ELKHART, IN -- CTS reported third quarter EMS sales fell $15.2 million, or 20%, year-over-year, on customer delays, particularly in the defense and aerospace and communications markets.

The segment was also hurt by lingering impacts of last year's Thailand flood and the company’s strategy to exit certain unprofitable accounts. CTS' Thailand facility, which was impacted by the October 2011 flood, became fully operational during the third quarter. Operating income for the period fell $1.2 million, to $2.38 million.

CTS said it would close EMS operation in Tianjin, China, although it electronic components operation will remain in this facility, and take a $3 million fourth-quarter charge related to severance and other related costs.

Overall revenues fell 6% year-over-year to $137.4 million, while net earnings were flat at $5.9 million.

CTS also makes components and sensors, primarily for automotive applications.

CTS lowered its full-year 2012 sales guidance from a range of a 4% to 7% increase over 2011, to essentially flat, with the Components and Sensors segment growing 10% to 13% and EMS declining 9% to 12%.

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