
    
    
    $
    0.49Diluted  pro forma
    
    $
    0.06
    
    
    $
    0.48
 8




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##### 



GENERAL CABLE CORPORATION AND SUBSIDIARIES
 Notes to Condensed Consolidated Financial Statements (Unaudited)  (Continued)
  Sept. 29,
    
    
    Sept. 30,2006
    
    
    2005Risk-free interest rate (a)
    
    
    4.7
    %
    
    
    3.7
    %Expected dividend yield (b)
    
    
    N/A
    
    
    
    N/AExpected option life (c)
    
    4.6 years
    
    5.5 yearsExpected stock price volatility (d)
    
    
    62.6
    %
    
    
    45.3
    %Weighted average fair value of options granted
    
    $
    12.75
    
    
    $
    5.56
 Risk-free interest rate
 Expected dividend yield
 Expected option life
 Expected stock price volatility
 Earnings Per Share
  Foreign Currency Translation
  Business Combination Accounting
  Inventories
  9




---



##### 



GENERAL CABLE CORPORATION AND SUBSIDIARIES
 Notes to Condensed Consolidated Financial Statements (Unaudited)  (Continued)
   Property, Plant and Equipment
     Goodwill and Other Intangible Assets
  10




---



##### 



GENERAL CABLE CORPORATION AND SUBSIDIARIES
 Notes to Condensed Consolidated Financial Statements (Unaudited)  (Continued)
  September 29, 2006
    
    December 31, 2005Accumulated
    
    
    
    
    
    
    
    
    
    AccumulatedLife
    
    Cost
    
    Amortization
    
    Life
    
    Cost
    
    AmortizationPatents
    
    
    12
    
    
    $
    1.1
    
    
    $
    *
    
    
    
    
    
    
    $
    
    
    
    $
    Customer Lists
    
    
    10
    
    
    
    0.4
    
    
    
    0.1
    
    
    
    10
    
    
    
    0.4
    
    
    
    *Total
    
    
    
    
    
    $
    1.5
    
    
    $
    0.1
    
    
    
    
    
    
    $
    0.4
    
    
    $
    *
 
 *
    
    Not significant during this period   2006
    
    $
    0.22007
    
    $
    0.22008
    
    $
    0.12009
    
    $
    0.12010
    
    $
    0.1
 Fair Value of Financial Instruments
  Forward Pricing Agreements for Purchases of Copper and Aluminum
  Pension Plans
  Self-insurance
  11




---



##### 



GENERAL CABLE CORPORATION AND SUBSIDIARIES
 Notes to Condensed Consolidated Financial Statements (Unaudited)  (Continued)
  Concentration of Labor Subject to Collective Bargaining Agreements
  Concentration of Credit Risk
  Income Taxes
     12




---



##### 



GENERAL CABLE CORPORATION AND SUBSIDIARIES
 Notes to Condensed Consolidated Financial Statements (Unaudited)  (Continued)
  Derivative Financial Instruments
    Shipping and Handling Costs
  Advertising Expense
  New Accounting Standards
   13




---



##### 



GENERAL CABLE CORPORATION AND SUBSIDIARIES
 Notes to Condensed Consolidated Financial Statements (Unaudited)  (Continued)
      3. Acquisitions and Divestitures
  14




---



##### 



GENERAL CABLE CORPORATION AND SUBSIDIARIES
 Notes to Condensed Consolidated Financial Statements (Unaudited)  (Continued)
   ® ® ®
  As ofDecember 22, 2005Cash
    
    $
    1.4Accounts receivable
    
    
    113.5Inventories
    
    
    49.1Prepaid expenses and other
    
    
    8.4Property, plant and equipment
    
    
    17.6Other noncurrent assets
    
    
    2.0Total assets
    
    $
    192.0Accounts payable
    
    $
    43.1Accrued liabilities
    
    
    40.0Other liabilities
    
    
    12.0Total liabilities
    
    $
    95.1
 .
  15




---



##### 



GENERAL CABLE CORPORATION AND SUBSIDIARIES
 Notes to Condensed Consolidated Financial Statements (Unaudited)  (Continued)
 AmortizationEstimated Fair
    
    
    PeriodValue
    
    
    (in years)Patents
    
    $
    1.0
    
    
    
    12.0Total amortizable intangible assets
    
    $
    1.0
    
    
    
    12.0Trademarks
    
    $
    1.0Total intangible assets
    
    $
    2.0
    ® ®
 Three Fiscal
    
    
    Nine FiscalMonths Ended
    
    
    Months EndedSept. 29,
    
    
    Sept. 30,
    
    
    Sept. 29,
    
    
    Sept. 302006
    
    
    2005
    
    
    2006
    
    
    2005(As reported)
    
    
    (Pro forma)
    
    
    (As reported)
    
    
    (Pro forma)Revenue
    
    $
    948.4
    
    
    $
    666.7
    
    
    $
    2,739.8
    
    
    $
    1,970.7Net income applicable to common shareholders
    
    $
    37.0
    
    
    $
    2.3
    
    
    $
    99.7
    
    
    $
    21.5Earnings per
common share  assuming dilution
    
    $
    0.71
    
    
    $
    0.06
    
    
    $
    1.93
    
    
    $
    0.51
 ® ® ®
  Three Fiscal Months Ended
    
    
    Nine Fiscal Months EndedSept. 29,
    
    
    Sept. 30,
    
    
    Sept. 29,
    
    
    Sept. 30,2006
    
    
    2005
    
    
    2006
    
    
    2005Release of deferred tax valuation allowance
    
    $
    
    
    
    $
    
    
    
    $
    3.7
    
    
    $
    Plant rationalization charges, net
    
    $
    
    
    
    $
    (15.6
    )
    
    $
    
    
    
    $
    (19.1
    )
  16




---



##### 



GENERAL CABLE CORPORATION AND SUBSIDIARIES
 Notes to Condensed Consolidated Financial Statements (Unaudited)  (Continued)
   4. Other Income (Expense)
  5. Inventories
  Sept. 29,
    
    
    December 31,2006
    
    
    2005Raw materials
    
    $
    58.0
    
    
    $
    40.6Work in process
    
    
    84.9
    
    
    
    56.2Finished goods
    
    
    335.9
    
    
    
    267.1Total
    
    $
    478.8
    
    
    $
    363.9
   6. Restructuring Charges
  Severance and
    
    
    FacilityRelated Costs
    
    

Closing Costs
    
    
    TotalBalance, December 31, 2005
    
    $
    1.0
    
    
    $
    0.5
    
    
    $
    1.5Provisions, net
    
    
    (0.2
    )
    
    
    
    
    
    
    (0.2
    )Utilization
    
    
    (0.8
    )
    
    
    (0.4
    )
    
    
    (1.2
    )Balance, September 29, 2006
    
    $
    
    
    
    $
    0.1
    
    
    $
    0.1
  17




---



##### 



GENERAL CABLE CORPORATION AND SUBSIDIARIES
 Notes to Condensed Consolidated Financial Statements (Unaudited)  (Continued)
 7. Long-Term Debt
  Sept. 29,
    
    
    December 31,2006
    
    
    2005Senior notes due 2010
    
    $
    285.0
    
    
    $
    285.0Revolving loans
    
    
    61.3
    
    
    
    115.1Spanish term loan
    
    
    35.3
    
    
    
    35.4Capital leases
    
    
    4.7
    
    
    
    5.2Other
    
    
    63.3
    
    
    
    10.9Total debt
    
    
    449.6
    
    
    
    451.6Less current maturities
    
    
    50.1
    
    
    
    6.4Long-term debt
    
    $
    399.5
    
    
    $
    445.2Weighted average interest rates on the above
outstanding balances were
as follows:Senior notes due 2010
    
    
    9.5
    %
    
    
    9.5
    %Revolving loans
    
    
    7.1
    %
    
    
    6.4
    %Spanish term loan
    
    
    4.2
    %
    
    
    3.4
    %Capital leases
    
    
    6.5
    %
    
    
    6.5
    %Other
    
    
    3.8
    %
    
    
    3.8
    %
      18




---



##### 



GENERAL CABLE CORPORATION AND SUBSIDIARIES
 Notes to Condensed Consolidated Financial Statements (Unaudited)  (Continued)
      ® ®
 
 
  19




---



##### 



GENERAL CABLE CORPORATION AND SUBSIDIARIES
 Notes to Condensed Consolidated Financial Statements (Unaudited)  (Continued)
     8. Financial Instruments
       20




---



##### 



GENERAL CABLE CORPORATION AND SUBSIDIARIES
 Notes to Condensed Consolidated Financial Statements (Unaudited)  (Continued)
    9. Pension Plans and Other Post-retirement Benefits
    21




---



##### 



GENERAL CABLE CORPORATION AND SUBSIDIARIES
 Notes to Condensed Consolidated Financial Statements (Unaudited)  (Continued)
  Three Fiscal Months Ended
    
    
    Nine Fiscal Months EndedSept. 29, 2006
    
    
    Sept. 30, 2005
    
    
    Sept. 29, 2006
    
    
    Sept. 30, 2005Pension
    
    
    Other
    
    
    Pension
    
    
    Other
    
    
    Pension
    
    
    Other
    
    
    Pension
    
    
    OtherService cost
    
    $
    0.7
    
    
    $
    
    
    
    $
    0.5
    
    
    $
    0.1
    
    
    $
    2.2
    
    
    $
    0.1
    
    
    $
    1.7
    
    
    $
    0.1Interest cost
    
    
    2.6
    
    
    
    0.2
    
    
    
    2.5
    
    
    
    0.1
    
    
    
    7.8
    
    
    
    0.5
    
    
    
    7.4
    
    
    
    0.4Expected return on plan assets
    
    
    (2.8
    )
    
    
    
    
    
    
    (2.7
    )
    
    
    
    
    
    
    (8.4
    )
    
    
    
    
    
    
    (8.0
    )
    
    
    Net amortization and deferral
    
    
    1.2
    
    
    
    0.1
    
    
    
    0.8
    
    
    
    
    
    
    
    3.6
    
    
    
    0.2
    
    
    
    2.6
    
    
    
    Curtailment (gain) loss
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    0.7
    
    
    
    (0.2
    )Total defined benefit plans expense
    
    
    1.7
    
    
    
    0.3
    
    
    
    1.1
    
    
    
    0.2
    
    
    
    5.2
    
    
    
    0.8
    
    
    
    4.4
    
    
    
    0.3Total defined contribution plans expense
    
    
    1.8
    
    
    
    
    
    
    
    1.8
    
    
    
    
    
    
    
    6.0
    
    
    
    
    
    
    
    5.1
    
    
    
    Total
    
    $
    3.5
    
    
    $
    0.3
    
    
    $
    2.9
    
    
    $
    0.2
    
    
    $
    11.2
    
    
    $
    0.8
    
    
    $
    9.5
    
    
    $
    0.3
   10. Shareholders Equity
     22




---



##### 



GENERAL CABLE CORPORATION AND SUBSIDIARIES
 Notes to Condensed Consolidated Financial Statements (Unaudited)  (Continued)
     23




---



##### 



GENERAL CABLE CORPORATION AND SUBSIDIARIES
 Notes to Condensed Consolidated Financial Statements (Unaudited)  (Continued)
   Sept. 29,
    
    
    December 31,2006
    
    
    2005Foreign currency translation adjustment
    
    $
    27.3
    
    
    $
    14.2Pension adjustments, net of tax
    
    
    (33.4
    )
    
    
    (33.4
    )Change in fair value of derivatives, net of tax
    
    
    6.6
    
    
    
    8.5Unrealized investment gains
    
    
    6.1
    
    
    
    3.5Other
    
    
    0.4
    
    
    
    0.4Total
    
    $
    7.0
    
    
    $
    (6.8
    )
  11. Share-Based Compensation
     24




---



##### 



GENERAL CABLE CORPORATION AND SUBSIDIARIES
 Notes to Condensed Consolidated Financial Statements (Unaudited)  (Continued)
    Stock Options
   WeightedAverageOptions
    
    
    ExerciseOutstanding
    
    
    PriceBalance At December 31, 2005
    
    
    3,144
    
    
    $
    10.90Granted
    
    
    109
    
    
    
    23.24Exercised
    
    
    (1,568
    )
    
    
    11.30Forfeited or Expired
    
    
    (36
    )
    
    
    19.64Balance At September 29, 2006
    
    
    1,649
    
    
    $
    11.12
   WeightedWeighted
    
    
    Average
    
    
    
    
    
    
    WeightedRange of
    
    Options
    
    
    Average
    
    
    Remaining
    
    
    Options
    
    
    AverageOption Prices
    
    Outstanding
    
    
    Exercise Price
    
    
    Contractual Life
    
    
    Exercisable
    
    
    Exercise Price$0 - $7
    
    
    518
    
    
    $
    4.01
    
    
    6.3 years
    
    
    518
    
    
    $
    4.01$7 - $14
    
    
    832
    
    
    
    11.83
    
    
    5.2 years
    
    
    662
    
    
    
    11.85$14 - $21
    
    
    61
    
    
    
    14.30
    
    
    3.0 years
    
    
    61
    
    
    
    14.30$21 - $28
    
    
    237
    
    
    
    23.24
    
    
    5.2 years
    
    
    130
    
    
    
    23.29$28 - $35
    
    
    1
    
    
    
    31.98
    
    
    9.6 years
    
    
    
    
    
    
    
 Nonvested Stock
  25




---



##### 



GENERAL CABLE CORPORATION AND SUBSIDIARIES
 Notes to Condensed Consolidated Financial Statements (Unaudited)  (Continued)
     WeightedAverageShares
    
    
    Grant DateOutstanding
    
    
    Fair ValueBalance At December 31, 2005
    
    
    743
    
    
    $
    9.90Granted
    
    
    255
    
    
    
    21.78Vested
    
    
    (303
    )
    
    
    9.10Forfeited
    
    
    (9
    )
    
    
    20.18Balance At September 29, 2006
    
    
    686
    
    
    $
    14.37
  26




---



##### 



GENERAL CABLE CORPORATION AND SUBSIDIARIES
 Notes to Condensed Consolidated Financial Statements (Unaudited)  (Continued)
 12. Earnings Per Common Share
  Three Fiscal Months Ended
    
    
    Nine Fiscal Months EndedSept. 29,
    
    
    Sept. 30,
    
    
    Sept. 29,
    
    
    Sept. 30,2006
    
    
    2005
    
    
    2006
    
    
    2005Earnings per common share  basic:Net income
    
    $
    37.1
    
    
    $
    4.2
    
    
    $
    100.0
    
    
    $
    25.0Less: preferred stock dividends
    
    
    (0.1
    )
    
    
    (1.5
    )
    
    
    (0.3
    )
    
    
    (4.5
    )Net income for basic EPS computation (1)
    
    $
    37.0
    
    
    $
    2.7
    
    
    $
    99.7
    
    
    $
    20.5Weighted average shares outstanding for basic EPS
computation (2)
    
    
    50.3
    
    
    
    39.6
    
    
    
    49.8
    
    
    
    39.5Earnings per common share  basic
    
    $
    0.74
    
    
    $
    0.07
    
    
    $
    2.00
    
    
    $
    0.52Earnings per common share  diluted:Net income
    
    $
    37.1
    
    
    $
    4.2
    
    
    $
    100.0
    
    
    $
    25.0Less: preferred stock dividends, if applicable
    
    
    
    
    
    
    (1.5
    )
    
    
    
    
    
    
    Net income for diluted EPS computation(1)
    
    $
    37.1
    
    
    $
    2.7
    
    
    $
    100.0
    
    
    $
    25.0Weighted average shares outstanding including
nonvested shares
    
    
    51.3
    
    
    
    39.6
    
    
    
    50.8
    
    
    
    39.5Dilutive effect of stock options and restricted
stock units
    
    
    0.8
    
    
    
    1.3
    
    
    
    0.6
    
    
    
    1.1Dilutive effect of assumed conversion of preferred
stock,
if applicable
    
    
    0.5
    
    
    
    
    
    
    
    0.5
    
    
    
    10.3Weighted average shares outstanding for diluted EPS
computation(2)
    
    
    52.6
    
    
    
    40.9
    
    
    
    51.9
    
    
    
    50.9Earnings per common share  diluted
    
    $
    0.71
    
    
    $
    0.07
    
    
    $
    1.93
    
    
    $
    0.49
 
 (1)
    
    Numerator(2)
    
    Denominator  13. Segment Information
   27




---



##### 



GENERAL CABLE CORPORATION AND SUBSIDIARIES
 Notes to Condensed Consolidated Financial Statements (Unaudited)  (Continued)
  Operating Segments
    
    Reportable SegmentsNorth American Utility
    
    North American Electric UtilityEuropean Utility
    
    International Electric UtilityAsia Pacific Utility
    
    International Electric UtilityPortable Cord & Electronics
    
    North American Portable Power and ControlIndustrial Products
    
    North American Electrical InfrastructureEuropean Industrial & Specialty Cables
    
    International Electrical InfrastructureAsia Pacific Industrial & Specialty Cables
    
    International Electrical InfrastructureAutomotive Products
    
    Transportation and Industrial HarnessesAssemblies
    
    Transportation and Industrial HarnessesOutside Voice & Data
    
    TelecommunicationsDatacom Products
    
    NetworkingEuropean Communications
    
    NetworkingAsia Pacific Communications
    
    Networking
    28




---



##### 



GENERAL CABLE CORPORATION AND SUBSIDIARIES
 Notes to Condensed Consolidated Financial Statements (Unaudited)  (Continued)
  Three Fiscal Months EndedSept. 29,
    
    
    Sept. 30,2006
    
    
    2005Net sales:North American Electric Utility
    
    $
    200.3
    
    
    $
    148.8International Electric Utility
    
    
    155.7
    
    
    
    64.5North American Portable Power and Control
    
    
    75.0
    
    
    
    57.6North American Electrical Infrastructure
    
    
    82.6
    
    
    
    49.3International Electrical Infrastructure
    
    
    225.3
    
    
    
    105.3Transportation and Industrial Harnesses
    
    
    28.6
    
    
    
    27.6Telecommunications
    
    
    95.3
    
    
    
    85.3Networking
    
    
    85.6
    
    
    
    62.1Total net sales
    
    $
    948.4
    
    
    $
    600.5
 Three Fiscal Months EndedSept. 29,
    
    
    Sept. 30,2006
    
    
    2005Operating income(loss):North American Electric Utility
    
    $
    14.9
    
    
    $
    9.1International Electric Utility
    
    
    14.3
    
    
    
    8.7North American Portable Power and Control
    
    
    6.5
    
    
    
    2.6North American Electrical Infrastructure
    
    
    4.6
    
    
    
    (2.1
    )International Electrical Infrastructure
    
    
    15.0
    
    
    
    4.7Transportation and Industrial Harnesses
    
    
    3.9
    
    
    
    4.4Telecommunications
    
    
    5.1
    
    
    
    5.3Networking
    
    
    1.5
    
    
    
    0.2Subtotal
    
    
    65.8
    
    
    
    32.9Corporate
    
    
    
    
    
    
    (15.6
    )Total operating income
    
    $
    65.8
    
    
    $
    17.3
 Nine Fiscal Months EndedSept. 29,
    
    
    Sept. 30,2006
    
    
    2005Net sales:North American Electric Utility
    
    $
    589.1
    
    
    $
    419.9International Electric Utility
    
    
    426.5
    
    
    
    202.3North American Portable Power and Control
    
    
    225.6
    
    
    
    167.3North American Electrical Infrastructure
    
    
    238.6
    
    
    
    143.8International Electrical Infrastructure
    
    
    656.7
    
    
    
    334.7Transportation and Industrial Harnesses
    
    
    87.9
    
    
    
    87.3Telecommunications
    
    
    281.6
    
    
    
    244.4Networking
    
    
    233.8
    
    
    
    163.6Total net sales
    
    $
    2,739.8
    
    
    $
    1,763.3
 29




---



##### 



GENERAL CABLE CORPORATION AND SUBSIDIARIES
 Notes to Condensed Consolidated Financial Statements (Unaudited)  (Continued)
 Nine Fiscal Months EndedSept. 29,
    
    
    Sept. 30,2006
    
    
    2005Operating income(loss):North American Electric Utility
    
    $
    35.2
    
    
    $
    19.9International Electric Utility
    
    
    37.7
    
    
    
    24.3North American Portable Power and Control
    
    
    17.0
    
    
    
    4.7North American Electrical Infrastructure
    
    
    9.2
    
    
    
    (7.9
    )International Electrical Infrastructure
    
    
    42.9
    
    
    
    17.8Transportation and Industrial Harnesses
    
    
    11.6
    
    
    
    15.3Telecommunications
    
    
    23.6
    
    
    
    14.4Networking
    
    
    1.2
    
    
    
    0.1Subtotal
    
    
    178.4
    
    
    
    88.6Corporate
    
    
    
    
    
    
    (19.1
    )Total operating income
    
    $
    178.4
    
    
    $
    69.5
 As ofSept. 29,
    
    
    Dec. 31,2006
    
    
    2005Identifiable assets:North American Electric Utility
    
    $
    216.0
    
    
    $
    187.2International Electric Utility
    
    
    416.4
    
    
    
    286.5North American Portable Power and Control
    
    
    137.6
    
    
    
    98.6North American Electrical Infrastructure
    
    
    115.1
    
    
    
    93.6International Electrical Infrastructure
    
    
    481.3
    
    
    
    331.9Transportation and Industrial Harnesses
    
    
    55.8
    
    
    
    56.7Telecommunications
    
    
    165.1
    
    
    
    133.1Networking
    
    
    209.9
    
    
    
    168.7Corporate
    
    
    162.6
    
    
    
    166.9Total assets
    
    $
    1,959.8
    
    
    $
    1,523.2
 14. Commitments and Contingencies
     30




---



##### 



GENERAL CABLE CORPORATION AND SUBSIDIARIES
 Notes to Condensed Consolidated Financial Statements (Unaudited)  (Continued)
    ® 
     31




---



##### 



GENERAL CABLE CORPORATION AND SUBSIDIARIES
 Notes to Condensed Consolidated Financial Statements (Unaudited)  (Continued)
   ®
 32




---



##### 



GENERAL CABLE CORPORATION AND SUBSIDIARIES
 Notes to Condensed Consolidated Financial Statements (Unaudited)  (Continued)
 15. Supplemental Guarantor Information
  Condensed Statements of Operations
Three Fiscal Months Ended September 29, 2006
 Non-Guarantor
    
    
    GuarantorIssuer
    
    
    Subsidiaries
    
    
    Subsidiaries
    
    
    Eliminations
    
    
    TotalNet sales:Customers
    
    $
    
    
    
    $
    444.3
    
    
    $
    504.1
    
    
    $
    
    
    
    $
    948.4Intercompany
    
    
    11.0
    
    
    
    
    
    
    
    
    
    
    
    (11.0
    )
    
    
    11.0
    
    
    
    444.3
    
    
    
    504.1
    
    
    
    (11.0
    )
    
    
    948.4Cost of sales
    
    
    
    
    
    
    386.9
    
    
    
    439.5
    
    
    
    
    
    
    
    826.4Gross profit
    
    
    11.0
    
    
    
    57.4
    
    
    
    64.6
    
    
    
    (11.0
    )
    
    
    122.0Selling, general and administrative expenses
    
    
    13.8
    
    
    
    26.2
    
    
    
    27.2
    
    
    
    (11.0
    )
    
    
    56.2Operating income (loss)
    
    
    (2.8
    )
    
    
    31.2
    
    
    
    37.4
    
    
    
    
    
    
    
    65.8Other expense
    
    
    
    
    
    
    
    
    
    
    (0.3
    )
    
    
    
    
    
    
    (0.3
    )Interest income (expense):Interest expense
    
    
    (4.8
    )
    
    
    (15.9
    )
    
    
    (2.0
    )
    
    
    14.4
    
    
    
    (8.3
    )Interest income
    
    
    13.4
    
    
    
    0.2
    
    
    
    1.5
    
    
    
    (14.4
    )
    
    
    0.78.6
    
    
    
    (15.7
    )
    
    
    (0.5
    )
    
    
    
    
    
    
    (7.6
    )Income before income taxes
    
    
    5.8
    
    
    
    15.5
    
    
    
    36.6
    
    
    
    
    
    
    
    57.9Income tax provision
    
    
    (2.1
    )
    
    
    (7.7
    )
    
    
    (11.0
    )
    
    
    
    
    
    
    (20.8
    )Equity in net income of subsidiaries
    
    
    33.4
    
    
    
    25.6
    
    
    
    
    
    
    
    (59.0
    )
    
    
    Net income
    
    
    37.1
    
    
    
    33.4
    
    
    
    25.6
    
    
    
    (59.0
    )
    
    
    37.1Less: preferred stock dividends
    
    
    (0.1
    )
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    (0.1
    )Net income applicable to common
shareholders
    
    $
    37.0
    
    
    $
    33.4
    
    
    $
    25.6
    
    
    $
    (59.0
    )
    
    $
    37.0
 33




---



##### 



GENERAL CABLE CORPORATION AND SUBSIDIARIES
 Notes to Condensed Consolidated Financial Statements (Unaudited)  (Continued)
 Condensed Statements of Operations
Nine Fiscal Months Ended September 29, 2006
 Non-Guarantor
    
    
    GuarantorIssuer
    
    
    Subsidiaries
    
    
    Subsidiaries
    
    
    Eliminations
    
    
    TotalNet sales:Customers
    
    $
    
    
    
    $
    1,299.5
    
    
    $
    1,440.3
    
    
    $
    
    
    
    $
    2,739.8Intercompany
    
    
    36.7
    
    
    
    
    
    
    
    
    
    
    
    (36.7
    )
    
    
    36.7
    
    
    
    1,299.5
    
    
    
    1,440.3
    
    
    
    (36.7
    )
    
    
    2,739.8Cost of sales
    
    
    
    
    
    
    1,128.5
    
    
    
    1,262.2
    
    
    
    
    
    
    
    2,390.7Gross profit
    
    
    36.7
    
    
    
    171.0
    
    
    
    178.1
    
    
    
    (36.7
    )
    
    
    349.1Selling, general and administrative
expenses
    
    
    37.8
    
    
    
    90.8
    
    
    
    78.8
    
    
    
    (36.7
    )
    
    
    170.7Operating income (loss)
    
    
    (1.1
    )
    
    
    80.2
    
    
    
    99.3
    
    
    
    
    
    
    
    178.4Other income (expense)
    
    
    
    
    
    
    (0.1
    )
    
    
    0.8
    
    
    
    
    
    
    
    0.7Interest income (expense):Interest expense
    
    
    (20.0
    )
    
    
    (46.4
    )
    
    
    (5.5
    )
    
    
    41.2
    
    
    
    (30.7
    )Interest income
    
    
    38.7
    
    
    
    0.5
    
    
    
    3.9
    
    
    
    (41.2
    )
    
    
    1.918.7
    
    
    
    (45.9
    )
    
    
    (1.6
    )
    
    
    
    
    
    
    (28.8
    )Income before income taxes
    
    
    17.6
    
    
    
    34.2
    
    
    
    98.5
    
    
    
    
    
    
    
    150.3Income tax provision
    
    
    (6.2
    )
    
    
    (13.1
    )
    
    
    (31.0
    )
    
    
    
    
    
    
    (50.3
    )Equity in net income of subsidiaries
    
    
    88.6
    
    
    
    67.5
    
    
    
    
    
    
    
    (156.1
    )
    
    
    Net income
    
    
    100.0
    
    
    
    88.6
    
    
    
    67.5
    
    
    
    (156.1
    )
    
    
    100.0Less: preferred stock dividends
    
    
    (0.3
    )
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    (0.3
    )Net income applicable to common
shareholders
    
    $
    99.7
    
    
    $
    88.6
    
    
    $
    67.5
    
    
    $
    (156.1
    )
    
    $
    99.7
 34




---



##### 



GENERAL CABLE CORPORATION AND SUBSIDIARIES
 Notes to Condensed Consolidated Financial Statements (Unaudited)  (Continued)
 Condensed Statements of Operations
Three Fiscal Months Ended September 30, 2005
 Non-Guarantor
    
    
    GuarantorIssuer
    
    
    Subsidiaries
    
    
    Subsidiaries
    
    
    Eliminations
    
    
    TotalNet sales:Customers
    
    $
    
    
    
    $
    357.6
    
    
    $
    242.9
    
    
    $
    
    
    
    $
    600.5Intercompany
    
    
    117.4
    
    
    
    
    
    
    
    
    
    
    
    (117.4
    )
    
    
    117.4
    
    
    
    357.6
    
    
    
    242.9
    
    
    
    (117.4
    )
    
    
    600.5Cost of sales
    
    
    100.5
    
    
    
    340.2
    
    
    
    204.2
    
    
    
    (104.3
    )
    
    
    540.6Gross profit
    
    
    16.9
    
    
    
    17.4
    
    
    
    38.7
    
    
    
    (13.1
    )
    
    
    59.9Selling, general and administrative
expenses
    
    
    15.5
    
    
    
    25.8
    
    
    
    14.4
    
    
    
    (13.1
    )
    
    
    42.6Operating income (loss)
    
    
    1.4
    
    
    
    (8.4
    )
    
    
    24.3
    
    
    
    
    
    
    
    17.3Other income
    
    
    
    
    
    
    0.1
    
    
    
    
    
    
    
    
    
    
    
    0.1Interest income (expense):Interest expense
    
    
    (7.3
    )
    
    
    (12.6
    )
    
    
    (0.5
    )
    
    
    10.0
    
    
    
    (10.4
    )Interest income
    
    
    9.6
    
    
    
    0.1
    
    
    
    0.8
    
    
    
    (10.0
    )
    
    
    0.52.3
    
    
    
    (12.5
    )
    
    
    0.3
    
    
    
    
    
    
    
    (9.9
    )Income (loss) before income taxes
    
    
    3.7
    
    
    
    (20.8
    )
    
    
    24.6
    
    
    
    
    
    
    
    7.5Income tax (provision) benefit
    
    
    (1.3
    )
    
    
    5.4
    
    
    
    (7.4
    )
    
    
    
    
    
    
    (3.3
    )Equity in net income of subsidiaries
    
    
    1.8
    
    
    
    17.2
    
    
    
    
    
    
    
    (19.0
    )
    
    
    Net income (loss)
    
    
    4.2
    
    
    
    1.8
    
    
    
    17.2
    
    
    
    (19.0
    )
    
    
    4.2Less: preferred stock dividends
    
    
    (1.5
    )
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    (1.5
    )Net income (loss) applicable to common
shareholders
    
    $
    2.7
    
    
    $
    1.8
    
    
    $
    17.2
    
    
    $
    (19.0
    )
    
    $
    2.7
 35




---



##### 



GENERAL CABLE CORPORATION AND SUBSIDIARIES
 Notes to Condensed Consolidated Financial Statements (Unaudited)  (Continued)
 Condensed Statements of Operations
Nine Fiscal Months Ended September 30, 2005
 Non-Guarantor
    
    
    GuarantorIssuer
    
    
    Subsidiaries
    
    
    Subsidiaries
    
    
    Eliminations
    
    
    TotalNet sales:Customers
    
    $
    
    
    
    $
    1,012.5
    
    
    $
    750.8
    
    
    $
    
    
    
    $
    1,763.3Intercompany
    
    
    347.2
    
    
    
    
    
    
    
    10.6
    
    
    
    (357.8
    )
    
    
    347.2
    
    
    
    1,012.5
    
    
    
    761.4
    
    
    
    (357.8
    )
    
    
    1,763.3Cost of sales
    
    
    299.9
    
    
    
    924.1
    
    
    
    652.9
    
    
    
    (312.2
    )
    
    
    1,564.7Gross profit
    
    
    47.3
    
    
    
    88.4
    
    
    
    108.5
    
    
    
    (45.6
    )
    
    
    198.6Selling, general and administrative expenses
    
    
    42.1
    
    
    
    82.2
    
    
    
    50.4
    
    
    
    (45.6
    )
    
    
    129.1Operating income
    
    
    5.2
    
    
    
    6.2
    
    
    
    58.1
    
    
    
    
    
    
    
    69.5Other income
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    Interest income (expense):Interest expense
    
    
    (22.0
    )
    
    
    (35.7
    )
    
    
    (2.6
    )
    
    
    29.0
    
    
    
    (31.3
    )Interest income
    
    
    29.1
    
    
    
    
    
    
    
    2.3
    
    
    
    (29.0
    )
    
    
    2.47.1
    
    
    
    (35.7
    )
    
    
    (0.3
    )
    
    
    
    
    
    
    (28.9
    )Income (loss) before income taxes
    
    
    12.3
    
    
    
    (29.5
    )
    
    
    57.8
    
    
    
    
    
    
    
    40.6Income tax (provision) benefit
    
    
    (4.3
    )
    
    
    7.6
    
    
    
    (18.9
    )
    
    
    
    
    
    
    (15.6
    )Equity in net income of subsidiaries
    
    
    17.0
    
    
    
    38.9
    
    
    
    
    
    
    
    (55.9
    )
    
    
    Net income (loss)
    
    
    25.0
    
    
    
    17.0
    
    
    
    38.9
    
    
    
    (55.9
    )
    
    
    25.0Less: preferred stock dividends
    
    
    (4.5
    )
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    (4.5
    )Net income (loss) applicable to common
shareholders
    
    $
    20.5
    
    
    $
    17.0
    
    
    $
    38.9
    
    
    $
    (55.9
    )
    
    $
    20.5
 36




---



##### 



GENERAL CABLE CORPORATION AND SUBSIDIARIES
 Notes to Condensed Consolidated Financial Statements (Unaudited)  (Continued)
 Condensed Balance Sheets
September 29, 2006
 Non-Guarantor
    
    
    GuarantorIssuer
    
    
    Subsidiaries
    
    
    Subsidiaries
    
    
    Eliminations
    
    
    TotalAssetsCurrent assets:Cash
    
    $
    0.1
    
    
    $
    7.5
    
    
    $
    72.8
    
    
    $
    
    
    
    $
    80.4Receivables, net of allowances
    
    
    
    
    
    
    250.8
    
    
    
    556.6
    
    
    
    
    
    
    
    807.4Inventories
    
    
    
    
    
    
    206.3
    
    
    
    272.5
    
    
    
    
    
    
    
    478.8Deferred income taxes
    
    
    
    
    
    
    42.2
    
    
    
    0.3
    
    
    
    
    
    
    
    42.5Prepaid expenses and other
    
    
    1.3
    
    
    
    38.2
    
    
    
    15.5
    
    
    
    
    
    
    
    55.0Total current assets
    
    
    1.4
    
    
    
    545.0
    
    
    
    917.7
    
    
    
    
    
    
    
    1,464.1Property, plant and equipment, net
    
    
    0.1
    
    
    
    163.0
    
    
    
    237.3
    
    
    
    
    
    
    
    400.4Deferred income taxes
    
    
    14.4
    
    
    
    35.5
    
    
    
    8.4
    
    
    
    
    
    
    
    58.3Intercompany accounts
    
    
    673.0
    
    
    
    59.8
    
    
    
    146.1
    
    
    
    (878.9
    )
    
    
    Investment in subsidiaries
    
    
    94.8
    
    
    
    368.4
    
    
    
    
    
    
    
    (463.2
    )
    
    
    Other non-current assets
    
    
    6.4
    
    
    
    22.2
    
    
    
    8.4
    
    
    
    
    
    
    
    37.0Total assets
    
    $
    790.1
    
    
    $
    1,193.9
    
    
    $
    1,317.9
    
    
    $
    (1,342.1
    )
    
    $
    1,959.8Liabilities and Shareholders EquityCurrent liabilities:Accounts payable
    
    $
    
    
    
    $
    198.7
    
    
    $
    493.6
    
    
    $
    
    
    
    $
    692.3Accrued liabilities
    
    
    9.4
    
    
    
    77.6
    
    
    
    168.8
    
    
    
    
    
    
    
    255.8Current portion of long-term debt
    
    
    
    
    
    
    0.9
    
    
    
    49.2
    
    
    
    
    
    
    
    50.1Total current liabilities
    
    
    9.4
    
    
    
    277.2
    
    
    
    711.6
    
    
    
    
    
    
    
    998.2Long-term debt
    
    
    285.0
    
    
    
    73.9
    
    
    
    40.6
    
    
    
    
    
    
    
    399.5Deferred income taxes
    
    
    
    
    
    
    1.9
    
    
    
    11.6
    
    
    
    
    
    
    
    13.5Intercompany accounts
    
    
    36.8
    
    
    
    692.7
    
    
    
    149.4
    
    
    
    (878.9
    )
    
    
    Other liabilities
    
    
    19.7
    
    
    
    53.4
    
    
    
    36.3
    
    
    
    
    
    
    
    109.4Total liabilities
    
    
    350.9
    
    
    
    1,099.1
    
    
    
    949.5
    
    
    
    (878.9
    )
    
    
    1,520.6Total shareholders equity (deficit)
    
    
    439.2
    
    
    
    94.8
    
    
    
    368.4
    
    
    
    (463.2
    )
    
    
    439.2Total liabilities and shareholders equity
    
    $
    790.1
    
    
    $
    1,193.9
    
    
    $
    1,317.9
    
    
    $
    (1,342.1
    )
    
    $
    1,959.8
 37




---



##### 



GENERAL CABLE CORPORATION AND SUBSIDIARIES
 Notes to Condensed Consolidated Financial Statements (Unaudited)  (Continued)
 Condensed Balance Sheets
December 31, 2005
 Non-Guarantor
    
    
    GuarantorIssuer
    
    
    Subsidiaries
    
    
    Subsidiaries
    
    
    Eliminations
    
    
    TotalAssetsCurrent assets:Cash
    
    $
    
    
    
    $
    8.5
    
    
    $
    63.7
    
    
    $
    
    
    
    $
    72.2Receivables, net of allowances
    
    
    
    
    
    
    183.0
    
    
    
    359.9
    
    
    
    
    
    
    
    542.9Inventories
    
    
    
    
    
    
    185.0
    
    
    
    178.9
    
    
    
    
    
    
    
    363.9Deferred income taxes
    
    
    
    
    
    
    39.8
    
    
    
    2.1
    
    
    
    
    
    
    
    41.9Prepaid expenses and other
    
    
    1.2
    
    
    
    27.7
    
    
    
    19.7
    
    
    
    
    
    
    
    48.6Total current assets
    
    
    1.2
    
    
    
    444.0
    
    
    
    624.3
    
    
    
    
    
    
    
    1,069.5Property, plant and equipment, net
    
    
    0.2
    
    
    
    171.2
    
    
    
    195.0
    
    
    
    
    
    
    
    366.4Deferred income taxes
    
    
    
    
    
    
    48.4
    
    
    
    4.1
    
    
    
    
    
    
    
    52.5Intercompany accounts
    
    
    616.1
    
    
    
    103.2
    
    
    
    104.9
    
    
    
    (824.2
    )
    
    
    Investment in subsidiaries
    
    
    1.4
    
    
    
    291.8
    
    
    
    
    
    
    
    (293.2
    )
    
    
    Other non-current assets
    
    
    10.6
    
    
    
    21.8
    
    
    
    2.4
    
    
    
    
    
    
    
    34.8Total assets
    
    $
    629.5
    
    
    $
    1,080.4
    
    
    $
    930.7
    
    
    $
    (1,117.4
    )
    
    $
    1,523.2Liabilities and Shareholders EquityCurrent liabilities:Accounts payable
    
    $
    
    
    
    $
    151.2
    
    
    $
    321.1
    
    
    $
    
    
    
    $
    472.3Accrued liabilities
    
    
    3.3
    
    
    
    75.1
    
    
    
    133.8
    
    
    
    
    
    
    
    212.2Current portion of long-term debt
    
    
    
    
    
    
    0.9
    
    
    
    5.5
    
    
    
    
    
    
    
    6.4Total current liabilities
    
    
    3.3
    
    
    
    227.2
    
    
    
    460.4
    
    
    
    
    
    
    
    690.9Long-term debt
    
    
    285.0
    
    
    
    128.3
    
    
    
    31.9
    
    
    
    
    
    
    
    445.2Deferred income taxes
    
    
    1.1
    
    
    
    (0.5
    )
    
    
    12.8
    
    
    
    
    
    
    
    13.4Intercompany accounts
    
    
    34.5
    
    
    
    673.9
    
    
    
    115.8
    
    
    
    (824.2
    )
    
    
    Other liabilities
    
    
    12.3
    
    
    
    50.1
    
    
    
    18.0
    
    
    
    
    
    
    
    80.4Total liabilities
    
    
    336.2
    
    
    
    1,079.0
    
    
    
    638.9
    
    
    
    (824.2
    )
    
    
    1,229.9Total shareholders equity (deficit)
    
    
    293.3
    
    
    
    1.4
    
    
    
    291.8
    
    
    
    (293.2
    )
    
    
    293.3Total liabilities and shareholders equity
    
    $
    629.5
    
    
    $
    1,080.4
    
    
    $
    930.7
    
    
    $
    (1,117.4
    )
    
    $
    1,523.2
 38




---



##### 



GENERAL CABLE CORPORATION AND SUBSIDIARIES
 Notes to Condensed Consolidated Financial Statements (Unaudited)  (Continued)
 Condensed Statements of Cash Flows
Nine Fiscal Months Ended September 29, 2006
 Non-Guarantor
    
    
    GuarantorIssuer
    
    
    Subsidiaries
    
    
    Subsidiaries
    
    
    Eliminations
    
    
    TotalNet cash flows of operating activities
    
    $
    31.7
    
    
    $
    (9.5
    )
    
    $
    71.9
    
    
    $
    
    
    
    $
    94.1Cash flows of investing activities:Capital expenditures
    
    
    
    
    
    
    (11.0
    )
    
    
    (35.5
    )
    
    
    
    
    
    
    (46.5
    )Proceeds from properties sold
    
    
    
    
    
    
    0.1
    
    
    
    0.4
    
    
    
    
    
    
    
    0.5Acquisitions, net of cash acquired
    
    
    
    
    
    
    
    
    
    
    (28.1
    )
    
    
    
    
    
    
    (28.1
    )Intercompany accounts
    
    
    (60.4
    )
    
    
    
    
    
    
    
    
    
    
    60.4
    
    
    
    Other, net
    
    
    
    
    
    
    0.6
    
    
    
    
    
    
    
    
    
    
    
    0.6Net cash flows of investing activities
    
    
    (60.4
    )
    
    
    (10.3
    )
    
    
    (63.2
    )
    
    
    60.4
    
    
    
    (73.5
    )Cash flows of financing activities:Preferred stock dividends paid
    
    
    (0.3
    )
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    (0.3
    )Excess tax benefits from stock-based
Compensation
    
    
    11.4
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    11.4Intercompany accounts
    
    
    
    
    
    
    73.2
    
    
    
    (12.8
    )
    
    
    (60.4
    )
    
    
    Proceeds from revolving credit borrowings
    
    
    
    
    
    
    144.5
    
    
    
    
    
    
    
    
    
    
    
    144.5Repayments of revolving credit borrowings
    
    
    
    
    
    
    (198.3
    )
    
    
    
    
    
    
    
    
    
    
    (198.3
    )Proceeds (repayments) of other debt
    
    
    
    
    
    
    (0.6
    )
    
    
    11.0
    
    
    
    
    
    
    
    10.4Proceeds from exercise of stock options
    
    
    17.7
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    17.7Net cash flows of financing activities
    
    
    28.8
    
    
    
    18.8
    
    
    
    (1.8
    )
    
    
    (60.4
    )
    
    
    (14.6
    )Effect of exchange rate changes on cash
    
    
    
    
    
    
    
    
    
    
    2.2
    
    
    
    
    
    
    
    2.2Increase (decrease) in cash
    
    
    0.1
    
    
    
    (1.0
    )
    
    
    9.1
    
    
    
    
    
    
    
    8.2Cash  beginning of period
    
    
    
    
    
    
    8.5
    
    
    
    63.7
    
    
    
    
    
    
    
    72.2Cash  end of period
    
    $
    0.1
    
    
    $
    7.5
    
    
    $
    72.8
    
    
    $
    
    
    
    $
    80.4
 39




---



##### 



GENERAL CABLE CORPORATION AND SUBSIDIARIES
 Notes to Condensed Consolidated Financial Statements  (Continued)
 Condensed Statements of Cash Flows
Nine Fiscal Months Ended September 30, 2005
 Non-Guarantor
    
    
    GuarantorIssuer
    
    
    Subsidiaries
    
    
    Subsidiaries
    
    
    Eliminations
    
    
    TotalNet cash flows of operating activities
    
    $
    12.3
    
    
    $
    19.3
    
    
    $
    43.3
    
    
    $
    
    
    
    $
    74.9Cash flows of investing activities:Capital expenditures
    
    
    
    
    
    
    (11.4
    )
    
    
    (14.3
    )
    
    
    
    
    
    
    (25.7
    )Proceeds from properties sold
    
    
    
    
    
    
    1.8
    
    
    
    0.1
    
    
    
    
    
    
    
    1.9Acquisitions, net of cash acquired
    
    
    
    
    
    
    (7.4
    )
    
    
    
    
    
    
    
    
    
    
    (7.4
    )Intercompany accounts
    
    
    (9.5
    )
    
    
    
    
    
    
    
    
    
    
    9.5
    
    
    
    Other, net
    
    
    
    
    
    
    2.1
    
    
    
    (0.1
    )
    
    
    
    
    
    
    2.0Net cash flows of investing activities
    
    
    (9.5
    )
    
    
    (14.9
    )
    
    
    (14.3
    )
    
    
    9.5
    
    
    
    (29.2
    )Cash flows of financing activities:Preferred stock dividends paid
    
    
    (4.5
    )
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    (4.5
    )Intercompany accounts
    
    
    
    
    
    
    24.9
    
    
    
    (15.4
    )
    
    
    (9.5
    )
    
    
    Proceeds from revolving credit borrowings
    
    
    
    
    
    
    224.0
    
    
    
    
    
    
    
    
    
    
    
    224.0Repayments of revolving credit borrowings
    
    
    
    
    
    
    (247.2
    )
    
    
    
    
    
    
    
    
    
    
    (247.2
    )Proceeds from other debt
    
    
    
    
    
    
    0.1
    
    
    
    0.8
    
    
    
    
    
    
    
    0.9Proceeds from exercise of stock options
    
    
    1.6
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    1.6Net cash flows of financing activities
    
    
    (2.9
    )
    
    
    1.8
    
    
    
    (14.6
    )
    
    
    (9.5
    )
    
    
    (25.2
    )Effect of exchange rate changes on cash
    
    
    
    
    
    
    
    
    
    
    (5.6
    )
    
    
    
    
    
    
    (5.6
    )Increase (decrease) in cash
    
    
    (0.1
    )
    
    
    6.2
    
    
    
    8.8
    
    
    
    
    
    
    
    14.9Cash  beginning of period
    
    
    0.1
    
    
    
    3.1
    
    
    
    33.2
    
    
    
    
    
    
    
    36.4Cash  end of period
    
    $
    
    
    
    $
    9.3
    
    
    $
    42.0
    
    
    $
    
    
    
    $
    51.3
 40




---



##### 



GENERAL CABLE CORPORATION AND SUBSIDIARIES
 ITEM 2
 Managements Discussion and Analysis of Financial Condition and Results of Operations
 Overview
  
    
    General  a general description of the Companys business, financial information by
geographic regions, raw material price volatility and seasonal trends.
    
    Current Business Environment  the Companys perspective on the challenges it faces and
its relative competitive advantage.
    
    Acquisitions and Divestitures  a brief history of acquisitions and divestitures as they
relate to the financial statements presented.
    
    Critical Accounting Policies and Estimates  a discussion of the accounting policies
that require critical judgments and estimates.
    
    Results of Operations  an analysis of the Companys results of operations for the
financial statement periods presented.
    
    Liquidity and Capital Resources  an analysis of cash flows, sources and uses of cash.
 General
     41




---



##### 



®
 Three Fiscal Months Ended
    
    
    Nine Fiscal Months EndedSept. 29, 2006
    
    
    Sept. 30, 2005
    
    
    Sept. 29, 2006
    
    
    Sept. 30, 2005Amount
    
    
    %
    
    
    Amount
    
    
    %
    
    
    Amount
    
    
    %
    
    
    Amount
    
    
    %Net sales:North America
    
    $
    535.8
    
    
    
    56
    %
    
    $
    412.7
    
    
    
    69
    %
    
    $
    1,579.5
    
    
    
    58
    %
    
    $
    1,172.7
    
    
    
    67
    %International
    
    
    412.6
    
    
    
    44
    %
    
    
    187.8
    
    
    
    31
    %
    
    
    1,160.3
    
    
    
    42
    %
    
    
    590.6
    
    
    
    33
    %Total net sales
    
    $
    948.4
    
    
    
    100
    %
    
    $
    600.5
    
    
    
    100
    %
    
    $
    2,739.8
    
    
    
    100
    %
    
    $
    1,763.3
    
    
    
    100
    %Operating income (loss):North America
    
    $
    36.4
    
    
    
    55
    %
    
    $
    13.9
    
    
    
    42
    %
    
    $
    98.7
    
    
    
    55
    %
    
    $
    38.3
    
    
    
    43
    %International
    
    
    29.4
    
    
    
    45
    %
    
    
    19.0
    
    
    
    58
    %
    
    
    79.7
    
    
    
    45
    %
    
    
    50.3
    
    
    
    57
    %Subtotal
    
    
    65.8
    
    
    
    100
    %
    
    
    32.9
    
    
    
    100
    %
    
    
    178.4
    
    
    
    100
    %
    
    
    88.6
    
    
    
    100
    %Corporate and other operating items
    
    
    
    
    
    
    
    
    
    
    (15.6
    )
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    (19.1
    )Total operating income
    
    $
    65.8
    
    
    
    
    
    
    $
    17.3
    
    
    
    
    
    
    $
    178.4
    
    
    
    
    
    
    $
    69.5
    42




---



##### 



Current Business Environment
   ®
   ®
   43




---



##### 



®
   44




---



##### 



Acquisitions and Divestitures
    ® ® ®
  45




---



##### 



As ofDecember 22, 2005Cash
    
    $
    1.4Accounts receivable
    
    
    113.5Inventories
    
    
    49.1Prepaid expenses and other
    
    
    8.4Property, plant and equipment
    
    
    17.6Other noncurrent assets
    
    
    2.0Total assets
    
    $
    192.0Accounts payable
    
    $
    43.1Accrued liabilities
    
    
    40.0Other liabilities
    
    
    12.0Total liabilities
    
    $
    95.1
 .
  AmortizationEstimated Fair
    
    
    PeriodValue
    
    
    (in years)Patents
    
    $
    1.0
    
    
    
    12.0Total amortizable intangible assets
    
    $
    1.0
    
    
    
    12.0Trademarks
    
    $
    1.0Total intangible assets
    
    $
    2.0
    ® ®
  46




---



##### 



Three Fiscal
    
    
    Nine FiscalMonths Ended
    
    
    Months EndedSept. 29,
    
    
    Sept. 30,
    
    
    Sept. 29,
    
    
    Sept. 30,2006
    
    
    2005
    
    
    2006
    
    
    2005(As reported)
    
    
    (Pro forma)
    
    
    (As reported)
    
    
    (Pro forma)Revenue
    
    $
    948.4
    
    
    $
    666.7
    
    
    $
    2,739.8
    
    
    $
    1,970.7Net income
applicable to
common shareholders
    
    $
    37.0
    
    
    $
    2.3
    
    
    $
    99.7
    
    
    $
    21.5Earnings per common
share  assuming
dilution
    
    $
    0.71
    
    
    $
    0.06
    
    
    $
    1.93
    
    
    $
    0.51
 ® ® ®
  Three Fiscal Months Ended
    
    
    Nine Fiscal Months EndedSept. 29,
    
    
    Sept. 30,
    
    
    Sept. 29,
    
    
    Sept. 30,2006
    
    
    2005
    
    
    2006
    
    
    2005Release of deferred tax valuation allowance
    
    $
    
    
    
    $
    
    
    
    $
    3.7
    
    
    $
    Plant rationalization charges, net
    
    $
    
    
    
    $
    (15.6
    )
    
    $
    
    
    
    $
    (19.1
    )
   Critical Accounting Policies and Estimates
  Inventory Costing and Valuation
  47




---



##### 



Pension Accounting
     Income Taxes
   48




---



##### 



Revenue Recognition
  Business Combination Accounting
 ®
 49




---



##### 



New Accounting Standards
       50




---



##### 



Results of Operations
  Three Fiscal Months Ended
    
    
    Nine Fiscal Months EndedSept. 29, 2006
    
    
    Sept. 30, 2005
    
    
    Sept. 29, 2006
    
    
    Sept. 30, 2005Amount
    
    
    %
    
    
    Amount
    
    
    %
    
    
    Amount
    
    
    %
    
    
    Amount
    
    
    %Net sales
    
    $
    948.4
    
    
    
    100.0
    %
    
    $
    600.5
    
    
    
    100.0
    %
    
    $
    2,739.8
    
    
    
    100.0
    %
    
    $
    1,763.3
    
    
    
    100.0
    %Cost of sales
    
    
    826.4
    
    
    
    87.1
    %
    
    
    540.6
    
    
    
    90.0
    %
    
    
    2,390.7
    
    
    
    87.3
    %
    
    
    1,564.7
    
    
    
    88.8
    %Gross profit
    
    
    122.0
    
    
    
    12.9
    %
    
    
    59.9
    
    
    
    10.0
    %
    
    
    349.1
    
    
    
    12.7
    %
    
    
    198.6
    
    
    
    11.2
    %Selling, general and
administrative
expenses
    
    
    56.2
    
    
    
    5.9
    %
    
    
    42.6
    
    
    
    7.1
    %
    
    
    170.7
    
    
    
    6.2
    %
    
    
    129.1
    
    
    
    7.3
    %Operating income
    
    
    65.8
    
    
    
    6.9
    %
    
    
    17.3
    
    
    
    2.9
    %
    
    
    178.4
    
    
    
    6.5
    %
    
    
    69.5
    
    
    
    3.9
    %Other income (expense)
    
    
    (0.3
    )
    
    
    
    %
    
    
    0.1
    
    
    
    
    %
    
    
    0.7
    
    
    
    
    %
    
    
    
    
    
    
    
    %Interest expense, net
    
    
    (7.6
    )
    
    
    (0.8
    )%
    
    
    (9.9
    )
    
    
    (1.7
    )%
    
    
    (28.8
    )
    
    
    (1.1
    )%
    
    
    (28.9
    )
    
    
    (1.6
    )%Income before income
taxes
    
    
    57.9
    
    
    
    6.1
    %
    
    
    7.5
    
    
    
    1.2
    %
    
    
    150.3
    
    
    
    5.5
    %
    
    
    40.6
    
    
    
    2.3
    %Income tax provision
    
    
    (20.8
    )
    
    
    (2.2
    )%
    
    
    (3.3
    )
    
    
    (0.5
    )%
    
    
    (50.3
    )
    
    
    (1.8
    )%
    
    
    (15.6
    )
    
    
    (0.9
    )%Net income
    
    
    37.1
    
    
    
    3.9
    %
    
    
    4.2
    
    
    
    0.7
    %
    
    
    100.0
    
    
    
    3.6
    %
    
    
    25.0
    
    
    
    1.4
    %Less: preferred stock
dividends
    
    
    (0.1
    )
    
    
    
    %
    
    
    (1.5
    )
    
    
    (0.2
    )%
    
    
    (0.3
    )
    
    
    
    %
    
    
    (4.5
    )
    
    
    (0.2
    )%Net income applicable
to
common shareholders
    
    $
    37.0
    
    
    
    3.9
    %
    
    $
    2.7
    
    
    
    0.5
    %
    
    $
    99.7
    
    
    
    3.6
    %
    
    $
    20.5
    
    
    
    1.2
    %
 Three Fiscal Months Ended September 29, 2006 Compared with Three Fiscal Months Ended September 30,
2005
  Net Sales
  Net SalesThree Fiscal Months EndedSept. 29, 2006
    
    
    Sept. 30, 2005Amount
    
    
    %
    
    
    Amount
    
    
    %North American Electric Utility
    
    $
    200.3
    
    
    
    21
    %
    
    $
    148.8
    
    
    
    25
    %International Electric Utility
    
    
    155.7
    
    
    
    16
    %
    
    
    64.5
    
    
    
    11
    %North American Portable Power and
Control
    
    
    75.0
    
    
    
    8
    %
    
    
    57.6
    
    
    
    10
    %North American Electrical
Infrastructure
    
    
    82.6
    
    
    
    9
    %
    
    
    49.3
    
    
    
    8
    %International Electrical Infrastructure
    
    
    225.3
    
    
    
    24
    %
    
    
    105.3
    
    
    
    17
    %Transportation and Industrial Harnesses
    
    
    28.6
    
    
    
    3
    %
    
    
    27.6
    
    
    
    5
    %Telecommunications
    
    
    95.3
    
    
    
    10
    %
    
    
    85.3
    
    
    
    14
    %Networking
    
    
    85.6
    
    
    
    9
    %
    
    
    62.1
    
    
    
    10
    %Total net sales
    
    $
    948.4
    
    
    
    100
    %
    
    $
    600.5
    
    
    
    100
    %
 51




---



##### 



Metal-Adjusted Net SalesThree Fiscal Months EndedSept. 29, 2006
    
    
    Sept. 30, 2005Amount
    
    
    %
    
    
    Amount
    
    
    %North American Electric Utility
    
    $
    200.3
    
    
    
    21
    %
    
    $
    195.6
    
    
    
    24
    %International Electric Utility
    
    
    155.7
    
    
    
    16
    %
    
    
    72.6
    
    
    
    9
    %North American Portable Power and
Control
    
    
    75.0
    
    
    
    8
    %
    
    
    80.1
    
    
    
    10
    %North American Electrical
Infrastructure
    
    
    82.6
    
    
    
    9
    %
    
    
    70.5
    
    
    
    9
    %International Electrical Infrastructure
    
    
    225.3
    
    
    
    24
    %
    
    
    169.6
    
    
    
    21
    %Transportation and Industrial Harnesses
    
    
    28.6
    
    
    
    3
    %
    
    
    28.0
    
    
    
    3
    %Telecommunications
    
    
    95.3
    
    
    
    10
    %
    
    
    128.5
    
    
    
    15
    %Networking
    
    
    85.6
    
    
    
    9
    %
    
    
    78.9
    
    
    
    9
    %Total metal-adjusted net sales
    
    
    948.4
    
    
    
    100
    %
    
    
    823.8
    
    
    
    100
    %Metal adjustment
    
    
    
    
    
    
    
    
    
    
    (223.3
    )Total net sales
    
    $
    948.4
    
    
    
    
    
    
    $
    600.5
 Metal Pounds SoldThree Fiscal Months EndedSept. 29, 2006
    
    
    Sept. 30, 2005Pounds
    
    
    %
    
    
    Pounds
    
    
    %North American Electric Utility
    
    
    54.7
    
    
    
    30
    %
    
    
    55.1
    
    
    
    33
    %International Electric Utility
    
    
    32.2
    
    
    
    18
    %
    
    
    17.2
    
    
    
    10
    %North American Portable Power and
Control
    
    
    10.2
    
    
    
    6
    %
    
    
    12.4
    
    
    
    8
    %North American Electrical
Infrastructure
    
    
    12.8
    
    
    
    7
    %
    
    
    11.7
    
    
    
    7
    %International Electrical Infrastructure
    
    
    40.9
    
    
    
    23
    %
    
    
    35.5
    
    
    
    22
    %Transportation and Industrial Harnesses
    
    
    0.3
    
    
    
    
    %
    
    
    0.2
    
    
    
    -
    %Telecommunications
    
    
    20.3
    
    
    
    11
    %
    
    
    23.8
    
    
    
    14
    %Networking
    
    
    9.0
    
    
    
    5
    %
    
    
    9.3
    
    
    
    6
    %Total metal pounds sold
    
    
    180.4
    
    
    
    100
    %
    
    
    165.2
    
    
    
    100
    %
 ® ® ® ®
   52




---



##### 



®
   ®
    53




---



##### 



Gross Profit
  Selling, General and Administrative Expense
 ®
 Operating Income
  Operating IncomeThree Fiscal Months Ended,Sept. 29, 2006
    
    
    Sept. 30, 2005Amount
    
    
    %
    
    
    Amount
    
    
    %North American Electric Utility
    
    $
    14.9
    
    
    
    22
    %
    
    $
    9.1
    
    
    
    28
    %International Electric Utility
    
    
    14.3
    
    
    
    22
    %
    
    
    8.7
    
    
    
    26
    %North American Portable Power and Control
    
    
    6.5
    
    
    
    10
    %
    
    
    2.6
    
    
    
    8
    %North American Electrical Infrastructure
    
    
    4.6
    
    
    
    7
    %
    
    
    (2.1
    )
    
    
    (6
    )%International Electrical Infrastructure
    
    
    15.0
    
    
    
    23
    %
    
    
    4.7
    
    
    
    14
    %Transportation and Industrial Harnesses
    
    
    3.9
    
    
    
    6
    %
    
    
    4.4
    
    
    
    13
    %Telecommunications
    
    
    5.1
    
    
    
    8
    %
    
    
    5.3
    
    
    
    16
    %Networking
    
    
    1.5
    
    
    
    2
    %
    
    
    0.2
    
    
    
    1
    %Subtotal excluding corporate charges
    
    
    65.8
    
    
    
    100
    %
    
    
    32.9
    
    
    
    100
    %Corporate charges
    
    
    
    
    
    
    
    
    
    
    (15.6
    )Total operating income
    
    $
    65.8
    
    
    
    
    
    
    $
    17.3
 ®
 ® ®
  54




---



##### 



® ®
  Other Income (Expense)
  Interest Expense
 ®
 Tax Provision
  Preferred Stock Dividends
  Nine Fiscal Months Ended September 29, 2006 Compared with Nine Fiscal Months Ended September 30,
2005
  Net Sales
  55




---



##### 



Net SalesNine Fiscal Months EndedSept. 29, 2006
    
    
    Sept. 30, 2005Amount
    
    
    %
    
    
    Amount
    
    
    %North American Electric Utility
    
    $
    589.1
    
    
    
    22
    %
    
    $
    419.9
    
    
    
    24
    %International Electric Utility
    
    
    426.5
    
    
    
    16
    %
    
    
    202.3
    
    
    
    11
    %North American Portable Power and
Control
    
    
    225.6
    
    
    
    8
    %
    
    
    167.3
    
    
    
    10
    %North American Electrical
Infrastructure
    
    
    238.6
    
    
    
    9
    %
    
    
    143.8
    
    
    
    8
    %International Electrical Infrastructure
    
    
    656.7
    
    
    
    24
    %
    
    
    334.7
    
    
    
    19
    %Transportation and Industrial Harnesses
    
    
    87.9
    
    
    
    3
    %
    
    
    87.3
    
    
    
    5
    %Telecommunications
    
    
    281.6
    
    
    
    10
    %
    
    
    244.4
    
    
    
    14
    %Networking
    
    
    233.8
    
    
    
    8
    %
    
    
    163.6
    
    
    
    9
    %Total net sales
    
    $
    2,739.8
    
    
    
    100
    %
    
    $
    1,763.3
    
    
    
    100
    %
 Metal-Adjusted Net SalesNine Fiscal Months EndedSept. 29, 2006
    
    
    Sept. 30, 2005Amount
    
    
    %
    
    
    Amount
    
    
    %North American Electric Utility
    
    $
    589.1
    
    
    
    22
    %
    
    $
    535.5
    
    
    
    23
    %International Electric Utility
    
    
    426.5
    
    
    
    16
    %
    
    
    228.2
    
    
    
    10
    %North American Portable Power and
Control
    
    
    225.6
    
    
    
    8
    %
    
    
    223.1
    
    
    
    10
    %North American Electrical
Infrastructure
    
    
    238.6
    
    
    
    9
    %
    
    
    195.7
    
    
    
    8
    %International Electrical Infrastructure
    
    
    656.7
    
    
    
    24
    %
    
    
    500.1
    
    
    
    22
    %Transportation and Industrial Harnesses
    
    
    87.9
    
    
    
    3
    %
    
    
    88.5
    
    
    
    4
    %Telecommunications
    
    
    281.6
    
    
    
    10
    %
    
    
    328.0
    
    
    
    14
    %Networking
    
    
    233.8
    
    
    
    8
    %
    
    
    203.0
    
    
    
    9
    %Total metal-adjusted net sales
    
    $
    2,739.8
    
    
    
    100
    %
    
    $
    2,302.1
    
    
    
    100
    %Metal adjustment
    
    
    
    
    
    
    
    
    
    
    (538.8
    )Total net sales
    
    $
    2,739.8
    
    
    
    
    
    
    $
    1,763.3
 Metal Pounds SoldNine Fiscal Months EndedSept. 29, 2006
    
    
    Sept. 30, 2005Pounds
    
    
    %
    
    
    Pounds
    
    
    %North American Electric Utility
    
    
    175.8
    
    
    
    29
    %
    
    
    160.7
    
    
    
    32
    %International Electric Utility
    
    
    99.8
    
    
    
    17
    %
    
    
    57.4
    
    
    
    12
    %North American Portable Power and
Control
    
    
    35.0
    
    
    
    6
    %
    
    
    36.7
    
    
    
    7
    %North American Electrical
Infrastructure
    
    
    41.8
    
    
    
    7
    %
    
    
    34.7
    
    
    
    7
    %International Electrical Infrastructure
    
    
    146.2
    
    
    
    25
    %
    
    
    112.2
    
    
    
    23
    %Transportation and Industrial Harnesses
    
    
    0.8
    
    
    
    
    %
    
    
    0.6
    
    
    
    -
    %Telecommunications
    
    
    66.3
    
    
    
    11
    %
    
    
    71.6
    
    
    
    14
    %Networking
    
    
    28.8
    
    
    
    5
    %
    
    
    25.7
    
    
    
    5
    %Total metal pounds sold
    
    
    594.5
    
    
    
    100
    %
    
    
    499.6
    
    
    
    100
    %
 ® ® ® ®
 56




---



##### 



®
   ®
 57




---



##### 



Gross Profit
  Selling, General and Administrative Expense
 ®
 58




---



##### 



Operating Income
  Operating IncomeNine Fiscal Months Ended,Sept. 29, 2006
    
    
    Sept. 30, 2005Amount
    
    
    %
    
    
    Amount
    
    
    %North American Electric Utility
    
    $
    35.2
    
    
    
    20
    %
    
    $
    19.9
    
    
    
    23
    %International Electric Utility
    
    
    37.7
    
    
    
    21
    %
    
    
    24.3
    
    
    
    28
    %North American Portable Power and Control
    
    
    17.0
    
    
    
    10
    %
    
    
    4.7
    
    
    
    5
    %North American Electrical Infrastructure
    
    
    9.2
    
    
    
    5
    %
    
    
    (7.9
    )
    
    
    (9
    )%International Electrical Infrastructure
    
    
    42.9
    
    
    
    24
    %
    
    
    17.8
    
    
    
    20
    %Transportation and Industrial Harnesses
    
    
    11.6
    
    
    
    6
    %
    
    
    15.3
    
    
    
    17
    %Telecommunications
    
    
    23.6
    
    
    
    13
    %
    
    
    14.4
    
    
    
    16
    %Networking
    
    
    1.2
    
    
    
    1
    %
    
    
    0.1
    
    
    
    -
    %Subtotal excluding corporate charges
    
    
    178.4
    
    
    
    100
    %
    
    
    88.6
    
    
    
    100
    %Corporate charges
    
    
    
    
    
    
    
    
    
    
    (19.1
    )Total operating income
    
    $
    178.4
    
    
    
    
    
    
    $
    69.5
 ®
 ® ®
 ® ®
  Other Income (Expense)
  59




---



##### 



Interest Expense
 ®
 Tax Provision
  Preferred Stock Dividends
  Liquidity and Capital Resources
    Nine Fiscal Months EndedSept. 29, 2006
    
    
    Sept. 30, 2005North America
    
    $
    20.7
    
    
    $
    26.5International
    
    
    73.4
    
    
    
    48.4Total
    
    $
    94.1
    
    
    $
    74.9
 ® ® ®
 60




---



##### 



® ®
 ®
         61




---



##### 



 ® ®
 
 
    62




---



##### 



Payments Due by PeriodLess than
    
    
    1 - 3
    
    
    4 - 5
    
    
    After 5Total
    
    
    1 Year
    
    
    Years
    
    
    Years
    
    
    YearsContractual obligations:Total debt (excluding capital leases)
    
    $
    444.9
    
    
    $
    49.1
    
    
    $
    15.1
    
    
    $
    359.4
    
    
    $
    21.3Capital leases
    
    
    4.7
    
    
    
    1.0
    
    
    
    2.1
    
    
    
    1.6
    
    
    
    Interest payments on Senior Notes
    
    
    121.8
    
    
    
    27.1
    
    
    
    54.2
    
    
    
    40.5
    
    
    
    Preferred stock dividend payments
    
    
    2.1
    
    
    
    0.3
    
    
    
    0.6
    
    
    
    0.6
    
    
    
    0.6Operating leases
    
    
    21.0
    
    
    
    4.3
    
    
    
    8.3
    
    
    
    4.9
    
    
    
    3.5Commodity futures and forward pricing
agreements
    
    
    363.2
    
    
    
    362.0
    
    
    
    1.2
    
    
    
    
    
    
    
    Foreign currency contracts
    
    
    120.5
    
    
    
    120.5
    
    
    
    
    
    
    
    
    
    
    
    Cross currency and interest rate swap
    
    
    176.6
    
    
    
    11.9
    
    
    
    164.7
    
    
    
    
    
    
    
    Total
    
    $
    1,254.8
    
    
    $
    576.2
    
    
    $
    246.2
    
    
    $
    407.0
    
    
    $
    25.4
   63




---



##### 



Off Balance Sheet Assets and Obligations
 ®
  ®
 64




---



##### 



Environmental Matters
 ®
 Item 3. Quantitative and Qualitative Disclosures about Market Risk
   Sept. 29, 2006
    
    
    December 31, 2005Notional
    
    
    Fair
    
    
    Notional
    
    
    FairAmount
    
    
    Value
    
    
    Amount
    
    
    ValueCash flow hedges:Interest rate swap
    
    $
    9.0
    
    
    $
    (0.4
    )
    
    $
    9.0
    
    
    $
    (0.4
    )Foreign currency forward exchange
    
    
    120.5
    
    
    
    (2.9
    )
    
    
    43.1
    
    
    
    0.3Commodity futures
    
    
    185.0
    
    
    
    22.1
    
    
    
    39.9
    
    
    
    11.6Net investment hedges:Cross currency and interest rate swap
    
    
    150.0
    
    
    
    (7.4
    )
    
    
    150.0
    
    
    
    2.6$
    11.4
    
    
    
    
    
    
    $
    14.1
  65




---



##### 



Item 4. Controls and Procedures
 Disclosure Controls and Procedures
 .
 .
  Changes in Internal Control Over Financial Reporting
   PART II. Other Information
 Item 1A. Risk Factors
  66




---



##### 



Item 6. Exhibits
   10.89
    
    Announcement of the Restatement of Segment Information and Non-Reliance on
Previously Issued Financial Statements dated September 27, 2006 (incorporated by
reference to the Form 8-K Current Report as filed on October 2, 2006).*10.90
    
    First Amendment to the Second Amended and Restated Credit
Agreement between the Company and Merrill Lynch Capital as Collateral and
Administrative Agent, National City Business Credit, Inc., as Syndication Agent and
the lenders signatory thereto.*10.91
    
    Additional Risk Factors for General Cable Corporation.*12.1
    
    Computation of Ratio of Earnings to Fixed Charges*31.1
    
    Certification of Chief Executive Officer pursuant to Rule 13a  14(a) or 15d  14(a)*31.2
    
    Certification of Chief Financial Officer pursuant to Rule 13a  14(a) or 15d  14(a)*32.1
    
    Certification pursuant to 18 U.S.C. Section 1350
 67




---



##### 



Signature
  General Cable CorporationSigned:  November 8, 2006
    By:
    /s/ CHRISTOPHER F. VIRGULAKChristopher F. VirgulakExecutive Vice President and
Chief Financial Officer
(Chief Accounting Officer) 68




---



##### 



Exhibit Index
 10.89
    
    Announcement of the Restatement of Segment Information and Non-Reliance on
Previously Issued Financial Statements dated September 27, 2006 (incorporated by
reference to the Form 8-K Current Report as filed on October 2, 2006).10.90
    
    First Amendment to the Second Amended and Restated Credit
Agreement between the Company and Merrill Lynch Capital as Collateral and
Administrative Agent, National City Business Credit, Inc., as Syndication Agent and
the lenders signatory thereto.10.91
    
    Additional Risk Factors for General Cable Corporation.12.1
    
    Computation of Ratio of Earnings to Fixed Charges31.1
    
    Certification of Chief Executive Officer pursuant to Rule 13a  14(a) or 15d  14(a)31.2
    
    Certification of Chief Financial Officer pursuant to Rule 13a  14(a) or 15d  14(a)32.1
    
    Certification pursuant to 18 U.S.C. Section 1350
 69