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ITT Provides 2010 Outlook; Raises Low End of 2009 Full-Year Adjusted EPS Guidance Range

Posted by Dana in December 22nd 2009

* Projects 2010 EPS growth of three to nine percent compared with midpoint of 2009 adjusted EPS range
* Forecasts 2010 revenue growth of two to four percent
* Anticipates free cash flow conversion at 100 percent of net income in 2010
* Provides tightened 2009 adjusted EPS guidance range of $3.72 to $3.74

ITT Corporation (NYSE: ITT) announced its full-year 2010 earnings forecast in the range of $3.85 to $4.05 per share. The company expects 2010 total revenue growth will be in the range of two to four percent compared with 2009 total revenue. Excluding the impacts of acquisitions, divestitures and foreign exchange, the company expects 2010 organic revenue growth of two to three percent.

The company also tightened its previously announced 2009 guidance range for earnings from continuing operations, excluding special items. This includes raising the low end of the prior adjusted earnings forecast ($3.70 to $3.74 per share) to a range of $3.72 to $3.74 per share. Full-year 2009 revenue is expected to be approximately $10.9 billion.

In 2010, ITT expects its Defense Electronics and Services segment to grow organic revenue approximately three to four percent. The segment expects growth in international and non-armed services categories and its core defense products to more than offset some declines in Middle East services and lower volumes from U.S. SINCGARS tactical radios. Organic revenue in the Motion and Flow Control segment is expected to be flat, as growth in the auto/transportation businesses and in emerging markets is expected to offset declines in aerospace. The company expects 2010 organic revenue growth of approximately one percent in the Fluid Technology segment, driven largely by strength in the municipal business and emerging markets.