Return on Invested Capital (ROIC) was 8.0% for the period ended December 31, 2012, reflecting the improved income from operations as well as our cash generation.
The ratio of Debt, less cash and cash equivalents to EBITDA, as adjusted , improved from 4.9 at December 31, 2011 to 2.3 at December 31, 2012, primarily due to the increased earnings of the Company in 2012 versus 2011, as well as the focus on cash generation.
Working Capital: Working Capital as a percent of Trailing Three Month Annualized Net Sales was 27.2% at December 31, 2012, as compared to 26.6% at September 30, 2012. The increase was largely due to seasonal decline and softening demand in some segments and geographies. The Company now has a significant cash balance related to customer advances for orders to fund inventory purchases required for products with long lead times. As a result, the definition of Working Capital has been modified to include the advance payments. The Company is targeting its Working Capital as a percentage of Trailing Three Month Annualized Net Sales to be approximately 22% at the end of 2013.
Backlog: Backlog for orders deliverable during the next twelve months was approximately $2,009 million at December 31, 2012, an increase of approximately 17% from September 30, 2012 and a decrease of approximately 7% from December 31, 2011.The Company continued to see healthy levels of backlog at year end. Contributing to the sequential increase were the orders for AWP products driven largely by the recurring fleet orders the Company referenced during its third quarter results. For the quarter, AWP had its highest bookings level in more than four years with some machines now booked for delivery in the second half of 2013. This contributed to a 73% increase in AWP backlog from September 30, 2012. Overall, AWP customers continue to replace historically old fleets in order to have sufficient product available to meet the current utilization and are displaying confidence in expected end user demand.