DES PLAINES, Ill.— Littelfuse has reported its sales and earnings for the first quarter of 2008.

Sales for the first quarter of 2008 were $133.7 million, an increase of $1.9 million or 1 percent compared to the first quarter of 2007. Automotive and electrical sales increased 8 percent and 5 percent, respectively, compared to the prior-year quarter, while electronics sales declined 1 percent.

Diluted earnings per share for the first quarter of 2008 were 19 cents compared to diluted earnings per share of 28 cents for the first quarter of 2007. Adjusted diluted earnings per share were 36 cents, which excludes $5.2 million of charges primarily related to severance for the recently-announced Matamoros, Mexico, plant closure. This corresponds with the company’s previous guidance of 32 cents to 37 cents per share.

Capital expenditures for the first quarter of 2008 increased to $11.5 million compared to $5.1 million in the prior-year quarter due to spending for facilities and equipment to support the previously disclosed manufacturing transfers. Cash flow from operating activities was negative $1 million for the first quarter of 2008 compared to $1 million in the prior-year quarter. Increases in inventories to support the manufacturing transfers and severance payments related to plant closures contributed to the negative cash result.

“The first quarter played out largely as we expected, which puts us on track to meet our plan for the year,” said Gordon Hunter, chief executive officer. “We made excellent progress on our manufacturing transfers. The automotive business continues to perform well despite headwinds in the North American market. Electrical sales have slowed from the double digit increases of last year, but this business continues to grow and generate superior margins. The electronics business had a slow start to the year, but since the Lunar New Year in early February, orders have been strong and sales have been increasing.”

Sales for the second quarter of 2008 are expected to be in the range of $142 to $147 million, which represents 10 to 14 percent growth over the prior-year quarter. As previously stated, margins will be impacted throughout 2008 by costs related to manufacturing transfers, including redundant overhead, equipment move costs, training and retention incentives. These costs are expected to average about $3 million per quarter through the remainder of 2008.

Diluted earnings for the second quarter of 2008 are expected to be in the range of 42 cents to 48 cents per share.

For more information about Littelfuse, go to: www.littelfuse.com.