UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549

________________________________

FORM 10-Q

[X]

QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF
THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended April 30, 2004                                              

OR

[   ]

TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF
THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from _____________________ to ________________________

Commission file number 1-6357

ESTERLINE TECHNOLOGIES CORPORATION
(Exact name of registrant as specified in its charter)

Delaware
(State or other Jurisdiction
of incorporation or organization)

13-2595091
(I.R.S. Employer
Identification No.)

500 108th Avenue N.E., Bellevue, Washington 98004
(Address of principal executive offices)(Zip Code)

Registrant's telephone number, including area code 425/453-9400

Indicate by check mark whether the registrant: (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.

Yes       X     

No              

Indicate by check mark whether the registrant is an accelerated filer (as defined in Rule 12b-2 of the Exchange Act).

Yes       X     

No              

As of June 9, 2004, 21,168,953 shares of the issuer's common stock were outstanding.

PART 1 - FINANCIAL INFORMATION

Item 1.      Financial Statements

ESTERLINE TECHNOLOGIES CORPORATION
CONSOLIDATED BALANCE SHEET
As of April 30, 2004 and October 31, 2003
(In thousands, except share amounts)

April 30,
2004

October 31,
2003

ASSETS

(Unaudited)

Current Assets

    Cash and cash equivalents

$111,435

$131,363

    Cash in escrow

1,007

4,536

    Short-term investments

19,035

12,797

    Accounts receivable, net of allowances
         of $2,931 and $2,669

86,884

98,395

    Inventories
        Raw materials and purchased parts

38,375

38,678

        Work in process

33,830

26,855

        Finished goods

11,393

10,812

83,598

76,345

    Income tax refundable

4,079

7,677

    Deferred income tax benefits

15,258

16,529

    Prepaid expenses

9,117

7,030

        Total Current Assets

330,413

354,672

Property, Plant and Equipment

239,427

226,881

    Accumulated depreciation

119,883

109,791

119,544

117,090

Other Non-Current Assets
    Goodwill

190,784

185,353

    Intangibles, net

114,973

114,930

    Debt issuance costs, net of accumulated
        amortization of $585 and $244

6,139

6,301

    Other assets

22,279

22,284

$784,132

$800,630

ESTERLINE TECHNOLOGIES CORPORATION
CONSOLIDATED BALANCE SHEET
As of April 30, 2004 and October 31, 2003
(In thousands, except share amounts)

April 30,
2004

October 31,
2003

LIABILITIES AND SHAREHOLDERS' EQUITY

(Unaudited)

Current Liabilities
    Accounts payable

$  22,251

$  23,273

    Accrued liabilities

72,316

74,991

    Credit facilities

2,952

2,312

    Current maturities of long-term debt

451

30,473

    Federal and foreign income taxes

506

1,184

        Total Current Liabilities

98,476

132,233

Long-Term Liabilities
    Long-term debt, net of current maturities

245,631

246,792

    Deferred income taxes

25,178

27,325

Commitments and Contingencies

-

-

Net Liabilities of Discontinued Operations

2,868

408

Shareholders' Equity
    Common stock, par value $.20 per share,
        authorized 60,000,000 shares, issued and
        outstanding 21,168,953 and 21,062,999 shares

4,234

4,213

    Additional paid-in capital

118,006

116,761

    Retained earnings

278,390

266,600

    Accumulated other comprehensive income

11,349

6,298

        Total Shareholders' Equity

411,979

393,872

$784,132

$800,630

ESTERLINE TECHNOLOGIES CORPORATION
CONSOLIDATED STATEMENT OF OPERATIONS
For the Three and Six Month Periods Ended April 30, 2004 and May 2, 2003
(Unaudited)
(In thousands, except per share amounts)

Three Months Ended

Six Months Ended

April 30,
2004

May 2,
2003

April 30,
2004

May 2,
2003

Net Sales

$150,194 

$135,281 

$282,792 

$261,610 

Cost of Sales

99,890 

94,711 

192,486 

182,367 

50,304 

40,570 

90,306 

79,243 

Expenses
    Selling, general & administrative

26,866 

27,231 

57,560 

51,648 

    Research, development &
        engineering

6,442 

3,975 

12,358 

8,157 

        Total Expenses

33,308 

31,206 

69,918 

59,805 

Operating Earnings From
    Continuing Operations

16,996 

9,364 

20,388 

19,438 

    Gain on sale of product line

- 

(863)

- 

(863)

    Loss on derivative financial
        instruments

- - 

74 

- - 

74 

    Other income

(19)

(3)

(575)

(2)

    Interest income

(284)

(124)

(597)

(266)

    Interest expense

4,164 

1,719 

8,457 

3,501 

Other Expense, Net

3,861 

803 

7,285 

2,444 

Income From Continuing Operations
    Before Income Taxes

13,135 

8,561 

13,103 

16,994 

Income Tax Expense

3,895 

2,519 

1,985 

5,109 

Income From Continuing Operations

9,240 

6,042 

11,118 

11,885 

Income (Loss) From Discontinued
    Operations, Net of Tax

672 

(5,808)

672 

(5,808)

Net Earnings

$    9,912 

$       234 

$  11,790 

$    6,077 

ESTERLINE TECHNOLOGIES CORPORATION
CONSOLIDATED STATEMENT OF OPERATIONS
For the Three and Six Month Periods Ended April 30, 2004 and May 2, 2003
(Unaudited)
(In thousands, except per share amounts)

Three Months Ended

Six Months Ended

April 30,
2004

May 2,
2003

April 30,
2004

May 2,
2003

Earnings (Loss) Per Share - Basic:
    Continuing operations

$        .44 

$        .29 

$        .53 

$        .57 

    Discontinued operations

.03 

(.28)

.03 

(.28)

    Earnings per share - basic

$        .47 

$        .01 

$        .56 

$        .29 

Earnings (Loss) Per Share - Diluted:
    Continuing operations

$        .43 

$        .29 

$        .52 

$        .57 

    Discontinued operations

.03 

(.28)

.03 

(.28)

    Earnings per share - diluted

$        .46 

$        .01 

$        .55 

$        .29 

ESTERLINE TECHNOLOGIES CORPORATION
CONSOLIDATED STATEMENT OF CASH FLOWS
For the Six Month Periods Ended April 30, 2004 and May 2, 2003
(Unaudited)
(In thousands)

Six Months Ended

April 30,
2004

May 2,
2003

Cash Flows Provided (Used) by Operating Activities
    Net earnings

$  11,790 

$   6,077 

    Depreciation and amortization

14,936 

11,458 

    Deferred income taxes

(876)

1,969 

    Gain on sale of product line

- 

(863)

    Gain on sale of land

(577)

- 

    Working capital changes, net of effect of acquisitions
        Accounts receivable

14,482 

(1,438)

        Inventories

(6,392)

(2,054)

        Prepaid expenses

(1,933)

(60)

        Accounts payable

(1,457)

(4,830)

        Accrued liabilities

(203)

(1,830)

        Federal and foreign income taxes

2,801 

798 

    Other, net

(435)

4,355 

32,136 

13,582 

Cash Flows Provided (Used) by Investing Activities
    Purchases of capital assets

(11,588)

(7,078)

    Proceeds from sale of product line

- 

5,630 

    Proceeds from sale of land

1,179 

- 

    Capital dispositions

433 

532 

    Purchase of short-term investments

(6,238)

- 

    Acquisitions of businesses, net of cash acquired

(6,633)

(15,311)

(22,847)

(16,227)

ESTERLINE TECHNOLOGIES CORPORATION
CONSOLIDATED STATEMENT OF CASH FLOWS
For the Six Month Periods Ended April 30, 2004 and May 2, 2003
(Unaudited)
(In thousands)

Six Months Ended

April 30,
2004

May 2,
2003

Cash Flows Provided (Used) by Financing Activities
    Proceeds provided by stock issuance under
        employee stock plans

1,266 

836 

    Debt and other issuance costs

(179)

- 

    Net change in credit facilities

564 

8,690 

    Repayment of long-term obligations

(31,265)

(253)

(29,614)

9,273 

Effect of Foreign Exchange Rates on Cash

397 

1,972 

Net Increase (Decrease) in Cash and Cash Equivalents

(19,928)

8,600 

Cash and Cash Equivalents - Beginning of Period

131,363 

22,511 

Cash and Cash Equivalents - End of Period

$111,435 

$ 31,111 

Supplemental Cash Flow Information
    Cash Paid for Interest

$    9,265 

$    3,495 

    Cash Paid (Refunded) for Taxes

562 

(1,793)

ESTERLINE TECHNOLOGIES CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
For the Three and Six Month Periods Ended April 30, 2004 and May 2, 2003

1.

The consolidated balance sheet as of April 30, 2004, the consolidated statement of operations for the three and six month periods ended April 30, 2004 and May 2, 2003, and the consolidated statement of cash flows for the six month periods ended April 30, 2004 and May 2, 2003 are unaudited, but in the opinion of management, all of the necessary adjustments, consisting of normal recurring accruals, have been made to present fairly the financial statements referred to above in accordance with generally accepted accounting principles for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, the above statements do not include all of the footnotes required for complete financial statements. The results of operations and cash flows for the interim periods presented are not necessarily indicative of results that can be expected for the full year.

2.

The notes to the consolidated financial statements in the Company's Annual Report on Form 10-K for the fiscal year ended October 31, 2003 provide a summary of significant accounting policies and additional financial information that should be read in conjunction with this Form 10-Q.

3.

The timing of the Company's revenues is impacted by the purchasing patterns of customers and, as a result, revenues are not generated evenly throughout the year. The first quarter of fiscal 2004 included thirteen weeks, while the first quarter of fiscal 2003 included fourteen weeks. Moreover, the Company's first fiscal quarter, November through January, includes significant holiday vacation periods in both Europe and North America.

4.

The Company's comprehensive income is as follows:

(In thousands)

Three Months Ended

Six Months Ended

April 30,
2004

May 2,
2003

April 30,
2004

May 2,
2003

Net Earnings

$ 9,912 

$   234

$11,790

$  6,077

Change in Fair Value of Derivative
    Financial Instruments, Net of Tax

(170)

558

490

217

Foreign Currency Translation Adj.

(6,426)

677

4,561

5,911

    Comprehensive Income

$ 3,316 

$1,469

$16,841

$12,205

5.

On July 25, 2002, the Board of Directors adopted a formal plan for the sale of the assets and operations of its Automation segment. As a result, the consolidated financial statements present the Automation segment as a discontinued operation. On July 23, 2003, the Company sold the assets of its Excellon Automation subsidiary. At April 30, 2004, working capital and property, plant and equipment of the remaining unit within the Automation segment aggregated $8,018,000, and the reserve for loss on disposal and losses during the

phase-out period totaled $10,886,000. Sales in the Automation segment were $5.7 million and $6.6 million for the three month periods ended April 30, 2004 and May 2, 2003, respectively and $10.3 million and $15.6 million for the six month periods ended April 30, 2004 and May 2, 2003, respectively. The Company continues to actively pursue the sale of the remaining assets of the Automation segment.

6.

The effective tax rate for the first six months of 2004 was 29.6% (before a $1.9 million reduction of previously estimated tax liabilities) compared with 30.1% for the first six months of 2003. The effective tax rate differed from the statutory rate, as both years benefited from various tax credits. On February 4, 2004, the Company received a Notice of Proposed Adjustment (NOPA) from the Internal Revenue Service covering the audit of research and development tax credits for fiscal years 1997 through 1999. As a result of the NOPA and the expectation of a similar result for fiscal years 2000 through 2003, management revised the Company's estimated liability for income taxes as of January 30, 2004. The revision resulted in a $1.9 million reduction of previously estimated tax liabilities.

7.

The Company follows Accounting Principles Board Opinion No. 25, "Accounting for Stock Issued to Employees," to account for stock option and employee stock purchase plans, which does not require income statement recognition of options granted at the market price on the date of issuance. The following table illustrates the effect on net income and earnings per share as if the Company had applied the fair value recognition provisions of Statement of Financial Accounting Standards No. 123 (FAS 123 Adjustment), "Accounting for Stock-Based Compensation" (Statement No. 123):

(In thousands, except per share amounts)

Three Months Ended

Six Months Ended

April 30,
2004

May 2,
2003

April 30,
2004

May 2,
2003

Net earnings, as reported

$9,912 

$ 234 

$11,790 

$6,077 

Deduct: FAS 123 Adjustment

(466)

(216)

(952)

(625)

Pro forma net earnings

$9,446 

$   18 

$10,838 

$5,452 

Basic earnings per share, as reported

$    .47 

$  .01 

$      .56 

$    .29 

Deduct: FAS 123 Adjustment

(.02)

(.01)

(.05)

(.03)

Pro forma basic earnings per share

$    .45 

$      - 

$      .51 

$    .26 

Diluted earnings per share,
    as reported

$    .46 

$  .01 

$      .55 

$    .29 

Deduct: FAS 123 Adjustment

(.02)

(.01)

(.05)

(.03)

Pro forma diluted earnings per share

$    .44  

$      - 

$      .50 

$    .26 

8.

The Company has a contributory pension plan for substantially all U.S.-based employees. Components of net periodic pension cost consisted of the following:

(In thousands)

Three Months Ended

Six Months Ended

April 30,
2004

May 2,
2003

April 30,
2004

May 2,
2003

Components of Net Periodic

    Pension Cost

    Service cost

$    906 

$   547 

$ 1,814 

$ 1,638 

    Interest cost

1,729 

1,098 

3,461 

3,289 

    Expected return on plan assets

(2,236)

(1,305)

(4,477)

(3,912)

    Amortization of transition

        asset

- 

22 

- 

66 

    Amortization of prior

        service cost

4 

2 

8 

9 

    Amortization of actuarial loss

148 

237 

297 

711 

Net Periodic Cost

$    551 

$   601 

$ 1,103 

$ 1,801 

9.

Segment information:

Business segment information for continuing operations includes the segments of Avionics & Controls, Sensors & Systems and Advanced Materials.

(In thousands)

Three Months Ended

Six Months Ended

April 30,
2004

May 2,
2003

April 30,
2004

May 2,
2003

Net Sales

    Avionics & Controls

$  52,292 

$  49,797 

$  98,608 

$  98,133 

    Sensors & Systems

43,252 

36,805 

81,048 

62,965 

    Advanced Materials

54,410 

48,561 

102,808 

100,185 

    Other

240 

118 

328 

327 

        Total Net Sales

$150,194 

$135,281 

$282,792 

$261,610 

Segment Earnings

    Avionics & Controls

$    8,619 

$    6,783 

$  15,428 

$  13,212 

    Sensors & Systems

5,292 

3,235 

1,570 

4,427 

    Advanced Materials

7,429 

4,734 

11,842 

10,428 

    Other

(40)

(246)

(221)

(347)

        Total Segment Earnings

$  21,300 

$  14,506 

$  28,619 

$  27,720 

10.

On December 1, 2003, the Company acquired all of the outstanding capital stock of AVISTA, Incorporated (AVISTA), a $10 million (sales) Wisconsin-based developer of embedded avionics software, for approximately $6.5 million in cash. A purchase price adjustment is payable to the seller in December 2004 and 2005 contingent upon the achievement of financial results as defined in the Stock Purchase Agreement. AVISTA provides a software engineering center to support the Company's customers with such applications as primary flight displays, flight management systems, air data computers and engine control systems. AVISTA is included in the Avionics & Controls segment and the results of its operations were included from the effective date of the acquisition. Revenues are largely fees charged for software engineering services.

11.

The following schedules set forth condensed consolidating financial information as required by Rule 3-10 of Securities and Exchange Commission Regulation S-X for the periods ended April 30, 2004, and May 2, 2003, for (a) Esterline Technologies Corporation (the Parent); (b) on a combined basis, the subsidiary guarantors (Guarantor Subsidiaries) of the Senior Subordinated Notes which include Advanced Input Devices, Inc., Amtech Automated Manufacturing Technology, Angus Electronics Co., Armtec Countermeasures Co., Armtec Defense Products Co., Auxitrol Co., AVISTA, Incorporated, Boyar-Schultz Corporation, BVR Technologies Co., Equipment Sales Co., EA Technologies Corporation, Excellon U.K., Fluid Regulators Corporation, H.A. Sales Co., Hytek Finishes Co., Janco Corporation, Kirkhill-TA Co., Korry Electronics Co., Mason Electric Co., MC Tech Co., McTaws Corporation, Memtron Technologies  ;Co., Norwich Aero Products, Inc., Pressure Systems, Inc., Pressure Systems International, Inc., SureSeal Corporation, Surftech Finishes Co., W. A. Whitney Co., and (c) on a combined basis, the subsidiary non-guarantors (Non-Guarantor Subsidiaries), which include Angelchance Ltd. (Weston), Auxitrol S.A., Auxitrol Technologies S.A., Auxitrol Asia PTE Ltd., Esterline Technologies DK Aps (Denmark), Esterline Technologies Ltd. (England), Esterline Technologies Ltd. (Hong Kong), Excellon Europa GmbH, Excellon France S.A.R.L., Excellon Japan Co., Muirhead Aerospace Ltd., Norcroft Dynamics Ltd., Pressure Systems International Ltd., W. A. Whitney Canada Ltd., and W. A. Whitney de Mexico S.A. The guarantor subsidiaries are direct and indirect wholly-owned subsidiaries of Esterline Technologies and have fully and unconditionally, jointly and severally, guaranteed the Senior Subordinated Notes.

Condensed Consolidating Balance Sheet as of April 30, 2004

(In thousands)

Non-

Guarantor

Guarantor

Parent

Subsidiaries

Subsidiaries

Eliminations

Total

Assets

Current Assets

Cash and cash equivalents

$

82,697 

$

4,396 

$

24,342 

$

- 

$

111,435 

Cash in escrow

1,007 

- 

- 

- 

1,007 

Short-term investments

19,035 

- 

- 

- 

19,035 

Accounts receivable, net

(1,095)

61,731 

26,248 

- 

86,884 

Inventories

- 

62,637 

20,961 

- 

83,598 

Income tax refundable

4,153 

(72)

(2)

- 

4,079 

Deferred income tax benefits

16,266 

- 

(1,008)

- 

15,258 

Prepaid expenses

58 

5,296 

3,763 

- 

9,117 

    Total Current Assets

122,121 

133,988 

74,304 

- 

330,413 

Property, Plant & Equipment, Net

2,459 

92,036 

25,049 

- 

119,544 

Goodwill

- 

158,841 

31,943 

- 

190,784 

Intangibles, Net

175