CTS Corporation Reconciliation of Year-to-Date Effective Tax Rate to Year-to-Date Adjusted Tax Rate ($ in thousands) Pre-tax (loss)/earnings per GAAP Q3 2009 - YTD Q2 2009 - YTD Q1 2009 - YTD $ (28,321) $ (33,975) $ (36,679) Tax expense/(benefit) per GAAP $ Effective tax rate Pre-tax (loss) per GAAP Add: Goodwill impairment charges Adjusted Pre-tax (loss) Tax expense/(benefit) per GAAP Subtract: Tax expense related to goodwill impairment charges Tax expense related to cash repatriation Adjusted tax expense/(benefit) Adjusted tax rate 9,872 $ -34.9% $ (28,321) $ 33,153 4,832 $ $ 9,872 $ 205 (9,077) 1,000 $ 20.8% $ -25.6% $ $ 8,699 (1,030) 2.8% (33,975) $ (36,679) 33,153 (822) $ 33,153 (3,526) 8,699 $ (1,030) 205 (9,077) (173) $ 205 (825) 21.0% 23.4%