5 
 
STATEMENTS OF CONSOLIDATED SHAREHOLDERS’ EQUITY 
(In thousands, except per share amounts) 
 
For the Years Ended June 30, 2012, 2011 and 2010  
Shares of 
Common 
Stock 
Outstanding  
Common 
Stock  
Additional 
Paid-In 
Capital  
Income 
Retained 
for Use  
in the 
Business  
Treasury 
Shares- 
at Cost  
Accumulated 
Other 
Comprehensive 
Income (Loss)  
Total’ 
Shareholders’ 
Equity’ 
Balance at July 1, 2009  42,284   $ 10,000   $ 136,895   $ 560,574   $ (191,518 )  $ (7,849 )  $ 508,102  
Net income           65,903         65,903  
Other comprehensive income (loss)                 1,801   1,801  
Cash dividends —  $0.60 per share           (25,416 )        (25,416 ) 
Purchases of common stock for treasury  (160 )           (3,929 )     (3,929 ) 
Treasury shares issued for:                     
Exercise of stock appreciation rights and options  214      1,499      1,372      2,871  
Deferred compensation plans  11      68      187      255  
Compensation expense —  stock appreciation rights 
and options        3,020            3,020  
Other share-based compensation expense        2,106            2,106  
Other  27      (403 )  309   420      326  
Balance at June 30, 2010  42,376   10,000   143,185   601,370   (193,468 )  (6,048 )  555,039  
Net income           96,759         96,759  
Other comprehensive income (loss)                 11,107   11,107  
Cash dividends —  $0.70 per share           (29,751 )        (29,751 ) 
Purchases of common stock for treasury  (190 )           (6,085 )     (6,085 ) 
Treasury shares issued for:                      
Exercise of stock appreciation rights and options  379      (109 )     706      597  
Deferred compensation plans  6      102      119      221  
Compensation expense —  stock appreciation rights 
and options        2,473            2,473  
Other share-based compensation expense        3,158            3,158  
Other  31      (502 )  43   504      45  
Balance at June 30, 2011  42,602   10,000   148,307   668,421   (198,224 )  5,059   633,563  
Net income           108,779         108,779  
Other comprehensive income (loss)                 (9,628 )  (9,628 ) 
Cash dividends —  $0.80 per share           (33,800 )        (33,800 ) 
Purchases of common stock for treasury  (997 )           (31,032 )     (31,032 ) 
Treasury shares issued for:                      
Exercise of stock appreciation rights and options  250      (1,853 )     1,448      (405 ) 
Performance share awards  91     (2,664 )    714     (1,950 ) 
Deferred compensation plans  9      128      156      284  
Compensation expense —  stock appreciation rights 
and options        2,058            2,058  
Other share-based compensation expense        4,308            4,308  
Other  12      (214 )  (40 )  208      (46 ) 
Balance at June 30, 2012  41,967   $ 10,000   $ 150,070   $ 743,360   $ (226,730 )  $ (4,569 )  $ 672,131  
 
See notes to consolidated financial statements. 
 
 
NOTE 1: BUSINESS AND ACCOUNTING POLICIES 
Business 
Applied Industrial Technologies, Inc. and subsidiaries (the “Company” or “Applied”) is a leading industrial distributor serving 
Maintenance Repair Operations (MRO) and Original Equipment Manufacturing (OEM) customers in virtually every industry.  In 
addition, Applied provides engineering, design and systems integration for industrial and fluid power applications, as well as 
customized mechanical, fabricated rubber and fluid power shop services.  Applied also offers maintenance  training and inventory 
management solutions that provide added value to its customers.  Although the Company does not generally manufacture the 
products it sells, it does assemble and repair certain products and systems.   
Consolidation 
The consolidated financial statements include the accounts of Applied Industrial Technologies, Inc. and its subsidiaries.  
Intercompany transactions and balances have been eliminated in consolidation.  The financial results of the Compan y’s Canadian