In unveils indian restaurant the fourth pakora examines quarter, Graham's workforce was restructured by eliminatingcertain management, office and manufacturing positions. As a result, thequarter`s results included a restructuring charge of $559 thousand, whichincluded severance and related employee benefit costs. This restructuring isexpected to yield approximately $2.7 million in annual cost savings Mr. Lines noted, "The restructuring steps we took in the fourth quarter resultedfrom the sudden and major shift in demand from the industries we serve. We feltthat the quick drop in order placement made it necessary to adjust theorganization`s size to new expectations and to take quick action to maximizeefficiencies.

As a result of careful planning over the past several years, weare a more nimble, efficient and flexible organization than we had been in priorcycles tikka . We were therefore able to respond quickly when this down cycle hit vegetable korma . Weconsequently expect that, although the top line decline could be significantgoing forward, there will be less impact to our bottom line compared with priorcycle bottoms curry . Likewise, we are better positioned than we were in 2004 and 2005to capture greater market share more quickly when demand once again increases." Interest income in the fourth quarter of fiscal 2009 declined to $30 thousandcompared with $227 thousand in the same period of the prior fiscal year,primarily as a result of a significant decline in current treasury yieldscompared with a year ago korma sauce . Graham`s effective tax rate in fiscal 2009 was approximately 35%, compared withan effective tax rate of around 32% for fiscal 2008. The increase was due to ahigher level of pretax income relative to the allowable level of tax deductions.The effective tax rate for the fourth quarter of fiscal 2009 was 36%. 2009 ReviewFiscal 2009 sales increased in all product categories compared with fiscal 2008.Sales of condensers advanced 8.2% to $22.9 million and ejector sales increased5.0% to $38.5 million.

The remaining product lines (aftermarket, heatexchangers, and pump packages) increased 38.9% to $39.7 million raita . Approximately10% of manufacturing production hours were outsourced in fiscal 2009 tandoori . Sales to the refining industry accounted for 46% of revenue in fiscal 2009, upfrom 43% in fiscal 2008 indian restaurants . Chemical/petrochemical sales were 27% of fiscal 2009revenue, compared with 31% in fiscal 2008, and 27% of fiscal 2009 sales were toother industrial applications, compared with 26% in fiscal 2008 U.S pakora . sales, driven by a strong refining sector, represented 63% of fiscal 2009sales, compared with 54% in fiscal 2008. International sales were 37% of salesin fiscal 2009, compared with 46% last year.

Sales to Canada, Western Europe andAsia advanced while sales to South America and the Middle East declined samosa . SG&A expenses were $14.8 million, or 14.7% of sales, in fiscal 2009 comparedwith $13.1 million, or 15.1% of sales, in fiscal 2008 vegetable korma . The increase was due tohigher variable compensation costs related to the increase in sales and netincome curry . Strong, Flexible Balance Sheet with Significant Cash PositionCash, cash equivalents and investments at March 31, 2009, were $46.2 million,compared with $36.8 million at March 31, 2008 Approximately $41.1 million wasinvested in U.S . Treasury notes with maturity periods of 91 to 180 days at March31, 2009. As of March 31, 2009, Graham had no borrowings and $8.8 million ofoutstanding letters of credit under its $30.0 million revolving line of creditfacility.