The senior notes, which are held by multiple institutions, are uncollateralized. In June 1992, the company’s Member Investment and Stock Ownership Plan (a qualified employee stock ownership plan) borrowed $25,000 for a term of eleven years and used the proceeds to buy 1,027,224 shares of common stock from the company. We guaranteed the payment of the loan and agreed to make future contributions to the plan sufficient to repay the loan. Accordingly, the original amount of the loan was recorded as long-term debt and unearned ESOP compensation. The consolidated balance sheets reflect the outstanding balance of the loan in long-term debt and the remaining unearned ESOP compensation as a component of shareholders’ equity. Unearned ESOP compensation has been reduced using the shares allocated method for shares allocated to plan participants. The unallocated shares were 58,276 at September 30, 2002; 135,472 at September 30, 2001; and 218,076 at September 30, 2000. Required future principal payments of the senior notes and ESOP debt guarantee at September 30, 2002, are $2,000 in 2003, $10,714 in 2006, $10,714 in 2007, and $53,572 thereafter. We have effectively offset our exposure to changes in the fair value of a portion of the senior notes by entering into interest rate swap agreements. Under these agreements, we are swapping interest payments related to a notional amount of $50,000 at a fixed rate of 6.39% for rates that vary with LIBOR. The timing of these payments corresponds directly with interest payments due under the senior notes and we have assessed the swaps as having no hedge ineffectiveness. As a result, the fair value of these swap agreements is shown as an adjustment of long-term debt. Short-term borrowings reflect borrowings under certain bank lines of credit. The total amount available under these lines of credit, including outstanding borrowings, totaled $56,432 at September 30, 2002, and $43,483 at September 30, 2001. Interest on borrowings under the lines of credit is based on various short-term rates. Several of the lines require compensating balances or commitment fees. The lines, generally reviewed annually for renewal, are subject to the usual terms and conditions applied by the banks. The weighted-average interest rate for outstanding borrowings was 4.1% at September 30, 2002, 4.8% at September 30, 2001, and 6.5% at September 30, 2000. I. Short-term borrowings: Amortization expense associated with current intangibles is expected to be approximately $4,100 for each year 2003-2006 and approximately $3,900 in 2007. J. Long-term debt: H. Other intangibles—net: At September 30, 2002 2001 Industrial Controls: Customer relationships: Amount acquired $16,780 $15,780 Accumulated amortization (2,379) (1,753) 14,401 14,027 Other: Amount acquired 20,487 16,444 Accumulated amortization (1,749) (778) 18,738 15,666 Total $33,139 $29,693 Aircraft Engine Systems: Customer relationships: Amount acquired $28,547 $28,547 Accumulated amortization (4,124) (3,172) 24,423 25,375 Other: Amount acquired 11,785 16,708 Accumulated amortization (2,585) (2,645) 9,200 14,063 Total $33,623 $39,438 Consolidated: Customer relationships: Amount acquired $45,327 $44,327 Accumulated amortization (6,503) (4,925) 38,824 39,402 Other: Amount acquired 32,272 33,152 Accumulated amortization (4,334) (3,423) 27,938 29,729 Total $66,762 $69,131 At September 30, 2002 2001 Senior notes—6.39% $75,000 $ — ESOP debt guarantee—8.01% 2,000 4,500 Term note — 60,000 Revolving line of credit facility — 35,000 Fair value hedge adjustments: Interest rate swap agreements 1,334 — Unrecognized discontinued hedge gains 1,858 — 80,192 99,500 Less current portion 2,000 22,500 $78,192 $77,000 37