Company believes the likelihood is remote that the ultimate resolution of any of these matters w il
l have, either individually or in the 
aggregate, a material adverse effect on the Company’s consolidated financial position, results of operations, or cash flows.   
NOTE 14: OTHER EXPENSE (INCOME), NET 
Other expense (income), net, consists of the following:  
Year Ended June 30,  2012  2011  2010 
Unrealized loss (gain) on assets held in rabbi trust for a non-qualified  
  deferred compensation plan  $ 36   $ (2,016 )  $ (1,012 ) 
Benefit from payouts on corporate-ow ned life insurance policies  —    (1,722 )  —   
Foreign currency transaction losses (gains)  1,592   (541 )  36  
Loss on cross-currency swap  —    368   510  
Other, net  (50 )  118   41  
Total other expense (income), net  $ 1,578   $ (3,793 )  $ (425 ) 
The Company is the owner and beneficiary under life insurance policies acquired in conjunction with a fiscal 1998 acquisition, with 
benefits in force of $12,300 and a net cash surrender value of $3, 200 at June 30, 2012.  In January 2011, the Company received 
death benefits under two of these policies and realized a gain of $1, 722.  
NOTE 15:  SUBSEQUENT EVENT 
On August 1, 2012, the Company acquired SKF's company-owned distribution businesses in Australia and New Ze aland for cash 
consideration.  These businesses w ill expand Applied's global capab ilities and are part of the Service Center Based Distribution 
segment.  The Company funded the acquisition from its available cash and existing revolving credit fac ilities.  Results of operations 
acquired will be included in the Company's results of operations from the date of closing.   
  
37Applied Industrial Technologies, Inc. and Subsidiaries
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