text: YEAR ENDED JUNE 30, 2011 vs. 2010  selling products at a higher gross profit margin led to an 
  
  approximate 0.9% improvement in gross profit margins. Other 
  The following table is included to aid in review of Applied’s 
  positive impacts on margins were an increase of approximately 
  statements of consolidated income. 
  0.4% from businesses acquired during the fiscal year and an 
  
  increase of approximately 0.2% due to lower scrap expense. 
  Change in 
  Year Ended June 30,  $'s Versus 
  SD&A increased $56.7 million or 14.0% during fiscal 2011 
  As a % of Net Sales  Prior Period 
  compared to fiscal year 2010, and as a percent of sales decreased 
  2011  2010 % Increase 
  to 20.9% from 21.4% in fiscal 2010. Associate compensation 
  100.0 % 100.0 %  16.9 % 
  and benefits, including amounts tied to financial performance, 
  
  27.7 %  27.2 %  18.9 % 
  increased $27.4 million. Acquisitions added $18.4 million of 
  
  SD&A compared to fiscal year 2010, including additional  Selling, Distribution & Administrative  20.9 %  21.4 %  14.0 % 
  
  amortization expense of $1.4 million. Incremental expenses 
  Operating Income  6.8 %  5.8 % 
  
  Net Income  4.4 %  3.5 % 
  
  Net sales in fiscal 2011 were $2.2 billion, which was 