Annual Report (Form 10-K), fiscal year 1994

ITEM 1. Business Inside Front 1 to 3 																																																Cover 																																												and 4 to 8 ITEM 2.



ITEM 2. Properties 3
ITEM 3.

ITEM 3. Legal Proceedings 3
ITEM 4.

ITEM 4. Submission of Matters to a 									Vote of Security Holders 3
PART II. ITEM 5.

ITEM 5. Market for Registrant's Common 								Equity and Related Stockholder 								Matters 3
ITEM 6.

ITEM 6. Selected Financial Data 1
ITEM 7.

ITEM 7. Management's Discussion and 								Analysis of Financial Condition 								and Results of Operations 2 and 3 3 to 5
ITEM 8.


ITEM 8. Consolidated Financial Statements 								and Supplementary Data 4 to 12
ITEM 9.

ITEM 9. Changes in and Disagreements with 								Accountants on Accounting and 								Financial Disclosure Not Applicable
							PART III 					DOCUMENT INCORPORATED BY REFERENCE
		The following information required by Part III is incorporated herein by reference to the Company's definitive Proxy Statement pursuant to Regulation 14A for the October 28, 1994 Annual Meeting of Shareholders, filed with The Securities and Exchange Commission within 120 days after close of the fiscal year:
																																																													Proxy Statement 																																																																	Page (s)
ITEM 10.



ITEM 10. Directors and Executive Officers of the Registrant 2, 3 and 6
ITEM 11.

ITEM 11. Executive Compensation 6 to 8
ITEM 12.

ITEM 12. Security Ownership of Certain Beneficial Owners and 									Management 1 and 2
ITEM 13.

ITEM 13. CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS 10
							PART IV
ITEM 14.

ITEM 14. EXHIBITS, FINANCIAL STATEMENT SCHEDULES, AND REPORTS ON FORM 8-K
(a) Index to exhibits, financial statements and schedules
	(1) Financial Statements 						The following consolidated financial statements of the registrant are 						included in Item 8: 																																																														Excerpts from 																																																															Form 10-K 																																																														(contained in 																																																														the 1994 Annual 																																																																Report to 																																																															Shareholders) 																																																																	Page (s)
Consolidated Balance Sheets as of June 30, 1994, 1993, and 6
For the years ended June 30, 1994, 1993 and 1992: 		Consolidated Statements of Income 7 		Consolidated Statements of Shareholders' Equity 7 		Consolidated Statements of Cash Flows 8 		Notes to Consolidated Financial Statements 9 to 14 		Report of Ernst & Young LLP, Independent Auditors 15
	(2) Schedules 					The following consolidated financial statement schedules of 					the registrant are included hereafter: 					Schedule V - Property, plant and equipment 					Schedule VI - Accumulated depreciation and amortization of property, 							plant and equipment. 					Schedule VIII - Valuation and qualifying accounts 					Schedule IX - Short-term borrowings
			 All other schedules are omitted as inapplicable or because the required information is included in the Consolidated Financial Statements or notes thereto.
(3) Exhibits
Number DESCRIPTION
3.1 Second Restated Certificate of Incorporation, as amended, 	(incorporated herein by reference to Exhibit 4.1 to Registration 	Statement on Form S-8, File No. 2-86230, as amended), and 	Certificate of Amendment of the Second Restated Certificate of 	Incorporation as filed with the Secretary of State of Delaware 	on April 7, 1988, (incorporated by reference to Exhibit 3.1 to the 	Registrant's Report on Form 10-K for fiscal year ended June 30, 1988).
3.2 By-laws of the Registrant, as amended (incorporated herein by 		reference to Exhibit 4(e) to Registration Statement on Form S-3, 		Registration Statement No. 33-12115, as amended).
4.1 Form of Indenture relating to $75,000,000, 5 5/8% Convertible 		Subordinated Debentures due March 1, 2012, (incorporated herein by 		reference to Exhibit 4(a) to Registration Statement on Form S-3, 		Registration Statement No. 33-12115).
10(a)(1) Credit Agreement dated June 25, 1993, by and between the Registrant, 		its Obligated Subsidiaries and its Lenders. (Incorporated herein by 		reference to exhibit of the same number to the Registrant's Annual 		Report on Form 10-K for the year ended June 30, 1993.)
		(b)(1) Lease Agreement, dated June 1, 1988, between the Registrant and The 		Industrial Development Board of the City of Huntsville (Alabama) 		relating to a certain property in Huntsville, Alabama. (Incorporated 		herein by reference to exhibit of the same number to the Registrant's 		Annual Report on Form 10-K for the year ended June 30, 1989.)
				(2) First Amendment, dated June 1, 1988, to the above referenced Lease 	Agreement between the Registrant and The Industrial Development Board 	of the City of Huntsville (Alabama). (Incorporated herein by reference 	to exhibit of the same number to the Registrant's Annual Report on Form 	10-K for the year ended June 30, 1989.)
(c)(1) Mortgage, Assignment of Leases and Security Agreement, dated 	January 1,1989, between The Industrial Development Board of the 	City of Decatur (Alabama) and Registrant relating to certain 	properties in Lacey's Spring, Alabama refinanced with Industrial 	Development Revenue Bonds. (Incorporated herein by reference to 	Exhibit (10)(e)(1) to the Registrant's Annual Report on Form 10-K for 	the year ended June 30, 1989.)
			(2) Lease Agreement, dated as of January 1, 1989, between The Industrial 	Development Board of the City of Decatur (Alabama) and the Registrant. 	(Incorporated herein by reference to Exhibit (10) (e) (2) to the 	Registrant's Annual Report on Form 10-K for the year ended 	June 30, 1989.)
(d)(1) Mortgage, Assignment of Leases and Security Agreement, dated as of 	January 1, 1989, from The Industrial Development Arab (Alabama) and the 	Registrant to AmSouth Bank N.A. relating to certain properties in Lacey's 	Spring, Alabama refinanced with Industrial Development Revenue Bonds. 	(Incorporated herein by reference to Exhibit (10) (f) (1) to the 	Registrant's Annual Report on Form 10-K for the year ended June 30, 1989.)
			(2) Lease Agreement, dated as of January 1, 1989, between The Industrial 	Development Board of the City of Arab (Alabama) and the Registrant. 	(Incorporated herein by reference to Exhibit (10) (f) (2) to the 	Registrant's Annual Report on Form 10-K for the year ended June 30, 1989.)
(e)(1) Directors and Officers Liability Insurance Policies
(f)(1) Incentive Stock Option Plan, as amended and restated December 1, 1988 			(effective October 28, 1988). (Incorporated herein by reference to 			Exhibit (10) (h) (1) to the Registrant's Annual Report on Form 10-K for 			the year ended June 30, 1989.) (Management contracts or compensatory plan)
(g)(1) Non-Qualified Stock Option Plan, as amended and restated December 1, 			1988 (effective October 28, 1988). (Incorporated herein by reference to 			Exhibit (10) (i) (1) to the Registrant's Annual Report on Form 10-K for 			the year ended June 30, 1989.) (Management contracts or compensatory plan)
(h)(1) Form of proposed SCI Systems, Inc. 1994 Stock Option Incentive Plan to 			be voted on at October 28, 1994, Annual Meeting of Shareholders. 				(Management contracts or compensatory plan)
(i)(1) Savings Plan of the SCI Systems, Inc. Employee Financial Security 			Program, dated July 1, 1991. (Management contracts or compensatory plan)
(j)(1) Deferred Compensation Plan of SCI Systems Employee Financial Security 			Program, as amended and restated January 1,1992. 				(Management contracts or compensatory plan)
(k)(1) Supplemental Retirement Plan of the SCI Systems, Inc. Employee 			Financial Security Program, as amended and restated April 1994. 			(Management contracts or compensatory plan)
(l)(1) Mortgage and Security Agreement, dated July 20, 1989, by the 			Registrant and First Union National Bank of North Carolina relating to 			a certain property in Hooksett, New Hampshire financed with Industrial 			Development Revenue Bonds. (Incorporated herein by reference to 			Exhibit 10 (o)(1) to the Registrant's Report on Form 10-K for the 			fiscal year ended June 30, 1989.)
			(2) Promissory Note, dated July 1, 1989, between the Registrant and the 		Industrial Development Authority of the State of New Hampshire. 		(Incorporated herein by reference to Exhibit 10 (o)(2) to the 			Registrant's Report on Form 10-K for the fiscal year ended June 30, 1989.)
			(3) Loan Agreement, dated July 1, 1989, between the Industrial Development 	Authority of New Hampshire and the Registrant. (incorporated herein by 	reference to Exhibit 10 (o)(4) to the Registrant's Report on Form 10-K 	for the fiscal year ended June 30, 1989.)
11 Computation of primary and fully diluted earnings per share for the 	years ended June 30, 1994, 1993 and 1992.
13 1994 Annual Report to Shareholders. Except for the parts of the SCI 	Systems, Inc. Annual Report expressly incorporated into this Form 10-K 	by reference, the Annual Report is not to be deemed filed with the 	Securities and Exchange Commission. 	 22 Subsidiaries of Registrant.
23 Consent of Independent Auditors.
(b) One report on Form 8-K was filed by the Registrant for the period March 28, 1994 through June 30, 1994. The report was filed on April 18, 1994, concerning the Company's development of a plan that involves the discontinuation of certain non core businesses with the objective of future profit margin improvement. Further, the report indicated this plan would result in a net loss for the March 1994 quarter.
																												SCHEDULE V - PROPERTY, PLANT AND EQUIPMENT 																																			(In thousands of dollars) 																								Balance Balance 																								Beginning Additions End Classification of Year at Cost Retirements Other of Year
Year ended June 30, 1994 Land and improvements $ 15,017 $ 82 $ -0- $ 16 $ 15,115 Building and 		improvements 76,631 2,804 -0- 3,652 83,087 Equipment 267,209 43,874 (8,379) (1,692) 301,012 Construction 	in progress 272 (272) -0- -0- -0- 																								------------------------------------------------------- 																								$359,129 $46,488 $ (8,379) $1,976 $399,214 																								======================================================= Year ended June 30, 1993: Land and improvements $ 13,784 $ 1,321 $ -0- $ (88) $ 15,017 Building and 		improvements 69,516 8,815 (20) (1,680) 76,631 Equipment 226,168 74,809 (27,311) (6,457) 267,209 Construction 	in progress 1,133 (861) -0- -0- 272 																								------------------------------------------------------- 																								$310,601 $84,084 $(27,331) $(8,225) $359,129 																								=======================================================
Year ended June 30, 1992: Land and improvements $ 12,227 $ 1,506 $ -0- $ 51 $ 13,784 Building and 		improvements 61,222 7,592 (195) 897 69,516 Equipment 203,576 24,455 (4,844) 2,981 226,168 Construction 		in progress 4,832 (3,731) -0- 32 1,133 																							-------------------------------------------------------- 																								$281,857 $29,822 $ (5,039) $ 3,961 $310,601 																							========================================================
Represents the translation effect of foreign held property, plant and equipment. Represents $177 for the translation effect of foreign held property, plant and equipment, and $3,475 reclassified from equipment. Represents $1,783 for the translation effect of foreign held property, plant and equipment, and ($3,475) reclassified to buildings and improvements.
																			SCHEDULE VI - ACCUMULATED DEPRECIATION AND AMORTIZATION OF 																																	PROPERTY,PLANT AND EQUIPMENT 																																			(In thousands of dollars)
																									Balance Balance 																									Beginning End Classification of Year Provision Retirements Other of Year Year ended June 30, 1994 Land and improvements $ 811 $ 191 $ -0- $ -0- $ 1,002 Building and 		improvements 22,581 6,068 -0- 2,018 30,667 Equipment 151,705 40,802 (7,691) (39) 184,777 																								------------------------------------------------------- 																								$175,097 $47,061 $ (7,691) $ 1,979 $216,446 																							======================================================== Year ended June 30, 1993: Land and improvements $ 628 $ 183 $ -0- $ -0- $ 811 Building and 		improvements 19,157 4,068 (19) (625) 22,581 Equipment 147,129 34,794 (26,337) (3,881) 151,705 																							-------------------------------------------------------- 																							$166,914 $39,045 $(26,356) $(4,506) $175,097 																							======================================================== Year ended June 30, 1992: Land and improvements $ 468 $ 160 $ -0- $ -0- $ 628 Building and 		improvements 14,582 4,054 (187) 708 19,157 Equipment 118,565 31,910 (4,697) 1,351 147,129 																								-------------------------------------------------------- 																							$133,615 $36,124 $ (4,884) $2,059 $166,914 																							======================================================== Other changes represent the translation effect of foreign held property, plant and equipment. Represents $99 for the translation effect of foreign held property, plant and equipment, and $1,919 reclassified from equipment. Represents $1,880 for the translation effect of foreign held property, plant and equipment, and ($1,919) reclassified to buildings and improvements.
						SIGNATURES
					Pursuant to the requirements of Section 13 or 15 (d) of the Securities 					Exchange Act of 1934, the Registrant has duly caused this report to be 					signed on its behalf by the undersigned, thereunto duly authorized.
	Date: September 26, 1994 SCI SYSTEMS, INC. 																																														By: Olin B. King/s/ 																																																		---------------- 																																																			Olin B. King 																																																			Chairman of the Board 																																																			and Chief Executive Officer
	
	Pursuant to the requirements of the Securities Exchange Act of 1934, this 	report has been signed below by the following persons on behalf of the 	Registrant and in the capacities and on the dates indicated.
				DATE SIGNATURE TITLE
	September 26, 1994 Olin B. King /s/ 																									---------------- 																										Olin B. King Chairman of the Board and 																																																	Chief Executive Officer 																																																(Principal Executive Officer) 																																																(Acting Principal Financial 																																																	and Accounting Officer)
	September 26, 1994 A. Eugene Sapp, Jr /s/ 																								--------------------- 																									A. Eugene Sapp, Jr. Director, President, and 																																																	Chief Operating Officer 																																																(Principal Operating Officer)
	September 26, 1994 Howard H. Callaway /s/ 																									---------------------- 																									Howard H. Callaway Director
	September 26, 1994 William E. Fruhan /s/ 																									--------------------- 																									William E. Fruhan Director
	September 26, 1994 Joseph C. Moquin /s/ 																									-------------------- 																									Joseph C. Moquin Director
	September 26, 1994 Wayne Shortridge /s/ 																									-------------------- 																									Wayne Shortridge Director
	September 26, 1994 G. Robert Tod /s/ 																									----------------- 																									G. Robert Tod Director
	September 26, 1994 Jackie M. Ward /s/ 																									------------------ 																									Jackie M. Ward Director