This excerpt taken from the PBY 8-K filed Sep 9, 2008.
Earnings From Continuing Operations Before Income Taxes
Earnings From Continuing Operations Before Income Taxes were $16.0 million as compared to $11.4 million in 2007. The results reflect disciplined spending control , reduced interest expense as a result of paying down debt, gains from the disposition of assets and improved product margin rates. These benefits were largely offset by the gross profit pressure associated with the reduction in sales.