Electrical Power Products business segment gross profit increased  44.4%, or $40.7 million, to $132.5 million in Fiscal 2012. Gross  profit, as a percentage of revenues, increased to 19.3% in Fiscal  2012, compared to 17.2% in Fiscal 2011, as a result of favorable  operational execution and project management on certain large  complex projects that were completed or near completion. Our  increase in project activity in Fiscal 2012 also improved our ability  to cover fixed and overhead operating costs, partially offset by  the challenges on certain large projects at Powell Canada. These  challenges resulted from scope changes and cost overruns on  certain Canadian projects. We recovered certain of these costs in  Fiscal 2013. Process Control Systems business segment revenues increased  5.2%, or $1.5 million, to $30.6 million in Fiscal 2012. Business  segment gross profit, as a percentage of revenues, decreased to  24.4% for Fiscal 2012, compared to 28.2% for Fiscal 2011. This  decrease in gross profit as a percentage of revenues is related to the  mix of project types. For additional information related to our business segments, see  Note L of Notes to Consolidated Financial Statements included  elsewhere in this Annual Report. Selling, general and administrative expenses, as a percentage of  revenues, decreased to 11.3% in Fiscal 2012 from 13.8% in Fiscal  2011. Selling, general and administrative expenses decreased as a  percentage of revenues in Fiscal 2012 as a result of our increase in  revenues. Consolidated selling, general and administrative expenses  increased $3.8 million to $81.3 million in Fiscal 2012. This increase  is primarily related to increased personnel costs and incentive  compensation resulting from higher levels of operating performance.  Additionally, separation payments of $2.6 million to our former CEO  were recorded in selling, general and administrative expenses in the  fourth quarter of Fiscal 2011.  Amortization of intangible assets decreased to $2.6 million in Fiscal  2012, compared to $4.8 million in Fiscal 2011. This decrease  resulted from the impairment of the intangible assets recorded in  Fiscal 2011 related to Powell Canada. Our provision for income taxes reflected an effective tax rate on  earnings before income taxes of 38.5% in Fiscal 2012 compared  to 167.9% in Fiscal 2011. The effective tax rate for both Fiscal  2012 and 2011 were negatively impacted by our inability to record  the tax benefit related to pre-tax losses in Canada, offset by the  favorable impact on our effective tax rate of the domestic production  activities deduction in the United States. For further information  on the effective tax rate for Fiscal 2013, see Note H of the Notes  to Consolidated Financial Statements included elsewhere in this  Annual Report. Approximately $9.8 million of our cash at September 30, 2013 was  held outside of the United States for international operations. It is  our intention to indefinitely reinvest all current and future foreign  earnings internationally in order to ensure sufficient working capital  and support and expand these international operations. In the event  that we elect to repatriate some or all of the foreign earnings that  We have a $75.0 million revolving credit facility in the U.S., which  expires in December 2016. As of September 30, 2013, there  were no amounts borrowed under this line of credit. We also have  a $9.5 million revolving credit facility in Canada. At September 30,  2013, there was no balance outstanding under the Canadian  revolving credit facility. Total long-term debt and capital lease  obligations, including current maturities, totaled $3.6 million at  September 30, 2013, compared to $4.4 million at September 30,  2012. Total letters of credit outstanding were $20.1 million and  $36.6 million at September 30, 2013 and 2012, respectively,  which reduce our availability under our U.S. credit facility and  our Canadian revolving credit facility. Amounts available at  September 30, 2013 under the U.S. and Canadian revolving  credit facilities were $55.0 million and $9.4 million, respectively.  For further information regarding our debt, see Notes G and J of  Notes to Consolidated Financial Statements included elsewhere  in this Annual Report. Cash and cash equivalents increased to $107.7 million at  September 30, 2013, compared to $90.0 million at September 30,  2012. This increase in cash primarily resulted from cash flow  provided by operations of $91.8 million. These cash flows were  partially used to fund the construction of our two new facilities in  the United States and Canada in Fiscal 2013 in order to support  continued expansion in our key markets. As of September 30, 2013,  current assets exceeded current liabilities by 2.1 times and our debt  to total capitalization ratio was 1.0%. The order backlog at September 30, 2012, was $436.7 million,  compared to $443.0 million at September 30, 2011. New orders  placed during Fiscal 2012 totaled $710.7 million compared  to $725.2 million in Fiscal 2011. The backlog for Fiscal 2012  decreased slightly due to the completion of certain complex oil and  gas production and petrochemical projects. In Fiscal 2012, we recorded net income of $29.7 million, or earnings  of $2.49 per diluted share, compared to a net loss of $2.7 million, or a  loss of $0.23 per diluted share, in Fiscal 2011. Net income improved  in Fiscal 2012 as a result of increased revenue and earnings from  increased activity and favorable operational and project execution in  Fiscal 2012. Fiscal 2011 was negatively impacted by the impairment  of intangible assets for Powell Canada of $7.2 million, the $2.6  million separation charge with our former CEO and our inability to  record the tax benefits related to the pre-tax losses in Canada.  Net Income (Loss)  Backlog LIQUIDITY AND CAPITAL RESOURCES Process Control Systems Consolidated Selling, General and Administrative Expenses Amortization of Intangible Assets Income Tax Provision 20