text: management solutions that provide added value to its customers. 
  
  We have a long tradition of growth dating back to 1923, the year 
  YEAR ENDED JUNE 30, 2012 vs. 2011 
  our business was founded in Cleveland, Ohio. At June 30, 2012, 
  The following table is included to aid in review of Applied’s 
  business was conducted in the United States, Canada, Mexico 
  statements of consolidated income. 
  and Puerto Rico from 476 facilities. 
  
  When reviewing the discussion and analysis set forth below, 
  Change in 
  please note that the majority of SKUs we sell in any given year  Year Ended June 30,  $'s Versus 
  As a % of Net Sales  Prior Period 
  were not sold in the prior year, resulting in the inability to 
  
  **2012** 2011 % Increase  quantify certain commonly used comparative metrics analyzing 
  
  sales, such as changes in product mix and volume.  Net Sales  **100.0 %**100.0 %  7.3 % 
  
  Gross Profit  **27.6 %** 27.7 %  6.7 %  Our fiscal 2012 sales were $2.4 billion, an increase of $162.6 