Item 2.05. Costs Associated with Exit or Disposal Activities

Due to the slowdown in the global economy affecting demand, in February 2009, the Company reduced its global work force by approximately 230 people or roughly 6%. The work force reductions came from all of its facilities. The estimated cost associated with the severance benefits is approximately $1.3 million. This amount will be recorded in the Company's fiscal third quarter 2009 results.

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