Mr. Hamada added, “Our selective participation in certain high volume fulfillment engagements in EM Asia drove revenue above expectations as revenue in this region grew 5.7% sequentially and 16.0% year over year. This growth in turn drove EM’s sequential organic sales growth above normal seasonality and year-over-year organic sales growth in constant currency increased to 11.4%. At the regional level, organic sales were up 13.0% in constant currency in EMEA, while Asia and the Americas were up 14.4% and 3.2%, respectively. This growth in revenue when combined with the impact of expense actions implemented in fiscal 2013 drove operating income up 20.1%, which resulted in operating income margin increasing 24 basis points to 4.1%. During the quarter, EM also completed its acquisition of MSC, which will provide new profitable growth opportunities in our EMEA region as we integrate the operations and realize the expected competitive benefits and synergies in the coming quarters. Given two consecutive quarters of year-over-year expansion in margins and returns, we feel confident that we can leverage our expected growth in our higher margin western regions and build on this performance in the seasonally stronger quarters of March and June at EM.”

Avnet Technology Solutions Results
								Year-over-Year Growth Rates
			Q2 FY14 Sales					Reported Sales					Organic Sales
			(in millions)
TS Total			$	3,267.1				8.0		%			3.8	%
Excluding FX (1)								8.3		%			4.1	%
Americas			$	1,859.2				16.3		%			8.0	%
EMEA			$	936.0				-2.9		%			-2.9	%
Excluding FX (1)								-5.8		%			-5.8	%
Asia			$	471.9				1.7		%			2.0	%
			Q2' FY14					Q2' FY13					Change
Operating Income			$	120.2				$	113.1				6.3	%
Operating Income Margin			3.7		%			3.7		%			-6 bps

(1)		Year-over-year sales growth rate excluding the impact of changes in foreign currency exchange rates.

• Reported sales increased 8.0% year over year to $3.3 billion and organic sales increased 3.8% in reported dollars and 4.1% in constant currency
• Sequential sales growth of 35.7% (34.6% on an organic basis in constant currency) was above the Company's expectations and the high end of normal seasonality
• Operating income margin decreased 6 basis points year over year and was up 108 basis points sequentially to 3.7%, driven by the strong sales growth
• ROWC decreased 432 basis points year over year primarily due to investments in working capital and increased over 1,500 basis points sequentially due to strong profit growth
• At a product level, software, storage and services grew over 30% sequentially while software and storage drove the year-over-year growth

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